80_FR_17059 80 FR 16998 - Grapes Grown in a Designated Area of Southeastern California; Increased Assessment Rate

80 FR 16998 - Grapes Grown in a Designated Area of Southeastern California; Increased Assessment Rate

DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service

Federal Register Volume 80, Issue 61 (March 31, 2015)

Page Range16998-17000
FR Document2015-07370

This proposed rule would implement a recommendation from the California Desert Grape Administrative Committee (Committee) to increase the assessment rate for the 2015 and subsequent fiscal periods from $0.0200 to $0.0250 per 18-pound lug of grapes handled. The Committee locally administers the marketing order and is comprised of producers and handlers of grapes grown and handled in a designated area of southeastern California. Assessments upon grape handlers are used by the Committee to fund reasonable and necessary expenses of the program. The fiscal period began on January 1 and ends December 31. The assessment rate would remain in effect indefinitely unless modified, suspended, or terminated.

Federal Register, Volume 80 Issue 61 (Tuesday, March 31, 2015)
[Federal Register Volume 80, Number 61 (Tuesday, March 31, 2015)]
[Proposed Rules]
[Pages 16998-17000]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2015-07370]


========================================================================
Proposed Rules
                                                Federal Register
________________________________________________________________________

This section of the FEDERAL REGISTER contains notices to the public of 
the proposed issuance of rules and regulations. The purpose of these 
notices is to give interested persons an opportunity to participate in 
the rule making prior to the adoption of the final rules.

========================================================================


Federal Register / Vol. 80, No. 61 / Tuesday, March 31, 2015 / 
Proposed Rules

[[Page 16998]]



DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 925

[Doc. No. AMS-FV-14-0106; FV15-925-2]


Grapes Grown in a Designated Area of Southeastern California; 
Increased Assessment Rate

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Proposed rule.

-----------------------------------------------------------------------

SUMMARY: This proposed rule would implement a recommendation from the 
California Desert Grape Administrative Committee (Committee) to 
increase the assessment rate for the 2015 and subsequent fiscal periods 
from $0.0200 to $0.0250 per 18-pound lug of grapes handled. The 
Committee locally administers the marketing order and is comprised of 
producers and handlers of grapes grown and handled in a designated area 
of southeastern California. Assessments upon grape handlers are used by 
the Committee to fund reasonable and necessary expenses of the program. 
The fiscal period began on January 1 and ends December 31. The 
assessment rate would remain in effect indefinitely unless modified, 
suspended, or terminated.

DATES: Comments must be received by April 15, 2015.

ADDRESSES: Interested persons are invited to submit written comments 
concerning this proposed rule. Comments must be sent to the Docket 
Clerk, Marketing Order and Agreement Division, Fruit and Vegetable 
Program, AMS, USDA, 1400 Independence Avenue SW., STOP 0237, 
Washington, DC 20250-0237; Fax: (202) 720-8938; or Internet: http://www.regulations.gov. Comments should reference the docket number and 
the date and page number of this issue of the Federal Register and will 
be available for public inspection in the Office of the Docket Clerk 
during regular business hours, or can be viewed at: http://www.regulations.gov. All comments submitted in response to this 
proposed rule will be included in the record and will be made available 
to the public. Please be advised that the identity of the individuals 
or entities submitting the comments will be made public on the internet 
at the address provided above.

FOR FURTHER INFORMATION CONTACT: Kathie Notoro, Marketing Specialist, 
or Martin Engeler, Regional Director, California Marketing Field 
Office, Marketing Order and Agreement Division, Fruit and Vegetable 
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 Jeffrey Smutny, Marketing Order and Agreement 
Division, Fruit and Vegetable 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 proposed rule is issued under Marketing 
Order No. 925 (7 CFR part 925), regulating the handling of grapes grown 
in a designated area of southeastern 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.''
    The Department of Agriculture (USDA) is issuing this proposed rule 
in conformance with Executive Orders 12866, 13563, and 13175.
    This proposed rule has been reviewed under Executive Order 12988, 
Civil Justice Reform. Under the marketing order now in effect, grape 
handlers in a designated area of southeastern California are subject to 
assessments. Funds to administer the order are derived from such 
assessments. It is intended that the assessment rate as proposed herein 
would be applicable to all assessable grapes beginning on January 1, 
2015, and continue until amended, suspended, or terminated.
    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.
    This proposed rule would increase the assessment rate established 
for the Committee for the 2015 and subsequent fiscal periods from 
$0.0200 to $0.0250 per 18-pound lug of grapes handled.
    The grape order provides authority for the Committee, with the 
approval of USDA, to formulate an annual budget of expenses and collect 
assessments from handlers to administer the program. The members of the 
Committee are producers and handlers of grapes grown in a designated 
area of southeastern California. They are familiar with the Committee's 
needs and with the costs of goods and services in their local area and 
are thus in a position to formulate an appropriate budget and 
assessment rate. The assessment rate is formulated and discussed in a 
public meeting. Thus, all directly affected persons have an opportunity 
to participate and provide input.
    For the 2014 and subsequent fiscal periods, the Committee 
recommended, and the USDA approved, an assessment rate that would 
continue in effect from fiscal period to fiscal period unless modified, 
suspended, or terminated by USDA based upon recommendation and 
information submitted by the Committee or other information available 
to USDA.
    The Committee met on October 30, 2014, and unanimously recommended 
2015 expenditures of $135,500, a contingency reserve fund of $9,500, 
and an assessment rate of $0.0250 per 18-pound lug of grapes handled. 
In comparison, last year's budgeted expenditures were $110,000. The 
Committee recommended a crop estimate of 5,800,000 18-pound lugs, which 
is higher than the 5,500,000 18-pound lugs handled last year. The 
Committee also recommended carrying

[[Page 16999]]

over a financial reserve of $40,000, which would increase to $49,500 if 
the contingency fund is not expended. The assessment rate of $0.0250 
per 18-pound lug of grapes handled recommended by the Committee is 
$0.0050 higher than the $0.0200 rate currently in effect. The higher 
assessment rate, applied to shipments of 5,800,000 18-pound lugs, would 
generate $145,000 in revenue and be sufficient to cover the anticipated 
expenses.
    The major expenditures recommended by the Committee for the 2015 
fiscal period include $15,500 for research, $17,000 for general office 
expenses, $62,750 for management and compliance expenses, $25,000 for 
research and preparation of materials such as the Committee's annual 
marketing policy statement, and $9,500 for a contingency reserve. The 
$15,500 research project is a continuation of a vine study in progress 
by the University of California, Riverside. In comparison, major 
expenditures for the 2014 fiscal period included $15,500 for research, 
$22,000 for general office expenses, and $62,500 for management and 
compliance expenses. Overall 2015 expenditures include an increase in 
management and compliance expenses and a decrease in general office 
expenses, and additional funds for a contingency reserve.
    The assessment rate recommended by the Committee was derived by 
evaluating several factors, including estimated shipments for the 2015 
season, budgeted expenses, and the level of available financial 
reserves. The Committee determined that the $0.0250 assessment rate 
would generate $145,000 in revenue to cover the budgeted expenses of 
$135,500, and a contingency reserve fund of $9,500.
    Reserve funds by the end of 2015 are projected to be $40,000 if the 
$9,500 added to the contingency fund is expended or $49,500 if it is 
not expended. Both amounts are well within the amount authorized under 
the order. Section 925.41 of the order permits the Committee to 
maintain approximately one fiscal period's expenses in reserve.
    The proposed assessment rate would continue in effect indefinitely 
unless modified, suspended, or terminated by USDA based upon a 
recommendation and information submitted by the Committee or other 
available information.
    Although this assessment rate would be in effect for an indefinite 
period, the Committee would continue to meet prior to or during each 
fiscal period to recommend a budget of expenses and consider 
recommendations for modification of the assessment rate. The dates and 
times of Committee meetings are available from the Committee or USDA. 
Committee meetings are open to the public and interested persons may 
express their views at these meetings. USDA would evaluate the 
Committee's recommendations and other available information to 
determine whether modification of the assessment rate is needed. 
Further rulemaking would be undertaken as necessary. The Committee's 
2015 budget and those for subsequent fiscal periods would be reviewed 
and, as appropriate, approved by USDA.

Initial 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 proposed rule on small 
entities. Accordingly, AMS has prepared this initial 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 the 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 14 handlers of southeastern California 
grapes who are subject to regulation under the marketing order and 
about 41 grape producers in the production area. Small agricultural 
service firms are defined by the Small Business Administration (13 CFR 
121.201) as those having annual receipts of less than $7,000,000, and 
small agricultural producers are defined as those whose annual receipts 
are less than $750,000. Eleven of the 14 handlers subject to regulation 
have annual grape sales of less than $7,000,000, according to USDA 
Market News Service and Committee data. In addition, information from 
the Committee and USDA's Market News indicates that at least 10 of 41 
producers have annual receipts of less than $750,000. Thus, it may be 
concluded that a majority of the grape handlers regulated under the 
order and about 10 of the producers could be classified as small 
entities under the Small Business Administration's definitions.
    This proposed rule would increase the assessment rate established 
for the Committee and collected from handlers for the 2015 and 
subsequent fiscal periods from $0.0200 to $0.0250 per 18-pound lug of 
grapes. The Committee unanimously recommended 2015 expenditures of 
$135,500, a contingency reserve fund of $9,500, and an assessment rate 
of $0.0250 per 18-pound lug of grapes handled. The proposed assessment 
rate of $0.0250 is $0.0050 higher than the 2014 rate currently in 
effect. The quantity of assessable grapes for the 2015 season is 
estimated at 5,800,000 18-pound lugs. Thus, the $0.0250 rate should 
generate $145,000 in income. In addition, reserve funds at the end of 
the year are projected to be $49,500, which is well within the order's 
limitation of approximately one fiscal period's expenses.
    The major expenditures recommended by the Committee for the 2015 
fiscal period include $15,500 for research, $17,000 for general office 
expenses, $62,750 for management and compliance expenses, $25,000 for 
research and preparation of materials such as the Committee's annual 
marketing policy statement, and $9,500 for the contingency reserve. In 
comparison, major expenditures for the 2014 fiscal period included 
$15,500 for research, $22,000 for general office expenses, and $62,500 
for management and compliance expenses. Overall expenditures included 
an increase in management and compliance expenses and a decrease in 
general office expenses, and funding of a contingency reserve.
    Prior to arriving at this budget, the Committee considered 
alternative expenditures and assessment rates, to include not 
increasing the $0.0200 assessment rate currently in effect. Based on a 
crop estimate of 5,800,000 18-pound lugs, the Committee ultimately 
determined that increasing the assessment rate to $0.0250 would 
generate sufficient funds to cover budgeted expenses. Reserve funds at 
the end of the 2015 fiscal period are projected to be $40,000 if the 
$9,500 contingency fund is expended or $49,500 if it is not expended. 
These amounts are well within the amount authorized under the order.
    A review of historical crop and price information, as well as 
preliminary information pertaining to the upcoming fiscal period, 
indicates that the producer price for the 2014 season averaged about 
$22.00 per 18-pound lug of California grapes handled. If the 2015 
producer price is similar to the 2014 price, estimated assessment 
revenue as a percentage of total estimated producer revenue would be 
0.11 percent for the 2015 season ($0.0250 divided by $22.00 per 18-
pound lug).
    This action would increase the assessment obligation imposed on 
handlers. While assessments impose

[[Page 17000]]

some additional costs on handlers, the costs are minimal and uniform on 
all handlers. Some of the additional costs may be passed on to 
producers. However, these costs would be offset by the benefits derived 
from the operation of the marketing order. In addition, the Executive 
Subcommittee and the Committee's meetings were widely publicized 
throughout the grape production area and all interested persons were 
invited to attend and participate in Committee deliberations on all 
issues. Like all Committee meetings, the October 30, 2014, meeting was 
a public meeting and all entities, both large and small, were able to 
express views on this issue. Finally, interested persons are invited to 
submit comments on this proposed rule, including the regulatory and 
informational impacts of this action on small businesses.
    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. 0581-0189. 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 proposed rule would impose no additional reporting or 
recordkeeping requirements on either small or large California grape 
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 action.
    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/MarketingOrdersSmallBusinessGuide. Any questions 
about the compliance guide should be sent to Jeffrey Smutny at the 
previously-mentioned address in the FOR FURTHER INFORMATION CONTACT 
section.
    A 15-day comment period is provided to allow interested persons to 
respond to this proposed rule. Fifteen days is deemed appropriate 
because: (1) The 2015 fiscal period began on January 1, 2015, and the 
order requires that the rate of assessment for each fiscal period apply 
to all assessable grapes handled during such fiscal period; (2) the 
Committee needs to have sufficient funds to pay its expenses, which are 
incurred on a continuous basis; and (3) handlers are aware of this 
action, which was unanimously recommended by the Committee at a public 
meeting and is similar to other assessment rate actions issued in past 
years.

List of Subjects in 7 CFR Part 925

    Grapes, Marketing agreements, Reporting and recordkeeping 
requirements.

    For the reasons set forth in the preamble, 7 CFR part 925 is 
proposed to be amended as follows:

PART 925--GRAPES GROWN IN A DESIGNATED AREA OF SOUTHEASTERN 
CALIFORNIA

0
1. The authority citation for 7 CFR part 925 continues to read as 
follows:

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

0
2. Section 925.215 is revised to read as follows:


Sec.  925.215  Assessment rate.

    On and after January 1, 2015, an assessment rate of $0.0250 per 18-
pound lug is established for grapes grown in a designated area of 
southeastern California.

    Dated: March 26, 2015.
Rex A. Barnes,
Associate Administrator, Agricultural Marketing Service.
[FR Doc. 2015-07370 Filed 3-30-15; 8:45 am]
 BILLING CODE 3410-02-P



                                                      16998

                                                      Proposed Rules                                                                                                Federal Register
                                                                                                                                                                    Vol. 80, No. 61

                                                                                                                                                                    Tuesday, March 31, 2015



                                                      This section of the FEDERAL REGISTER                    comments submitted in response to this                obligation imposed in connection with
                                                      contains notices to the public of the proposed          proposed rule will be included in the                 the order is not in accordance with law
                                                      issuance of rules and regulations. The                  record and will be made available to the              and request a modification of the order
                                                      purpose of these notices is to give interested          public. Please be advised that the                    or to be exempted therefrom. Such
                                                      persons an opportunity to participate in the            identity of the individuals or entities               handler is afforded the opportunity for
                                                      rule making prior to the adoption of the final
                                                      rules.
                                                                                                              submitting the comments will be made                  a hearing on the petition. After the
                                                                                                              public on the internet at the address                 hearing, USDA would rule on the
                                                                                                              provided above.                                       petition. The Act provides that the
                                                      DEPARTMENT OF AGRICULTURE                               FOR FURTHER INFORMATION CONTACT:                      district court of the United States in any
                                                                                                              Kathie Notoro, Marketing Specialist, or               district in which the handler is an
                                                      Agricultural Marketing Service                          Martin Engeler, Regional Director,                    inhabitant, or has his or her principal
                                                                                                              California Marketing Field Office,                    place of business, has jurisdiction to
                                                      7 CFR Part 925                                          Marketing Order and Agreement                         review USDA’s ruling on the petition,
                                                      [Doc. No. AMS–FV–14–0106; FV15–925–2]                   Division, Fruit and Vegetable Program,                provided an action is filed not later than
                                                                                                              AMS, USDA; Telephone: (559) 487–                      20 days after the date of the entry of the
                                                      Grapes Grown in a Designated Area of                    5901, Fax: (559) 487–5906, or Email:                  ruling.
                                                      Southeastern California; Increased                      Kathie.Notoro@ams.usda.gov or                            This proposed rule would increase
                                                      Assessment Rate                                         Martin.Engeler@ams.usda.gov.                          the assessment rate established for the
                                                                                                                 Small businesses may request                       Committee for the 2015 and subsequent
                                                      AGENCY:  Agricultural Marketing Service,                information on complying with this                    fiscal periods from $0.0200 to $0.0250
                                                      USDA.                                                   regulation by contacting Jeffrey Smutny,              per 18-pound lug of grapes handled.
                                                      ACTION: Proposed rule.                                  Marketing Order and Agreement                            The grape order provides authority for
                                                                                                              Division, Fruit and Vegetable Program,                the Committee, with the approval of
                                                      SUMMARY:    This proposed rule would                    AMS, USDA, 1400 Independence                          USDA, to formulate an annual budget of
                                                      implement a recommendation from the                     Avenue SW., STOP 0237, Washington,                    expenses and collect assessments from
                                                      California Desert Grape Administrative                  DC 20250–0237; Telephone: (202) 720–                  handlers to administer the program. The
                                                      Committee (Committee) to increase the                   2491, Fax: (202) 720–8938, or Email:                  members of the Committee are
                                                      assessment rate for the 2015 and                        Jeffrey.Smutny@ams.usda.gov.                          producers and handlers of grapes grown
                                                      subsequent fiscal periods from $0.0200                                                                        in a designated area of southeastern
                                                                                                              SUPPLEMENTARY INFORMATION: This
                                                      to $0.0250 per 18-pound lug of grapes                                                                         California. They are familiar with the
                                                                                                              proposed rule is issued under Marketing
                                                      handled. The Committee locally                                                                                Committee’s needs and with the costs of
                                                                                                              Order No. 925 (7 CFR part 925),
                                                      administers the marketing order and is                                                                        goods and services in their local area
                                                                                                              regulating the handling of grapes grown
                                                      comprised of producers and handlers of                                                                        and are thus in a position to formulate
                                                                                                              in a designated area of southeastern
                                                      grapes grown and handled in a                                                                                 an appropriate budget and assessment
                                                                                                              California, hereinafter referred to as the
                                                      designated area of southeastern                                                                               rate. The assessment rate is formulated
                                                                                                              ‘‘order.’’ The order is effective under the
                                                      California. Assessments upon grape                                                                            and discussed in a public meeting.
                                                                                                              Agricultural Marketing Agreement Act
                                                      handlers are used by the Committee to                                                                         Thus, all directly affected persons have
                                                                                                              of 1937, as amended (7 U.S.C. 601–674),
                                                      fund reasonable and necessary expenses                                                                        an opportunity to participate and
                                                                                                              hereinafter referred to as the ‘‘Act.’’
                                                      of the program. The fiscal period began                                                                       provide input.
                                                                                                                 The Department of Agriculture
                                                      on January 1 and ends December 31.                                                                               For the 2014 and subsequent fiscal
                                                                                                              (USDA) is issuing this proposed rule in
                                                      The assessment rate would remain in                                                                           periods, the Committee recommended,
                                                                                                              conformance with Executive Orders
                                                      effect indefinitely unless modified,                                                                          and the USDA approved, an assessment
                                                                                                              12866, 13563, and 13175.
                                                      suspended, or terminated.                                  This proposed rule has been reviewed               rate that would continue in effect from
                                                      DATES: Comments must be received by                     under Executive Order 12988, Civil                    fiscal period to fiscal period unless
                                                      April 15, 2015.                                         Justice Reform. Under the marketing                   modified, suspended, or terminated by
                                                      ADDRESSES: Interested persons are                       order now in effect, grape handlers in a              USDA based upon recommendation and
                                                      invited to submit written comments                      designated area of southeastern                       information submitted by the
                                                      concerning this proposed rule.                          California are subject to assessments.                Committee or other information
                                                      Comments must be sent to the Docket                     Funds to administer the order are                     available to USDA.
                                                      Clerk, Marketing Order and Agreement                    derived from such assessments. It is                     The Committee met on October 30,
                                                      Division, Fruit and Vegetable Program,                  intended that the assessment rate as                  2014, and unanimously recommended
                                                      AMS, USDA, 1400 Independence                            proposed herein would be applicable to                2015 expenditures of $135,500, a
                                                      Avenue SW., STOP 0237, Washington,                      all assessable grapes beginning on                    contingency reserve fund of $9,500, and
asabaliauskas on DSK5VPTVN1PROD with PROPOSALS




                                                      DC 20250–0237; Fax: (202) 720–8938; or                  January 1, 2015, and continue until                   an assessment rate of $0.0250 per 18-
                                                      Internet: http://www.regulations.gov.                   amended, suspended, or terminated.                    pound lug of grapes handled. In
                                                      Comments should reference the docket                       The Act provides that administrative               comparison, last year’s budgeted
                                                      number and the date and page number                     proceedings must be exhausted before                  expenditures were $110,000. The
                                                      of this issue of the Federal Register and               parties may file suit in court. Under                 Committee recommended a crop
                                                      will be available for public inspection in              section 608c(15)(A) of the Act, any                   estimate of 5,800,000 18-pound lugs,
                                                      the Office of the Docket Clerk during                   handler subject to an order may file                  which is higher than the 5,500,000 18-
                                                      regular business hours, or can be viewed                with USDA a petition stating that the                 pound lugs handled last year. The
                                                      at: http://www.regulations.gov. All                     order, any provision of the order, or any             Committee also recommended carrying


                                                 VerDate Sep<11>2014   18:18 Mar 30, 2015   Jkt 235001   PO 00000   Frm 00001   Fmt 4702   Sfmt 4702   E:\FR\FM\31MRP1.SGM   31MRP1


                                                                              Federal Register / Vol. 80, No. 61 / Tuesday, March 31, 2015 / Proposed Rules                                           16999

                                                      over a financial reserve of $40,000,                    modification of the assessment rate. The              unanimously recommended 2015
                                                      which would increase to $49,500 if the                  dates and times of Committee meetings                 expenditures of $135,500, a contingency
                                                      contingency fund is not expended. The                   are available from the Committee or                   reserve fund of $9,500, and an
                                                      assessment rate of $0.0250 per 18-pound                 USDA. Committee meetings are open to                  assessment rate of $0.0250 per 18-pound
                                                      lug of grapes handled recommended by                    the public and interested persons may                 lug of grapes handled. The proposed
                                                      the Committee is $0.0050 higher than                    express their views at these meetings.                assessment rate of $0.0250 is $0.0050
                                                      the $0.0200 rate currently in effect. The               USDA would evaluate the Committee’s                   higher than the 2014 rate currently in
                                                      higher assessment rate, applied to                      recommendations and other available                   effect. The quantity of assessable grapes
                                                      shipments of 5,800,000 18-pound lugs,                   information to determine whether                      for the 2015 season is estimated at
                                                      would generate $145,000 in revenue and                  modification of the assessment rate is                5,800,000 18-pound lugs. Thus, the
                                                      be sufficient to cover the anticipated                  needed. Further rulemaking would be                   $0.0250 rate should generate $145,000
                                                      expenses.                                               undertaken as necessary. The                          in income. In addition, reserve funds at
                                                        The major expenditures                                Committee’s 2015 budget and those for                 the end of the year are projected to be
                                                      recommended by the Committee for the                    subsequent fiscal periods would be                    $49,500, which is well within the
                                                      2015 fiscal period include $15,500 for                  reviewed and, as appropriate, approved                order’s limitation of approximately one
                                                      research, $17,000 for general office                    by USDA.                                              fiscal period’s expenses.
                                                      expenses, $62,750 for management and                                                                             The major expenditures
                                                      compliance expenses, $25,000 for                        Initial Regulatory Flexibility Analysis               recommended by the Committee for the
                                                      research and preparation of materials                     Pursuant to requirements set forth in               2015 fiscal period include $15,500 for
                                                      such as the Committee’s annual                          the Regulatory Flexibility Act (RFA) (5               research, $17,000 for general office
                                                      marketing policy statement, and $9,500                  U.S.C. 601–612), the Agricultural                     expenses, $62,750 for management and
                                                      for a contingency reserve. The $15,500                  Marketing Service (AMS) has                           compliance expenses, $25,000 for
                                                      research project is a continuation of a                 considered the economic impact of this                research and preparation of materials
                                                      vine study in progress by the University                proposed rule on small entities.                      such as the Committee’s annual
                                                      of California, Riverside. In comparison,                Accordingly, AMS has prepared this                    marketing policy statement, and $9,500
                                                      major expenditures for the 2014 fiscal                  initial regulatory flexibility analysis.              for the contingency reserve. In
                                                      period included $15,500 for research,                     The purpose of the RFA is to fit                    comparison, major expenditures for the
                                                      $22,000 for general office expenses, and                regulatory actions to the scale of                    2014 fiscal period included $15,500 for
                                                      $62,500 for management and                              businesses subject to such actions in                 research, $22,000 for general office
                                                      compliance expenses. Overall 2015                       order that small businesses will not be               expenses, and $62,500 for management
                                                      expenditures include an increase in                     unduly or disproportionately burdened.                and compliance expenses. Overall
                                                      management and compliance expenses                      Marketing orders issued pursuant to the               expenditures included an increase in
                                                      and a decrease in general office                        Act, and the rules issued thereunder, are             management and compliance expenses
                                                      expenses, and additional funds for a                    unique in that they are brought about                 and a decrease in general office
                                                      contingency reserve.                                    through group action of essentially                   expenses, and funding of a contingency
                                                        The assessment rate recommended by                    small entities acting on their own                    reserve.
                                                      the Committee was derived by                            behalf.                                                  Prior to arriving at this budget, the
                                                      evaluating several factors, including                     There are approximately 14 handlers                 Committee considered alternative
                                                      estimated shipments for the 2015                        of southeastern California grapes who                 expenditures and assessment rates, to
                                                      season, budgeted expenses, and the                      are subject to regulation under the                   include not increasing the $0.0200
                                                      level of available financial reserves. The              marketing order and about 41 grape                    assessment rate currently in effect.
                                                      Committee determined that the $0.0250                   producers in the production area. Small               Based on a crop estimate of 5,800,000
                                                      assessment rate would generate                          agricultural service firms are defined by             18-pound lugs, the Committee
                                                      $145,000 in revenue to cover the                        the Small Business Administration (13                 ultimately determined that increasing
                                                      budgeted expenses of $135,500, and a                    CFR 121.201) as those having annual                   the assessment rate to $0.0250 would
                                                      contingency reserve fund of $9,500.                     receipts of less than $7,000,000, and                 generate sufficient funds to cover
                                                        Reserve funds by the end of 2015 are                  small agricultural producers are defined              budgeted expenses. Reserve funds at the
                                                      projected to be $40,000 if the $9,500                   as those whose annual receipts are less               end of the 2015 fiscal period are
                                                      added to the contingency fund is                        than $750,000. Eleven of the 14                       projected to be $40,000 if the $9,500
                                                      expended or $49,500 if it is not                        handlers subject to regulation have                   contingency fund is expended or
                                                      expended. Both amounts are well                         annual grape sales of less than                       $49,500 if it is not expended. These
                                                      within the amount authorized under the                  $7,000,000, according to USDA Market                  amounts are well within the amount
                                                      order. Section 925.41 of the order                      News Service and Committee data. In                   authorized under the order.
                                                      permits the Committee to maintain                       addition, information from the                           A review of historical crop and price
                                                      approximately one fiscal period’s                       Committee and USDA’s Market News                      information, as well as preliminary
                                                      expenses in reserve.                                    indicates that at least 10 of 41 producers            information pertaining to the upcoming
                                                        The proposed assessment rate would                    have annual receipts of less than                     fiscal period, indicates that the producer
                                                      continue in effect indefinitely unless                  $750,000. Thus, it may be concluded                   price for the 2014 season averaged about
                                                      modified, suspended, or terminated by                   that a majority of the grape handlers                 $22.00 per 18-pound lug of California
                                                      USDA based upon a recommendation                        regulated under the order and about 10                grapes handled. If the 2015 producer
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                                                      and information submitted by the                        of the producers could be classified as               price is similar to the 2014 price,
                                                      Committee or other available                            small entities under the Small Business               estimated assessment revenue as a
                                                      information.                                            Administration’s definitions.                         percentage of total estimated producer
                                                        Although this assessment rate would                     This proposed rule would increase                   revenue would be 0.11 percent for the
                                                      be in effect for an indefinite period, the              the assessment rate established for the               2015 season ($0.0250 divided by $22.00
                                                      Committee would continue to meet                        Committee and collected from handlers                 per 18-pound lug).
                                                      prior to or during each fiscal period to                for the 2015 and subsequent fiscal                       This action would increase the
                                                      recommend a budget of expenses and                      periods from $0.0200 to $0.0250 per 18-               assessment obligation imposed on
                                                      consider recommendations for                            pound lug of grapes. The Committee                    handlers. While assessments impose


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                                                      17000                   Federal Register / Vol. 80, No. 61 / Tuesday, March 31, 2015 / Proposed Rules

                                                      some additional costs on handlers, the                  2015, and the order requires that the                 and –600 series airplanes. This
                                                      costs are minimal and uniform on all                    rate of assessment for each fiscal period             proposed AD was prompted by reports
                                                      handlers. Some of the additional costs                  apply to all assessable grapes handled                of cracks at certain frames of the
                                                      may be passed on to producers.                          during such fiscal period; (2) the                    forward cargo door. This proposed AD
                                                      However, these costs would be offset by                 Committee needs to have sufficient                    would require a detailed inspection for
                                                      the benefits derived from the operation                 funds to pay its expenses, which are                  cracking of certain forward cargo doors,
                                                      of the marketing order. In addition, the                incurred on a continuous basis; and (3)               and repair if necessary. We are
                                                      Executive Subcommittee and the                          handlers are aware of this action, which              proposing this AD to detect and correct
                                                      Committee’s meetings were widely                        was unanimously recommended by the                    cracking at certain frames, which could
                                                      publicized throughout the grape                         Committee at a public meeting and is                  result in the loss of structural integrity
                                                      production area and all interested                      similar to other assessment rate actions              of the forward cargo door.
                                                      persons were invited to attend and                      issued in past years.                                 DATES: We must receive comments on
                                                      participate in Committee deliberations                                                                        this proposed AD by May 15, 2015.
                                                      on all issues. Like all Committee                       List of Subjects in 7 CFR Part 925
                                                                                                                                                                    ADDRESSES: You may send comments,
                                                      meetings, the October 30, 2014, meeting                   Grapes, Marketing agreements,                       using the procedures found in 14 CFR
                                                      was a public meeting and all entities,                  Reporting and recordkeeping                           11.43 and 11.45, by any of the following
                                                      both large and small, were able to                      requirements.                                         methods:
                                                      express views on this issue. Finally,                     For the reasons set forth in the                      • Federal eRulemaking Portal: Go to
                                                      interested persons are invited to submit                preamble, 7 CFR part 925 is proposed to               http://www.regulations.gov. Follow the
                                                      comments on this proposed rule,                         be amended as follows:                                instructions for submitting comments.
                                                      including the regulatory and                                                                                    • Fax: 202–493–2251.
                                                      informational impacts of this action on                 PART 925—GRAPES GROWN IN A                              • Mail: U.S. Department of
                                                      small businesses.                                       DESIGNATED AREA OF                                    Transportation, Docket Operations, M–
                                                         In accordance with the Paperwork                     SOUTHEASTERN CALIFORNIA                               30, West Building Ground Floor, Room
                                                      Reduction Act of 1995 (44 U.S.C.
                                                                                                                                                                    W12–140, 1200 New Jersey Avenue SE.,
                                                      Chapter 35), the order’s information                    ■ 1. The authority citation for 7 CFR
                                                                                                                                                                    Washington, DC 20590.
                                                      collection requirements have been                       part 925 continues to read as follows:
                                                                                                                                                                      • Hand Delivery: U.S. Department of
                                                      previously approved by the Office of                        Authority: 7 U.S.C. 601–674.                      Transportation, Docket Operations, M–
                                                      Management and Budget (OMB) and
                                                                                                              ■ 2. Section 925.215 is revised to read               30, West Building Ground Floor, Room
                                                      assigned OMB No. 0581–0189. No
                                                      changes in those requirements as a                      as follows:                                           W12–140, 1200 New Jersey Avenue SE.,
                                                      result of this action are necessary.                                                                          Washington, DC, between 9 a.m. and 5
                                                                                                              § 925.215    Assessment rate.                         p.m., Monday through Friday, except
                                                      Should any changes become necessary,
                                                      they would be submitted to OMB for                        On and after January 1, 2015, an                    Federal holidays.
                                                      approval.                                               assessment rate of $0.0250 per 18-pound                 For service information identified in
                                                         This proposed rule would impose no                   lug is established for grapes grown in a              this proposed AD, contact Airbus SAS,
                                                      additional reporting or recordkeeping                   designated area of southeastern                       Airworthiness Office—EAL, 1 Rond
                                                      requirements on either small or large                   California.                                           Point Maurice Bellonte, 31707 Blagnac
                                                      California grape handlers. As with all                    Dated: March 26, 2015.                              Cedex, France; telephone +33 5 61 93 36
                                                      Federal marketing order programs,                       Rex A. Barnes,
                                                                                                                                                                    96; fax +33 5 61 93 45 80; email
                                                      reports and forms are periodically                                                                            airworthiness.A330-A340@airbus.com;
                                                                                                              Associate Administrator, Agricultural
                                                      reviewed to reduce information                          Marketing Service.
                                                                                                                                                                    Internet http://www.airbus.com. You
                                                      requirements and duplication by                                                                               may view this referenced service
                                                                                                              [FR Doc. 2015–07370 Filed 3–30–15; 8:45 am]
                                                      industry and public sector agencies.                                                                          information at the FAA, Transport
                                                                                                              BILLING CODE 3410–02–P
                                                         AMS is committed to complying with                                                                         Airplane Directorate, 1601 Lind Avenue
                                                      the E-Government Act, to promote the                                                                          SW., Renton, WA. For information on
                                                      use of the internet and other                                                                                 the availability of this material at the
                                                      information technologies to provide                     DEPARTMENT OF TRANSPORTATION                          FAA, call 425–227–1221.
                                                      increased opportunities for citizen                     Federal Aviation Administration                       Examining the AD Docket
                                                      access to Government information and
                                                      services, and for other purposes.                                                                                You may examine the AD docket on
                                                                                                              14 CFR Part 39                                        the Internet at http://
                                                         USDA has not identified any relevant
                                                      Federal rules that duplicate, overlap, or               [Docket No. FAA–2015–0675; Directorate                www.regulations.gov by searching for
                                                      conflict with this action.                              Identifier 2014–NM–213–AD]                            and locating Docket No. FAA–2015–
                                                         A small business guide on complying                                                                        0675; or in person at the Docket
                                                                                                              RIN 2120–AA64                                         Management Facility between 9 a.m.
                                                      with fruit, vegetable, and specialty crop
                                                      marketing agreements and orders may                                                                           and 5 p.m., Monday through Friday,
                                                                                                              Airworthiness Directives; Airbus                      except Federal holidays. The AD docket
                                                      be viewed at: http://www.ams.usda.gov/                  Airplanes
                                                      MarketingOrdersSmallBusinessGuide.                                                                            contains this proposed AD, the
                                                      Any questions about the compliance                      AGENCY: Federal Aviation                              regulatory evaluation, any comments
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                                                      guide should be sent to Jeffrey Smutny                  Administration (FAA), DOT.                            received, and other information. The
                                                      at the previously-mentioned address in                  ACTION: Notice of proposed rulemaking
                                                                                                                                                                    street address for the Docket Operations
                                                      the FOR FURTHER INFORMATION CONTACT                     (NPRM).                                               office (telephone 800–647–5527) is in
                                                      section.                                                                                                      the ADDRESSES section. Comments will
                                                         A 15-day comment period is provided                  SUMMARY:   We propose to adopt a new                  be available in the AD docket shortly
                                                      to allow interested persons to respond                  airworthiness directive (AD) for certain              after receipt.
                                                      to this proposed rule. Fifteen days is                  Airbus Model A330–200, –200                           FOR FURTHER INFORMATION CONTACT:
                                                      deemed appropriate because: (1) The                     Freighter, and –300 series airplanes; and             Vladimir Ulyanov, Aerospace Engineer,
                                                      2015 fiscal period began on January 1,                  all Airbus Model A340–200, –300, –500,                International Branch, ANM–116,


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Document Created: 2015-12-18 11:47:59
Document Modified: 2015-12-18 11:47:59
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionProposed Rules
ActionProposed rule.
DatesComments must be received by April 15, 2015.
ContactKathie Notoro, Marketing Specialist, or Martin Engeler, Regional Director, California Marketing Field Office, Marketing Order and Agreement Division, Fruit and Vegetable Program, AMS, USDA; Telephone: (559) 487-5901, Fax: (559) 487-5906, or Email: [email protected] or [email protected]
FR Citation80 FR 16998 
CFR AssociatedGrapes; Marketing Agreements and Reporting and Recordkeeping Requirements

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