83 FR 31444 - Tart Cherries Grown in the States of Michigan, et al.; Revision of Exemption Requirements
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service Federal Register Volume 83, Issue 130 (July 6, 2018)
Agricultural Marketing Service
Federal Register Volume 83, Issue 130 (July 6, 2018)
| Page Range | 31444-31447 | |
| FR Document | 2018-14516 |
[Federal Register Volume 83, Number 130 (Friday, July 6, 2018)] [Rules and Regulations] [Pages 31444-31447] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2018-14516] ----------------------------------------------------------------------- DEPARTMENT OF AGRICULTURE Agricultural Marketing Service 7 CFR Part 930 [Doc. No. AMS-SC-17-0047; SC17-930-1 FR] Tart Cherries Grown in the States of Michigan, et al.; Revision of Exemption Requirements AGENCY: Agricultural Marketing Service, USDA. ACTION: Final rule. ----------------------------------------------------------------------- SUMMARY: This rule implements a recommendation from the Cherry Industry Administrative Board (Board) to revise the exemption provisions for tart cherries grown in Michigan, New York, Pennsylvania, Oregon, Utah, Washington, and Wisconsin. This rule changes the number of years that new product, new market development, and market expansion projects are eligible for handler diversion credit. This action also permits handlers to apply for previously awarded projects if the original handler has not begun the project within a year of approval and provides an expedited approval option for some market expansion activities. This final rule also contains a formatting change to subpart references to bring the language into conformance with the Office of Federal Register requirements. DATES: Effective August 6, 2018. FOR FURTHER INFORMATION CONTACT: Jennie M. Varela, Marketing Specialist, or Christian D. Nissen, Regional Director, Southeast Marketing Field Office, Marketing Order and Agreement Division, Specialty Crops Program, AMS, USDA; Telephone: (863) 324-3775, Fax: (863) 291-8614, or Email: [email protected] or [email protected]. Small businesses may request information on complying with this regulation by contacting Richard Lower, Marketing Order and Agreement Division, Specialty Crops Program, AMS, USDA, 1400 Independence Avenue SW, STOP 0237, Washington, DC 20250-0237; Telephone: (202) 720-2491, Fax: (202) 720-8938, or Email: [email protected]. SUPPLEMENTARY INFORMATION: This final rule, 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 final rule is issued under Marketing Order No. 930, as amended (7 CFR part 930), regulating the handling of tart cherries grown in the States of Michigan, New York, Pennsylvania, Oregon, Utah, Washington, and Wisconsin. Part 930 (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 Board locally administers the Order and is comprised of growers and handlers operating in the production area, and one public member. 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. This rule is not intended to have retroactive effect. 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. A 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 final rule changes the number of years that new product, new market development, and market expansion projects are eligible for handler diversion credit from three years to five years. This action also permits handlers to apply for previously awarded projects if the original handler has not made a [[Page 31445]] shipment within a year of approval and provides an expedited approval option for some market expansion activities. These changes are intended to encourage participation in new product, new market development, and market expansion, expand demand, and make the approval process more efficient. The Board unanimously approved these changes at a meeting on May 3, 2017. The Secretary approves these recommendations. Section 930.59 authorizes the Secretary to implement handler diversion. When volume regulation is in effect, handlers may fulfill any restricted percentage requirement in full or in part by acquiring diversion certificates or by voluntarily diverting cherries or cherry products in a program approved by the Board, rather than placing cherries in an inventory reserve. Section 930.159 specifies methods of handler diversion, including using cherries or cherry products for exempt purposes prescribed under Sec. 930.162. Section 930.162 establishes the terms and conditions of exemption that must be satisfied for handlers to receive diversion certificates for exempt uses. Section 930.162(b) defines the activities which qualify for exemptions under new product, new market development, and market expansion, and the period for which they are eligible for diversion credit. New products include foods or other products in which tart cherries or tart cherry products are incorporated which are not presently being produced on a commercial basis. New market development and market expansion activities include, but are not limited to, sales of cherries into markets that are not yet commercially established, product line extensions, and segmentation of markets along geographic or other definable characteristics. The Order provides for the use of volume regulation to stabilize prices and improve grower returns during periods of oversupply. At the beginning of each season, the Board examines production and sales data to determine whether a volume regulation is necessary and, if so, announces free and restricted percentages to limit the volume of tart cherries on the market. Free percentage cherries can be used to supply any available market, including domestic markets for pie filling, water packed, and frozen tart cherries. Restricted percentage cherries can be placed in reserve or be used to earn diversion credits as prescribed in Sec. Sec. 930.159 and 930.162. These activities include, in part, the development of new products, new market development and market expansion, as well as charitable contributions, and the development of export markets. Changes in the domestic tart cherry market have provided challenges to the industry, particularly competition from imported cherry products. In the last five years, there has been a large increase in the volume of imported tart cherry products, especially tart cherry juice. The Board sees this juice market as a potential opportunity to expand domestic sales. The Board assigned a series of committees to look into the growing juice market, examine the impact of imports on the overall domestic market, and recommend actions that could help domestic handlers capture market share. As a result, the Board determined that the use of diversion credit for new markets and market expansion would be a valuable way to reach the developing juice market that is not currently utilizing domestic cherries. The Board believes the development of new products, new markets, and expansion of current markets is an important part of the future success of the domestic industry. These projects are intended to help expand the market for tart cherries and increase demand. The Board sees the use of diversion credits as a way to encourage these activities using restricted fruit that may otherwise be stored or destroyed. However, creating new products or establishing sales in new markets can be costly and time consuming. In 2015, the Board increased the eligibility for diversion credit from one year to a three-year duration for new market and market expansion projects and saw participation rise. In discussing this change, Board members indicated that three years still did not provide handlers sufficient time to develop and recoup the costs and resources needed to establish one of these projects. The Board believes extending the availability of diversion credits from three years to five years will provide an incentive for handlers to develop new products, new markets, or to expand current markets. Further, the Board believes that allowing handlers to apply for previously approved projects that the original handler has not fulfilled creates additional opportunities and promotes project development. Under the Order's regulations, diversion credit for new products and new markets can be issued for tart cherries for products or markets not yet commercially established. Consequently, the Board's administrative policy was that once a handler received approval for a project, that handler maintained the right to commercially develop that project for up to three years. However, the Board found that sometimes a handler received approval for a project but never started it. The Board recommended that if the handler does not start the project, it should still be considered a new product, new market, or market expansion activity, and other handlers should be able to apply for the previously approved project. With this change, a handler has one year to begin the new product, new market, or market expansion project with the opportunity to appeal for an additional six months if necessary to start the project. If the handler does not make a shipment and does not request an extension, other handlers can apply to develop the project. The Board believes this will encourage handlers to start projects or create the opportunity for another handler to apply for the project if the original handler cannot, or chooses not to, proceed. Finally, the Board recommended an expedited option so that diversion credit for some market expansion projects can be approved once the sales information is verified by Board staff, rather than review by a subcommittee. Adding this flexibility to the approval process will make it faster for diversion applicants. Currently, all types of new market, new product, and market expansion projects are reviewed by an appointed subcommittee, which can take considerable time. In hope of handlers participating in these activities, the Board recognized the need to make the approval process faster so that decisions on applications are not delayed. In the case of market expansion projects, some tart cherry handlers are competing to source buyers not currently using domestic tart cherries rather than developing a new product. The Board believes these transactions are vital to expanding sales of tart cherries. The Board recommended an expedited option for these market expansion projects. Diversion credit for these transactions will be approved once a statement from a buyer of its intent to use domestic tart cherries in products not currently supplied by the domestic market is sent to and verified by Board staff, rather than after review by the Board subcommittee. The Board believes this will expedite the approval process for diversion requests. The Secretary finds, from the recommendation and supporting information supplied by the Board, that changing the number of years that new product, new market development, and market expansion projects are eligible for handler diversion credit tends to [[Page 31446]] effectuate the declared policy of the Act and so approves these changes. 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 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 600 producers of tart cherries in the regulated area and approximately 40 handlers of tart cherries who are subject to regulation under the Order. Small agricultural producers are defined by the Small Business Administration (SBA) as those having annual receipts of less than $750,000, and small agricultural service firms have been defined as those whose annual receipts are less than $7,500,000 (13 CFR 121.201). According to the National Agricultural Statistics Service and Board data, the average annual grower price for tart cherries during the 2016-17 season was approximately $0.273 per pound. With total utilization at around 323.1 million pounds for the 2016-17 season, the total 2016-17 crop value is estimated at $88.2 million. Dividing the crop value by the estimated number of producers (600) yields an estimated average receipt per producer of $147,000. This is well below the SBA threshold for small producers. In 2016, The Food Institute estimated a free on board (f.o.b.) price of $0.83 per pound for frozen tart cherries, which make up the majority of processed tart cherries. Multiplying the f.o.b price by total utilization of 323.1 million pounds results in an estimated handler-level tart cherry value of $268 million. Dividing this figure by the number of handlers (40) yields estimated average annual handler receipts of $6.7 million, which is below the SBA threshold for small agricultural service firms. Assuming a normal distribution, the majority of producers and handlers of tart cherries may be classified as small entities. This rule revises Sec. 930.162 by changing the number of years that new product, new market development, and market expansion projects are eligible for handler diversion credit from three years to five years. This action also permits handlers to apply for previously awarded projects if the original handler has not made a shipment within one year of approval, and provides an expedited approval option for some market expansion activities. These changes are intended to encourage handlers to participate in new product, new market, and market expansion activities, to expand demand, and make the approval process more efficient. The authority for these actions is provided in Sec. 930.59. It is not anticipated that this rule will impose additional costs on handlers or growers, regardless of size. Rather, this action should help handlers receive better returns on their new market development and market expansion projects by extending the time period that handlers can receive diversion credit for those activities. This provides more opportunity for handlers to recover the time and resources required to establish these projects. In addition, extending the number of years that these marketing projects are eligible for diversion credits may provide incentive for handlers to develop these programs and may enable additional sales, which could improve returns for growers and handlers. Board members indicated that three years does not provide handlers enough time to develop and recover the costs and resources needed to implement one of these projects. The Board expects increasing the time frame will provide an incentive for additional handlers to participate in these exempt activities. Additionally, the changes open up the opportunity for another handler if the original handler does not carry out an approved project. Creating a longer window for use of restricted fruit and making the process accessible to more handlers should help the industry in its efforts to expand demand. Finally, this action changes the process by which handlers receive approval for market expansion projects that involve tart cherry handlers competing to source buyers not currently using domestic tart cherries. The Board believes this will help expand sales of tart cherries. The Board recommended that diversion credit for these sales transactions be approved once the sales information is verified by Board staff, rather than after review by the subcommittee. The Board believes this will expedite the approval process for these types of diversion requests. The Board does not believe that these changes significantly impact the calculations for free and restricted percentages. These changes are intended to facilitate projects that create future sales opportunities. The effects of this rule are not expected to be disproportionately greater or less for small handlers or producers than for larger entities. Regarding alternatives to this action, the Board considered a number of options in its discussion, including leaving the length of time that new product, new market, and market expansion programs are eligible for handler diversion credit unchanged. However, given the increased participation rate since the time period was extended in 2015 and the Board's desire to quickly open up opportunities for handlers, the Board preferred to expand the opportunity for diversion credits for these projects. Therefore, the alternatives were rejected. 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. 0581-0177, Tart Cherries Grown in the States of Michigan, New York, Pennsylvania, Oregon, Utah, Washington, and Wisconsin. 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 tart cherry handlers. As with all Federal marketing order programs, reports and forms are periodically reviewed to reduce information requirements and duplication by industry and public sector agencies. As noted in the initial regulatory flexibility analysis, USDA has not identified any relevant Federal rules that duplicate, overlap, or conflict with this final rule. AMS is committed to complying with the E-Government Act, to promote the use of the internet and other information technologies to provide increased opportunities for citizen access to Government information and services, and for other purposes. Further, the Board's meetings were widely publicized throughout the tart cherry industry, and all interested persons were invited to attend the meeting and participate in Board deliberations. Like all Board meetings, the May 3, 2017, meeting was a public meeting, and all entities, both large and small, were able to express their views on this issue. A proposed rule concerning this action was published in the Federal [[Page 31447]] Register on January 2, 2018 (83 FR 77). Copies of the proposed rule were sent via email to Board members and tart cherry handlers. The proposed rule was made available through the internet by USDA and the Office of the Federal Register. A 30-day comment period ending February 1, 2018, was provided to allow interested persons to respond to the proposal. Two comments were received. Both commenters urged adoption of the changes, noting the Board had worked hard on this proposal and had listened to the industry as part of the process. Accordingly, no changes will be made to the rule as proposed, based on the comments received. A small business guide on complying with fruit, vegetable, and specialty crop marketing agreements and orders may be viewed at: http://www.ams.usda.gov/rules-regulations/moa/small-businesses. Any questions about the compliance guide should be sent to Richard Lower at the previously mentioned address in the FOR FURTHER INFORMATION CONTACT section. After consideration of all relevant matter presented, including the information and recommendation of the Board and other available information, it is hereby found that this rule, as hereinafter set forth, will tend to effectuate the declared policy of the Act. List of Subjects in 7 CFR Part 930 Marketing agreements, Reporting and recordkeeping requirements, Tart cherries. For the reasons set forth in the preamble, 7 CFR part 930 is amended as follows: PART 930--TART CHERRIES GROWN IN THE STATES OF MICHIGAN, NEW YORK, PENNSYLVANIA, OREGON, UTAH, WASHINGTON, AND WISCONSIN 0 1. The authority citation for part 930 continues to read as follows: Authority: 7 U.S.C. 601-674. [Subpart Redesignated as Subpart A] 0 2. Redesignate ``Subpart--Order Regulating Handling'' as ``Subpart A-- Order Regulating Handling''. [Subpart Redesignated as Subpart B and Amended] 0 3. Redesignate ``Subpart--Administrative Rules and Regulations'' as subpart B and revise the heading to read as follows: Subpart B--Administrative Requirements 0 4. In Sec. 930.162: 0 a. Revise the sentences at the end of paragraphs (b)(1) and (b)(2); 0 b. Redesignate paragraphs (c)(3),(4), and (5) as paragraphs (c)(4),(5), and (6); 0 c. Add new paragraph (c)(3); and 0 d. Add paragraph (h). The revisions and additions read as follows: Sec. 930.162 Exemptions. * * * * * (b) * * * (1) * * * In addition, the maximum duration of any credit activity is five years from the date of the first shipment. (2) * * * In addition, shipments of tart cherries or tart cherry products in new market development and market expansion outlets are eligible for handler diversion credit for a period of five years from the handler's date of the first shipment into such outlets. * * * * * (c) * * * (3) When applying to the Board for an exemption for the use of domestic tart cherry products in markets not currently served by the domestic industry, handlers may provide a verifiable statement from the buyer of its intent to use domestic tart cherry products to the Board staff for review in lieu of review by the subcommittee as detailed in paragraph (d) of this section. A verifiable statement is defined as a written statement from the buyer that it will use domestic tart cherries in products or markets not currently supplied by domestic sources, which will be reviewed and documented by Board staff. * * * * * (h) Extensions and transfers. (1) If no shipments are made within the first year of any approved exemption project from the date of approval, new applications for a similar project (same market or product) are eligible for approval; provided that, handlers with an approved exemption project have the opportunity to apply to the subcommittee for a six-month extension of this time period. (2) For projects granted extensions, if no shipment is made prior to the end of the extension period, new applications for the same market or project are eligible for approval. [Subpart Redesignated as Subpart C] 0 5. Redesignate ``Subpart--Assessment Rates'' as ``Subpart C--Assessment Rate''. Dated: July 2, 2018. Bruce Summers, Administrator, Agricultural Marketing Service. [FR Doc. 2018-14516 Filed 7-5-18; 8:45 am] BILLING CODE 3410-02-P
![31444 Federal Register / Vol. 83, No. 130 / Friday, July 6, 2018 / Rules and Regulations
use of the internet and other Dated: July 2, 2018. regulations issued to carry out a
information technologies to provide Bruce Summers, marketing order as defined in 7 CFR
increased opportunities for citizen Administrator, Agricultural Marketing 900.2(j). This final rule is issued under
access to Government information and Service. Marketing Order No. 930, as amended (7
services, and for other purposes. [FR Doc. 2018–14514 Filed 7–5–18; 8:45 a.m.] CFR part 930), regulating the handling
BILLING CODE 3410–02–P of tart cherries grown in the States of
A proposed rule concerning this
Michigan, New York, Pennsylvania,
action was published in the Federal Oregon, Utah, Washington, and
Register on April 2, 2018 (83 FR 14203). Wisconsin. Part 930 (referred to as the
DEPARTMENT OF AGRICULTURE
Copies of the proposed rule were also ‘‘Order’’) is effective under the
mailed or sent via facsimile to all Agricultural Marketing Service Agricultural Marketing Agreement Act
Florida citrus handlers. The proposal of 1937, as amended (7 U.S.C. 601–674),
was made available through the internet 7 CFR Part 930 hereinafter referred to as the ‘‘Act.’’ The
by USDA and the Office of the Federal Board locally administers the Order and
[Doc. No. AMS–SC–17–0047; SC17–930–1
Register. A 30-day comment period is comprised of growers and handlers
FR]
ending May 3, 2018, was provided for operating in the production area, and
interested persons to respond to the Tart Cherries Grown in the States of one public member.
proposal. One comment was received Michigan, et al.; Revision of Exemption The Department of Agriculture
during the comment period. The Requirements (USDA) is issuing this rule in
commenter was in favor of the conformance with Executive Orders
regulation. Accordingly, no changes will AGENCY: Agricultural Marketing Service, 13563 and 13175. This action falls
be made to the rule as proposed, based USDA. within a category of regulatory actions
on the comment received. ACTION: Final rule. that the Office of Management and
Budget (OMB) exempted from Executive
A small business guide on complying SUMMARY: This rule implements a Order 12866 review. Additionally,
with fruit, vegetable, and specialty crop recommendation from the Cherry because this rule does not meet the
marketing agreements and orders may Industry Administrative Board (Board) definition of a significant regulatory
be viewed at: http://www.ams.usda.gov/ to revise the exemption provisions for action, it does not trigger the
rules-regulations/moa/small-businesses. tart cherries grown in Michigan, New requirements contained in Executive
Any questions about the compliance York, Pennsylvania, Oregon, Utah, Order 13771. See OMB’s Memorandum
guide should be sent to Richard Lower Washington, and Wisconsin. This rule titled ‘‘Interim Guidance Implementing
at the previously mentioned address in changes the number of years that new Section 2 of the Executive Order of
the FOR FURTHER INFORMATION CONTACT product, new market development, and January 30, 2017, titled ‘Reducing
section. market expansion projects are eligible Regulation and Controlling Regulatory
for handler diversion credit. This action Costs’ ’’ (February 2, 2017).
After consideration of all relevant This rule has been reviewed under
also permits handlers to apply for
material presented, including the previously awarded projects if the Executive Order 12988, Civil Justice
information and recommendation original handler has not begun the Reform. This rule is not intended to
submitted by the Committee and other project within a year of approval and have retroactive effect.
available information, it is hereby found provides an expedited approval option The Act provides that administrative
that this rule, will tend to effectuate the for some market expansion activities. proceedings must be exhausted before
declared policy of the Act. This final rule also contains a formatting parties may file suit in court. Under
change to subpart references to bring the section 608c(15)(A) of the Act, any
List of Subjects in 7 CFR Part 905 handler subject to an order may file
language into conformance with the
Grapefruit, Marketing agreements, Office of Federal Register requirements. with USDA a petition stating that the
Oranges, Reporting and recordkeeping order, any provision of the order, or any
DATES: Effective August 6, 2018.
requirements, Tangerines, Pummelos. obligation imposed in connection with
FOR FURTHER INFORMATION CONTACT: the order is not in accordance with law
For the reasons set forth in the Jennie M. Varela, Marketing Specialist, and request a modification of the order
preamble, 7 CFR part 905 is amended as or Christian D. Nissen, Regional or to be exempted therefrom. A handler
follows: Director, Southeast Marketing Field is afforded the opportunity for a hearing
Office, Marketing Order and Agreement on the petition. After the hearing, USDA
PART 905—ORANGES, GRAPEFRUIT, Division, Specialty Crops Program, would rule on the petition. The Act
TANGERINES, AND PUMMELOS AMS, USDA; Telephone: (863) 324– provides that the district court of the
GROWN IN FLORIDA 3775, Fax: (863) 291–8614, or Email: United States in any district in which
Jennie.Varela@ams.usda.gov or the handler is an inhabitant, or has his
■ 1. The authority citation for part 905 Christian.Nissen@ams.usda.gov. or her principal place of business, has
Small businesses may request jurisdiction to review USDA’s ruling on
continues to read as follows:
information on complying with this the petition, provided an action is filed
Authority: 7 U.S.C. 601–674. regulation by contacting Richard Lower, not later than 20 days after the date of
Marketing Order and Agreement the entry of the ruling.
■ 2. Section 905.235 is revised to read Division, Specialty Crops Program,
as follows: This final rule changes the number of
sradovich on DSK3GMQ082PROD with RULES
AMS, USDA, 1400 Independence years that new product, new market
§ 905.235 Assessment rate. Avenue SW, STOP 0237, Washington, development, and market expansion
DC 20250–0237; Telephone: (202) 720– projects are eligible for handler
On and after August 1, 2017, an 2491, Fax: (202) 720–8938, or Email: diversion credit from three years to five
assessment rate of $0.02 per 4⁄5-bushel Richard.Lower@ams.usda.gov. years. This action also permits handlers
carton or equivalent is established for SUPPLEMENTARY INFORMATION: This final to apply for previously awarded projects
Florida citrus covered under the Order. rule, pursuant to 5 U.S.C. 553, amends if the original handler has not made a
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![Federal Register / Vol. 83, No. 130 / Friday, July 6, 2018 / Rules and Regulations 31447
Register on January 2, 2018 (83 FR 77). Subpart B—Administrative Dated: July 2, 2018.
Copies of the proposed rule were sent Requirements Bruce Summers,
via email to Board members and tart Administrator, Agricultural Marketing
cherry handlers. The proposed rule was ■ 4. In § 930.162: Service.
made available through the internet by ■ a. Revise the sentences at the end of [FR Doc. 2018–14516 Filed 7–5–18; 8:45 am]
USDA and the Office of the Federal paragraphs (b)(1) and (b)(2); BILLING CODE 3410–02–P
Register. A 30-day comment period ■ b. Redesignate paragraphs (c)(3),(4),
ending February 1, 2018, was provided and (5) as paragraphs (c)(4),(5), and (6);
to allow interested persons to respond ■ c. Add new paragraph (c)(3); and DEPARTMENT OF HOMELAND
to the proposal. ■ d. Add paragraph (h). SECURITY
Two comments were received. Both The revisions and additions read as
commenters urged adoption of the follows: 8 CFR Part 212
changes, noting the Board had worked [Docket No: USCBP–2016–0003]; [CBP
§ 930.162 Exemptions.
hard on this proposal and had listened Decision No. 18–06]
to the industry as part of the process. * * * * *
(b) * * * RIN 1651–AB09
Accordingly, no changes will be made
to the rule as proposed, based on the (1) * * * In addition, the maximum Elimination of Nonimmigrant Visa
comments received. duration of any credit activity is five Exemption for Certain Caribbean
A small business guide on complying years from the date of the first shipment. Residents Coming to the United States
with fruit, vegetable, and specialty crop (2) * * * In addition, shipments of as H–2A Agricultural Workers
marketing agreements and orders may tart cherries or tart cherry products in
new market development and market AGENCY: U.S. Customs and Border
be viewed at: http://www.ams.usda.gov/
expansion outlets are eligible for Protection, Department of Homeland
rules-regulations/moa/small-businesses.
handler diversion credit for a period of Security.
Any questions about the compliance
guide should be sent to Richard Lower five years from the handler’s date of the ACTION: Final rule.
at the previously mentioned address in first shipment into such outlets.
SUMMARY: This finalizes interim
the FOR FURTHER INFORMATION CONTACT * * * * * amendments to the Department of
section. (c) * * * Homeland Security’s (DHS) regulations,
After consideration of all relevant (3) When applying to the Board for an published in the Federal Register on
matter presented, including the exemption for the use of domestic tart February 8, 2016, that eliminated the
information and recommendation of the cherry products in markets not currently nonimmigrant visa exemption for
Board and other available information, served by the domestic industry, certain Caribbean residents seeking to
it is hereby found that this rule, as handlers may provide a verifiable come to the United States as H–2A
hereinafter set forth, will tend to statement from the buyer of its intent to agricultural workers and the spouses or
effectuate the declared policy of the Act. use domestic tart cherry products to the children who accompany or follow
Board staff for review in lieu of review these workers to the United States. As
List of Subjects in 7 CFR Part 930 by the subcommittee as detailed in a result of the interim final rule, these
paragraph (d) of this section. A nonimmigrants are required to have
Marketing agreements, Reporting and verifiable statement is defined as a
recordkeeping requirements, Tart both a valid passport and visa. The
written statement from the buyer that it Department of State (DOS) revised its
cherries. will use domestic tart cherries in regulations in a parallel interim final
For the reasons set forth in the products or markets not currently rule and is issuing a parallel final rule
preamble, 7 CFR part 930 is amended as supplied by domestic sources, which to adopt all interim changes as final.
follows: will be reviewed and documented by DATES: This rule is effective on August
Board staff. 6, 2018.
PART 930—TART CHERRIES GROWN * * * * * FOR FURTHER INFORMATION CONTACT:
IN THE STATES OF MICHIGAN, NEW (h) Extensions and transfers. (1) If no Stephanie E. Watson, U.S. Customs and
YORK, PENNSYLVANIA, OREGON, shipments are made within the first year Border Protection, Office of Field
UTAH, WASHINGTON, AND of any approved exemption project from Operations, (202) 325–4548, or via email
WISCONSIN the date of approval, new applications at Stephanie.E.Watson@cbp.dhs.gov.
for a similar project (same market or SUPPLEMENTARY INFORMATION:
■ 1. The authority citation for part 930 product) are eligible for approval;
continues to read as follows: provided that, handlers with an I. Background
Authority: 7 U.S.C. 601–674. approved exemption project have the On February 8, 2016, DHS published
opportunity to apply to the an interim final rule (IFR) in the Federal
[Subpart Redesignated as Subpart A] subcommittee for a six-month extension Register (81 FR 6430) requiring a
of this time period. British, French, or Netherlands national,
■ 2. Redesignate ‘‘Subpart—Order (2) For projects granted extensions, if or a national of Barbados, Grenada,
Regulating Handling’’ as ‘‘Subpart A— no shipment is made prior to the end of Jamaica, or Trinidad and Tobago, who
Order Regulating Handling’’. the extension period, new applications has his or her residence in British,
sradovich on DSK3GMQ082PROD with RULES
[Subpart Redesignated as Subpart B for the same market or project are French, or Netherlands territory located
and Amended] eligible for approval. in the adjacent islands of the Caribbean
[Subpart Redesignated as Subpart C] area, or in Barbados, Grenada, Jamaica,
■ 3. Redesignate ‘‘Subpart— or Trinidad and Tobago, to obtain a
Administrative Rules and Regulations’’ ■ 5. Redesignate ‘‘Subpart—Assessment valid, unexpired visa if the alien is
as subpart B and revise the heading to Rates’’ as ‘‘Subpart C—Assessment proceeding to the United States as an H–
read as follows: Rate’’. 2A agricultural worker. The IFR also
VerDate Sep<11>2014 16:23 Jul 05, 2018 Jkt 244001 PO 00000 Frm 00007 Fmt 4700 Sfmt 4700 E:\FR\FM\06JYR1.SGM 06JYR1](https://thefederalregister.org/doc/83_FR_31574/page/4.svg)
Document Created: 2018-07-06 00:46:15
Document Modified: 2018-07-06 00:46:15
| Category | Regulatory Information | |
| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
| Publisher | Office of the Federal Register, National Archives and Records Administration | |
| Section | Rules and Regulations | |
| Action | Final rule. | |
| Dates | Effective August 6, 2018. | |
| Contact | Jennie M. Varela, Marketing Specialist, or Christian D. Nissen, Regional Director, Southeast Marketing Field Office, Marketing Order and Agreement Division, Specialty Crops Program, AMS, USDA; Telephone: (863) 324-3775, Fax: (863) 291-8614, or Email: [email protected] or [email protected] | |
| FR Citation | 83 FR 31444 | |
| CFR Associated | Marketing Agreements; Reporting and Recordkeeping Requirements and Tart Cherries |
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