[Federal Register Volume 84, Number 32 (Friday, February 15, 2019)]
[Rules and Regulations]
[Pages 4307-4309]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-02517]
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Rules and Regulations
Federal Register
________________________________________________________________________
This section of the FEDERAL REGISTER contains regulatory documents
having general applicability and legal effect, most of which are keyed
to and codified in the Code of Federal Regulations, which is published
under 50 titles pursuant to 44 U.S.C. 1510.
The Code of Federal Regulations is sold by the Superintendent of Documents.
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Federal Register / Vol. 84, No. 32 / Friday, February 15, 2019 /
Rules and Regulations
[[Page 4307]]
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 932
[Doc. No. AMS-SC-18-0061; SC18-932-1 FR]
Olives Grown in California; Establish Procedures To Meet Via
Electronic Communications
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Final rule.
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SUMMARY: This rule implements a recommendation from the California
Olive Committee (Committee) to establish procedures to conduct meetings
and voting using electronic means of communication.
DATES: Effective March 18, 2019.
FOR FURTHER INFORMATION CONTACT: Kathie Notoro, Marketing Specialist,
or Terry Vawter, Senior Marketing Specialist, 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 action, pursuant to 5 U.S.C. 553,
amends regulations issued to carry out a marketing order as defined in
7 CFR 900.2(j). This rule is issued under Marketing Agreement and Order
No. 932, as amended (7 CFR part 932), regulating the handling of olives
grown in California. Part 932 (referred to as 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.'' The
Committee locally administers the Order and is comprised of producers
and handlers of olives operating within the area of production.
The Department of Agriculture (USDA) is issuing this rule in
conformance with Executive Orders 13563 and 13175. This action falls
within a category of regulatory actions that the Office of Management
and Budget (OMB) exempted from Executive Order 12866 review.
Additionally, because this rule does not meet the definition of a
significant regulatory action, it does not trigger the requirements
contained in Executive Order 13771. See OMB's Memorandum titled
``Interim Guidance Implementing Section 2 of the Executive Order of
January 30, 2017, titled `Reducing Regulation and Controlling
Regulatory Costs'[thinsp]'' (February 2, 2017).
This 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. Such
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.
On May 17, 2018 (83 FR 22831), the Agricultural Marketing Service
published a final rule amending 7 CFR part 900, the general regulations
for federal fruit, vegetable, and specialty crop marketing agreements
and orders, to authorize the use of electronic means of communication
for meetings and voting.
During a meeting on June 13, 2018, the Committee unanimously
recommended adoption of modern communication methods to conduct
Committee meetings, as outlined in the Federal Register final rule
referenced above (83 FR 22831). On August 17, 2018, the Committee
unanimously approved the recommended procedures for the use of
communication technology. This rule establishes those procedures in a
new Sec. 932.136, Use of communication technology under Subpart B--
Administrative Requirements.
The Order currently states that the Committee may only meet in
assembled, in-person, meetings and that voting may only be conducted at
meetings or via mail or telegraph. Such limitations present logistical
problems for many Committee members since membership is widely
distributed across California. Some members travel over 400 miles to
attend a Committee meeting, thus resulting in lost work hours and
increased costs for the Committee. Allowing the Committee to conduct
meetings via electronic means of communication will likely result in
increased member participation and productivity at a reduced cost, as
well as greater potential for meeting quorum and voting requirements.
The Committee recommended that audio or audiovisual technology
(AVT) that facilitates open communication and effectively assembles
Committee members be used to conduct meetings by AVT or partial in-
person meetings (meaning some members not present participate in an in-
person meeting via technology). These meetings are subject to the same
quorum and voting requirements currently in effect for in-person
meetings under Sec. 932.36. These requirements define a quorum as a
majority of the 16-member Committee, of which at least half are
producer members and half are handler members. Voting requirements
state that a passing recommendation must receive a majority vote, with
at least half of the voting members representing producers and half
representing handlers. For recommendations regarding grade and size, a
minimum of ten votes representing five producer and five handler
members are necessary for approval. The requirements further state that
issues to be voted on shall be explained accurately and fully, and that
[[Page 4308]]
all votes cast will be confirmed through a roll call.
Regarding casting votes electronically, those votes are subject to
the same requirements currently in effect for mail voting in Sec.
932.36. These requirements state that advanced notice, as well as an
accurate, full and identical description of the issues to be voted on,
be given to all members. For a recommendation to pass, at least 14
affirmative votes representing seven producer and seven handler members
are required.
The Committee recommended these changes to provide an opportunity
to conduct meetings more efficiently and cost-effectively; use of audio
and/or audiovisual communication technology will result in time and
cost savings to the Committee and its members by allowing for meetings
to be conducted with all or a portion of its membership attending by
audio and/or AVT.
Final Regulatory Flexibility Analysis
Pursuant to requirements set forth in the Regulatory Flexibility
Act (RFA) (5 U.S.C. 601-612), 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 1,100 producers of olives in the production
area and two handlers subject to regulation under the Order. Small
agricultural producers are defined by the Small Business Administration
(SBA) as those having annual receipts less than $750,000, and small
agricultural service firms are defined as those whose annual receipts
are less than $7,500,000 (13 CFR 121.201).
Based on National Agricultural Statistics Service (NASS)
information, the average price to producers for the 2017 crop year was
$974.00 per ton, and total assessable volume for the 2017 crop year was
83,799 tons. Based on production, price paid to producers, and the
total number of California olive producers, the average annual producer
revenue is less than $750,000 ($974.00 times 83,799 tons equals
$81,620,226, divided by 1,100 producers equals an average annual
producer revenue of $74,200). Based on Committee data, both handlers
may be classified as large entities under the SBA's definitions because
their annual receipts are greater than $7,500,000.
This rule does not impose additional costs on handlers or producers
of any size. Committee members are expected to see a reduction in their
travel expenses and time lost from work to attend Committee meetings in
person. Thus, this rule reduces the cost burden on both handlers and
producers.
The Committee considered the alternative of making no changes to
the regulations. However, it was determined that by taking no action,
the Committee is unnecessarily limiting the participation of some
members due to time constraints and travel considerations. Therefore,
the Committee determined that recommending this change was in the best
interest of the Committee, its members, and the industry.
Like all Committee meetings, the June 13, 2018, meeting was public
and widely publicized throughout the production area. All entities,
both large and small, were able to express their views on this issue
and participate in Committee deliberations. Following the meeting,
ballots along with the proposed procedures were sent to all Committee
members on July 31, 2018, and the mail vote concluded on August 17,
2018. The proposal received unanimous support.
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 OMB and assigned OMB No. 0581-0178 Vegetable
Crops. No changes in those requirements are necessary because of this
action. Should any changes become necessary, they would be submitted to
OMB for approval.
This rule imposes no additional reporting or recordkeeping
requirements on either small or large California olive handlers. 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.
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.
USDA has not identified any relevant Federal rules that duplicate,
overlap, or conflict with this final 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.
A proposed rule concerning this action was published in the Federal
Register on November 16, 2018 (83 FR 57691). Copies of the proposed
rule were provided to all olive producers and handlers. The proposal
was also made available through the internet by USDA and the Office of
Federal Register. A 30-day comment period ending December 17, 2018, was
provided for interested persons to respond to the proposal.
One comment was received stating that all information communicated
should be placed on the labels of jars of olives. After further review
of the comment, it was determined to be outside the scope of this
action. Accordingly, no changes will be made to the rule as proposed,
based on the comment received.
After consideration of all relevant material presented, including
the information and recommendation submitted by the Committee and other
available information, it is hereby found that this rule will tend to
effectuate the declared policy of the Act.
List of Subjects in 7 CFR Part 932
Marketing agreements, Olives, Reporting and recordkeeping
requirements.
For the reasons set forth in the preamble, 7 CFR part 932 is
amended as follows:
PART 932--OLIVES GROWN IN CALIFORNIA
0
1. The authority citation for 7 CFR part 932 continues to read as
follows:
Authority: 7 U.S.C. 601-674.
0
2. Add Sec. 932.136 to subpart B to read as follows:
Sec. 932.136 Use of communication technology.
The Committee may conduct meetings by any means of audio and/or
audiovisual communication technology available that effectively
assembles members and alternates, and facilitates open communication;
Provided, That, quorum and voting requirements specified in Sec.
932.36 for physically assembled meetings shall apply. The Committee may
also vote electronically; Provided, That, such voting shall be subject
to the same requirements specified for mail voting in Sec. 932.36.
[[Page 4309]]
Dated: February 12, 2019.
Bruce Summers,
Administrator, Agricultural Marketing Service.
[FR Doc. 2019-02517 Filed 2-14-19; 8:45 am]
BILLING CODE 3410-02-P