[Federal Register Volume 81, Number 226 (Wednesday, November 23, 2016)]
[Rules and Regulations]
[Pages 84401-84403]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-28251]


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DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Parts 989 and 999

[Doc. No. AMS-SC-16-0065; SC16-989-2 FR]


Raisins Produced From Grapes Grown in California and Imported 
Raisins; Removal of Language

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Final rule.

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SUMMARY: This rule removes language from the California raisin 
marketing order's minimum grade standards and the import regulations' 
grade and size requirements. The marketing order regulates the handling 
of raisins produced from grapes grown in California, and is 
administered locally by the Raisin Administrative Committee 
(committee). The change to the import regulations is required under 
section 8e of the Agricultural Marketing Agreement Act of 1937, as 
amended. Recently, the U.S. Standards for Grades of Processed Raisins 
(standards) were amended to remove the word ``midget.'' This rule makes 
the marketing order and the import regulations consistent with the 
amended standards.

DATES: Effective November 25, 2016.

FOR FURTHER INFORMATION CONTACT: Maria Stobbe, Marketing Specialist, or 
Jeffrey Smutny, Regional Director, California Marketing Field Office, 
Marketing Order and Agreement Division, Specialty Crops Program, AMS, 
USDA; Telephone: (559) 487-5901, Fax: (559) 487-5906, or Email: 
[email protected] or [email protected].
    Small businesses may request information on complying with this 
regulation by contacting Richard Lower, Marketing Order and Agreement 
Division, Specialty Crops Program, AMS, USDA, 1400 Independence Avenue 
SW., STOP 0237, Washington, DC 20250-0237; Telephone: (202) 720-2491, 
Fax: (202) 720-8938, or Email: [email protected].

SUPPLEMENTARY INFORMATION: This rule is issued under Marketing 
Agreement and Order No. 989, both as amended (7 CFR part 989), 
regulating the handling of raisins produced from grapes grown in 
California, hereinafter referred to as the ``order.'' The order is 
effective under the Agricultural Marketing Agreement Act of 1937, as 
amended (7 U.S.C. 601-674), hereinafter referred to as the ``Act.''
    This rule is also issued under section 8e of the Act, which 
provides that whenever certain specified commodities, including 
raisins, are regulated under a Federal marketing order, imports of 
these commodities into the United States are prohibited unless they 
meet the same or comparable grade, size, quality, or maturity 
requirements as those in effect for the domestically-produced 
commodities.
    The Department of Agriculture (USDA) is issuing this rule in 
conformance with Executive Orders 12866, 13563, and 13175.
    This final rule has been reviewed under Executive Order 12988, 
Civil Justice Reform. This rule is not intended to have retroactive 
effect.
    The Act provides that administrative proceedings must be exhausted 
before parties may file suit in court. Under section 608c(15)(A) of the 
Act, any handler subject to an order may file with USDA a petition 
stating that the order, any provision of the order, or any obligation 
imposed in connection with the order is not in accordance with law and 
request a modification of the order or to be exempted therefrom. A 
handler is afforded the opportunity for a hearing on the petition. 
After the hearing, USDA would rule on the petition. The Act provides 
that the district court of the United States in any district in which 
the handler is an inhabitant, or has his or her principal place of 
business, has jurisdiction to review USDA's ruling on the petition, 
provided an action is filed not later than 20 days after the date of 
the entry of the ruling.
    There are no administrative procedures which must be exhausted 
prior to any judicial challenge to the provisions of import regulations 
issued under section 8e of the Act.
    This rule removes the term ``midget'' from Sec.  989.702(a) of the 
order and

[[Page 84402]]

Sec.  999.300(b)(1) of the import regulations. This will make the order 
and the import regulations consistent with the recent changes to the 
standards.
    The committee unanimously recommended that the term ``midget'' be 
removed from the order at a meeting on June 26, 2014. At a subsequent 
meeting on August 14, 2014, the committee also unanimously recommended 
that the word ``midget'' be removed from the standards. As required 
under the Act, the import regulations must be consistent with the 
changes to the order. In this instance, the order must also be 
consistent with changes to the standards.
    Paragraph (a) of section 989.702 of the order specifies minimum 
grade standards for packed Natural (sun-dried) Seedless (NS) raisins, 
requiring that ``small (midget)'' sizes of raisins shall meet U.S. 
Grade C tolerances with respect to pieces of stem, and underdeveloped 
and substandard raisins. The word ``midget'' is redundant with the term 
``small,'' and its removal is insignificant.
    Pursuant to the recommendation of the committee and consistent with 
the recent amendment of the standards, the word ``midget'' is removed 
from the order language.
    The committee's recommendations to delete the word ``midget'' from 
the order and the standards necessitates a corresponding change to the 
import requirements.
    Under the raisin import regulations, in paragraph (b)(1) of section 
999.300, raisins imported into the United States are required to meet 
the same or comparable grade, size, quality, or maturity requirements 
as those in effect for the domestically-produced commodities, when such 
commodities are regulated under an order. With the removal of the word 
``midget'' from both the standards and the order, removal of ``midget'' 
is required under the import regulations.
    Removal of the word ``midget'' should not impact the application of 
the order or the import regulations, since the word ``midget'' is 
redundant and appears in parentheses after the word ``small.'' Thus, 
removing the word ``midget'' has no effect on interpretation of the 
order or the import regulations; and, therefore, has no effect on 
raisin importers.
    The final rule removing the word ``midget'' from the standards was 
published in the Federal Register on June 23, 2016 (81 FR 40779). Thus, 
this rule will make the order and the import regulations consistent 
with the standards, as recently revised.

Final Regulatory Flexibility Analysis

    Pursuant to requirements set forth in the Regulatory Flexibility 
Act (RFA), the Agricultural Marketing Service (AMS) has considered the 
economic impact of this action on small entities. Accordingly, AMS has 
prepared this final regulatory flexibility analysis.
    The purpose of the RFA is to fit regulatory actions to the scale of 
businesses subject to such actions in order that small businesses will 
not be unduly or disproportionately burdened. Marketing orders issued 
pursuant to the Act, and rules issued thereunder, are unique in that 
they are brought about through group action of essentially small 
entities acting on their own behalf.
    There are approximately 3,000 producers of California raisins and 
approximately 24 handlers subject to regulation under the marketing 
order. There are approximately 52 importers of raisins as well.
    The Small Business Administration defines small agricultural 
producers as those having annual receipts less than $750,000, and 
defines small agricultural service firms, such as handlers and 
importers, as those whose annual receipts are less than $7,500,000. (13 
CFR 121.201.)
    There are approximately 3,000 California raisin producers and 24 
handlers subject to regulation under the marketing order. The Small 
Business Administration defines small agricultural producers as those 
having annual receipts less than $750,000, and defines small 
agricultural service firms, such as handlers and importers, as those 
whose annual receipts are less than $7,500,000 (13 CFR 121.201).
    Based on shipment data and other information provided by the 
committee, most producers and approximately 13 handlers of California 
raisins may be classified as small entities. This action should not 
have any impact on handlers' or growers' benefits or costs.
    There is very limited information on the 52 importers. This action 
should not have any impact on importers' costs.
    This rule removes the word ``midget'' from the order regulations in 
section 989.702(a) and from the import regulations in section 
999.300(b)(1), bringing the order and the import regulations into 
conformance with the recent amendment to the standards.
    In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. 
Chapter 35), the order's information collection requirements have been 
previously approved by the Office of Management and Budget (OMB) and 
assigned OMB No. 0581-0178, ``Vegetable and Specialty Crops.'' No 
changes in those requirements as a result of this action are necessary. 
Should any changes become necessary, they would be submitted to OMB for 
approval.
    This rule will not impose any additional reporting or recordkeeping 
requirements on either large or small raisin handlers or on raisin 
importers. As with all Federal marketing order programs, reports and 
forms are periodically reviewed to reduce information requirements and 
duplication by industry and public sector agencies. In addition, USDA 
has not identified any relevant Federal rules that duplicate, overlap 
or conflict with this final rule.
    AMS is committed to complying with the E-Government Act, to promote 
the use of the Internet and other information technologies to provide 
increased opportunities for citizen access to Government information 
and services, and for other purposes.
    Further, the committee's meetings were widely publicized throughout 
the California raisin industry and all interested persons were invited 
to attend the meetings and encouraged to participate in committee 
deliberations on all issues. Like all committee meetings, the June 26, 
2014, and August 14, 2014, meetings were public meetings and all 
entities, both large and small, were encouraged to express their views 
on this issue.
    A proposed rule was published in the Federal Register on September 
16, 2016 (81 FR 63723). Copies of the rule were provided to California 
raisin handlers and committee members. Finally, the rule was made 
available through the Internet by USDA and the Office of the Federal 
Register. A 30-day comment period ending October 17, 2016, was provided 
for interested persons to respond to the proposal. One supportive 
comment was received. Accordingly, no changes are being made to the 
rule.
    A small business guide on complying with fruit, vegetable, and 
specialty crop marketing agreements and orders may be viewed at: http://www.ams.usda.gov/rules-regulations/moa/small-businesses. Any questions 
about the compliance guide should be sent to Richard Lower at the 
previously-mentioned address in the FOR FURTHER INFORMATION CONTACT 
section.
    In accordance with section 8e of the Act, the United States Trade 
Representative has concurred with this action.
    After consideration of all relevant material presented, including 
the information and recommendation submitted by the committee and other

[[Page 84403]]

available information, it is hereby found that this rule, as 
hereinafter set forth, will tend to effectuate the declared policy of 
the Act.
    Pursuant to 5 U.S.C. 553, it is also found and determined that good 
cause exists for not postponing the effective date of this rule until 
30 days after publication in the Federal Register because removal of 
the word ``midget'' should not impact the application of the order or 
the import regulations, since the word ``midget'' is redundant and 
appears in parentheses after the word ``small.'' Thus, removing the 
word ``midget'' has no effect on interpretation of the order or the 
import regulations; and, therefore, has no effect on handlers or raisin 
importers. Further, handlers are aware of this rule, which was 
recommended at two public meetings. Also, a 30-day comment period was 
provided for in the proposed rule.

List of Subjects

7 CFR Part 989

    Grapes, Marketing agreements, Raisins, Reporting and recordkeeping 
requirements.

7 CFR Part 999

    Dates, Filberts, Food grades and standards, Imports, Nuts, Prunes, 
Raisins, Reporting and recordkeeping requirements, Walnuts.

    For the reasons set forth in the preamble, 7 CFR parts 989 and 999 
are amended as follows:

PART 989--RAISINS PRODUCED FROM GRAPES GROWN IN CALIFORNIA

0
1. The authority citation for 7 CFR part 989 continues to read as 
follows:

    Authority:  7 U.S.C. 601-674.


Sec.  989.702   [Amended]

0
2. Paragraph (a) of Sec.  989.702 is amended by removing ``small 
(midget-sized)'' and adding ``small sized'' in its place.

PART 999--SPECIALTY CROPS; IMPORT REGULATIONS

0
3. The authority citation for 7 CFR part 999 continues to read as 
follows:

    Authority:  7 U.S.C. 601-674.

0
4. Paragraph (b)(1) of Sec.  999.300 is amended by removing '' small 
(midget) sized'' and adding ``small sized'' in its place.

    Dated: November 18, 2016.
Elanor Starmer,
Administrator, Agricultural Marketing Service.
[FR Doc. 2016-28251 Filed 11-22-16; 8:45 am]
 BILLING CODE 3410-02-P