83_FR_53607 83 FR 53402 - Raisins Produced From Grapes Grown in California; Increased Assessment Rate

83 FR 53402 - Raisins Produced From Grapes Grown in California; Increased Assessment Rate

DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service

Federal Register Volume 83, Issue 205 (October 23, 2018)

Page Range53402-53404
FR Document2018-23091

This proposed rule would implement a recommendation from the Raisin Administrative Committee (Committee) to increase the assessment rate established for the 2018-19 and subsequent crop years. The assessment rate would remain in effect indefinitely unless modified, suspended, or terminated.

Federal Register, Volume 83 Issue 205 (Tuesday, October 23, 2018)
[Federal Register Volume 83, Number 205 (Tuesday, October 23, 2018)]
[Proposed Rules]
[Pages 53402-53404]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2018-23091]


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

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

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


Federal Register / Vol. 83, No. 205 / Tuesday, October 23, 2018 / 
Proposed Rules

[[Page 53402]]



DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 989

[Doc. No. AMS-SC-18-0069; SC18-989-1 PR]


Raisins Produced From Grapes Grown in California; Increased 
Assessment Rate

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Proposed rule.

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

SUMMARY: This proposed rule would implement a recommendation from the 
Raisin Administrative Committee (Committee) to increase the assessment 
rate established for the 2018-19 and subsequent crop years. The 
assessment rate would remain in effect indefinitely unless modified, 
suspended, or terminated.

DATES: Comments must be received by November 23, 2018.

ADDRESSES: Interested persons are invited to submit written comments 
concerning this proposed rule. Comments must be sent to the Docket 
Clerk, Marketing Order and Agreement Division, Specialty Crops Program, 
AMS, USDA, 1400 Independence Avenue SW, STOP 0237, Washington, DC 
20250-0237; Fax: (202) 720-8938; or internet: http://www.regulations.gov. Comments should reference the document number and 
the date and page number of this issue of the Federal Register and will 
be available for public inspection in the Office of the Docket Clerk 
during regular business hours, or can be viewed at: http://www.regulations.gov. All comments submitted in response to this rule 
will be included in the record and will be made available to the 
public. Please be advised that the identity of the individuals or 
entities submitting the comments will be made public on the internet at 
the address provided above.

FOR FURTHER INFORMATION CONTACT: Kathie Notoro, Marketing Specialist, 
or Terry Vawter, Acting Regional Director, California Marketing Field 
Office, Marketing Order and Agreement Division, Specialty Crops 
Program, AMS, USDA; Telephone: (559) 487-5901, Fax: (559) 487-5906; or 
Email: Kathie.Notoro@ams.usda.gov or Terry.Vawter@ams.usda.gov.
    Small businesses may request information on complying with this 
regulation by contacting Richard Lower, Marketing Order and Agreement 
Division, Specialty Crops Program, AMS, USDA, 1400 Independence Avenue 
SW, STOP 0237, Washington, DC 20250-0237; Telephone: (202) 720-2491, 
Fax: (202) 720-8938, or Email: Richard.Lower@ams.usda.gov.

SUPPLEMENTARY INFORMATION: This action, pursuant to 5 U.S.C. 553, 
proposes an amendment to regulations issued to carry out a marketing 
order as defined in 7 CFR 900.2(j). This proposed rule is issued under 
Marketing Order No. 989, as amended (7 CFR part 989), regulating the 
handling of raisins produced from grapes grown in California. Part 989 
(referred to as the ``Order'') is effective under the Agricultural 
Marketing Agreement Act of 1937, as amended (7 U.S.C. 601-674), 
hereinafter referred to as the ``Act.'' The Committee locally 
administers the Order and is comprised of producers and handlers of 
raisins operating within the area of production, and a public member.
    The Department of Agriculture (USDA) is issuing this proposed rule 
in conformance with Executive Orders 13563 and 13175. This proposed 
rule falls within a category of regulatory actions that the Office of 
Management and Budget (OMB) exempted from Executive Order 12866 review. 
Additionally, because this proposed rule does not meet the definition 
of a significant regulatory action, it does not trigger the 
requirements contained in Executive Order 13771. See OMB's Memorandum 
titled ``Interim Guidance Implementing Section 2 of the Executive Order 
of January 30, 2017, titled `Reducing Regulation and Controlling 
Regulatory Costs''' (February 2, 2017).
    This proposed rule has been reviewed under Executive Order 12988, 
Civil Justice Reform. Under the Order now in effect, California raisin 
handlers are subject to assessments. Funds to administer the Order are 
derived from such assessments. It is intended that the assessment rate 
would be applicable to all assessable raisins for the 2018-19 crop 
year, and continue until amended, suspended, or terminated.
    The Act provides that administrative proceedings must be exhausted 
before parties may file suit in court. Under section 608c(15)(A) of the 
Act, any handler subject to an order may file with USDA a petition 
stating that the order, any provision of the order, or any obligation 
imposed in connection with the order is not in accordance with law and 
request a modification of the order or to be exempted therefrom. Such 
handler is afforded the opportunity for a hearing on the petition. 
After the hearing, USDA would rule on the petition. The Act provides 
that the district court of the United States in any district in which 
the handler is an inhabitant, or has his or her principal place of 
business, has jurisdiction to review USDA's ruling on the petition, 
provided an action is filed not later than 20 days after the date of 
the entry of the ruling.
    The Order provides authority for the Committee, with the approval 
of USDA, to formulate an annual budget of expenses and collect 
assessments from handlers to administer the program. The members are 
familiar with the Committee's needs and with the costs of goods and 
services in their local area, and are, in a position to formulate an 
appropriate budget and assessment rate. The assessment rate is 
formulated and discussed in a public meeting. Therefore, all directly 
affected persons have an opportunity to participate and provide input.
    This proposed rule would increase the assessment rate from $17.00 
to $22.00 per ton for the 2018-19 and subsequent crop years. The 
current rate was published in the Federal Register during the 2015-16 
crop year to reduce the Committee's monetary reserve to a level that it 
determined to be appropriate under the Order. The proposed higher rate 
is a result of a smaller crop forecast due to early spring rain damage 
to the vines. The 2018-19 crop is anticipated to be 275,000 tons, down 
from the 300,000 tons recorded the previous crop year.
    The Committee met on June 27, 2018 to consider the Committee's 
projected 2018-19 budget and the Order's continuing assessment rate. 
The Committee unanimously recommended

[[Page 53403]]

an assessment rate of $22.00 per ton of raisins for the 2018-19 crop 
year. The proposed assessment rate of $22.00 is $5.00 higher than the 
rate currently in effect. Without the proposed increase, anticipated 
assessment revenue would not be sufficient to fund the Committee's 
ongoing administrative functions. The assessment rate increase is 
necessary to maintain the Committee's activities at current levels and 
avoid a reduction in the program's effectiveness.
    For the 2018-19 crop year, the Committee recommended a budget of 
expenses totaling $5,189,600. The proposed assessment rate of $22.00 
per ton is expected to generate assessment income of approximately 
$6,050,000, which would be sufficient to fund the recommended 2018-19 
expenses.
    The major expenditures recommended by the Committee for the 2018-19 
crop year include: Salaries and employee-related costs of $1,187,200; 
administration costs of $440,400; compliance activities of $60,000; 
research and study costs of $40,000; and promotion related costs of 
$3,637,000. Subtracted from these expenses is $175,000, which 
represents reimbursable costs for the shared management of the State 
marketing raisin program. In comparison, last year's approved budgeted 
expenditures included: Salaries and employee-related costs of 
$1,306,150; administration costs of $505,600; compliance activities of 
$48,000; research and study costs of $35,000; and promotion related 
costs of $3,577,178.
    The increased assessment rate is necessary to cover the decrease in 
estimated crop size tonnage from 300,000 tons in 2017-18 to 275,000 
tons in 2018-19. At the recommended assessment rate of $22.00 per ton, 
the anticipated assessment income would be $6,050,000. The remaining 
$860,400 would be added to the authorized reserve.
    The proposed assessment rate would continue in effect indefinitely 
unless modified, suspended, or terminated by USDA upon recommendation 
and information submitted by the Committee or other available 
information.
    Although this assessment rate would be in effect for an indefinite 
period, the Committee would continue to meet prior to or during each 
crop year to recommend a budget of expenses and consider 
recommendations for modification of the assessment rate. The dates and 
times of Committee meetings are available from the Committee or USDA. 
Committee meetings are open to the public and interested persons may 
express their views at these meetings. USDA would evaluate Committee 
recommendations and other available information to determine whether 
modification of the assessment rate is needed. Further rulemaking would 
be undertaken as necessary. The Committee's budget for subsequent crop 
years would be reviewed and, as appropriate, approved by USDA.

Initial Regulatory Flexibility Analysis

    Pursuant to requirements set forth in the Regulatory Flexibility 
Act (RFA) (5 U.S.C. 601-612), the Agricultural Marketing Service (AMS) 
has considered the economic impact of this proposed rule on small 
entities. Accordingly, AMS has prepared this initial regulatory 
flexibility analysis.
    The purpose of the RFA is to fit regulatory actions to the scale of 
businesses subject to such actions in order that small businesses will 
not be unduly or disproportionately burdened. Marketing orders issued 
pursuant to the Act, and the rules issued thereunder, are unique in 
that they are brought about through group action of essentially small 
entities acting on their own behalf.
    There are approximately 2,600 producers of California raisins and 
approximately 16 handlers subject to regulation under the marketing 
order. Small agricultural producers are defined by the Small Business 
Administration (SBA) as those having annual receipts less than 
$750,000, and small agricultural service firms are defined as those 
whose annual receipts are less than $7,500,000. (13 CFR 121.201.)
    According to the National Agricultural Statistics Service (NASS), 
data for the most-recently completed crop year (2017) shows that about 
8.03 tons of raisins were produced per acre. The 2017 producer price 
published by NASS was $1,670 per ton. Thus, the value of raisin 
production per acre averaged about $13,410.10 (8.03 tons times $1,670 
per ton). At that average price, a producer would have to farm nearly 
56 acres to receive an annual income from raisins of $750,000 ($750,000 
divided by $13,410.10 per acre equals 55.93 acres). According to 
Committee staff, the majority of California raisin producers farm less 
than 56 acres. In addition, according to data from the Committee staff, 
six of the sixteen California raisin handlers have receipts of less 
than $7,500,000 and may also be considered small entities. Thus, the 
majority of producers of California raisins may be classified as small 
entities, while the majority of handlers may be classified as large 
entities.
    This proposed rule would increase the assessment rate collected 
from handlers for the 2018-19 and subsequent crop years from $17.00 to 
$22.00 per ton of assessable raisins acquired by handlers.
    The Committee reviewed and identified the expenses that would be 
reasonable and necessary to continue program operations during the 
2018-19 crop year. The resulting recommended budget totals $5,189,600 
for the 2018-19 crop year, which is an overall decrease from the 2017-
18 crop year budget, which totaled $5,296,928.
    The quantity of assessable raisins for 2018-19 crop year is 
estimated to be 275,000 tons. At the recommended assessment rate of 
$22.00 per ton, the anticipated assessment income would be $6,050,000. 
Sufficient income should be generated at the higher assessment rate for 
the Committee to meet its anticipated expenses.
    The major expenditures recommended by the Committee for the 2018-19 
crop year include: Salaries and employee-related costs of $1,187,200; 
administration costs of $440,400; compliance activities of $60,000; 
research and study costs of $40,000; and promotion related costs of 
$3,637,000.
    In comparison, last year's approved budgeted expenditures included: 
Salaries and employee-related costs of $1,306,150; administration costs 
of $505,600; compliance activities of $48,000; research and study costs 
of $35,000; and promotion related costs of $3,577,178. The total budget 
approved for the 2017-18 crop year was $5,296,928.
    Prior to arriving at this budget and assessment rate, the Committee 
considered information from the Audit Subcommittee which met on June 
13, 2018, and discussed alternative spending levels. The recommendation 
was discussed by the Committee on June 27, 2018, and the Committee 
ultimately decided that the recommended budget and assessment rate were 
reasonable and necessary to properly administer the Order.
    A review of historical and preliminary information pertaining to 
the upcoming crop year indicates that the producer price for the 2017-
18 crop year was approximately $1,670.00 per ton of raisins. Utilizing 
that price, the estimated crop size of 275,000 tons, and the proposed 
assessment rate of $22.00 per ton, the estimated assessment revenue for 
the 2018-19 crop year as a percentage of total producer revenue is 
approximately 0.013 percent (assessment revenue of $6,050,000 divided 
by total producer revenue $459,250,000).

[[Page 53404]]

    This proposed action would increase the assessment obligation 
imposed on handlers. While assessments impose some additional costs on 
handlers, the costs are minimal and uniform on all handlers, and some 
of the additional costs may be passed on to producers. However, these 
costs would be offset by the benefits derived from the operation of the 
Order.
    The meetings of the Audit Subcommittee and the Committee were 
widely publicized throughout the California raisin industry. All 
interested persons were invited to attend the meetings and encouraged 
to participate in Committee deliberations on all issues. Like all 
subcommittee and Committee meetings, the June 13, 2018, and June 27, 
2018, meetings, respectively, were public meetings, and all entities, 
both large and small, were able to express views on this issue. 
Interested persons are invited to submit comments on this proposed 
rule, including the regulatory and information collection impacts of 
this action on small businesses.
    In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. 
Chapter 35), the Order's information collection requirements have been 
previously approved by the OMB and assigned OMB No. 0581-0178 Vegetable 
and Specialty Crops. No changes in those requirements would be 
necessary as a result of this action. Should any changes become 
necessary, they would be submitted to OMB for approval.
    This proposed rule would not impose any additional reporting or 
recordkeeping requirements on either small or large California raisin 
handlers. As with all Federal marketing order programs, reports and 
forms are periodically reviewed to reduce information requirements and 
duplication by industry and public sector agencies.
    AMS is committed to complying with the E-Government Act, to promote 
the use of the internet and other information technologies to provide 
increased opportunities for citizen access to Government information 
and services, and for other purposes.
    USDA has not identified any relevant Federal rules that duplicate, 
overlap, or conflict with this proposed rule.
    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.

List of Subjects in 7 CFR Part 989

    Grapes, Marketing agreements, Raisins, Reporting and recordkeeping 
requirements.

    For the reasons set forth in the preamble, 7 CFR part 989 is 
proposed to be amended as follows:

PART 989--RAISINS PRODUCED FROM GRAPES GROWN IN CALIFORNIA

0
1. The authority citation for 7 CFR part 989 continues to read as 
follows:

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

0
2. Section 989.347 is revised to read as follows:


Sec.  989.347  Assessment rate.

    On and after August 1, 2018, an assessment rate of $22.00 per ton 
is established for assessable raisins produced from grapes grown in 
California.

     Dated: October 17, 2018.
Bruce Summers,
Administrator, Agricultural Marketing Service.
[FR Doc. 2018-23091 Filed 10-22-18; 8:45 am]
BILLING CODE 3410-02-P



                                                53402

                                                Proposed Rules                                                                                                Federal Register
                                                                                                                                                              Vol. 83, No. 205

                                                                                                                                                              Tuesday, October 23, 2018



                                                This section of the FEDERAL REGISTER                    Terry Vawter, Acting Regional Director,               assessment rate would be applicable to
                                                contains notices to the public of the proposed          California Marketing Field Office,                    all assessable raisins for the 2018–19
                                                issuance of rules and regulations. The                  Marketing Order and Agreement                         crop year, and continue until amended,
                                                purpose of these notices is to give interested          Division, Specialty Crops Program,                    suspended, or terminated.
                                                persons an opportunity to participate in the            AMS, USDA; Telephone: (559) 487–                         The Act provides that administrative
                                                rule making prior to the adoption of the final
                                                rules.
                                                                                                        5901, Fax: (559) 487–5906; or Email:                  proceedings must be exhausted before
                                                                                                        Kathie.Notoro@ams.usda.gov or                         parties may file suit in court. Under
                                                                                                        Terry.Vawter@ams.usda.gov.                            section 608c(15)(A) of the Act, any
                                                DEPARTMENT OF AGRICULTURE                                  Small businesses may request                       handler subject to an order may file
                                                                                                        information on complying with this                    with USDA a petition stating that the
                                                Agricultural Marketing Service                          regulation by contacting Richard Lower,               order, any provision of the order, or any
                                                                                                        Marketing Order and Agreement                         obligation imposed in connection with
                                                7 CFR Part 989                                          Division, Specialty Crops Program,                    the order is not in accordance with law
                                                                                                        AMS, USDA, 1400 Independence                          and request a modification of the order
                                                [Doc. No. AMS–SC–18–0069; SC18–989–1
                                                PR]                                                     Avenue SW, STOP 0237, Washington,                     or to be exempted therefrom. Such
                                                                                                        DC 20250–0237; Telephone: (202) 720–                  handler is afforded the opportunity for
                                                Raisins Produced From Grapes Grown                      2491, Fax: (202) 720–8938, or Email:                  a hearing on the petition. After the
                                                in California; Increased Assessment                     Richard.Lower@ams.usda.gov.                           hearing, USDA would rule on the
                                                Rate                                                    SUPPLEMENTARY INFORMATION: This                       petition. The Act provides that the
                                                                                                        action, pursuant to 5 U.S.C. 553,                     district court of the United States in any
                                                AGENCY:  Agricultural Marketing Service,                proposes an amendment to regulations                  district in which the handler is an
                                                USDA.                                                   issued to carry out a marketing order as              inhabitant, or has his or her principal
                                                ACTION: Proposed rule.                                  defined in 7 CFR 900.2(j). This proposed              place of business, has jurisdiction to
                                                SUMMARY:   This proposed rule would                     rule is issued under Marketing Order                  review USDA’s ruling on the petition,
                                                implement a recommendation from the                     No. 989, as amended (7 CFR part 989),                 provided an action is filed not later than
                                                Raisin Administrative Committee                         regulating the handling of raisins                    20 days after the date of the entry of the
                                                (Committee) to increase the assessment                  produced from grapes grown in                         ruling.
                                                rate established for the 2018–19 and                    California. Part 989 (referred to as the                 The Order provides authority for the
                                                subsequent crop years. The assessment                   ‘‘Order’’) is effective under the                     Committee, with the approval of USDA,
                                                rate would remain in effect indefinitely                Agricultural Marketing Agreement Act                  to formulate an annual budget of
                                                unless modified, suspended, or                          of 1937, as amended (7 U.S.C. 601–674),               expenses and collect assessments from
                                                terminated.                                             hereinafter referred to as the ‘‘Act.’’ The           handlers to administer the program. The
                                                                                                        Committee locally administers the                     members are familiar with the
                                                DATES: Comments must be received by                     Order and is comprised of producers                   Committee’s needs and with the costs of
                                                November 23, 2018.                                      and handlers of raisins operating within              goods and services in their local area,
                                                ADDRESSES: Interested persons are                       the area of production, and a public                  and are, in a position to formulate an
                                                invited to submit written comments                      member.                                               appropriate budget and assessment rate.
                                                concerning this proposed rule.                             The Department of Agriculture                      The assessment rate is formulated and
                                                Comments must be sent to the Docket                     (USDA) is issuing this proposed rule in               discussed in a public meeting.
                                                Clerk, Marketing Order and Agreement                    conformance with Executive Orders                     Therefore, all directly affected persons
                                                Division, Specialty Crops Program,                      13563 and 13175. This proposed rule                   have an opportunity to participate and
                                                AMS, USDA, 1400 Independence                            falls within a category of regulatory                 provide input.
                                                Avenue SW, STOP 0237, Washington,                       actions that the Office of Management                    This proposed rule would increase
                                                DC 20250–0237; Fax: (202) 720–8938; or                  and Budget (OMB) exempted from                        the assessment rate from $17.00 to
                                                internet: http://www.regulations.gov.                   Executive Order 12866 review.                         $22.00 per ton for the 2018–19 and
                                                Comments should reference the                           Additionally, because this proposed                   subsequent crop years. The current rate
                                                document number and the date and                        rule does not meet the definition of a                was published in the Federal Register
                                                page number of this issue of the Federal                significant regulatory action, it does not            during the 2015–16 crop year to reduce
                                                Register and will be available for public               trigger the requirements contained in                 the Committee’s monetary reserve to a
                                                inspection in the Office of the Docket                  Executive Order 13771. See OMB’s                      level that it determined to be
                                                Clerk during regular business hours, or                 Memorandum titled ‘‘Interim Guidance                  appropriate under the Order. The
                                                can be viewed at: http://                               Implementing Section 2 of the Executive               proposed higher rate is a result of a
                                                www.regulations.gov. All comments                       Order of January 30, 2017, titled                     smaller crop forecast due to early spring
                                                submitted in response to this rule will                 ‘Reducing Regulation and Controlling                  rain damage to the vines. The 2018–19
khammond on DSK30JT082PROD with PROPOSAL




                                                be included in the record and will be                   Regulatory Costs’’’ (February 2, 2017).               crop is anticipated to be 275,000 tons,
                                                made available to the public. Please be                    This proposed rule has been reviewed               down from the 300,000 tons recorded
                                                advised that the identity of the                        under Executive Order 12988, Civil                    the previous crop year.
                                                individuals or entities submitting the                  Justice Reform. Under the Order now in                   The Committee met on June 27, 2018
                                                comments will be made public on the                     effect, California raisin handlers are                to consider the Committee’s projected
                                                internet at the address provided above.                 subject to assessments. Funds to                      2018–19 budget and the Order’s
                                                FOR FURTHER INFORMATION CONTACT:                        administer the Order are derived from                 continuing assessment rate. The
                                                Kathie Notoro, Marketing Specialist, or                 such assessments. It is intended that the             Committee unanimously recommended


                                           VerDate Sep<11>2014   17:09 Oct 22, 2018   Jkt 247001   PO 00000   Frm 00001   Fmt 4702   Sfmt 4702   E:\FR\FM\23OCP1.SGM   23OCP1


                                                                      Federal Register / Vol. 83, No. 205 / Tuesday, October 23, 2018 / Proposed Rules                                         53403

                                                an assessment rate of $22.00 per ton of                 express their views at these meetings.                   This proposed rule would increase
                                                raisins for the 2018–19 crop year. The                  USDA would evaluate Committee                         the assessment rate collected from
                                                proposed assessment rate of $22.00 is                   recommendations and other available                   handlers for the 2018–19 and
                                                $5.00 higher than the rate currently in                 information to determine whether                      subsequent crop years from $17.00 to
                                                effect. Without the proposed increase,                  modification of the assessment rate is                $22.00 per ton of assessable raisins
                                                anticipated assessment revenue would                    needed. Further rulemaking would be                   acquired by handlers.
                                                not be sufficient to fund the                           undertaken as necessary. The                             The Committee reviewed and
                                                Committee’s ongoing administrative                      Committee’s budget for subsequent crop                identified the expenses that would be
                                                functions. The assessment rate increase                 years would be reviewed and, as                       reasonable and necessary to continue
                                                is necessary to maintain the                            appropriate, approved by USDA.                        program operations during the 2018–19
                                                Committee’s activities at current levels                                                                      crop year. The resulting recommended
                                                and avoid a reduction in the program’s                  Initial Regulatory Flexibility Analysis               budget totals $5,189,600 for the 2018–19
                                                effectiveness.                                            Pursuant to requirements set forth in               crop year, which is an overall decrease
                                                   For the 2018–19 crop year, the                       the Regulatory Flexibility Act (RFA) (5               from the 2017–18 crop year budget,
                                                Committee recommended a budget of                       U.S.C. 601–612), the Agricultural                     which totaled $5,296,928.
                                                expenses totaling $5,189,600. The                       Marketing Service (AMS) has                              The quantity of assessable raisins for
                                                proposed assessment rate of $22.00 per                  considered the economic impact of this                2018–19 crop year is estimated to be
                                                ton is expected to generate assessment                  proposed rule on small entities.                      275,000 tons. At the recommended
                                                income of approximately $6,050,000,                     Accordingly, AMS has prepared this                    assessment rate of $22.00 per ton, the
                                                which would be sufficient to fund the                   initial regulatory flexibility analysis.              anticipated assessment income would
                                                recommended 2018–19 expenses.                             The purpose of the RFA is to fit                    be $6,050,000. Sufficient income should
                                                   The major expenditures                               regulatory actions to the scale of                    be generated at the higher assessment
                                                recommended by the Committee for the                    businesses subject to such actions in                 rate for the Committee to meet its
                                                2018–19 crop year include: Salaries and                 order that small businesses will not be               anticipated expenses.
                                                employee-related costs of $1,187,200;                                                                            The major expenditures
                                                                                                        unduly or disproportionately burdened.
                                                administration costs of $440,400;                                                                             recommended by the Committee for the
                                                                                                        Marketing orders issued pursuant to the
                                                compliance activities of $60,000;                                                                             2018–19 crop year include: Salaries and
                                                                                                        Act, and the rules issued thereunder, are
                                                research and study costs of $40,000; and                                                                      employee-related costs of $1,187,200;
                                                                                                        unique in that they are brought about                 administration costs of $440,400;
                                                promotion related costs of $3,637,000.
                                                                                                        through group action of essentially                   compliance activities of $60,000;
                                                Subtracted from these expenses is
                                                                                                        small entities acting on their own                    research and study costs of $40,000; and
                                                $175,000, which represents
                                                                                                        behalf.                                               promotion related costs of $3,637,000.
                                                reimbursable costs for the shared
                                                management of the State marketing                         There are approximately 2,600                          In comparison, last year’s approved
                                                raisin program. In comparison, last                     producers of California raisins and                   budgeted expenditures included:
                                                year’s approved budgeted expenditures                   approximately 16 handlers subject to                  Salaries and employee-related costs of
                                                included: Salaries and employee-related                 regulation under the marketing order.                 $1,306,150; administration costs of
                                                costs of $1,306,150; administration costs               Small agricultural producers are defined              $505,600; compliance activities of
                                                of $505,600; compliance activities of                   by the Small Business Administration                  $48,000; research and study costs of
                                                $48,000; research and study costs of                    (SBA) as those having annual receipts                 $35,000; and promotion related costs of
                                                $35,000; and promotion related costs of                 less than $750,000, and small                         $3,577,178. The total budget approved
                                                $3,577,178.                                             agricultural service firms are defined as             for the 2017–18 crop year was
                                                   The increased assessment rate is                     those whose annual receipts are less                  $5,296,928.
                                                necessary to cover the decrease in                      than $7,500,000. (13 CFR 121.201.)                       Prior to arriving at this budget and
                                                estimated crop size tonnage from                          According to the National                           assessment rate, the Committee
                                                300,000 tons in 2017–18 to 275,000 tons                 Agricultural Statistics Service (NASS),               considered information from the Audit
                                                in 2018–19. At the recommended                          data for the most-recently completed                  Subcommittee which met on June 13,
                                                assessment rate of $22.00 per ton, the                  crop year (2017) shows that about 8.03                2018, and discussed alternative
                                                anticipated assessment income would                     tons of raisins were produced per acre.               spending levels. The recommendation
                                                be $6,050,000. The remaining $860,400                   The 2017 producer price published by                  was discussed by the Committee on
                                                would be added to the authorized                        NASS was $1,670 per ton. Thus, the                    June 27, 2018, and the Committee
                                                reserve.                                                value of raisin production per acre                   ultimately decided that the
                                                   The proposed assessment rate would                   averaged about $13,410.10 (8.03 tons                  recommended budget and assessment
                                                continue in effect indefinitely unless                  times $1,670 per ton). At that average                rate were reasonable and necessary to
                                                modified, suspended, or terminated by                   price, a producer would have to farm                  properly administer the Order.
                                                USDA upon recommendation and                            nearly 56 acres to receive an annual                     A review of historical and preliminary
                                                information submitted by the                            income from raisins of $750,000                       information pertaining to the upcoming
                                                Committee or other available                            ($750,000 divided by $13,410.10 per                   crop year indicates that the producer
                                                information.                                            acre equals 55.93 acres). According to                price for the 2017–18 crop year was
                                                   Although this assessment rate would                  Committee staff, the majority of                      approximately $1,670.00 per ton of
                                                be in effect for an indefinite period, the              California raisin producers farm less                 raisins. Utilizing that price, the
                                                Committee would continue to meet                        than 56 acres. In addition, according to              estimated crop size of 275,000 tons, and
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                                                prior to or during each crop year to                    data from the Committee staff, six of the             the proposed assessment rate of $22.00
                                                recommend a budget of expenses and                      sixteen California raisin handlers have               per ton, the estimated assessment
                                                consider recommendations for                            receipts of less than $7,500,000 and may              revenue for the 2018–19 crop year as a
                                                modification of the assessment rate. The                also be considered small entities. Thus,              percentage of total producer revenue is
                                                dates and times of Committee meetings                   the majority of producers of California               approximately 0.013 percent
                                                are available from the Committee or                     raisins may be classified as small                    (assessment revenue of $6,050,000
                                                USDA. Committee meetings are open to                    entities, while the majority of handlers              divided by total producer revenue
                                                the public and interested persons may                   may be classified as large entities.                  $459,250,000).


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                                                53404                 Federal Register / Vol. 83, No. 205 / Tuesday, October 23, 2018 / Proposed Rules

                                                   This proposed action would increase                  List of Subjects in 7 CFR Part 989                    DATES:  We must receive comments on
                                                the assessment obligation imposed on                      Grapes, Marketing agreements,                       this proposed AD by December 7, 2018.
                                                handlers. While assessments impose                      Raisins, Reporting and recordkeeping                  ADDRESSES: You may send comments,
                                                some additional costs on handlers, the                  requirements.                                         using the procedures found in 14 CFR
                                                costs are minimal and uniform on all                                                                          11.43 and 11.45, by any of the following
                                                handlers, and some of the additional                      For the reasons set forth in the
                                                                                                                                                              methods:
                                                                                                        preamble, 7 CFR part 989 is proposed to
                                                costs may be passed on to producers.                                                                             • Federal eRulemaking Portal: Go to
                                                However, these costs would be offset by                 be amended as follows:
                                                                                                                                                              http://www.regulations.gov. Follow the
                                                the benefits derived from the operation                                                                       instructions for submitting comments.
                                                                                                        PART 989—RAISINS PRODUCED
                                                of the Order.
                                                                                                        FROM GRAPES GROWN IN                                     • Fax: 202–493–2251.
                                                   The meetings of the Audit                                                                                     • Mail: U.S. Department of
                                                Subcommittee and the Committee were                     CALIFORNIA
                                                                                                                                                              Transportation, Docket Operations,
                                                widely publicized throughout the                        ■ 1. The authority citation for 7 CFR                 M–30, West Building Ground Floor,
                                                California raisin industry. All interested              part 989 continues to read as follows:                Room W12–140, 1200 New Jersey
                                                persons were invited to attend the                                                                            Avenue SE, Washington, DC 20590.
                                                meetings and encouraged to participate                      Authority: 7 U.S.C. 601–674.
                                                                                                                                                                 • Hand Delivery: Deliver to Mail
                                                in Committee deliberations on all                       ■ 2. Section 989.347 is revised to read               address above between 9 a.m. and 5
                                                issues. Like all subcommittee and                       as follows:                                           p.m., Monday through Friday, except
                                                Committee meetings, the June 13, 2018,                                                                        Federal holidays.
                                                and June 27, 2018, meetings,                            § 989.347    Assessment rate.
                                                                                                                                                                 For service information identified in
                                                respectively, were public meetings, and                   On and after August 1, 2018, an                     this NPRM, contact Boeing Commercial
                                                all entities, both large and small, were                assessment rate of $22.00 per ton is                  Airplanes, Attention: Contractual & Data
                                                able to express views on this issue.                    established for assessable raisins                    Services (C&DS), 2600 Westminster
                                                Interested persons are invited to submit                produced from grapes grown in                         Blvd., MC 110–SK57, Seal Beach, CA
                                                comments on this proposed rule,                         California.                                           90740–5600; telephone 562–797–1717;
                                                including the regulatory and                              Dated: October 17, 2018.                            internet https://
                                                information collection impacts of this                  Bruce Summers,                                        www.myboeingfleet.com. You may view
                                                action on small businesses.                                                                                   this referenced service information at
                                                                                                        Administrator, Agricultural Marketing
                                                   In accordance with the Paperwork
                                                                                                        Service.                                              the FAA, Transport Standards Branch,
                                                Reduction Act of 1995 (44 U.S.C.
                                                                                                        [FR Doc. 2018–23091 Filed 10–22–18; 8:45 am]          2200 South 216th St., Des Moines, WA.
                                                Chapter 35), the Order’s information
                                                                                                        BILLING CODE 3410–02–P                                For information on the availability of
                                                collection requirements have been
                                                                                                                                                              this material at the FAA, call 206–231–
                                                previously approved by the OMB and
                                                                                                                                                              3195. It is also available on the internet
                                                assigned OMB No. 0581–0178 Vegetable
                                                and Specialty Crops. No changes in                      DEPARTMENT OF TRANSPORTATION                          at http://www.regulations.gov by
                                                those requirements would be necessary                                                                         searching for and locating Docket No.
                                                as a result of this action. Should any                  Federal Aviation Administration                       FAA–2018–0902.
                                                changes become necessary, they would                                                                          Examining the AD Docket
                                                be submitted to OMB for approval.                       14 CFR Part 39
                                                                                                                                                                 You may examine the AD docket on
                                                   This proposed rule would not impose                  [Docket No. FAA–2018–0902; Product                    the internet at http://
                                                any additional reporting or                             Identifier 2018–NM–047–AD]
                                                                                                                                                              www.regulations.gov by searching for
                                                recordkeeping requirements on either
                                                                                                        RIN 2120–AA64                                         and locating Docket No. FAA–2018–
                                                small or large California raisin handlers.
                                                                                                                                                              0902; or in person at Docket Operations
                                                As with all Federal marketing order                     Airworthiness Directives; The Boeing                  between 9 a.m. and 5 p.m., Monday
                                                programs, reports and forms are                         Company Airplanes                                     through Friday, except Federal holidays.
                                                periodically reviewed to reduce
                                                                                                        AGENCY: Federal Aviation                              The AD docket contains this NPRM, the
                                                information requirements and
                                                                                                        Administration (FAA), DOT.                            regulatory evaluation, any comments
                                                duplication by industry and public
                                                                                                                                                              received, and other information. The
                                                sector agencies.                                        ACTION: Notice of proposed rulemaking
                                                   AMS is committed to complying with                                                                         street address for Docket Operations
                                                                                                        (NPRM).
                                                the E-Government Act, to promote the                                                                          (phone: 800–647–5527) is in the
                                                                                                        SUMMARY:   We propose to adopt a new                  ADDRESSES section. Comments will be
                                                use of the internet and other
                                                information technologies to provide                     airworthiness directive (AD) for all The              available in the AD docket shortly after
                                                increased opportunities for citizen                     Boeing Company Model 787 series                       receipt.
                                                access to Government information and                    airplanes. This proposed AD was                       FOR FURTHER INFORMATION CONTACT:
                                                services, and for other purposes.                       prompted by a report of an                            Nelson Sanchez, Aerospace Engineer,
                                                   USDA has not identified any relevant                 uncommanded descent and turn that                     Systems and Equipment Section, FAA,
                                                Federal rules that duplicate, overlap, or               occurred after an inflight switch to the              Seattle ACO Branch, 2200 South 216th
                                                conflict with this proposed rule.                       spare flight management function                      St., Des Moines, WA 98198; phone and
                                                   A small business guide on complying                  (FMF). This proposed AD would require                 fax: 206–231–3543; email:
                                                with fruit, vegetable, and specialty crop               an inspection of the flight management                nelson.sanchez@faa.gov.
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                                                marketing agreements and orders may                     system (FMS) to determine if certain                  SUPPLEMENTARY INFORMATION:
                                                be viewed at: http://www.ams.usda.gov/                  operational program software (OPS) is
                                                rules-regulations/moa/small-businesses.                 installed and installation of new FMS                 Comments Invited
                                                Any questions about the compliance                      OPS and a software check if necessary.                  We invite you to send any written
                                                guide should be sent to Richard Lower                   For certain airplanes, this proposed AD               relevant data, views, or arguments about
                                                at the previously mentioned address in                  would also require concurrent actions.                this proposal. Send your comments to
                                                the FOR FURTHER INFORMATION CONTACT                     We are proposing this AD to address the               an address listed under the ADDRESSES
                                                section.                                                unsafe condition on these products.                   section. Include ‘‘Docket No. FAA–


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Document Created: 2018-10-23 04:15:05
Document Modified: 2018-10-23 04:15:05
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionProposed Rules
ActionProposed rule.
DatesComments must be received by November 23, 2018.
ContactKathie Notoro, Marketing Specialist, or Terry Vawter, Acting Regional Director, California Marketing Field Office, Marketing Order and Agreement Division, Specialty Crops Program, AMS, USDA; Telephone: (559) 487-5901, Fax: (559) 487-5906; or Email: [email protected] or [email protected]
FR Citation83 FR 53402 
CFR AssociatedGrapes; Marketing Agreements; Raisins and Reporting and Recordkeeping Requirements

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