83_FR_28640 83 FR 28521 - Olives Grown in California; Decreased Assessment Rate

83 FR 28521 - Olives Grown in California; Decreased Assessment Rate

DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service

Federal Register Volume 83, Issue 119 (June 20, 2018)

Page Range28521-28523
FR Document2018-13271

This rule implements a recommendation from the California Olive Committee (Committee) to decrease the assessment rate established for the 2018 fiscal period for olives grown in California. The assessment rate will remain in effect indefinitely unless modified, suspended, or terminated.

Federal Register, Volume 83 Issue 119 (Wednesday, June 20, 2018)
[Federal Register Volume 83, Number 119 (Wednesday, June 20, 2018)]
[Rules and Regulations]
[Pages 28521-28523]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-13271]



========================================================================
Rules and Regulations
                                                Federal Register
________________________________________________________________________

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

The Code of Federal Regulations is sold by the Superintendent of Documents. 

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


Federal Register / Vol. 83, No. 119 / Wednesday, June 20, 2018 / 
Rules and Regulations

[[Page 28521]]



DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 932

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


Olives Grown in California; Decreased Assessment Rate

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Final rule.

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

SUMMARY: This rule implements a recommendation from the California 
Olive Committee (Committee) to decrease the assessment rate established 
for the 2018 fiscal period for olives grown in California. The 
assessment rate will remain in effect indefinitely unless modified, 
suspended, or terminated.

DATES: Effective July 20, 2018.

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: PeterR.Sommers@ams.usda.gov or Jeffrey.Smutny@ams.usda.gov.
    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: Richard.Lower@ams.usda.gov.

SUPPLEMENTARY INFORMATION: This action, pursuant to 5 U.S.C. 553, 
amends regulations issued to carry out a marketing order as defined in 
7 CFR 900.2(j). This rule is issued under Marketing Agreement and Order 
No. 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 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 assessment rate 
as established herein 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 rule decreases the assessment rate established for the 2018 
and subsequent fiscal periods 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, with the costs for goods and 
services in their local area, and are therefore 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.
    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 year's budgeted 
expenditures were $1,752,366. The assessment rate of $24.00 is $2.00 
lower than the rate currently in effect. Handlers received 83,799 tons 
of assessable olives during the 2017 crop year, which is higher than 
the 63,000 tons of assessable olives received during the 2016 crop 
year. 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 the

[[Page 28522]]

Committee's assessment rate, 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 proposed fiscal year expenses, actual olive 
tonnage received by handlers during the 2017 crop year, and the amount 
of funds 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 assessment rate established in this rule will continue in 
effect indefinitely unless modified, suspended, or terminated by USDA 
upon recommendation and information submitted by the Committee or other 
available information.
    Although this assessment rate will be effective for an indefinite 
period, the Committee will continue to meet prior to or during each 
fiscal period to recommend a budget of expenses and consider 
recommendations for modification of the assessment rate. The dates and 
times of Committee meetings are available from the Committee or USDA. 
Committee meetings are open to the public, and interested persons are 
encouraged to express their views at these meetings. USDA will evaluate 
Committee recommendations and other available information to determine 
whether modification of the assessment rate is needed. Further 
rulemaking will be undertaken as necessary. The Committee's budget for 
fiscal year 2018 and those for subsequent fiscal periods will be 
reviewed and, as appropriate, approved by USDA.

Final Regulatory Flexibility Analysis

    Pursuant to requirements set forth in the Regulatory Flexibility 
Act (RFA) (5 U.S.C. 601-612), the Agricultural Marketing Service (AMS) 
has considered the economic impact of this rule on small entities. 
Accordingly, AMS has prepared this final regulatory flexibility 
analysis.
    The purpose of the RFA is to fit regulatory actions to the scale of 
businesses subject to such actions in order that small businesses will 
not be unduly or disproportionately burdened. Marketing orders issued 
pursuant to the Act, and the rules issued thereunder, are unique in 
that they are brought about through group action of essentially small 
entities acting on their own behalf.
    There are approximately 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 their annual receipts are greater than 
$7,500,000.
    This rule decreases 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, which should provide $2,011,176 in 
assessment income. 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.
    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.
    This action decreases the assessment obligation imposed on 
handlers. Assessments are applied uniformly on all handlers, and some 
of the costs may be passed on to producers. However, decreasing the 
assessment rate reduces the burden on handlers, and may reduce the 
burden on producers.
    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 encouraged to 
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.
    In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. 
Chapter 35), the Order's information collection requirements have been 
previously approved by OMB and assigned OMB No. 0581-0189, Fruit Crops. 
No changes in those requirements are necessary as a result of this 
action. Should any changes become necessary, they would be submitted to 
OMB for approval.
    This rule imposes no additional reporting or recordkeeping 
requirements on either small or large 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

[[Page 28523]]

sector agencies. As mentioned in the initial regulatory flexibility 
analysis, USDA has not identified any relevant Federal rules that 
duplicate, overlap, or conflict with this final rule.
    AMS is committed to complying with the E-Government Act, to promote 
the use of the internet and other information technologies to provide 
increased opportunities for citizen access to Government information 
and services, and for other purposes.
    USDA has not identified any relevant Federal rules that duplicate, 
overlap, or conflict with this action.
    A proposed rule concerning this action was published in the Federal 
Register on April 4, 2018 (83 FR 14379). A copy of the proposed rule 
was provided to the handlers by the Committee. Finally, the proposal 
was made available through the internet by USDA and the Office of the 
Federal Register. A 30-day comment period ending May 4, 2018, was 
provided for interested persons to respond to the proposal. No comments 
were received. The proposal also contained administrative revisions to 
the Order's subpart headings to bring the language into conformance 
with the Office of Federal Register requirements. Those revisions are 
not included in this rule as they were included in a technical 
amendment final rule published in the Federal Register on April 6, 2018 
(83 FR 14736).
    A small business guide on complying with fruit, vegetable, and 
specialty crop marketing agreements and orders may be viewed at: http://www.ams.usda.gov/rules-regulations/moa/small-businesses. Any questions 
about the compliance guide should be sent to Richard Lower at the 
previously-mentioned address in the FOR FURTHER INFORMATION CONTACT 
section.
    After consideration of all relevant material presented, including 
the information and recommendation submitted by the Committee and other 
available information, it is hereby found that this rule will tend to 
effectuate the declared policy of the Act.

List of Subjects in 7 CFR Part 932

    Marketing agreements, Olives, Reporting and recordkeeping 
requirements.

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

PART 932--OLIVES GROWN IN CALIFORNIA

0
1. The authority citation for 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: June 15, 2018.
Bruce Summers,
Administrator, Agricultural Marketing Service.
[FR Doc. 2018-13271 Filed 6-19-18; 8:45 am]
 BILLING CODE 3410-02-P



                                                                                                                                                                                              28521

                                              Rules and Regulations                                                                                          Federal Register
                                                                                                                                                             Vol. 83, No. 119

                                                                                                                                                             Wednesday, June 20, 2018



                                              This section of the FEDERAL REGISTER                    in California. Part 932 (referred to as the               This rule decreases the assessment
                                              contains regulatory documents having general            ‘‘Order’’) is effective under the                      rate established for the 2018 and
                                              applicability and legal effect, most of which           Agricultural Marketing Agreement Act                   subsequent fiscal periods from $26.00 to
                                              are keyed to and codified in the Code of                of 1937, as amended (7 U.S.C. 601–674),                $24.00 per ton of assessed olives.
                                              Federal Regulations, which is published under           hereinafter referred to as the ‘‘Act.’’ The               The Order provides authority for the
                                              50 titles pursuant to 44 U.S.C. 1510.
                                                                                                      Committee locally administers the                      Committee, with the approval of USDA,
                                              The Code of Federal Regulations is sold by              Order and is comprised of producers                    to formulate an annual budget of
                                              the Superintendent of Documents.                        and handlers of olives operating within                expenses and collect assessments from
                                                                                                      the area of production.                                handlers to administer the program. The
                                                                                                         The Department of Agriculture                       members of the Committee are
                                              DEPARTMENT OF AGRICULTURE                               (USDA) is issuing this rule in                         producers and handlers of olives in
                                                                                                      conformance with Executive Orders                      California. They are familiar with the
                                              Agricultural Marketing Service                          13563 and 13175. This action falls                     Committee’s needs, with the costs for
                                                                                                      within a category of regulatory actions                goods and services in their local area,
                                              7 CFR Part 932                                          that the Office of Management and                      and are therefore in a position to
                                              [Doc. No. AMS–SC–18–0001; SC18–932–1                    Budget (OMB) exempted from Executive                   formulate an appropriate budget and
                                              FR]                                                     Order 12866 review. Additionally,                      assessment rate. The assessment rate is
                                                                                                      because this rule does not meet the                    formulated in a public meeting where
                                              Olives Grown in California; Decreased                   definition of a significant regulatory                 all directly affected persons have an
                                              Assessment Rate                                         action, it does not trigger the                        opportunity to participate and provide
                                                                                                      requirements contained in Executive                    input.
                                              AGENCY:  Agricultural Marketing Service,
                                                                                                      Order 13771. See OMB’s Memorandum                         For the 2015 and subsequent fiscal
                                              USDA.
                                                                                                      titled ‘‘Interim Guidance Implementing                 years, the Committee recommended,
                                              ACTION: Final rule.                                     Section 2 of the Executive Order of                    and USDA approved, an assessment rate
                                              SUMMARY:   This rule implements a                       January 30, 2017, titled ‘Reducing                     of $26.00 per ton of assessed olives.
                                              recommendation from the California                      Regulation and Controlling Regulatory                  That rate would continue in effect
                                              Olive Committee (Committee) to                          Costs’ ’’ (February 2, 2017).                          unless modified, suspended, or
                                              decrease the assessment rate established                   This rule has been reviewed under                   terminated by USDA upon
                                              for the 2018 fiscal period for olives                   Executive Order 12988, Civil Justice                   recommendation and information
                                              grown in California. The assessment rate                Reform. Under the Order now in effect,                 submitted by the Committee or other
                                              will remain in effect indefinitely unless               California olive handlers are subject to               information available to USDA.
                                              modified, suspended, or terminated.                     assessments. Funds to administer the                      The Committee met on December 13,
                                                                                                      Order are derived from such                            2017, and unanimously recommended
                                              DATES: Effective July 20, 2018.
                                                                                                      assessments. It is intended that the                   2018 expenditures of $1,940,477, and an
                                              FOR FURTHER INFORMATION CONTACT:                        assessment rate as established herein                  assessment rate of $24.00 per ton of
                                              Peter Sommers, Marketing Specialist, or                 would be applicable to all assessable                  assessed olives. In comparison, last
                                              Jeffrey Smutny, Regional Director,                      olives beginning on January 1, 2018, and               year’s budgeted expenditures were
                                              California Marketing Field Office,                      continue until amended, suspended, or                  $1,752,366. The assessment rate of
                                              Marketing Order and Agreement                           terminated.                                            $24.00 is $2.00 lower than the rate
                                              Division, Specialty Crops Program,                         The Act provides that administrative                currently in effect. Handlers received
                                              AMS, USDA; Telephone: (559) 487–                        proceedings must be exhausted before                   83,799 tons of assessable olives during
                                              5901, Fax: (559) 487–5906, or Email:                    parties may file suit in court. Under                  the 2017 crop year, which is higher than
                                              PeterR.Sommers@ams.usda.gov or                          section 608c(15)(A) of the Act, any                    the 63,000 tons of assessable olives
                                              Jeffrey.Smutny@ams.usda.gov.                            handler subject to an order may file                   received during the 2016 crop year. The
                                                 Small businesses may request                         with USDA a petition stating that the                  2018 fiscal year assessment rate
                                              information on complying with this                      order, any provision of the order, or any              decrease is necessary to ensure the
                                              regulation by contacting Richard Lower,                 obligation imposed in connection with                  Committee has sufficient revenue to
                                              Marketing Order and Agreement                           the order is not in accordance with law                fund the recommended 2018 budgeted
                                              Division, Specialty Crops Program,                      and request a modification of the order                expenditures while ensuring the funds
                                              AMS, USDA, 1400 Independence                            or to be exempted therefrom. Such                      in the financial reserve would be kept
                                              Avenue SW, STOP 0237, Washington,                       handler is afforded the opportunity for                within the maximum permitted by
                                              DC 20250–0237; Telephone: (202) 720–                    a hearing on the petition. After the                   § 932.40.
                                              2491, Fax: (202) 720–8938, or Email:                    hearing, USDA would rule on the                           The Order has a fiscal year and a crop
                                              Richard.Lower@ams.usda.gov.                             petition. The Act provides that the                    year that are independent of each other.
                                              SUPPLEMENTARY INFORMATION: This                         district court of the United States in any             The crop year is a 12-month period that
sradovich on DSK3GMQ082PROD with RULES




                                              action, pursuant to 5 U.S.C. 553,                       district in which the handler is an                    begins on August 1 of each year and
                                              amends regulations issued to carry out                  inhabitant, or has his or her principal                ends on July 31 of the following year.
                                              a marketing order as defined in 7 CFR                   place of business, has jurisdiction to                 The fiscal year is the 12-month period
                                              900.2(j). This rule is issued under                     review USDA’s ruling on the petition,                  that begins on January 1 and ends on
                                              Marketing Agreement and Order No.                       provided an action is filed not later than             December 31 of each year. Olives are an
                                              932, as amended (7 CFR part 932),                       20 days after the date of the entry of the             alternate-bearing crop, with a small crop
                                              regulating the handling of olives grown                 ruling.                                                followed by a large crop. For the


                                         VerDate Sep<11>2014   16:19 Jun 19, 2018   Jkt 244001   PO 00000   Frm 00001   Fmt 4700   Sfmt 4700   E:\FR\FM\20JNR1.SGM   20JNR1


                                              28522            Federal Register / Vol. 83, No. 119 / Wednesday, June 20, 2018 / Rules and Regulations

                                              Committee’s assessment rate, the actual                    The purpose of the RFA is to fit                    program administration, $973,500 for
                                              2017 crop year receipts are used to                     regulatory actions to the scale of                     marketing activities, and $297,777 for
                                              determine the assessment rate for the                   businesses subject to such actions in                  research. Budgeted expenses for these
                                              2018 fiscal year.                                       order that small businesses will not be                items during the 2017 fiscal year were
                                                 The major expenditures                               unduly or disproportionately burdened.                 $513,100 for program administration,
                                              recommended by the Committee for                        Marketing orders issued pursuant to the                $823,500 for marketing activities, and
                                              2018 includes $401,200 for program                      Act, and the rules issued thereunder, are              $317,766 for research.
                                              administration, $973,500 for marketing                  unique in that they are brought about                     Prior to arriving at this budget and
                                              activities, and $297,777 for research.                  through group action of essentially                    assessment rate, the Committee
                                              Budgeted expenses for these items                       small entities acting on their own                     considered information from various
                                              during the 2017 fiscal year were                        behalf.                                                sources including the Committee’s
                                              $513,100 for program administration,                       There are approximately 1,100                       Executive, Marketing, Inspection, and
                                              $823,500 for marketing activities, and                  producers of olives in the production                  Research Subcommittees. Alternate
                                              $317,766 for research. The assessment                   area and two handlers subject to                       expenditure levels were discussed by
                                              rate recommended by the Committee                       regulation under the Order. Small                      these groups, based upon the relative
                                              resulted from consideration of proposed                 agricultural producers are defined by                  value of various projects to the olive
                                              fiscal year expenses, actual olive                      the Small Business Administration                      industry and the increased olive
                                              tonnage received by handlers during the                 (SBA) as those having annual receipts                  production. The assessment rate of
                                              2017 crop year, and the amount of funds                 less than $750,000, and small                          $24.00 per ton of assessable olives was
                                              in the Committee’s financial reserve.                   agricultural service firms are defined as              derived by considering anticipated
                                                 Income derived from handler                          those whose annual receipts are less                   expenses, the volume of assessable
                                              assessments, along with interest income                 than $7,500,000 (13 CFR 121.201).                      olives, and additional pertinent factors.
                                                                                                      Based upon National Agricultural                          A review of NASS information
                                              and funds from the Committee’s
                                                                                                      Statistics Service (NASS) information,                 indicates that the average producer
                                              authorized reserve, will be adequate to
                                                                                                      the average price to producers for the                 price for the 2016 crop year was $865.00
                                              cover budgeted expenses. Funds in the
                                                                                                      2016 crop year was $865.00 per ton, and                per ton. Therefore, utilizing the
                                              reserve will be kept within the
                                                                                                      total assessable volume for the 2017                   assessment rate of $24.00 per ton, the
                                              maximum permitted by the Order of
                                                                                                      crop year was 83,799 tons. Based on                    assessment revenue for the 2018 fiscal
                                              approximately one fiscal year’s
                                                                                                      production, price paid to producer, and                year as a percentage of total producer
                                              expenses.                                                                                                      revenue would be approximately 2.77
                                                                                                      the total number of California olive
                                                 The assessment rate established in                   producers, the average annual producer                 percent.
                                              this rule will continue in effect                       revenue is less than $750,000 ($865.00                    This action decreases the assessment
                                              indefinitely unless modified,                           times 83,799 equals $72,486,135,                       obligation imposed on handlers.
                                              suspended, or terminated by USDA                        divided by 1,100 producers equals an                   Assessments are applied uniformly on
                                              upon recommendation and information                     average annual producer revenue of                     all handlers, and some of the costs may
                                              submitted by the Committee or other                     $65,896). Thus, the majority of olive                  be passed on to producers. However,
                                              available information.                                  producers may be classified as small                   decreasing the assessment rate reduces
                                                 Although this assessment rate will be                entities. Both of the handlers may be                  the burden on handlers, and may reduce
                                              effective for an indefinite period, the                 classified as large entities under the                 the burden on producers.
                                              Committee will continue to meet prior                   SBA’s definitions because their annual                    In addition, the Committee’s meeting
                                              to or during each fiscal period to                      receipts are greater than $7,500,000.                  was widely publicized throughout the
                                              recommend a budget of expenses and                         This rule decreases the assessment                  production area. The olive industry and
                                              consider recommendations for                            rate collected from handlers for the 2018              all interested persons were invited to
                                              modification of the assessment rate. The                and subsequent fiscal years from $26.00                attend the meeting and encouraged to
                                              dates and times of Committee meetings                   to $24.00 per ton of assessable olives.                participate in Committee deliberations
                                              are available from the Committee or                     The Committee unanimously                              on all issues. Like all Committee
                                              USDA. Committee meetings are open to                    recommended 2018 expenditures of                       meetings, the December 13, 2017,
                                              the public, and interested persons are                  $1,940,477 and an assessment rate of                   meeting was a public meeting and all
                                              encouraged to express their views at                    $24.00 per ton of assessable olives. The               entities, both large and small, were able
                                              these meetings. USDA will evaluate                      recommended assessment rate of $24.00                  to express views on this issue.
                                              Committee recommendations and other                     is $2.00 lower than the 2017 rate. The                    In accordance with the Paperwork
                                              available information to determine                      quantity of assessable olives for the                  Reduction Act of 1995 (44 U.S.C.
                                              whether modification of the assessment                  2017 crop year is 83,799 tons, which                   Chapter 35), the Order’s information
                                              rate is needed. Further rulemaking will                 should provide $2,011,176 in                           collection requirements have been
                                              be undertaken as necessary. The                         assessment income. The lower                           previously approved by OMB and
                                              Committee’s budget for fiscal year 2018                 assessment rate is possible because                    assigned OMB No. 0581–0189, Fruit
                                              and those for subsequent fiscal periods                 annual receipts for the 2017 crop year                 Crops. No changes in those
                                              will be reviewed and, as appropriate,                   are 83,799 tons compared to 63,000 tons                requirements are necessary as a result of
                                              approved by USDA.                                       for the 2016 crop year. Olives are an                  this action. Should any changes become
                                                                                                      alternate-bearing crop, with a small crop              necessary, they would be submitted to
                                              Final Regulatory Flexibility Analysis
                                                                                                      followed by a large crop. Income                       OMB for approval.
                                                 Pursuant to requirements set forth in                derived from the $24.00 per ton                           This rule imposes no additional
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                                              the Regulatory Flexibility Act (RFA)                    assessment rate, along with funds from                 reporting or recordkeeping requirements
                                              (5 U.S.C. 601–612), the Agricultural                    the authorized reserve and interest                    on either small or large California olive
                                              Marketing Service (AMS) has                             income, should be adequate to meet this                handlers. As with all Federal marketing
                                              considered the economic impact of this                  fiscal year’s expenses.                                order programs, reports and forms are
                                              rule on small entities. Accordingly,                       The major expenditures                              periodically reviewed to reduce
                                              AMS has prepared this final regulatory                  recommended by the Committee for the                   information requirements and
                                              flexibility analysis.                                   2018 fiscal year include $401,200 for                  duplication by industry and public


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                                                               Federal Register / Vol. 83, No. 119 / Wednesday, June 20, 2018 / Rules and Regulations                                           28523

                                              sector agencies. As mentioned in the                    ■ 2. Section 932.230 is revised to read                900.2(j). This final rule is issued under
                                              initial regulatory flexibility analysis,                as follows:                                            Marketing Order No. 981, as amended (7
                                              USDA has not identified any relevant                                                                           CFR part 981), regulating the handling
                                              Federal rules that duplicate, overlap, or               § 932.230    Assessment rate.                          of almonds grown in California. Part 981
                                              conflict with this final rule.                            On and after January 1, 2018, an                     (referred to as the ‘‘Order’’) is effective
                                                 AMS is committed to complying with                   assessment rate of $24.00 per ton is                   under the Agricultural Marketing
                                              the E-Government Act, to promote the                    established for California olives.                     Agreement Act of 1937, as amended (7
                                              use of the internet and other                             Dated: June 15, 2018.                                U.S.C. 601–674), hereinafter referred to
                                              information technologies to provide                     Bruce Summers,                                         as the ‘‘Act.’’ The Board locally
                                              increased opportunities for citizen                     Administrator, Agricultural Marketing                  administers the Order and is comprised
                                              access to Government information and                    Service.                                               of growers and handlers operating
                                              services, and for other purposes.                                                                              within California.
                                                                                                      [FR Doc. 2018–13271 Filed 6–19–18; 8:45 am]
                                                 USDA has not identified any relevant                                                                           The Department of Agriculture
                                                                                                      BILLING CODE 3410–02–P
                                              Federal rules that duplicate, overlap, or                                                                      (USDA) is issuing this final rule in
                                              conflict with this action.                                                                                     conformance with Executive Orders
                                                 A proposed rule concerning this                                                                             13563 and 13175. This action falls
                                              action was published in the Federal                     DEPARTMENT OF AGRICULTURE
                                                                                                                                                             within a category of regulatory actions
                                              Register on April 4, 2018 (83 FR 14379).                Agricultural Marketing Service                         that the Office of Management and
                                              A copy of the proposed rule was                                                                                Budget (OMB) exempted from Executive
                                              provided to the handlers by the                         7 CFR Part 981                                         Order 12866 review. Additionally,
                                              Committee. Finally, the proposal was                                                                           because this final rule does not meet the
                                              made available through the internet by                  [Doc. No. AMS–SC–17–0084; SC18–981–1                   definition of a significant regulatory
                                              USDA and the Office of the Federal                      FR]                                                    action, it does not trigger the
                                              Register. A 30-day comment period                                                                              requirements contained in Executive
                                                                                                      Almonds Grown in California; Revision
                                              ending May 4, 2018, was provided for                                                                           Order 13771. See OMB’s Memorandum
                                                                                                      to the Adjusted Kernel Weight
                                              interested persons to respond to the                                                                           titled ‘‘Interim Guidance Implementing
                                                                                                      Computation
                                              proposal. No comments were received.                                                                           Section 2 of the Executive Order of
                                              The proposal also contained                             AGENCY:  Agricultural Marketing Service,               January 30, 2017, titled ‘Reducing
                                              administrative revisions to the Order’s                 USDA.                                                  Regulation and Controlling Regulatory
                                              subpart headings to bring the language                  ACTION: Final rule.                                    Costs’ ’’ (February 2, 2017).
                                              into conformance with the Office of                                                                               This final rule has been reviewed
                                              Federal Register requirements. Those                    SUMMARY:   This final rule implements a                under Executive Order 12988, Civil
                                              revisions are not included in this rule as              recommendation from the Almond                         Justice Reform. This final rule is not
                                              they were included in a technical                       Board of California (Board) to revise the              intended to have retroactive effect.
                                              amendment final rule published in the                   adjusted kernel weight computation                        The Act provides that administrative
                                              Federal Register on April 6, 2018 (83 FR                currently prescribed under the                         proceedings must be exhausted before
                                              14736).                                                 Marketing Order for almonds grown in                   parties may file suit in court. Under
                                                 A small business guide on complying                  California. In addition, this action                   section 608c(15)(A) of the Act, any
                                              with fruit, vegetable, and specialty crop               allows adjustments to the calculated                   handler subject to an order may file
                                              marketing agreements and orders may                     percentages for foreign material, excess               with USDA a petition stating that the
                                              be viewed at: http://www.ams.usda.gov/                  moisture, or inedible kernels so that the              order, any provision of the order, or any
                                              rules-regulations/moa/small-businesses.                 sum of the percentages for the specified               obligation imposed in connection with
                                              Any questions about the compliance                      measurements equals 100 percent.                       the order is not in accordance with law
                                              guide should be sent to Richard Lower                                                                          and request a modification of the order
                                                                                                      DATES: Effective July 20, 2018.
                                              at the previously-mentioned address in                                                                         or to be exempted therefrom. A handler
                                                                                                      FOR FURTHER INFORMATION CONTACT:                       is afforded the opportunity for a hearing
                                              the FOR FURTHER INFORMATION CONTACT                     Andrea Ricci, Marketing Specialist, or
                                              section.                                                                                                       on the petition. After the hearing, USDA
                                                                                                      Jeffrey Smutny, Regional Director,                     would rule on the petition. The Act
                                                 After consideration of all relevant
                                                                                                      California Marketing Field Office,                     provides that the district court of the
                                              material presented, including the
                                                                                                      Marketing Order and Agreement                          United States in any district in which
                                              information and recommendation
                                                                                                      Division, Specialty Crops Program,                     the handler is an inhabitant, or has his
                                              submitted by the Committee and other
                                                                                                      AMS, USDA; Telephone: (559) 487–                       or her principal place of business, has
                                              available information, it is hereby found
                                                                                                      5901, Fax: (559) 487–5906, or Email:                   jurisdiction to review USDA’s ruling on
                                              that this rule will tend to effectuate the
                                                                                                      Andrea.Ricci@ams.usda.gov or                           the petition, provided an action is filed
                                              declared policy of the Act.
                                                                                                      Jeffrey.Smutny@ams.usda.gov.                           not later than 20 days after the date of
                                              List of Subjects in 7 CFR Part 932                         Small businesses may request                        the entry of the ruling.
                                                Marketing agreements, Olives,                         information on complying with this                        This final rule changes the way
                                              Reporting and recordkeeping                             regulation by contacting Richard Lower,                adjusted kernel weight is expressed by
                                              requirements.                                           Marketing Order and Agreement                          requiring calculation of percentages for
                                                For the reasons set forth in the                      Division, Specialty Crops Program,                     specified measurements to round the
                                              preamble, 7 CFR part 932 is amended as                  AMS, USDA, 1400 Independence                           decimal to the nearest thousandth rather
                                              follows:                                                Avenue SW, STOP 0237, Washington,                      than the current hundredth. In addition,
sradovich on DSK3GMQ082PROD with RULES




                                                                                                      DC 20250–0237; Telephone: (202) 720–                   this final rule allows adjustments to the
                                              PART 932—OLIVES GROWN IN                                2491, Fax: (202) 720–8938, or Email:                   calculated percentages for foreign
                                              CALIFORNIA                                              Richard.Lower@ams.usda.gov.                            material, excess moisture, or inedible
                                                                                                      SUPPLEMENTARY INFORMATION: This final                  kernels so that the sum of the
                                              ■ 1. The authority citation for part 932                rule, pursuant to 5 U.S.C. 553, amends                 percentages for the specified
                                              continues to read as follows:                           regulations issued to carry out a                      measurements equals 100 percent. The
                                                  Authority: 7 U.S.C. 601–674.                        marketing order as defined in 7 CFR                    Board unanimously recommended these


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Document Created: 2018-06-20 00:19:16
Document Modified: 2018-06-20 00:19:16
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 July 20, 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 28521 
CFR AssociatedMarketing Agreements; Olives and Reporting and Recordkeeping Requirements

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