81_FR_10570 81 FR 10530 - Christmas Tree Promotion, Research, and Information Order; Late Payment and Interest Charges on Past Due Assessments

81 FR 10530 - Christmas Tree Promotion, Research, and Information Order; Late Payment and Interest Charges on Past Due Assessments

DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service

Federal Register Volume 81, Issue 40 (March 1, 2016)

Page Range10530-10533
FR Document2016-04469

This proposal invites comments on prescribing late payment and interest charges on past due assessments under the Christmas Tree Promotion, Research, and Information Order (Order). The Order is administered by the Christmas Tree Promotion Board (Board) with oversight by the U.S. Department of Agriculture (USDA). Under the Order, assessments are collected from domestic producers and importers and used for research and promotion projects designed to maintain and expand the market for fresh cut Christmas trees. This proposal would implement authority contained in the Order that allows the Board to collect late payment and interest charges on past due assessments. If this rule is finalized, it is proposed that late payment and interest charges would begin to accrue on unpaid assessments beginning 30 days after the effective date of the final rule. One additional change would provide authority in the Order for the Board to change the crop year and fiscal period through administrative action. This action would contribute to effective administration of the program.

Federal Register, Volume 81 Issue 40 (Tuesday, March 1, 2016)
[Federal Register Volume 81, Number 40 (Tuesday, March 1, 2016)]
[Proposed Rules]
[Pages 10530-10533]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-04469]


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DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 1214

[Document Number AMS-SC-15-0072]


Christmas Tree Promotion, Research, and Information Order; Late 
Payment and Interest Charges on Past Due Assessments

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Proposed rule.

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

SUMMARY: This proposal invites comments on prescribing late payment and 
interest charges on past due assessments under the Christmas Tree 
Promotion, Research, and Information Order (Order). The Order is 
administered by the Christmas Tree Promotion Board (Board) with 
oversight by the U.S. Department of Agriculture (USDA). Under the 
Order, assessments are collected from domestic producers and importers 
and used for research and promotion projects designed to maintain and 
expand the market for fresh cut Christmas trees. This proposal would 
implement authority contained in the Order that allows the Board to 
collect late payment and interest charges on past due assessments. If 
this rule is finalized, it is proposed that late payment and interest 
charges would begin to accrue on unpaid assessments beginning 30 days 
after the effective date of the final rule. One additional change would 
provide authority in the Order for the Board to change the crop year 
and fiscal period through administrative action. This action would 
contribute to effective administration of the program.

DATES: Comments must be received by March 16, 2016.

ADDRESSES: Interested persons are invited to submit written comments 
concerning this rule. Comments may be submitted on the Internet at: 
http://www.regulations.gov or to the Promotion and Economics Division, 
Specialty Crops Program, AMS, USDA, 1400 Independence Avenue SW., Room 
1406-S, Stop 0244, Washington, DC 20250-0244; facsimile: (202) 205-
2800. All comments should reference the document number and the date 
and page number of this issue of the Federal Register and will be made 
available for public inspection, including name and address, if 
provided, in the above office during regular business hours or it can 
be viewed at http://www.regulations.gov.

FOR FURTHER INFORMATION CONTACT: Patricia A. Petrella, Promotion and 
Economics Division, Specialty Crops Program, AMS, USDA, 1400 
Independence Avenue SW., Room 1406-S, Stop 0244, Washington, DC 20250-
0244; telephone: (202) 720-9915; facsimile (202) 205-2800; or 
electronic mail: [email protected].

SUPPLEMENTARY INFORMATION: This proposed rule is issued under the Order 
(7 CFR part 1214). The Order is authorized under the Commodity 
Promotion, Research, and Information Act of 1996 (1996 Act) (7 U.S.C. 
7411-7425).

Executive Order 12866 and Executive Order 13563

    Executive Orders 12866 and 13563 direct agencies to assess all 
costs and benefits of available regulatory alternatives and, if 
regulation is necessary, to select regulatory approaches that maximize 
net benefits (including potential economic, environmental, public 
health and safety effects, distributive impacts and equity). Executive 
Order 13563 emphasizes the importance of quantifying both costs and 
benefits, reducing costs, harmonizing rules and promoting flexibility. 
This action has been designated as a ``non-significant regulatory 
action'' under section 3(f) of Executive Order 12866. Accordingly, the 
Office of Management and Budget (OMB) has waived the review process.

Executive Order 13175

    This action has been reviewed in accordance with the requirements 
of Executive Order 13175, Consultation and Coordination with Indian 
Tribal Governments. The review reveals that this regulation would not 
have substantial and direct effects on Tribal governments and would not 
have significant Tribal implications.

Executive Order 12988

    This rulemaking has been reviewed under Executive Order 12988, 
Civil Justice Reform. It is not intended to have retroactive effect. 
Section 524 of the 1996 Act (7 U.S.C. 7423) provides that it shall not 
affect or preempt any

[[Page 10531]]

other Federal or State law authorizing promotion or research relating 
to an agricultural commodity.
    Under section 519 of the 1996 Act (7 U.S.C. 7418), a person subject 
to an order may file a written petition with USDA stating that an 
order, any provision of an order, or any obligation imposed in 
connection with an order, is not established in accordance with the 
law, and request a modification of an order or an exemption from an 
order. Any petition filed challenging an order, any provision of an 
order, or any obligation imposed in connection with an order, shall be 
filed within two years after the effective date of an order, provision, 
or obligation subject to challenge in the petition. The petitioner will 
have the opportunity for a hearing on the petition. Thereafter, USDA 
will issue a ruling on the petition. The 1996 Act provides that the 
district court of the United States for any district in which the 
petitioner resides or conducts business shall have the jurisdiction to 
review a final ruling on the petition, if the petitioner files a 
complaint for that purpose not later than 20 days after the date of the 
entry of USDA's final ruling.

Background

    This proposed rule invites comments on prescribing late payment and 
interest charges on past due assessments under the Order. The Order is 
administered by the Board with oversight by USDA. Under the Order, 
assessments are collected from domestic producers and importers and 
used for research and promotion projects designed to maintain and 
expand markets for fresh cut Christmas trees. This proposed rule would 
implement authority contained in the Order and the 1996 Act that allows 
the Board to collect late payment and interest charges on past due 
assessments. This action was unanimously recommended by the Board and 
would contribute to effective administration of the program.
    Section 1214.52(a) of the Order specifies that the funds to cover 
the Board's expenses shall be paid from assessments on producers and 
importers, donations from persons not subject to assessments, and from 
other funds available to the Board. Paragraphs (b) and (c) specify that 
the collection of assessments on Christmas trees that are cut and sold 
or imported will be the responsibility of the producer who produces the 
Christmas trees or causes them to be cut, or the importer who imports 
Christmas trees for marketing in the United States.
    Section 1214.52 (e) specifies that ``a late payment charge, may be 
imposed on any producer or importer who fails to remit to the Board, 
the total amount for which any such producer or importer is liable on 
or before the due date established by the Board. In addition to the 
late payment charge, an interest charge may be imposed on the 
outstanding amount for which the producer or importer is liable. The 
rate for late payment and interest charges shall be specified by the 
Secretary through rulemaking.''
    The Order was implemented in November 2011, but immediately stayed. 
The stay was lifted on April 7, 2014, and the program is currently in 
effect. Domestic assessments are due on February 15, 2016. This will be 
the first assessment collection by the Board. Importers will be 
responsible for paying the assessment directly to the Board 30 calendar 
days after importation. U.S. Customs and Border Protection will not be 
collecting on importers this season. Producers who domestically produce 
less than 500 Christmas trees annually or import less than 500 
Christmas trees annually are exempt from assessment.
    If this rulemaking is finalized, it is proposed that late payment 
and interest charges would begin to accrue on unpaid assessments 
beginning 30 days after the effective date of the final rule. 
Therefore, beginning 30 days after the effective date of the final rule 
a late payment charge of $250 would be applied to any unpaid 
assessments for producers and importers that are delinquent in paying 
their assessment. If the assessment is paid after February 15, but up 
to 29 days after the effective date of the final rule, no late payment 
charge would be assessed. The late payment charge would be increased to 
$500 after 90 days after the effective date of the final rule. 
Additionally, a 1.5 percent interest charge per month would be assessed 
on unpaid assessments and fees owed, beginning 30 days after the 
effective date of the final rule. The delay of the imposition of late 
payment and interest charges would only apply to the initial period of 
assessment collection. Assessment funds are used by the Board for 
activities designed to benefit all industry members. Thus, it is 
important that all assessed entities pay their assessments in a timely 
manner. Entities who fail to pay their assessments on time would be 
able to reap the benefits of Board programs at the expense of others. 
In addition, they would be able to utilize funds for their own use that 
should otherwise be paid to the Board to finance Board programs.

Board Recommendation

    The Board met on July 17, 2015, and unanimously recommended 
specifying rates of late payment charges and interest on past due 
assessments in the Order's regulations. Specifically, the Board 
recommended that a late payment charge of $250 be applied to late 
assessments for producers and importers that are delinquent in paying 
their assessment 30 days after the due date. The late payment charge 
would be increased to $500 after 90 days of delinquency. Additionally, 
a 1.5 percent interest charge per month would be assessed on late 
assessments and fees owed, beginning 30 days after the assessment due 
date. This fee structure is not overly burdensome on small producers or 
importers, but does create the incentive to promote timely payment of 
assessments due. This action would contribute to the efficient 
administration of the program.
    This action would help facilitate program administration by 
providing an incentive for entities to remit assessments in a timely 
manner, with the intent of creating a fair and equitable process among 
all assessed entities. Accordingly, a new Subpart C would be added to 
the Order for rules and regulations, and a new section 1214.520 would 
be added to Subpart C.
    This proposed rule would also make one additional change to the 
Order. This rule would revise the definition of crop year and fiscal 
period as defined in sections 1214.5 and 1214.8, respectively. The 
Board recommended this change because USDA revised the crop year and 
fiscal period during the promulgation process from what was originally 
proposed by the industry. The Board wants the flexibility to change 
these dates if necessary. The crop year and fiscal period would be 
revised by adding language to allow the Board to change the crop year 
or fiscal period administratively through Board action.

Initial Regulatory Flexibility Act Analysis

    In accordance with the Regulatory Flexibility Act (RFA) (5 U.S.C. 
601-612), AMS is required to examine the impact of the rule on small 
entities. Accordingly, AMS has considered the economic impact of this 
action.
    The purpose of the RFA is to fit regulatory actions to the scale of 
businesses subject to such actions so that small businesses will not be 
disproportionately burdened. The Small Business Administration defines, 
in 13 CFR part 121, small agricultural producers as those having annual 
receipts of no more than $750,000 and small agricultural service firms 
(producers and importers) as those having annual receipts of no more 
than $7.5 million.

[[Page 10532]]

    According to the 2012 Census of Agriculture published by the 
National Agricultural Statistics Service (NASS), it is estimated that 
there are 15,494 farms that sold cut Christmas trees in the United 
States. According to NASS, the value of cut Christmas trees sold in 
2012 was $808,644,000. Dividing that value by the number of farms 
yields an average annual producer revenue of $52,191. Therefore it is 
estimated that all farms that sold Christmas trees had revenue under 
$7.5 million.
    Likewise, based on Customs data, it is estimated there are 153 
importers of Christmas trees. Using 2014 Customs data, all importers 
import less than $7.5 million worth of Christmas trees annually. Thus, 
all domestic producers and imports of Christmas trees would be 
considered small entities.
    Regarding the value of the commodity, as mentioned above, based on 
2012 NASS Census of Agriculture data, the value of the domestic cut 
Christmas trees was about $808.6 million. According to Customs data, 
the value of 2014 imports was about $25.8 million.
    This rulemaking invites comments on prescribing late payment and 
interest charges on past due assessments under the Order. The Order is 
administered by the Board with oversight by USDA. Under the Order, 
assessments are collected from producers and importers of Christmas 
trees that are cut and sold or imported.
    This proposed rule would add a new section 1214.520 that would 
specify a late payment charge of $250 to be applied to late assessments 
for producers and importers that are delinquent in paying their 
assessment 30 days after the due date. The late payment charge would be 
increased to $500 after 90 days of delinquency. Additionally, a 1.5 
percent interest charge per month would be assessed on late assessments 
and fees owed, beginning 30 days after the assessment due date. This 
section would be included in a new Subpart C--Provisions Implementing 
the Christmas Tree Promotion, Research, and Information Order. This 
action was unanimously recommended by the Board and is authorized under 
section 1214.52(e) of the Order and section 517(e) of the 1996 Act.
    This proposed rule would also make one additional change to the 
Order. This rule would revise the definition of crop year and fiscal 
period as defined in sections 1214.5 and 1214.8, respectively. The 
Board recommended this change because USDA revised the crop year and 
fiscal period during the promulgation process from what was originally 
proposed by the industry. The Board wants the flexibility to change 
these dates if necessary. The crop year and fiscal period would be 
revised by adding language to allow the Board to change the crop year 
or fiscal period administratively through Board action.
    Regarding the economic impact of this proposed rule on affected 
entities, this action would impose no costs on producers and importers 
who pay their assessments on time. It would merely provide an incentive 
for entities to remit their assessments in a timely manner. For all 
entities who are delinquent in paying assessments, both large and 
small, the charges will be applied uniformly. As for the impact on the 
industry as a whole, this action would help facilitate program 
administration by providing an incentive for entities to remit their 
assessments in a timely manner, with the intent of creating a fair and 
equitable process among all assessed entities.
    Additionally, as previously mentioned, the Order provides for an 
exemption for entities that produce or import less than 500 Christmas 
trees. Regarding alternatives, one option to the proposed action would 
be to maintain the status quo and not prescribe late payment and 
interest charges for past due assessments. However, the Board 
determined that implementing such charges would help facilitate program 
administration by encouraging entities to pay their assessments in a 
timely manner. The Board reviewed rates of late payment and interest 
charges prescribed in other research and promotion programs and 
concluded that the late payment charge and the interest charge 
contained in this proposal would be appropriate.
    In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. 
Chapter 35), the information collection and recordkeeping requirements 
that are imposed by the Order have been approved under OMB control 
number 0581-0093. This rulemaking would not result in a change to the 
information collection and recordkeeping requirements previously 
approved and will impose no additional reporting and recordkeeping 
burden on domestic producers and importers of Christmas trees.
    As with all Federal promotion programs, reports and forms are 
periodically reviewed to reduce information requirements and 
duplication by industry and public sector agencies. Finally, USDA has 
not identified any relevant Federal rules that duplicate, overlap, or 
conflict with this proposed 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.
    Regarding outreach efforts, the Board met on July 17, 2015, and 
unanimously recommended these proposed changes to the Order. All of the 
Board's meetings, including meetings held via teleconference, are open 
to the public and interested persons are invited to participate and 
express their views.
    We have performed this initial RFA regarding the impact of this 
action on small entities and we invite comments concerning potential 
effects of this action on small businesses.
    While this proposed rule set forth below has not received the 
approval of USDA, it has been determined that it is consistent with and 
would effectuate the purposes of the 1996 Act.
    A 15-day comment period is provided to allow interested persons to 
respond to this proposal. Fifteen days is deemed appropriate because 
the first collection of assessments under the Order, on the 2015 
harvest, is underway and assessments were due on February 15, 2016. The 
Board would like to implement this incentive as soon as possible to 
facilitate the initial collection of assessments. All written comments 
received in response to this proposed rule by the date specified will 
be considered prior to finalizing this action.

List of Subjects in 7 CFR Part 1214

    Administrative practice and procedure, Advertising, Consumer 
information, Christmas trees, Marketing agreements, Reporting and 
recordkeeping requirements.

    For the reasons set forth in the preamble, 7 CFR part 1214 is 
proposed to be amended as follows:

PART 1214--CHRISTMAS TREE PROMOTION, RESEARCH, AND INFORMATION 
ORDER

0
1. The authority citation for 7 CFR part 1214 continues to read as 
follows:

    Authority: 7 U.S.C. 7411-7425; 7 U.S.C. 7401.

0
2. Section 1214.5 is revised to read as follows:


Sec.  1214.5  Crop year.

    Crop year means the period August 1 through July 31 or such other 
period approved by the Secretary.
0
3. Section 1214.8 is revised to read as follows:

[[Page 10533]]

Sec.  1214.8  Fiscal period.

    Fiscal period means the period August 1 through July 31 or such 
other period as approved by the Secretary.
0
4. Subpart C--Rules and Regulations is added to read as follows:

Subpart C--Provisions Implementing the Christmas Tree Promotion, 
Research, and Information Order


Sec.  1214.520  Late payment and interest charges for past due 
assessments.

    (1) A late payment charge shall be imposed on any producer or 
importer who fails to make timely remittance to the Board of the total 
assessments for which such producer or importer is liable. The late 
payment charge will be imposed on any assessments not received within 
30 calendar days of the date they are due. This one-time late payment 
charge shall be $250 and would be increased to $500 after 90 days of 
delinquency.
    (2) In addition to the late payment charge, 1.5 percent per month 
interest on the outstanding balance, including any late payment charge 
and accrued interest, will be added to any accounts for which payment 
has not been received by the Board within 30 calendar days after the 
date the assessments are due. Such interest will continue to accrue 
monthly until the outstanding balance is paid to the Board.

    Dated: February 25, 2016.
Elanor Starmer,
Acting Administrator.
[FR Doc. 2016-04469 Filed 2-29-16; 8:45 am]
 BILLING CODE 3410-02-P



                                                      10530

                                                      Proposed Rules                                                                                                Federal Register
                                                                                                                                                                    Vol. 81, No. 40

                                                                                                                                                                    Tuesday, March 1, 2016



                                                      This section of the FEDERAL REGISTER                    DEPARTMENT OF AGRICULTURE                             public inspection, including name and
                                                      contains notices to the public of the proposed                                                                address, if provided, in the above office
                                                      issuance of rules and regulations. The                  Agricultural Marketing Service                        during regular business hours or it can
                                                      purpose of these notices is to give interested                                                                be viewed at http://
                                                      persons an opportunity to participate in the            7 CFR Part 1214                                       www.regulations.gov.
                                                      rule making prior to the adoption of the final
                                                      rules.                                                  [Document Number AMS–SC–15–0072]                      FOR FURTHER INFORMATION CONTACT:
                                                                                                                                                                    Patricia A. Petrella, Promotion and
                                                                                                              Christmas Tree Promotion, Research,                   Economics Division, Specialty Crops
                                                      DEPARTMENT OF AGRICULTURE                               and Information Order; Late Payment                   Program, AMS, USDA, 1400
                                                                                                              and Interest Charges on Past Due                      Independence Avenue SW., Room
                                                      Grain Inspection, Packers and                           Assessments                                           1406–S, Stop 0244, Washington, DC
                                                      Stockyards Administration                                                                                     20250–0244; telephone: (202) 720–9915;
                                                                                                              AGENCY:  Agricultural Marketing Service,
                                                                                                              USDA.                                                 facsimile (202) 205–2800; or electronic
                                                      7 CFR Part 800                                                                                                mail: Patricia.Petrella@ams.usda.gov.
                                                                                                              ACTION: Proposed rule.
                                                      RIN 0580–AB24                                                                                                 SUPPLEMENTARY INFORMATION: This
                                                                                                              SUMMARY:   This proposal invites                      proposed rule is issued under the Order
                                                      Reauthorization of the United States                    comments on prescribing late payment                  (7 CFR part 1214). The Order is
                                                      Grain Standards Act; Extension of                                                                             authorized under the Commodity
                                                                                                              and interest charges on past due
                                                      Comment Period; Correction                                                                                    Promotion, Research, and Information
                                                                                                              assessments under the Christmas Tree
                                                      AGENCY:  Grain Inspection, Packers and                  Promotion, Research, and Information                  Act of 1996 (1996 Act) (7 U.S.C. 7411–
                                                      Stockyards Administration, USDA.                        Order (Order). The Order is                           7425).
                                                      ACTION: Proposed rule; correction.                      administered by the Christmas Tree                    Executive Order 12866 and Executive
                                                                                                              Promotion Board (Board) with oversight                Order 13563
                                                      SUMMARY:   This document corrects the                   by the U.S. Department of Agriculture
                                                      preamble to a proposed rule; extension                  (USDA). Under the Order, assessments                     Executive Orders 12866 and 13563
                                                      of comment period published by the                      are collected from domestic producers                 direct agencies to assess all costs and
                                                      Grain Inspection, Packers and                           and importers and used for research and               benefits of available regulatory
                                                      Stockyards Administration (GIPSA) in                    promotion projects designed to maintain               alternatives and, if regulation is
                                                      the Federal Register of February 24,                    and expand the market for fresh cut                   necessary, to select regulatory
                                                      2016, regarding (GIPSA) proposal to                     Christmas trees. This proposal would                  approaches that maximize net benefits
                                                      revise existing regulations and add new                 implement authority contained in the                  (including potential economic,
                                                      regulations under the United States                     Order that allows the Board to collect                environmental, public health and safety
                                                      Grain Standards Act (USGSA), as                         late payment and interest charges on                  effects, distributive impacts and equity).
                                                      amended, in order to comply with                        past due assessments. If this rule is                 Executive Order 13563 emphasizes the
                                                      amendments to the USGSA made by the                     finalized, it is proposed that late                   importance of quantifying both costs
                                                      Agriculture Reauthorization Act of                      payment and interest charges would                    and benefits, reducing costs,
                                                      2015. In the SUPPLEMENTARY                              begin to accrue on unpaid assessments                 harmonizing rules and promoting
                                                      INFORMATION section the extension                       beginning 30 days after the effective                 flexibility. This action has been
                                                      period to comment for 30 days is                        date of the final rule. One additional                designated as a ‘‘non-significant
                                                      incorrect.                                              change would provide authority in the                 regulatory action’’ under section 3(f) of
                                                      DATES: Effective March 1, 2016.                         Order for the Board to change the crop                Executive Order 12866. Accordingly,
                                                      FOR FURTHER INFORMATION CONTACT:                        year and fiscal period through                        the Office of Management and Budget
                                                      Barry Gomoll, (202) 720–8286.                           administrative action. This action                    (OMB) has waived the review process.
                                                                                                              would contribute to effective                         Executive Order 13175
                                                      Correction                                              administration of the program.
                                                        In proposed rule FR Doc. 2016–03863,                                                                          This action has been reviewed in
                                                                                                              DATES: Comments must be received by                   accordance with the requirements of
                                                      published on February 24, 2016, 81 FR                   March 16, 2016.
                                                      9122, make the following correction. On                                                                       Executive Order 13175, Consultation
                                                                                                              ADDRESSES: Interested persons are                     and Coordination with Indian Tribal
                                                      page 9122, in the SUPPLEMENTARY                         invited to submit written comments
                                                      INFORMATION section, the last sentence is
                                                                                                                                                                    Governments. The review reveals that
                                                                                                              concerning this rule. Comments may be                 this regulation would not have
                                                      revised to read as follows:                             submitted on the Internet at: http://
                                                        ‘‘In response to requests from several                                                                      substantial and direct effects on Tribal
                                                                                                              www.regulations.gov or to the                         governments and would not have
asabaliauskas on DSK5VPTVN1PROD with PROPOSALS




                                                      interested groups, GIPSA has decided to
                                                                                                              Promotion and Economics Division,                     significant Tribal implications.
                                                      extend the comment period for 60
                                                                                                              Specialty Crops Program, AMS, USDA,
                                                      days.’’                                                                                                       Executive Order 12988
                                                                                                              1400 Independence Avenue SW., Room
                                                        Dated: February 24, 2016.                             1406–S, Stop 0244, Washington, DC                       This rulemaking has been reviewed
                                                      Larry Mitchell,                                         20250–0244; facsimile: (202) 205–2800.                under Executive Order 12988, Civil
                                                      Administrator, Grain Inspection, Packers and            All comments should reference the                     Justice Reform. It is not intended to
                                                      Stockyards Administration.                              document number and the date and                      have retroactive effect. Section 524 of
                                                      [FR Doc. 2016–04458 Filed 2–29–16; 8:45 am]             page number of this issue of the Federal              the 1996 Act (7 U.S.C. 7423) provides
                                                      BILLING CODE P                                          Register and will be made available for               that it shall not affect or preempt any


                                                 VerDate Sep<11>2014   19:05 Feb 29, 2016   Jkt 238001   PO 00000   Frm 00001   Fmt 4702   Sfmt 4702   E:\FR\FM\01MRP1.SGM   01MRP1


                                                                               Federal Register / Vol. 81, No. 40 / Tuesday, March 1, 2016 / Proposed Rules                                              10531

                                                      other Federal or State law authorizing                  to remit to the Board, the total amount               interest on past due assessments in the
                                                      promotion or research relating to an                    for which any such producer or                        Order’s regulations. Specifically, the
                                                      agricultural commodity.                                 importer is liable on or before the due               Board recommended that a late payment
                                                         Under section 519 of the 1996 Act (7                 date established by the Board. In                     charge of $250 be applied to late
                                                      U.S.C. 7418), a person subject to an                    addition to the late payment charge, an               assessments for producers and
                                                      order may file a written petition with                  interest charge may be imposed on the                 importers that are delinquent in paying
                                                      USDA stating that an order, any                         outstanding amount for which the                      their assessment 30 days after the due
                                                      provision of an order, or any obligation                producer or importer is liable. The rate              date. The late payment charge would be
                                                      imposed in connection with an order, is                 for late payment and interest charges                 increased to $500 after 90 days of
                                                      not established in accordance with the                  shall be specified by the Secretary                   delinquency. Additionally, a 1.5 percent
                                                      law, and request a modification of an                   through rulemaking.’’                                 interest charge per month would be
                                                      order or an exemption from an order.                       The Order was implemented in                       assessed on late assessments and fees
                                                      Any petition filed challenging an order,                November 2011, but immediately                        owed, beginning 30 days after the
                                                      any provision of an order, or any                       stayed. The stay was lifted on April 7,               assessment due date. This fee structure
                                                      obligation imposed in connection with                   2014, and the program is currently in                 is not overly burdensome on small
                                                      an order, shall be filed within two years               effect. Domestic assessments are due on               producers or importers, but does create
                                                      after the effective date of an order,                   February 15, 2016. This will be the first             the incentive to promote timely
                                                      provision, or obligation subject to                     assessment collection by the Board.                   payment of assessments due. This
                                                      challenge in the petition. The petitioner               Importers will be responsible for paying              action would contribute to the efficient
                                                      will have the opportunity for a hearing                 the assessment directly to the Board 30               administration of the program.
                                                      on the petition. Thereafter, USDA will                  calendar days after importation. U.S.                    This action would help facilitate
                                                      issue a ruling on the petition. The 1996                Customs and Border Protection will not                program administration by providing an
                                                      Act provides that the district court of                 be collecting on importers this season.               incentive for entities to remit
                                                      the United States for any district in                   Producers who domestically produce                    assessments in a timely manner, with
                                                      which the petitioner resides or conducts                less than 500 Christmas trees annually                the intent of creating a fair and equitable
                                                      business shall have the jurisdiction to                 or import less than 500 Christmas trees               process among all assessed entities.
                                                      review a final ruling on the petition, if               annually are exempt from assessment.                  Accordingly, a new Subpart C would be
                                                      the petitioner files a complaint for that                  If this rulemaking is finalized, it is
                                                                                                                                                                    added to the Order for rules and
                                                      purpose not later than 20 days after the                proposed that late payment and interest
                                                                                                                                                                    regulations, and a new section 1214.520
                                                      date of the entry of USDA’s final ruling.               charges would begin to accrue on
                                                                                                                                                                    would be added to Subpart C.
                                                                                                              unpaid assessments beginning 30 days
                                                      Background                                              after the effective date of the final rule.              This proposed rule would also make
                                                         This proposed rule invites comments                  Therefore, beginning 30 days after the                one additional change to the Order. This
                                                      on prescribing late payment and interest                effective date of the final rule a late               rule would revise the definition of crop
                                                      charges on past due assessments under                   payment charge of $250 would be                       year and fiscal period as defined in
                                                      the Order. The Order is administered by                 applied to any unpaid assessments for                 sections 1214.5 and 1214.8,
                                                      the Board with oversight by USDA.                       producers and importers that are                      respectively. The Board recommended
                                                      Under the Order, assessments are                        delinquent in paying their assessment. If             this change because USDA revised the
                                                      collected from domestic producers and                   the assessment is paid after February 15,             crop year and fiscal period during the
                                                      importers and used for research and                     but up to 29 days after the effective date            promulgation process from what was
                                                      promotion projects designed to maintain                 of the final rule, no late payment charge             originally proposed by the industry. The
                                                      and expand markets for fresh cut                        would be assessed. The late payment                   Board wants the flexibility to change
                                                      Christmas trees. This proposed rule                     charge would be increased to $500 after               these dates if necessary. The crop year
                                                      would implement authority contained                     90 days after the effective date of the               and fiscal period would be revised by
                                                      in the Order and the 1996 Act that                      final rule. Additionally, a 1.5 percent               adding language to allow the Board to
                                                      allows the Board to collect late payment                interest charge per month would be                    change the crop year or fiscal period
                                                      and interest charges on past due                        assessed on unpaid assessments and                    administratively through Board action.
                                                      assessments. This action was                            fees owed, beginning 30 days after the                Initial Regulatory Flexibility Act
                                                      unanimously recommended by the                          effective date of the final rule. The delay           Analysis
                                                      Board and would contribute to effective                 of the imposition of late payment and
                                                      administration of the program.                          interest charges would only apply to the                In accordance with the Regulatory
                                                         Section 1214.52(a) of the Order                      initial period of assessment collection.              Flexibility Act (RFA) (5 U.S.C. 601–
                                                      specifies that the funds to cover the                   Assessment funds are used by the Board                612), AMS is required to examine the
                                                      Board’s expenses shall be paid from                     for activities designed to benefit all                impact of the rule on small entities.
                                                      assessments on producers and                            industry members. Thus, it is important               Accordingly, AMS has considered the
                                                      importers, donations from persons not                   that all assessed entities pay their                  economic impact of this action.
                                                      subject to assessments, and from other                  assessments in a timely manner. Entities                The purpose of the RFA is to fit
                                                      funds available to the Board. Paragraphs                who fail to pay their assessments on                  regulatory actions to the scale of
                                                      (b) and (c) specify that the collection of              time would be able to reap the benefits               businesses subject to such actions so
                                                      assessments on Christmas trees that are                 of Board programs at the expense of                   that small businesses will not be
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                                                      cut and sold or imported will be the                    others. In addition, they would be able               disproportionately burdened. The Small
                                                      responsibility of the producer who                      to utilize funds for their own use that               Business Administration defines, in 13
                                                      produces the Christmas trees or causes                  should otherwise be paid to the Board                 CFR part 121, small agricultural
                                                      them to be cut, or the importer who                     to finance Board programs.                            producers as those having annual
                                                      imports Christmas trees for marketing in                                                                      receipts of no more than $750,000 and
                                                      the United States.                                      Board Recommendation                                  small agricultural service firms
                                                         Section 1214.52 (e) specifies that ‘‘a                 The Board met on July 17, 2015, and                 (producers and importers) as those
                                                      late payment charge, may be imposed                     unanimously recommended specifying                    having annual receipts of no more than
                                                      on any producer or importer who fails                   rates of late payment charges and                     $7.5 million.


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                                                      10532                    Federal Register / Vol. 81, No. 40 / Tuesday, March 1, 2016 / Proposed Rules

                                                         According to the 2012 Census of                      originally proposed by the industry. The                 AMS is committed to complying with
                                                      Agriculture published by the National                   Board wants the flexibility to change                 the E-Government Act, to promote the
                                                      Agricultural Statistics Service (NASS), it              these dates if necessary. The crop year               use of the Internet and other
                                                      is estimated that there are 15,494 farms                and fiscal period would be revised by                 information technologies to provide
                                                      that sold cut Christmas trees in the                    adding language to allow the Board to                 increased opportunities for citizen
                                                      United States. According to NASS, the                   change the crop year or fiscal period                 access to Government information and
                                                      value of cut Christmas trees sold in 2012               administratively through Board action.                services, and for other purposes.
                                                      was $808,644,000. Dividing that value                      Regarding the economic impact of this                 Regarding outreach efforts, the Board
                                                      by the number of farms yields an                        proposed rule on affected entities, this              met on July 17, 2015, and unanimously
                                                      average annual producer revenue of                      action would impose no costs on                       recommended these proposed changes
                                                      $52,191. Therefore it is estimated that                 producers and importers who pay their                 to the Order. All of the Board’s
                                                      all farms that sold Christmas trees had                 assessments on time. It would merely                  meetings, including meetings held via
                                                      revenue under $7.5 million.                             provide an incentive for entities to remit            teleconference, are open to the public
                                                         Likewise, based on Customs data, it is               their assessments in a timely manner.                 and interested persons are invited to
                                                      estimated there are 153 importers of                    For all entities who are delinquent in                participate and express their views.
                                                      Christmas trees. Using 2014 Customs                     paying assessments, both large and                       We have performed this initial RFA
                                                      data, all importers import less than $7.5               small, the charges will be applied                    regarding the impact of this action on
                                                      million worth of Christmas trees                        uniformly. As for the impact on the                   small entities and we invite comments
                                                      annually. Thus, all domestic producers                  industry as a whole, this action would                concerning potential effects of this
                                                      and imports of Christmas trees would be                 help facilitate program administration                action on small businesses.
                                                      considered small entities.                              by providing an incentive for entities to                While this proposed rule set forth
                                                         Regarding the value of the                           remit their assessments in a timely                   below has not received the approval of
                                                      commodity, as mentioned above, based                    manner, with the intent of creating a fair            USDA, it has been determined that it is
                                                      on 2012 NASS Census of Agriculture                      and equitable process among all                       consistent with and would effectuate
                                                      data, the value of the domestic cut                     assessed entities.                                    the purposes of the 1996 Act.
                                                      Christmas trees was about $808.6                                                                                 A 15-day comment period is provided
                                                                                                                 Additionally, as previously
                                                      million. According to Customs data, the                                                                       to allow interested persons to respond
                                                                                                              mentioned, the Order provides for an
                                                      value of 2014 imports was about $25.8                                                                         to this proposal. Fifteen days is deemed
                                                                                                              exemption for entities that produce or
                                                      million.                                                                                                      appropriate because the first collection
                                                         This rulemaking invites comments on                  import less than 500 Christmas trees.
                                                                                                              Regarding alternatives, one option to the             of assessments under the Order, on the
                                                      prescribing late payment and interest
                                                                                                              proposed action would be to maintain                  2015 harvest, is underway and
                                                      charges on past due assessments under
                                                      the Order. The Order is administered by                 the status quo and not prescribe late                 assessments were due on February 15,
                                                      the Board with oversight by USDA.                       payment and interest charges for past                 2016. The Board would like to
                                                      Under the Order, assessments are                        due assessments. However, the Board                   implement this incentive as soon as
                                                      collected from producers and importers                  determined that implementing such                     possible to facilitate the initial
                                                      of Christmas trees that are cut and sold                charges would help facilitate program                 collection of assessments. All written
                                                      or imported.                                            administration by encouraging entities                comments received in response to this
                                                         This proposed rule would add a new                   to pay their assessments in a timely                  proposed rule by the date specified will
                                                      section 1214.520 that would specify a                   manner. The Board reviewed rates of                   be considered prior to finalizing this
                                                      late payment charge of $250 to be                       late payment and interest charges                     action.
                                                      applied to late assessments for                         prescribed in other research and                      List of Subjects in 7 CFR Part 1214
                                                      producers and importers that are                        promotion programs and concluded that
                                                      delinquent in paying their assessment                   the late payment charge and the interest                Administrative practice and
                                                      30 days after the due date. The late                    charge contained in this proposal would               procedure, Advertising, Consumer
                                                      payment charge would be increased to                    be appropriate.                                       information, Christmas trees, Marketing
                                                      $500 after 90 days of delinquency.                         In accordance with the Paperwork                   agreements, Reporting and
                                                      Additionally, a 1.5 percent interest                    Reduction Act of 1995 (44 U.S.C.                      recordkeeping requirements.
                                                      charge per month would be assessed on                   Chapter 35), the information collection                 For the reasons set forth in the
                                                      late assessments and fees owed,                         and recordkeeping requirements that are               preamble, 7 CFR part 1214 is proposed
                                                      beginning 30 days after the assessment                  imposed by the Order have been                        to be amended as follows:
                                                      due date. This section would be                         approved under OMB control number
                                                      included in a new Subpart C—                            0581–0093. This rulemaking would not                  PART 1214—CHRISTMAS TREE
                                                      Provisions Implementing the Christmas                   result in a change to the information                 PROMOTION, RESEARCH, AND
                                                      Tree Promotion, Research, and                           collection and recordkeeping                          INFORMATION ORDER
                                                      Information Order. This action was                      requirements previously approved and
                                                                                                              will impose no additional reporting and               ■ 1. The authority citation for 7 CFR
                                                      unanimously recommended by the
                                                                                                              recordkeeping burden on domestic                      part 1214 continues to read as follows:
                                                      Board and is authorized under section
                                                      1214.52(e) of the Order and section                     producers and importers of Christmas                    Authority: 7 U.S.C. 7411–7425; 7 U.S.C.
                                                      517(e) of the 1996 Act.                                 trees.                                                7401.
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                                                         This proposed rule would also make                      As with all Federal promotion                      ■ 2. Section 1214.5 is revised to read as
                                                      one additional change to the Order. This                programs, reports and forms are                       follows:
                                                      rule would revise the definition of crop                periodically reviewed to reduce
                                                      year and fiscal period as defined in                    information requirements and                          § 1214.5   Crop year.
                                                      sections 1214.5 and 1214.8,                             duplication by industry and public                      Crop year means the period August 1
                                                      respectively. The Board recommended                     sector agencies. Finally, USDA has not                through July 31 or such other period
                                                      this change because USDA revised the                    identified any relevant Federal rules                 approved by the Secretary.
                                                      crop year and fiscal period during the                  that duplicate, overlap, or conflict with             ■ 3. Section 1214.8 is revised to read as
                                                      promulgation process from what was                      this proposed rule.                                   follows:


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                                                                               Federal Register / Vol. 81, No. 40 / Tuesday, March 1, 2016 / Proposed Rules                                            10533

                                                      § 1214.8   Fiscal period.                               (S)–14R, lower fastener row, are subject              FOR FURTHER INFORMATION CONTACT:     Eric
                                                         Fiscal period means the period                       to widespread fatigue damage (WFD).                   Schrieber, Aerospace Engineer,
                                                      August 1 through July 31 or such other                  This proposed AD would require                        Airframe Branch, ANM–120L, FAA, Los
                                                      period as approved by the Secretary.                    repetitive external dual frequency eddy               Angeles Aircraft Certification Office
                                                      ■ 4. Subpart C—Rules and Regulations                    current (DFEC) or internal high                       (ACO), 3960 Paramount Boulevard,
                                                      is added to read as follows:                            frequency eddy current (HFEC)                         Lakewood, California 90712–4137;
                                                                                                              inspections of the lap splice, inner skin             phone: 562–627–5348; fax: 562–627–
                                                      Subpart C—Provisions Implementing                       fasteners, at S–14R, station (STA) 440                5210; email: eric.schrieber@faa.gov.
                                                      the Christmas Tree Promotion,                           through STA 540, and corrective action                SUPPLEMENTARY INFORMATION:
                                                      Research, and Information Order                         if necessary. We are proposing this AD
                                                                                                              to detect and correct cracking of the                 Comments Invited
                                                      § 1214.520 Late payment and interest                                                                            We invite you to send any written
                                                                                                              fuselage skin lap splice. Such cracking
                                                      charges for past due assessments.
                                                                                                              could result in reduced structural                    relevant data, views, or arguments about
                                                         (1) A late payment charge shall be                   integrity of the airplane.                            this proposal. Send your comments to
                                                      imposed on any producer or importer                                                                           an address listed under the ADDRESSES
                                                                                                              DATES: We must receive comments on
                                                      who fails to make timely remittance to                  this proposed AD by April 15, 2016.                   section. Include ‘‘Docket No. FAA–
                                                      the Board of the total assessments for                                                                        2016–3700; Directorate Identifier 2015–
                                                                                                              ADDRESSES: You may send comments,
                                                      which such producer or importer is                                                                            NM–171–AD’’ at the beginning of your
                                                      liable. The late payment charge will be                 using the procedures found in 14 CFR
                                                                                                              11.43 and 11.45, by any of the following              comments. We specifically invite
                                                      imposed on any assessments not                                                                                comments on the overall regulatory,
                                                                                                              methods:
                                                      received within 30 calendar days of the
                                                                                                                 • Federal eRulemaking Portal: Go to                economic, environmental, and energy
                                                      date they are due. This one-time late                   http://www.regulations.gov. Follow the                aspects of this proposed AD. We will
                                                      payment charge shall be $250 and                        instructions for submitting comments.                 consider all comments received by the
                                                      would be increased to $500 after 90                        • Fax: 202–493–2251.                               closing date and may amend this
                                                      days of delinquency.                                       • Mail: U.S. Department of                         proposed AD because of those
                                                         (2) In addition to the late payment                  Transportation, Docket Operations, M–                 comments.
                                                      charge, 1.5 percent per month interest                  30, West Building Ground Floor, Room                    We will post all comments we
                                                      on the outstanding balance, including                   W12–140, 1200 New Jersey Avenue SE.,                  receive, without change, to http://
                                                      any late payment charge and accrued                     Washington, DC 20590.                                 www.regulations.gov, including any
                                                      interest, will be added to any accounts                    • Hand Delivery: Deliver to Mail                   personal information you provide. We
                                                      for which payment has not been                          address above between 9 a.m. and 5                    will also post a report summarizing each
                                                      received by the Board within 30                         p.m., Monday through Friday, except                   substantive verbal contact we receive
                                                      calendar days after the date the                        Federal holidays.                                     about this proposed AD.
                                                      assessments are due. Such interest will                    For service information identified in
                                                                                                                                                                    Discussion
                                                      continue to accrue monthly until the                    this proposed AD, contact Boeing
                                                      outstanding balance is paid to the                      Commercial Airplanes, Attention: Data                    Structural fatigue damage is
                                                      Board.                                                  & Services Management, P. O. Box 3707,                progressive. It begins as minute cracks,
                                                                                                              MC 2H–65, Seattle, WA 98124–2207;                     and those cracks grow under the action
                                                        Dated: February 25, 2016.
                                                                                                              telephone: 206–544–5000, extension 1;                 of repeated stresses. This can happen
                                                      Elanor Starmer,                                                                                               because of normal operational
                                                                                                              fax: 206–766–5680; Internet: https://
                                                      Acting Administrator.                                                                                         conditions and design attributes, or
                                                                                                              www.myboeingfleet.com. You may view
                                                      [FR Doc. 2016–04469 Filed 2–29–16; 8:45 am]                                                                   because of isolated situations or
                                                                                                              this referenced service information at
                                                      BILLING CODE 3410–02–P                                  the FAA, Transport Airplane                           incidents such as material defects, poor
                                                                                                              Directorate, 1601 Lind Avenue SW.,                    fabrication quality, or corrosion pits,
                                                                                                              Renton, WA. For information on the                    dings, or scratches. Fatigue damage can
                                                      DEPARTMENT OF TRANSPORTATION                            availability of this material at the FAA,             occur locally, in small areas or
                                                                                                              call 425–227–1221. It is also available               structural design details, or globally.
                                                      Federal Aviation Administration                         on the Internet at http://                            Global fatigue damage is general
                                                                                                              www.regulations.gov by searching for                  degradation of large areas of structure
                                                      14 CFR Part 39                                          and locating Docket No. FAA–2016–                     with similar structural details and stress
                                                      [Docket No. FAA–2016–3700; Directorate                  3700.                                                 levels. Multiple-site damage is global
                                                      Identifier 2015–NM–171–AD]                                                                                    damage that occurs in a large structural
                                                                                                              Examining the AD Docket                               element such as a single rivet line of a
                                                      RIN 2120–AA64                                              You may examine the AD docket on                   lap splice joining two large skin panels.
                                                                                                              the Internet at http://                               Global damage can also occur in
                                                      Airworthiness Directives; The Boeing
                                                                                                              www.regulations.gov by searching for                  multiple elements such as adjacent
                                                      Company Airplanes
                                                                                                              and locating Docket No. FAA–2016–                     frames or stringers. Multiple-site-
                                                      AGENCY: Federal Aviation                                3700; or in person at the Docket                      damage and multiple-element-damage
                                                      Administration (FAA), DOT.                              Management Facility between 9 a.m.                    cracks are typically too small initially to
                                                                                                              and 5 p.m., Monday through Friday,                    be reliably detected with normal
asabaliauskas on DSK5VPTVN1PROD with PROPOSALS




                                                      ACTION: Notice of proposed rulemaking
                                                      (NPRM).                                                 except Federal holidays. The AD docket                inspection methods. Without
                                                                                                              contains this proposed AD, the                        intervention, these cracks will grow,
                                                      SUMMARY:  We propose to adopt a new                     regulatory evaluation, any comments                   and eventually compromise the
                                                      airworthiness directive (AD) for all The                received, and other information. The                  structural integrity of the airplane, in a
                                                      Boeing Company Model 757–200 and                        street address for the Docket Office                  condition known as WFD. As an
                                                      –200CB series airplanes. This proposed                  (phone: 800–647–5527) is in the                       airplane ages, WFD will likely occur,
                                                      AD was prompted by an evaluation by                     ADDRESSES section. Comments will be                   and will certainly occur if the airplane
                                                      the design approval holder (DAH)                        available in the AD docket shortly after              is operated long enough without any
                                                      indicating that the lap splices at stringer             receipt.                                              intervention.


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Document Created: 2018-02-02 15:00:19
Document Modified: 2018-02-02 15:00:19
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 March 16, 2016.
ContactPatricia A. Petrella, Promotion and Economics Division, Specialty Crops Program, AMS, USDA, 1400 Independence Avenue SW., Room 1406-S, Stop 0244, Washington, DC 20250- 0244; telephone: (202) 720-9915; facsimile (202) 205-2800; or electronic mail: [email protected]
FR Citation81 FR 10530 
CFR AssociatedAdministrative Practice and Procedure; Advertising; Consumer Information; Christmas Trees; Marketing Agreements and Reporting and Recordkeeping Requirements

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