83_FR_13439 83 FR 13378 - Oranges and Grapefruit Grown in the Lower Rio Grande Valley in Texas; Decreased Assessment Rate

83 FR 13378 - Oranges and Grapefruit Grown in the Lower Rio Grande Valley in Texas; Decreased Assessment Rate

DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service

Federal Register Volume 83, Issue 61 (March 29, 2018)

Page Range13378-13380
FR Document2018-06282

This rule implements a recommendation from the Texas Valley Citrus Committee (Committee) to decrease the assessment rate established for the 2017-18 and subsequent fiscal periods for oranges and grapefruit handled under Marketing Order 906. The assessment rate will remain in effect indefinitely unless modified, suspended, or terminated. This rule also makes administrative revisions to the subpart headings of the Order.

Federal Register, Volume 83 Issue 61 (Thursday, March 29, 2018)
[Federal Register Volume 83, Number 61 (Thursday, March 29, 2018)]
[Rules and Regulations]
[Pages 13378-13380]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-06282]


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DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 906

[Doc. No. AMS-SC-17-0037; SC17-906-1 FR]


Oranges and Grapefruit Grown in the Lower Rio Grande Valley in 
Texas; Decreased Assessment Rate

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Final rule.

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

SUMMARY: This rule implements a recommendation from the Texas Valley 
Citrus Committee (Committee) to decrease the assessment rate 
established for the 2017-18 and subsequent fiscal periods for oranges 
and grapefruit handled under Marketing Order 906. The assessment rate 
will remain in effect indefinitely unless modified, suspended, or 
terminated. This rule also makes administrative revisions to the 
subpart headings of the Order.

DATES: Effective April 30, 2018.

FOR FURTHER INFORMATION CONTACT: Doris Jamieson, Marketing Specialist, 
or Christian D. Nissen, Regional Director, Southeast Marketing Field 
Office, Marketing Order and Agreement Division, Specialty Crops 
Program, AMS, USDA; Telephone: (863) 324-3375, Fax: (863) 291-8614, or 
Email: [email protected] or [email protected].
    Small businesses may request information on complying with this 
regulation by contacting Richard Lower, Marketing Order and Agreement 
Division, Specialty Crops Program, AMS, USDA, 1400 Independence Avenue 
SW, STOP 0237, Washington, DC 20250-0237; Telephone: (202) 720-2491, 
Fax: (202) 720-8938, or Email: [email protected].

SUPPLEMENTARY INFORMATION: This action, pursuant to 5 U.S.C. 553, 
amends regulations issued to carry out a marketing order as defined in 
7 CFR 900.2(j). This rule is issued under Marketing Agreement and Order 
No. 906, as amended (7 CFR part 906), regulating the handling of 
oranges and grapefruit grown in the Lower Rio Grande Valley in Texas. 
Part 906 (referred to as the ``Order''), is effective under the 
Agricultural Marketing Agreement Act of 1937, as amended (7 U.S.C. 601-
674), hereinafter referred to as the ``Act.'' The Committee locally 
administers the Order and is comprised of producers and handlers of 
oranges and grapefruit operating within the production area.
    The Department of Agriculture (USDA) is issuing this rule in 
conformance with Executive Orders 13563 and 13175. This action falls 
within a category of regulatory actions that the Office of Management 
and Budget (OMB) exempted from Executive Order 12866 review. 
Additionally, because this rule does not meet the definition of a 
significant regulatory action, it does not trigger the requirements 
contained, in Executive Order 13771. See OMB's Memorandum titled 
``Interim Guidance Implementing Section 2 of the Executive Order of 
January 30, 2017, titled ``Reducing Regulation and Controlling 
Regulatory Costs'' (February 2, 2017).
    This rule has been reviewed under Executive Order 12988, Civil 
Justice Reform. Under the provisions of the Order now in effect, Texas 
orange and grapefruit handlers are subject to assessments. Funds to 
administer the Order are derived from such assessments. It is intended 
that the assessment rate will be applicable to all assessable oranges 
and grapefruit beginning on August 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

[[Page 13379]]

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.
    The 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 are 
familiar with the Committee's needs and with the costs of goods and 
services in their local area and are thus in a position to formulate an 
appropriate budget and assessment rate. The assessment rate is 
formulated and discussed in a public meeting. Thus, all directly 
affected persons have an opportunity to participate and provide input.
    This rule decreases the assessment rate from $0.09, the rate that 
was established for the 2016-17 and subsequent fiscal periods, to $0.02 
per 7/10-bushel carton or equivalent of oranges and grapefruit handled 
for the 2017-18 and subsequent fiscal periods. The decrease reflects a 
reduction in expenses of more than $595,000 from not funding the 
Mexican fruit fly control program.
    The Committee met on August 8, 2017, and unanimously recommended 
2017-18 expenditures of $152,920 and an assessment rate of $0.02 per 7/
10-bushel carton or equivalent of oranges and grapefruit. The 
assessment rate of $0.02 is $0.07 lower than the rate currently in 
effect. The Committee recommended decreasing the assessment rate to 
reflect that they would not be funding the Mexican fruit fly control 
program, reducing their budget by more than $595,000. Income derived 
from handler assessments, along with interest income and funds from the 
Committee's authorized reserve, will be adequate to cover budgeted 
expenses.
    Of the total $152,920 budgeted for the 2017-18 fiscal period, major 
expenditures recommended by the Committee include $79,220 for 
management, $50,000 for compliance, and $23,700 for operating expenses. 
Compared to the previous fiscal year's budget of $751,148, budgeted 
expenses for these items in 2016-17 were $77,200, $50,000, and $23,700, 
respectively.
    The assessment rate recommended by the Committee was derived by 
considering anticipated expenses, expected shipments, and the amount of 
funds available in the authorized reserve. Income derived from handler 
assessments calculated at $150,000 (7.5 million 7/10-bushel cartons 
assessed at $0.02 per carton), along with interest income and funds 
from the Committee's authorized reserve, should be adequate to cover 
budgeted expenses of $152,920. Funds in the reserve (currently 
$282,572) will be kept within the maximum permitted by the Order 
(approximately one fiscal period's expenses as stated in Sec.  906.35).
    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 will be in effect 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 2017-18 budget and those 
for subsequent fiscal periods would be reviewed and, as appropriate, 
approved by USDA.

Final Regulatory Flexibility Analysis

    Pursuant to requirements set forth in the Regulatory Flexibility 
Act (RFA) (5 U.S.C. 601-612), the Agricultural Marketing Service (AMS) 
has considered the economic impact of this rule on small entities. 
Accordingly, AMS has prepared this final regulatory flexibility 
analysis.
    The purpose of the RFA is to fit regulatory actions to the scale of 
businesses subject to such actions in order that small businesses will 
not be unduly or disproportionately burdened. Marketing orders issued 
pursuant to the Act, and the rules issued thereunder, are unique in 
that they are brought about through group action of essentially small 
entities acting on their own behalf.
    There are approximately 170 producers of oranges and grapefruit in 
the production area and 13 handlers subject to regulation under the 
Order. Small agricultural producers are defined by the Small Business 
Administration (SBA) as those having annual receipts less than 
$750,000, and small agricultural service firms are defined as those 
whose annual receipts are less than $7,500,000 (13 CFR 121.201).
    According to Committee data, the average price for Texas citrus 
during the 2015-16 season was approximately $17.48 per box and total 
shipments were 7.5 million boxes. Using the average price and shipment 
information, the number of handlers (13), and assuming a normal 
distribution, the majority of handlers would have average annual 
receipts of greater than $7,500,000. Thus, the majority of Texas citrus 
handlers may be classified as large business entities.
    In addition, based on information from the National Agricultural 
Statistics Service, the weighted grower price for Texas citrus during 
the 2015-16 season was approximately $14.64 per box. Using the weighted 
average price and shipment information, and assuming a normal 
distribution, the majority of producers would have annual receipts of 
less than $750,000. Thus, the majority of Texas citrus producers may be 
classified as small business entities.
    This rule decreases the assessment rate collected from handlers for 
the 2017-18 and subsequent fiscal periods from $0.09 to $0.02 per 7/10-
weight bushel carton or equivalent of Texas citrus. The Committee 
unanimously recommended 2017-18 expenditures of $152,920 and an 
assessment rate of $0.02 per 7/10-bushel carton or equivalent handled. 
The assessment rate of $0.02 is $0.07 lower than the 2016-17 rate. The 
quantity of assessable oranges and grapefruit for the 2017-18 fiscal 
period is estimated at 7.5 million 7/10-bushel cartons. Thus, the $0.02 
rate should provide $150,000 in assessment income. Income derived from 
handler assessments, along with interest income and funds from the 
Committee's authorized reserve, should be adequate to cover budgeted 
expenses.
    The major expenditures recommended by the Committee for the 2017-18 
year include $79,220 for management, $50,000 for compliance, and 
$23,700 for operating expenses. Budgeted expenses for these items in 
2016-17 were $77,200, $50,000, and $23,700, respectively.
    The Committee recommended decreasing the assessment rate to reflect 
that it would not be funding the Mexican fruit fly control program, 
reducing its budget by more than $595,000.
    Prior to arriving at this budget and assessment rate, the Committee 
considered information from various sources, such as the Committee's 
Budget and Personnel Committee, and the Research Committee. Alternative 
expenditure levels were discussed by these committees who reviewed the 
relative value of various activities to the Texas citrus industry. 
These committees determined that all program activities

[[Page 13380]]

were adequately funded and essential to the functionality of the Order, 
thus no alternate expenditure levels were deemed appropriate. 
Additionally, alternate assessment rates of $0.01 and $0.015 per 7/10 
bushel-carton were discussed. However, it was determined that these 
lower assessment rates would draw too heavily from reserves, roughly 
$78,000 and $43,000, respectively. The proposed rate of $0.02 per 7/10 
bushel-carton would draw an anticipated $2,800 from reserves, thereby 
leaving reserves intact for future needs.
    A review of historical information and preliminary information 
pertaining to the upcoming fiscal period indicates that the average 
grower price for the 2017-18 season should be approximately $15.50 per 
7/10-bushel carton or equivalent of oranges and grapefruit. Therefore, 
the estimated assessment revenue for the 2017-18 crop year as a 
percentage of total grower revenue would be about 0.1 percent.
    This action decreases the assessment obligation imposed on 
handlers. 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.
    The Committee's meeting was widely publicized throughout the Texas 
citrus industry and all interested persons were invited to attend the 
meeting and participate in Committee deliberations on all issues. Like 
all Committee meetings, the August 8, 2017, meeting was a public 
meeting and all entities, both large and small, were able to express 
views on this issue.
    In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. 
Chapter 35), the Order's information collection requirements have been 
previously approved by OMB and assigned OMB No. 0581-0189, Fruit Crops. 
No changes in those requirements as a result of this action are 
necessary. Should any changes become necessary, they would be submitted 
to OMB for approval.
    This rule imposes no additional reporting or recordkeeping 
requirements on either small or large Texas orange and grapefruit 
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. As noted in the 
initial regulatory flexibility analysis, USDA has not identified any 
relevant Federal rules that duplicate, overlap, or conflict with this 
final rule.
    AMS is committed to complying with the E-Government Act, to promote 
the use of the internet and other information technologies to provide 
increased opportunities for citizen access to Government information 
and services, and for other purposes.
    A proposed rule concerning this action was published in the Federal 
Register on December 4, 2017 (82 FR 57164). Copies of the proposed rule 
were also mailed or sent via facsimile to all Texas citrus handlers. 
Finally, the proposal was made available through the internet by USDA 
and the Office of the Federal Register. A 30-day comment period ending 
January 3, 2018, was provided for interested persons to respond to the 
proposal. Two comments were received, one in support of the change, and 
one comment outside the scope of this action. One commenter in support 
of the action stated that the reduced rate is fair and continues to 
allow the Committee to pay its expenses. Administrative revisions to 
the subpart headings were included in the proposed rule. No comments 
were received on those changes. Accordingly, no changes will be made to 
the rule as proposed, based on the comments received.
    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 will tend to 
effectuate the declared policy of the Act.

List of Subjects in 7 CFR Part 906

    Grapefruit, Marketing agreements, Oranges, Reporting and 
recordkeeping requirements.

    For the reasons set forth in the preamble, 7 CFR part 906 is 
amended as follows:

PART 906--ORANGES AND GRAPEFRUIT GROWN IN LOWER RIO GRANDE VALLEY 
IN TEXAS

0
1. The authority citation for 7 CFR part 906 continues to read as 
follows:

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

[Subpart Redesignated as Subpart A]

0
2. Redesignate ``Subpart--Order Regulating Handling'' as ``Subpart A--
Order Regulating Handling.''

[Subpart Redesignated as Subpart B and Amended]

0
3. Redesignate ``Subpart--Rules and Regulations'' as subpart B and 
revise the heading to read as follows:

Subpart B--Administrative Requirements

0
4. Section 906.235 is revised to read as follows:


Sec.  906.235  Assessment rate.

    On and after August 1, 2017, an assessment rate of $0.02 per 7/10-
bushel carton or equivalent is established for oranges and grapefruit 
grown in the Lower Rio Grande Valley in Texas.

[Subpart Redesignated as Subpart C]

0
5. Redesignate ``Subpart--Container and Pack Requirements'' as 
``Subpart C--Container and Pack Requirements.''

    Dated: March 23, 2018.
Bruce Summers,
Acting Administrator, Agricultural Marketing Service.
[FR Doc. 2018-06282 Filed 3-28-18; 8:45 am]
 BILLING CODE 3410-02-P



                                             13378             Federal Register / Vol. 83, No. 61 / Thursday, March 29, 2018 / Rules and Regulations

                                             chilensis mite is found, the production                 NPPO of Chile that contains an                        SUPPLEMENTARY INFORMATION:        This
                                             site will not qualify for certification as              additional declaration stating that the               action, pursuant to 5 U.S.C. 553,
                                             a low-prevalence production site. Each                  fruit in the consignment was inspected                amends regulations issued to carry out
                                             production site may have only one                       and found free of Brevipalpus chilensis               a marketing order as defined in 7 CFR
                                             opportunity per season to qualify as a                  and was grown, packed, and shipped in                 900.2(j). This rule is issued under
                                             low-prevalence production site, and                     accordance with the requirements of                   Marketing Agreement and Order No.
                                             certification of low prevalence will be                 § 319.56–82(b)(2).                                    906, as amended (7 CFR part 906),
                                             valid for one harvest season only. The                  (Approved by the Office of Management                 regulating the handling of oranges and
                                             NPPO of Chile will present a list of                    and Budget under control number 0579–                 grapefruit grown in the Lower Rio
                                             certified production sites to APHIS.                    0444)                                                 Grande Valley in Texas. Part 906
                                             Fruit from those production sites that do                                                                     (referred to as the ‘‘Order’’), is effective
                                                                                                       Done in Washington, DC, this 23rd day of
                                             not meet the requirements for                                                                                 under the Agricultural Marketing
                                                                                                     March 2018.
                                             certification as low-prevalence                                                                               Agreement Act of 1937, as amended (7
                                                                                                     Kevin Shea,
                                             production sites may still be imported                                                                        U.S.C. 601–674), hereinafter referred to
                                             into the United States subject to                       Administrator, Animal and Plant Health                as the ‘‘Act.’’ The Committee locally
                                             treatment as listed in paragraph (b)(1) of              Inspection Service.                                   administers the Order and is comprised
                                             this section.                                           [FR Doc. 2018–06289 Filed 3–28–18; 8:45 am]           of producers and handlers of oranges
                                                (iii) Post-harvest processing. After                 BILLING CODE 3410–34–P                                and grapefruit operating within the
                                             harvest, all damaged or diseased fruits                                                                       production area.
                                             must be culled at the packinghouse and                                                                           The Department of Agriculture
                                             remaining fruit must be packed into                     DEPARTMENT OF AGRICULTURE                             (USDA) is issuing this rule in
                                             new, clean boxes, crates, or other                                                                            conformance with Executive Orders
                                             APHIS-approved packing containers.                      Agricultural Marketing Service                        13563 and 13175. This action falls
                                                (iv) Phytosanitary inspection. Fruit                                                                       within a category of regulatory actions
                                             must be inspected in Chile at an APHIS-                 7 CFR Part 906                                        that the Office of Management and
                                             approved inspection site under the                      [Doc. No. AMS–SC–17–0037; SC17–906–1                  Budget (OMB) exempted from Executive
                                             direction of APHIS inspectors in                        FR]                                                   Order 12866 review. Additionally,
                                             coordination with the NPPO of Chile                                                                           because this rule does not meet the
                                             following any post-harvest processing.                  Oranges and Grapefruit Grown in the                   definition of a significant regulatory
                                             A biometric sample must be drawn and                    Lower Rio Grande Valley in Texas;                     action, it does not trigger the
                                             examined from each consignment. Fresh                   Decreased Assessment Rate                             requirements contained, in Executive
                                             cherimoya fruit can be shipped to the                                                                         Order 13771. See OMB’s Memorandum
                                                                                                     AGENCY:  Agricultural Marketing Service,
                                             continental United States under the                                                                           titled ‘‘Interim Guidance Implementing
                                                                                                     USDA.
                                             systems approach only if the                                                                                  Section 2 of the Executive Order of
                                             consignment passes inspection. Any                      ACTION: Final rule.
                                                                                                                                                           January 30, 2017, titled ‘‘Reducing
                                             consignment that does not meet the                      SUMMARY:   This rule implements a                     Regulation and Controlling Regulatory
                                             requirements of this paragraph for                      recommendation from the Texas Valley                  Costs’’ (February 2, 2017).
                                             inspection can still be imported into the               Citrus Committee (Committee) to                          This rule has been reviewed under
                                             United States subject to treatment as                   decrease the assessment rate established              Executive Order 12988, Civil Justice
                                             listed in paragraph (b)(1) of this section.             for the 2017–18 and subsequent fiscal                 Reform. Under the provisions of the
                                             Inspection procedures are as follows:                   periods for oranges and grapefruit                    Order now in effect, Texas orange and
                                                (A) Fruit presented for inspection                                                                         grapefruit handlers are subject to
                                                                                                     handled under Marketing Order 906.
                                             must be identified in the shipping                                                                            assessments. Funds to administer the
                                                                                                     The assessment rate will remain in
                                             documents accompanying each lot of                                                                            Order are derived from such
                                                                                                     effect indefinitely unless modified,
                                             fruit to specify the production site or                                                                       assessments. It is intended that the
                                                                                                     suspended, or terminated. This rule also
                                             sites in which the fruit was produced                                                                         assessment rate will be applicable to all
                                                                                                     makes administrative revisions to the
                                             and the packing shed or sheds in which                                                                        assessable oranges and grapefruit
                                                                                                     subpart headings of the Order.
                                             the fruit was processed. This                                                                                 beginning on August 1, 2017, and
                                             identification must be maintained until                 DATES: Effective April 30, 2018.                      continue until amended, suspended, or
                                             the fruit is released for entry into the                FOR FURTHER INFORMATION CONTACT:                      terminated.
                                             United States.                                          Doris Jamieson, Marketing Specialist, or                 The Act provides that administrative
                                                (B) A biometric sample of the boxes,                 Christian D. Nissen, Regional Director,               proceedings must be exhausted before
                                             crates, or other APHIS-approved                         Southeast Marketing Field Office,                     parties may file suit in court. Under
                                             packing containers from each                            Marketing Order and Agreement                         section 608c(15)(A) of the Act, any
                                             consignment will be selected by the                     Division, Specialty Crops Program,                    handler subject to an order may file
                                             NPPO of Chile, and the fruit from these                 AMS, USDA; Telephone: (863) 324–                      with USDA a petition stating that the
                                             boxes, crates, or other APHIS-approved                  3375, Fax: (863) 291–8614, or Email:                  order, any provision of the order, or any
                                             packing containers will be visually                     Doris.Jamieson@ams.usda.gov or                        obligation imposed in connection with
                                             inspected for quarantine pests. If a                    Christian.Nissen@ams.usda.gov.                        the order is not in accordance with law
                                             single live B. chilensis mite is found                    Small businesses may request                        and request a modification of the order
                                             during the inspection process, the                      information on complying with this                    or to be exempted therefrom. Such
                                             certified low-prevalence production site                regulation by contacting Richard Lower,               handler is afforded the opportunity for
rmajette on DSKBCKNHB2PROD with RULES




                                             where the fruit was grown will lose its                 Marketing Order and Agreement                         a hearing on the petition. After the
                                             certification for the remainder of the                  Division, Specialty Crops Program,                    hearing, USDA would rule on the
                                             harvest season.                                         AMS, USDA, 1400 Independence                          petition. The Act provides that the
                                                (v) Phytosanitary certificate. Each                  Avenue SW, STOP 0237, Washington,                     district court of the United States in any
                                             consignment of fresh cherimoya fruit                    DC 20250–0237; Telephone: (202) 720–                  district in which the handler is an
                                             must be accompanied by a                                2491, Fax: (202) 720–8938, or Email:                  inhabitant, or has his or her principal
                                             phytosanitary certificate issued by the                 Richard.Lower@ams.usda.gov.                           place of business, has jurisdiction to


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                                                               Federal Register / Vol. 83, No. 61 / Thursday, March 29, 2018 / Rules and Regulations                                          13379

                                             review USDA’s ruling on the petition,                   to cover budgeted expenses of $152,920.               2015–16 season was approximately
                                             provided an action is filed not later than              Funds in the reserve (currently                       $17.48 per box and total shipments were
                                             20 days after the date of the entry of the              $282,572) will be kept within the                     7.5 million boxes. Using the average
                                             ruling.                                                 maximum permitted by the Order                        price and shipment information, the
                                                The Order provides authority for the                 (approximately one fiscal period’s                    number of handlers (13), and assuming
                                             Committee, with the approval of USDA,                   expenses as stated in § 906.35).                      a normal distribution, the majority of
                                             to formulate an annual budget of                          The assessment rate established in                  handlers would have average annual
                                             expenses and collect assessments from                   this rule will continue in effect                     receipts of greater than $7,500,000.
                                             handlers to administer the program. The                 indefinitely unless modified,                         Thus, the majority of Texas citrus
                                             members are familiar with the                           suspended, or terminated by USDA                      handlers may be classified as large
                                             Committee’s needs and with the costs of                 upon recommendation and information                   business entities.
                                             goods and services in their local area                  submitted by the Committee or other                      In addition, based on information
                                             and are thus in a position to formulate                 available information.                                from the National Agricultural Statistics
                                             an appropriate budget and assessment                      Although this assessment rate will be               Service, the weighted grower price for
                                             rate. The assessment rate is formulated                 in effect for an indefinite period, the               Texas citrus during the 2015–16 season
                                             and discussed in a public meeting.                      Committee will continue to meet prior                 was approximately $14.64 per box.
                                             Thus, all directly affected persons have                to or during each fiscal period to                    Using the weighted average price and
                                             an opportunity to participate and                       recommend a budget of expenses and                    shipment information, and assuming a
                                             provide input.                                          consider recommendations for                          normal distribution, the majority of
                                                This rule decreases the assessment                   modification of the assessment rate. The              producers would have annual receipts
                                             rate from $0.09, the rate that was                      dates and times of Committee meetings                 of less than $750,000. Thus, the majority
                                             established for the 2016–17 and                         are available from the Committee or                   of Texas citrus producers may be
                                             subsequent fiscal periods, to $0.02 per                 USDA. Committee meetings are open to                  classified as small business entities.
                                             7/10-bushel carton or equivalent of                     the public and interested persons may                    This rule decreases the assessment
                                             oranges and grapefruit handled for the                  express their views at these meetings.                rate collected from handlers for the
                                             2017–18 and subsequent fiscal periods.                  USDA will evaluate Committee                          2017–18 and subsequent fiscal periods
                                             The decrease reflects a reduction in                    recommendations and other available                   from $0.09 to $0.02 per 7/10-weight
                                             expenses of more than $595,000 from                     information to determine whether                      bushel carton or equivalent of Texas
                                             not funding the Mexican fruit fly control               modification of the assessment rate is                citrus. The Committee unanimously
                                             program.                                                needed. Further rulemaking will be                    recommended 2017–18 expenditures of
                                                The Committee met on August 8,                       undertaken as necessary. The                          $152,920 and an assessment rate of
                                             2017, and unanimously recommended                       Committee’s 2017–18 budget and those                  $0.02 per 7/10-bushel carton or
                                             2017–18 expenditures of $152,920 and                    for subsequent fiscal periods would be                equivalent handled. The assessment rate
                                             an assessment rate of $0.02 per 7/10-                   reviewed and, as appropriate, approved                of $0.02 is $0.07 lower than the 2016–
                                             bushel carton or equivalent of oranges                  by USDA.                                              17 rate. The quantity of assessable
                                             and grapefruit. The assessment rate of                                                                        oranges and grapefruit for the 2017–18
                                             $0.02 is $0.07 lower than the rate                      Final Regulatory Flexibility Analysis                 fiscal period is estimated at 7.5 million
                                             currently in effect. The Committee                         Pursuant to requirements set forth in              7/10-bushel cartons. Thus, the $0.02
                                             recommended decreasing the                              the Regulatory Flexibility Act (RFA) (5               rate should provide $150,000 in
                                             assessment rate to reflect that they                    U.S.C. 601–612), the Agricultural                     assessment income. Income derived
                                             would not be funding the Mexican fruit                  Marketing Service (AMS) has                           from handler assessments, along with
                                             fly control program, reducing their                     considered the economic impact of this                interest income and funds from the
                                             budget by more than $595,000. Income                    rule on small entities. Accordingly,                  Committee’s authorized reserve, should
                                             derived from handler assessments, along                 AMS has prepared this final regulatory                be adequate to cover budgeted expenses.
                                             with interest income and funds from the                 flexibility analysis.                                    The major expenditures
                                             Committee’s authorized reserve, will be                    The purpose of the RFA is to fit                   recommended by the Committee for the
                                             adequate to cover budgeted expenses.                    regulatory actions to the scale of                    2017–18 year include $79,220 for
                                                Of the total $152,920 budgeted for the               businesses subject to such actions in                 management, $50,000 for compliance,
                                             2017–18 fiscal period, major                            order that small businesses will not be               and $23,700 for operating expenses.
                                             expenditures recommended by the                         unduly or disproportionately burdened.                Budgeted expenses for these items in
                                             Committee include $79,220 for                           Marketing orders issued pursuant to the               2016–17 were $77,200, $50,000, and
                                             management, $50,000 for compliance,                     Act, and the rules issued thereunder, are             $23,700, respectively.
                                             and $23,700 for operating expenses.                     unique in that they are brought about                    The Committee recommended
                                             Compared to the previous fiscal year’s                  through group action of essentially                   decreasing the assessment rate to reflect
                                             budget of $751,148, budgeted expenses                   small entities acting on their own                    that it would not be funding the
                                             for these items in 2016–17 were                         behalf.                                               Mexican fruit fly control program,
                                             $77,200, $50,000, and $23,700,                             There are approximately 170                        reducing its budget by more than
                                             respectively.                                           producers of oranges and grapefruit in                $595,000.
                                                The assessment rate recommended by                   the production area and 13 handlers                      Prior to arriving at this budget and
                                             the Committee was derived by                            subject to regulation under the Order.                assessment rate, the Committee
                                             considering anticipated expenses,                       Small agricultural producers are defined              considered information from various
                                             expected shipments, and the amount of                   by the Small Business Administration                  sources, such as the Committee’s Budget
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                                             funds available in the authorized                       (SBA) as those having annual receipts                 and Personnel Committee, and the
                                             reserve. Income derived from handler                    less than $750,000, and small                         Research Committee. Alternative
                                             assessments calculated at $150,000 (7.5                 agricultural service firms are defined as             expenditure levels were discussed by
                                             million 7/10-bushel cartons assessed at                 those whose annual receipts are less                  these committees who reviewed the
                                             $0.02 per carton), along with interest                  than $7,500,000 (13 CFR 121.201).                     relative value of various activities to the
                                             income and funds from the Committee’s                      According to Committee data, the                   Texas citrus industry. These committees
                                             authorized reserve, should be adequate                  average price for Texas citrus during the             determined that all program activities


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                                             13380             Federal Register / Vol. 83, No. 61 / Thursday, March 29, 2018 / Rules and Regulations

                                             were adequately funded and essential to                 use of the internet and other                         [Subpart Redesignated as Subpart B
                                             the functionality of the Order, thus no                 information technologies to provide                   and Amended]
                                             alternate expenditure levels were                       increased opportunities for citizen
                                             deemed appropriate. Additionally,                       access to Government information and                  ■ 3. Redesignate ‘‘Subpart—Rules and
                                             alternate assessment rates of $0.01 and                 services, and for other purposes.                     Regulations’’ as subpart B and revise the
                                             $0.015 per 7/10 bushel-carton were                         A proposed rule concerning this                    heading to read as follows:
                                             discussed. However, it was determined                   action was published in the Federal
                                             that these lower assessment rates would                 Register on December 4, 2017 (82 FR                   Subpart B—Administrative
                                             draw too heavily from reserves, roughly                 57164). Copies of the proposed rule                   Requirements
                                             $78,000 and $43,000, respectively. The                  were also mailed or sent via facsimile to
                                                                                                                                                           ■ 4. Section 906.235 is revised to read
                                             proposed rate of $0.02 per 7/10 bushel-                 all Texas citrus handlers. Finally, the
                                                                                                                                                           as follows:
                                             carton would draw an anticipated                        proposal was made available through
                                             $2,800 from reserves, thereby leaving                   the internet by USDA and the Office of                § 906.235   Assessment rate.
                                             reserves intact for future needs.                       the Federal Register. A 30-day comment                  On and after August 1, 2017, an
                                                A review of historical information and               period ending January 3, 2018, was                    assessment rate of $0.02 per 7/10-bushel
                                             preliminary information pertaining to                   provided for interested persons to                    carton or equivalent is established for
                                             the upcoming fiscal period indicates                    respond to the proposal. Two comments                 oranges and grapefruit grown in the
                                             that the average grower price for the                   were received, one in support of the                  Lower Rio Grande Valley in Texas.
                                             2017–18 season should be                                change, and one comment outside the
                                             approximately $15.50 per 7/10-bushel                    scope of this action. One commenter in                [Subpart Redesignated as Subpart C]
                                             carton or equivalent of oranges and                     support of the action stated that the
                                             grapefruit. Therefore, the estimated                    reduced rate is fair and continues to                 ■ 5. Redesignate ‘‘Subpart—Container
                                             assessment revenue for the 2017–18                      allow the Committee to pay its                        and Pack Requirements’’ as ‘‘Subpart
                                             crop year as a percentage of total grower               expenses. Administrative revisions to                 C—Container and Pack Requirements.’’
                                             revenue would be about 0.1 percent.                     the subpart headings were included in                   Dated: March 23, 2018.
                                                This action decreases the assessment                 the proposed rule. No comments were                   Bruce Summers,
                                             obligation imposed on handlers.                         received on those changes. Accordingly,
                                             Assessments are applied uniformly on                                                                          Acting Administrator, Agricultural Marketing
                                                                                                     no changes will be made to the rule as                Service.
                                             all handlers, and some of the costs may                 proposed, based on the comments
                                             be passed on to producers. However,                                                                           [FR Doc. 2018–06282 Filed 3–28–18; 8:45 am]
                                                                                                     received.
                                             decreasing the assessment rate reduces                     A small business guide on complying
                                                                                                                                                           BILLING CODE 3410–02–P
                                             the burden on handlers, and may reduce                  with fruit, vegetable, and specialty crop
                                             the burden on producers.                                marketing agreements and orders may
                                                The Committee’s meeting was widely                   be viewed at: http://www.ams.usda.gov/                DEPARTMENT OF TRANSPORTATION
                                             publicized throughout the Texas citrus                  rules-regulations/moa/small-businesses.
                                             industry and all interested persons were                                                                      Federal Aviation Administration
                                                                                                     Any questions about the compliance
                                             invited to attend the meeting and                       guide should be sent to Richard Lower
                                             participate in Committee deliberations                                                                        14 CFR Part 39
                                                                                                     at the previously mentioned address in
                                             on all issues. Like all Committee                       the FOR FURTHER INFORMATION CONTACT                   [Docket No. FAA–2017–1011; Product
                                             meetings, the August 8, 2017, meeting                   section.                                              Identifier 2017–SW–004–AD; Amendment
                                             was a public meeting and all entities,                     After consideration of all relevant                39–19232; AD 2018–07–01]
                                             both large and small, were able to                      material presented, including the                     RIN 2120–AA64
                                             express views on this issue.                            information and recommendation
                                                In accordance with the Paperwork                                                                           Airworthiness Directives; Airbus
                                                                                                     submitted by the Committee and other
                                             Reduction Act of 1995 (44 U.S.C.                                                                              Helicopters Deutschland GmbH (Type
                                                                                                     available information, it is hereby found
                                             Chapter 35), the Order’s information                                                                          Certificate Previously Held by
                                                                                                     that this rule will tend to effectuate the
                                             collection requirements have been                                                                             Eurocopter Deutschland GmbH)
                                                                                                     declared policy of the Act.
                                             previously approved by OMB and
                                             assigned OMB No. 0581–0189, Fruit                       List of Subjects in 7 CFR Part 906                    AGENCY:  Federal Aviation
                                             Crops. No changes in those                                Grapefruit, Marketing agreements,                   Administration (FAA), DOT.
                                             requirements as a result of this action                 Oranges, Reporting and recordkeeping                  ACTION: Final rule.
                                             are necessary. Should any changes                       requirements.
                                             become necessary, they would be                                                                               SUMMARY:  We are superseding
                                                                                                       For the reasons set forth in the                    Airworthiness Directive (AD) 2013–16–
                                             submitted to OMB for approval.                          preamble, 7 CFR part 906 is amended as
                                                This rule imposes no additional                                                                            14 for Eurocopter Deutschland GmbH
                                                                                                     follows:                                              (now Airbus Helicopters Deutschland
                                             reporting or recordkeeping requirements
                                             on either small or large Texas orange                   PART 906—ORANGES AND                                  GmbH) Model EC 135 P1, P2, P2+, T1,
                                             and grapefruit handlers. As with all                    GRAPEFRUIT GROWN IN LOWER RIO                         T2, and T2+ helicopters. AD 2013–16–
                                             Federal marketing order programs,                       GRANDE VALLEY IN TEXAS                                14 required installing a washer in and
                                             reports and forms are periodically                                                                            modifying the main transmission filter
                                             reviewed to reduce information                          ■ 1. The authority citation for 7 CFR                 housing upper part. Since we issued AD
                                             requirements and duplication by                         part 906 continues to read as follows:                2013–16–14, Airbus Helicopters
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                                             industry and public sector agencies. As                                                                       Deutschland GmbH has extended the
                                                                                                         Authority: 7 U.S.C. 601–674.
                                             noted in the initial regulatory flexibility                                                                   overhaul interval for the main
                                             analysis, USDA has not identified any                   [Subpart Redesignated as Subpart A]                   transmission and determined that other
                                             relevant Federal rules that duplicate,                                                                        models may have the same unsafe
                                             overlap, or conflict with this final rule.              ■ 2. Redesignate ‘‘Subpart—Order                      condition. This AD retains the
                                                AMS is committed to complying with                   Regulating Handling’’ as ‘‘Subpart A—                 requirements of AD 2013–16–14, adds
                                             the E-Government Act, to promote the                    Order Regulating Handling.’’                          models to the applicability, and revises


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Document Created: 2018-03-29 00:26:00
Document Modified: 2018-03-29 00:26:00
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
ActionFinal rule.
DatesEffective April 30, 2018.
ContactDoris Jamieson, Marketing Specialist, or Christian D. Nissen, Regional Director, Southeast Marketing Field Office, Marketing Order and Agreement Division, Specialty Crops Program, AMS, USDA; Telephone: (863) 324-3375, Fax: (863) 291-8614, or Email: [email protected] or [email protected]
FR Citation83 FR 13378 
CFR AssociatedGrapefruit; Marketing Agreements; Oranges and Reporting and Recordkeeping Requirements

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