83 FR 589 - Pears Grown in Oregon and Washington; Increased Assessment Rate for Processed Pears
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service Federal Register Volume 83, Issue 4 (January 5, 2018)
Agricultural Marketing Service
Federal Register Volume 83, Issue 4 (January 5, 2018)
| Page Range | 589-592 | |
| FR Document | 2017-28505 |
[Federal Register Volume 83, Number 4 (Friday, January 5, 2018)] [Rules and Regulations] [Pages 589-592] From the Federal Register Online [www.thefederalregister.org] [FR Doc No: 2017-28505] ======================================================================== Rules and Regulations Federal Register ________________________________________________________________________ This section of the FEDERAL REGISTER contains regulatory documents having general applicability and legal effect, most of which are keyed to and codified in the Code of Federal Regulations, which is published under 50 titles pursuant to 44 U.S.C. 1510. The Code of Federal Regulations is sold by the Superintendent of Documents. ======================================================================== Federal Register / Vol. 83, No. 4 / Friday, January 5, 2018 / Rules and Regulations [[Page 589]] DEPARTMENT OF AGRICULTURE Agricultural Marketing Service 7 CFR Part 927 [Doc. No. AMS-SC-17-0045; SC17-927-1 FR] Pears Grown in Oregon and Washington; Increased Assessment Rate for Processed Pears AGENCY: Agricultural Marketing Service, USDA. ACTION: Final rule. ----------------------------------------------------------------------- SUMMARY: This rule implements a recommendation from the Processed Pear Committee (Committee) to increase the assessment rate established for the 2017-2018 and subsequent fiscal periods from $7.00 to $8.00 per ton of ``summer/fall'' pears for canning. The assessment rate will remain in effect indefinitely unless modified, suspended, or terminated. This rule also makes administrative revisions to the subpart headings to bring the language into conformance with the Office of Federal Register requirements. DATES: Effective February 5, 2018. FOR FURTHER INFORMATION CONTACT: Teresa Hutchinson or Gary Olson, 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]. 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 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 rule is issued under Marketing Order No. 927, as amended (7 CFR part 927), regulating the handling of pears grown in Oregon and Washington. Part 927 (hereinafter 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 growers, handlers, and processors of processed pears grown in Oregon and Washington, and a public member. The Department of Agriculture (USDA) is issuing this rule in conformance with Executive Orders 13563 and 13175. This action falls within a category of regulatory actions that the Office of Management and Budget (OMB) exempted from Executive Order 12866 review. Additionally, because this rule does not meet the definition of a significant regulatory action, it does not trigger the requirements contained in Executive Order 13771. See OMB's Memorandum titled, ``Interim Guidance Implementing Section 2 of the Executive Order of January 30, 2017, titled, `Reducing Regulation and Controlling Regulatory Costs' '' (February 2, 2017). This rule has been reviewed under Executive Order 12988, Civil Justice Reform. Under the Order now in effect, Oregon and Washington pear handlers are subject to assessments. Funds to administer the Order are derived from such assessments. It is intended that the assessment rate as issued herein will be applicable to all assessable ``summer/ fall'' pears for canning beginning July 1, 2017, and to continue until amended, suspended, or terminated. The Act provides that administrative proceedings must be exhausted before parties may file suit in court. Under section 608c(15)(A) of the Act, any handler subject to an order may file with USDA a petition stating that the order, any provision of the order, or any obligation imposed in connection with the order is not in accordance with law and request a modification of the order or to be exempted therefrom. Such handler is afforded the opportunity for a hearing on the petition. After the hearing, USDA would rule on the petition. The Act provides that the district court of the United States in any district in which the handler is an inhabitant, or has his or her principal place of business, has jurisdiction to review USDA's ruling on the petition, provided an action is filed not later than 20 days after the date of the entry of the ruling. This rule increases the assessment rate established for the 2017- 2018 and subsequent fiscal periods from $7.00 to $8.00 per ton for ``summer/fall'' pears for canning handled under the Order. The assessment rate for ``winter'' and ``other'' pears for processing would remain unchanged at zero. The Order authorizes the Committee, with the approval of USDA, to formulate an annual budget of expenses and collect assessments from handlers to administer the program. The members of the Committee are growers, handlers, and processors of pears grown in Oregon and Washington, and a public member. They are familiar with the Committee's needs, and with the costs for goods and services in their local area, and are thus in a position to formulate an appropriate budget and assessment rate. The assessment rate is formulated and discussed in a public meeting. Thus, all directly affected persons have an opportunity to participate and provide input. For the 2012-2013 and subsequent fiscal periods, the Committee recommended, and USDA approved, the following three base rates of assessment: (a) $7.00 per ton for any or all varieties or subvarieties of pears for canning classified as ``summer/fall'', excluding pears for other methods of processing; (b) $0.00 per ton for any or all varieties or subvarieties of pears for processing classified as ``winter''; and (c) $0.00 per ton for any or all varieties or subvarieties of pears for processing classified as ``other''. The assessment on ``summer/fall'' pears applies only to pears for canning and excludes pears for other methods of processing defined in Sec. 927.15, as pears for concentrate, freezing, dehydrating, pressing, or in any other way to convert pears into a processed product. This rate structure continues in effect from fiscal period to fiscal period unless modified, suspended, or terminated by USDA upon recommendation and information submitted by the Committee or other information available to USDA. The Committee met on May 31, 2017, and unanimously recommended [[Page 590]] expenditures of $800,150 for the 2017-2018 fiscal period. In comparison, the previous fiscal period's budgeted expenditures were $855,268. The assessment rate of $8.00 per ton for ``summer/fall'' pears for canning established by this rule is $1.00 higher than the rate currently in effect. The major expenditures recommended by the Committee for the 2017- 2018 fiscal period include $605,606 for promotion and paid advertising, $147,694 for research, $25,000 for administration, and $21,850 for Committee expenses. In comparison, major expenditures for the 2016-2017 fiscal period included $682,130 for promotion and paid advertising, $127,288 for research, $25,000 for administration, and $20,850 for Committee expenses. Committee members estimate the 2017-2018 crop to be 100,000 tons, which would be less than the 2016-2017 production of 103,000 tons by 3,000 tons. Pear production tends to fluctuate due to the effects of weather, pollination, and tree health. Because of the anticipated smaller crop, the Committee recommended to both lower budgeted expenses and increase the assessment rate for ``summer/fall'' pears in order to align assessment income with expenses. The Committee's recommended assessment rate was derived by dividing the 2017-2018 anticipated expenses by the expected shipments of ``summer/fall'' pears for canning, while also taking into account interest income and the Committee's monetary reserve. Shipments of ``summer/fall'' pears for canning for 2017-2018 fiscal period are estimated at 100,000 tons, which should provide $800,000 (100,000 tons x $8.00 per ton) in assessment income. The projected revenue from handler assessments, together with funds from interest income, should be adequate to cover the 2017-2018 fiscal period budgeted expenses of $800,150. Section 927.42(a) authorizes the Committee to carry over excess funds into subsequent fiscal periods as a reserve, provided that funds do not exceed approximately one year's operational expenses. The Committee expects its monetary reserve, which was estimated to be $544,990 at the end of the 2016-2017 fiscal period, to remain unchanged during the 2017-2018 fiscal period. The reserve will be kept within the established limits of the Order and will provide the Committee with greater ability to absorb fluctuations in assessment income and expenses into the future. The assessment rate established in this final rule will continue in effect indefinitely unless modified, suspended, or terminated by USDA upon recommendation and information submitted by the Committee, or other available information. Although this assessment rate will be in effect for an indefinite period, the Committee will continue to meet prior to or during each fiscal period to recommend a budget of expenses and consider recommendations for modification of the assessment rate. The dates and times of Committee meetings are available from the Committee or USDA. Committee meetings are open to the public and interested persons may express their views at these meetings. USDA will evaluate Committee recommendations and other available information to determine whether further modification of the assessment rate is needed. Further rulemaking will be undertaken as necessary. The Committee's budgets for subsequent fiscal periods, would be reviewed and, as appropriate, approved by USDA. Final Regulatory Flexibility Analysis Pursuant to requirements set forth in the Regulatory Flexibility Act (RFA) (5 U.S.C. 601-612), the Agricultural Marketing Service (AMS) has considered the economic impact of this rule on small entities. Accordingly, AMS has prepared this final regulatory flexibility analysis. The purpose of the RFA is to fit regulatory actions to the scale of businesses subject to such actions in order that small businesses will not be unduly or disproportionately burdened. Marketing orders issued pursuant to the Act, and the rules issued thereunder, are unique in that they are brought about through group action of essentially small entities acting on their own behalf. There are approximately 1,200 growers of processed pears in the regulated production area and approximately 50 processed pear handlers subject to regulation under the Order. Small agricultural producers are defined by the Small Business Administration as those having annual receipts of 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 Noncitrus Fruits and Nuts 2016 Summary issued in June 2017 by the National Agricultural Statistics Service, the total farm-gate value of ``summer/fall'' processed pears grown in Oregon and Washington for 2016 was $27,874,000. Based on the number of ``summer/ fall'' processed pear growers in the Oregon and Washington, the average gross revenue for each grower can be estimated at approximately $23,228 ($27,874,000 divided by 1,200). Furthermore, based on Committee records, the Committee has estimated that all of the Oregon-Washington pear handlers currently ship less than $7,500,000 worth of processed pears each on an annual basis. From this information, it is concluded that the majority of growers and handlers of Oregon and Washington processed pears may be classified as small entities. This rule increases the assessment rate collected from handlers, for the 2017-2018 and subsequent fiscal periods from $7.00 to $8.00 per ton for ``summer/fall'' pears for canning. The Committee unanimously recommended 2017-2018 expenditures of $800,150 and an assessment rate of $8.00 per ton for ``summer/fall'' pears for canning. The assessment rate of $8.00 is $1.00 higher than the rate established for the 2012- 2013 fiscal period. Because of the anticipated smaller crop, the Committee recommended to both lower budgeted expenses and increase the assessment rate for ``summer/fall'' pears in order to align assessment income with expenses. The 2017-2018 estimate of ``summer/fall'' pears for canning is 100,000 tons. At the $8.00 per ton assessment rate, the Committee anticipates that assessment income of approximately $800,000, along with interest income, should be adequate to cover budgeted expenses for the 2017-2018 fiscal period of $800,150. With the recommended assessment rate and budgeted expense level, the Committee does not anticipate utilizing any funds from the monetary reserve. As such, reserve funds are estimated to be $544,990 at the end of the 2017-2018 fiscal period on June 30, 2018. That reserve level is within the maximum permitted by the Order of approximately one fiscal period's operational expenses (Sec. 927.42(a)). The major expenditures recommended by the Committee for the 2017- 2018 fiscal period include $605,606 for promotion and paid advertising; $147,694 for research; $25,000 for administration; and $21,850 for Committee expenses. In comparison, major expenditures for the 2016-2017 fiscal period included $682,130 for promotion and paid advertising; $127,288 for research; $25,000 for administration; and $20,850 for Committee expenses. The Committee discussed alternatives to this action, including recommending alternative expenditure levels and assessment rates. Although lower assessment rates were considered, none were selected because they would not have generated sufficient income to administer the Order. Similarly, the [[Page 591]] Committee did not recommend lower levels of budgeted expenditures than it did because it would have reduced the effectiveness of the program. A review of historical data and preliminary information pertaining to the upcoming fiscal period indicates that the grower price for the 2017-2018 fiscal period could range between $325 and $346 per ton of ``summer/fall'' processed pears. Therefore, the estimated assessment revenue for the 2017-2018 fiscal period, as a percentage of total grower revenue, could range between 2.31 and 2.46 percent. This action increases the assessment obligation imposed on handlers. While assessments impose some additional costs on handlers, the costs are minimal and uniform on all handlers. Some of the additional costs may be passed on to growers. However, these costs are offset by the benefits derived by the operation of the Order. In addition, the Committee's meeting was widely publicized throughout the processed pear industry and all interested persons were invited to attend the meeting and participate in Committee deliberations on all issues. Like all Committee meetings, the May 31, 2017, meeting was a public meeting and all entities, both large and small, were able to express views on this issue. In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. Chapter 35), the Order's information collection requirements have been previously approved by OMB and assigned OMB No. 0581-0189 (Generic Fruit Crops). No changes in those requirements are necessary as a result of this action. Should any changes become necessary, they would be submitted to OMB for approval. This final rule imposes no additional reporting or recordkeeping requirements on either small or large processed pear 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 Federal Register on September 18, 2017 (82 FR 43504). Copies of the proposed rule were emailed to the Committee office. Finally, the proposal was made available through the internet by USDA and the Office of the Federal Register. A 15-day comment period ending October 3, 2017, was provided for interested persons to respond to the proposal. Three comments were received during the comment period in response to the proposed rule. One comment was generally in support of the proposal. The other two comments, while not expressly opposed to the proposed action, raised concerns regarding the impact that the increased assessment rate would have on growers and consumers. Specifically, one of the two commenters questioned how the increased assessment rate would affect growers and whether the increased assessment would lead to an increase in farm profits. The commenter also questioned the impact on consumers and if the action would lead to higher canned pear prices. Lastly, the commenter wanted to know when growers and handlers will receive back-pay for the ``summer/fall'' pears for canning that were sold after July 1, 2017, and before the effective date of this final rule. The other commenter was concerned about the impact that the increased assessment rate would have on small growers. USDA considered the comments submitted and reached the following conclusions. First, marketing orders assess handlers, not growers. As such, growers will not be directly impacted by this action. However, as mentioned previously in this rule, some of the additional costs to handlers as a result of this action may be passed on to growers. Nevertheless, USDA believes that such additional costs would be offset by the economic benefits derived by the operation of the Order. Any impact of this action on growers would not affect small growers more than large growers. Additionally, as mentioned previously in this rule, assessments upon processed pear handlers are used by the Committee to fund the reasonable and necessary expenses of the Order. Section 927.15 authorizes the Committee, with the approval of USDA, to formulate an annual budget of expenses and collect assessments from handlers to administer the program. Assessments are not considered additional payments for sold product. Therefore, growers and handlers will not receive back-pay for previously sold ``summer/fall'' pears for canning. Accordingly, no changes will be made to the rule as proposed, based on the comments received. A small business guide on complying with fruit, vegetable, and specialty crop marketing agreements and orders may be viewed at: http://www.ams.usda.gov/rules-regulations/moa/small-businesses. Any questions about the compliance guide should be sent to Richard Lower at the previously mentioned address in the FOR FURTHER INFORMATION CONTACT section. This final rule also makes administrative revisions to the subpart headings of the regulations. 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 927 Marketing agreements, Pears, Reporting and recordkeeping requirements. For the reasons set forth in the preamble, 7 CFR part 927 is amended as follows: PART 927--PEARS GROWN IN OREGON AND WASHINGTON 0 1. The authority citation for 7 CFR part 927 continues to read as follows: Authority: 7 U.S.C. 601-674. Subpart A--[Amended] 0 2. Designate the subpart labeled ``Order Regulating Handling'' as subpart A. Subpart B--Administrative Provisions 0 3. Designate the subpart labeled ``Rules and Regulations'' as subpart B and revise the heading as shown above. 0 4. Amend Sec. 927.237 by revising the introductory text and paragraph (a) to read as follows: Sec. 927.237 Processed pear assessment rate. On and after July 1, 2017, the following base rates of assessment for pears for processing are established for the Processed Pear Committee: (a) $8.00 per ton for any or all varieties or subvarieties of pears for canning classified as ``summer/fall'' excluding pears for other methods of processing; * * * * * [[Page 592]] Dated: December 29, 2017. Bruce Summers, Acting Administrator, Agricultural Marketing Service. [FR Doc. 2017-28505 Filed 1-4-18; 8:45 am] BILLING CODE 3410-02-P
![589
Rules and Regulations Federal Register
Vol. 83, No. 4
Friday, January 5, 2018
This section of the FEDERAL REGISTER proposes an amendment to regulations district in which the handler is an
contains regulatory documents having general issued to carry out a marketing order as inhabitant, or has his or her principal
applicability and legal effect, most of which defined in 7 CFR 900.2(j). This rule is place of business, has jurisdiction to
are keyed to and codified in the Code of issued under Marketing Order No. 927, review USDA’s ruling on the petition,
Federal Regulations, which is published under as amended (7 CFR part 927), regulating provided an action is filed not later than
50 titles pursuant to 44 U.S.C. 1510.
the handling of pears grown in Oregon 20 days after the date of the entry of the
The Code of Federal Regulations is sold by and Washington. Part 927 (hereinafter ruling.
the Superintendent of Documents. referred to as the ‘‘Order’’) is effective This rule increases the assessment
under the Agricultural Marketing rate established for the 2017–2018 and
Agreement Act of 1937, as amended (7 subsequent fiscal periods from $7.00 to
DEPARTMENT OF AGRICULTURE U.S.C. 601–674), hereinafter referred to $8.00 per ton for ‘‘summer/fall’’ pears
as the ‘‘Act.’’ The Committee locally for canning handled under the Order.
Agricultural Marketing Service administers the Order and is comprised The assessment rate for ‘‘winter’’ and
of growers, handlers, and processors of ‘‘other’’ pears for processing would
7 CFR Part 927 processed pears grown in Oregon and remain unchanged at zero.
[Doc. No. AMS–SC–17–0045; SC17–927–1 Washington, and a public member. The Order authorizes the Committee,
FR] The Department of Agriculture with the approval of USDA, to formulate
(USDA) is issuing this rule in an annual budget of expenses and
Pears Grown in Oregon and conformance with Executive Orders collect assessments from handlers to
Washington; Increased Assessment 13563 and 13175. This action falls administer the program. The members
Rate for Processed Pears within a category of regulatory actions of the Committee are growers, handlers,
that the Office of Management and and processors of pears grown in
AGENCY: Agricultural Marketing Service,
Budget (OMB) exempted from Executive Oregon and Washington, and a public
USDA.
Order 12866 review. Additionally, member. They are familiar with the
ACTION: Final rule. because this rule does not meet the Committee’s needs, and with the costs
SUMMARY: This rule implements a definition of a significant regulatory for goods and services in their local
recommendation from the Processed action, it does not trigger the area, and are thus in a position to
Pear Committee (Committee) to increase requirements contained in Executive formulate an appropriate budget and
the assessment rate established for the Order 13771. See OMB’s Memorandum assessment rate. The assessment rate is
2017–2018 and subsequent fiscal titled, ‘‘Interim Guidance Implementing formulated and discussed in a public
periods from $7.00 to $8.00 per ton of Section 2 of the Executive Order of meeting. Thus, all directly affected
‘‘summer/fall’’ pears for canning. The January 30, 2017, titled, ‘Reducing persons have an opportunity to
assessment rate will remain in effect Regulation and Controlling Regulatory participate and provide input.
indefinitely unless modified, Costs’ ’’ (February 2, 2017). For the 2012–2013 and subsequent
suspended, or terminated. This rule also This rule has been reviewed under fiscal periods, the Committee
makes administrative revisions to the Executive Order 12988, Civil Justice recommended, and USDA approved, the
subpart headings to bring the language Reform. Under the Order now in effect, following three base rates of assessment:
into conformance with the Office of Oregon and Washington pear handlers (a) $7.00 per ton for any or all varieties
Federal Register requirements. are subject to assessments. Funds to or subvarieties of pears for canning
administer the Order are derived from classified as ‘‘summer/fall’’, excluding
DATES: Effective February 5, 2018.
such assessments. It is intended that the pears for other methods of processing;
FOR FURTHER INFORMATION CONTACT: assessment rate as issued herein will be (b) $0.00 per ton for any or all varieties
Teresa Hutchinson or Gary Olson, applicable to all assessable ‘‘summer/ or subvarieties of pears for processing
Northwest Marketing Field Office, fall’’ pears for canning beginning July 1, classified as ‘‘winter’’; and (c) $0.00 per
Marketing Order and Agreement 2017, and to continue until amended, ton for any or all varieties or
Division, Specialty Crops Program, suspended, or terminated. subvarieties of pears for processing
AMS, USDA; Telephone: (503) 326– The Act provides that administrative classified as ‘‘other’’. The assessment on
2724, Fax: (503) 326–7440, or Email: proceedings must be exhausted before ‘‘summer/fall’’ pears applies only to
Teresa.Hutchinson@ams.usda.gov or parties may file suit in court. Under pears for canning and excludes pears for
GaryD.Olson@ams.usda.gov. section 608c(15)(A) of the Act, any other methods of processing defined in
Small businesses may request handler subject to an order may file § 927.15, as pears for concentrate,
information on complying with this with USDA a petition stating that the freezing, dehydrating, pressing, or in
regulation by contacting Richard Lower, order, any provision of the order, or any any other way to convert pears into a
Marketing Order and Agreement obligation imposed in connection with processed product. This rate structure
Division, Specialty Crops Program, the order is not in accordance with law continues in effect from fiscal period to
AMS, USDA, 1400 Independence and request a modification of the order fiscal period unless modified,
daltland on DSKBBV9HB2PROD with RULES
Avenue SW, STOP 0237, Washington, or to be exempted therefrom. Such suspended, or terminated by USDA
DC 20250–0237; Telephone: (202) 720– handler is afforded the opportunity for upon recommendation and information
2491, Fax: (202) 720–8938, or Email: a hearing on the petition. After the submitted by the Committee or other
Richard.Lower@ams.usda.gov. hearing, USDA would rule on the information available to USDA.
SUPPLEMENTARY INFORMATION: This petition. The Act provides that the The Committee met on May 31, 2017,
action, pursuant to 5 U.S.C. 553, district court of the United States in any and unanimously recommended
VerDate Sep<11>2014 16:04 Jan 04, 2018 Jkt 244001 PO 00000 Frm 00001 Fmt 4700 Sfmt 4700 E:\FR\FM\05JAR1.SGM 05JAR1](https://thefederalregister.org/doc/83_FR_593/page/1.svg)
![Federal Register / Vol. 83, No. 4 / Friday, January 5, 2018 / Rules and Regulations 591
Committee did not recommend lower were emailed to the Committee office. A small business guide on complying
levels of budgeted expenditures than it Finally, the proposal was made with fruit, vegetable, and specialty crop
did because it would have reduced the available through the internet by USDA marketing agreements and orders may
effectiveness of the program. and the Office of the Federal Register. A be viewed at: http://www.ams.usda.gov/
A review of historical data and 15-day comment period ending October rules-regulations/moa/small-businesses.
preliminary information pertaining to 3, 2017, was provided for interested Any questions about the compliance
the upcoming fiscal period indicates persons to respond to the proposal. guide should be sent to Richard Lower
that the grower price for the 2017–2018 Three comments were received during at the previously mentioned address in
fiscal period could range between $325 the comment period in response to the the FOR FURTHER INFORMATION CONTACT
and $346 per ton of ‘‘summer/fall’’ proposed rule. One comment was section.
processed pears. Therefore, the generally in support of the proposal.
estimated assessment revenue for the The other two comments, while not This final rule also makes
2017–2018 fiscal period, as a percentage expressly opposed to the proposed administrative revisions to the subpart
of total grower revenue, could range action, raised concerns regarding the headings of the regulations.
between 2.31 and 2.46 percent. impact that the increased assessment After consideration of all relevant
This action increases the assessment rate would have on growers and material presented, including the
obligation imposed on handlers. While consumers. information and recommendation
assessments impose some additional Specifically, one of the two submitted by the Committee and other
costs on handlers, the costs are minimal commenters questioned how the available information, it is hereby found
and uniform on all handlers. Some of increased assessment rate would affect
that this rule, as hereinafter set forth,
the additional costs may be passed on growers and whether the increased
will tend to effectuate the declared
to growers. However, these costs are assessment would lead to an increase in
policy of the Act.
offset by the benefits derived by the farm profits. The commenter also
operation of the Order. questioned the impact on consumers List of Subjects in 7 CFR Part 927
In addition, the Committee’s meeting and if the action would lead to higher
was widely publicized throughout the canned pear prices. Lastly, the Marketing agreements, Pears,
processed pear industry and all commenter wanted to know when Reporting and recordkeeping
interested persons were invited to growers and handlers will receive back- requirements.
attend the meeting and participate in pay for the ‘‘summer/fall’’ pears for
For the reasons set forth in the
Committee deliberations on all issues. canning that were sold after July 1,
Like all Committee meetings, the May preamble, 7 CFR part 927 is amended as
2017, and before the effective date of
31, 2017, meeting was a public meeting this final rule. The other commenter follows:
and all entities, both large and small, was concerned about the impact that the
PART 927—PEARS GROWN IN
were able to express views on this issue. increased assessment rate would have
In accordance with the Paperwork OREGON AND WASHINGTON
on small growers.
Reduction Act of 1995 (44 U.S.C. USDA considered the comments
Chapter 35), the Order’s information submitted and reached the following ■ 1. The authority citation for 7 CFR
collection requirements have been conclusions. First, marketing orders part 927 continues to read as follows:
previously approved by OMB and assess handlers, not growers. As such, Authority: 7 U.S.C. 601–674.
assigned OMB No. 0581–0189 (Generic growers will not be directly impacted by
Fruit Crops). No changes in those this action. However, as mentioned Subpart A—[Amended]
requirements are necessary as a result of previously in this rule, some of the
this action. Should any changes become additional costs to handlers as a result ■ 2. Designate the subpart labeled
necessary, they would be submitted to of this action may be passed on to ‘‘Order Regulating Handling’’ as subpart
OMB for approval. growers. Nevertheless, USDA believes A.
This final rule imposes no additional that such additional costs would be
reporting or recordkeeping requirements offset by the economic benefits derived Subpart B—Administrative Provisions
on either small or large processed pear by the operation of the Order. Any
handlers. As with all Federal marketing impact of this action on growers would ■ 3. Designate the subpart labeled
order programs, reports and forms are not affect small growers more than large ‘‘Rules and Regulations’’ as subpart B
periodically reviewed to reduce growers. and revise the heading as shown above.
information requirements and Additionally, as mentioned
duplication by industry and public previously in this rule, assessments ■ 4. Amend § 927.237 by revising the
sector agencies. As noted in the initial upon processed pear handlers are used introductory text and paragraph (a) to
regulatory flexibility analysis, USDA by the Committee to fund the reasonable read as follows:
has not identified any relevant Federal and necessary expenses of the Order.
Section 927.15 authorizes the § 927.237 Processed pear assessment
rules that duplicate, overlap, or conflict
rate.
with this final rule. Committee, with the approval of USDA,
AMS is committed to complying with to formulate an annual budget of On and after July 1, 2017, the
the E-Government Act, to promote the expenses and collect assessments from following base rates of assessment for
use of the internet and other handlers to administer the program. pears for processing are established for
information technologies to provide Assessments are not considered the Processed Pear Committee:
daltland on DSKBBV9HB2PROD with RULES
increased opportunities for citizen additional payments for sold product.
(a) $8.00 per ton for any or all
access to Government information and Therefore, growers and handlers will
services, and for other purposes. not receive back-pay for previously sold varieties or subvarieties of pears for
A proposed rule concerning this ‘‘summer/fall’’ pears for canning. canning classified as ‘‘summer/fall’’
action was published in Federal Accordingly, no changes will be made excluding pears for other methods of
Register on September 18, 2017 (82 FR to the rule as proposed, based on the processing;
43504). Copies of the proposed rule comments received. * * * * *
VerDate Sep<11>2014 16:04 Jan 04, 2018 Jkt 244001 PO 00000 Frm 00003 Fmt 4700 Sfmt 4700 E:\FR\FM\05JAR1.SGM 05JAR1](https://thefederalregister.org/doc/83_FR_593/page/3.svg)
![592 Federal Register / Vol. 83, No. 4 / Friday, January 5, 2018 / Rules and Regulations
Dated: December 29, 2017. Committee locally administers the producers and handlers of South Texas
Bruce Summers, Order and is comprised of producers onions. They are familiar with the
Acting Administrator, Agricultural Marketing and handlers of onions operating within Committee’s needs and with the costs
Service. the area of production. for goods and services in their local area
[FR Doc. 2017–28505 Filed 1–4–18; 8:45 am] The Department of Agriculture and are thus in a position to formulate
BILLING CODE 3410–02–P
(USDA) is issuing this rule in an appropriate budget and assessment
conformance with Executive Orders rate. The assessment rate is formulated
13563 and 13175. This action falls and discussed in a public meeting.
DEPARTMENT OF AGRICULTURE within a category of regulatory actions Thus, all directly affected persons have
that the Office of Management and an opportunity to participate and
Agricultural Marketing Service Budget (OMB) exempted from Executive provide input.
Order 12866 review. Additionally, For the 2015–16 and subsequent fiscal
7 CFR Part 959 because this rule does not meet the periods, the Committee recommended,
definition of a significant regulatory and USDA approved, an assessment rate
[Doc. No. AMS–SC–17–0040; SC17–959–1
action, it does not trigger the that would continue in effect from fiscal
FR]
requirements contained in Executive period to fiscal period unless modified,
Onions Grown in South Texas; Order 13771. See OMB’s Memorandum suspended, or terminated by USDA
Increased Assessment Rate titled ‘‘Interim Guidance Implementing upon recommendation and information
Section 2 of the Executive Order of submitted by the Committee or other
AGENCY: Agricultural Marketing Service, January 30, 2017, titled ‘Reducing information available to USDA.
USDA. Regulation and Controlling Regulatory The Committee met on June 7, 2017,
ACTION: Final rule. Costs’ ’’ (February 2, 2017). and unanimously recommended 2017–
This rule has been reviewed under 18 expenditures of $149,807, the same
SUMMARY: This rule implements a Executive Order 12988, Civil Justice as budgeted last fiscal year, and an
recommendation from the South Texas Reform. Under the Marketing Order now
assessment rate of $0.065 per 50-pound
Onion Committee (Committee) to in effect, South Texas onion handlers
equivalent of onions. The assessment
increase the assessment rate established are subject to assessments. Funds to
rate of $0.065 is $0.015 higher than the
for the 2017–18 and subsequent fiscal administer the Order are derived from
rate currently in effect. The Committee
periods from $0.05 to $0.065 per 50- such assessments. It is intended that the
recommended the increase so
pound equivalent of onions handled assessment rate as issued herein will be
assessments would be sufficient to cover
under the Marketing Order (Order). The applicable to all assessable onions
the Committee’s anticipated
assessment rate will remain in effect beginning on August 1, 2017, and
expenditures while providing additional
indefinitely unless modified, continue until amended, suspended, or
funds to help replenish the Committee’s
suspended, or terminated. terminated.
The Act provides that administrative reserve fund, which has been depleted
DATES: Effective February 5, 2018. due to declines in production. With the
proceedings must be exhausted before
FOR FURTHER INFORMATION CONTACT: Committee’s recommended $0.015
parties may file suit in court. Under
Doris Jamieson, Marketing Specialist or section 608c(15)(A) of the Act, any increase and estimated shipments of
Christian D. Nissen, Regional Director, handler subject to an order may file approximately three million 50-pound
Southeast Marketing Field Office, with USDA a petition stating that the equivalents, assessment income should
Marketing Order and Agreement order, any provision of the order, or any be approximately $195,000.
Division, Specialty Crops Program, obligation imposed in connection with The major expenditures
AMS, USDA; Telephone: (863) 324– the order is not in accordance with law recommended by the Committee for the
3375, Fax: (863) 291–8614, or Email: and request a modification of the order 2017–18 fiscal year include $50,000 for
Doris.Jamieson@ams.usda.gov or or to be exempted therefrom. Such compliance, $37,050 for administrative,
Christian.Nissen@ams.usda.gov. handler is afforded the opportunity for and $32,942 for management costs.
Small businesses may request a hearing on the petition. After the Budgeted expenses for these items were
information on complying with this hearing, USDA would rule on the the same in 2016–17.
regulation by contacting Richard Lower, petition. The Act provides that the The assessment rate recommended by
Marketing Order and Agreement district court of the United States in any the Committee was derived by
Division, Specialty Crops Program, district in which the handler is an considering anticipated expenses,
AMS, USDA, 1400 Independence inhabitant, or has his or her principal expected shipments of South Texas
Avenue SW, STOP 0237, Washington, place of business, has jurisdiction to onions, and the level of funds in
DC 20250–0237; Telephone: (202) 720– review USDA’s ruling on the petition, reserve. As mentioned earlier, onion
2491, Fax: (202)720–8938, or Email: provided an action is filed not later than shipments for the year are estimated at
Richard.Lower@ams.usda.gov. 20 days after the date of the entry of the three million 50-pound equivalents,
SUPPLEMENTARY INFORMATION: This ruling. which should provide $195,000 in
action, pursuant to 5 U.S.C. 553, This rule increases the assessment assessment income. Income derived
proposes an amendment to regulations rate established for the 2017–18 and from handler assessments would be
issued to carry out a marketing order as subsequent fiscal periods from $0.05 to adequate to cover budgeted expenses.
defined in 7 CFR 900.2(j). This rule is $0.065 per 50-pound equivalent of The Committee currently has no money
issued under Marketing Order No. 959, onions handled. in reserves.
as amended (7 CFR part 959), regulating The South Texas Onion Marketing The assessment rate established in
daltland on DSKBBV9HB2PROD with RULES
the handling of onions grown in South Order provides authority for the this rule will continue in effect
Texas. Part 959 (hereinafter referred to Committee, with the approval of USDA, indefinitely unless modified,
as the ‘‘Order’’) is effective under the to formulate an annual budget of suspended, or terminated by USDA
Agricultural Marketing Agreement Act expenses and collect assessments from upon recommendation and information
of 1937, as amended (7 U.S.C. 601–674), handlers to administer the program. The submitted by the Committee or other
hereinafter referred to as the ‘‘Act.’’ The members of the Committee are available information.
VerDate Sep<11>2014 16:04 Jan 04, 2018 Jkt 244001 PO 00000 Frm 00004 Fmt 4700 Sfmt 4700 E:\FR\FM\05JAR1.SGM 05JAR1](https://thefederalregister.org/doc/83_FR_593/page/4.svg)
Document Created: 2018-10-26 09:31:13
Document Modified: 2018-10-26 09:31:13
| Category | Regulatory Information | |
| Collection | Federal Register | |
| sudoc Class | AE 2.7: GS 4.107: AE 2.106: | |
| Publisher | Office of the Federal Register, National Archives and Records Administration | |
| Section | Rules and Regulations | |
| Action | Final rule. | |
| Dates | Effective February 5, 2018. | |
| Contact | Teresa Hutchinson or Gary Olson, 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 Citation | 83 FR 589 | |
| CFR Associated | Marketing Agreements; Pears and Reporting and Recordkeeping Requirements |
2024 Federal Register | Disclaimer | Privacy Policy
USC | CFR | eCFR