Pears Grown in Oregon and Washington; Increased Assessment Rate, 52665-52667 [E9-24681]
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52665
Rules and Regulations
Federal Register
Vol. 74, No. 197
Wednesday, October 14, 2009
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 927
[Doc. No. AMS–FV–09–0037; FV09–927–1
FR]
Pears Grown in Oregon and
Washington; Increased Assessment
Rate
cprice-sewell on DSK2BSOYB1PROD with RULES
AGENCY: Agricultural Marketing Service,
USDA.
ACTION: Final rule.
SUMMARY: This rule increases the
assessment rate established for the
Processed Pear Committee (PPC) for the
2009–2010 and subsequent fiscal
periods from $6.25 to $8.41 per ton for
‘‘summer/fall’’ pears for canning. The
PPC is responsible for local
administration of the marketing order
regulating the handling of pears for
processing grown in Oregon and
Washington. Assessments upon
handlers of pears for processing are
used by the PPC to fund reasonable and
necessary expenses of the program. The
fiscal period for the marketing order
begins July 1 and ends June 30. The
assessment rate will remain in effect
indefinitely unless modified, suspended
or terminated.
DATES: Effective Date: October 15, 2009.
FOR FURTHER INFORMATION CONTACT:
Susan M. Coleman or Gary D. Olson,
Northwest Marketing Field Office,
Marketing Order Administration
Branch, Fruit and Vegetable Programs,
AMS, USDA, 1220 SW. Third Avenue,
Suite 385, Portland, OR 97204;
Telephone: (503) 326–2724; Fax: (503)
326–7440; or E-mail:
Sue.Coleman@ams.usda.gov or
GaryD.Olson@ams.usda.gov.
Small businesses may request
information on complying with this
regulation by contacting Jay Guerber,
Marketing Order Administration
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15:31 Oct 13, 2009
Jkt 220001
Branch, Fruit and Vegetable Programs,
AMS, USDA, 1400 Independence SW.,
STOP 0237, Washington, DC 20250–
0237; Telephone: (202) 720–2491; Fax:
(202) 720–8938; or E-mail:
Jay.Guerber@ams.usda.gov.
SUPPLEMENTARY INFORMATION: This rule
is issued under Marketing Order No.
927, as amended (7 CFR part 927),
regulating the handling of pears grown
in Oregon and Washington, 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.’’
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, Oregon and Washington pear
handlers are subject to assessments.
Funds to administer the order are
derived from such assessments. It is
intended that the assessment rate as
issued herein will be applicable to all
assessable pears beginning July 1, 2009,
and continue until amended,
suspended, or terminated.
The Act provides that administrative
proceedings must be exhausted before
parties may file suit in court. Under
section 608c(15)(A) of the Act, any
handler subject to an order may file
with USDA a petition stating that the
order, any provision of the order, or any
obligation imposed in connection with
the order is not in accordance with law
and request a modification of the order
or to be exempted therefrom. Such
handler is afforded the opportunity for
a hearing on the petition. After the
hearing USDA would rule on the
petition. The Act provides that the
district court of the United States in any
district in which the handler is an
inhabitant, or has his or her principal
place of business, has jurisdiction to
review USDA’s ruling on the petition,
provided an action is filed not later than
20 days after the date of the entry of the
ruling.
This rule increases the assessment
rate established for the PPC for the
2009–2010 and subsequent fiscal
periods from $6.25 to $8.41 per ton for
‘‘summer/fall’’ pears for canning
handled under the order. The
assessment rate for ‘‘winter’’ and
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Fmt 4700
Sfmt 4700
‘‘other’’ pears for processing remain
unchanged at a zero rate.
The order provides authority for the
PPC, 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 PPC are growers,
handlers, and processors of Oregon and
Washington pears. They are familiar
with the PPC’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 2005–06 and subsequent fiscal
periods, the PPC unanimously
recommended the following three base
rates of assessment: (a) $6.25 per ton for
any or all varieties or subvarieties of
pears for canning classified as
‘‘summer/fall’’, excluding pears for
other methods of processing; (b) $0.00
per ton for any or all varieties or
subvarieties of pears for processing
classified as ‘‘winter’’; and (c) $0.00 per
ton for any or all varieties or
subvarieties of pears for processing
classified as ‘‘other’’. The assessment for
‘‘summer/fall’’ pears applies only to
pears for canning and excludes pears for
other methods of processing as defined
in § 927.15, which includes pears for
concentrate, freezing, dehydrating,
pressing, or in any other way to convert
pears into a processed product. This rate
continues in effect from fiscal period to
fiscal period unless modified,
suspended, or terminated by USDA
upon recommendation and information
submitted by the PPC or other
information available to USDA.
The PPC met on May 28, 2009, and
unanimously recommended 2009–2010
expenditures of $1,029,554. In
comparison, last year’s budgeted
expenditures were $882,606. The major
expenditures recommended by the PPC
for the 2009–2010 fiscal period include
$860,310 for promotion and paid
advertising; $130,944 for research;
$24,200 for administration; $13,100 for
PPC expenses; and $1,000 for
contingency. In comparison, major
expenditures for the 2008–09 fiscal
period included $700,000 for promotion
and paid advertising; $140,106 for
research; $28,000 for administration;
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14OCR1
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Federal Register / Vol. 74, No. 197 / Wednesday, October 14, 2009 / Rules and Regulations
$13,500 for PPC expenses; and $1,000
for contingency.
The PPC based its recommended
assessment rate for ‘‘summer/fall’’ pears
for canning on the 2009–2010 crop
estimate, the 2009–2010 program
expenditure needs, and the current and
projected size of its monetary reserve.
Shipments of ‘‘summer/fall’’ pears for
canning for 2009–2010 are estimated at
121,000 tons, which should provide
$1,017,610 in assessment income.
Income derived from handler
assessments, along with interest income
($5,000), and funds from the
Committee’s authorized reserve
($136,420), should be adequate to cover
the budgeted expenditures. The
estimated 2009–2010 year-end reserve is
$129,476, which is within the order’s
limit of approximately one fiscal
period’s operational expenses.
Over the past five years, the
Northwest processed pear industry has
suffered a reduction in crop size by
approximately 23 percent. With the
decreasing crop size, along with the
increasing costs for promotional
activities, the PPC has been forced to cut
back on some promotional activities and
use reserve funds. The PPC
recommended the higher assessment
rate to increase the funding for
promotional activities. As stated earlier,
the budget for promotion and paid
advertising is being increased from last
season’s $700,000 to $860,310 this fiscal
period. This increase will allow the PPC
to effectively carry out the promotional
activities needed to maintain the
existing market share and increase
demand. The PPC recommended no
change for the $0.00 assessment rate for
both the ‘‘winter’’ and ‘‘other’’
classification of pears for processing.
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 PPC or other available
information.
Although this assessment rate will be
effective for an indefinite period, the
PPC will continue to meet prior to or
during each fiscal period to recommend
a budget of expenses and consider
recommendations for modification of
the assessment rate. The dates and times
of the PPC’s meetings are available from
the PPC or USDA. The PPC meetings are
open to the public and interested
persons may express their views at these
meetings. USDA will continue to
evaluate the PPC’s recommendations
and other available information to
determine whether modification of the
assessment rate is needed. Further
rulemaking will be undertaken as
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15:31 Oct 13, 2009
Jkt 220001
necessary. The PPC’s 2009–2010 budget
has been reviewed and approved by
USDA; those for subsequent fiscal
periods will also be reviewed and, as
appropriate, approved by USDA.
Final Regulatory Flexibility Analysis
Pursuant to requirements set forth in
the Regulatory Flexibility Act (RFA), (5
U.S.C. 601–612), the Agricultural
Marketing Service (AMS) has
considered the economic impact of this
rule on small entities. Accordingly,
AMS has prepared this final regulatory
flexibility analysis.
The purpose of the RFA is to fit
regulatory actions to the scale of
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 1,500
growers of pears for canning in the
regulated production area and
approximately 51 handlers subject to
regulation under the order. Small
agricultural growers are defined by the
Small Business Administration (SBA)
(13 CFR 121.201) as those having annual
receipts of less than $750,000, and small
agricultural service firms are defined as
those whose annual receipts are less
than $7,000,000.
According to the Noncitrus Fruits and
Nuts 2008 Preliminary Summary issued
in January 2009 by the National
Agricultural Statistics Service, the total
farm gate value of ‘‘summer/fall’’
processed pears grown in Oregon and
Washington for 2008 was $28,868,000.
Therefore, the 2008 average gross
revenue for a ‘‘summer/fall’’ processed
pear grower in Oregon and Washington
was $19,245. Based on records of the
PPC and recent f.o.b. prices for pears, all
of the handlers ship less than
$7,000,000 worth of processed pears on
an annual basis. Thus it can be
concluded that the majority of growers
and handlers of Oregon and Washington
pears may be classified as small entities.
There are five processing plants in the
production area, with one in Oregon
and four in Washington. All five
processors would be considered large
entities under the SBA’s definition of
small businesses.
This rule increases the assessment
rate established for the PPC and
collected from handlers for the 2009–
2010 and subsequent fiscal periods from
$6.25 to $8.41 per ton for ‘‘summer/fall’’
pears for canning. The PPC also
unanimously recommended 2009–2010
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Fmt 4700
Sfmt 4700
expenditures of $1,029,554. With a
2009–2010 crop of ‘‘summer/fall’’ pears
for canning estimate of 121,000 tons in
Oregon and Washington, the PPC
anticipates assessment income of about
$1,017,610. The PPC recommended the
higher assessment rate to increase the
funding for promotional activities.
The major expenditures
recommended by the PPC for the 2009–
2010 fiscal period include $860,310 for
promotion and paid advertising,
$130,944 for research, $24,200 for
administration, $13,100 for PPC
expenses, and $1,000 for contingency.
In comparison, major expenditures for
the 2008–09 fiscal period included
$700,000 for promotion and paid
advertising, $140,106 for research,
$28,000 for administration, $13,500 for
PPC expenses, and $1,000 for
contingency.
The PPC discussed alternatives to this
recommended assessment increase. The
PPC reviewed a ‘‘critical issue analysis’’
of the key components of the PPC’s
promotion program and discussed
individual promotional activities. As a
result of its review, the PCC determined
that leaving the assessment rate at the
current $6.25 per ton would have cut
core promotional activities.
Furthermore, the PCC determined that
any assessment rate less than the $8.41
rate herein established would have been
insufficient and would have limited
promotional activities. The assessment
rate of $8.41 per ton for ‘‘summer/fall’’
pears for canning enables the PPC to
achieve the key components as laid out
in its promotion program.
A review of historical information and
preliminary information pertaining to
the upcoming crop year indicates that
the grower price for the 2009–2010
season could average about $250 per ton
for ‘‘summer/fall’’ pears for canning.
Therefore, the estimated assessment
revenue for the 2009–2010 fiscal period
as a percentage of total grower revenue
is 3.364 percent for Oregon and
Washington ‘‘summer/fall’’ pears for
canning.
This action increases the assessment
obligation imposed on handlers. While
assessments impose some additional
costs on handlers, the costs are minimal
and uniform on all handlers. Some of
the additional costs may be passed on
to growers. However, these costs would
be offset by the benefits derived by the
operation of the order.
In addition, the PPC’s meeting was
widely publicized throughout the
Oregon and Washington pear industry
and all interested persons were invited
to attend and participate in PPC
deliberations on all issues. Like all PPC
meetings, the May 28, 2009 meeting was
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Federal Register / Vol. 74, No. 197 / Wednesday, October 14, 2009 / Rules and Regulations
a public meeting and all entities, both
large and small, were able to express
views on the issues.
This rule does not impose additional
reporting or recordkeeping requirements
on either small or large Oregon and
Washington pear handlers. As with all
Federal marketing order programs,
reports and forms are periodically
reviewed to reduce information
requirements and duplication by
industry and public sector agencies. As
noted in the initial regulatory flexibility
analysis, USDA has not identified any
relevant Federal rules that duplicate,
overlap, or conflict with this rule.
AMS is committed to complying with
the E-Government Act, to promote the
use of the Internet and other
information technologies to provide
increased opportunities for citizen
access to Government information and
services, and for other purposes.
A proposed rule regarding this action
was published in the Federal Register
on August 26, 2009 (FR 74 43082).
Copies of the rule were made available
to all Oregon and Washington processed
pear handlers. The proposal was also
made available through the Internet by
USDA and the Office of the Federal
Register. A 30-day comment period
ending September 25, 2009, was
provided so that persons interested in
the proposal could respond. No
comments were received.
A small business guide on complying
with fruit, vegetable, and specialty crop
marketing agreements and order may be
viewed at: https://www.ams.usda.gov/
AMSv1.0/ams.fetchTemplateData.do?
template=TemplateN&page=Marketing
OrdersSmallBusinessGuide. Any
questions about the compliance guide
should be sent to Jay Guerber at the
previously mentioned address in the
basis; (3) handlers are aware of this
action, which was recommended by the
PPC at a public meeting and is similar
to other assessment rate actions issued
in past years; and (4) a 30-day comment
period was provided for in the proposed
rule.
List of Subjects in 7 CFR Part 927
Marketing agreements, Pears,
Reporting and recordkeeping
requirements.
■ For the reasons set forth in the
preamble, 7 CFR part 927 is amended as
follows:
PART 927—PEARS GROWN IN
OREGON AND WASHINGTON
1. The authority citation for 7 CFR
part 927 continues to read as follows:
■
Authority: 7 U.S.C. 601–674.
2. In § 927.237, the introductory text
and paragraph (a) are revised to read as
follows:
■
§ 927.237
rate.
Processed pear assessment
On or after July 1, 2009, the following
base rates of assessment for pears for
processing are established for the
Processed Pear Committee:
(a) $8.41 per ton for any or all
varieties or subvarieties of pears for
canning classified as ‘‘summer/fall’’
excluding pears for other methods of
processing;
*
*
*
*
*
Dated: October 6, 2009.
Rayne Pegg,
Administrator, Agricultural Marketing
Service.
[FR Doc. E9–24681 Filed 10–13–09; 8:45 am]
BILLING CODE P
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FOR FURTHER INFORMATION CONTACT
section.
After consideration of all relevant
material presented, including the
information and recommendation
submitted by the PCC 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 is 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 (1) The 2009–2010 fiscal period
began on July 1, 2009, and the order
requires that the assessment rate for
each fiscal period apply to all pears for
canning handled during such fiscal
period; (2) the PPC needs to have
sufficient funds to pay its expenses,
which are incurred on a continuous
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15:31 Oct 13, 2009
Jkt 220001
NUCLEAR REGULATORY
COMMISSION
10 CFR Part 73
[NRC–2008–0458]
RIN 3150–AI31
Criminal Penalties; Unauthorized
Introduction of Weapons
AGENCY: Nuclear Regulatory
Commission.
ACTION: Final rule.
PO 00000
Frm 00003
Fmt 4700
Sfmt 4700
subject to the regulatory authority of the
NRC. This action is necessary to
implement section 229, ‘‘Trespass on
Commission Installations,’’ of the
Atomic Energy Act of 1954, as amended
(AEA).
DATES: This rule is effective on April 12,
2010.
ADDRESSES: You can access publicly
available documents related to this
document using the following methods:
Federal e-Rulemaking Portal: Go to
https://www.regulations.gov and search
for documents filed under Docket ID
[NRC–2008–0458]. Address questions
about NRC dockets to Carol Gallagher at
301–415–5905, e-mail
Carol.Gallagher@nrc.gov.
NRC’s Public Document Room (PDR):
The public may examine and have
copied for a fee publicly available
documents at the NRC’s PDR, Public
File Area O1 F21, One White Flint
North, 11555 Rockville Pike, Rockville,
Maryland.
NRC’s Agencywide Documents Access
and Management System (ADAMS):
Publicly available documents created or
received at the NRC are available
electronically at the NRC’s electronic
Reading Room at https://www.nrc.gov/
reading-rm/adams.html. From this page,
the public can gain entry into ADAMS,
which provides text and image files of
NRC’s public documents. If you do not
have access to ADAMS or if there are
problems in accessing the documents
located in ADAMS, contact the NRC’s
PDR reference staff at 1–800–397–4209,
301–415–4737, or by e-mail to
pdr.resource@nrc.gov.
FOR FURTHER INFORMATION CONTACT:
James E. Adler, Office of the General
Counsel, telephone 301–415–1656,
e-mail: james.adler@nrc.gov.
SUPPLEMENTARY INFORMATION:
I. Background
II. Public Comments
III. Discussion of the Final Rule
IV. Voluntary Consensus Standard
V. Finding of No Significant Environmental
Impact: Environmental Assessment
VI. Paperwork Reduction Act Statement
VII. Regulatory Analysis
VIII. Regulatory Flexibility Certification
IX. Backfit Analysis
X. Congressional Review Act
XI. Agreement State Compatibility
I. Background
The Nuclear Regulatory
Commission (NRC) is amending its
regulations to authorize the imposition
of Federal criminal penalties on those
who, without authorization, introduce
weapons or explosives into specified
classes of facilities and installations
SUMMARY:
52667
Section 654 of the Energy Policy Act
of 2005, ‘‘Unauthorized Introduction of
Dangerous Weapons,’’ amended § 229 of
the AEA (42 U.S.C. 2278a) to authorize
the NRC to issue regulations that make
it a Federal crime to bring, without
authorization, weapons or explosives
into facilities designated by the NRC.
E:\FR\FM\14OCR1.SGM
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Agencies
[Federal Register Volume 74, Number 197 (Wednesday, October 14, 2009)]
[Rules and Regulations]
[Pages 52665-52667]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E9-24681]
========================================================================
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. 74, No. 197 / Wednesday, October 14, 2009 /
Rules and Regulations
[[Page 52665]]
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 927
[Doc. No. AMS-FV-09-0037; FV09-927-1 FR]
Pears Grown in Oregon and Washington; Increased Assessment Rate
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: This rule increases the assessment rate established for the
Processed Pear Committee (PPC) for the 2009-2010 and subsequent fiscal
periods from $6.25 to $8.41 per ton for ``summer/fall'' pears for
canning. The PPC is responsible for local administration of the
marketing order regulating the handling of pears for processing grown
in Oregon and Washington. Assessments upon handlers of pears for
processing are used by the PPC to fund reasonable and necessary
expenses of the program. The fiscal period for the marketing order
begins July 1 and ends June 30. The assessment rate will remain in
effect indefinitely unless modified, suspended or terminated.
DATES: Effective Date: October 15, 2009.
FOR FURTHER INFORMATION CONTACT: Susan M. Coleman or Gary D. Olson,
Northwest Marketing Field Office, Marketing Order Administration
Branch, Fruit and Vegetable Programs, AMS, USDA, 1220 SW. Third Avenue,
Suite 385, Portland, OR 97204; Telephone: (503) 326-2724; Fax: (503)
326-7440; or E-mail: Sue.Coleman@ams.usda.gov or
GaryD.Olson@ams.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 SW.,
STOP 0237, Washington, DC 20250-0237; Telephone: (202) 720-2491; Fax:
(202) 720-8938; or E-mail: Jay.Guerber@ams.usda.gov.
SUPPLEMENTARY INFORMATION: This rule is issued under Marketing Order
No. 927, as amended (7 CFR part 927), regulating the handling of pears
grown in Oregon and Washington, 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.''
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, Oregon and
Washington pear handlers are subject to assessments. Funds to
administer the order are derived from such assessments. It is intended
that the assessment rate as issued herein will be applicable to all
assessable pears beginning July 1, 2009, and continue until amended,
suspended, or terminated.
The Act provides that administrative proceedings must be exhausted
before parties may file suit in court. Under section 608c(15)(A) of the
Act, any handler subject to an order may file with USDA a petition
stating that the order, any provision of the order, or any obligation
imposed in connection with the order is not in accordance with law and
request a modification of the order or to be exempted therefrom. Such
handler is afforded the opportunity for a hearing on the petition.
After the hearing USDA would rule on the petition. The Act provides
that the district court of the United States in any district in which
the handler is an inhabitant, or has his or her principal place of
business, has jurisdiction to review USDA's ruling on the petition,
provided an action is filed not later than 20 days after the date of
the entry of the ruling.
This rule increases the assessment rate established for the PPC for
the 2009-2010 and subsequent fiscal periods from $6.25 to $8.41 per ton
for ``summer/fall'' pears for canning handled under the order. The
assessment rate for ``winter'' and ``other'' pears for processing
remain unchanged at a zero rate.
The order provides authority for the PPC, 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 PPC are
growers, handlers, and processors of Oregon and Washington pears. They
are familiar with the PPC'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 2005-06 and subsequent fiscal periods, the PPC unanimously
recommended the following three base rates of assessment: (a) $6.25 per
ton for any or all varieties or subvarieties of pears for canning
classified as ``summer/fall'', excluding pears for other methods of
processing; (b) $0.00 per ton for any or all varieties or subvarieties
of pears for processing classified as ``winter''; and (c) $0.00 per ton
for any or all varieties or subvarieties of pears for processing
classified as ``other''. The assessment for ``summer/fall'' pears
applies only to pears for canning and excludes pears for other methods
of processing as defined in Sec. 927.15, which includes pears for
concentrate, freezing, dehydrating, pressing, or in any other way to
convert pears into a processed product. This rate continues in effect
from fiscal period to fiscal period unless modified, suspended, or
terminated by USDA upon recommendation and information submitted by the
PPC or other information available to USDA.
The PPC met on May 28, 2009, and unanimously recommended 2009-2010
expenditures of $1,029,554. In comparison, last year's budgeted
expenditures were $882,606. The major expenditures recommended by the
PPC for the 2009-2010 fiscal period include $860,310 for promotion and
paid advertising; $130,944 for research; $24,200 for administration;
$13,100 for PPC expenses; and $1,000 for contingency. In comparison,
major expenditures for the 2008-09 fiscal period included $700,000 for
promotion and paid advertising; $140,106 for research; $28,000 for
administration;
[[Page 52666]]
$13,500 for PPC expenses; and $1,000 for contingency.
The PPC based its recommended assessment rate for ``summer/fall''
pears for canning on the 2009-2010 crop estimate, the 2009-2010 program
expenditure needs, and the current and projected size of its monetary
reserve. Shipments of ``summer/fall'' pears for canning for 2009-2010
are estimated at 121,000 tons, which should provide $1,017,610 in
assessment income. Income derived from handler assessments, along with
interest income ($5,000), and funds from the Committee's authorized
reserve ($136,420), should be adequate to cover the budgeted
expenditures. The estimated 2009-2010 year-end reserve is $129,476,
which is within the order's limit of approximately one fiscal period's
operational expenses.
Over the past five years, the Northwest processed pear industry has
suffered a reduction in crop size by approximately 23 percent. With the
decreasing crop size, along with the increasing costs for promotional
activities, the PPC has been forced to cut back on some promotional
activities and use reserve funds. The PPC recommended the higher
assessment rate to increase the funding for promotional activities. As
stated earlier, the budget for promotion and paid advertising is being
increased from last season's $700,000 to $860,310 this fiscal period.
This increase will allow the PPC to effectively carry out the
promotional activities needed to maintain the existing market share and
increase demand. The PPC recommended no change for the $0.00 assessment
rate for both the ``winter'' and ``other'' classification of pears for
processing.
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 PPC or other
available information.
Although this assessment rate will be effective for an indefinite
period, the PPC will continue to meet prior to or during each fiscal
period to recommend a budget of expenses and consider recommendations
for modification of the assessment rate. The dates and times of the
PPC's meetings are available from the PPC or USDA. The PPC meetings are
open to the public and interested persons may express their views at
these meetings. USDA will continue to evaluate the PPC's
recommendations and other available information to determine whether
modification of the assessment rate is needed. Further rulemaking will
be undertaken as necessary. The PPC's 2009-2010 budget has been
reviewed and approved by USDA; those for subsequent fiscal periods will
also be reviewed and, as appropriate, approved by USDA.
Final Regulatory Flexibility Analysis
Pursuant to requirements set forth in the Regulatory Flexibility
Act (RFA), (5 U.S.C. 601-612), the Agricultural Marketing Service (AMS)
has considered the economic impact of this rule on small entities.
Accordingly, AMS has prepared this final regulatory flexibility
analysis.
The purpose of the RFA is to fit regulatory actions to the scale of
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 1,500 growers of pears for canning in the
regulated production area and approximately 51 handlers subject to
regulation under the order. Small agricultural growers are defined by
the Small Business Administration (SBA) (13 CFR 121.201) as those
having annual receipts of less than $750,000, and small agricultural
service firms are defined as those whose annual receipts are less than
$7,000,000.
According to the Noncitrus Fruits and Nuts 2008 Preliminary Summary
issued in January 2009 by the National Agricultural Statistics Service,
the total farm gate value of ``summer/fall'' processed pears grown in
Oregon and Washington for 2008 was $28,868,000. Therefore, the 2008
average gross revenue for a ``summer/fall'' processed pear grower in
Oregon and Washington was $19,245. Based on records of the PPC and
recent f.o.b. prices for pears, all of the handlers ship less than
$7,000,000 worth of processed pears on an annual basis. Thus it can be
concluded that the majority of growers and handlers of Oregon and
Washington pears may be classified as small entities.
There are five processing plants in the production area, with one
in Oregon and four in Washington. All five processors would be
considered large entities under the SBA's definition of small
businesses.
This rule increases the assessment rate established for the PPC and
collected from handlers for the 2009-2010 and subsequent fiscal periods
from $6.25 to $8.41 per ton for ``summer/fall'' pears for canning. The
PPC also unanimously recommended 2009-2010 expenditures of $1,029,554.
With a 2009-2010 crop of ``summer/fall'' pears for canning estimate of
121,000 tons in Oregon and Washington, the PPC anticipates assessment
income of about $1,017,610. The PPC recommended the higher assessment
rate to increase the funding for promotional activities.
The major expenditures recommended by the PPC for the 2009-2010
fiscal period include $860,310 for promotion and paid advertising,
$130,944 for research, $24,200 for administration, $13,100 for PPC
expenses, and $1,000 for contingency. In comparison, major expenditures
for the 2008-09 fiscal period included $700,000 for promotion and paid
advertising, $140,106 for research, $28,000 for administration, $13,500
for PPC expenses, and $1,000 for contingency.
The PPC discussed alternatives to this recommended assessment
increase. The PPC reviewed a ``critical issue analysis'' of the key
components of the PPC's promotion program and discussed individual
promotional activities. As a result of its review, the PCC determined
that leaving the assessment rate at the current $6.25 per ton would
have cut core promotional activities. Furthermore, the PCC determined
that any assessment rate less than the $8.41 rate herein established
would have been insufficient and would have limited promotional
activities. The assessment rate of $8.41 per ton for ``summer/fall''
pears for canning enables the PPC to achieve the key components as laid
out in its promotion program.
A review of historical information and preliminary information
pertaining to the upcoming crop year indicates that the grower price
for the 2009-2010 season could average about $250 per ton for ``summer/
fall'' pears for canning. Therefore, the estimated assessment revenue
for the 2009-2010 fiscal period as a percentage of total grower revenue
is 3.364 percent for Oregon and Washington ``summer/fall'' pears for
canning.
This action increases the assessment obligation imposed on
handlers. While assessments impose some additional costs on handlers,
the costs are minimal and uniform on all handlers. Some of the
additional costs may be passed on to growers. However, these costs
would be offset by the benefits derived by the operation of the order.
In addition, the PPC's meeting was widely publicized throughout the
Oregon and Washington pear industry and all interested persons were
invited to attend and participate in PPC deliberations on all issues.
Like all PPC meetings, the May 28, 2009 meeting was
[[Page 52667]]
a public meeting and all entities, both large and small, were able to
express views on the issues.
This rule does not impose additional reporting or recordkeeping
requirements on either small or large Oregon and Washington pear
handlers. As with all Federal marketing order programs, reports and
forms are periodically reviewed to reduce information requirements and
duplication by industry and public sector agencies. As noted in the
initial regulatory flexibility analysis, USDA has not identified any
relevant Federal rules that duplicate, overlap, or conflict with this
rule.
AMS is committed to complying with the E-Government Act, to promote
the use of the Internet and other information technologies to provide
increased opportunities for citizen access to Government information
and services, and for other purposes.
A proposed rule regarding this action was published in the Federal
Register on August 26, 2009 (FR 74 43082). Copies of the rule were made
available to all Oregon and Washington processed pear handlers. The
proposal was also made available through the Internet by USDA and the
Office of the Federal Register. A 30-day comment period ending
September 25, 2009, was provided so that persons interested in the
proposal could respond. No comments were received.
A small business guide on complying with fruit, vegetable, and
specialty crop marketing agreements and order may be viewed at: https://www.ams.usda.gov/AMSv1.0/ams.fetchTemplateData.do?template=TemplateN&page=MarketingOrdersSmallBusinessGuide. 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 PCC 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 is 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 (1) The 2009-
2010 fiscal period began on July 1, 2009, and the order requires that
the assessment rate for each fiscal period apply to all pears for
canning handled during such fiscal period; (2) the PPC needs to have
sufficient funds to pay its expenses, which are incurred on a
continuous basis; (3) handlers are aware of this action, which was
recommended by the PPC at a public meeting and is similar to other
assessment rate actions issued in past years; and (4) a 30-day comment
period was provided for in the proposed rule.
List of Subjects in 7 CFR Part 927
Marketing agreements, Pears, Reporting and recordkeeping
requirements.
0
For the reasons set forth in the preamble, 7 CFR part 927 is amended as
follows:
PART 927--PEARS GROWN IN OREGON AND WASHINGTON
0
1. The authority citation for 7 CFR part 927 continues to read as
follows:
Authority: 7 U.S.C. 601-674.
0
2. In Sec. 927.237, the introductory text and paragraph (a) are
revised to read as follows:
Sec. 927.237 Processed pear assessment rate.
On or after July 1, 2009, the following base rates of assessment
for pears for processing are established for the Processed Pear
Committee:
(a) $8.41 per ton for any or all varieties or subvarieties of pears
for canning classified as ``summer/fall'' excluding pears for other
methods of processing;
* * * * *
Dated: October 6, 2009.
Rayne Pegg,
Administrator, Agricultural Marketing Service.
[FR Doc. E9-24681 Filed 10-13-09; 8:45 am]
BILLING CODE P