Domestic Dates Produced or Packed in Riverside County, CA; Decreased Assessment Rate, 3377-3379 [E8-878]
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3377
Rules and Regulations
Federal Register
Vol. 73, No. 13
Friday, January 18, 2008
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
Agricultural Marketing Service
7 CFR Part 987
[Docket No. AMS–FV–07–0104; FV07–987–
1 FIR]
Domestic Dates Produced or Packed in
Riverside County, CA; Decreased
Assessment Rate
Agricultural Marketing Service,
USDA.
ACTION: Final rule.
rfrederick on PROD1PC67 with RULES
AGENCY:
SUMMARY: The Department of
Agriculture (USDA) is adopting, as a
final rule, without change, an interim
final rule which decreased the
assessment rate established for the
California Date Administrative
Committee (committee) for the 2007–08
and subsequent crop years from $0.95 to
$0.75 per hundredweight of dates
handled. The committee locally
administers the marketing order which
regulates the handling of dates grown or
packed in Riverside County, California.
Assessments upon date handlers are
used by the committee to fund
reasonable and necessary expenses of
the program. The crop year began
October 1 and ends September 30. The
assessment rate will remain in effect
indefinitely unless modified,
suspended, or terminated.
DATES: Effective Date: February 19,
2008.
FOR FURTHER INFORMATION CONTACT:
Terry Vawter, Senior Marketing
Specialist, or Kurt J. 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
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14:58 Jan 17, 2008
Jkt 214001
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 Order No.
987, as amended (7 CFR part 987),
regulating the handling of dates grown
or packed in Riverside County,
California, hereinafter referred to as the
‘‘order.’’ 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.’’
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 date 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 dates
beginning October 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 continues in effect the
action that decreased the assessment
rate established for the committee for
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Fmt 4700
Sfmt 4700
the 2007–08 and subsequent crop years
from $0.95 per to $0.75 per
hundredweight of dates.
The California date 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 and
handlers of California dates. 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 2005–06 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 21, 2007,
and unanimously recommended 2007–
08 expenditures of $209,182 and an
assessment rate of $0.75 per
hundredweight of California dates. In
comparison, last year’s budgeted
expenditures were $127,485. The
assessment rate of $0.75 is $0.20 lower
than the rate currently in effect. The
committee believes that the assessment
rate should be reduced, because the
2006–07 crop was 3 million pounds
larger than expected, resulting in
$105,652 in accumulated cash reserves
available for 2007–08 expenditures.
Section 987.72(c) states that the reserve
may not exceed 50 percent of the
average of expenses incurred during the
most recent five preceding crop years.
The committee believes the decreased
assessment rate will allow it to reduce
the amount it holds in cash reserves to
$30,115, by September 30, 2008, the end
of the 2007–08 crop year. That reserve
amount would be within the limits
provided in § 987.72(c).
Proceeds from sales of cull dates are
deposited in a surplus account for
subsequent use by the committee in
covering the surplus pool share of the
committee’s expenses. Handlers may
also dispose of cull dates of their own
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3378
Federal Register / Vol. 73, No. 13 / Friday, January 18, 2008 / Rules and Regulations
production within their own livestockfeeding operation; otherwise, such cull
dates must be shipped or delivered to
the committee for sale to non-human
food product outlets. Pursuant to
§ 987.72(b), the committee is authorized
to temporarily use funds derived from
assessments to defray expenses incurred
in disposing of surplus dates. All such
expenses are required to be deducted
from proceeds obtained by the
committee from the disposal of surplus
dates. For the 2007–08 crop year, the
committee estimated that $2,000 from
the surplus account would be needed
temporarily to defray committee
expenses incurred in disposing of
surplus dates.
The major expenditures
recommended by the committee for the
2007–08 crop year include $87,312 for
general and administrative programs,
$67,870 for promotional programs,
$24,000 for marketing and media
consulting, $5,000 for moving expenses,
and $5,000 for updating marketing
materials. The committee also budgeted
$20,000 as a contingency reserve for
other marketing and promotion projects
that it may wish to support later in the
year.
By comparison, expenditures for the
2006–07 crop year were $127,485. Major
expenditures recommended by the
committee included $75,095 for general
and administrative expenses, $22,390
for promotional expenses, and $30,000
for date nutritional analysis.
The assessment rate of $0.75 per
hundredweight of assessable dates was
derived by applying the following
formula where:
A= 2006–07 reserve on 10/1/07
($105,652);
B= 2007–08 reserve on 9/30/07
($30,115);
C= 2007–08 expenses ($209,182);
D= Cull Surplus Fund ($2,000);
E= Assessment Refund ($10,855); and
F= 2007–08 expected shipments
(190,000 hundredweight).
(B¥A+C¥D+E)/F.
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 is
effective for an indefinite period, the
committee will continue to meet prior to
or during each crop year to recommend
a budget of expenses and consider
recommendations for modification of
the assessment rate. The dates and times
of committee meetings are available
from the committee or USDA.
Committee meetings are open to the
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14:58 Jan 17, 2008
Jkt 214001
public and interested persons may
express their views at these meetings.
USDA will evaluate committee
recommendations and other available
information to determine whether
modification of the assessment rate is
needed. Further rulemaking will be
undertaken as necessary. The
committee’s 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 124
producers of dates in the production
area and approximately 10 handlers
subject to regulation under the
marketing order. The Small Business
Administration (SBA) (13 CFR 121.201)
defines small agricultural producers as
those having annual receipts of less than
$750,000, and small agricultural service
firms are defined as those having annual
receipts of less than $6,500,000.
An industry profile shows that four of
the 10 handlers (40 percent) had date
sales over $6,500,000 and could be
considered large handlers by the SBA.
Six of the 10 handlers (60 percent) had
date sales of less than $6,500,000 and
could be considered small handlers. An
estimated 7 producers, or less than 6
percent, of the 124 total producers,
would be considered large producers
with annual incomes over $750,000.
The remaining producers have incomes
less than $750,000. The majority of
handlers and producers of California
dates may be classified as small entities.
This rule continues in effect the
action that decreased the assessment
rate established for the committee and
collected from handlers for the 2007–08
and subsequent crop years from $0.95 to
$0.75 per hundredweight of dates
handled. The committee unanimously
recommended 2007–08 expenditures of
$209,182 and an assessment rate of
$0.75 per hundredweight of dates,
which is $0.20 lower than the 2005–06
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Frm 00002
Fmt 4700
Sfmt 4700
rate, currently in effect. The committee
recommended decreasing the
assessment rate to reduce its cash
reserve levels.
The quantity of assessable dates for
the 2007–08 crop year is estimated at
19,000,000 pounds. Thus, the $0.75 rate
should provide $142,500 in assessment
income and, with reserve funds of
$105,652 and the $2,000 contribution
from the surplus program, will be
adequate to meet the 2007–08 crop year
expenses.
The major expenditures
recommended by the committee for the
2007–08 crop year include $87,312 for
general and administrative programs,
$67,870 for promotional programs,
$24,000 for marketing and media
consulting, $5,000 for moving expenses,
and $5,000 for updating marketing
materials. The committee also budgeted
$20,000 as a contingency reserve for
other marketing and promotion projects
that it may wish to support later in the
year.
The committee recommended a
reduced assessment rate because the
unanticipated increased date production
during the 2006–07 crop year resulted
in a larger carry-in of funds than the
committee prefers. The decrease in the
assessment rate would allow the
committee to reduce its cash reserves to
an appropriate level.
The committee reviewed and
unanimously recommended 2007–08
crop year expenditures of $209,182.
Prior to arriving at this budget, the
committee considered information from
various sources, such as the committee’s
Marketing Subcommittee. Alternative
expenditure levels were an option
available to the committee, but given the
windfall from the larger-than-expected
2006–07 crop, it was ultimately
determined that a $209,182 budget
would be most beneficial to the
industry. The assessment rate of $0.75
per hundredweight of dates was then
derived, based upon the committee’s
estimates of the available reserve,
income, handler assessment refund, and
anticipated expenses.
A review of historical information and
preliminary information pertaining to
the 2007–08 crop year indicates that the
grower price for the 2007–08 crop year
could range between $45 and $50 per
hundredweight of dates. Therefore, the
estimated assessment revenue for the
2007–08 crop year as a percentage of
total grower revenue is approximately
1.67 to 1.5 percent, respectively.
This action continues in effect the
action that decreased the assessment
obligation imposed on handlers.
Assessments are applied uniformly on
all handlers, and some of the costs may
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Federal Register / Vol. 73, No. 13 / Friday, January 18, 2008 / Rules and Regulations
be passed on to producers. However,
decreasing the assessment rate reduces
the burden on handlers, and may reduce
the burden on producers. In addition,
the committee’s meeting was widely
publicized throughout the California
date 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 21, 2007 meeting was
a public meeting and all entities, both
large and small, were able to express
views on this issue.
This action imposes no additional
reporting or recordkeeping requirements
on either small or large California date
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, as noted in
the initial regulatory flexibility analysis,
USDA has not identified any relevant
Federal rules that duplicate, overlap or
conflict with this 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.
USDA has not identified any relevant
Federal rules that duplicate, overlap, or
conflict with this rule.
An interim final rule concerning this
action was published in the Federal
Register on September 7, 2007 (72 FR
51354). Copies of that rule were also
mailed or sent via facsimile to all date
handlers. Finally, the interim final rule
was made available through the Internet
by USDA and the Office of the Federal
Register. A 60-day comment period was
provided for interested persons to
respond to the interim final rule. The
comment period ended on November 6,
2007, and 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.
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14:58 Jan 17, 2008
Jkt 214001
List of Subjects in 7 CFR Part 987
Dates, Marketing agreements,
Reporting and recordkeeping
requirements.
PART 987—DATES PRODUCED OR
PACKED IN RIVERSIDE COUNTY,
CALIFORNIA
Accordingly, the interim final rule
amending 7 CFR part 987 which was
published at 72 FR 51354 on September
7, 2007, is adopted as a final rule
without change.
I
Dated: January 15, 2008.
Lloyd C. Day,
Administrator, Agricultural Marketing
Service.
[FR Doc. E8–878 Filed 1–17–08; 8:45 am]
BILLING CODE 3410–02–P
DEPARTMENT OF AGRICULTURE
Animal and Plant Health Inspection
Service
9 CFR Parts 93, 94, and 95
[Docket No. APHIS–2006–0026]
RIN 0579–AC45
Bovine Spongiform Encephalopathy;
Minimal-Risk Regions; Identification of
Ruminants, and Processing and
Importation of Commodities
Animal and Plant Health
Inspection Service, USDA.
ACTION: Final rule.
AGENCY:
SUMMARY: We are amending the
regulations regarding the importation of
animals and animal products to remove
several restrictions regarding the
identification of animals and the
processing of ruminant materials from
regions that present a minimal risk of
introducing bovine spongiform
encephalopathy into the United States.
We are removing these restrictions
because they are not necessary to
prevent the introduction of bovine
spongiform encephalopathy into the
United States.
DATES: Effective Date: February 19,
2008.
For
information regarding ruminant
products, contact Dr. Karen JamesPreston, Director, Technical Trade
Services, Animal Products, National
Center for Import and Export, VS,
APHIS, 4700 River Road, Unit 38,
Riverdale, MD 20737–1231; (301) 734–
4356.
For information concerning live
ruminants, contact Dr. Freeda Isaac,
FOR FURTHER INFORMATION CONTACT:
PO 00000
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Fmt 4700
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3379
Director, AOVSA, National Center for
Import and Export, VS, APHIS, 4700
River Road, Unit 39, Riverdale, MD
20737–1231; (301) 734–8364.
SUPPLEMENTARY INFORMATION:
Background
The Animal and Plant Health
Inspection Service (APHIS) of the
United States Department of Agriculture
regulates the importation of animals and
animal products into the United States
to guard against the introduction of
animal diseases not currently present or
prevalent in this country. The
regulations in 9 CFR parts 93, 94, and
95 prohibit or restrict the importation
into the United States of specified
animals and animal products to prevent
the introduction into the United States
of various animal diseases, including
bovine spongiform encephalopathy
(BSE).
In a final rule published in the
Federal Register on January 4, 2005 (70
FR 460–553, Docket No. 03–080–3), we
amended the regulations regarding the
importation of animals and animal
products to establish a category of
regions that present a minimal risk of
introducing BSE into the United States
via live ruminants and ruminant
products and byproducts, and added
Canada to this category. We also
established conditions for the
importation of certain live ruminants
and ruminant products and byproducts
from such regions. These regulations are
in 9 CFR parts 93, 94, 95, and 96.
On November 28, 2005, we published
in the Federal Register an interim rule
(70 FR 71213–71218, Docket No. 03–
080–8) that (1) broadened who is
authorized to break the seals on a means
of conveyance carrying certain
ruminants from Canada and (2)
amended the provisions regarding the
transiting through the United States of
certain ruminant products from Canada
to allow for limited direct transloading
of the products from one means of
conveyance to another in the United
States.
On March 14, 2006, we published in
the Federal Register a technical
amendment (71 FR 12994–12998,
Docket No. 03–080–9) that clarified our
intent with regard to certain provisions
in the January 2005 final rule and
corrected several inconsistencies within
the rule.
On August 9, 2006, we published in
the Federal Register a proposed rule 1
(71 FR 45439–45444, Docket No.
1 To view the proposed rule and the comments
we received, go to https://www.regulations.gov/
fdmspublic/component/
main?main=DocketDetail&d=APHIS-2006-0026.
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Agencies
[Federal Register Volume 73, Number 13 (Friday, January 18, 2008)]
[Rules and Regulations]
[Pages 3377-3379]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E8-878]
========================================================================
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.
Prices of new books are listed in the first FEDERAL REGISTER issue of each
week.
========================================================================
Federal Register / Vol. 73, No. 13 / Friday, January 18, 2008 / Rules
and Regulations
[[Page 3377]]
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 987
[Docket No. AMS-FV-07-0104; FV07-987-1 FIR]
Domestic Dates Produced or Packed in Riverside County, CA;
Decreased Assessment Rate
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: The Department of Agriculture (USDA) is adopting, as a final
rule, without change, an interim final rule which decreased the
assessment rate established for the California Date Administrative
Committee (committee) for the 2007-08 and subsequent crop years from
$0.95 to $0.75 per hundredweight of dates handled. The committee
locally administers the marketing order which regulates the handling of
dates grown or packed in Riverside County, California. Assessments upon
date handlers are used by the committee to fund reasonable and
necessary expenses of the program. The crop year began October 1 and
ends September 30. The assessment rate will remain in effect
indefinitely unless modified, suspended, or terminated.
DATES: Effective Date: February 19, 2008.
FOR FURTHER INFORMATION CONTACT: Terry Vawter, Senior Marketing
Specialist, or Kurt J. 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 Order
No. 987, as amended (7 CFR part 987), regulating the handling of dates
grown or packed in Riverside County, California, hereinafter referred
to as the ``order.'' 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.''
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
date 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 dates
beginning October 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 continues in effect the action that decreased the
assessment rate established for the committee for the 2007-08 and
subsequent crop years from $0.95 per to $0.75 per hundredweight of
dates.
The California date 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 and handlers of
California dates. 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 2005-06 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 21, 2007, and unanimously recommended
2007-08 expenditures of $209,182 and an assessment rate of $0.75 per
hundredweight of California dates. In comparison, last year's budgeted
expenditures were $127,485. The assessment rate of $0.75 is $0.20 lower
than the rate currently in effect. The committee believes that the
assessment rate should be reduced, because the 2006-07 crop was 3
million pounds larger than expected, resulting in $105,652 in
accumulated cash reserves available for 2007-08 expenditures. Section
987.72(c) states that the reserve may not exceed 50 percent of the
average of expenses incurred during the most recent five preceding crop
years. The committee believes the decreased assessment rate will allow
it to reduce the amount it holds in cash reserves to $30,115, by
September 30, 2008, the end of the 2007-08 crop year. That reserve
amount would be within the limits provided in Sec. 987.72(c).
Proceeds from sales of cull dates are deposited in a surplus
account for subsequent use by the committee in covering the surplus
pool share of the committee's expenses. Handlers may also dispose of
cull dates of their own
[[Page 3378]]
production within their own livestock-feeding operation; otherwise,
such cull dates must be shipped or delivered to the committee for sale
to non-human food product outlets. Pursuant to Sec. 987.72(b), the
committee is authorized to temporarily use funds derived from
assessments to defray expenses incurred in disposing of surplus dates.
All such expenses are required to be deducted from proceeds obtained by
the committee from the disposal of surplus dates. For the 2007-08 crop
year, the committee estimated that $2,000 from the surplus account
would be needed temporarily to defray committee expenses incurred in
disposing of surplus dates.
The major expenditures recommended by the committee for the 2007-08
crop year include $87,312 for general and administrative programs,
$67,870 for promotional programs, $24,000 for marketing and media
consulting, $5,000 for moving expenses, and $5,000 for updating
marketing materials. The committee also budgeted $20,000 as a
contingency reserve for other marketing and promotion projects that it
may wish to support later in the year.
By comparison, expenditures for the 2006-07 crop year were
$127,485. Major expenditures recommended by the committee included
$75,095 for general and administrative expenses, $22,390 for
promotional expenses, and $30,000 for date nutritional analysis.
The assessment rate of $0.75 per hundredweight of assessable dates
was derived by applying the following formula where:
A= 2006-07 reserve on 10/1/07 ($105,652);
B= 2007-08 reserve on 9/30/07 ($30,115);
C= 2007-08 expenses ($209,182);
D= Cull Surplus Fund ($2,000);
E= Assessment Refund ($10,855); and
F= 2007-08 expected shipments (190,000 hundredweight).
(B-A+C-D+E)/F.
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 is effective for an indefinite
period, the committee will continue to meet prior to or during each
crop year to recommend a budget of expenses and consider
recommendations for modification of the assessment rate. The dates and
times of committee meetings are available from the committee or USDA.
Committee meetings are open to the public and interested persons may
express their views at these meetings. USDA will evaluate committee
recommendations and other available information to determine whether
modification of the assessment rate is needed. Further rulemaking will
be undertaken as necessary. The committee's 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 124 producers of dates in the production
area and approximately 10 handlers subject to regulation under the
marketing order. The Small Business Administration (SBA) (13 CFR
121.201) defines small agricultural producers as those having annual
receipts of less than $750,000, and small agricultural service firms
are defined as those having annual receipts of less than $6,500,000.
An industry profile shows that four of the 10 handlers (40 percent)
had date sales over $6,500,000 and could be considered large handlers
by the SBA. Six of the 10 handlers (60 percent) had date sales of less
than $6,500,000 and could be considered small handlers. An estimated 7
producers, or less than 6 percent, of the 124 total producers, would be
considered large producers with annual incomes over $750,000. The
remaining producers have incomes less than $750,000. The majority of
handlers and producers of California dates may be classified as small
entities.
This rule continues in effect the action that decreased the
assessment rate established for the committee and collected from
handlers for the 2007-08 and subsequent crop years from $0.95 to $0.75
per hundredweight of dates handled. The committee unanimously
recommended 2007-08 expenditures of $209,182 and an assessment rate of
$0.75 per hundredweight of dates, which is $0.20 lower than the 2005-06
rate, currently in effect. The committee recommended decreasing the
assessment rate to reduce its cash reserve levels.
The quantity of assessable dates for the 2007-08 crop year is
estimated at 19,000,000 pounds. Thus, the $0.75 rate should provide
$142,500 in assessment income and, with reserve funds of $105,652 and
the $2,000 contribution from the surplus program, will be adequate to
meet the 2007-08 crop year expenses.
The major expenditures recommended by the committee for the 2007-08
crop year include $87,312 for general and administrative programs,
$67,870 for promotional programs, $24,000 for marketing and media
consulting, $5,000 for moving expenses, and $5,000 for updating
marketing materials. The committee also budgeted $20,000 as a
contingency reserve for other marketing and promotion projects that it
may wish to support later in the year.
The committee recommended a reduced assessment rate because the
unanticipated increased date production during the 2006-07 crop year
resulted in a larger carry-in of funds than the committee prefers. The
decrease in the assessment rate would allow the committee to reduce its
cash reserves to an appropriate level.
The committee reviewed and unanimously recommended 2007-08 crop
year expenditures of $209,182. Prior to arriving at this budget, the
committee considered information from various sources, such as the
committee's Marketing Subcommittee. Alternative expenditure levels were
an option available to the committee, but given the windfall from the
larger-than-expected 2006-07 crop, it was ultimately determined that a
$209,182 budget would be most beneficial to the industry. The
assessment rate of $0.75 per hundredweight of dates was then derived,
based upon the committee's estimates of the available reserve, income,
handler assessment refund, and anticipated expenses.
A review of historical information and preliminary information
pertaining to the 2007-08 crop year indicates that the grower price for
the 2007-08 crop year could range between $45 and $50 per hundredweight
of dates. Therefore, the estimated assessment revenue for the 2007-08
crop year as a percentage of total grower revenue is approximately 1.67
to 1.5 percent, respectively.
This action continues in effect the action that decreased the
assessment obligation imposed on handlers. Assessments are applied
uniformly on all handlers, and some of the costs may
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be passed on to producers. However, decreasing the assessment rate
reduces the burden on handlers, and may reduce the burden on producers.
In addition, the committee's meeting was widely publicized throughout
the California date 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 21, 2007 meeting was a
public meeting and all entities, both large and small, were able to
express views on this issue.
This action imposes no additional reporting or recordkeeping
requirements on either small or large California date 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, as
noted in the initial regulatory flexibility analysis, USDA has not
identified any relevant Federal rules that duplicate, overlap or
conflict with this 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.
USDA has not identified any relevant Federal rules that duplicate,
overlap, or conflict with this rule.
An interim final rule concerning this action was published in the
Federal Register on September 7, 2007 (72 FR 51354). Copies of that
rule were also mailed or sent via facsimile to all date handlers.
Finally, the interim final rule was made available through the Internet
by USDA and the Office of the Federal Register. A 60-day comment period
was provided for interested persons to respond to the interim final
rule. The comment period ended on November 6, 2007, and 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.
List of Subjects in 7 CFR Part 987
Dates, Marketing agreements, Reporting and recordkeeping
requirements.
PART 987--DATES PRODUCED OR PACKED IN RIVERSIDE COUNTY, CALIFORNIA
0
Accordingly, the interim final rule amending 7 CFR part 987 which was
published at 72 FR 51354 on September 7, 2007, is adopted as a final
rule without change.
Dated: January 15, 2008.
Lloyd C. Day,
Administrator, Agricultural Marketing Service.
[FR Doc. E8-878 Filed 1-17-08; 8:45 am]
BILLING CODE 3410-02-P