83_FR_14444 83 FR 14379 - Olives Grown in California; Decreased Assessment Rate

83 FR 14379 - Olives Grown in California; Decreased Assessment Rate

DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service

Federal Register Volume 83, Issue 65 (April 4, 2018)

Page Range14379-14381
FR Document2018-06877

This proposed rule would implement a recommendation from the California Olive Committee (Committee) to decrease the assessment rate established for the 2018 fiscal year and subsequent fiscal years. The assessment rate would remain in effect indefinitely unless modified, suspended, or terminated.

Federal Register, Volume 83 Issue 65 (Wednesday, April 4, 2018)
[Federal Register Volume 83, Number 65 (Wednesday, April 4, 2018)]
[Proposed Rules]
[Pages 14379-14381]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-06877]


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

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

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


Federal Register / Vol. 83, No. 65 / Wednesday, April 4, 2018 / 
Proposed Rules

[[Page 14379]]



DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 932

[Doc. No. AMS-SC-18-0001; SC18-932-1 PR]


Olives Grown in California; Decreased Assessment Rate

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Proposed rule.

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

SUMMARY: This proposed rule would implement a recommendation from the 
California Olive Committee (Committee) to decrease the assessment rate 
established for the 2018 fiscal year and subsequent fiscal years. The 
assessment rate would remain in effect indefinitely unless modified, 
suspended, or terminated.

DATES: Comments must be received by May 4, 2018.

ADDRESSES: Interested persons are invited to submit written comments 
concerning this proposed rule. Comments must be sent to the Docket 
Clerk, Marketing Order and Agreement Division, 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 
proposed rule will be included in the record and will be made available 
to the public. Please be advised that the identity of the individuals 
or entities submitting the comments will be made public on the internet 
at the address provided above.

FOR FURTHER INFORMATION CONTACT: Peter Sommers, Marketing Specialist or 
Jeffrey Smutny, Regional Director, California Marketing Field Office, 
Marketing Order and Agreement Division, Specialty Crops Program, AMS, 
USDA; Telephone: (559) 487-5901, Fax: (559) 487-5906, or Email: 
[email protected] or [email protected].
    Small businesses may request information on complying with this 
regulation by contacting Richard Lower, Marketing Order and Agreement 
Division, Specialty Crops Program, AMS, USDA, 1400 Independence Avenue 
SW, STOP 0237, Washington, DC 20250-0237; Telephone: (202) 720-2491, 
Fax: (202) 720-8938, or Email: [email protected].

SUPPLEMENTARY INFORMATION: This action, pursuant to 5 U.S.C. 553, 
proposes an amendment to regulations issued to carry out a marketing 
order as defined in 7 CFR 900.2(j). This proposed rule is issued under 
Marketing Agreement and Order No. 932, as amended (7 CFR part 932), 
regulating the handling of olives grown in California. Part 932 
(referred to as the ``Order'') is effective under the Agricultural 
Marketing Agreement Act of 1937, as amended (7 U.S.C. 601-674), 
hereinafter referred to as the ``Act.'' The Committee locally 
administers the Order and is comprised of producers and handlers of 
olives operating within the area of production.
    The Department of Agriculture (USDA) is issuing this rule in 
conformance with Executive Orders 13563 and 13175. This action falls 
within a category of regulatory actions that the Office of Management 
and Budget (OMB) exempted from Executive Order 12866 review. 
Additionally, because this rule does not meet the definition of a 
significant regulatory action, it does not trigger the requirements 
contained in Executive Order 13771. See OMB's Memorandum titled 
``Interim Guidance Implementing Section 2 of the Executive Order of 
January 30, 2017, titled `Reducing Regulation and Controlling 
Regulatory Costs' '' (February 2, 2017).
    This proposed rule has been reviewed under Executive Order 12988, 
Civil Justice Reform. Under the Order now in effect, California olive 
handlers are subject to assessments. Funds to administer the Order are 
derived from such assessments. It is intended that the proposed 
assessment rate would be applicable to all assessable olives beginning 
on January 1, 2018, and continue until amended, suspended, or 
terminated.
    The Act provides that administrative proceedings must be exhausted 
before parties may file suit in court. Under section 608c(15)(A) of the 
Act, any handler subject to an order may file with USDA a petition 
stating that the order, any provision of the order, or any obligation 
imposed in connection with the order is not in accordance with law and 
request a modification of the order or to be exempted therefrom. Such 
handler is afforded the opportunity for a hearing on the petition. 
After the hearing, USDA would rule on the petition. The Act provides 
that the district court of the United States in any district in which 
the handler is an inhabitant, or has his or her principal place of 
business, has jurisdiction to review USDA's ruling on the petition, 
provided an action is filed not later than 20 days after the date of 
the entry of the ruling.
    This proposed rule would decrease the assessment rate for the 2018 
and subsequent fiscal years from $26.00 to $24.00 per ton of assessed 
olives.
    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 of the 
Committee are producers and handlers of olives in California. 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 in a public meeting where all directly affected persons have 
an opportunity to participate and provide input in budget matters.
    For the 2015 and subsequent fiscal years, the Committee 
recommended, and USDA approved, an assessment rate of $26.00 per ton of 
assessed olives. That rate would continue in effect 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 13, 2017, and unanimously recommended 
2018 expenditures of $1,940,477, and an assessment rate of $24.00 per 
ton of assessed olives. In comparison, last

[[Page 14380]]

year's budgeted expenditures were $1,752,366. The proposed assessment 
rate of $24.00 is $2.00 lower than the rate currently in effect. 
Producer receipts show a yield of 83,799 tons of assessable olives from 
the 2017 crop year. This is higher than the 2016 crop year, which 
yielded 63,000 tons of assessable olives. The 2018 fiscal year 
assessment rate decrease is necessary to ensure the Committee has 
sufficient revenue to fund the recommended 2018 budgeted expenditures 
while ensuring the funds in the financial reserve would be kept within 
the maximum permitted by Sec.  932.40.
    The Order has a fiscal year and a crop year that are independent of 
each other. The crop year is a 12-month period that begins on August 1 
of each year and ends on July 31 of the following year. The fiscal year 
is the 12-month period that begins on January 1 and ends on December 31 
of each year. Olives are an alternate-bearing crop, with a small crop 
followed by a large crop. For this assessment rate proposed rule, the 
actual 2017 crop year receipts are used to determine the assessment 
rate for the 2018 fiscal year.
    The major expenditures recommended by the Committee for 2018 
includes $401,200 for program administration, $973,500 for marketing 
activities, and $297,777 for research. Budgeted expenses for these 
items during the 2017 fiscal year were $513,100 for program 
administration, $823,500 for marketing activities, and $317,766 for 
research. The assessment rate recommended by the Committee resulted 
from consideration of anticipated fiscal year expenses, actual olive 
tonnage received by handers during the 2017 crop year, and the amount 
in the Committee's financial reserve.
    Income derived from handler assessments, along with interest income 
and funds from the Committee's authorized reserve will be adequate to 
cover budgeted expenses. Funds in the reserve will be kept within the 
maximum permitted by the Order of approximately one fiscal year's 
expenses.
    The proposed assessment rate would 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 would be in effect for an indefinite 
period, the Committee would continue to meet prior to or during each 
fiscal year to recommend a budget of expenses and consider 
recommendations for modification of the assessment rate. The dates and 
times of Committee meetings are available from the Committee or USDA. 
Committee meetings are open to the public and interested persons may 
express their views at these meetings. USDA would evaluate Committee 
recommendations and other available information to determine whether 
modification of the assessment rate is needed. Further rulemaking would 
be undertaken as necessary. The Committee's budget for subsequent 
fiscal years would be reviewed and, as appropriate, approved by USDA.

Initial Regulatory Flexibility Analysis

    Pursuant to requirements set forth in the Regulatory Flexibility 
Act (RFA) (5 U.S.C. 601-612), the Agricultural Marketing Service (AMS) 
has considered the economic impact of this proposed rule on small 
entities. Accordingly, AMS has prepared this initial regulatory 
flexibility analysis.
    The purpose of the RFA is to fit regulatory actions to the scale of 
businesses subject to such actions in order that small businesses will 
not be unduly or disproportionately burdened. Marketing orders issued 
pursuant to the Act, and the rules issued thereunder, are unique in 
that they are brought about through group action of essentially small 
entities acting on their own behalf.
    There are approximately 1,100 producers of olives in the production 
area and two handlers subject to regulation under the Order. Small 
agricultural producers are defined by the Small Business Administration 
(SBA) as those having annual receipts less than $750,000, and small 
agricultural service firms are defined as those whose annual receipts 
are less than $7,500,000 (13 CFR 121.201). Based upon National 
Agricultural Statistics Service (NASS) information, the average price 
to producers for the 2016 crop year was $865.00 per ton, and total 
assessable volume for the 2017 crop year was 83,799 tons. Based on 
production, price paid to producer, and the total number of California 
olive producers, the average annual producer revenue is less than 
$750,000 ($865.00 times 83,799 equals $72,486,135, divided by 1,100 
producers equals an average annual producer revenue of $65,896). Thus, 
the majority of olive producers may be classified as small entities. 
Both of the handlers may be classified as large entities under the 
SBA's definitions because of their annual receipts are greater than 
$7,500,000.
    This proposal would decrease the assessment rate collected from 
handlers for the 2018 and subsequent fiscal years from $26.00 to $24.00 
per ton of assessable olives. The Committee unanimously recommended 
2018 expenditures of $1,940,477 and an assessment rate of $24.00 per 
ton of assessable olives. The recommended assessment rate of $24.00 is 
$2.00 lower than the 2017 rate. The quantity of assessable olives for 
the 2017 crop year is 83,799 tons. Thus, the $24.00 rate should provide 
$2,011,176. The lower assessment rate is possible because annual 
receipts for the 2017 crop year are 83,799 tons compared to 63,000 tons 
for the 2016 crop year. Olives are an alternate-bearing crop, with a 
small crop followed by a large crop. Income derived from the $24.00 per 
ton assessment rate, along with funds from the authorized reserve and 
interest income, should be adequate to meet this fiscal year's 
expenses.
    The major expenditures recommended by the Committee for the 2018 
fiscal year include $401,200 for program administration, $973,500 for 
marketing activities, and $297,777 for research. Budgeted expenses for 
these items during the 2017 fiscal year were $513,100 for program 
administration, $823,500 for marketing activities, and $317,766 for 
research.
    The Committee deliberated on many of the expenses, weighed the 
relative value of various programs or projects, and increased their 
expenses for marketing and research activities. The Committee decreased 
their inspection costs because expenses incurred in previous years 
towards the development of electronic reporting and optical sizing 
projects have been completed and, as a result, the industry is able to 
utilize new, cost saving procedures.
    Prior to arriving at this budget and assessment rate, the Committee 
considered information from various sources including the Committee's 
Executive, Marketing, Inspection, and Research Subcommittees. Alternate 
expenditure levels were discussed by these groups, based upon the 
relative value of various projects to the olive industry and the 
increased olive production. The assessment rate of $24.00 per ton of 
assessable olives was derived by considering anticipated expenses, the 
volume of assessable olives, and additional pertinent factors.
    A review of NASS information indicates that the average producer 
price for the 2016 crop year was $865.00 per ton. Therefore, utilizing 
the assessment rate of $24.00 per ton, the assessment revenue for the 
2018 fiscal year as a percentage of total producer revenue would be 
approximately 2.77 percent.

[[Page 14381]]

    This action would decrease the assessment rate collected from 
handlers for the 2018 and subsequent fiscal years. Assessments are 
applied uniformly on all handlers, and some of the costs may be passed 
on to producers. However, decreasing the assessment rate would reduce 
the burden on handlers, and may reduce the burden on producers.
    In addition, the Committee's meeting was widely publicized 
throughout the production area. The olive 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 
13, 2017, meeting was a public meeting and all entities, both large and 
small, were able to express views on this issue. Finally, interested 
persons are invited to submit comments on this proposed rule, including 
the regulatory and information collection 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 OMB and assigned OMB No. 0581-0178. No changes 
in those requirements as a result of this action are necessary. Should 
any changes become necessary, they would be submitted to OMB for 
approval.
    This proposed rule would impose no additional reporting or 
recordkeeping requirements on either small or large California olive 
handlers. As with all Federal marketing order programs, reports and 
forms are periodically reviewed to reduce information requirements and 
duplication by industry and public sector agencies.
    AMS is committed to complying with the E-Government Act, to promote 
the use of the internet and other information technologies to provide 
increased opportunities for citizen access to Government information 
and services, and for other purposes.
    USDA has not identified any relevant Federal rules that duplicate, 
overlap, or conflict with this action.
    A small business guide on complying with fruit, vegetable, and 
specialty crop marketing agreements and orders may be viewed at: http://www.ams.usda.gov/rules-regulations/moa/small-businesses. Any questions 
about the compliance guide should be sent to Richard Lower at the 
previously-mentioned address in the FOR FURTHER INFORMATION CONTACT 
section.
    A 30-day comment period is provided to allow interested persons to 
respond to this proposed rule. All written comments timely received 
will be considered before a final determination is made on this rule.

List of Subjects in 7 CFR Part 932

    Marketing agreements, Olives, Reporting and recordkeeping 
requirements.

    For the reasons set forth in the preamble, 7 CFR part 932 is 
proposed to be amended as follows:

PART 932--OLIVES GROWN IN CALIFORNIA

0
1. The authority citation for 7 CFR part 932 continues to read as 
follows:


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

0
2. Section 932.230 is revised to read as follows:


Sec.  932.230  Assessment rate.

    On and after January 1, 2018, an assessment rate of $24.00 per ton 
is established for California olives.

    Dated: March 30, 2018.
Bruce Summers,
Acting Administrator, Agricultural Marketing Service.
[FR Doc. 2018-06877 Filed 4-3-18; 8:45 am]
 BILLING CODE 3410-02-P



                                                                                                                                                                                                14379

                                               Proposed Rules                                                                                                 Federal Register
                                                                                                                                                              Vol. 83, No. 65

                                                                                                                                                              Wednesday, April 4, 2018



                                               This section of the FEDERAL REGISTER                    California Marketing Field Office,                     beginning on January 1, 2018, and
                                               contains notices to the public of the proposed          Marketing Order and Agreement                          continue until amended, suspended, or
                                               issuance of rules and regulations. The                  Division, Specialty Crops Program,                     terminated.
                                               purpose of these notices is to give interested          AMS, USDA; Telephone: (559) 487–                          The Act provides that administrative
                                               persons an opportunity to participate in the            5901, Fax: (559) 487–5906, or Email:                   proceedings must be exhausted before
                                               rule making prior to the adoption of the final
                                               rules.
                                                                                                       PeterR.Sommers@ams.usda.gov or                         parties may file suit in court. Under
                                                                                                       Jeffrey.Smutny@ams.usda.gov.                           section 608c(15)(A) of the Act, any
                                                                                                          Small businesses may request                        handler subject to an order may file
                                               DEPARTMENT OF AGRICULTURE                               information on complying with this                     with USDA a petition stating that the
                                                                                                       regulation by contacting Richard Lower,                order, any provision of the order, or any
                                               Agricultural Marketing Service                          Marketing Order and Agreement                          obligation imposed in connection with
                                                                                                       Division, Specialty Crops Program,                     the order is not in accordance with law
                                               7 CFR Part 932                                          AMS, USDA, 1400 Independence                           and request a modification of the order
                                                                                                       Avenue SW, STOP 0237, Washington,                      or to be exempted therefrom. Such
                                               [Doc. No. AMS–SC–18–0001; SC18–932–1
                                               PR]                                                     DC 20250–0237; Telephone: (202) 720–                   handler is afforded the opportunity for
                                                                                                       2491, Fax: (202) 720–8938, or Email:                   a hearing on the petition. After the
                                               Olives Grown in California; Decreased                   Richard.Lower@ams.usda.gov.                            hearing, USDA would rule on the
                                               Assessment Rate                                         SUPPLEMENTARY INFORMATION: This                        petition. The Act provides that the
                                                                                                       action, pursuant to 5 U.S.C. 553,                      district court of the United States in any
                                               AGENCY:  Agricultural Marketing Service,                proposes an amendment to regulations                   district in which the handler is an
                                               USDA.                                                   issued to carry out a marketing order as               inhabitant, or has his or her principal
                                               ACTION: Proposed rule.                                  defined in 7 CFR 900.2(j). This proposed               place of business, has jurisdiction to
                                               SUMMARY:   This proposed rule would                     rule is issued under Marketing                         review USDA’s ruling on the petition,
                                               implement a recommendation from the                     Agreement and Order No. 932, as                        provided an action is filed not later than
                                               California Olive Committee (Committee)                  amended (7 CFR part 932), regulating                   20 days after the date of the entry of the
                                               to decrease the assessment rate                         the handling of olives grown in                        ruling.
                                               established for the 2018 fiscal year and                California. Part 932 (referred to as the                  This proposed rule would decrease
                                               subsequent fiscal years. The assessment                 ‘‘Order’’) is effective under the                      the assessment rate for the 2018 and
                                               rate would remain in effect indefinitely                Agricultural Marketing Agreement Act                   subsequent fiscal years from $26.00 to
                                               unless modified, suspended, or                          of 1937, as amended (7 U.S.C. 601–674),                $24.00 per ton of assessed olives.
                                               terminated.                                             hereinafter referred to as the ‘‘Act.’’ The               The Order provides authority for the
                                                                                                       Committee locally administers the                      Committee, with the approval of USDA,
                                               DATES: Comments must be received by                     Order and is comprised of producers                    to formulate an annual budget of
                                               May 4, 2018.                                            and handlers of olives operating within                expenses and collect assessments from
                                               ADDRESSES: Interested persons are                       the area of production.                                handlers to administer the program. The
                                               invited to submit written comments                         The Department of Agriculture                       members of the Committee are
                                               concerning this proposed rule.                          (USDA) is issuing this rule in                         producers and handlers of olives in
                                               Comments must be sent to the Docket                     conformance with Executive Orders                      California. They are familiar with the
                                               Clerk, Marketing Order and Agreement                    13563 and 13175. This action falls                     Committee’s needs and with the costs
                                               Division, Specialty Crops Program,                      within a category of regulatory actions                for goods and services in their local area
                                               AMS, USDA, 1400 Independence                            that the Office of Management and                      and are thus in a position to formulate
                                               Avenue SW, STOP 0237, Washington,                       Budget (OMB) exempted from Executive                   an appropriate budget and assessment
                                               DC 20250–0237; Fax: (202) 720–8938; or                  Order 12866 review. Additionally,                      rate. The assessment rate is formulated
                                               internet: http://www.regulations.gov.                   because this rule does not meet the                    in a public meeting where all directly
                                               Comments should reference the                           definition of a significant regulatory                 affected persons have an opportunity to
                                               document number and the date and                        action, it does not trigger the                        participate and provide input in budget
                                               page number of this issue of the Federal                requirements contained in Executive                    matters.
                                               Register and will be available for public               Order 13771. See OMB’s Memorandum                         For the 2015 and subsequent fiscal
                                               inspection in the Office of the Docket                  titled ‘‘Interim Guidance Implementing                 years, the Committee recommended,
                                               Clerk during regular business hours, or                 Section 2 of the Executive Order of                    and USDA approved, an assessment rate
                                               can be viewed at: http://                               January 30, 2017, titled ‘Reducing                     of $26.00 per ton of assessed olives.
                                               www.regulations.gov. All comments                       Regulation and Controlling Regulatory                  That rate would continue in effect
                                               submitted in response to this proposed                  Costs’ ’’ (February 2, 2017).                          unless modified, suspended, or
                                               rule will be included in the record and                    This proposed rule has been reviewed                terminated by USDA upon
                                               will be made available to the public.
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                                                                                                       under Executive Order 12988, Civil                     recommendation and information
                                               Please be advised that the identity of the              Justice Reform. Under the Order now in                 submitted by the Committee, or other
                                               individuals or entities submitting the                  effect, California olive handlers are                  information available to USDA.
                                               comments will be made public on the                     subject to assessments. Funds to                          The Committee met on December 13,
                                               internet at the address provided above.                 administer the Order are derived from                  2017, and unanimously recommended
                                               FOR FURTHER INFORMATION CONTACT:                        such assessments. It is intended that the              2018 expenditures of $1,940,477, and an
                                               Peter Sommers, Marketing Specialist or                  proposed assessment rate would be                      assessment rate of $24.00 per ton of
                                               Jeffrey Smutny, Regional Director,                      applicable to all assessable olives                    assessed olives. In comparison, last


                                          VerDate Sep<11>2014   17:08 Apr 03, 2018   Jkt 244001   PO 00000   Frm 00001   Fmt 4702   Sfmt 4702   E:\FR\FM\04APP1.SGM   04APP1


                                               14380                   Federal Register / Vol. 83, No. 65 / Wednesday, April 4, 2018 / Proposed Rules

                                               year’s budgeted expenditures were                       modification of the assessment rate. The               for the 2018 and subsequent fiscal years
                                               $1,752,366. The proposed assessment                     dates and times of Committee meetings                  from $26.00 to $24.00 per ton of
                                               rate of $24.00 is $2.00 lower than the                  are available from the Committee or                    assessable olives. The Committee
                                               rate currently in effect. Producer                      USDA. Committee meetings are open to                   unanimously recommended 2018
                                               receipts show a yield of 83,799 tons of                 the public and interested persons may                  expenditures of $1,940,477 and an
                                               assessable olives from the 2017 crop                    express their views at these meetings.                 assessment rate of $24.00 per ton of
                                               year. This is higher than the 2016 crop                 USDA would evaluate Committee                          assessable olives. The recommended
                                               year, which yielded 63,000 tons of                      recommendations and other available                    assessment rate of $24.00 is $2.00 lower
                                               assessable olives. The 2018 fiscal year                 information to determine whether                       than the 2017 rate. The quantity of
                                               assessment rate decrease is necessary to                modification of the assessment rate is                 assessable olives for the 2017 crop year
                                               ensure the Committee has sufficient                     needed. Further rulemaking would be                    is 83,799 tons. Thus, the $24.00 rate
                                               revenue to fund the recommended 2018                    undertaken as necessary. The                           should provide $2,011,176. The lower
                                               budgeted expenditures while ensuring                    Committee’s budget for subsequent                      assessment rate is possible because
                                               the funds in the financial reserve would                fiscal years would be reviewed and, as                 annual receipts for the 2017 crop year
                                               be kept within the maximum permitted                    appropriate, approved by USDA.                         are 83,799 tons compared to 63,000 tons
                                               by § 932.40.                                                                                                   for the 2016 crop year. Olives are an
                                                  The Order has a fiscal year and a crop               Initial Regulatory Flexibility Analysis
                                                                                                                                                              alternate-bearing crop, with a small crop
                                               year that are independent of each other.                  Pursuant to requirements set forth in                followed by a large crop. Income
                                               The crop year is a 12-month period that                 the Regulatory Flexibility Act (RFA) (5                derived from the $24.00 per ton
                                               begins on August 1 of each year and                     U.S.C. 601–612), the Agricultural                      assessment rate, along with funds from
                                               ends on July 31 of the following year.                  Marketing Service (AMS) has                            the authorized reserve and interest
                                               The fiscal year is the 12-month period                  considered the economic impact of this                 income, should be adequate to meet this
                                               that begins on January 1 and ends on                    proposed rule on small entities.                       fiscal year’s expenses.
                                               December 31 of each year. Olives are an                 Accordingly, AMS has prepared this                        The major expenditures
                                               alternate-bearing crop, with a small crop               initial regulatory flexibility analysis.               recommended by the Committee for the
                                               followed by a large crop. For this                        The purpose of the RFA is to fit                     2018 fiscal year include $401,200 for
                                               assessment rate proposed rule, the                      regulatory actions to the scale of                     program administration, $973,500 for
                                               actual 2017 crop year receipts are used                 businesses subject to such actions in                  marketing activities, and $297,777 for
                                               to determine the assessment rate for the                order that small businesses will not be                research. Budgeted expenses for these
                                               2018 fiscal year.                                       unduly or disproportionately burdened.                 items during the 2017 fiscal year were
                                                  The major expenditures                               Marketing orders issued pursuant to the                $513,100 for program administration,
                                               recommended by the Committee for                        Act, and the rules issued thereunder, are              $823,500 for marketing activities, and
                                               2018 includes $401,200 for program                      unique in that they are brought about                  $317,766 for research.
                                               administration, $973,500 for marketing                  through group action of essentially                       The Committee deliberated on many
                                               activities, and $297,777 for research.                  small entities acting on their own                     of the expenses, weighed the relative
                                               Budgeted expenses for these items                       behalf.                                                value of various programs or projects,
                                               during the 2017 fiscal year were                          There are approximately 1,100                        and increased their expenses for
                                               $513,100 for program administration,                    producers of olives in the production                  marketing and research activities. The
                                               $823,500 for marketing activities, and                  area and two handlers subject to                       Committee decreased their inspection
                                               $317,766 for research. The assessment                   regulation under the Order. Small                      costs because expenses incurred in
                                               rate recommended by the Committee                       agricultural producers are defined by                  previous years towards the development
                                               resulted from consideration of                          the Small Business Administration                      of electronic reporting and optical sizing
                                               anticipated fiscal year expenses, actual                (SBA) as those having annual receipts                  projects have been completed and, as a
                                               olive tonnage received by handers                       less than $750,000, and small                          result, the industry is able to utilize
                                               during the 2017 crop year, and the                      agricultural service firms are defined as              new, cost saving procedures.
                                               amount in the Committee’s financial                     those whose annual receipts are less                      Prior to arriving at this budget and
                                               reserve.                                                than $7,500,000 (13 CFR 121.201).                      assessment rate, the Committee
                                                  Income derived from handler                          Based upon National Agricultural                       considered information from various
                                               assessments, along with interest income                 Statistics Service (NASS) information,                 sources including the Committee’s
                                               and funds from the Committee’s                          the average price to producers for the                 Executive, Marketing, Inspection, and
                                               authorized reserve will be adequate to                  2016 crop year was $865.00 per ton, and                Research Subcommittees. Alternate
                                               cover budgeted expenses. Funds in the                   total assessable volume for the 2017                   expenditure levels were discussed by
                                               reserve will be kept within the                         crop year was 83,799 tons. Based on                    these groups, based upon the relative
                                               maximum permitted by the Order of                       production, price paid to producer, and                value of various projects to the olive
                                               approximately one fiscal year’s                         the total number of California olive                   industry and the increased olive
                                               expenses.                                               producers, the average annual producer                 production. The assessment rate of
                                                  The proposed assessment rate would                   revenue is less than $750,000 ($865.00                 $24.00 per ton of assessable olives was
                                               continue in effect indefinitely unless                  times 83,799 equals $72,486,135,                       derived by considering anticipated
                                               modified, suspended, or terminated by                   divided by 1,100 producers equals an                   expenses, the volume of assessable
                                               USDA upon recommendation and                            average annual producer revenue of                     olives, and additional pertinent factors.
                                               information submitted by the                            $65,896). Thus, the majority of olive                     A review of NASS information
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                                               Committee or other available                            producers may be classified as small                   indicates that the average producer
                                               information.                                            entities. Both of the handlers may be                  price for the 2016 crop year was $865.00
                                                  Although this assessment rate would                  classified as large entities under the                 per ton. Therefore, utilizing the
                                               be in effect for an indefinite period, the              SBA’s definitions because of their                     assessment rate of $24.00 per ton, the
                                               Committee would continue to meet                        annual receipts are greater than                       assessment revenue for the 2018 fiscal
                                               prior to or during each fiscal year to                  $7,500,000.                                            year as a percentage of total producer
                                               recommend a budget of expenses and                        This proposal would decrease the                     revenue would be approximately 2.77
                                               consider recommendations for                            assessment rate collected from handlers                percent.


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                                                                       Federal Register / Vol. 83, No. 65 / Wednesday, April 4, 2018 / Proposed Rules                                            14381

                                                  This action would decrease the                       considered before a final determination                ADDRESSES:   You may submit comments
                                               assessment rate collected from handlers                 is made on this rule.                                  identified by docket number USCG–
                                               for the 2018 and subsequent fiscal years.                                                                      2018–0088 using the Federal
                                                                                                       List of Subjects in 7 CFR Part 932
                                               Assessments are applied uniformly on                                                                           eRulemaking Portal at http://
                                               all handlers, and some of the costs may                   Marketing agreements, Olives,                        www.regulations.gov. See the ‘‘Public
                                               be passed on to producers. However,                     Reporting and recordkeeping                            Participation and Request for
                                               decreasing the assessment rate would                    requirements.                                          Comments’’ portion of the
                                               reduce the burden on handlers, and may                    For the reasons set forth in the                     SUPPLEMENTARY INFORMATION section for
                                               reduce the burden on producers.                         preamble, 7 CFR part 932 is proposed to                further instructions on submitting
                                                  In addition, the Committee’s meeting                 be amended as follows:                                 comments.
                                               was widely publicized throughout the
                                                                                                       PART 932—OLIVES GROWN IN                               FOR FURTHER INFORMATION CONTACT: If
                                               production area. The olive industry and
                                                                                                       CALIFORNIA                                             you have questions about this proposed
                                               all interested persons were invited to
                                                                                                                                                              rulemaking, call or email Mr. Ronald
                                               attend the meeting and participate in
                                                                                                       ■ 1. The authority citation for 7 CFR                  Houck, U.S. Coast Guard Sector
                                               Committee deliberations on all issues.
                                                                                                       part 932 continues to read as follows:                 Maryland-National Capital Region;
                                               Like all Committee meetings, the
                                                                                                                                                              telephone 410–576–2674, email
                                               December 13, 2017, meeting was a                            Authority: 7 U.S.C. 601–674.
                                               public meeting and all entities, both                                                                          Ronald.L.Houck@uscg.mil.
                                                                                                       ■ 2. Section 932.230 is revised to read                SUPPLEMENTARY INFORMATION:
                                               large and small, were able to express                   as follows:
                                               views on this issue. Finally, interested                                                                       I. Table of Abbreviations
                                               persons are invited to submit comments                  § 932.230    Assessment rate.
                                                                                                                                                              CFR Code of Federal Regulations
                                               on this proposed rule, including the                      On and after January 1, 2018, an                     COTP Captain of the Port
                                               regulatory and information collection                   assessment rate of $24.00 per ton is                   DHS Department of Homeland Security
                                               impacts of this action on small                         established for California olives.                     E.O. Executive Order
                                               businesses.                                               Dated: March 30, 2018.                               FR Federal Register
                                                  In accordance with the Paperwork                                                                            NPRM Notice of proposed rulemaking
                                                                                                       Bruce Summers,
                                               Reduction Act of 1995, (44 U.S.C.                                                                              § Section
                                               Chapter 35), the Order’s information                    Acting Administrator, Agricultural Marketing           U.S.C. United States Code
                                                                                                       Service.
                                               collection requirements have been                                                                              II. Background, Purpose, and Legal
                                               previously approved by OMB and                          [FR Doc. 2018–06877 Filed 4–3–18; 8:45 am]
                                                                                                       BILLING CODE 3410–02–P
                                                                                                                                                              Basis
                                               assigned OMB No. 0581–0178. No
                                               changes in those requirements as a                                                                                On June 13, 2017, Charcot-Marie-
                                               result of this action are necessary.                                                                           Tooth Association of Trappe, MD,
                                               Should any changes become necessary,                    DEPARTMENT OF HOMELAND                                 notified the Coast Guard that it will be
                                               they would be submitted to OMB for                      SECURITY                                               conducting the swim portion of the
                                               approval.                                                                                                      Oxford Biathlon from 9:15 a.m. until
                                                  This proposed rule would impose no                   Coast Guard                                            10:15 a.m. on June 9, 2018, and if
                                               additional reporting or recordkeeping                                                                          necessary, due to inclement weather,
                                               requirements on either small or large                   33 CFR Part 100                                        from 9:15 a.m. until 10:15 a.m. on June
                                               California olive handlers. As with all                  [Docket Number USCG–2018–0088]                         10, 2018. The swim consists of
                                               Federal marketing order programs,                                                                              approximately 30 participants
                                                                                                       RIN 1625–AA08                                          competing on a designated 1300-meter
                                               reports and forms are periodically
                                               reviewed to reduce information                                                                                 course that starts at the ferry dock at
                                                                                                       Special Local Regulation; Tred Avon
                                               requirements and duplication by                                                                                Bellevue, MD and finishes at the Tred
                                                                                                       River, Between Bellevue, MD and
                                               industry and public sector agencies.                                                                           Avon Yacht Club at Oxford, MD.
                                                                                                       Oxford, MD
                                                  AMS is committed to complying with                                                                          Hazards from the swim competition
                                               the E-Government Act, to promote the                    AGENCY:   Coast Guard, DHS.                            include participants swimming within
                                               use of the internet and other                           ACTION:   Notice of proposed rulemaking.               and adjacent to the designated
                                               information technologies to provide                                                                            navigation channel and interfering with
                                               increased opportunities for citizen                     SUMMARY:   The Coast Guard proposes to                 vessels intending to operate within that
                                               access to Government information and                    establish special local regulations for                channel, as well as swimming within
                                               services, and for other purposes.                       certain waters of the Tred Avon River.                 approaches to public and private
                                                  USDA has not identified any relevant                 This action is necessary to provide for                marinas and public boat facilities. The
                                               Federal rules that duplicate, overlap, or               the safety of life on the navigable waters             COTP Maryland-National Capital
                                               conflict with this action.                              located between Bellevue, MD, and                      Region has determined that potential
                                                  A small business guide on complying                  Oxford, MD, during a swim event on                     hazards associated with the swim would
                                               with fruit, vegetable, and specialty crop               June 9, 2018. If necessary, due to                     be a safety concern for anyone intending
                                               marketing agreements and orders may                     inclement weather, the event will be                   to participate in this event or for vessels
                                               be viewed at: http://www.ams.usda.gov/                  rescheduled to June 10, 2018. This                     that operate within specified waters of
                                               rules-regulations/moa/small-businesses.                 proposed rulemaking would prohibit                     the Tred Avon River between Bellevue,
                                               Any questions about the compliance                      persons and vessels from entering the                  MD, and Oxford, MD.
                                                                                                       regulated area unless authorized by the
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                                               guide should be sent to Richard Lower                                                                             The purpose of this rulemaking is to
                                               at the previously-mentioned address in                  Captain of the Port Maryland-National                  protect event participants, spectators
                                               the FOR FURTHER INFORMATION CONTACT                     Capital Region or the Coast Guard Patrol               and transiting vessels on specified
                                               section.                                                Commander. We invite your comments                     waters of the Tred Avon River before,
                                                  A 30-day comment period is provided                  on this proposed rulemaking.                           during, and after the scheduled event.
                                               to allow interested persons to respond                  DATES: Comments and related material                   The Coast Guard proposes this
                                               to this proposed rule. All written                      must be received by the Coast Guard on                 rulemaking under authority in 33 U.S.C.
                                               comments timely received will be                        or before May 4, 2018.                                 1233, which authorize the Coast Guard


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Document Created: 2018-11-01 09:11:10
Document Modified: 2018-11-01 09:11:10
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionProposed Rules
ActionProposed rule.
DatesComments must be received by May 4, 2018.
ContactPeter Sommers, Marketing Specialist or Jeffrey Smutny, Regional Director, California Marketing Field Office, Marketing Order and Agreement Division, Specialty Crops Program, AMS, USDA; Telephone: (559) 487-5901, Fax: (559) 487-5906, or Email: [email protected] or [email protected]
FR Citation83 FR 14379 
CFR AssociatedMarketing Agreements; Olives and Reporting and Recordkeeping Requirements

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