82_FR_11826 82 FR 11789 - Sweet Onions Grown in the Walla Walla Valley of Southeast Washington and Northeast Oregon; Decreased Assessment Rate

82 FR 11789 - Sweet Onions Grown in the Walla Walla Valley of Southeast Washington and Northeast Oregon; Decreased Assessment Rate

DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service

Federal Register Volume 82, Issue 37 (February 27, 2017)

Page Range11789-11791
FR Document2017-03714

This rule implements a recommendation from the Walla Walla Sweet Onion Marketing Committee (Committee) for a decrease in the assessment rate established for the 2017 and subsequent fiscal periods from $0.22 to $0.10 per 50-pound bag or equivalent of sweet onions handled. The Committee locally administers the marketing order and is comprised of producers and handlers of sweet onions operating within the area of production along with one public member. Assessments upon sweet onion handlers are used by the Committee to fund reasonable and necessary expenses of the program. The fiscal period begins January 1 and ends December 31. The assessment rate will remain in effect indefinitely unless modified, suspended, or terminated.

Federal Register, Volume 82 Issue 37 (Monday, February 27, 2017)
[Federal Register Volume 82, Number 37 (Monday, February 27, 2017)]
[Rules and Regulations]
[Pages 11789-11791]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2017-03714]



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Rules and Regulations
                                                Federal Register
________________________________________________________________________

This section of the FEDERAL REGISTER contains regulatory documents 
having general applicability and legal effect, most of which are keyed 
to and codified in the Code of Federal Regulations, which is published 
under 50 titles pursuant to 44 U.S.C. 1510.

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Federal Register / Vol. 82, No. 37 / Monday, February 27, 2017 / 
Rules and Regulations

[[Page 11789]]



DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 956

[Doc. No. AMS-SC-16-0116; SC17-956-1 IR]


Sweet Onions Grown in the Walla Walla Valley of Southeast 
Washington and Northeast Oregon; Decreased Assessment Rate

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Interim rule with request for comments.

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

SUMMARY: This rule implements a recommendation from the Walla Walla 
Sweet Onion Marketing Committee (Committee) for a decrease in the 
assessment rate established for the 2017 and subsequent fiscal periods 
from $0.22 to $0.10 per 50-pound bag or equivalent of sweet onions 
handled. The Committee locally administers the marketing order and is 
comprised of producers and handlers of sweet onions operating within 
the area of production along with one public member. Assessments upon 
sweet onion handlers are used by the Committee to fund reasonable and 
necessary expenses of the program. The fiscal period begins January 1 
and ends December 31. The assessment rate will remain in effect 
indefinitely unless modified, suspended, or terminated.

DATES: Effective February 28, 2017. Comments received by April 28, 
2017, will be considered prior to issuance of a final rule.

ADDRESSES: Interested persons are invited to submit written comments 
concerning this rule. Comments must be sent to the Docket Clerk, 
Marketing Order and Agreement Division, Specialty Crops 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 document 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 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: Teresa Hutchinson or Gary Olson, 
Northwest Marketing Field Office, Marketing Order and Agreement 
Division, Specialty Crops Program, AMS, USDA, 1220 SW Third Ave., Suite 
305, Portland, OR 97204; Telephone: (503) 326-2724, Fax: (503) 326-
7440, or Email: [email protected] or 
[email protected].
    Small businesses may request information on complying with this 
regulation by contacting Richard Lower, Marketing Order and Agreement 
Division, Specialty Crops Program, AMS, USDA, 1400 Independence Avenue 
SW., STOP 0237, Washington, DC 20250-0237; Telephone: (202) 720-2491, 
Fax: (202) 720-8938, or Email: [email protected].

SUPPLEMENTARY INFORMATION: This rule is issued under Marketing 
Agreement and Order No. 956, as amended (7 CFR part 956), regulating 
the handling of sweet onions grown in the Walla Walla Valley of 
southeast Washington and northeast Oregon, 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 rule in 
conformance with Executive Orders 12866, 13563, and 13175.
    This rule has been reviewed under Executive Order 12988, Civil 
Justice Reform. Under the marketing order now in effect, Walla Walla 
sweet onion handlers are subject to assessments. Funds to administer 
the order are derived from such assessments. It is intended that the 
assessment rate as issued herein will be applicable to all assessable 
sweet onions beginning January 1, 2017, 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 rule decreases the assessment rate established for the 
Committee for the 2017 and subsequent fiscal periods from $0.22 to 
$0.10 per 50-pound bag or equivalent of sweet onions handled.
    The Walla Walla sweet onion marketing 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 
Walla Walla sweet onions, and one public member. They are familiar with 
the Committee's needs and with the costs for 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 2008 and subsequent fiscal periods, the Committee 
recommended, and USDA approved, an assessment rate that would continue 
in effect from fiscal period to fiscal period unless modified, 
suspended, or terminated by USDA upon recommendation and information 
submitted by the Committee or other information available to USDA.
    The Committee met on December 6, 2016, and unanimously recommended 
2017 expenditures of $93,250 and an

[[Page 11790]]

assessment rate of $0.10 per 50-pound bag or equivalent of sweet 
onions. In comparison, last year's budgeted expenditures were $95,250. 
The assessment rate of $0.10 is $0.12 lower than the rate currently in 
effect. This action will allow the Committee to reduce its financial 
reserve while still providing adequate funding to meet program 
expenses.
    The major expenditures recommended by the Committee for the 2017 
fiscal period include $63,250 for administrative expenses, $24,700 for 
research and promotion, $4,000 for travel, and $1,300 for 
miscellaneous/contingency. Budgeted expenses for these items in 2016 
were $57,300, $36,200, $1,500, and $250 respectively.
    The assessment rate recommended by the Committee was derived by 
multiplying anticipated shipments of Walla Walla sweet onions by 
various assessment rates. Applying the $0.10 per 50-pound bag or 
equivalent assessment rate to the Committee's 325,000 50-pound bag or 
equivalent crop estimate should provide $32,500 in assessment income. 
Thus, income derived from handler assessments and other income ($750), 
plus $60,000 from the Committee's monetary reserve would be adequate to 
cover the recommended $93,250 budget for 2017. Funds held in the 
reserve were $237,354 as of November 30, 2016. The Committee estimates 
a reserve of $177,354 at the end of 2017 fiscal period (December 31, 
2017), which would be within the maximum permitted by the order of 
approximately two fiscal period's operational expenses (Sec.  956.44).
    The assessment rate established in this rule will continue in 
effect indefinitely unless modified, suspended, or terminated by USDA 
upon recommendation and information submitted by the Committee or other 
available information.
    Although this assessment rate is effective for an indefinite 
period, the Committee will 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 will evaluate Committee 
recommendations and other available information to determine whether 
modification of the assessment rate is needed. Further rulemaking will 
be undertaken as necessary. The Committee's 2017 budget, and those for 
subsequent fiscal periods, will 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 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 9 handlers of Walla Walla sweet onions subject to 
regulation under the order and approximately 30 producers in the 
regulated 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 $7,500,000, and small agricultural 
producers are defined as those having annual receipts of less than 
$750,000.
    During the 2016 marketing year, the Committee reported that 
approximately 304,500 50-pound bags or equivalents of Walla Walla sweet 
onions were shipped into the fresh market. Based on information 
reported by USDA's Market News Service, the average 2016 marketing year 
f.o.b. shipping point price for the Walla Walla sweet onions was $19.55 
per 50-pound equivalent. Multiplying the $19.55 average price by the 
shipment quantity of 304,500 50-pound equivalents yields an annual crop 
revenue estimate of $5,952,975. The average annual revenue for each of 
the 9 handlers is therefore calculated to be $661,442 ($5,952,975 
divided by 9), which is considerably less than the Small Business 
Administration threshold of $7,500,000. Consequently, all of the Walla 
Walla sweet onion handlers could be classified as small entities.
    In addition, based on information provided by the National 
Agricultural Statistics Service (NASS), the average producer price for 
Walla Walla sweet onions for the 2011 through 2015 marketing years is 
$16.24 per 50-pound equivalent. NASS has not released data regarding 
the 2016 marketing year at this time. Multiplying the 2011-2015 
marketing year average price of $16.24 by the estimated 2017 marketing 
year shipments of 325,000 50-pound equivalents yields an annual crop 
revenue estimate of $5,278,000. The estimated average annual revenue 
for each of the 30 producers is therefore calculated to be 
approximately $175,933 ($5,278,000 divided by 30), which is less than 
the Small Business Administration threshold of $750,000. In view of the 
foregoing, the majority of Walla Walla sweet onion producers, and all 
of the Walla Walla sweet onion handlers, may be classified as small 
entities.
    This rule decreases the assessment rate established for the 
Committee and collected from handlers for the 2017 and subsequent 
fiscal periods from $0.22 to $0.10 per 50-pound bag or equivalent of 
sweet onions. The Committee also unanimously recommended 2017 
expenditures of $93,250. The assessment rate of $0.10 is $0.12 lower 
than the previously established assessment rate. This action will allow 
the Committee to reduce its financial reserve while still providing 
adequate funding to meet program expenses.
    The quantity of assessable sweet onions for the 2017 fiscal period 
is estimated at 325,000 50-pound bags or equivalents. Thus, the $0.10 
rate should provide $32,500 in assessment income. Income derived from 
handler assessments, along with interest, other income, and funds from 
the Committee's authorized reserve, will be adequate to cover budgeted 
expenses.
    The major expenditures recommended by the Committee for the 2017 
fiscal period include $63,250 for administrative expenses, $24,700 for 
research and promotion, $4,000 for travel, and $1,300 for 
miscellaneous/contingency. Budgeted expenses for these items in 2016 
were $57,300, $36,200, $1,500, and $250 respectively.
    The Committee discussed alternatives to this rule, including 
alternative expenditure levels, but determined that the recommended 
expenses were reasonable and necessary to adequately cover program 
operations. Lower assessment rates were also considered, but not 
recommended, because they would have reduced the financial reserve more 
than desired.
    A review of historical information and preliminary information 
pertaining to the upcoming fiscal period indicates that the producer 
price for the 2017 fiscal period could range between $12.00 and $27.00 
per 50-pound bag or equivalent of sweet onions. Therefore, the 
estimated assessment revenue for the 2017 fiscal period as a percentage 
of total producer revenue is expected to range between 0.37 and 0.83 
percent.
    This action decreases the assessment obligation imposed on 
handlers.

[[Page 11791]]

Assessments are applied uniformly on all handlers, and some of the 
costs may be passed on to producers. However, decreasing the assessment 
rate reduces the burden on handlers, and may reduce the burden on 
producers. In addition, the Committee's meeting was widely publicized 
throughout the Walla Walla sweet onion industry and all interested 
persons were invited to attend the meeting and participate in Committee 
deliberations on all issues. Like all Committee meetings, the December 
6, 2016, 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 interim 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. 0581-0178, Vegetable and Specialty Crops. No changes 
in those requirements as a result of this action are necessary. Should 
any changes become necessary, they would be submitted to OMB for 
approval.
    This action imposes no additional reporting or recordkeeping 
requirements on either small or large Walla Walla sweet onion 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 rule.
    A small business guide on complying with fruit, vegetable, and 
specialty crop marketing agreements and orders may be viewed at: http://www.ams.usda.gov/rules-regulations/moa/small-businesses. Any questions 
about the compliance guide should be sent to Richard Lower at the 
previously mentioned address in the FOR FURTHER INFORMATION CONTACT 
section.
    After consideration of all relevant material presented, including 
the information and recommendation submitted by the Committee and other 
available information, it is hereby found that this rule, as 
hereinafter set forth, will tend to effectuate the declared policy of 
the Act.
    Pursuant to 5 U.S.C. 553, it is also found and determined upon good 
cause that it is impracticable, unnecessary, and contrary to the public 
interest to give preliminary notice prior to putting this rule into 
effect, and that good cause exists for not postponing the effective 
date of this rule until 30 days after publication in the Federal 
Register because: (1) The 2017 fiscal period begins on January 1, 2017, 
and the marketing order requires that the rate of assessment for each 
fiscal period apply to all assessable sweet onions handled during such 
fiscal period; (2) this action decreases the assessment rate for 
assessable sweet onions beginning with the 2017 fiscal period; (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; and (4) this interim rule provides a 
60-day comment period, and all comments timely received will be 
considered prior to finalization of this rule.

List of Subjects in 7 CFR Part 956

    Marketing agreements, Onions, Reporting and recordkeeping 
requirements.

    For the reasons set forth in the preamble, 7 CFR part 956 is 
amended as follows:

PART 956--SWEET ONIONS GROWN IN THE WALLA WALLA VALLEY OF SOUTHEAST 
WASHINGTON AND NORTHEAST OREGON

0
1. The authority citation for 7 CFR part 956 continues to read as 
follows:

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


0
2. Section 956.202 is revised to read as follows:


Sec.  956.202   Assessment rate.

    On and after January 1, 2017, an assessment rate of $0.10 per 50-
pound bag or equivalent is established for Walla Walla sweet onions.

    Dated: February 21, 2017.
Bruce Summers,
Acting Administrator, Agricultural Marketing Service.
[FR Doc. 2017-03714 Filed 2-24-17; 8:45 am]
BILLING CODE 3410-02-P



                                                                                                                                                                                              11789

                                              Rules and Regulations                                                                                         Federal Register
                                                                                                                                                            Vol. 82, No. 37

                                                                                                                                                            Monday, February 27, 2017



                                              This section of the FEDERAL REGISTER                    (202) 720–8938; or Internet: http://                  assessable sweet onions beginning
                                              contains regulatory documents having general            www.regulations.gov. Comments should                  January 1, 2017, and continue until
                                              applicability and legal effect, most of which           reference the document number and the                 amended, suspended, or terminated.
                                              are keyed to and codified in the Code of                date and page number of this issue of                    The Act provides that administrative
                                              Federal Regulations, which is published under           the Federal Register and will be                      proceedings must be exhausted before
                                              50 titles pursuant to 44 U.S.C. 1510.
                                                                                                      available for public inspection in the                parties may file suit in court. Under
                                              The Code of Federal Regulations is sold by              Office of the Docket Clerk during regular             section 608c(15)(A) of the Act, any
                                              the Superintendent of Documents. Prices of              business hours, or can be viewed at:                  handler subject to an order may file
                                              new books are listed in the first FEDERAL               http://www.regulations.gov. All                       with USDA a petition stating that the
                                              REGISTER issue of each week.                            comments submitted in response to this                order, any provision of the order, or any
                                                                                                      rule will be included in the record and               obligation imposed in connection with
                                                                                                      will be made available to the public.                 the order is not in accordance with law
                                              DEPARTMENT OF AGRICULTURE                               Please be advised that the identity of the            and request a modification of the order
                                                                                                      individuals or entities submitting the                or to be exempted therefrom. Such
                                              Agricultural Marketing Service                          comments will be made public on the                   handler is afforded the opportunity for
                                                                                                      Internet at the address provided above.               a hearing on the petition. After the
                                              7 CFR Part 956                                                                                                hearing, USDA would rule on the
                                                                                                      FOR FURTHER INFORMATION CONTACT:
                                              [Doc. No. AMS–SC–16–0116; SC17–956–1                    Teresa Hutchinson or Gary Olson,                      petition. The Act provides that the
                                              IR]                                                     Northwest Marketing Field Office,                     district court of the United States in any
                                                                                                      Marketing Order and Agreement                         district in which the handler is an
                                              Sweet Onions Grown in the Walla                                                                               inhabitant, or has his or her principal
                                                                                                      Division, Specialty Crops Program,
                                              Walla Valley of Southeast Washington                                                                          place of business, has jurisdiction to
                                                                                                      AMS, USDA, 1220 SW Third Ave., Suite
                                              and Northeast Oregon; Decreased                                                                               review USDA’s ruling on the petition,
                                                                                                      305, Portland, OR 97204; Telephone:
                                              Assessment Rate                                                                                               provided an action is filed not later than
                                                                                                      (503) 326–2724, Fax: (503) 326–7440, or
                                              AGENCY:  Agricultural Marketing Service,                Email: Teresa.Hutchinson@                             20 days after the date of the entry of the
                                              USDA.                                                   ams.usda.gov or GaryD.Olson@                          ruling.
                                              ACTION: Interim rule with request for                   ams.usda.gov.                                            This rule decreases the assessment
                                              comments.                                                  Small businesses may request                       rate established for the Committee for
                                                                                                      information on complying with this                    the 2017 and subsequent fiscal periods
                                              SUMMARY:   This rule implements a                       regulation by contacting Richard Lower,               from $0.22 to $0.10 per 50-pound bag or
                                              recommendation from the Walla Walla                     Marketing Order and Agreement                         equivalent of sweet onions handled.
                                              Sweet Onion Marketing Committee                         Division, Specialty Crops Program,                       The Walla Walla sweet onion
                                              (Committee) for a decrease in the                       AMS, USDA, 1400 Independence                          marketing order provides authority for
                                              assessment rate established for the 2017                Avenue SW., STOP 0237, Washington,                    the Committee, with the approval of
                                              and subsequent fiscal periods from                      DC 20250–0237; Telephone: (202) 720–                  USDA, to formulate an annual budget of
                                              $0.22 to $0.10 per 50-pound bag or                      2491, Fax: (202) 720–8938, or Email:                  expenses and collect assessments from
                                              equivalent of sweet onions handled. The                 Richard.Lower@ams.usda.gov.                           handlers to administer the program. The
                                              Committee locally administers the                       SUPPLEMENTARY INFORMATION: This rule                  members of the Committee are
                                              marketing order and is comprised of                     is issued under Marketing Agreement                   producers and handlers of Walla Walla
                                              producers and handlers of sweet onions                  and Order No. 956, as amended (7 CFR                  sweet onions, and one public member.
                                              operating within the area of production                 part 956), regulating the handling of                 They are familiar with the Committee’s
                                              along with one public member.                           sweet onions grown in the Walla Walla                 needs and with the costs for goods and
                                              Assessments upon sweet onion handlers                   Valley of southeast Washington and                    services in their local area and are thus
                                              are used by the Committee to fund                       northeast Oregon, hereinafter referred to             in a position to formulate an appropriate
                                              reasonable and necessary expenses of                    as the ‘‘order.’’ The order is effective              budget and assessment rate. The
                                              the program. The fiscal period begins                   under the Agricultural Marketing                      assessment rate is formulated and
                                              January 1 and ends December 31. The                     Agreement Act of 1937, as amended (7                  discussed in a public meeting. Thus, all
                                              assessment rate will remain in effect                   U.S.C. 601–674), hereinafter referred to              directly affected persons have an
                                              indefinitely unless modified,                           as the ‘‘Act.’’                                       opportunity to participate and provide
                                              suspended, or terminated.                                  The Department of Agriculture                      input.
                                              DATES: Effective February 28, 2017.                     (USDA) is issuing this rule in                           For the 2008 and subsequent fiscal
                                              Comments received by April 28, 2017,                    conformance with Executive Orders                     periods, the Committee recommended,
                                              will be considered prior to issuance of                 12866, 13563, and 13175.                              and USDA approved, an assessment rate
                                              a final rule.                                              This rule has been reviewed under                  that would continue in effect from fiscal
                                              ADDRESSES: Interested persons are                       Executive Order 12988, Civil Justice                  period to fiscal period unless modified,
sradovich on DSK3GMQ082PROD with RULES




                                              invited to submit written comments                      Reform. Under the marketing order now                 suspended, or terminated by USDA
                                              concerning this rule. Comments must be                  in effect, Walla Walla sweet onion                    upon recommendation and information
                                              sent to the Docket Clerk, Marketing                     handlers are subject to assessments.                  submitted by the Committee or other
                                              Order and Agreement Division,                           Funds to administer the order are                     information available to USDA.
                                              Specialty Crops Program, AMS, USDA,                     derived from such assessments. It is                     The Committee met on December 6,
                                              1400 Independence Avenue SW., STOP                      intended that the assessment rate as                  2016, and unanimously recommended
                                              0237, Washington, DC 20250–0237; Fax:                   issued herein will be applicable to all               2017 expenditures of $93,250 and an


                                         VerDate Sep<11>2014   16:46 Feb 24, 2017   Jkt 241001   PO 00000   Frm 00001   Fmt 4700   Sfmt 4700   E:\FR\FM\27FER1.SGM   27FER1


                                              11790            Federal Register / Vol. 82, No. 37 / Monday, February 27, 2017 / Rules and Regulations

                                              assessment rate of $0.10 per 50-pound                   reviewed and, as appropriate, approved                equivalents yields an annual crop
                                              bag or equivalent of sweet onions. In                   by USDA.                                              revenue estimate of $5,278,000. The
                                              comparison, last year’s budgeted                                                                              estimated average annual revenue for
                                                                                                      Initial Regulatory Flexibility Analysis
                                              expenditures were $95,250. The                                                                                each of the 30 producers is therefore
                                              assessment rate of $0.10 is $0.12 lower                    Pursuant to requirements set forth in              calculated to be approximately $175,933
                                              than the rate currently in effect. This                 the Regulatory Flexibility Act (RFA) (5               ($5,278,000 divided by 30), which is
                                              action will allow the Committee to                      U.S.C. 601–612), the Agricultural                     less than the Small Business
                                              reduce its financial reserve while still                Marketing Service (AMS) has                           Administration threshold of $750,000.
                                              providing adequate funding to meet                      considered the economic impact of this                In view of the foregoing, the majority of
                                              program expenses.                                       rule on small entities. Accordingly,                  Walla Walla sweet onion producers, and
                                                 The major expenditures                               AMS has prepared this initial regulatory              all of the Walla Walla sweet onion
                                              recommended by the Committee for the                    flexibility analysis.                                 handlers, may be classified as small
                                              2017 fiscal period include $63,250 for                     The purpose of the RFA is to fit                   entities.
                                              administrative expenses, $24,700 for                    regulatory actions to the scale of                       This rule decreases the assessment
                                              research and promotion, $4,000 for                      businesses subject to such actions in                 rate established for the Committee and
                                              travel, and $1,300 for miscellaneous/                   order that small businesses will not be               collected from handlers for the 2017 and
                                              contingency. Budgeted expenses for                      unduly or disproportionately burdened.                subsequent fiscal periods from $0.22 to
                                              these items in 2016 were $57,300,                       Marketing orders issued pursuant to the               $0.10 per 50-pound bag or equivalent of
                                              $36,200, $1,500, and $250 respectively.                 Act, and the rules issued thereunder, are             sweet onions. The Committee also
                                                 The assessment rate recommended by                   unique in that they are brought about                 unanimously recommended 2017
                                              the Committee was derived by                            through group action of essentially                   expenditures of $93,250. The
                                              multiplying anticipated shipments of                    small entities acting on their own                    assessment rate of $0.10 is $0.12 lower
                                              Walla Walla sweet onions by various                     behalf.                                               than the previously established
                                              assessment rates. Applying the $0.10                       There are 9 handlers of Walla Walla                assessment rate. This action will allow
                                              per 50-pound bag or equivalent                          sweet onions subject to regulation under              the Committee to reduce its financial
                                              assessment rate to the Committee’s                      the order and approximately 30                        reserve while still providing adequate
                                              325,000 50-pound bag or equivalent                      producers in the regulated production                 funding to meet program expenses.
                                              crop estimate should provide $32,500 in                 area. Small agricultural service firms are               The quantity of assessable sweet
                                              assessment income. Thus, income                         defined by the Small Business                         onions for the 2017 fiscal period is
                                              derived from handler assessments and                    Administration (13 CFR 121.201) as                    estimated at 325,000 50-pound bags or
                                              other income ($750), plus $60,000 from                  those having annual receipts of less than             equivalents. Thus, the $0.10 rate should
                                              the Committee’s monetary reserve                        $7,500,000, and small agricultural                    provide $32,500 in assessment income.
                                              would be adequate to cover the                          producers are defined as those having                 Income derived from handler
                                              recommended $93,250 budget for 2017.                    annual receipts of less than $750,000.                assessments, along with interest, other
                                              Funds held in the reserve were $237,354                    During the 2016 marketing year, the                income, and funds from the
                                              as of November 30, 2016. The                            Committee reported that approximately                 Committee’s authorized reserve, will be
                                              Committee estimates a reserve of                        304,500 50-pound bags or equivalents of               adequate to cover budgeted expenses.
                                              $177,354 at the end of 2017 fiscal period               Walla Walla sweet onions were shipped                    The major expenditures
                                              (December 31, 2017), which would be                     into the fresh market. Based on                       recommended by the Committee for the
                                              within the maximum permitted by the                     information reported by USDA’s Market                 2017 fiscal period include $63,250 for
                                              order of approximately two fiscal                       News Service, the average 2016                        administrative expenses, $24,700 for
                                              period’s operational expenses (§ 956.44).               marketing year f.o.b. shipping point                  research and promotion, $4,000 for
                                                 The assessment rate established in                   price for the Walla Walla sweet onions                travel, and $1,300 for miscellaneous/
                                              this rule will continue in effect                       was $19.55 per 50-pound equivalent.                   contingency. Budgeted expenses for
                                              indefinitely unless modified,                           Multiplying the $19.55 average price by               these items in 2016 were $57,300,
                                              suspended, or terminated by USDA                        the shipment quantity of 304,500 50-                  $36,200, $1,500, and $250 respectively.
                                              upon recommendation and information                     pound equivalents yields an annual                       The Committee discussed alternatives
                                              submitted by the Committee or other                     crop revenue estimate of $5,952,975.                  to this rule, including alternative
                                              available information.                                  The average annual revenue for each of                expenditure levels, but determined that
                                                 Although this assessment rate is                     the 9 handlers is therefore calculated to             the recommended expenses were
                                              effective for an indefinite period, the                 be $661,442 ($5,952,975 divided by 9),                reasonable and necessary to adequately
                                              Committee will continue to meet prior                   which is considerably less than the                   cover program operations. Lower
                                              to or during each fiscal period to                      Small Business Administration                         assessment rates were also considered,
                                              recommend a budget of expenses and                      threshold of $7,500,000. Consequently,                but not recommended, because they
                                              consider recommendations for                            all of the Walla Walla sweet onion                    would have reduced the financial
                                              modification of the assessment rate. The                handlers could be classified as small                 reserve more than desired.
                                              dates and times of Committee meetings                   entities.                                                A review of historical information and
                                              are available from the Committee or                        In addition, based on information                  preliminary information pertaining to
                                              USDA. Committee meetings are open to                    provided by the National Agricultural                 the upcoming fiscal period indicates
                                              the public and interested persons may                   Statistics Service (NASS), the average                that the producer price for the 2017
                                              express their views at these meetings.                  producer price for Walla Walla sweet                  fiscal period could range between
                                              USDA will evaluate Committee                            onions for the 2011 through 2015                      $12.00 and $27.00 per 50-pound bag or
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                                              recommendations and other available                     marketing years is $16.24 per 50-pound                equivalent of sweet onions. Therefore,
                                              information to determine whether                        equivalent. NASS has not released data                the estimated assessment revenue for
                                              modification of the assessment rate is                  regarding the 2016 marketing year at                  the 2017 fiscal period as a percentage of
                                              needed. Further rulemaking will be                      this time. Multiplying the 2011–2015                  total producer revenue is expected to
                                              undertaken as necessary. The                            marketing year average price of $16.24                range between 0.37 and 0.83 percent.
                                              Committee’s 2017 budget, and those for                  by the estimated 2017 marketing year                     This action decreases the assessment
                                              subsequent fiscal periods, will be                      shipments of 325,000 50-pound                         obligation imposed on handlers.


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                                                               Federal Register / Vol. 82, No. 37 / Monday, February 27, 2017 / Rules and Regulations                                         11791

                                              Assessments are applied uniformly on                    will tend to effectuate the declared                  DEPARTMENT OF TRANSPORTATION
                                              all handlers, and some of the costs may                 policy of the Act.
                                              be passed on to producers. However,                                                                           Federal Aviation Administration
                                                                                                         Pursuant to 5 U.S.C. 553, it is also
                                              decreasing the assessment rate reduces                  found and determined upon good cause
                                              the burden on handlers, and may reduce                                                                        14 CFR Part 39
                                                                                                      that it is impracticable, unnecessary,
                                              the burden on producers. In addition,                                                                         [Docket No. FAA–2016–6896; Directorate
                                                                                                      and contrary to the public interest to
                                              the Committee’s meeting was widely                                                                            Identifier 2016–NM–016–AD; Amendment
                                              publicized throughout the Walla Walla                   give preliminary notice prior to putting
                                                                                                                                                            39–18805; AD 2017–04–10]
                                              sweet onion industry and all interested                 this rule into effect, and that good cause
                                              persons were invited to attend the                      exists for not postponing the effective               RIN 2120–AA64
                                              meeting and participate in Committee                    date of this rule until 30 days after
                                                                                                      publication in the Federal Register                   Airworthiness Directives; Airbus
                                              deliberations on all issues. Like all
                                                                                                      because: (1) The 2017 fiscal period                   Airplanes
                                              Committee meetings, the December 6,
                                              2016, meeting was a public meeting and                  begins on January 1, 2017, and the                    AGENCY:  Federal Aviation
                                              all entities, both large and small, were                marketing order requires that the rate of             Administration (FAA), Department of
                                              able to express views on this issue.                    assessment for each fiscal period apply               Transportation (DOT).
                                              Finally, interested persons are invited to              to all assessable sweet onions handled                ACTION: Final rule.
                                              submit comments on this interim rule,                   during such fiscal period; (2) this action
                                              including the regulatory and                            decreases the assessment rate for                     SUMMARY:    We are adopting a new
                                              informational impacts of this action on                 assessable sweet onions beginning with                airworthiness directive (AD) for all
                                              small businesses.                                       the 2017 fiscal period; (3) handlers are              Airbus Model A318–111, and –112
                                                 In accordance with the Paperwork                     aware of this action, which was                       airplanes; Model A319–111, –112, –113,
                                              Reduction Act of 1995, (44 U.S.C.                       unanimously recommended by the                        –114, and –115 airplanes; Model A320–
                                              Chapter 35), the order’s information                                                                          211, –212 and –214 airplanes; and
                                                                                                      Committee at a public meeting and is
                                              collection requirements have been                                                                             Model A321–111, –112, –211, –212, and
                                                                                                      similar to other assessment rate actions
                                              previously approved by the Office of                                                                          –213 airplanes. This AD was prompted
                                              Management and Budget (OMB) and                         issued in past years; and (4) this interim
                                                                                                                                                            by a report of a production quality
                                              assigned OMB No. 0581–0178,                             rule provides a 60-day comment period,
                                                                                                                                                            deficiency on the inner retainer
                                              Vegetable and Specialty Crops. No                       and all comments timely received will
                                                                                                                                                            installed on link assemblies of the aft
                                              changes in those requirements as a                      be considered prior to finalization of                engine mount, which could result in
                                              result of this action are necessary.                    this rule.                                            failure of the retainer. This AD requires
                                              Should any changes become necessary,                    List of Subjects in 7 CFR Part 956                    an inspection for, and replacement of,
                                              they would be submitted to OMB for                                                                            all non-conforming aft engine mount
                                              approval.                                                 Marketing agreements, Onions,                       retainers. We are issuing this AD to
                                                 This action imposes no additional                    Reporting and recordkeeping                           address the unsafe condition on these
                                              reporting or recordkeeping requirements                 requirements.                                         products.
                                              on either small or large Walla Walla
                                              sweet onion handlers. As with all                         For the reasons set forth in the                    DATES:  This AD is effective April 3,
                                              Federal marketing order programs,                       preamble, 7 CFR part 956 is amended as                2017.
                                              reports and forms are periodically                      follows:                                                 The Director of the Federal Register
                                              reviewed to reduce information                                                                                approved the incorporation by reference
                                              requirements and duplication by                         PART 956—SWEET ONIONS GROWN                           of certain publications listed in this AD
                                              industry and public sector agencies.                    IN THE WALLA WALLA VALLEY OF                          as of April 3, 2017.
                                                 AMS is committed to complying with                   SOUTHEAST WASHINGTON AND                              ADDRESSES: For Airbus service
                                              the E-Government Act, to promote the                    NORTHEAST OREGON                                      information identified in this final rule,
                                              use of the internet and other                                                                                 contact Airbus, Airworthiness Office—
                                              information technologies to provide                     ■ 1. The authority citation for 7 CFR                 EIAS, 1 Rond Point Maurice Bellonte,
                                              increased opportunities for citizen                     part 956 continues to read as follows:                31707 Blagnac Cedex, France;
                                              access to Government information and                                                                          telephone: +33 5 61 93 36 96; fax: +33
                                                                                                          Authority: 7 U.S.C. 601–674.                      5 61 93 44 51; email: account.airworth-
                                              services, and for other purposes.
                                                 USDA has not identified any relevant                 ■ 2. Section 956.202 is revised to read               eas@airbus.com; Internet: http://
                                              Federal rules that duplicate, overlap, or               as follows:                                           www.airbus.com.
                                              conflict with this rule.                                                                                         For Goodrich service information
                                                 A small business guide on complying                  § 956.202    Assessment rate.                         identified in this final rule, contact
                                              with fruit, vegetable, and specialty crop                                                                     Goodrich Corporation, Aerostructures,
                                              marketing agreements and orders may                       On and after January 1, 2017, an                    850 Lagoon Drive, Chula Vista, CA
                                              be viewed at: http://www.ams.usda.gov/                  assessment rate of $0.10 per 50-pound                 91910–2098; telephone: 619–691–2719;
                                              rules-regulations/moa/small-businesses.                 bag or equivalent is established for                  email: jan.lewis@goodrich.com; Internet:
                                              Any questions about the compliance                      Walla Walla sweet onions.                             http://www.goodrich.com/TechPubs.
                                              guide should be sent to Richard Lower                     Dated: February 21, 2017.                              You may view this referenced service
                                              at the previously mentioned address in                  Bruce Summers,                                        information at the FAA, Transport
                                              the FOR FURTHER INFORMATION CONTACT                                                                           Airplane Directorate, 1601 Lind Avenue
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                                                                                                      Acting Administrator, Agricultural Marketing
                                              section.                                                                                                      SW., Renton, WA. For information on
                                                                                                      Service.
                                                 After consideration of all relevant                                                                        the availability of this material at the
                                                                                                      [FR Doc. 2017–03714 Filed 2–24–17; 8:45 am]
                                              material presented, including the                                                                             FAA, call 425–227–1221. It is also
                                              information and recommendation                          BILLING CODE 3410–02–P                                available on the Internet at http://
                                              submitted by the Committee and other                                                                          www.regulations.gov by searching for
                                              available information, it is hereby found                                                                     and locating Docket No. FAA–2016–
                                              that this rule, as hereinafter set forth,                                                                     6896.


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Document Created: 2017-02-25 01:05:51
Document Modified: 2017-02-25 01:05:51
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionRules and Regulations
ActionInterim rule with request for comments.
DatesEffective February 28, 2017. Comments received by April 28, 2017, will be considered prior to issuance of a final rule.
ContactTeresa Hutchinson or Gary Olson, Northwest Marketing Field Office, Marketing Order and Agreement Division, Specialty Crops Program, AMS, USDA, 1220 SW Third Ave., Suite 305, Portland, OR 97204; Telephone: (503) 326-2724, Fax: (503) 326- 7440, or Email: [email protected] or [email protected]
FR Citation82 FR 11789 
CFR AssociatedMarketing Agreements; Onions and Reporting and Recordkeeping Requirements

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