Walnuts Grown in California; Suspension of Provision Regarding Eligibility of Walnut Marketing Board Members, 50151-50153 [05-17055]
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Federal Register / Vol. 70, No. 165 / Friday, August 26, 2005 / Rules and Regulations
and future costs of supervising the
performance of official agencies. A
second response did not respond to the
proposed action. Consequently, GIPSA
is implementing the fee changes as they
were proposed.
Executive Orders 12866 and 12988
This rule has been determined to be
non-significant for the purposes of
Executive Order 12866 and therefore
has not been reviewed by the OMB. This
rule has been reviewed under Executive
Order 12988, Civil Justice Reform. This
action is not intended to have a
retroactive effect. The USGSA provides
in Sec. 87g that no subdivision may
require or impose any requirements or
restrictions concerning the inspection,
weighing, or description of grain under
the Act. Otherwise, this rule will not
preempt any State or local laws,
regulations, or policies unless they
present irreconcilable conflict with this
rule. There are no administrative
procedures that must be exhausted prior
to any judicial challenge to the
provisions of this rule.
Paperwork Reduction Act and
Government Paperwork Elimination Act
In compliance with the Paperwork
Reduction Act of 1995 (44 U.S.C.
Chapter 35), the information collection
and recordkeeping requirements
included in this rule has been approved
by the OMB under control number
0580–0013.
GIPSA is committed to compliance
with the Government Paperwork
Elimination Act, which requires
Government agencies, in general, to
provide the public the option of
submitting information or transacting
business electronically to the maximum
extent possible.
Regulatory Flexibility Act Certification
GIPSA has determined that this rule
does not have a significant economic
impact on a substantial number of small
entities, as defined in the Regulatory
Flexibility Act (5 U.S.C. 601 et seq.),
because the majority of applicants (grain
industry) that apply for these official
services, and are subjected to GIPSA
supervision fees, do not meet the
requirements for small entities. This
rule will affect entities engaged in
shipping grain to and from points
within the United States and exporting
grain from the United States. GIPSA
estimates there are approximately 9,500
off-farm storage facilities and 18 export
elevators in the United States that could
receive services from delegated States or
designated agencies. Official services
are available from 7 delegated States
and 49 designated agencies. For
VerDate Aug<18>2005
16:11 Aug 25, 2005
Jkt 205001
clarification, any and all grain that is
exported from the U.S. export port
locations must, as required by the
USGSA, be inspected and/or weighed.
These services are either performed by
GIPSA or delegated States. Further,
some grain exported from interior
locations may also require inspection
and/or weighing services unless the
services are waived as provided in
section 800.18 of the regulations. These
services are provided by designated
agencies. The USGSA does not require
inspection or weighing services for grain
marketed within the U.S. Consequently,
these services are permissive and may
be performed by official agencies. The
USGSA (7 U.S.C. 71 et seq.) authorizes
GIPSA to provide supervision of official
grain inspection and weighing services,
and to charge and collect reasonable
fees for performing these services. The
fees collected are to cover, as nearly as
practicable, GIPSA’s costs for
performing these services, including
related administrative and supervisory
costs.
GIPSA realizes that any increase in
supervision fees will be charged by
official agencies to the users (grain
industry) of the official grain inspection
and weighing system.
Although, the overall effect of this
rule will be passed on to the users of
official grain inspection and weighing
services, mostly large corporations,
David R. Shipman, Acting
Administrator, GIPSA, has determined
that this rule will not have a significant
impact on a substantial number of small
entities as defined in the Regulatory
Flexibility Act (5 U.S.C. 601 et seq.).
List of Subjects in 7 CFR Part 800
Administrative practice and
procedure; Grain.
For the reasons set out in the
preamble, 7 CFR part 800 is amended as
follows:
■
PART 800—GENERAL REGULATIONS
1. The authority citation for part 800
continues to read as follows:
■
Authority: Pub. L. 94–582, 90 Stat. 2867,
as amended (7 U.S.C. 71 et seq.)
2. In § 800.71, paragraph(a), Schedule
C is amended by removing Tables 1 and
2 and adding introductory text in their
place to read as follows:
■
§ 800.71
Fees assesses by the Service.
(a) * * *
SCHEDULE C—FEES FOR FGIS
SUPERVISION OF OFFICIAL
INSPECTION AND WEIGHING
SERVICES PERFORMED BY
DELEGATED STATES AND/OR
PO 00000
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Fmt 4700
Sfmt 4700
50151
DESIGNATED AGENCIES IN THE
UNITED STATES.
The supervision fee is charged at
$0.011 per metric ton inspected and/or
weighed.
*
*
*
*
*
David R. Shipman,
Acting Administrator, Grain Inspection,
Packers and Stockyards Administration.
[FR Doc. 05–16952 Filed 8–25–05; 8:45 am]
BILLING CODE 3410–EN–P
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 984
[Docket No. FV05–984–1 IFR]
Walnuts Grown in California;
Suspension of Provision Regarding
Eligibility of Walnut Marketing Board
Members
Agricultural Marketing Service,
USDA.
ACTION: Interim final rule with request
for comments.
AGENCY:
SUMMARY: This rule suspends a
provision of the walnut marketing order
(order) pertaining to eligibility of
members to serve on the Walnut
Marketing Board (Board). The order
regulates the handling of walnuts grown
in California, and the Board is
responsible for local administration of
the order. This action is an interim
measure to address a change in industry
structure affecting cooperative
marketing association related positions.
This will allow the Board to continue to
represent the industry’s interests while
the order is amended to reflect the
change in industry structure. The Board
unanimously recommended a
suspension action by mail balloting in
early July, 2005.
DATES: Effective August 29, 2005;
comments received by October 25, 2005
will be considered prior to issuance of
a final rule.
ADDRESSES: Interested persons are
invited to submit written comments
concerning the proposal to: Docket
Clerk, Marketing Order Administration
Branch, Fruit and Vegetable Programs,
AMS, USDA, 1400 Independence
Avenue, SW., STOP 0237, Washington,
DC 20250–0237; Fax: (202) 720–8938, Email: moab.docketclerk@usda.gov, or
Internet: https://www.regulations.gov.
Comments should reference the docket
number and the date and page number
of this issue of Federal Register and will
be made available for public inspection
in the Office of the Docket Clerk during
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Federal Register / Vol. 70, No. 165 / Friday, August 26, 2005 / Rules and Regulations
regular business hours, or can be viewed
at: https://www.ams.usda.gov/fv/
moab.html.
FOR FURTHER INFORMATION CONTACT:
Martin Engeler, Senior Marketing
Specialist, Marketing Order
Administration Branch, Fruit and
Vegetable Programs, AMS, USDA, 2202
Monterey Street, Suite 102–B, Fresno,
California 93721; Telephone: (559) 487–
5901, Fax: (559) 487–5906; or Kathleen
M. Finn, Formal Rulemaking Team
Leader, Marketing Order Administration
Branch, Fruit and Vegetable Programs,
AMS, USDA, 1400 Independence
Avenue SW., STOP 0237, Washington,
DC 20250–0237; telephone: (202) 720–
2491, or Fax: (202) 720–8938.
Small businesses may request
information on complying with this
regulation by contacting Jay Guerber,
Marketing Order Administration
Branch, Fruit and Vegetable Programs,
AMS, USDA, 1400 Independence
Avenue SW., STOP 0237, Washington,
DC 20250–0237; Telephone: (202) 720–
2491, Fax: (202) 720–8938, or E-mail:
Jay.Guerber@usda.gov.
SUPPLEMENTARY INFORMATION: This rule
is issued under Marketing Agreement
and Order No. 984, both as amended (7
CFR part 984), hereinafter referred to as
the ‘‘order’’, regulating the handling of
walnuts grown in the State of California.
The marketing agreement and order are
effective pursuant to the Agricultural
Marketing Agreement Act of 1937, as
amended (7 U.S.C. 601–674), hereinafter
referred to as the ‘‘Act.’’
The Department of Agriculture
(USDA) is issuing this rule in
conformance with Executive Order
12866.
This proposal has been reviewed
under Executive Order 12988, Civil
Justice Reform. This proposal is not
intended to have retroactive effect. This
proposed rule will not preempt any
State or local laws, regulations, or
policies, unless they present an
irreconcilable conflict with this
proposed rule.
The Act provides that administrative
proceedings must be exhausted before
parties may file suit in court. Under
section 608c(15)(A) of the Act, any
handler subject to an order may file
with USDA a petition stating that the
order, any provision of the order, or any
obligation imposed in connection with
the order is not in accordance with law
and request a modification of the order
or to be exempted therefrom. A handler
is afforded the opportunity for a hearing
on the petition. After the hearing USDA
would rule on the petition. The Act
provides that the district court of the
United States in any district in which
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16:11 Aug 25, 2005
Jkt 205001
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 suspends a provision of the
walnut marketing order (order)
pertaining to eligibility of members to
serve on the Walnut Marketing Board
(Board). The order regulates the
handling of walnuts grown in
California, and the Board is responsible
for local administration of the order.
This action is an interim measure to
address a change in industry structure
affecting cooperative marketing
association related positions. This will
allow the Board to continue to represent
the industry’s interests while the order
is amended to reflect the change in
industry structure. The Board
unanimously recommended a
suspension action by mail balloting in
early July, 2005.
Section 984.35 of the order establishes
the Board as the administrative body
appointed by USDA to administer the
order. That section also specifies
composition of the Board, and allocates
seats to cooperative and independent
growers and handlers. The Board is
comprised of ten members and ten
alternate members. Two members
represent handlers that are cooperative
marketing associations of growers
(cooperative handlers), and two
members represent growers who market
their walnuts through cooperative
handlers. Two members represent
handlers that are not cooperative
marketing associations of growers
(independent handlers), and two
members represent growers that market
their walnuts through independent
handlers. One member represents
growers that market their walnuts
through either cooperative or
independent handlers, whichever
category handled over fifty percent of
the walnuts handled by all handlers in
the industry in the immediately
preceding two marketing years. In
recent years, this Board position has
been allocated to the independent
category. One member represents
neither growers nor handlers (public
member).
Section 984.38 of the order provides,
in part, that no person shall be selected
or continue to serve as a member or
alternate member of the Board unless
that person is engaged in the business
of the group he or she was nominated
to represent.
A change recently occurred in the
walnut industry that impacts
composition of the Board. A large
cooperative marketing association
PO 00000
Frm 00004
Fmt 4700
Sfmt 4700
recently converted to a publicly held
corporation. The former cooperative
association held two grower and two
handler positions on the Board.
In order to address this change,
section 984.38 of the order needs to be
suspended to allow a representative
Board to continue in place while the
order is amended to reflect the new
industry structure. Therefore, the Board
recommended through a mail ballot vote
in early July, 2005, to suspend the order
provision. USDA has reviewed the
recommendation and has determined
that suspending § 984.38 of the order
regarding eligibility requirements of
Board members will accomplish that
objective. As previously discussed,
§ 984.38 provides that no person shall
be selected or continue to serve as a
member or alternate member of the
Board unless that person is engaged in
the business of the group he or she was
nominated to represent.
If the eligibility requirements are not
suspended, four of the Board members
that represented the cooperative become
ineligible to serve on the Board.
However, these members continue to
represent a significant portion of the
industry. Suspending the order
provision regarding eligibility of Board
members allows a complete Board to
remain in place. This action will enable
a Board that is representative of the
walnut industry to continue to
administer the order without disruption
while the order is being amended to
reflect changes in the industry structure.
This action suspends § 984.38 of the
order entitled ‘‘Eligibility’’. This action
is in the best interest of handlers and
growers in the California walnut
industry as the industry transitions
through a structural change.
Initial Regulatory Flexibility Act
Pursuant to the requirements set forth
in the Regulatory Flexibility Act (RFA),
the Agricultural Marketing Service
(AMS) has considered the economic
impact of this proposal 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
business subject to such actions in order
that small businesses will not be unduly
or disproportionately burdened.
Marketing orders issued pursuant to the
Act, and rules issued thereunder, are
unique in that they are brought about
through group action of essentially
small entities acting on their own
behalf. Thus, both statutes have small
entity orientation and compatibility.
There are approximately 5,000
producers of walnuts in the production
E:\FR\FM\26AUR1.SGM
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Federal Register / Vol. 70, No. 165 / Friday, August 26, 2005 / Rules and Regulations
area and 50 walnut handlers subject to
regulation under the marketing order.
Small agricultural service firms are
defined as those whose annual receipts
are less than $6,000,000 and small
agricultural producers have been
defined by the Small Business
Administration as those having annual
receipts less than $750,000 (13 CFR
121.201).
Industry information from the Walnut
Marketing Board indicates that 36 of the
50 walnut handlers, or 72%, shipped
less than $6,000,000 worth of walnuts
and could be considered small
businesses by the Small Business
Administration. In addition, only an
estimated 60 producers, or 1.2%, have
annual receipts in excess of $750,000.
Based on the foregoing, the majority of
walnut producers and handlers
regulated under the marketing order
may be classified as small entities.
This rule suspends provisions of the
walnut marketing order (order)
pertaining to eligibility of members to
serve on the Walnut Marketing Board
(Board). The order regulates the
handling of walnuts grown in
California, and the Board is responsible
for local administration of the order.
Specifically, this action suspends
§ 984.38 of the order entitled
‘‘Eligibility’’.
Due to structural changes in the
industry, the order provisions regarding
Board composition no longer accurately
reflect the industry composition. If the
eligibility requirements are not
suspended, four of the Board members
that represented the cooperative become
ineligible to serve on the Board.
However, these members continue to
represent a significant portion of the
industry. Suspending the order
provision regarding eligibility of Board
members allows a complete Board to
remain in place. This action will enable
a Board that still represents the walnut
industry to continue to administer the
order without disruption while the
order is being amended to reflect
changes in the industry structure. The
Board unanimously recommended
suspending order language by mail
balloting in early July, 2005.
Alternatives to this action were
considered. One alternative was to
remove the former cooperative members
from the Board, which would result in
a 6-member Board. This was not
considered a preferred option because it
would limit the size of the Board.
This rule suspends order language
pertaining to membership eligibility on
the Walnut Marketing Board.
Accordingly, this action does not
impose any additional reporting or
recordkeeping requirements, or any
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17:26 Aug 25, 2005
Jkt 205001
other costs, on either small or large
walnut 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. In addition, USDA has
not identified any relevant Federal rules
that duplicate, overlap, or conflict with
this rule. Finally, interested persons are
invited to submit information on the
regulatory and informational impacts of
this action on small businesses.
A small business guide on complying
with fruit, vegetable, and specialty crop
marketing agreements and orders may
be viewed at the following Web site:
https://www.ams.usda.gov/fv/moab.html.
Any questions about the compliance
guide should be sent to Jay Guerber at
the previously mentioned address in the
FOR FURTHER INFORMATION CONTACT
section.
This rule invites comments on
suspending order provisions regarding
eligibility of Board members under the
California walnut marketing order. Any
comments received will be considered
prior to finalization of this rule.
After consideration of all relevant
material presented, including the
Board’s recommendation, and other
information, it is found that the order
language being suspended, as
hereinafter set forth, no longer tends to
effectuate the declared policy of the Act.
Pursuant to 5 U.S.C. 553, it is also
found and determined upon good cause
that it is impracticable, unnecessary,
and contrary to the public interest to
give preliminary notice prior to putting
this rule into effect and that good cause
exists for not postponing the effective
date of this rule until 30 days after
publication in the Federal Register
because: (1) The Board unanimously
recommended these changes; (2) these
changes are needed to allow a
representative Board to remain in place
to administer the order; and (3) this rule
provides a 60-day comment period and
any comments timely received will be
considered prior to finalization of this
rule.
List of Subjects in 7 CFR Part 984
Walnuts, Marketing agreements, Nuts,
Reporting and recordkeeping
requirements.
■ For the reasons set forth in the
preamble, 7 CFR part 984 is amended as
follows:
PART 984—WALNUTS GROWN IN
CALIFORNIA
1. The authority citation for 7 CFR
part 984 continues to read as follows:
■
Authority: 7 U.S.C. 601–674.
PO 00000
Frm 00005
Fmt 4700
Sfmt 4700
50153
2. In part 984, § 984.38 is suspended
indefinitely.
■
Dated: August 23, 2005.
Lloyd C. Day,
Administrator, Agricultural Marketing
Service.
[FR Doc. 05–17055 Filed 8–23–05; 4:46 pm]
BILLING CODE 3410–02–P
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Parts 993 and 999
[Docket No. FV05–993–2 FIR]
Dried Prunes Produced in California;
Suspension of Handling and Reporting
Requirements, Extension of the
Suspension of Outgoing Inspection
and Volume Control Regulations, and
Extension of the Suspension of the
Prune Import Regulation
Agricultural Marketing Service,
USDA.
ACTION: Final rule; affirmation of interim
rule as final rule.
AGENCY:
SUMMARY: The Department of
Agriculture (USDA) is adopting, as a
final rule, without change, an interim
final rule suspending indefinitely all
remaining handling and most reporting
requirements under Marketing Order
No. 993. The marketing order regulates
the handling of dried prunes produced
in California and is administered locally
by the Prune Marketing Committee
(committee). The interim final rule
being adopted by this action also
indefinitely extends the suspensions of
the outgoing inspection and prune
import regulations and volume control
regulations, currently temporarily
suspended until August 1, 2006, and
August 1, 2008, respectively. The
interim final rule was effective August
1, 2005.
DATES: Effective September 26, 2005.
FOR FURTHER INFORMATION CONTACT:
Terry Vawter, California Marketing
Field Office, Marketing Order
Administration Branch, Fruit and
Vegetable Programs, AMS, USDA;
telephone: (559) 487–5901, Fax: (559)
487–5906; or Kathy Finn, Formal
Rulemaking Team Leader, Marketing
Order Administration Branch, Fruit and
Vegetable Programs, AMS, USDA, 1400
Independence Avenue SW., STOP 0237,
Washington, DC 20250–0237; telephone:
(202) 720–2491, Fax: (202) 720–8938.
Small businesses may request
information on complying with this
regulation by contacting Jay Guerber,
Marketing Order Administration
E:\FR\FM\26AUR1.SGM
26AUR1
]]>Agencies
[Federal Register Volume 70, Number 165 (Friday, August 26, 2005)]
[Rules and Regulations]
[Pages 50151-50153]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 05-17055]
-----------------------------------------------------------------------
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 984
[Docket No. FV05-984-1 IFR]
Walnuts Grown in California; Suspension of Provision Regarding
Eligibility of Walnut Marketing Board Members
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Interim final rule with request for comments.
-----------------------------------------------------------------------
SUMMARY: This rule suspends a provision of the walnut marketing order
(order) pertaining to eligibility of members to serve on the Walnut
Marketing Board (Board). The order regulates the handling of walnuts
grown in California, and the Board is responsible for local
administration of the order. This action is an interim measure to
address a change in industry structure affecting cooperative marketing
association related positions. This will allow the Board to continue to
represent the industry's interests while the order is amended to
reflect the change in industry structure. The Board unanimously
recommended a suspension action by mail balloting in early July, 2005.
DATES: Effective August 29, 2005; comments received by October 25, 2005
will be considered prior to issuance of a final rule.
ADDRESSES: Interested persons are invited to submit written comments
concerning the proposal to: Docket Clerk, Marketing Order
Administration Branch, Fruit and Vegetable Programs, AMS, USDA, 1400
Independence Avenue, SW., STOP 0237, Washington, DC 20250-0237; Fax:
(202) 720-8938, E-mail: moab.docketclerk@usda.gov, or Internet: https://
www.regulations.gov. Comments should reference the docket number and
the date and page number of this issue of Federal Register and will be
made available for public inspection in the Office of the Docket Clerk
during
[[Page 50152]]
regular business hours, or can be viewed at: https://www.ams.usda.gov/
fv/moab.html.
FOR FURTHER INFORMATION CONTACT: Martin Engeler, Senior Marketing
Specialist, Marketing Order Administration Branch, Fruit and Vegetable
Programs, AMS, USDA, 2202 Monterey Street, Suite 102-B, Fresno,
California 93721; Telephone: (559) 487-5901, Fax: (559) 487-5906; or
Kathleen M. Finn, Formal Rulemaking Team Leader, Marketing Order
Administration Branch, Fruit and Vegetable Programs, AMS, USDA, 1400
Independence Avenue SW., STOP 0237, Washington, DC 20250-0237;
telephone: (202) 720-2491, or Fax: (202) 720-8938.
Small businesses may request information on complying with this
regulation by contacting Jay Guerber, Marketing Order Administration
Branch, Fruit and Vegetable Programs, AMS, USDA, 1400 Independence
Avenue SW., STOP 0237, Washington, DC 20250-0237; Telephone: (202) 720-
2491, Fax: (202) 720-8938, or E-mail: Jay.Guerber@usda.gov.
SUPPLEMENTARY INFORMATION: This rule is issued under Marketing
Agreement and Order No. 984, both as amended (7 CFR part 984),
hereinafter referred to as the ``order'', regulating the handling of
walnuts grown in the State of California. The marketing agreement and
order are effective pursuant to the Agricultural Marketing Agreement
Act of 1937, as amended (7 U.S.C. 601-674), hereinafter referred to as
the ``Act.''
The Department of Agriculture (USDA) is issuing this rule in
conformance with Executive Order 12866.
This proposal has been reviewed under Executive Order 12988, Civil
Justice Reform. This proposal is not intended to have retroactive
effect. This proposed rule will not preempt any State or local laws,
regulations, or policies, unless they present an irreconcilable
conflict with this proposed rule.
The Act provides that administrative proceedings must be exhausted
before parties may file suit in court. Under section 608c(15)(A) of the
Act, any handler subject to an order may file with USDA a petition
stating that the order, any provision of the order, or any obligation
imposed in connection with the order is not in accordance with law and
request a modification of the order or to be exempted therefrom. A
handler is afforded the opportunity for a hearing on the petition.
After the hearing USDA would rule on the petition. The Act provides
that the district court of the United States in any district in which
the handler is an inhabitant, or has his or her principal place of
business, has jurisdiction to review USDA's ruling on the petition,
provided an action is filed not later than 20 days after the date of
the entry of the ruling.
This rule suspends a provision of the walnut marketing order
(order) pertaining to eligibility of members to serve on the Walnut
Marketing Board (Board). The order regulates the handling of walnuts
grown in California, and the Board is responsible for local
administration of the order. This action is an interim measure to
address a change in industry structure affecting cooperative marketing
association related positions. This will allow the Board to continue to
represent the industry's interests while the order is amended to
reflect the change in industry structure. The Board unanimously
recommended a suspension action by mail balloting in early July, 2005.
Section 984.35 of the order establishes the Board as the
administrative body appointed by USDA to administer the order. That
section also specifies composition of the Board, and allocates seats to
cooperative and independent growers and handlers. The Board is
comprised of ten members and ten alternate members. Two members
represent handlers that are cooperative marketing associations of
growers (cooperative handlers), and two members represent growers who
market their walnuts through cooperative handlers. Two members
represent handlers that are not cooperative marketing associations of
growers (independent handlers), and two members represent growers that
market their walnuts through independent handlers. One member
represents growers that market their walnuts through either cooperative
or independent handlers, whichever category handled over fifty percent
of the walnuts handled by all handlers in the industry in the
immediately preceding two marketing years. In recent years, this Board
position has been allocated to the independent category. One member
represents neither growers nor handlers (public member).
Section 984.38 of the order provides, in part, that no person shall
be selected or continue to serve as a member or alternate member of the
Board unless that person is engaged in the business of the group he or
she was nominated to represent.
A change recently occurred in the walnut industry that impacts
composition of the Board. A large cooperative marketing association
recently converted to a publicly held corporation. The former
cooperative association held two grower and two handler positions on
the Board.
In order to address this change, section 984.38 of the order needs
to be suspended to allow a representative Board to continue in place
while the order is amended to reflect the new industry structure.
Therefore, the Board recommended through a mail ballot vote in early
July, 2005, to suspend the order provision. USDA has reviewed the
recommendation and has determined that suspending Sec. 984.38 of the
order regarding eligibility requirements of Board members will
accomplish that objective. As previously discussed, Sec. 984.38
provides that no person shall be selected or continue to serve as a
member or alternate member of the Board unless that person is engaged
in the business of the group he or she was nominated to represent.
If the eligibility requirements are not suspended, four of the
Board members that represented the cooperative become ineligible to
serve on the Board. However, these members continue to represent a
significant portion of the industry. Suspending the order provision
regarding eligibility of Board members allows a complete Board to
remain in place. This action will enable a Board that is representative
of the walnut industry to continue to administer the order without
disruption while the order is being amended to reflect changes in the
industry structure.
This action suspends Sec. 984.38 of the order entitled
``Eligibility''. This action is in the best interest of handlers and
growers in the California walnut industry as the industry transitions
through a structural change.
Initial Regulatory Flexibility Act
Pursuant to the requirements set forth in the Regulatory
Flexibility Act (RFA), the Agricultural Marketing Service (AMS) has
considered the economic impact of this proposal 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
business subject to such actions in order that small businesses will
not be unduly or disproportionately burdened. Marketing orders issued
pursuant to the Act, and rules issued thereunder, are unique in that
they are brought about through group action of essentially small
entities acting on their own behalf. Thus, both statutes have small
entity orientation and compatibility.
There are approximately 5,000 producers of walnuts in the
production
[[Page 50153]]
area and 50 walnut handlers subject to regulation under the marketing
order. Small agricultural service firms are defined as those whose
annual receipts are less than $6,000,000 and small agricultural
producers have been defined by the Small Business Administration as
those having annual receipts less than $750,000 (13 CFR 121.201).
Industry information from the Walnut Marketing Board indicates that
36 of the 50 walnut handlers, or 72%, shipped less than $6,000,000
worth of walnuts and could be considered small businesses by the Small
Business Administration. In addition, only an estimated 60 producers,
or 1.2%, have annual receipts in excess of $750,000. Based on the
foregoing, the majority of walnut producers and handlers regulated
under the marketing order may be classified as small entities.
This rule suspends provisions of the walnut marketing order (order)
pertaining to eligibility of members to serve on the Walnut Marketing
Board (Board). The order regulates the handling of walnuts grown in
California, and the Board is responsible for local administration of
the order. Specifically, this action suspends Sec. 984.38 of the order
entitled ``Eligibility''.
Due to structural changes in the industry, the order provisions
regarding Board composition no longer accurately reflect the industry
composition. If the eligibility requirements are not suspended, four of
the Board members that represented the cooperative become ineligible to
serve on the Board. However, these members continue to represent a
significant portion of the industry. Suspending the order provision
regarding eligibility of Board members allows a complete Board to
remain in place. This action will enable a Board that still represents
the walnut industry to continue to administer the order without
disruption while the order is being amended to reflect changes in the
industry structure. The Board unanimously recommended suspending order
language by mail balloting in early July, 2005.
Alternatives to this action were considered. One alternative was to
remove the former cooperative members from the Board, which would
result in a 6-member Board. This was not considered a preferred option
because it would limit the size of the Board.
This rule suspends order language pertaining to membership
eligibility on the Walnut Marketing Board. Accordingly, this action
does not impose any additional reporting or recordkeeping requirements,
or any other costs, on either small or large walnut 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. In addition, USDA
has not identified any relevant Federal rules that duplicate, overlap,
or conflict with this rule. Finally, interested persons are invited to
submit information on the regulatory and informational impacts of this
action on small businesses.
A small business guide on complying with fruit, vegetable, and
specialty crop marketing agreements and orders may be viewed at the
following Web site: https://www.ams.usda.gov/fv/moab.html. Any questions
about the compliance guide should be sent to Jay Guerber at the
previously mentioned address in the FOR FURTHER INFORMATION CONTACT
section.
This rule invites comments on suspending order provisions regarding
eligibility of Board members under the California walnut marketing
order. Any comments received will be considered prior to finalization
of this rule.
After consideration of all relevant material presented, including
the Board's recommendation, and other information, it is found that the
order language being suspended, as hereinafter set forth, no longer
tends to effectuate the declared policy of the Act.
Pursuant to 5 U.S.C. 553, it is also found and determined upon good
cause that it is impracticable, unnecessary, and contrary to the public
interest to give preliminary notice prior to putting this rule into
effect and that good cause exists for not postponing the effective date
of this rule until 30 days after publication in the Federal Register
because: (1) The Board unanimously recommended these changes; (2) these
changes are needed to allow a representative Board to remain in place
to administer the order; and (3) this rule provides a 60-day comment
period and any comments timely received will be considered prior to
finalization of this rule.
List of Subjects in 7 CFR Part 984
Walnuts, Marketing agreements, Nuts, Reporting and recordkeeping
requirements.
0
For the reasons set forth in the preamble, 7 CFR part 984 is amended as
follows:
PART 984--WALNUTS GROWN IN CALIFORNIA
0
1. The authority citation for 7 CFR part 984 continues to read as
follows:
Authority: 7 U.S.C. 601-674.
0
2. In part 984, Sec. 984.38 is suspended indefinitely.
Dated: August 23, 2005.
Lloyd C. Day,
Administrator, Agricultural Marketing Service.
[FR Doc. 05-17055 Filed 8-23-05; 4:46 pm]
BILLING CODE 3410-02-P
