83_FR_49968 83 FR 49776 - Irish Potatoes Grown in Certain Designated Counties in Idaho, and Malheur County, Oregon; Modification of Handling Regulations

83 FR 49776 - Irish Potatoes Grown in Certain Designated Counties in Idaho, and Malheur County, Oregon; Modification of Handling Regulations

DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service

Federal Register Volume 83, Issue 192 (October 3, 2018)

Page Range49776-49780
FR Document2018-21480

This final rule implements a recommendation from the Idaho- Eastern Oregon Potato Committee (Committee) to revise the varietal classifications that determine the size requirements for Irish potatoes grown in certain designated counties of Idaho, and Malheur County, Oregon. As provided under section 8e of the Agricultural Marketing Agreement Act of 1937, this modification also applies to all imported long type Irish potatoes. This final rule also makes administrative revisions to the subpart headings to bring the language into conformance with the Office of Federal Register requirements.

Federal Register, Volume 83 Issue 192 (Wednesday, October 3, 2018)
[Federal Register Volume 83, Number 192 (Wednesday, October 3, 2018)]
[Rules and Regulations]
[Pages 49776-49780]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-21480]


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DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 945

[Doc. No. AMS-SC-17-0077; SC18-945-1 FR]


Irish Potatoes Grown in Certain Designated Counties in Idaho, and 
Malheur County, Oregon; Modification of Handling Regulations

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Final rule.

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

SUMMARY: This final rule implements a recommendation from the Idaho-
Eastern Oregon Potato Committee (Committee) to revise the varietal 
classifications that determine the size requirements for Irish potatoes 
grown in certain designated counties of Idaho, and Malheur County, 
Oregon. As provided under section 8e of the Agricultural Marketing 
Agreement Act of 1937, this modification also applies to all imported 
long type Irish potatoes. This final rule also makes administrative 
revisions to the subpart headings to bring the language into 
conformance with the Office of Federal Register requirements.

DATES: Effective November 2, 2018.

FOR FURTHER INFORMATION CONTACT: Barry Broadbent, Marketing Specialist, 
or Gary D. Olson, Regional Manager, Northwest Marketing Field Office, 
Marketing Order and Agreement Division, Specialty Crops Program, AMS, 
USDA; Telephone: (503) 326-2724, Fax: (503) 326-7440, or Email:

[[Page 49777]]

[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 Agreement No. 
98 and Order No. 945, as amended (7 CFR part 945), regulating the 
handling of Irish potatoes grown in certain designated counties in 
Idaho, and Malheur County, Oregon. Part 945 (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 potato producers and handlers operating within the production area.
    Section 8e of the Act provides that whenever certain specified 
commodities, including potatoes, are regulated under a Federal 
marketing order, imports of these commodities into the United States 
are prohibited unless they meet the same or comparable grade, size, 
quality, or maturity requirements as those in effect for the 
domestically produced commodities.
    The Department of Agriculture (USDA) is issuing this final 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 final 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'[thinsp]'' (February 2, 2017).
    This final rule has been reviewed under Executive Order 12988, 
Civil Justice Reform. This final 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.
    There are no administrative procedures which must be exhausted 
prior to any judicial challenge to the provisions of import regulations 
issued under section 8e of the Act.
    Under the terms of the Order, fresh market shipments of Idaho-
Eastern Oregon potatoes are required to be inspected and are subject to 
minimum grade, size, quality, maturity, pack, and container 
requirements. This final rule revises the varietal classifications that 
determine the size requirements for potatoes handled under the Order. 
As required under section 8e of the Act, the revisions to the Order's 
varietal classifications will also be applied to imported long type 
potatoes.
    At its meeting on November 8, 2017, the Committee unanimously 
recommended revising the varietal classifications that determine the 
size requirements for U.S. No. 2 grade potatoes. Sections 945.51 and 
945.52 provide authority for the establishment and modification of 
grade, size, quality, and maturity regulations applicable to the 
handling of potatoes.
    Section 945.341 establishes minimum grade, size, quality, maturity, 
pack, and container requirements for potatoes handled subject to the 
Order. The Order's handling regulations currently have two different 
size requirements for U.S. No. 2 grade potatoes. The requirements are 
applied based upon the varietal classification of the subject potato. 
Prior to this action, the varietal classifications that determine which 
of the different size requirements are applicable are designated as 
``round varieties'' in Sec.  945.341(a)(2)(i) and as ``all other 
varieties'' in Sec.  945.341(a)(2)(ii).
    This final rule removes the designation ``round varieties'' in 
Sec.  945.341(a)(2)(i) to make the size requirements in that paragraph 
applicable to all U.S. No. 2 grade potatoes, unless otherwise 
specified. In addition, this final rule changes the designation for 
``all other varieties'' in Sec.  945.341(a)(2)(ii) to ``Russet types,'' 
maintaining the larger size requirements for ``Russet types'' only.
    Committee members reported that the Idaho-Eastern Oregon potato 
industry has been producing and shipping an increasing number of non-
traditional potato varieties, such as oblong, fingerling, and banana 
potatoes. Prior to this final rule, the size requirements contained in 
the handling regulations did not adequately differentiate between the 
various types of potatoes to effectively regulate the unique varieties 
that are now being marketed from the production area. Without a clear 
distinction, there existed the potential to inhibit orderly marketing 
of such potatoes by requiring them to adhere to size requirements that 
were never intended to be applied to that type or variety. Designating 
potatoes as ``round varieties'' and ``all other varieties'' was 
appropriate when the regulations were initially established, but 
potatoes from the production area are now segmented into two different 
market sectors: Russet type potatoes and all other non-Russet 
varieties. The characteristics of each of these market sectors 
continues to need different minimum size requirements. However, with 
the previous size requirement classifications in the handling 
regulations, some varieties of potatoes were being required to meet 
size requirements that did not match their natural characteristics or 
their intended market outlet.
    For example, Russet varieties are primarily utilized as baked 
potatoes or are peeled and further prepared by the consumer as products 
such as french fries, potato salad, or mashed potatoes. The Committee 
intends for the size requirements for these potatoes to be greater than 
for other varieties of potatoes and those size requirements match the 
likely utilization of such potatoes. Non-Russet type potatoes are 
typically marketed fresh and are prepared and consumed whole. These 
types, while predominantly round varieties, include unique varieties 
that could not be described as ``round'' but are also not comparable to 
Russet types. Requiring non-Russet type potatoes to meet size 
requirements intended for potatoes used for baking or french fries puts 
those potatoes at a marketing disadvantage.
    The Committee believes that potato size is a significant 
consideration of potato buyers. Providing potato buyers with the sizes 
desired by their customers for the type of potato that is being 
marketed is important to promoting potato sales. The size requirements 
intended to facilitate

[[Page 49778]]

orderly marketing should not unintentionally inhibit a market segment, 
even if that segment is a minor one. Modifying the size requirement 
classifications to meet the intent of the Committee will help 
facilitate the growth of the emerging market for unique potato 
varieties. This change is expected to improve the marketing of Idaho-
Eastern Oregon potatoes and enhance overall returns to handlers and 
producers.
    This final rule relaxes the current handling regulations for non-
round potatoes that are also not Russet type. Such potatoes will be 
subject to the smaller size requirements that have been, and will 
continue to be, applied to round varieties of potatoes. The Committee 
believes that, while these potatoes represent a small market segment 
relative to the total output from the production area, the market is 
expected to grow, and the Order's handling regulations should be 
responsive to it.
    Section 8e mandates the regulation of certain imported commodities 
whenever those same commodities are regulated by a domestic marketing 
order. Irish potatoes are one of the commodities specifically covered 
by section 8e in the Act. In addition, section 8e stipulates that 
whenever two or more such marketing orders regulating the same 
agricultural commodity produced in different areas are concurrently in 
effect, imports must comply with the provisions of the order which 
regulates the commodity produced in the area with which the imported 
commodity is in the ``most direct competition.'' 7 CFR 980.1(a)(2)(iii) 
contains the determination that imports of long type potatoes during 
each month of the year are in most direct competition with potatoes of 
the same type produced in the area covered by the Order.
    Minimum grade, size, quality, and maturity requirements for 
potatoes imported into the United States are currently in effect under 
Sec.  980.1. Section 980.1(b)(2) stipulates that, through the entire 
year, the grade, size, quality, and maturity requirements of the Order 
applicable to potatoes of all long types shall be the respective grade, 
size, quality, and maturity requirements for imported potatoes of all 
long types. Therefore, this action relaxes the minimum size 
requirements for imports of non-round U.S. No. 2 grade long type 
potatoes, other than Russet types, accordingly.
    This final rule also allows potato importers to respond to the 
changing demands of domestic consumers. The domestic market's 
increasing preference for unique potato varieties applies to imported 
potatoes as well as to domestically produced potatoes. In addition, the 
higher prices that the unique potatoes are expected to command will 
also apply to imported product. Thus, importers are expected to benefit 
along with domestic producers and handlers by increased sales of U.S. 
No. 2 grade potatoes and increased total revenue.

Final Regulatory Flexibility Analysis

    Pursuant to the 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. Import regulations issued under 
the Act are based on those established under Federal marketing orders.
    There are approximately 32 handlers of Idaho-Eastern Oregon 
potatoes who are subject to regulation under the Order and about 450 
potato producers in the regulated area. In addition, there are 
approximately 255 importers of all types of potatoes, many of which 
import long types, who are subject to regulation under the Act. Small 
agricultural service firms, which include potato handlers and 
importers, are defined by the Small Business Administration (SBA) as 
those having annual receipts of less than $7,500,000, and small 
agricultural producers are defined as those whose annual receipts are 
less than $750,000 (13 CFR 121.201).
    During the 2016-2017 fiscal period, the most recent full year of 
statistics available, 37,449,300 hundredweight of Idaho-Eastern Oregon 
potatoes were inspected under the Order and sold into the fresh market. 
Based on information provided by the National Agricultural Statistics 
Service, the average producer price for the 2016 Idaho potato crop was 
$6.75 per hundredweight. Multiplying $6.75 by the shipment quantity of 
37,449,300 hundredweight yields an annual crop revenue estimate of 
$252,782,775. The average annual fresh potato revenue for each of the 
450 producers is therefore calculated to be $561,740 ($252,782,775 
divided by 450), which is less than the SBA threshold of $750,000. 
Consequently, on average, most of the Idaho-Eastern Oregon potato 
producers may be classified as small entities.
    In addition, based on information reported by USDA's Market News 
Service, the average f.o.b. shipping point price for the 2016-2017 
Idaho potato crop was $11.79 per hundredweight. Multiplying $11.79 by 
the shipment quantity of 37,449,300 hundredweight yields an annual crop 
revenue estimate of $441,527,247. The average annual fresh potato 
revenue for each of the 32 handlers is therefore calculated to be 
$13,797,726 ($441,527,247 divided by 32), which is above the SBA 
threshold of $7,500,000 for agricultural service firms. Therefore, most 
of the Idaho-Eastern Oregon potato handlers would be classified as 
large entities.
    Further, based on information from USDA's Foreign Agricultural 
Service (FAS), potato importers imported 11,157,190 hundredweight of 
potatoes into the U.S. in 2016 (the most recent full year for which 
statistics are available). FAS also reported the total value of potato 
imports for 2016 to be $212,331,000. The average annual revenue of the 
estimated 255 potato importers is therefore calculated to be $832,670 
($212,331,000 divided by 255), which is significantly less than the SBA 
threshold of $7,500,000. Consequently, on average, most of the entities 
importing potatoes into the U.S. may be classified as small entities.
    This final rule revises the varietal classifications that determine 
the size requirements for U.S. No. 2 grade potatoes handled under the 
Order. Specifically, this action removes the designation ``round 
varieties'' in Sec.  945.341(a)(2)(i) to make the size requirements in 
that paragraph applicable to all U.S. No. 2 grade potatoes, unless 
otherwise specified. In addition, this final rule changes the 
designation for ``all other varieties'' in Sec.  945.341(a)(2)(ii) to 
``Russet types,'' maintaining the larger size requirements that have 
been applied to all non-round varieties, but will now only apply them 
to ``Russet types.''
    Pursuant to section 8(e) of the Act, this revision to the Order's 
varietal classifications that determine the size requirements for U.S. 
No. 2 grade potatoes will also be applied to imported long type Irish 
potatoes.
    This action was recommended by the Committee to ensure that the 
size profile of non-round, non-Russet type U.S. No. 2 grade potatoes 
will consistently be a size preferred by consumers. This change is 
expected to improve the marketability of Idaho-Eastern Oregon potatoes 
and increase returns to

[[Page 49779]]

handlers and producers. Authority for this final rule is provided in 
Sec. Sec.  945.51 and 945.52 of the Order.
    At the November 8, 2017, meeting, the Committee discussed the 
impact of this change on handlers and producers. The change to the 
varietal classifications that determine the size requirements is a 
relaxation in regulation. The regulatory change is expected to have a 
positive, or neutral, impact on industry participants.
    The Committee relied on the opinions of producers and handlers 
familiar with the industry to draw its conclusions regarding the 
recommended handling regulation change. The Committee received 
anecdotal evidence from industry members at the November 8, 2017, 
meeting that there is some confusion in the industry with regards to 
which size requirements apply to which varieties of potatoes and that 
some varieties are being inspected and sized to requirements that were 
not intended by the Committee. The change to the size requirements 
clarifies which size requirements are applicable to which potatoes.
    This change is expected to lead to increased revenue for handlers 
and producers. Prior to this action, non-round potato varieties that 
are not Russet type are required to conform to the larger size 
requirements, even though the Committee does not believe that this 
meets its intent with regards to the handling regulation. Better 
defining the distinct classifications of potatoes will allow more of 
the non-round, non-Russet type potatoes to enter the market, thereby 
allowing the sale of potatoes that would have otherwise been 
restricted. The benefits derived from this action are not expected to 
be disproportionately greater or less for small handlers or producers 
than for larger entities.
    The Committee discussed alternatives to this change. One 
consideration was making no change at all to the current regulation. 
Another alternative was to further differentiate between various 
varieties and types of potatoes in the handling regulations. There was 
some discussion of adding another classification. After consideration 
of all the alternatives, the Committee decided that the changes 
effectuated by this action will provide the greatest amount of benefit 
to the industry with the least amount of burden to producers and 
handlers.
    Further, the Committee's meeting was widely publicized throughout 
the potato industry, and all interested persons were invited to attend 
the meeting and participate in Committee deliberations. Like all 
Committee meetings, the November 8, 2017, meeting was a public meeting, 
and all entities, both large and small, were able to express their 
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. 0581-0178, Vegetable 
and Specialty 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 final rule imposes no additional reporting or recordkeeping 
requirements on either small or large potato handlers. As with all 
Federal marketing order programs, reports and forms are periodically 
reviewed to reduce information requirements and duplication by industry 
and public sector agencies.
    As noted in the initial regulatory flexibility analysis, USDA has 
not identified any relevant Federal rules that duplicate, overlap, or 
conflict with this final rule.
    AMS is committed to complying with the E-Government Act, to promote 
the use of the internet and other information technologies to provide 
increased opportunities for citizen access to Government information 
and services, and for other purposes.
    A proposed rule concerning this action was published in the Federal 
Register on May 9, 2018 (83 FR 21188). 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 60-day comment period ending July 9, 2018, was 
provided to allow interested persons to respond to the proposal.
    One comment was received. The commenter questioned why the proposed 
change would only apply to the Order's production area and not to all 
potato growing regions. Marketing orders only regulate the production 
area as defined in each respective order. Therefore, this change can 
only apply to the handling of potatoes in the Order's production area 
as defined in Sec.  945.4. The commenter did not otherwise address the 
merits of the proposal. Accordingly, no changes will be made to the 
rule as proposed, based on the comment 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.
    In accordance with section 8e of the Act, the United States Trade 
Representative has concurred with the issuance of this final rule.
    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, as 
hereinafter set forth, will tend to effectuate the declared policy of 
the Act.

List of Subjects in 7 CFR Part 945

    Marketing agreements, Potatoes, Reporting and recordkeeping 
requirements.

    For the reasons set forth above, 7 CFR part 945 is amended as 
follows:

PART 945--IRISH POTATOES GROWN IN CERTAIN DESIGNATED COUNTIES IN 
IDAHO, AND MALHEUR COUNTY, OREGON

0
1. The authority citation for part 945 continues to read as follows:


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

    [Subpart Redesignated as Subpart A].

0
2. Redesignate ``Subpart--Order Regulating Handling'' as ``Subpart A--
Order Regulating Handling''.
    [Subpart Redesignated as Subpart B and Amended]

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

Subpart B--Administrative Requirements

    [Subpart Redesignated as Subpart C]

0
4. Redesignate ``Subpart--Assessment Rates'' as ``Subpart C--Assessment 
Rates''.
    [Subpart Redesignated as Subpart D and Amended]

0
5. Redesignate ``Subpart--Handling Regulations'' as subpart D and 
revise the heading to read as follows:

Subpart D--Handling Requirements

0
6. In Sec.  945.341, revise paragraphs (a)(2)(i) and (ii) to read as 
follows:


Sec.  945.341   Handling regulation.

* * * * *
    (a) * * *
    (2) Size--(i) All varieties, except Russet types. 1\7/8\ inches 
minimum diameter, unless otherwise specified on the container in 
connection with the grade.

[[Page 49780]]

    (ii) Russet types. 2 inches minimum diameter, or 4 ounces minimum 
weight: Provided, That at least 40 percent of the potatoes in each lot 
shall be 5 ounces or heavier.
* * * * *

    Dated: September 27, 2018.
Bruce Summers,
Administrator, Agricultural Marketing Service.
[FR Doc. 2018-21480 Filed 10-2-18; 8:45 am]
BILLING CODE 3410-02-P



                                             49776            Federal Register / Vol. 83, No. 192 / Wednesday, October 3, 2018 / Rules and Regulations

                                                (j) Other statutes specifically                      information to the public must be                      available, for identifying additional
                                             providing for fees. The fee schedule of                 considered. CIGIE will presume that a                  records of interest to the public that are
                                             this section does not apply to fees                     representative of the news media will                  appropriate for public disclosure, and
                                             charged under any statute that                          satisfy this consideration.                            for posting and indexing such records.
                                             specifically requires an agency to set                     (iii) The disclosure must not be                    CIGIE must ensure that its website of
                                             and collect fees for particular types of                primarily in the commercial interest of                posted records and indices is reviewed
                                             records. In instances where records                     the requester. To determine whether                    and updated on an ongoing basis.
                                             responsive to a request are subject to a                disclosure of the requested information                CIGIE’s FOIA Public Liaison can assist
                                             statutorily-based fee schedule program,                 is primarily in the commercial interest                individuals in locating records at CIGIE.
                                             CIGIE shall inform the requester of the                 of the requester, CIGIE will consider the
                                             contact information for that program.                   following criteria:                                    § 9801.111   Other rights and services.
                                                (k) Requirements for waiver or                          (A) CIGIE must identify whether the                    Nothing in this part shall be
                                             reduction of fees. (1) Requesters may                   requester has any commercial interest                  construed to entitle any person, as of
                                             seek a waiver of fees by submitting a                   that would be furthered by the                         right, to any service or to the disclosure
                                             written application demonstrating how                   requested disclosure. A commercial                     of any record to which such person is
                                             disclosure of the requested information                 interest includes any commercial, trade,               not entitled under FOIA.
                                             is in the public interest because it is                 or profit interest. Requesters must be                   Dated: September 26, 2018.
                                             likely to contribute significantly to                   given an opportunity to provide
                                                                                                                                                            Michael E. Horowitz,
                                             public understanding of the operations                  explanatory information regarding this
                                                                                                                                                            Chairperson of the Council of the Inspectors
                                             or activities of the government and is                  consideration.
                                                                                                                                                            General on Integrity and Efficiency.
                                             not primarily in the commercial interest                   (B) If there is an identified
                                                                                                                                                            [FR Doc. 2018–21548 Filed 10–2–18; 8:45 am]
                                             of the requester.                                       commercial interest, CIGIE must
                                                (2) CIGIE will furnish records                       determine whether that is the primary                  BILLING CODE 6820–C9–P

                                             responsive to a request without charge                  interest furthered by the request. A
                                             or at a reduced rate when it determines,                waiver or reduction of fees is justified
                                             based on all available information, that                when the requirements of paragraphs                    DEPARTMENT OF AGRICULTURE
                                             disclosure of the requested information                 (k)(2)(i) and (ii) of this section are
                                             is in the public interest because it is                 satisfied and any commercial interest is               Agricultural Marketing Service
                                             likely to contribute significantly to                   not the primary interest furthered by the
                                             public understanding of the operations                  request. CIGIE ordinarily will presume                 7 CFR Part 945
                                             or activities of the government and is                  that when a news media requester has
                                             not primarily in the commercial interest                satisfied the requirements of paragraphs               [Doc. No. AMS–SC–17–0077; SC18–945–1
                                             of the requester. In deciding whether                   (k)(2)(i) and (ii) of this section, the                FR]
                                             this standard is satisfied CIGIE will                   request is not primarily in the
                                             consider the factors described in                                                                              Irish Potatoes Grown in Certain
                                                                                                     commercial interest of the requester.                  Designated Counties in Idaho, and
                                             paragraphs (k)(2)(i) through (iii) of this              Disclosure to data brokers or others who
                                             section.                                                                                                       Malheur County, Oregon; Modification
                                                                                                     merely compile and market government                   of Handling Regulations
                                                (i) Disclosure of the requested                      information for direct economic return
                                             information would shed light on the                     will not be presumed to primarily serve                AGENCY:  Agricultural Marketing Service,
                                             operations or activities of the                         the public interest.                                   USDA.
                                             government. The subject of the request                     (3) Where only some of the records to               ACTION: Final rule.
                                             must concern identifiable operations or                 be released satisfy the requirements for
                                             activities of the Federal Government                    a waiver of fees, a waiver will be                     SUMMARY:   This final rule implements a
                                             with a connection that is direct and                    granted for those records.                             recommendation from the Idaho-Eastern
                                             clear, not remote or attenuated.                           (4) Requests for a waiver or reduction              Oregon Potato Committee (Committee)
                                                (ii) Disclosure of the requested                     of fees should be made when the request                to revise the varietal classifications that
                                             information would be likely to                          is first submitted to CIGIE and should                 determine the size requirements for
                                             contribute significantly to public                      address the criteria referenced above. A               Irish potatoes grown in certain
                                             understanding of those operations or                    requester may submit a fee waiver                      designated counties of Idaho, and
                                             activities. This factor is satisfied when               request at a later time so long as the                 Malheur County, Oregon. As provided
                                             the following criteria are met:                         underlying record request is pending or                under section 8e of the Agricultural
                                                (A) Disclosure of the requested                      on administrative appeal. When a                       Marketing Agreement Act of 1937, this
                                             records must be meaningfully                            requester who has committed to pay                     modification also applies to all
                                             informative about government                            fees subsequently asks for a waiver of                 imported long type Irish potatoes. This
                                             operations or activities. The disclosure                those fees and that waiver is denied, the              final rule also makes administrative
                                             of information that already is in the                   requester shall be required to pay any                 revisions to the subpart headings to
                                             public domain, in either the same or a                  costs incurred up to the date the fee                  bring the language into conformance
                                             substantially identical form, would not                 waiver request was received.                           with the Office of Federal Register
                                             be meaningfully informative if nothing                                                                         requirements.
                                             new would be added to the public’s                      § 9800.110        Public reading room.
                                             understanding.                                             CIGIE maintains an electronic public                DATES:   Effective November 2, 2018.
                                                (B) The disclosure must contribute to                reading room on its website, http://                   FOR FURTHER INFORMATION CONTACT:
                                             the understanding of a reasonably broad                 www.ignet.gov, which contains the                      Barry Broadbent, Marketing Specialist,
daltland on DSKBBV9HB2PROD with RULES




                                             audience of persons interested in the                   records that FOIA requires be regularly                or Gary D. Olson, Regional Manager,
                                             subject, as opposed to the individual                   made available for public inspection                   Northwest Marketing Field Office,
                                             understanding of the requester. A                       and copying, as well as additional                     Marketing Order and Agreement
                                             requester’s expertise in the subject area               records of interest to the public. CIGIE               Division, Specialty Crops Program,
                                             as well as the requester’s ability and                  is responsible for determining which of                AMS, USDA; Telephone: (503) 326–
                                             intention to effectively convey                         its records must be made publicly                      2724, Fax: (503) 326–7440, or Email:


                                        VerDate Sep<11>2014   16:40 Oct 02, 2018   Jkt 247001   PO 00000   Frm 00008    Fmt 4700   Sfmt 4700   E:\FR\FM\03OCR1.SGM   03OCR1


                                                              Federal Register / Vol. 83, No. 192 / Wednesday, October 3, 2018 / Rules and Regulations                                        49777

                                             Barry.Broadbent@usda.gov or                             handler subject to an order may file                  designation for ‘‘all other varieties’’ in
                                             GaryD.Olson@usda.gov.                                   with USDA a petition stating that the                 § 945.341(a)(2)(ii) to ‘‘Russet types,’’
                                                Small businesses may request                         order, any provision of the order, or any             maintaining the larger size requirements
                                             information on complying with this                      obligation imposed in connection with                 for ‘‘Russet types’’ only.
                                             regulation by contacting Richard Lower,                 the order is not in accordance with law                  Committee members reported that the
                                             Marketing Order and Agreement                           and request a modification of the order               Idaho-Eastern Oregon potato industry
                                             Division, Specialty Crops Program,                      or to be exempted therefrom. A handler                has been producing and shipping an
                                             AMS, USDA, 1400 Independence                            is afforded the opportunity for a hearing             increasing number of non-traditional
                                             Avenue SW, STOP 0237, Washington,                       on the petition. After the hearing, USDA              potato varieties, such as oblong,
                                             DC 20250–0237; Telephone: (202) 720–                    would rule on the petition. The Act                   fingerling, and banana potatoes. Prior to
                                             2491, Fax: (202) 720–8938, or Email:                    provides that the district court of the               this final rule, the size requirements
                                             Richard.Lower@ams.usda.gov.                             United States in any district in which                contained in the handling regulations
                                             SUPPLEMENTARY INFORMATION: This final                   the handler is an inhabitant, or has his              did not adequately differentiate between
                                             rule, pursuant to 5 U.S.C. 553, amends                  or her principal place of business, has               the various types of potatoes to
                                             regulations issued to carry out a                       jurisdiction to review USDA’s ruling on               effectively regulate the unique varieties
                                             marketing order as defined in 7 CFR                     the petition, provided an action is filed             that are now being marketed from the
                                             900.2(j). This final rule is issued under               not later than 20 days after the date of              production area. Without a clear
                                             Marketing Agreement No. 98 and Order                    the entry of the ruling.                              distinction, there existed the potential
                                                                                                        There are no administrative                        to inhibit orderly marketing of such
                                             No. 945, as amended (7 CFR part 945),
                                                                                                     procedures which must be exhausted                    potatoes by requiring them to adhere to
                                             regulating the handling of Irish potatoes
                                                                                                     prior to any judicial challenge to the                size requirements that were never
                                             grown in certain designated counties in
                                                                                                     provisions of import regulations issued               intended to be applied to that type or
                                             Idaho, and Malheur County, Oregon.
                                                                                                     under section 8e of the Act.                          variety. Designating potatoes as ‘‘round
                                             Part 945 (referred to as the ‘‘Order’’) is                 Under the terms of the Order, fresh                varieties’’ and ‘‘all other varieties’’ was
                                             effective under the Agricultural                        market shipments of Idaho-Eastern                     appropriate when the regulations were
                                             Marketing Agreement Act of 1937, as                     Oregon potatoes are required to be                    initially established, but potatoes from
                                             amended (7 U.S.C. 601–674), hereinafter                 inspected and are subject to minimum                  the production area are now segmented
                                             referred to as the ‘‘Act.’’ The Committee               grade, size, quality, maturity, pack, and             into two different market sectors: Russet
                                             locally administers the Order and is                    container requirements. This final rule               type potatoes and all other non-Russet
                                             comprised of potato producers and                       revises the varietal classifications that             varieties. The characteristics of each of
                                             handlers operating within the                           determine the size requirements for                   these market sectors continues to need
                                             production area.                                        potatoes handled under the Order. As                  different minimum size requirements.
                                                Section 8e of the Act provides that                  required under section 8e of the Act, the             However, with the previous size
                                             whenever certain specified                              revisions to the Order’s varietal                     requirement classifications in the
                                             commodities, including potatoes, are                    classifications will also be applied to               handling regulations, some varieties of
                                             regulated under a Federal marketing                     imported long type potatoes.                          potatoes were being required to meet
                                             order, imports of these commodities                        At its meeting on November 8, 2017,                size requirements that did not match
                                             into the United States are prohibited                   the Committee unanimously                             their natural characteristics or their
                                             unless they meet the same or                            recommended revising the varietal                     intended market outlet.
                                             comparable grade, size, quality, or                     classifications that determine the size                  For example, Russet varieties are
                                             maturity requirements as those in effect                requirements for U.S. No. 2 grade                     primarily utilized as baked potatoes or
                                             for the domestically produced                           potatoes. Sections 945.51 and 945.52                  are peeled and further prepared by the
                                             commodities.                                            provide authority for the establishment               consumer as products such as french
                                                The Department of Agriculture                        and modification of grade, size, quality,             fries, potato salad, or mashed potatoes.
                                             (USDA) is issuing this final rule in                    and maturity regulations applicable to                The Committee intends for the size
                                             conformance with Executive Orders                       the handling of potatoes.                             requirements for these potatoes to be
                                             13563 and 13175. This action falls                         Section 945.341 establishes minimum                greater than for other varieties of
                                             within a category of regulatory actions                 grade, size, quality, maturity, pack, and             potatoes and those size requirements
                                             that the Office of Management and                       container requirements for potatoes                   match the likely utilization of such
                                             Budget (OMB) exempted from Executive                    handled subject to the Order. The                     potatoes. Non-Russet type potatoes are
                                             Order 12866 review. Additionally,                       Order’s handling regulations currently                typically marketed fresh and are
                                             because this final rule does not meet the               have two different size requirements for              prepared and consumed whole. These
                                             definition of a significant regulatory                  U.S. No. 2 grade potatoes. The                        types, while predominantly round
                                             action, it does not trigger the                         requirements are applied based upon                   varieties, include unique varieties that
                                             requirements contained in Executive                     the varietal classification of the subject            could not be described as ‘‘round’’ but
                                             Order 13771. See OMB’s Memorandum                       potato. Prior to this action, the varietal            are also not comparable to Russet types.
                                             titled ‘‘Interim Guidance Implementing                  classifications that determine which of               Requiring non-Russet type potatoes to
                                             Section 2 of the Executive Order of                     the different size requirements are                   meet size requirements intended for
                                             January 30, 2017, titled ‘Reducing                      applicable are designated as ‘‘round                  potatoes used for baking or french fries
                                             Regulation and Controlling Regulatory                   varieties’’ in § 945.341(a)(2)(i) and as              puts those potatoes at a marketing
                                             Costs’ ’’ (February 2, 2017).                           ‘‘all other varieties’’ in                            disadvantage.
                                                This final rule has been reviewed                    § 945.341(a)(2)(ii).                                     The Committee believes that potato
                                             under Executive Order 12988, Civil                         This final rule removes the                        size is a significant consideration of
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                                             Justice Reform. This final rule is not                  designation ‘‘round varieties’’ in                    potato buyers. Providing potato buyers
                                             intended to have retroactive effect.                    § 945.341(a)(2)(i) to make the size                   with the sizes desired by their
                                                The Act provides that administrative                 requirements in that paragraph                        customers for the type of potato that is
                                             proceedings must be exhausted before                    applicable to all U.S. No. 2 grade                    being marketed is important to
                                             parties may file suit in court. Under                   potatoes, unless otherwise specified. In              promoting potato sales. The size
                                             section 608c(15)(A) of the Act, any                     addition, this final rule changes the                 requirements intended to facilitate


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                                             49778            Federal Register / Vol. 83, No. 192 / Wednesday, October 3, 2018 / Rules and Regulations

                                             orderly marketing should not                            imported potatoes as well as to                       most of the Idaho-Eastern Oregon potato
                                             unintentionally inhibit a market                        domestically produced potatoes. In                    producers may be classified as small
                                             segment, even if that segment is a minor                addition, the higher prices that the                  entities.
                                             one. Modifying the size requirement                     unique potatoes are expected to                         In addition, based on information
                                             classifications to meet the intent of the               command will also apply to imported                   reported by USDA’s Market News
                                             Committee will help facilitate the                      product. Thus, importers are expected                 Service, the average f.o.b. shipping
                                             growth of the emerging market for                       to benefit along with domestic                        point price for the 2016–2017 Idaho
                                             unique potato varieties. This change is                 producers and handlers by increased                   potato crop was $11.79 per
                                             expected to improve the marketing of                    sales of U.S. No. 2 grade potatoes and                hundredweight. Multiplying $11.79 by
                                             Idaho-Eastern Oregon potatoes and                       increased total revenue.                              the shipment quantity of 37,449,300
                                             enhance overall returns to handlers and                                                                       hundredweight yields an annual crop
                                                                                                     Final Regulatory Flexibility Analysis                 revenue estimate of $441,527,247. The
                                             producers.
                                               This final rule relaxes the current                      Pursuant to the requirements set forth             average annual fresh potato revenue for
                                             handling regulations for non-round                      in the Regulatory Flexibility Act (RFA)               each of the 32 handlers is therefore
                                             potatoes that are also not Russet type.                 (5 U.S.C. 601–612), the Agricultural                  calculated to be $13,797,726
                                             Such potatoes will be subject to the                    Marketing Service (AMS) has                           ($441,527,247 divided by 32), which is
                                             smaller size requirements that have                     considered the economic impact of this                above the SBA threshold of $7,500,000
                                             been, and will continue to be, applied                  rule on small entities. Accordingly,                  for agricultural service firms. Therefore,
                                             to round varieties of potatoes. The                     AMS has prepared this final regulatory                most of the Idaho-Eastern Oregon potato
                                             Committee believes that, while these                    flexibility analysis.                                 handlers would be classified as large
                                             potatoes represent a small market                          The purpose of the RFA is to fit                   entities.
                                             segment relative to the total output from               regulatory actions to the scale of                      Further, based on information from
                                             the production area, the market is                      businesses subject to such actions in                 USDA’s Foreign Agricultural Service
                                             expected to grow, and the Order’s                       order that small businesses will not be               (FAS), potato importers imported
                                             handling regulations should be                          unduly or disproportionately burdened.                11,157,190 hundredweight of potatoes
                                             responsive to it.                                       Marketing orders issued pursuant to the               into the U.S. in 2016 (the most recent
                                               Section 8e mandates the regulation of                 Act, and rules issued thereunder, are                 full year for which statistics are
                                             certain imported commodities whenever                   unique in that they are brought about                 available). FAS also reported the total
                                             those same commodities are regulated                    through group action of essentially                   value of potato imports for 2016 to be
                                             by a domestic marketing order. Irish                    small entities acting on their own                    $212,331,000. The average annual
                                             potatoes are one of the commodities                     behalf. Import regulations issued under               revenue of the estimated 255 potato
                                             specifically covered by section 8e in the               the Act are based on those established                importers is therefore calculated to be
                                             Act. In addition, section 8e stipulates                 under Federal marketing orders.                       $832,670 ($212,331,000 divided by 255),
                                             that whenever two or more such                             There are approximately 32 handlers                which is significantly less than the SBA
                                             marketing orders regulating the same                    of Idaho-Eastern Oregon potatoes who                  threshold of $7,500,000. Consequently,
                                             agricultural commodity produced in                      are subject to regulation under the Order             on average, most of the entities
                                             different areas are concurrently in effect,             and about 450 potato producers in the                 importing potatoes into the U.S. may be
                                             imports must comply with the                            regulated area. In addition, there are                classified as small entities.
                                             provisions of the order which regulates                 approximately 255 importers of all types                This final rule revises the varietal
                                             the commodity produced in the area                      of potatoes, many of which import long                classifications that determine the size
                                             with which the imported commodity is                    types, who are subject to regulation                  requirements for U.S. No. 2 grade
                                             in the ‘‘most direct competition.’’ 7 CFR               under the Act. Small agricultural service             potatoes handled under the Order.
                                             980.1(a)(2)(iii) contains the                           firms, which include potato handlers                  Specifically, this action removes the
                                             determination that imports of long type                 and importers, are defined by the Small               designation ‘‘round varieties’’ in
                                             potatoes during each month of the year                  Business Administration (SBA) as those                § 945.341(a)(2)(i) to make the size
                                             are in most direct competition with                     having annual receipts of less than                   requirements in that paragraph
                                             potatoes of the same type produced in                   $7,500,000, and small agricultural                    applicable to all U.S. No. 2 grade
                                             the area covered by the Order.                          producers are defined as those whose                  potatoes, unless otherwise specified. In
                                               Minimum grade, size, quality, and                     annual receipts are less than $750,000                addition, this final rule changes the
                                             maturity requirements for potatoes                      (13 CFR 121.201).                                     designation for ‘‘all other varieties’’ in
                                             imported into the United States are                        During the 2016–2017 fiscal period,                § 945.341(a)(2)(ii) to ‘‘Russet types,’’
                                             currently in effect under § 980.1.                      the most recent full year of statistics               maintaining the larger size requirements
                                             Section 980.1(b)(2) stipulates that,                    available, 37,449,300 hundredweight of                that have been applied to all non-round
                                             through the entire year, the grade, size,               Idaho-Eastern Oregon potatoes were                    varieties, but will now only apply them
                                             quality, and maturity requirements of                   inspected under the Order and sold into               to ‘‘Russet types.’’
                                             the Order applicable to potatoes of all                 the fresh market. Based on information                  Pursuant to section 8(e) of the Act,
                                             long types shall be the respective grade,               provided by the National Agricultural                 this revision to the Order’s varietal
                                             size, quality, and maturity requirements                Statistics Service, the average producer              classifications that determine the size
                                             for imported potatoes of all long types.                price for the 2016 Idaho potato crop was              requirements for U.S. No. 2 grade
                                             Therefore, this action relaxes the                      $6.75 per hundredweight. Multiplying                  potatoes will also be applied to
                                             minimum size requirements for imports                   $6.75 by the shipment quantity of                     imported long type Irish potatoes.
                                             of non-round U.S. No. 2 grade long type                 37,449,300 hundredweight yields an                      This action was recommended by the
                                                                                                     annual crop revenue estimate of                       Committee to ensure that the size profile
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                                             potatoes, other than Russet types,
                                             accordingly.                                            $252,782,775. The average annual fresh                of non-round, non-Russet type U.S. No.
                                               This final rule also allows potato                    potato revenue for each of the 450                    2 grade potatoes will consistently be a
                                             importers to respond to the changing                    producers is therefore calculated to be               size preferred by consumers. This
                                             demands of domestic consumers. The                      $561,740 ($252,782,775 divided by 450),               change is expected to improve the
                                             domestic market’s increasing preference                 which is less than the SBA threshold of               marketability of Idaho-Eastern Oregon
                                             for unique potato varieties applies to                  $750,000. Consequently, on average,                   potatoes and increase returns to


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                                                              Federal Register / Vol. 83, No. 192 / Wednesday, October 3, 2018 / Rules and Regulations                                         49779

                                             handlers and producers. Authority for                   meeting, and all entities, both large and             guide should be sent to Richard Lower
                                             this final rule is provided in §§ 945.51                small, were able to express their views               at the previously mentioned address in
                                             and 945.52 of the Order.                                on this issue.                                        the FOR FURTHER INFORMATION CONTACT
                                               At the November 8, 2017, meeting, the                    In accordance with the Paperwork                   section.
                                             Committee discussed the impact of this                  Reduction Act of 1995 (44 U.S.C.                         In accordance with section 8e of the
                                             change on handlers and producers. The                   Chapter 35), the Order’s information                  Act, the United States Trade
                                             change to the varietal classifications that             collection requirements have been                     Representative has concurred with the
                                             determine the size requirements is a                    previously approved by OMB and                        issuance of this final rule.
                                             relaxation in regulation. The regulatory                assigned OMB No. 0581–0178,                              After consideration of all relevant
                                             change is expected to have a positive, or               Vegetable and Specialty Crops. No                     material presented, including the
                                             neutral, impact on industry participants.               changes in those requirements are                     information and recommendation
                                               The Committee relied on the opinions                  necessary as a result of this action.                 submitted by the Committee and other
                                             of producers and handlers familiar with                 Should any changes become necessary,                  available information, it is hereby found
                                             the industry to draw its conclusions                    they would be submitted to OMB for                    that this rule, as hereinafter set forth,
                                             regarding the recommended handling                      approval.                                             will tend to effectuate the declared
                                             regulation change. The Committee                           This final rule imposes no additional              policy of the Act.
                                             received anecdotal evidence from                        reporting or recordkeeping requirements
                                             industry members at the November 8,                     on either small or large potato handlers.             List of Subjects in 7 CFR Part 945
                                             2017, meeting that there is some                        As with all Federal marketing order                     Marketing agreements, Potatoes,
                                             confusion in the industry with regards                  programs, reports and forms are                       Reporting and recordkeeping
                                             to which size requirements apply to                     periodically reviewed to reduce                       requirements.
                                             which varieties of potatoes and that                    information requirements and                            For the reasons set forth above, 7 CFR
                                             some varieties are being inspected and                  duplication by industry and public                    part 945 is amended as follows:
                                             sized to requirements that were not                     sector agencies.
                                             intended by the Committee. The change                      As noted in the initial regulatory                 PART 945—IRISH POTATOES GROWN
                                             to the size requirements clarifies which                flexibility analysis, USDA has not                    IN CERTAIN DESIGNATED COUNTIES
                                             size requirements are applicable to                     identified any relevant Federal rules                 IN IDAHO, AND MALHEUR COUNTY,
                                             which potatoes.                                         that duplicate, overlap, or conflict with             OREGON
                                               This change is expected to lead to                    this final rule.
                                             increased revenue for handlers and                         AMS is committed to complying with                 ■ 1. The authority citation for part 945
                                             producers. Prior to this action, non-                   the E-Government Act, to promote the                  continues to read as follows:
                                             round potato varieties that are not                     use of the internet and other
                                             Russet type are required to conform to                  information technologies to provide                       Authority: 7 U.S.C. 601–674.
                                             the larger size requirements, even                      increased opportunities for citizen                     [Subpart Redesignated as Subpart A].
                                             though the Committee does not believe                   access to Government information and
                                                                                                                                                           ■ 2. Redesignate ‘‘Subpart—Order
                                             that this meets its intent with regards to              services, and for other purposes.
                                                                                                                                                           Regulating Handling’’ as ‘‘Subpart A—
                                             the handling regulation. Better defining                   A proposed rule concerning this
                                                                                                                                                           Order Regulating Handling’’.
                                             the distinct classifications of potatoes                action was published in the Federal
                                                                                                                                                             [Subpart Redesignated as Subpart B
                                             will allow more of the non-round, non-                  Register on May 9, 2018 (83 FR 21188).
                                                                                                                                                           and Amended]
                                             Russet type potatoes to enter the market,               A copy of the proposed rule was
                                             thereby allowing the sale of potatoes                   provided to the handlers by the                       ■ 3. Redesignate ‘‘Subpart—Rules and
                                             that would have otherwise been                          Committee. Finally, the proposal was                  Regulations’’ as subpart B and revise the
                                             restricted. The benefits derived from                   made available through the internet by                heading to read as follows:
                                             this action are not expected to be                      USDA and the Office of the Federal
                                                                                                                                                           Subpart B—Administrative
                                             disproportionately greater or less for                  Register. A 60-day comment period
                                                                                                                                                           Requirements
                                             small handlers or producers than for                    ending July 9, 2018, was provided to
                                             larger entities.                                        allow interested persons to respond to                  [Subpart Redesignated as Subpart C]
                                               The Committee discussed alternatives                  the proposal.                                         ■ 4. Redesignate ‘‘Subpart—Assessment
                                             to this change. One consideration was                      One comment was received. The                      Rates’’ as ‘‘Subpart C—Assessment
                                             making no change at all to the current                  commenter questioned why the                          Rates’’.
                                             regulation. Another alternative was to                  proposed change would only apply to                     [Subpart Redesignated as Subpart D
                                             further differentiate between various                   the Order’s production area and not to                and Amended]
                                             varieties and types of potatoes in the                  all potato growing regions. Marketing
                                                                                                                                                           ■ 5. Redesignate ‘‘Subpart—Handling
                                             handling regulations. There was some                    orders only regulate the production area
                                             discussion of adding another                            as defined in each respective order.                  Regulations’’ as subpart D and revise the
                                             classification. After consideration of all              Therefore, this change can only apply to              heading to read as follows:
                                             the alternatives, the Committee decided                 the handling of potatoes in the Order’s               Subpart D—Handling Requirements
                                             that the changes effectuated by this                    production area as defined in § 945.4.
                                             action will provide the greatest amount                 The commenter did not otherwise                       ■ 6. In § 945.341, revise paragraphs
                                             of benefit to the industry with the least               address the merits of the proposal.                   (a)(2)(i) and (ii) to read as follows:
                                             amount of burden to producers and                       Accordingly, no changes will be made
                                             handlers.                                               to the rule as proposed, based on the                 § 945.341    Handling regulation.
                                               Further, the Committee’s meeting was                                                                        *     *    *      *    *
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                                                                                                     comment received.
                                             widely publicized throughout the potato                    A small business guide on complying                  (a) * * *
                                             industry, and all interested persons                    with fruit, vegetable, and specialty crop               (2) Size—(i) All varieties, except
                                             were invited to attend the meeting and                  marketing agreements and orders may                   Russet types. 17⁄8 inches minimum
                                             participate in Committee deliberations.                 be viewed at: http://www.ams.usda.gov/                diameter, unless otherwise specified on
                                             Like all Committee meetings, the                        rules-regulations/moa/small-businesses.               the container in connection with the
                                             November 8, 2017, meeting was a public                  Any questions about the compliance                    grade.


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                                             49780            Federal Register / Vol. 83, No. 192 / Wednesday, October 3, 2018 / Rules and Regulations

                                               (ii) Russet types. 2 inches minimum                   https://www.myboeingfleet.com. You                    door, which, if not corrected, could lead
                                             diameter, or 4 ounces minimum weight:                   may view this service information at the              to injuries to persons and damage to the
                                             Provided, That at least 40 percent of the               FAA, Transport Standards Branch, 2200                 airplane.
                                             potatoes in each lot shall be 5 ounces or               South 216th St., Des Moines, WA. For
                                             heavier.                                                information on the availability of this               Comments
                                             *      *    *     *     *                               material at the FAA, call 206–231–3195.                 We gave the public the opportunity to
                                                                                                     It is also available on the internet at               participate in developing this AD. The
                                               Dated: September 27, 2018.
                                                                                                     http://www.regulations.gov by searching               following presents the comments
                                             Bruce Summers,                                          for and locating Docket No. FAA–2017–
                                             Administrator, Agricultural Marketing                                                                         received on the NPRM and the FAA’s
                                                                                                     0905.                                                 response to each comment.
                                             Service.
                                             [FR Doc. 2018–21480 Filed 10–2–18; 8:45 am]             Examining the AD Docket
                                                                                                                                                           Support for the NPRM
                                             BILLING CODE 3410–02–P                                    You may examine the AD docket on
                                                                                                     the internet at http://                                 FedEx Express and United Airlines
                                                                                                     www.regulations.gov by searching for                  (UAL) stated they had no technical
                                             DEPARTMENT OF TRANSPORTATION                            and locating Docket No. FAA–2017–                     objection to the NPRM.
                                                                                                     0905; or in person at Docket Operations
                                             Federal Aviation Administration                                                                               Request To Withdraw the NPRM
                                                                                                     between 9 a.m. and 5 p.m., Monday
                                                                                                     through Friday, except Federal holidays.                 Three commenters requested that the
                                             14 CFR Part 39                                          The AD docket contains this final rule,               NPRM be withdrawn. Virgin Atlantic
                                             [Docket No. FAA–2017–0905; Product                      the regulatory evaluation, any                        Airlines (VAA) and Deutsche Lufthansa
                                             Identifier 2017–NM–090–AD; Amendment                    comments received, and other                          AG (DLH) pointed out there have been
                                             39–19424; AD 2018–19–23]                                information. The address for Docket                   no reported failures of the cargo door
                                                                                                     Operations (phone: 800–647–5527) is                   control switches or incidents of
                                             RIN 2120–AA64                                           Docket Operations, U.S. Department of                 uncommanded door operation at VAA
                                             Airworthiness Directives; The Boeing                    Transportation, Docket Operations,                    or DLH since AD 2013–01–02 was
                                             Company Airplanes                                       M–30, West Building Ground Floor,                     issued. United Parcel Service (UPS)
                                                                                                     Room W12–140, 1200 New Jersey                         stated that the NPRM appears to be
                                             AGENCY:  Federal Aviation                               Avenue SE, Washington, DC 20590.                      based on a single event of an otherwise
                                             Administration (FAA), DOT.                              FOR FURTHER INFORMATION CONTACT:                      reliable cargo door switch configuration,
                                             ACTION: Final rule.                                     Susan L. Monroe, Aerospace Engineer,                  based on industry data that show no
                                                                                                     Cabin Safety and Environmental                        significant number of unscheduled
                                             SUMMARY:   We are superseding                           Systems Section, FAA, Seattle ACO                     removals reported since AD 2013–01–02
                                             Airworthiness Directive (AD) 2013–01–                   Branch, 2200 South 216th St., Des
                                             02, which applied to certain The Boeing                                                                       was issued. DLH commented that the
                                                                                                     Moines, WA 98198; phone and fax: 206–                 operational area of the cargo door is a
                                             Company Model 747–100, 747–100B,                        231–3570; email: susan.l.monroe@
                                             747–100B SUD, 747–200B, 747–200C,                                                                             safety critical area that requires the
                                                                                                     faa.gov.                                              operator to verify that the area is safe
                                             747–200F, 747–300, 747–400, 747–
                                                                                                     SUPPLEMENTARY INFORMATION:                            and clear, whether an additional arm
                                             400D, 747–400F, 747SR, and 747SP
                                             series airplanes; and Model 757–200,                    Discussion                                            switch is present or not. All commenters
                                             757–200PF, and 757–300 series                                                                                 stated that the repetitive inspections
                                                                                                       We issued a notice of proposed                      required by AD 2013–01–02 should
                                             airplanes. AD 2013–01–02 required                       rulemaking (NPRM) to amend 14 CFR
                                             replacing the control switches of certain                                                                     remain in place and that accomplishing
                                                                                                     part 39 to supersede AD 2013–01–02,                   the actions in Boeing Special Attention
                                             cargo doors. This AD requires                           Amendment 39–17316 (78 FR 4051,
                                             replacement of certain cargo door                                                                             Service Bulletin 747–52–2307, dated
                                                                                                     January 18, 2013) (‘‘AD 2013–01–02’’).                May 23, 2017; and Boeing Special
                                             control switches with a new, improved                   AD 2013–01–02 applied to certain The
                                             switch; installation of an arm switch in                                                                      Attention Service Bulletin 747–52–
                                                                                                     Boeing Company Model 747–100, 747–                    2308, dated June 5, 2017; should be an
                                             certain cargo doors; operational and                    100B, 747–100B SUD, 747–200B, 747–
                                             functional tests; and applicable on-                                                                          optional terminating action for the
                                                                                                     200C, 747–200F, 747–300, 747–400,                     inspections.
                                             condition actions. This AD also adds                    747–400D, 747–400F, 747SR, and 747SP
                                             airplanes to the applicability. This AD                 series airplanes; and Model 757–200,                     We disagree with the commenters’
                                             was prompted by reports of                              757–200PF, and 757–300 series                         request because our risk analysis
                                             uncommanded cargo door operation.                       airplanes. The NPRM published in the                  indicates that the actions mandated by
                                             We are issuing this AD to address the                   Federal Register on October 6, 2017 (82               AD 2013–01–02 were inadequate to
                                             unsafe condition on these products.                     FR 46722). The NPRM was prompted by                   mitigate the unsafe condition. Although
                                             DATES: This AD is effective November 7,                 reports of uncommanded cargo door                     VAA and DLH have had no new
                                             2018.                                                   operation. The NPRM proposed to                       incidents, there have been multiple
                                                The Director of the Federal Register                 require replacement of certain cargo                  reports of uncommanded cargo door
                                             approved the incorporation by reference                 door control switches with a new,                     operation within the affected fleets.
                                             of certain publications listed in this AD               improved switch; installation of an arm               Therefore, existing procedures for door
                                             as of November 7, 2018.                                 switch in certain cargo doors;                        operation have not been adequate to
                                             ADDRESSES: For service information                      operational and functional tests; and                 prevent the unsafe condition. We are
daltland on DSKBBV9HB2PROD with RULES




                                             identified in this final rule, contact                  applicable on-condition actions. The                  mandating the actions in this AD
                                             Boeing Commercial Airplanes,                            NPRM also proposed to add airplanes to                because an unsafe condition exists,
                                             Attention: Contractual & Data Services                  the applicability. We are issuing this AD             which is likely to exist or develop on
                                             (C&DS), 2600 Westminster Blvd., MC                      to prevent failures of the cargo door                 other products of the same type design.
                                             110–SK57, Seal Beach, CA 90740–5600;                    control switch from allowing                          We have not changed this AD in this
                                             telephone 562–797–1717; internet                        uncommanded movement of the cargo                     regard.


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Document Created: 2018-10-03 02:29:41
Document Modified: 2018-10-03 02:29:41
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 November 2, 2018.
ContactBarry Broadbent, Marketing Specialist, or Gary D. Olson, Regional Manager, Northwest Marketing Field Office, Marketing Order and Agreement Division, Specialty Crops Program, AMS, USDA; Telephone: (503) 326-2724, Fax: (503) 326-7440, or Email: [email protected] or [email protected]
FR Citation83 FR 49776 
CFR AssociatedMarketing Agreements; Potatoes and Reporting and Recordkeeping Requirements

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