Dried Prunes Produced in California; Increased Assessment Rate, 62409-62412 [07-5503]
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62409
Rules and Regulations
Federal Register
Vol. 72, No. 213
Monday, November 5, 2007
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. Prices of
new books are listed in the first FEDERAL
REGISTER issue of each week.
DEPARTMENT OF AGRICULTURE
Animal and Plant Health Inspection
Service
7 CFR Part 301
[Docket No. APHIS–2006–0127]
Asian Longhorned Beetle; Additions to
Quarantined Areas
Animal and Plant Health
Inspection Service, USDA.
ACTION: Affirmation of interim rule as
final rule.
AGENCY:
SUMMARY: We are adopting as a final
rule, without change, an interim rule
that amended the Asian longhorned
beetle regulations by expanding the
boundaries of the quarantined areas in
New Jersey and restricting the interstate
movement of regulated articles from
those areas. The interim rule was
necessary to prevent the spread of the
Asian longhorned beetle to noninfested
areas of the United States.
DATES: Effective on November 5, 2007,
we are adopting as a final rule the
interim rule published at 71 FR 59649–
59651 on October 11, 2006.
FOR FURTHER INFORMATION CONTACT: Mr.
Michael B. Stefan, ALB National
Coordinator, Emergency and Domestic
Programs, PPQ, APHIS, 4700 River Road
Unit 134, Riverdale, MD 20737–1231;
(301) 734–7338.
SUPPLEMENTARY INFORMATION:
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Background
The regulations in 7 CFR 301.51–1
through 301.51–9 (referred to below as
the regulations) restrict the interstate
movement of regulated articles from
quarantined areas to prevent the
artificial spread of the Asian longhorned
beetle (ALB) to noninfested areas of the
United States. Quarantined areas are
listed in § 301.51–3(c) of the regulations.
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In an interim rule 1 effective October
4, 2006, and published in the Federal
Register on October 11, 2006 (71 FR
59649–59651, Docket No. APHIS–2006–
0127), we amended the list of
quarantined areas in § 301.51–3(c) to
include the City of Linden in Union
County, NJ, as well as portions of the
Borough of Roselle, the City of
Elizabeth, and Clark Township, also in
Union County. In addition, we also
expanded the quarantined area in the
City of Carteret in Middlesex County,
NJ.
Comments on the interim rule were
required to be received on or before
December 11, 2006. We received one
comment by that date, from a scientific
organization.
Although the commenter
acknowledged that the regulations allow
us to designate less than an entire State
as a quarantined area, the commenter
suggested that the spread of ALB within
New Jersey was too unpredictable, and
the possible damage too substantive, to
allow us to quarantine less than the
entire State of New Jersey.
We are making no change in response
to this comment. Dispersal and flight
ability studies for ALB indicate that 99
percent of the beetle’s movement occurs
within one-half mile of an infested tree.
The quarantined area within New Jersey
extends approximately 1.5 miles in
every direction from each infested tree.
In addition, State and Federal plant
health authorities have removed highrisk host trees, applied chemical
treatments, and conducted extensive
ground surveys of the quarantined area,
in accordance with guidelines
developed by scientists and program
managers with experience in pest
management and control, and ALB.
APHIS believes that these measures
effectively preclude the natural spread
of ALB from the quarantined area.
In addition, a number of measures
have been taken to prevent the artificial
spread of ALB from the quarantined
area. In the interim rule, we restricted
the interstate movement of regulated
articles from the area. This measure
augmented existing State regulations
restricting the intrastate movement of
regulated articles from a quarantined
area. We have also conducted an
1 To view the interim rule and the comment we
received, go to https://www.regulations.gov/
fdmspublic/component/
main?main=DocketDetail&d=APHIS-2006-0127.
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extensive outreach campaign in the
region around the quarantined area to
educate the public to the dangers posed
by the artificial spread of ALB.
We believe these interlocking
safeguards are adequate to mitigate the
risk of the natural or artificial spread of
ALB from the quarantined area.
Therefore, for the reasons given in the
interim rule and in this document, we
are adopting the interim rule as a final
rule without change.
This action also affirms the
information contained in the interim
rule concerning Executive Order 12866
and the Regulatory Flexibility Act,
Executive Orders 12372 and 12988, and
the Paperwork Reduction Act.
Further, for this action, the Office of
Management and Budget has waived its
review under Executive Order 12866.
List of Subjects in 7 CFR Part 301
Agricultural commodities, Plant
diseases and pests, Quarantine,
Reporting and recordkeeping
requirements, Transportation.
I Accordingly, we are adopting as a
final rule, without change, the interim
rule that amended 7 CFR part 301 and
that was published at 71 FR 59649–
59651 on October 11, 2006.
Done in Washington, DC, this 30th day of
October 2007.
Kevin Shea,
Acting Administrator, Animal and Plant
Health Inspection Service.
[FR Doc. E7–21684 Filed 11–2–07; 8:45 am]
BILLING CODE 3410–34–P
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 993
[Docket No. AMS–FV–07–0103; FV07–993–
1 FR]
Dried Prunes Produced in California;
Increased Assessment Rate
Agricultural Marketing Service,
USDA.
ACTION: Final rule.
AGENCY:
SUMMARY: This rule increases the
assessment rate established for the
Prune Marketing Committee
(Committee) for the 2007–08 and
subsequent crop years from $0.40 to
$0.60 per ton of salable dried prunes.
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Federal Register / Vol. 72, No. 213 / Monday, November 5, 2007 / Rules and Regulations
The Committee locally administers the
marketing order that regulates the
handling of dried prunes in California.
Assessments upon dried prune handlers
are used by the Committee to fund
reasonable and necessary expenses of
the program. The higher assessment rate
is needed to offset an anticipated
decrease in dried prune production this
year. The crop year began August 1 and
ends July 31. The assessment rate will
remain in effect indefinitely unless
modified, suspended, or terminated.
DATES: Effective Date: November 6,
2007.
FOR FURTHER INFORMATION CONTACT:
Terry Vawter, Senior Marketing
Specialist, or Kurt Kimmel, Regional
Manager, California Marketing Field
Office, Marketing Order Administration
Branch, Fruit and Vegetable Programs,
AMS, USDA; Telephone: (559) 487–
5901, Fax: (559) 487–5906; or E-mail:
Terry.Vawter@usda.gov or
Kurt.Kimmel@usda.gov.
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.
This rule
is issued under Marketing Agreement
No. 110 and Marketing Order No. 993,
both as amended (7 CFR part 993),
regulating the handling of dried prunes
grown in California, hereinafter referred
to as the ‘‘order.’’ The marketing
agreement and order are effective under
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 rule has been reviewed under
Executive Order 12988, Civil Justice
Reform. Under the marketing order now
in effect, California dried prune
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 dried prunes beginning on
August 1, 2007, and continue until
amended, suspended, or terminated.
This rule will not preempt any State or
local laws, regulations, or policies,
unless they present an irreconcilable
conflict with this rule.
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SUPPLEMENTARY INFORMATION:
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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 Committee for
the 2007–08 and subsequent crop years
from $0.40 to $0.60 per ton of salable
dried prunes handled.
The California dried prune marketing
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 of the Committee are
producers of California dried prunes.
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 at a public meeting. Thus, all
directly affected persons have an
opportunity to participate and provide
input.
For the 2006–07 and subsequent crop
years, the Committee recommended,
and USDA approved, an assessment rate
that would continue in effect from crop
year to crop year 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 June 28, 2007,
and unanimously recommended an
assessment rate of $0.60 per ton of
salable dried prunes and expenditures
totaling $102,523 for the 2007–08 crop
year. In comparison, last year’s
approved expenses as amended in April
2007 were $77,722. The assessment rate
of $0.60 per ton of salable dried prunes
is $0.20 higher than the rate currently in
effect.
The Committee recommended a
higher assessment rate based on a
production estimate of 95,000 tons of
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salable dried prunes for this year, which
is substantially less than the 187,737
tons produced last year. At this
assessment rate the assessment income
for the 2007–08 crop year is $57,000.
The Committee’s budget of expenses of
$102,523 includes a slight increase in
personnel expenses, and a slight
decrease in operating expenses.
Combined salaries and expenses are
almost two percent higher than last
year, or about $65,580. The Committee
also included $36,943 for contingencies.
Most of the Committee’s expenses
reflect its portion of the joint
administrative costs of the Committee
and the California Dried Plum Board.
Based on the Committee’s reduced
activities in recent years, it is funding
only ten percent of the shared expenses
of the two programs. This funding level
is similar to that of last year. The
Committee believes carryover funds,
plus assessment and interest income, is
adequate to cover its estimated expenses
of $102,523.
The major expenditures
recommended by the Committee for the
2007–08 crop year include $50,505 for
salaries and benefits, $15,075 for
operating expenses, and $36,943 for
contingencies. For the 2006–07 crop
year, the Committee’s budgeted
expenses were $48,662 for salaries and
benefits, $15,895 for operating expenses,
and $13,165 for contingencies.
The assessment rate recommended by
the Committee was derived by dividing
the handler assessment revenue needed
to meet anticipated expenses by the
estimated salable tons of California
dried prunes. Dried prune production
for the year is estimated to be 95,000
salable tons, which should provide
$57,000 in assessment income at $0.60
per ton of salable dried prunes. Income
derived from handler assessments, plus
excess funds from the 2006–07 crop
year should be adequate to cover
budgeted expenses.
The Committee is authorized under
§ 993.81(c) of the order to use excess
assessment funds from the 2006–07 crop
year (currently estimated at $45,423) for
up to 5 months beyond the end of the
crop year to meet 2007–08 crop year
expenses. At the end of the 5 months,
the Committee either refunds or credits
excess funds to handlers.
The assessment rate established in
this 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
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Federal Register / Vol. 72, No. 213 / Monday, November 5, 2007 / Rules and Regulations
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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 will evaluate the Committee’s
recommendations and other available
information to determine whether
modification of the assessment rate is
needed. Further rulemaking will be
undertaken as necessary. The
Committees’ 2007–08 budget and those
for subsequent crop years will be
reviewed and, as appropriate, approved
by USDA.
Final Regulatory Flexibility Analysis
Pursuant to requirements set forth in
the Regulatory Flexibility Act (RFA), 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
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 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 1,100
producers of dried prunes in the
production area and approximately 22
handlers subject to regulation under the
marketing order. The Small Business
Administration (13 CFR 121.201)
defines small agricultural producers as
those whose annual receipts are less
than $750,000, and small agricultural
service firms as those whose annual
receipts are less than $6,500,000.
An estimated 1,068 of the 1,100
producers (97.1 percent) have incomes
of less than $750,000 and are considered
small producers. Fourteen of the 22
handlers (63.6 percent) have incomes
from handling prunes of less than
$6,500,000 and could be considered
small handlers. Therefore, the majority
of handlers and producers of California
dried prunes may be classified as small
entities.
This rule increases the assessment
rate established for the Committee and
collected from handlers for the 2007–08
and subsequent crop years from $0.40 to
$0.60 per ton of salable dried prunes.
The Committee met on June 28, 2007,
and unanimously recommended
estimated expenses for 2007–08 of
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14:32 Nov 02, 2007
Jkt 214001
$102,523 and an increased assessment
rate of $0.60 per ton of salable dried
prunes. The Committee’s recommended
budget was based on a slight increase in
personnel expenses and a slight
decrease in operating expenses.
Combined salaries and expenses are
almost two percent higher than last
year, or about $65,580. The Committee
also included $36,943 for contingencies.
Most of the Committee’s expenses
reflect its portion of the joint
administrative costs of the Committee
and the California Dried Plum Board.
Based on the Committee’s reduced
activities in recent years, it is funding
only ten percent of the shared expenses
of the two programs. This funding level
is similar to that of last year. The
Committee believes carryover funds,
plus assessment and interest income,
are adequate to cover its estimated
expenses of $102,523.
The assessment rate of $0.60 per ton
of salable dried prunes is $0.20 higher
than the rate currently in effect. The
quantity of salable dried prunes for the
2007–08 crop year is currently
estimated at 95,000 tons of salable dried
prunes, compared to 187,737 tons of
salable dried prunes for the 2006–07
crop year.
The major expenditures
recommended by the Committee for the
2007–08 crop year include $50,505 for
salaries and benefits, $15,075 for
operating expenses, and $36,943 for
contingencies. Budgeted expenses for
these items in 2006–07 were $48,662 for
salaries and benefits, $15,895 for
operating expenses, and $13,165 for
contingencies.
The 2007–08 crop year assessment
rate was derived after considering the
handler assessment rate revenue needed
to meet anticipated crop year expenses;
estimated production of salable dried
prunes; and the estimated income from
other sources, such as interest.
Therefore, the Committee recommended
an assessment rate of $0.60 per ton of
salable dried prunes.
Prior to arriving at its budget of
$102,523, the Committee considered
information from various sources,
including the Committee’s Executive
Subcommittee. Alternative assessment
rates, including the rate currently in
effect, and different expenditure levels
were discussed by the subcommittee
and the Committee. An alternative to
this action is to continue with the $0.40
per ton assessment rate. However, an
assessment rate of $0.60 per ton of
salable dried prunes, along with excess
funds from the 2006–07 crop year, is
needed to provide enough income to
fund the Committee’s operations.
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62411
Therefore, the Committee agreed that
$0.60 per ton of salable dried prunes is
an acceptable assessment rate. Section
993.81(c) of the order provides the
Committee the authority to use excess
assessment funds from the 2006–07 crop
year (currently estimated at $45,423) for
up to 5 months beyond the end of the
crop year to meet 2007–08 crop year
expenses. At the end of the 5 months,
the Committee either refunds or credits
excess funds to handlers.
A review of historical information and
preliminary data pertaining to the
upcoming crop year indicates that the
producer price for the 2007–08 crop
year is expected to average between
$1,500 and $1,600 per ton of salable
dried prunes. Based on an estimated
95,000 salable tons of dried prunes,
assessment revenue as a percentage of
producer prices during the 2006–07
crop year is expected to be between .038
and .040 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 producers. However, these costs are
offset by the benefits derived by the
operation of the marketing order. In
addition, the Committee’s meeting was
widely publicized throughout the
California dried prune industry and all
interested persons were invited to
attend the meeting and participate in
Committee deliberations on all issues.
Like all Committee meetings, the June
28, 2007, meeting was a public meeting
and all entities, both large and small,
were able to express views on this issue.
This rule imposes no additional
reporting or recordkeeping requirements
on either small or large California dried
prune 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.
As noted in the initial regulatory
flexibility analysis, USDA has not
identified any relevant Federal rules
that duplicate, overlap, or conflict with
this rule.
A proposed rule concerning this
action was published in the Federal
Register on September 7, 2007 (72 FR
51381). Copies of the proposed rule
were also mailed or sent via facsimile to
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Federal Register / Vol. 72, No. 213 / Monday, November 5, 2007 / Rules and Regulations
all prune handlers. Finally, the proposal
was made available through the Internet
by USDA and the Office of the Federal
Register. A 20-day comment period
ending September 27, 2007, was
provided to allow interested persons to
respond to the proposal. No comments
were received.
A small business guide on complying
with fruit, vegetable, and specialty crop
marketing agreements and orders may
be viewed at: 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.
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.
Pursuant to 5 U.S.C. 553, it also found
and determined that good cause exists
for not postponing the effective date of
this rule until 30 days after publication
in the Federal Register because the
2007–08 crop year began on August 1,
2007, and the marketing order requires
that the rate of assessment for each year
apply to all assessable prunes handled
during the year; and handlers are
already receiving 2007–08 crop prunes
from growers. The Committee needs to
have sufficient funds to meet its
expenses which are incurred on a
continuous basis. Further, handlers are
aware of this rule which was which was
unanimously recommended at a public
meeting. Also, a 20-day comment period
was provided for in the proposed rule
and no comments were received.
List of Subjects in 7 CFR Part 993
Marketing agreements, Plums, Prunes,
Reporting and recordkeeping
requirements.
For the reasons set forth in the
preamble, 7 CFR part 993 is amended as
follows:
I
PART 993—DRIED PRUNES
PRODUCED IN CALIFORNIA
1. The authority citation for 7 CFR
part 993 continues to read as follows:
I
Authority: 7 U.S.C. 601–674.
2. Section 993.347 is revised to read
as follows:
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I
§ 993.347
Assessment rate.
On and after August 1, 2007, an
assessment rate of $0.60 per ton of
salable dried prunes is established for
California dried prunes.
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Dated: October 31, 2007.
Lloyd C. Day,
Administrator, Agricultural Marketing
Service.
[FR Doc. 07–5503 Filed 11–1–07; 8:57 am]
BILLING CODE 3410–02–P
DEPARTMENT OF TRANSPORTATION
Federal Aviation Administration
14 CFR Part 71
[Docket No. FAA–2007–28771; Airspace
Docket No. 07–ACE–8]
Modification of Class E Airspace; Fort
Scott, KS
Federal Aviation
Administration (FAA), DOT.
ACTION: Direct final rule; confirmation of
effective date and correction.
AGENCY:
SUMMARY: This document confirms the
effective date of the direct final rule
which revises Class E airspace at Fort
Scott, KS and corrects the coordinates of
the Fort Scott Nondirectional Beacon
(NDB).
Effective Date: 0901 UTC,
December 20, 2007. The Director of the
Federal Register approves this
incorporation by reference action under
title 1, Code of Federal Regulations, part
51, subject to the annual revision of
FAA Order 7400.9 and publication of
conforming amendments.
FOR FURTHER INFORMATION CONTACT:
Grant Nichols, System Support, DOT
Regional Headquarters Building, Federal
Aviation Administration, 901 Locust,
Kansas City, MO 64106; telephone:
(816) 329–2522.
SUPPLEMENTARY INFORMATION: The FAA
published this direct final rule with a
request for comments in the Federal
Register on Friday, August 10, 2007 (72
FR 44954). The FAA uses the direct
final rulemaking procedure for a noncontroversial rule where the FAA
believes that there will be no adverse
public comment. This direct final rule
advised the public that no adverse
comments were anticipated, and that
unless a written adverse comment, or a
written notice of intent of submit such
an adverse comment, were received
within the comment period, the
regulation would become effective on
December 20, 2007. No adverse
comments were received, and thus this
notice confirms that this direct final rule
will become effective on that date.
Class E airspace areas extending
upward from 700 feet or more above the
surface of the earth are published in
Paragraph 6005 of FAA Order 7400.9R,
DATES:
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Airspace Designations and Reporting
Points, signed August 15, 2007, and
effective September 15, 2007, which is
incorporated by reference in 14 CFR
71.1. The Class E airspace designation
listed in this document will be
published subsequently in the Order.
Correction to Final Rule
In the description of the airspace
contained in the direct final rule, the
coordinates of the Fort Scott NDB were
incorrectly published. This action
makes this editorial correction, which
does not change the airspace
configuration. The FAA is republishing
the entire airspace description.
I Accordingly, pursuant to the authority
delegated to me, the airspace published
in the Federal Register, Friday, August
10, 2007 (72 FR 44954), Airspace Docket
No. 07–ACE–8, page 44955 is corrected
as follows:
§ 71.1
*
[Amended]
*
*
*
*
ACE KS E5 Fort Scott, KS [Corrected]
Fort Scott Municipal Airport, KS
(Lat. 37°47′54″ N., long. 94°46′10″ W.)
Fort Scott NDB
(Lat. 37°47′49″ N., long. 94°45′56″ W.)
That airspace extending upward from 700
feet above the surface within a 7.0-mile
radius of Fort Scott Municipal Airport and
within 2.6 miles each side of the 350° bearing
from Fort Scott NDB extending from the 7.0mile radius of the airport to 7 miles north of
the NDB.
*
*
*
*
*
Issued in Fort Worth, Texas on October 24,
2007.
Richard H. Farrell, III,
Acting Manager, System Support Group, ATO
Central Service Center.
[FR Doc. 07–5454 Filed 11–2–07; 8:45 am]
BILLING CODE 4910–13–M
DEPARTMENT OF DEFENSE
Department of the Navy
32 CFR Part 706
Certifications and Exemptions Under
the International Regulations for
Preventing Collisions at Sea, 1972
Department of the Navy, DOD.
Final rule.
AGENCY:
ACTION:
SUMMARY: The Department of the Navy
is amending its certifications and
exemptions under the International
Regulations for Preventing Collisions at
Sea, 1972 (72 COLREGS), to reflect that
the Deputy Assistant Judge Advocate
General (Admiralty and Maritime Law)
has determined that USS STERETT
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]]>Agencies
[Federal Register Volume 72, Number 213 (Monday, November 5, 2007)]
[Rules and Regulations]
[Pages 62409-62412]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 07-5503]
-----------------------------------------------------------------------
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 993
[Docket No. AMS-FV-07-0103; FV07-993-1 FR]
Dried Prunes Produced in California; Increased Assessment Rate
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: This rule increases the assessment rate established for the
Prune Marketing Committee (Committee) for the 2007-08 and subsequent
crop years from $0.40 to $0.60 per ton of salable dried prunes.
[[Page 62410]]
The Committee locally administers the marketing order that regulates
the handling of dried prunes in California. Assessments upon dried
prune handlers are used by the Committee to fund reasonable and
necessary expenses of the program. The higher assessment rate is needed
to offset an anticipated decrease in dried prune production this year.
The crop year began August 1 and ends July 31. The assessment rate will
remain in effect indefinitely unless modified, suspended, or
terminated.
DATES: Effective Date: November 6, 2007.
FOR FURTHER INFORMATION CONTACT: Terry Vawter, Senior Marketing
Specialist, or Kurt Kimmel, Regional Manager, California Marketing
Field Office, Marketing Order Administration Branch, Fruit and
Vegetable Programs, AMS, USDA; Telephone: (559) 487-5901, Fax: (559)
487-5906; or E-mail: Terry.Vawter@usda.gov or Kurt.Kimmel@usda.gov.
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 No. 110 and Marketing Order No. 993, both as amended (7 CFR
part 993), regulating the handling of dried prunes grown in California,
hereinafter referred to as the ``order.'' The marketing agreement and
order are effective under 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 rule has been reviewed under Executive Order 12988, Civil
Justice Reform. Under the marketing order now in effect, California
dried prune 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
dried prunes beginning on August 1, 2007, and continue until amended,
suspended, or terminated. This rule will not preempt any State or local
laws, regulations, or policies, unless they present an irreconcilable
conflict with this 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. 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
Committee for the 2007-08 and subsequent crop years from $0.40 to $0.60
per ton of salable dried prunes handled.
The California dried prune marketing 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 of the Committee are producers of California dried
prunes. 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 at a public meeting. Thus, all
directly affected persons have an opportunity to participate and
provide input.
For the 2006-07 and subsequent crop years, the Committee
recommended, and USDA approved, an assessment rate that would continue
in effect from crop year to crop year 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 June 28, 2007, and unanimously recommended an
assessment rate of $0.60 per ton of salable dried prunes and
expenditures totaling $102,523 for the 2007-08 crop year. In
comparison, last year's approved expenses as amended in April 2007 were
$77,722. The assessment rate of $0.60 per ton of salable dried prunes
is $0.20 higher than the rate currently in effect.
The Committee recommended a higher assessment rate based on a
production estimate of 95,000 tons of salable dried prunes for this
year, which is substantially less than the 187,737 tons produced last
year. At this assessment rate the assessment income for the 2007-08
crop year is $57,000. The Committee's budget of expenses of $102,523
includes a slight increase in personnel expenses, and a slight decrease
in operating expenses. Combined salaries and expenses are almost two
percent higher than last year, or about $65,580. The Committee also
included $36,943 for contingencies. Most of the Committee's expenses
reflect its portion of the joint administrative costs of the Committee
and the California Dried Plum Board. Based on the Committee's reduced
activities in recent years, it is funding only ten percent of the
shared expenses of the two programs. This funding level is similar to
that of last year. The Committee believes carryover funds, plus
assessment and interest income, is adequate to cover its estimated
expenses of $102,523.
The major expenditures recommended by the Committee for the 2007-08
crop year include $50,505 for salaries and benefits, $15,075 for
operating expenses, and $36,943 for contingencies. For the 2006-07 crop
year, the Committee's budgeted expenses were $48,662 for salaries and
benefits, $15,895 for operating expenses, and $13,165 for
contingencies.
The assessment rate recommended by the Committee was derived by
dividing the handler assessment revenue needed to meet anticipated
expenses by the estimated salable tons of California dried prunes.
Dried prune production for the year is estimated to be 95,000 salable
tons, which should provide $57,000 in assessment income at $0.60 per
ton of salable dried prunes. Income derived from handler assessments,
plus excess funds from the 2006-07 crop year should be adequate to
cover budgeted expenses.
The Committee is authorized under Sec. 993.81(c) of the order to
use excess assessment funds from the 2006-07 crop year (currently
estimated at $45,423) for up to 5 months beyond the end of the crop
year to meet 2007-08 crop year expenses. At the end of the 5 months,
the Committee either refunds or credits excess funds to handlers.
The assessment rate established in this 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
[[Page 62411]]
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 will evaluate
the Committee's recommendations and other available information to
determine whether modification of the assessment rate is needed.
Further rulemaking will be undertaken as necessary. The Committees'
2007-08 budget and those for subsequent crop years will be reviewed
and, as appropriate, approved by USDA.
Final Regulatory Flexibility Analysis
Pursuant to requirements set forth in the Regulatory Flexibility
Act (RFA), 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
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 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 1,100 producers of dried prunes in the
production area and approximately 22 handlers subject to regulation
under the marketing order. The Small Business Administration (13 CFR
121.201) defines small agricultural producers as those whose annual
receipts are less than $750,000, and small agricultural service firms
as those whose annual receipts are less than $6,500,000.
An estimated 1,068 of the 1,100 producers (97.1 percent) have
incomes of less than $750,000 and are considered small producers.
Fourteen of the 22 handlers (63.6 percent) have incomes from handling
prunes of less than $6,500,000 and could be considered small handlers.
Therefore, the majority of handlers and producers of California dried
prunes may be classified as small entities.
This rule increases the assessment rate established for the
Committee and collected from handlers for the 2007-08 and subsequent
crop years from $0.40 to $0.60 per ton of salable dried prunes.
The Committee met on June 28, 2007, and unanimously recommended
estimated expenses for 2007-08 of $102,523 and an increased assessment
rate of $0.60 per ton of salable dried prunes. The Committee's
recommended budget was based on a slight increase in personnel expenses
and a slight decrease in operating expenses. Combined salaries and
expenses are almost two percent higher than last year, or about
$65,580. The Committee also included $36,943 for contingencies. Most of
the Committee's expenses reflect its portion of the joint
administrative costs of the Committee and the California Dried Plum
Board. Based on the Committee's reduced activities in recent years, it
is funding only ten percent of the shared expenses of the two programs.
This funding level is similar to that of last year. The Committee
believes carryover funds, plus assessment and interest income, are
adequate to cover its estimated expenses of $102,523.
The assessment rate of $0.60 per ton of salable dried prunes is
$0.20 higher than the rate currently in effect. The quantity of salable
dried prunes for the 2007-08 crop year is currently estimated at 95,000
tons of salable dried prunes, compared to 187,737 tons of salable dried
prunes for the 2006-07 crop year.
The major expenditures recommended by the Committee for the 2007-08
crop year include $50,505 for salaries and benefits, $15,075 for
operating expenses, and $36,943 for contingencies. Budgeted expenses
for these items in 2006-07 were $48,662 for salaries and benefits,
$15,895 for operating expenses, and $13,165 for contingencies.
The 2007-08 crop year assessment rate was derived after considering
the handler assessment rate revenue needed to meet anticipated crop
year expenses; estimated production of salable dried prunes; and the
estimated income from other sources, such as interest. Therefore, the
Committee recommended an assessment rate of $0.60 per ton of salable
dried prunes.
Prior to arriving at its budget of $102,523, the Committee
considered information from various sources, including the Committee's
Executive Subcommittee. Alternative assessment rates, including the
rate currently in effect, and different expenditure levels were
discussed by the subcommittee and the Committee. An alternative to this
action is to continue with the $0.40 per ton assessment rate. However,
an assessment rate of $0.60 per ton of salable dried prunes, along with
excess funds from the 2006-07 crop year, is needed to provide enough
income to fund the Committee's operations.
Therefore, the Committee agreed that $0.60 per ton of salable dried
prunes is an acceptable assessment rate. Section 993.81(c) of the order
provides the Committee the authority to use excess assessment funds
from the 2006-07 crop year (currently estimated at $45,423) for up to 5
months beyond the end of the crop year to meet 2007-08 crop year
expenses. At the end of the 5 months, the Committee either refunds or
credits excess funds to handlers.
A review of historical information and preliminary data pertaining
to the upcoming crop year indicates that the producer price for the
2007-08 crop year is expected to average between $1,500 and $1,600 per
ton of salable dried prunes. Based on an estimated 95,000 salable tons
of dried prunes, assessment revenue as a percentage of producer prices
during the 2006-07 crop year is expected to be between .038 and .040
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 producers. However, these costs
are offset by the benefits derived by the operation of the marketing
order. In addition, the Committee's meeting was widely publicized
throughout the California dried prune industry and all interested
persons were invited to attend the meeting and participate in Committee
deliberations on all issues. Like all Committee meetings, the June 28,
2007, meeting was a public meeting and all entities, both large and
small, were able to express views on this issue.
This rule imposes no additional reporting or recordkeeping
requirements on either small or large California dried prune 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.
As noted in the initial regulatory flexibility analysis, USDA has
not identified any relevant Federal rules that duplicate, overlap, or
conflict with this rule.
A proposed rule concerning this action was published in the Federal
Register on September 7, 2007 (72 FR 51381). Copies of the proposed
rule were also mailed or sent via facsimile to
[[Page 62412]]
all prune handlers. Finally, the proposal was made available through
the Internet by USDA and the Office of the Federal Register. A 20-day
comment period ending September 27, 2007, was provided to allow
interested persons to respond to the proposal. No comments were
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/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.
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.
Pursuant to 5 U.S.C. 553, it also found and determined that good
cause exists for not postponing the effective date of this rule until
30 days after publication in the Federal Register because the 2007-08
crop year began on August 1, 2007, and the marketing order requires
that the rate of assessment for each year apply to all assessable
prunes handled during the year; and handlers are already receiving
2007-08 crop prunes from growers. The Committee needs to have
sufficient funds to meet its expenses which are incurred on a
continuous basis. Further, handlers are aware of this rule which was
which was unanimously recommended at a public meeting. Also, a 20-day
comment period was provided for in the proposed rule and no comments
were received.
List of Subjects in 7 CFR Part 993
Marketing agreements, Plums, Prunes, Reporting and recordkeeping
requirements.
0
For the reasons set forth in the preamble, 7 CFR part 993 is amended as
follows:
PART 993--DRIED PRUNES PRODUCED IN CALIFORNIA
0
1. The authority citation for 7 CFR part 993 continues to read as
follows:
Authority: 7 U.S.C. 601-674.
0
2. Section 993.347 is revised to read as follows:
Sec. 993.347 Assessment rate.
On and after August 1, 2007, an assessment rate of $0.60 per ton of
salable dried prunes is established for California dried prunes.
Dated: October 31, 2007.
Lloyd C. Day,
Administrator, Agricultural Marketing Service.
[FR Doc. 07-5503 Filed 11-1-07; 8:57 am]
BILLING CODE 3410-02-P
