83_FR_27798 83 FR 27683 - Peanut Promotion, Research, and Information Order; Change in Assessment Rate Computation

83 FR 27683 - Peanut Promotion, Research, and Information Order; Change in Assessment Rate Computation

DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service

Federal Register Volume 83, Issue 115 (June 14, 2018)

Page Range27683-27686
FR Document2018-12731

This rule changes the assessment rate computation under the Agricultural Marketing Service's (AMS) regulations regarding a national research and promotion program (program) for U.S. peanuts. This rule changes the basis for assessment under the regulations from value to volume (per ton). Two rates of assessment are established instead of using the formula currently specified in the regulations. This rule also updates the definition for ``fiscal year'' specified in the regulations to reflect current practices.

Federal Register, Volume 83 Issue 115 (Thursday, June 14, 2018)
[Federal Register Volume 83, Number 115 (Thursday, June 14, 2018)]
[Rules and Regulations]
[Pages 27683-27686]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-12731]


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DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 1216

[Document Number AMS-SC-16-0115]


Peanut Promotion, Research, and Information Order; Change in 
Assessment Rate Computation

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Final rule.

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SUMMARY: This rule changes the assessment rate computation under the 
Agricultural Marketing Service's (AMS) regulations regarding a national 
research and promotion program (program) for U.S. peanuts. This rule 
changes the basis for assessment under the regulations from value to 
volume (per ton). Two rates of assessment are established instead of 
using the formula currently specified in the regulations. This rule 
also updates the definition for ``fiscal year'' specified in the 
regulations to reflect current practices.

DATES: Effective Date: July 16, 2018.

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

SUPPLEMENTARY INFORMATION: This final rule affecting the Peanut 
Promotion, Research, and Information Order (order) at 7 CFR part 1216 
is authorized under the Commodity Promotion, Research, and Information 
Act of 1996 (1996 Act)(7 U.S.C. 7411-7425).

Executive Orders 12866, 13563, and 13771

    Executive Orders 12866 and 13563 direct agencies to assess all 
costs and benefits of available regulatory alternatives and, if 
regulation is necessary, to select regulatory approaches that maximize 
net benefits (including potential economic, environmental, public 
health and safety effects, distributive impacts and equity). Executive 
Order 13563 emphasizes the importance of quantifying both costs and 
benefits, reducing costs, harmonizing rules and promoting flexibility. 
This action 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).

Executive Order 13175

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

Executive Order 12988

    In addition, this final rule has been reviewed under Executive 
Order 12988, Civil Justice Reform. It is not intended to have 
retroactive effect. Section 524 of the 1996 Act (7 U.S.C. 7423) 
provides that it shall not affect or preempt any other Federal or State 
law authorizing promotion or research relating to an agricultural 
commodity.
    Under section 519 of the 1996 Act (7 U.S.C. 7418), a person subject 
to an order may file a written petition with USDA stating that an 
order, any provision of an order, or any obligation imposed in 
connection with an order, is not established in accordance with the 
law, and request a modification of an order or an exemption from an 
order. Any petition filed challenging an order, any provision of an 
order, or any obligation imposed in connection with an order, shall be 
filed within two years after the effective date of an order, provision, 
or obligation subject to challenge in the petition. The petitioner will 
have the opportunity for a hearing on the petition. Thereafter, USDA 
will issue a ruling on the petition. The 1996 Act provides that the 
district court of the United States for any district in which the 
petitioner resides or conducts business shall have the jurisdiction to 
review a final ruling on the petition, if the petitioner files a 
complaint for that purpose not later than 20 days after the date of the 
entry of USDA's final ruling.

Background

    This rule changes the assessment rate computation under the Peanut 
Promotion, Research, and Information Order. Part 1216 is administered 
by the Board with oversight by USDA. This rule changes the basis for 
assessment under the program from value to volume (per ton). Two rates 
of assessment are established instead of using the formula currently 
specified in this part. The assessment rates will be $3.55 per ton for 
Segregation 1 peanuts and $1.25 per ton for lower quality Segregation 2 
and 3 peanuts. This action was unanimously recommended by the National 
Peanut Board (Board) and will help facilitate program operations by 
providing a more predictable revenue stream for the Board. This rule 
also updates the definition for fiscal year specified in the part to 
reflect current practices.
    The Peanut Promotion, Research, and Information Order regulations 
took effect in 1999. Under the regulations, the Board administers a 
nationally-coordinated program of promotion, research, and information 
designed to strengthen the position of peanuts in the market place and 
to develop, maintain, and expand the demand for U.S. peanuts.
    Section 1216.48(m) provides authority for the Board to recommend to 
the Secretary amendments to the regulations as the Board considers 
appropriate.
    Section 1216.51 specifies that the funds necessary to pay for 
programs and other authorized costs shall be acquired by levying 
assessments upon producers in a manner prescribed by the Secretary. The 
assessments are collected by first handlers from producers and remitted 
to the Board no later than 60 days after the last day of the month in 
which the peanuts were marketed. Paragraph (c) of that section 
currently states that assessments shall be levied based on value at a 
rate of one percent of the price paid for all farmers stock peanuts 
sold. As defined in Sec.  1216.9, ``farmers stock peanuts'' means 
picked or threshed peanuts produced in the United States which have not 
been

[[Page 27684]]

changed (except for removal of foreign material, loose shelled kernels 
and excess moisture) from the condition in which picked or threshed 
peanuts are customarily marketed by producers, plus any loose shelled 
kernels that are removed before farmers stock peanuts are marketed.
    For producers who place their peanuts in a USDA loan program,\1\ 
assessments are levied at a rate of one percent of the loan value. The 
loan value is equivalent to the national loan rate for peanuts 
established by Congress and currently averages $355 per ton.\2\ The 
loan rate will vary depending upon the quality of the peanuts (e.g., 
Segregation 1, 2, and 3). For peanuts placed under loan, USDA deducts 
from the loan paid to the producer one percent of the loan value and 
remits this to the Board. This computes to an average assessment rate 
of $3.55 per ton.
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    \1\ USDA's Farm Service Agency administers a marketing 
assistance program for peanuts on behalf of the Commodity Credit 
Corporation. Under this program, producers may apply for a loan 
which allows them to store their production and pledge the peanuts 
as collateral instead of selling them immediately after the fall 
harvest. https://www.fsa.usda.gov/programs-and-services/price-support/commodity-loans/non-recourse-loans/peanut-program/index.
    \2\ https://www.fsa.usda.gov/news-room/news-releases/2017/nr_20170707_rel_0074.
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    Over the three year period (2014-2016), about $8.6 million in 
assessments has been collected under the program annually. Assessments 
collections totaled $7,284,050 \3\ in 2014, $8,811,444 \4\ in 2015, and 
$9,670,889 \5\ in 2016.
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    \3\ National Peanut Board, Financial Statements with Independent 
Auditor's Report and Supplementary Information, October 31, 2014, 
Brooks, McGinnis & Company, LLC, p. 14.
    \4\ National Peanut Board, Financial Statements with Independent 
Auditor's Report and Supplementary Information, October 31, 2015, 
Brooks, McGinnis & Company, LLC, p. 12.
    \5\ National Peanut Board, Financial Statements with Independent 
Auditor's Report and Supplementary Information, October 31, 2016, 
Brooks, McGinnis & Company, LLC, p. 14.
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    In recent years, the Board has discussed the merits of modifying 
the formula for calculating assessments in order to receive a more 
predictable revenue stream for the program. A reduction in value 
(producer price or the loan rate) could reduce Board revenue to the 
point where the Board would have to drastically curtail its promotional 
and research activities. Producer prices declined 24 percent from 2013-
2016 while production increased. According to USDA's National 
Agricultural Statistics Service (NASS), the producer price was $0.249 
per pound (or $498 per ton) in 2013 \6\ and $0.189 (or $378 per ton) in 
2016.\7\ Production in 2013 was 4.174 billion pounds \8\ and 5.685 
billion pounds in 2016.\9\ For 2017, production is estimated at 7.429 
billion pounds, up 31 percent from 2016.\10\
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    \6\ USDA Crop Values Summary 2014, February 2015, p. 8; http://usda.mannlib.cornell.edu/usda/nass/CropValuSu//2010s/2015/CropValuSu-02-24-2015_correction.pdf.
    \7\ USDA, Crop Values Summary 2016, February 2017, p. 7; http://usda.mannlib.cornell.edu/usda/nass/CropValuSu//2010s/2017/CropValuSu-02-24-2017_revision.pdf.
    \8\ USDA, Crop Production Summary 2013, January 2014, p. 79; 
http://usda.mannlib.cornell.edu/usda/nass/CropProdSu//2010s/2014/CropProdSu-01-10-2014.pdf.
    \9\ USDA, Crop Production Summary 2016, February 2017, p. 101; 
http://usda.mannlib.cornell.edu/usda/current/CropProdSu/CropProdSu-01-12-2017.pdf.
    \10\ USDA Crop Production, August 10, 2017, p. 31; https://www.usda.gov/nass/PUBS/TODAYRPT/crop0817.pdf.
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Board Recommendation

    The Board met on April 4, 2017, and unanimously recommended 
changing the basis for assessment under the order from value to volume 
(per ton). Two rates of assessments will be established for farmers 
stock peanuts, depending upon their quality as defined in the Minimum 
Quality and Handling Standards for Domestic and Imported Peanuts 
Marketed in the United States (Standards) codified in 7 CFR part 
996.\11\ Under the authority of section 517(d) of the 1996 Act, a board 
may recommend to the Secretary one or more rates of assessment under an 
order. The Board specifically recommended to set the assessment rates 
at $3.55 per ton for Segregation 1 peanuts and $1.25 per ton for lower 
quality Segregation 2 and 3 peanuts.
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    \11\ 7 CFR part 996 took effect in 2002 and requires U.S. and 
imported peanuts to meet certain quality standards (67 FR 57129; 
September 9, 2002).
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    Pursuant to Sec.  996.13(b) of the Standards, ``Segregation l 
peanuts'' means farmers stock peanuts with not more than 3.49 percent 
damaged kernels nor more than l.00 percent concealed damage caused by 
rancidity, mold, or decay and which are free from visible Aspergillus 
flavus. Pursuant to Sec.  996.13(c), ``Segregation 2 peanuts'' means 
farmers stock peanuts with more than 3.49 percent damaged kernels or 
more than l.00 percent concealed damage caused by rancidity, mold, or 
decay and which are free from visible Aspergillus flavus. Pursuant to 
Sec.  996.13(d), ``Segregation 3 peanuts'' means farmers stock peanuts 
with visible Aspergillus flavus.
    This action will help facilitate program operations by providing a 
more predictable revenue stream for the Board to carry out its mission. 
Section 1216.51 is revised accordingly.
    This rule references Sec. Sec.  996.13(b), 996.13(c) and 996.13(d) 
of the Standards which define the terms Segregation 1 peanuts, 
Segregation 2 peanuts, and Segregation 3 peanuts, respectively.
    Further, this rule revises Sec.  1216.11 regarding the term `fiscal 
year' from the 12-month period beginning August 1 of any year and 
ending July 31 of the following year to the 12-month period beginning 
November 1 of any year and ending October 31 of the following year to 
reflect current industry practices. That section also defines the term 
crop year to mean the same as fiscal year. The term crop year is not 
referenced elsewhere in part 1216 and is thus not necessary. This rule 
removes that term from Sec.  1216.11. Section 1216.11 is revised 
accordingly.

Final Regulatory Flexibility Act Analysis

    In accordance with the Regulatory Flexibility Act (RFA) (5 U.S.C. 
601-612), AMS is required to examine the impact of the final rule on 
small entities. Accordingly, AMS has considered the economic impact of 
this action on such entities.
    The purpose of the RFA is to fit regulatory actions to the scale of 
businesses subject to such actions so that small businesses will not be 
disproportionately burdened. The Small Business Administration (SBA) 
defines, in 13 CFR part 121, small agricultural producers as those 
having annual receipts of no more than $750,000 and small agricultural 
service firms (handlers) as those having annual receipts of no more 
than $7.5 million.
    According to the Board, there are approximately 7,600 producers and 
33 handlers of peanuts who are required to pay assessments under the 
program.
    Most producers would be classified as small businesses under the 
criteria established by the SBA. USDA's NASS reports that the farm 
value of the peanuts produced in the top 11 States in 2016 was $1.077 
billion.\12\ Dividing the 2016 crop value by 7,600 producers yields an 
average peanut sales per producer estimate of approximately $142,000. 
This is well below the threshold level of $750,000 in annual sales, 
indicating that most peanut producers would be classified by the SBA as 
small businesses.
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    \12\ USDA, Crop Values Summary 2016, February 2017, p. 9; http://usda.mannlib.cornell.edu/usda/nass/CropValuSu//2010s/2017/CropValuSu-02-24-2017_revision.pdf.
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    Dividing the 2016 crop value by 33 handlers yields an average 
peanut crop value per handler of about $33 million. This is many times 
larger than the $7.5

[[Page 27685]]

million SBA threshold and is thus an indication that most of the 
handlers would not be classified as small businesses.
    U.S. peanut production from the 11 major peanut-producing States in 
2016 was 5.685 billion pounds.\13\ Georgia was the largest producer (49 
percent of U.S. production), followed by Alabama (11 percent), Texas 
(10 percent), Florida (10 percent), South Carolina (6 percent), North 
Carolina (6 percent), Mississippi (3 percent), Arkansas (2 percent), 
Virginia (1 percent), Oklahoma (1 percent) and New Mexico (less than 1 
percent). According to the 2012 Census of Agriculture,\14\ small 
amounts of peanuts were also grown in seven other States.
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    \13\ USDA Crop Production, August 10, 2017, p. 16; https://www.usda.gov/nass/PUBS/TODAYRPT/crop0817.pdf.
    \14\ USDA 2012 Census of Agriculture; p. 444; https://www.agcensus.usda.gov/Publications/2012/Full_Report/Volume_1,_Chapter_1_US/usv1.pdf.
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    If the number of peanut producers (7,600) is divided into total 
2016 U.S. production (5.685 billion pounds), the resulting average 
peanut production per producer is approximately 748,000 pounds.
    This rule revises Sec.  1216.51 to change the basis for assessment 
from value to volume (per ton). The program is administered by the 
Board with oversight by USDA. Two rates of assessment will be 
established instead of using a formula currently specified in the 
regulations. The assessment rates will be $3.55 per ton for Segregation 
1 peanuts and $1.25 per ton for lower quality Segregation 2 and 3 
peanuts. This action was unanimously recommended by the Board and will 
help facilitate program operations by providing a more predictable 
revenue stream for the Board based only on volume for assessment. 
Authority for this action is provided in Sec.  1216.48(m) and section 
517 of the 1996 Act. This rule also updates the definition for fiscal 
year specified in Sec.  1216.11 to reflect current practices. That 
section provides authority for the Board, with approval of the 
Secretary, to change the fiscal year.
    Regarding the economic impact of this rule on affected entities, 
this action changes the basis of assessment from value to volume (per 
ton). The rates of assessment recommended by the Board are comparable 
to the rates that have been in effect since the inception of the 
program.\15\ While assessments impose additional costs on producers, 
the costs are minimal and uniform on all. The costs would also be 
offset by the benefits derived from the operation of the program. (The 
update to Sec.  1216.11 regarding the fiscal year is administrative in 
nature.)
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    \15\ This action would not increase the assessment rate. 
Therefore, a referendum is not required (see Sec.  1216.51(j)).
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    Regarding the impact of the peanut program on the industry, the 
program has been successful in helping to build demand and improve 
producer returns. A 2014 economic study shows that the program helped 
to increase demand by 15 percent from 2007-2013, and that each dollar 
invested in Board activities over the period returned $8.87 to the 
producer.\16\
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    \16\ Kaiser, Harry, An Economic Analysis of the National Peanut 
Board, August 11, 2014, p. 1. The analysis is available from USDA or 
the Board.
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    With regard to alternatives, the Board has been considering 
revising the assessment rate computation for a number of years. The 
Board considered revising the assessment rate to equal a weighted 
average of the value of Segregation 1, 2, and 3 peanuts as reported by 
the NASS for the prior year. However, this would still link the 
assessment rate to value. Another option would be to maintain the 
status quo. After review and deliberation, the Board unanimously 
recommended revising the basis for assessment under the program from 
value to volume as described herein.
    To calculate the percentage of producer revenue represented by the 
assessment rate, the proposed assessment rates are divided by the 
average producer price. The proposed assessment rates are $3.55 per ton 
($0.001775 per pound) for Segregation 1 peanuts and $1.25 per ton 
($0.000625 per pound) for Segregation 2 and 3 peanuts. According to 
NASS, the average producer price ranged from $0.193 per pound in 2015 
to $0.189 per pound in 2016.\17\ Thus, the proposed assessment rates as 
a percentage of producer price could range from 0.92 to 0.94 percent 
for Segregation 1 peanuts and from 0.32 to 0.33 percent for Segregation 
2 and 3 peanuts.
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    \17\ USDA, Crop Values Summary 2016, February 2017, p. 27; 
http://usda.mannlib.cornell.edu/usda/nass/CropValuSu//2010s/2017/CropValuSu-02-24-2017_revision.pdf.
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Reporting and Recordkeeping Requirements

    In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. 
Chapter 35), the information collection and recordkeeping requirements 
that are imposed by the program have been approved previously under OMB 
control number 0581-0093. This final rule will not result in a change 
to the information collection and recordkeeping requirements previously 
approved and will impose no additional reporting and recordkeeping 
burden on peanut producers or first handlers.
    As with all Federal promotion programs, reports and forms are 
periodically reviewed to reduce information requirements and 
duplication by industry and public sector agencies. Finally, USDA has 
not identified any relevant Federal rules that duplicate, overlap, or 
conflict with this 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.
    In regard to outreach efforts, Board members have been conducting 
outreach to educate industry members about the need for changing the 
basis of assessment since January 2016. The issue has been discussed at 
Board meetings over the past few years. The Board has also conducted 
outreach to the major peanut associations and has received positive 
feedback. All of the Board's meetings are open to the public and 
interested persons are invited to participate and express their views.
    A proposed rule concerning this action was published in the Federal 
Register on March 30, 2018 (83 FR 13700). The Board sent the proposed 
rule directly to the peanut producer associations, Board members, and 
assessment payers. In addition, the Board disseminated the proposed 
rule via the internet by providing the links to the proposal in its 
industry newsletter and website. The proposal was also made available 
through the internet by USDA and the Office of the Federal Register. A 
30-day comment period ending April 30, 2018, was provided to allow 
interested persons to submit comments.

Analysis of Comments

    Thirteen comments were received in response to the proposed rule. 
Of those 13 comments, 12 comments were in favor of the proposed flat 
computation of the two assessment rates (one favorable comment was a 
duplicate and only counted once), and one comment was outside the scope 
of the review.
    Ten commenters stated the change in the assessment computation 
would allow for a more consistent revenue stream for the Board to carry 
out its mission. Of these commenters, one commenter stated the 
computation change is not an increase or decrease in producer 
assessments. It stated that this change is a proactive business move to 
create an assessment rate which will not fluctuate downward rapidly. 
The

[[Page 27686]]

proposed computation will allow the Board to plan long term without a 
disruption to its income flow. Another commenter in favor of the 
proposed change stated that it will be less confusing and easier for 
USDA to administer the assessment rate.
    After consideration of all relevant matters presented, including 
the information and recommendation submitted by the Board and other 
available information, it is hereby found that this rule, as 
hereinafter set forth, is consistent with and will effectuate the 
purposes of the 1996 Act.

List of Subjects in 7 CFR Part 1216

    Administrative practice and procedure, Advertising, Consumer 
information, Marketing agreements, Peanut promotion, Reporting and 
recordkeeping requirements.

    For the reasons set forth in the preamble, 7 CFR part 1216 is 
amended as follows:

PART 1216--PEANUT PROMOTION, RESEARCH, AND INFORMATION ORDER

0
1. The authority citation for part 1216 continues to read as follows:

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


0
2. Revise Sec.  1216.11 to read as follows:


Sec.  1216.11  Fiscal year.

    Fiscal year means the 12-month period beginning with November 1 of 
any year and ending with October 31 of the following year, or such 
other period as determined by the Board and approved by the Secretary.

0
 3. In Sec.  1216.51, revise paragraphs (c) and (d), remove paragraph 
(e), and redesignate paragraphs (f) through (j) as paragraphs (e) 
through (i) to read as follows:


Sec.  1216.51  Assessments.

* * * * *
    (c) Such assessments shall be levied on all farmers stock peanuts 
sold at a rate of $3.55 per ton for Segregation 1 peanuts and $1.25 per 
ton for Segregation 2 peanuts and 3 peanuts, as those terms are defined 
in Sec. Sec.  996.13(b)-(d) of this title.
    (d) For peanuts placed under a marketing assistance loan with the 
Department's Commodity Credit Corporation, the Commodity Credit 
Corporation, or any entity determined by the Commodity Credit 
Corporation shall deduct and remit to the Board, from the proceeds of 
the loan paid to the producer, the assessment per ton as specified in 
paragraph (c) of this section, no more than 60 days after the last day 
of the month in which the peanuts were placed under a marketing 
assistance loan.
* * * * *

    Dated: June 8, 2018.
Bruce Summers,
Administrator.
[FR Doc. 2018-12731 Filed 6-13-18; 8:45 am]
 BILLING CODE 3410-02-P



                                                                Federal Register / Vol. 83, No. 115 / Thursday, June 14, 2018 / Rules and Regulations                                          27683

                                             U.S.C. 6101–6112]; the Popcorn                          the Commodity Promotion, Research,                     provision, or obligation subject to
                                             Promotion, Research, and Consumer                       and Information Act of 1996 (1996                      challenge in the petition. The petitioner
                                             Information Act [7 U.S.C. 7481–7491];                   Act)(7 U.S.C. 7411–7425).                              will have the opportunity for a hearing
                                             the Pork Promotion, Research, and                                                                              on the petition. Thereafter, USDA will
                                                                                                     Executive Orders 12866, 13563, and
                                             Consumer Information Act [7 U.S.C.                                                                             issue a ruling on the petition. The 1996
                                                                                                     13771
                                             4801–4819]; the Potato Research and                                                                            Act provides that the district court of
                                             Promotion Act, as amended [7 U.S.C.                        Executive Orders 12866 and 13563                    the United States for any district in
                                             2611–2627]; the Soybean Promotion,                      direct agencies to assess all costs and                which the petitioner resides or conducts
                                             Research, and Consumer Information                      benefits of available regulatory                       business shall have the jurisdiction to
                                             Act [7 U.S.C. 6301–6311]; and the                       alternatives and, if regulation is                     review a final ruling on the petition, if
                                             Watermelon Research and Promotion                       necessary, to select regulatory                        the petitioner files a complaint for that
                                             Act, as amended, [7 U.S.C. 4901–4916].                  approaches that maximize net benefits                  purpose not later than 20 days after the
                                               (b) Mail means to transmit either                     (including potential economic,                         date of the entry of USDA’s final ruling.
                                             electronically or through a postal or                   environmental, public health and safety
                                                                                                     effects, distributive impacts and equity).             Background
                                             other delivery system, information or a
                                             package (e.g., letter or envelope) to a                 Executive Order 13563 emphasizes the                      This rule changes the assessment rate
                                             recipient.                                              importance of quantifying both costs                   computation under the Peanut
                                                                                                     and benefits, reducing costs,                          Promotion, Research, and Information
                                               Dated: June 8, 2018.
                                                                                                     harmonizing rules and promoting                        Order. Part 1216 is administered by the
                                             Bruce Summers,                                          flexibility. This action falls within a                Board with oversight by USDA. This
                                             Administrator, Agricultural Marketing                   category of regulatory actions that the                rule changes the basis for assessment
                                             Service.                                                Office of Management and Budget                        under the program from value to volume
                                             [FR Doc. 2018–12722 Filed 6–13–18; 8:45 am]             (OMB) exempted from Executive Order                    (per ton). Two rates of assessment are
                                             BILLING CODE 3410–02–P                                  12866 review. Additionally, because                    established instead of using the formula
                                                                                                     this rule does not meet the definition of              currently specified in this part. The
                                                                                                     a significant regulatory action it does                assessment rates will be $3.55 per ton
                                             DEPARTMENT OF AGRICULTURE                               not trigger the requirements contained                 for Segregation 1 peanuts and $1.25 per
                                                                                                     in Executive Order 13771. See OMB’s                    ton for lower quality Segregation 2 and
                                             Agricultural Marketing Service                                                                                 3 peanuts. This action was unanimously
                                                                                                     Memorandum titled ‘‘Interim Guidance
                                                                                                     Implementing Section 2 of the Executive                recommended by the National Peanut
                                             7 CFR Part 1216                                                                                                Board (Board) and will help facilitate
                                                                                                     Order of January 30, 2017, titled
                                             [Document Number AMS–SC–16–0115]                        ‘Reducing Regulation and Controlling                   program operations by providing a more
                                                                                                     Regulatory Costs’ ’’ (February 2, 2017).               predictable revenue stream for the
                                             Peanut Promotion, Research, and                                                                                Board. This rule also updates the
                                             Information Order; Change in                            Executive Order 13175                                  definition for fiscal year specified in the
                                             Assessment Rate Computation                               This final rule has been reviewed in                 part to reflect current practices.
                                                                                                     accordance with the requirements of                       The Peanut Promotion, Research, and
                                             AGENCY:  Agricultural Marketing Service,                                                                       Information Order regulations took
                                                                                                     Executive Order 13175, Consultation
                                             USDA.                                                                                                          effect in 1999. Under the regulations,
                                                                                                     and Coordination with Indian Tribal
                                             ACTION: Final rule.                                                                                            the Board administers a nationally-
                                                                                                     Governments. The review reveals that
                                             SUMMARY:    This rule changes the                       this rule will not have substantial and                coordinated program of promotion,
                                             assessment rate computation under the                   direct effects on Tribal governments and               research, and information designed to
                                             Agricultural Marketing Service’s (AMS)                  will not have significant Tribal                       strengthen the position of peanuts in the
                                             regulations regarding a national research               implications.                                          market place and to develop, maintain,
                                             and promotion program (program) for                                                                            and expand the demand for U.S.
                                                                                                     Executive Order 12988                                  peanuts.
                                             U.S. peanuts. This rule changes the
                                                                                                        In addition, this final rule has been                  Section 1216.48(m) provides authority
                                             basis for assessment under the
                                                                                                     reviewed under Executive Order 12988,                  for the Board to recommend to the
                                             regulations from value to volume (per
                                                                                                     Civil Justice Reform. It is not intended               Secretary amendments to the
                                             ton). Two rates of assessment are
                                                                                                     to have retroactive effect. Section 524 of             regulations as the Board considers
                                             established instead of using the formula
                                                                                                     the 1996 Act (7 U.S.C. 7423) provides                  appropriate.
                                             currently specified in the regulations.                                                                           Section 1216.51 specifies that the
                                                                                                     that it shall not affect or preempt any
                                             This rule also updates the definition for                                                                      funds necessary to pay for programs and
                                                                                                     other Federal or State law authorizing
                                             ‘‘fiscal year’’ specified in the regulations                                                                   other authorized costs shall be acquired
                                                                                                     promotion or research relating to an
                                             to reflect current practices.                                                                                  by levying assessments upon producers
                                                                                                     agricultural commodity.
                                             DATES: Effective Date: July 16, 2018.                      Under section 519 of the 1996 Act (7                in a manner prescribed by the Secretary.
                                             FOR FURTHER INFORMATION CONTACT:                        U.S.C. 7418), a person subject to an                   The assessments are collected by first
                                             Jeanette Palmer, Marketing Specialist,                  order may file a written petition with                 handlers from producers and remitted to
                                             Promotion and Economics Division,                       USDA stating that an order, any                        the Board no later than 60 days after the
                                             Specialty Crops Program, AMS, USDA,                     provision of an order, or any obligation               last day of the month in which the
                                             Stop 0244, 1400 Independence Avenue                     imposed in connection with an order, is                peanuts were marketed. Paragraph (c) of
                                             SW, Room 1406–S, Washington, DC                         not established in accordance with the                 that section currently states that
                                             20250–0244; telephone: (202) 720–9915;                  law, and request a modification of an                  assessments shall be levied based on
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                                             facsimile: (202) 205–2800; or electronic                order or an exemption from an order.                   value at a rate of one percent of the
                                             mail: Jeanette.Palmer@ams.usda.gov.                     Any petition filed challenging an order,               price paid for all farmers stock peanuts
                                             SUPPLEMENTARY INFORMATION: This final                   any provision of an order, or any                      sold. As defined in § 1216.9, ‘‘farmers
                                             rule affecting the Peanut Promotion,                    obligation imposed in connection with                  stock peanuts’’ means picked or
                                             Research, and Information Order (order)                 an order, shall be filed within two years              threshed peanuts produced in the
                                             at 7 CFR part 1216 is authorized under                  after the effective date of an order,                  United States which have not been


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                                             27684              Federal Register / Vol. 83, No. 115 / Thursday, June 14, 2018 / Rules and Regulations

                                             changed (except for removal of foreign                  and $0.189 (or $378 per ton) in 2016.7                    This rule references §§ 996.13(b),
                                             material, loose shelled kernels and                     Production in 2013 was 4.174 billion                   996.13(c) and 996.13(d) of the Standards
                                             excess moisture) from the condition in                  pounds 8 and 5.685 billion pounds in                   which define the terms Segregation 1
                                             which picked or threshed peanuts are                    2016.9 For 2017, production is                         peanuts, Segregation 2 peanuts, and
                                             customarily marketed by producers,                      estimated at 7.429 billion pounds, up 31               Segregation 3 peanuts, respectively.
                                             plus any loose shelled kernels that are                 percent from 2016.10                                      Further, this rule revises § 1216.11
                                             removed before farmers stock peanuts                    Board Recommendation                                   regarding the term ‘fiscal year’ from the
                                             are marketed.                                                                                                  12-month period beginning August 1 of
                                                For producers who place their                           The Board met on April 4, 2017, and                 any year and ending July 31 of the
                                             peanuts in a USDA loan program,1                        unanimously recommended changing                       following year to the 12-month period
                                             assessments are levied at a rate of one                 the basis for assessment under the order               beginning November 1 of any year and
                                             percent of the loan value. The loan                     from value to volume (per ton). Two                    ending October 31 of the following year
                                             value is equivalent to the national loan                rates of assessments will be established               to reflect current industry practices.
                                             rate for peanuts established by Congress                for farmers stock peanuts, depending                   That section also defines the term crop
                                             and currently averages $355 per ton.2                   upon their quality as defined in the                   year to mean the same as fiscal year.
                                             The loan rate will vary depending upon                  Minimum Quality and Handling                           The term crop year is not referenced
                                             the quality of the peanuts (e.g.,                       Standards for Domestic and Imported                    elsewhere in part 1216 and is thus not
                                             Segregation 1, 2, and 3). For peanuts                   Peanuts Marketed in the United States                  necessary. This rule removes that term
                                             placed under loan, USDA deducts from                    (Standards) codified in 7 CFR part                     from § 1216.11. Section 1216.11 is
                                             the loan paid to the producer one                       996.11 Under the authority of section                  revised accordingly.
                                             percent of the loan value and remits this               517(d) of the 1996 Act, a board may
                                             to the Board. This computes to an                       recommend to the Secretary one or more                 Final Regulatory Flexibility Act
                                             average assessment rate of $3.55 per ton.               rates of assessment under an order. The                Analysis
                                                Over the three year period (2014–                    Board specifically recommended to set                    In accordance with the Regulatory
                                             2016), about $8.6 million in assessments                the assessment rates at $3.55 per ton for              Flexibility Act (RFA) (5 U.S.C. 601–
                                             has been collected under the program                    Segregation 1 peanuts and $1.25 per ton                612), AMS is required to examine the
                                             annually. Assessments collections                       for lower quality Segregation 2 and 3                  impact of the final rule on small
                                             totaled $7,284,050 3 in 2014,                           peanuts.                                               entities. Accordingly, AMS has
                                             $8,811,444 4 in 2015, and $9,670,889 5                     Pursuant to § 996.13(b) of the                      considered the economic impact of this
                                             in 2016.                                                Standards, ‘‘Segregation l peanuts’’                   action on such entities.
                                                In recent years, the Board has                       means farmers stock peanuts with not                     The purpose of the RFA is to fit
                                             discussed the merits of modifying the                   more than 3.49 percent damaged kernels                 regulatory actions to the scale of
                                             formula for calculating assessments in                  nor more than l.00 percent concealed                   businesses subject to such actions so
                                             order to receive a more predictable                     damage caused by rancidity, mold, or                   that small businesses will not be
                                             revenue stream for the program. A                       decay and which are free from visible                  disproportionately burdened. The Small
                                             reduction in value (producer price or                   Aspergillus flavus. Pursuant to                        Business Administration (SBA) defines,
                                             the loan rate) could reduce Board                       § 996.13(c), ‘‘Segregation 2 peanuts’’                 in 13 CFR part 121, small agricultural
                                             revenue to the point where the Board                    means farmers stock peanuts with more                  producers as those having annual
                                             would have to drastically curtail its                   than 3.49 percent damaged kernels or                   receipts of no more than $750,000 and
                                             promotional and research activities.                    more than l.00 percent concealed                       small agricultural service firms
                                             Producer prices declined 24 percent                     damage caused by rancidity, mold, or                   (handlers) as those having annual
                                             from 2013–2016 while production                         decay and which are free from visible                  receipts of no more than $7.5 million.
                                             increased. According to USDA’s                          Aspergillus flavus. Pursuant to                          According to the Board, there are
                                             National Agricultural Statistics Service                § 996.13(d), ‘‘Segregation 3 peanuts’’                 approximately 7,600 producers and 33
                                             (NASS), the producer price was $0.249                   means farmers stock peanuts with                       handlers of peanuts who are required to
                                             per pound (or $498 per ton) in 2013 6                   visible Aspergillus flavus.                            pay assessments under the program.
                                                                                                        This action will help facilitate                      Most producers would be classified as
                                                1 USDA’s Farm Service Agency administers a           program operations by providing a more                 small businesses under the criteria
                                             marketing assistance program for peanuts on behalf      predictable revenue stream for the                     established by the SBA. USDA’s NASS
                                             of the Commodity Credit Corporation. Under this         Board to carry out its mission. Section
                                             program, producers may apply for a loan which                                                                  reports that the farm value of the
                                             allows them to store their production and pledge        1216.51 is revised accordingly.                        peanuts produced in the top 11 States
                                             the peanuts as collateral instead of selling them                                                              in 2016 was $1.077 billion.12 Dividing
                                             immediately after the fall harvest. https://            nass/CropValuSu//2010s/2015/CropValuSu-02-24-
                                             www.fsa.usda.gov/programs-and-services/price-           2015_correction.pdf.
                                                                                                                                                            the 2016 crop value by 7,600 producers
                                             support/commodity-loans/non-recourse-loans/               7 USDA, Crop Values Summary 2016, February           yields an average peanut sales per
                                             peanut-program/index.                                   2017, p. 7; http://usda.mannlib.cornell.edu/usda/      producer estimate of approximately
                                                2 https://www.fsa.usda.gov/news-room/news-           nass/CropValuSu//2010s/2017/CropValuSu-02-24-          $142,000. This is well below the
                                             releases/2017/nr_20170707_rel_0074.                     2017_revision.pdf.                                     threshold level of $750,000 in annual
                                                3 National Peanut Board, Financial Statements          8 USDA, Crop Production Summary 2013, January

                                             with Independent Auditor’s Report and                   2014, p. 79; http://usda.mannlib.cornell.edu/usda/
                                                                                                                                                            sales, indicating that most peanut
                                             Supplementary Information, October 31, 2014,            nass/CropProdSu//2010s/2014/CropProdSu-01-10-          producers would be classified by the
                                             Brooks, McGinnis & Company, LLC, p. 14.                 2014.pdf.                                              SBA as small businesses.
                                                4 National Peanut Board, Financial Statements          9 USDA, Crop Production Summary 2016,
                                                                                                                                                              Dividing the 2016 crop value by 33
                                             with Independent Auditor’s Report and                   February 2017, p. 101; http://                         handlers yields an average peanut crop
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                                             Supplementary Information, October 31, 2015,            usda.mannlib.cornell.edu/usda/current/
                                             Brooks, McGinnis & Company, LLC, p. 12.                 CropProdSu/CropProdSu-01-12-2017.pdf.                  value per handler of about $33 million.
                                                5 National Peanut Board, Financial Statements          10 USDA Crop Production, August 10, 2017, p. 31;     This is many times larger than the $7.5
                                             with Independent Auditor’s Report and                   https://www.usda.gov/nass/PUBS/TODAYRPT/
                                             Supplementary Information, October 31, 2016,            crop0817.pdf.                                            12 USDA, Crop Values Summary 2016, February
                                             Brooks, McGinnis & Company, LLC, p. 14.                   11 7 CFR part 996 took effect in 2002 and requires   2017, p. 9; http://usda.mannlib.cornell.edu/usda/
                                                6 USDA Crop Values Summary 2014, February            U.S. and imported peanuts to meet certain quality      nass/CropValuSu//2010s/2017/CropValuSu-02-24-
                                             2015, p. 8; http://usda.mannlib.cornell.edu/usda/       standards (67 FR 57129; September 9, 2002).            2017_revision.pdf.



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                                                                Federal Register / Vol. 83, No. 115 / Thursday, June 14, 2018 / Rules and Regulations                                         27685

                                             million SBA threshold and is thus an                    benefits derived from the operation of                 reporting and recordkeeping burden on
                                             indication that most of the handlers                    the program. (The update to § 1216.11                  peanut producers or first handlers.
                                             would not be classified as small                        regarding the fiscal year is                              As with all Federal promotion
                                             businesses.                                             administrative in nature.)                             programs, reports and forms are
                                                U.S. peanut production from the 11                      Regarding the impact of the peanut                  periodically reviewed to reduce
                                             major peanut-producing States in 2016                   program on the industry, the program                   information requirements and
                                             was 5.685 billion pounds.13 Georgia was                 has been successful in helping to build                duplication by industry and public
                                             the largest producer (49 percent of U.S.                demand and improve producer returns.                   sector agencies. Finally, USDA has not
                                             production), followed by Alabama (11                    A 2014 economic study shows that the                   identified any relevant Federal rules
                                             percent), Texas (10 percent), Florida (10               program helped to increase demand by                   that duplicate, overlap, or conflict with
                                             percent), South Carolina (6 percent),                   15 percent from 2007–2013, and that                    this final rule.
                                             North Carolina (6 percent), Mississippi                 each dollar invested in Board activities                  AMS is committed to complying with
                                             (3 percent), Arkansas (2 percent),                      over the period returned $8.87 to the                  the E-Government Act, to promote the
                                             Virginia (1 percent), Oklahoma (1                       producer.16                                            use of the internet and other
                                             percent) and New Mexico (less than 1                      With regard to alternatives, the Board               information technologies to provide
                                             percent). According to the 2012 Census                  has been considering revising the                      increased opportunities for citizen
                                             of Agriculture,14 small amounts of                      assessment rate computation for a                      access to Government information and
                                             peanuts were also grown in seven other                  number of years. The Board considered                  services, and for other purposes.
                                             States.                                                 revising the assessment rate to equal a                   In regard to outreach efforts, Board
                                                If the number of peanut producers                    weighted average of the value of                       members have been conducting
                                             (7,600) is divided into total 2016 U.S.                 Segregation 1, 2, and 3 peanuts as                     outreach to educate industry members
                                             production (5.685 billion pounds), the                  reported by the NASS for the prior year.               about the need for changing the basis of
                                             resulting average peanut production per                 However, this would still link the                     assessment since January 2016. The
                                             producer is approximately 748,000                       assessment rate to value. Another option               issue has been discussed at Board
                                             pounds.                                                 would be to maintain the status quo.                   meetings over the past few years. The
                                                This rule revises § 1216.51 to change                After review and deliberation, the Board               Board has also conducted outreach to
                                             the basis for assessment from value to                  unanimously recommended revising the                   the major peanut associations and has
                                             volume (per ton). The program is                        basis for assessment under the program                 received positive feedback. All of the
                                             administered by the Board with                          from value to volume as described                      Board’s meetings are open to the public
                                             oversight by USDA. Two rates of                         herein.                                                and interested persons are invited to
                                             assessment will be established instead                    To calculate the percentage of                       participate and express their views.
                                             of using a formula currently specified in               producer revenue represented by the                       A proposed rule concerning this
                                             the regulations. The assessment rates                   assessment rate, the proposed                          action was published in the Federal
                                             will be $3.55 per ton for Segregation 1                 assessment rates are divided by the                    Register on March 30, 2018 (83 FR
                                             peanuts and $1.25 per ton for lower                     average producer price. The proposed                   13700). The Board sent the proposed
                                             quality Segregation 2 and 3 peanuts.                    assessment rates are $3.55 per ton                     rule directly to the peanut producer
                                             This action was unanimously                             ($0.001775 per pound) for Segregation 1                associations, Board members, and
                                             recommended by the Board and will                       peanuts and $1.25 per ton ($0.000625                   assessment payers. In addition, the
                                             help facilitate program operations by                   per pound) for Segregation 2 and 3                     Board disseminated the proposed rule
                                             providing a more predictable revenue                    peanuts. According to NASS, the                        via the internet by providing the links
                                             stream for the Board based only on                      average producer price ranged from                     to the proposal in its industry
                                             volume for assessment. Authority for                    $0.193 per pound in 2015 to $0.189 per                 newsletter and website. The proposal
                                             this action is provided in § 1216.48(m)                 pound in 2016.17 Thus, the proposed                    was also made available through the
                                             and section 517 of the 1996 Act. This                   assessment rates as a percentage of                    internet by USDA and the Office of the
                                             rule also updates the definition for fiscal             producer price could range from 0.92 to                Federal Register. A 30-day comment
                                             year specified in § 1216.11 to reflect                  0.94 percent for Segregation 1 peanuts                 period ending April 30, 2018, was
                                             current practices. That section provides                and from 0.32 to 0.33 percent for                      provided to allow interested persons to
                                             authority for the Board, with approval of               Segregation 2 and 3 peanuts.                           submit comments.
                                             the Secretary, to change the fiscal year.               Reporting and Recordkeeping                            Analysis of Comments
                                                Regarding the economic impact of this                Requirements
                                             rule on affected entities, this action                                                                            Thirteen comments were received in
                                             changes the basis of assessment from                      In accordance with the Paperwork                     response to the proposed rule. Of those
                                             value to volume (per ton). The rates of                 Reduction Act of 1995 (44 U.S.C.                       13 comments, 12 comments were in
                                             assessment recommended by the Board                     Chapter 35), the information collection                favor of the proposed flat computation
                                             are comparable to the rates that have                   and recordkeeping requirements that are                of the two assessment rates (one
                                             been in effect since the inception of the               imposed by the program have been                       favorable comment was a duplicate and
                                             program.15 While assessments impose                     approved previously under OMB                          only counted once), and one comment
                                             additional costs on producers, the costs                control number 0581–0093. This final                   was outside the scope of the review.
                                                                                                     rule will not result in a change to the                   Ten commenters stated the change in
                                             are minimal and uniform on all. The
                                                                                                     information collection and                             the assessment computation would
                                             costs would also be offset by the
                                                                                                     recordkeeping requirements previously                  allow for a more consistent revenue
                                                13 USDA Crop Production, August 10, 2017, p. 16;     approved and will impose no additional                 stream for the Board to carry out its
                                                                                                                                                            mission. Of these commenters, one
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                                             https://www.usda.gov/nass/PUBS/TODAYRPT/
                                             crop0817.pdf.                                             16 Kaiser, Harry, An Economic Analysis of the        commenter stated the computation
                                                14 USDA 2012 Census of Agriculture; p. 444;          National Peanut Board, August 11, 2014, p. 1. The      change is not an increase or decrease in
                                             https://www.agcensus.usda.gov/Publications/2012/        analysis is available from USDA or the Board.          producer assessments. It stated that this
                                             Full_Report/Volume_1,_Chapter_1_US/usv1.pdf.              17 USDA, Crop Values Summary 2016, February
                                                15 This action would not increase the assessment     2017, p. 27; http://usda.mannlib.cornell.edu/usda/
                                                                                                                                                            change is a proactive business move to
                                             rate. Therefore, a referendum is not required (see      nass/CropValuSu//2010s/2017/CropValuSu-02-24-          create an assessment rate which will not
                                             § 1216.51(j)).                                          2017_revision.pdf.                                     fluctuate downward rapidly. The


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                                             27686              Federal Register / Vol. 83, No. 115 / Thursday, June 14, 2018 / Rules and Regulations

                                             proposed computation will allow the                     last day of the month in which the                       3. The office of Aeronautical
                                             Board to plan long term without a                       peanuts were placed under a marketing                  Navigation Products, 6500 South
                                             disruption to its income flow. Another                  assistance loan.                                       MacArthur Blvd., Oklahoma City, OK
                                             commenter in favor of the proposed                      *     *     *    *     *                               73169 or,
                                             change stated that it will be less                                                                               4. The National Archives and Records
                                                                                                       Dated: June 8, 2018.
                                             confusing and easier for USDA to                                                                               Administration (NARA). For
                                                                                                     Bruce Summers,
                                             administer the assessment rate.                                                                                information on the availability of this
                                               After consideration of all relevant                   Administrator.                                         material at NARA, call 202–741–6030,
                                             matters presented, including the                        [FR Doc. 2018–12731 Filed 6–13–18; 8:45 am]            or go to: http://www.archives.gov/
                                             information and recommendation                          BILLING CODE 3410–02–P                                 federal_register/code_of_federal_
                                             submitted by the Board and other                                                                               regulations/ibr_locations.html.
                                             available information, it is hereby found
                                             that this rule, as hereinafter set forth, is            DEPARTMENT OF TRANSPORTATION                           Availability
                                             consistent with and will effectuate the                                                                          All SIAPs and Takeoff Minimums and
                                             purposes of the 1996 Act.                               Federal Aviation Administration                        ODPs are available online free of charge.
                                                                                                                                                            Visit the National Flight Data Center at
                                             List of Subjects in 7 CFR Part 1216                     14 CFR Part 97                                         nfdc.faa.gov to register. Additionally,
                                               Administrative practice and                           [Docket No. 31197; Amdt. No. 3803]                     individual SIAP and Takeoff Minimums
                                             procedure, Advertising, Consumer                                                                               and ODP copies may be obtained from
                                             information, Marketing agreements,                      Standard Instrument Approach                           the FAA Air Traffic Organization
                                             Peanut promotion, Reporting and                         Procedures, and Takeoff Minimums                       Service Area in which the affected
                                             recordkeeping requirements.                             and Obstacle Departure Procedures;                     airport is located.
                                               For the reasons set forth in the                      Miscellaneous Amendments                               FOR FURTHER INFORMATION CONTACT:
                                             preamble, 7 CFR part 1216 is amended                                                                           Thomas J. Nichols, Flight Procedure
                                             as follows:                                             AGENCY:  Federal Aviation
                                                                                                     Administration (FAA), DOT.                             Standards Branch (AFS–420), Flight
                                                                                                                                                            Technologies and Programs Divisions,
                                             PART 1216—PEANUT PROMOTION,                             ACTION: Final rule.
                                                                                                                                                            Flight Standards Service, Federal
                                             RESEARCH, AND INFORMATION
                                                                                                     SUMMARY:    This rule establishes, amends,             Aviation Administration, Mike
                                             ORDER
                                                                                                     suspends, or removes Standard                          Monroney Aeronautical Center, 6500
                                             ■ 1. The authority citation for part 1216               Instrument Approach Procedures                         South MacArthur Blvd. Oklahoma City,
                                             continues to read as follows:                           (SIAPs) and associated Takeoff                         OK 73169 (Mail Address: P.O. Box
                                                                                                     Minimums and Obstacle Departure                        25082, Oklahoma City, OK 73125)
                                               Authority: 7 U.S.C. 7411–7425; 7 U.S.C.
                                             7401.                                                   Procedures (ODPs) for operations at                    Telephone: (405) 954–4164.
                                                                                                     certain airports. These regulatory                     SUPPLEMENTARY INFORMATION: This rule
                                             ■   2. Revise § 1216.11 to read as follows:             actions are needed because of the                      amends Title 14 of the Code of Federal
                                             § 1216.11   Fiscal year.                                adoption of new or revised criteria, or                Regulations, part 97 (14 CFR part 97), by
                                               Fiscal year means the 12-month                        because of changes occurring in the                    establishing, amending, suspending, or
                                             period beginning with November 1 of                     National Airspace System, such as the                  removes SIAPS, Takeoff Minimums
                                             any year and ending with October 31 of                  commissioning of new navigational                      and/or ODPS. The complete regulatory
                                             the following year, or such other period                facilities, adding new obstacles, or                   description of each SIAP and its
                                             as determined by the Board and                          changing air traffic requirements. These               associated Takeoff Minimums or ODP
                                             approved by the Secretary.                              changes are designed to provide safe                   for an identified airport is listed on FAA
                                                                                                     and efficient use of the navigable                     form documents which are incorporated
                                             ■ 3. In § 1216.51, revise paragraphs (c)
                                                                                                     airspace and to promote safe flight                    by reference in this amendment under 5
                                             and (d), remove paragraph (e), and
                                                                                                     operations under instrument flight rules               U.S.C. 552(a), 1 CFR part 51, and 14
                                             redesignate paragraphs (f) through (j) as
                                                                                                     at the affected airports.                              CFR part 97.20. The applicable FAA
                                             paragraphs (e) through (i) to read as
                                             follows:                                                DATES: This rule is effective June 14,                 forms are FAA Forms 8260–3, 8260–4,
                                                                                                     2018. The compliance date for each                     8260–5, 8260–15A, and 8260–15B when
                                             § 1216.51   Assessments.                                SIAP, associated Takeoff Minimums,                     required by an entry on 8260–15A.
                                             *      *     *     *    *                               and ODP is specified in the amendatory                   The large number of SIAPs, Takeoff
                                                (c) Such assessments shall be levied                 provisions.                                            Minimums and ODPs, their complex
                                             on all farmers stock peanuts sold at a                     The incorporation by reference of                   nature, and the need for a special format
                                             rate of $3.55 per ton for Segregation 1                 certain publications listed in the                     make publication in the Federal
                                             peanuts and $1.25 per ton for                           regulations is approved by the Director                Register expensive and impractical.
                                             Segregation 2 peanuts and 3 peanuts, as                 of the Federal Register as of June 14,                 Further, airmen do not use the
                                             those terms are defined in §§ 996.13(b)–                2018.                                                  regulatory text of the SIAPs, Takeoff
                                             (d) of this title.                                      ADDRESSES: Availability of matters                     Minimums or ODPs, but instead refer to
                                                (d) For peanuts placed under a                       incorporated by reference in the                       their graphic depiction on charts
                                             marketing assistance loan with the                      amendment is as follows:                               printed by publishers of aeronautical
                                             Department’s Commodity Credit                                                                                  materials. Thus, the advantages of
                                             Corporation, the Commodity Credit                       For Examination                                        incorporation by reference are realized
                                             Corporation, or any entity determined                                                                          and publication of the complete
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                                                                                                       1. U.S. Department of Transportation,
                                             by the Commodity Credit Corporation                     Docket Ops-M30, 1200 New Jersey                        description of each SIAP, Takeoff
                                             shall deduct and remit to the Board,                    Avenue SE, West Bldg., Ground Floor,                   Minimums and ODP listed on FAA form
                                             from the proceeds of the loan paid to the               Washington, DC 20590–0001.                             documents is unnecessary. This
                                             producer, the assessment per ton as                       2. The FAA Air Traffic Organization                  amendment provides the affected CFR
                                             specified in paragraph (c) of this                      Service Area in which the affected                     sections and specifies the types of
                                             section, no more than 60 days after the                 airport is located;                                    SIAPs, Takeoff Minimums and ODPs


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Document Created: 2018-06-14 01:38:55
Document Modified: 2018-06-14 01:38:55
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 Date: July 16, 2018.
ContactJeanette Palmer, Marketing Specialist, Promotion and Economics Division, Specialty Crops Program, AMS, USDA, Stop 0244, 1400 Independence Avenue SW, Room 1406-S, Washington, DC 20250-0244; telephone: (202) 720-9915; facsimile: (202) 205-2800; or electronic mail: [email protected]
FR Citation83 FR 27683 
CFR AssociatedAdministrative Practice and Procedure; Advertising; Consumer Information; Marketing Agreements; Peanut Promotion and Reporting and Recordkeeping Requirements

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