Irish Potatoes Grown in Colorado; Modification of the Handling Regulation for Area No. 2, 3333-3335 [2010-1000]
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Rules and Regulations
Federal Register
Vol. 75, No. 13
Thursday, January 21, 2010
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 948
[Doc. No. AMS–FV–09–0055; FV09–948–3
FR]
Irish Potatoes Grown in Colorado;
Modification of the Handling
Regulation for Area No. 2
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AGENCY: Agricultural Marketing Service,
USDA.
ACTION: Final rule.
SUMMARY: This rule revises the
minimum size requirement under the
Colorado potato marketing order, Area
No. 2. The marketing order regulates the
handling of Irish potatoes grown in
Colorado, and is administered locally by
the Colorado Potato Administrative
Committee for Area No. 2 (Committee).
This rule changes the minimum size
requirement from 17⁄8 inches in
diameter to 2 inches in diameter or 4
ounces minimum weight for all long
varieties of potatoes. This change
returns the minimum size requirement
to the standard that had been in place
prior to the 2008–2009 season, when
adverse weather conditions damaged
the crop and resulted in the Committee
recommending a temporary relaxation
in the minimum size requirement.
DATES: Effective Date: January 22, 2010.
FOR FURTHER INFORMATION CONTACT:
Teresa Hutchinson or Gary Olson,
Northwest Marketing Field Office,
Marketing Order Administration
Branch, Fruit and Vegetable Programs,
AMS, USDA, Telephone: (503) 326–
2724, Fax: (503) 326–7440, or E-mail:
Teresa.Hutchinson@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,
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17:28 Jan 20, 2010
Jkt 220001
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@ams.usda.gov.
SUPPLEMENTARY INFORMATION: This final
rule is issued under Marketing
Agreement No. 97 and Marketing Order
No. 948, both as amended (7 CFR part
948), regulating the handling of Irish
potatoes grown in Colorado, 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 final rule has been reviewed
under Executive Order 12988, Civil
Justice Reform. This rule is not intended
to have retroactive effect.
The Act provides that administrative
proceedings must be exhausted before
parties may file suit in court. Under
section 608c(15)(A) of the Act, any
handler subject to an order may file
with USDA a petition stating that the
order, any provision of the order, or any
obligation imposed in connection with
the order is not in accordance with law
and request a modification of the order
or to be exempted therefrom. A handler
is afforded the opportunity for a hearing
on the petition. After the hearing USDA
would rule on the petition. The Act
provides that the district court of the
United States in any district in which
the handler is an inhabitant, or has his
or her principal place of business, has
jurisdiction to review USDA’s ruling on
the petition, provided an action is filed
not later than 20 days after the date of
the entry of the ruling.
This final rule revises the minimum
size requirement under the order. This
rule changes the minimum size
requirement from 17⁄8 inches in
diameter to 2 inches in diameter or 4
ounces minimum weight for all varieties
of potatoes, except for round varieties.
This rule was recommended by the
Committee at a meeting on June 25,
2009.
Section 948.22 authorizes the
issuance of grade, size, quality,
maturity, pack, and container
regulations for potatoes grown in the
production area. Section 948.21 further
authorizes the modification, suspension,
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or termination of requirements issued
pursuant to § 948.22.
Section 948.40 provides that
whenever the handling of potatoes is
regulated pursuant to §§ 948.20 through
948.24, such potatoes must be inspected
by the Federal-State Inspection Service,
and certified as meeting the applicable
requirements of such regulations.
Under the order, the State of Colorado
is divided into three areas of regulation
for marketing order purposes. Area No.
1, commonly known as the Western
Slope, includes and consists of the
counties of Routt, Eagle, Pitkin,
Gunnison, Hinsdale, La Plata, and all
counties west thereof; Area No. 2,
commonly known as the San Luis
Valley, includes and consists of the
counties of Sanguache, Huerfano, Las
Animas, Mineral, Archuleta, and all
counties south thereof; and, Area No. 3
includes and consists of all the
remaining counties in the State of
Colorado which are not included in
Area No. 1 or Area No. 2. The order
currently regulates the handling of
potatoes grown in Areas No. 2 and No.
3 only; regulation for Area No. 1 is
currently not active.
Grade, size, and maturity regulations
specific to the handling of potatoes
grown in Area No. 2 are contained in
§ 948.386 of the order.
On June 25, 2009, the Committee
unanimously recommended changing
the minimum size requirement from 17⁄8
inches to 2 inches in diameter or 4
ounces minimum weight for all varieties
of potatoes, except for round varieties.
This had been the industry standard in
place prior to the 2008–2009 season.
Because severe and adverse weather
conditions in 2008 significantly
decreased yields and damaged the crop,
the Committee had recommended for
the 2008–2009 marketing season that
the minimum size be reduced from 2
inches in diameter or 4 ounces
minimum weight to 17⁄8 inches in
diameter for all varieties of potatoes,
except round varieties. The Committee
believes it is now appropriate to return
to the size regulations that were in place
prior to the 2008–2009 season.
The Committee believes that quality
assurance is very important to the
Colorado potato industry. Providing
acceptable quality produce that is
appealing to consumers on a consistent
basis is necessary to maintain buyer
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Federal Register / Vol. 75, No. 13 / Thursday, January 21, 2010 / Rules and Regulations
srobinson on DSKHWCL6B1PROD with RULES
confidence in the marketplace and
improve producer returns.
Under this final rule, potatoes other
than round varieties will meet the size
requirement if they are at least 2 inches
in diameter or 4 ounces in weight. Some
long, thin potatoes might be smaller
than 2 inches in diameter, but weigh at
least 4 ounces. These potatoes will meet
the revised size requirement. Some
potatoes might weigh less than 4
ounces, but be at least 2 inches in
diameter. These potatoes will also meet
the revised minimum size requirement.
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
action 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 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 72 handlers
of Colorado Area No. 2 potatoes subject
to regulation under the order and
approximately 175 producers in the
regulated production area. Small
agricultural service firms are defined by
the Small Business Administration
(SBA) (13 CFR 121.201) as those having
annual receipts of less than $7,000,000,
and small agricultural producers are
defined as those having annual receipts
of less than $750,000.
During the 2007–2008 marketing year,
14,225,568 hundredweight of Colorado
Area No. 2 potatoes were inspected
under the order and sold into the fresh
market. Based on an estimated average
f.o.b. price of $12.05 per
hundredweight, the Committee
estimates that 61 Area No. 2 handlers,
or about 85 percent, have annual
receipts of less than $7,000,000. In view
of the foregoing, the majority of
Colorado Area No. 2 potato handlers
may be classified as small entities.
In addition, based on information
provided by the National Agricultural
Statistics Service (NASS), the average
producer price for Colorado potatoes for
2007 was $9.85 per hundredweight. The
average annual fresh potato revenue for
each of the 175 Colorado Area No. 2
potato producers is therefore calculated
to be approximately $778,455.
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17:28 Jan 20, 2010
Jkt 220001
Consequently, on average, the majority
of the Area No. 2 Colorado potato
producers may not be classified as small
entities.
This rule changes the minimum size
requirement from 17⁄8 inches in
diameter to 2 inches in diameter or 4
ounces minimum weight for all potato
varieties, except round varieties.
Authority for this action is contained in
§§ 948.21 and 948.22.
NASS estimated planted acreage for
the 2007 crop in Area No. 2 at 59,200
acres, a decrease of 700 acres when
compared with 59,900 acres planted in
2006. Based on Committee records, 88.4
percent of Area No. 2 potatoes entered
the fresh market during the 2007–2008
marketing year (including potatoes
produced for seed). Of those potatoes,
Russet or long potato varieties
accounted for 88.3 percent.
Only a small portion of the crop is
expected to be negatively affected by
this minimum size increase (i.e., that
portion of the crop, other than round
varieties, smaller than 2 inches in
diameter or 4 ounces minimum weight,
but larger than 17⁄8 inches in diameter)
and thus no longer meet order
requirements. However, due to current
customer demand, many handlers are
already shipping potatoes that measure
2-inches or greater. The Committee
believes that the expected benefits of
improved quality, increased purchases
and sales volume, and increased returns
received by producers will greatly
outweigh the costs related to the
regulation.
The Committee discussed alternatives
to this rule. One alternative included
making no change at all to the current
regulation. However, the Committee did
not believe this alternative would have
met the needs of buyers or provided any
benefit to the industry. The Committee
believes that the change will increase
returns to producers while supplying
the market with a higher percentage of
larger high quality potatoes.
This final rule changes the size
requirement for all varieties of potatoes,
except for round varieties. Accordingly,
this action will not impose any
additional reporting or recordkeeping
requirements on either small or large
potato 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
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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 final rule.
In addition, the Committee’s meeting
was widely publicized throughout the
Colorado Area No. 2 potato 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
25, 2009, meeting was a public meeting
and all entities, both large and small,
were able to express views on this issue.
A proposed rule concerning this
action was published in the Federal
Register on November 23, 2009 (74 FR
61053). Copies of the rule were e-mailed
or sent via facsimile to all Committee
members and potato handlers. Finally,
the rule was made available through the
Internet by USDA and the Office of the
Federal Register. A 15-day comment
period ending December 8, 2009, 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/
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
matter 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.
It is further found that good cause
exists for not postponing the effective
date of this rule until 30 days after
publication in the Federal Register
(5 U.S.C. 553) because handlers are
already shipping potatoes from the
2009–2010 crop. Further, handlers are
aware of this rule, which was
recommended at a public meeting. Also,
a 15-day comment period was provided
for in the proposed rule.
List of Subjects in 7 CFR Part 948
Marketing agreements, Potatoes,
Reporting and recordkeeping
requirements.
■ For the reasons set forth in the
preamble, 7 CFR part 948 is amended as
follows:
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Federal Register / Vol. 75, No. 13 / Thursday, January 21, 2010 / Rules and Regulations
PART 948—IRISH POTATOES GROWN
IN COLORADO
1. The authority citation for 7 CFR
part 948 continues to read as follows:
■
Authority: 7 U.S.C. 601–674.
2. Amend § 948.386 by revising
paragraph (a)(2) to read as follows:
■
§ 948.386
Handling Regulation.
*
*
*
*
*
(a) * * *
(2) All other varieties. U.S. No. 2, or
better grade, 2 inches minimum
diameter or 4 ounces minimum weight.
*
*
*
*
*
Dated: January 13, 2010.
David R. Shipman,
Acting Administrator, Agricultural Marketing
Service.
[FR Doc. 2010–1000 Filed 1–20–10; 8:45 am]
BILLING CODE P
DEPARTMENT OF COMMERCE
National Oceanic and Atmospheric
Administration
15 CFR Part 902
50 CFR Part 300
[Docket No. 070717350–9936–02]
RIN 0648–AV63
International Fisheries; Western and
Central Pacific Fisheries for Highly
Migratory Species; Initial
Implementation of the Western and
Central Pacific Fisheries Convention
AGENCY: National Marine Fisheries
Service (NMFS), National Oceanic and
Atmospheric Administration (NOAA),
Commerce.
ACTION: Final rule.
NMFS issues regulations
under authority of the Western and
Central Pacific Fisheries Convention
Implementation Act (WCPFC
Implementation Act), which authorizes
the Secretary of Commerce to
promulgate regulations needed to carry
out the obligations of the United States
under the Convention on the
Conservation and Management of
Highly Migratory Fish Stocks in the
Western and Central Pacific Ocean
(Convention), including implementing
the decisions of the Commission for the
Conservation and Management of
Highly Migratory Fish Stocks in the
Western and Central Pacific Ocean
(WCPFC). The regulations include
requirements related to permitting,
vessel monitoring systems, vessel
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SUMMARY:
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17:28 Jan 20, 2010
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observers, vessel markings, reporting
and recordkeeping, at-sea
transshipment, and boarding and
inspection on the high seas, among
others. NMFS has determined that this
action is necessary for the United States
to satisfy its international obligations
under the Convention, to which it is a
Contracting Party. It will have the effect
of requiring that all relevant U.S. fishing
vessels are operated in conformance
with the provisions of the Convention.
DATES: This final rule is effective
February 22, 2010.
ADDRESSES: Copies of supporting
documents that were prepared for this
final rule, including the regulatory
impact review (RIR) and environmental
assessment (EA), as well as the
proposed rule, are available via the
Federal e-Rulemaking portal, at https://
www.regulations.gov. Those documents,
and the small entity compliance guide
prepared for this final rule, are also
available from the Regional
Administrator, NMFS, Pacific Islands
Regional Office, 1601 Kapiolani Blvd.,
Suite 1110, Honolulu, HI 96814–4700.
The initial regulatory flexibility analysis
(IRFA) and final regulatory flexibility
analysis (FRFA) prepared for this rule
are included in the proposed rule and
this final rule, respectively.
Written comments regarding the
burden-hour estimates or other aspects
of the collection-of-information
requirements contained in this final rule
may be submitted to NMFS, Pacific
Islands Regional Office (see contact
information above), and by e-mail to
David_Rostker@omb.eop.gov or fax to
202–395–7285.
FOR FURTHER INFORMATION CONTACT: Tom
Graham, NMFS Pacific Islands Regional
Office, 808–944–2219.
SUPPLEMENTARY INFORMATION:
Electronic Access
This final rule is also accessible at
https://www.gpoaccess.gov/fr.
Background
On May 22, 2009, NMFS published a
proposed rule in the Federal Register
(74 FR 23965) that would add
regulations at 50 CFR part 300, subpart
O, in order to implement certain
provisions of the Convention and
decisions of the WCPFC. The proposed
rule was open to public comment
through June 22, 2009.
This final rule is implemented under
authority of the WCPFC Implementation
Act (16 U.S.C. 6901 et seq.), which
authorizes the Secretary of Commerce,
in consultation with the Secretary of
State and the Secretary of the
Department in which the United States
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3335
Coast Guard is operating (currently the
Department of Homeland Security), to
promulgate such regulations as may be
necessary to carry out the obligations of
the United States under the Convention,
including the decisions of the WCPFC.
The authority to promulgate regulations
has been delegated to NMFS.
The proposed rule includes additional
background information, including
information on the Convention and the
WCPFC, the international obligations of
the United States under the Convention,
and the basis for the proposed
regulations.
New Requirements
This final rule establishes the
following requirements:
1. Authorization To Fish
Owners or operators of U.S. vessels
used for commercial fishing for highly
migratory species (HMS) on the high
seas in the Convention Area will be
required to obtain a new NMFS-issued
fishing authorization, called a ‘‘WCPFC
Area Endorsement.’’ The definition of
fishing will include, consistent with its
definition under the WCPFC
Implementation Act, receiving fish from
another fishing vessel and bunkering or
otherwise supplying or supporting a
vessel that engages in fishing. Thus,
carriers that receive HMS from another
vessel, vessels that bunker vessels used
to fish for HMS, and vessels that engage
in operations at sea directly in support
of, or in preparation for, fishing or
transshipping by other vessels will also
be subject to this and other
requirements of the final rule. This new
authorization will be issued by the
Regional Administrator of NMFS,
Pacific Islands Region, supplemental to,
and as an endorsement on, the permits
issued under the authority of the High
Seas Fishing Compliance Act of 1995
(HSFCA; 16 U.S.C. 5501 et seq.)
(hereafter, ‘‘high seas fishing permits;’’
see 50 CFR 300.13). The prerequisites to
obtaining a WCPFC Area Endorsement
will be: (1) Having a valid high seas
fishing permit (or simultaneously
applying for one); (2) submitting a
complete application (see the next item,
‘‘vessel information’’); and (3) paying the
required administrative fee. The
application form will be designed as a
supplement to the application for a high
seas fishing permit. The WCPFC Area
Endorsement will become void upon
expiration, suspension, or revocation of
the underlying high seas fishing permit.
The WCPFC Area Endorsement is also
subject to suspension or revocation
independent of the high seas fishing
permit. Holding a WCPFC Area
Endorsement will trigger a number of
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]]>Agencies
[Federal Register Volume 75, Number 13 (Thursday, January 21, 2010)]
[Rules and Regulations]
[Pages 3333-3335]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-1000]
========================================================================
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. 75, No. 13 / Thursday, January 21, 2010 /
Rules and Regulations
[[Page 3333]]
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 948
[Doc. No. AMS-FV-09-0055; FV09-948-3 FR]
Irish Potatoes Grown in Colorado; Modification of the Handling
Regulation for Area No. 2
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: This rule revises the minimum size requirement under the
Colorado potato marketing order, Area No. 2. The marketing order
regulates the handling of Irish potatoes grown in Colorado, and is
administered locally by the Colorado Potato Administrative Committee
for Area No. 2 (Committee). This rule changes the minimum size
requirement from 1\7/8\ inches in diameter to 2 inches in diameter or 4
ounces minimum weight for all long varieties of potatoes. This change
returns the minimum size requirement to the standard that had been in
place prior to the 2008-2009 season, when adverse weather conditions
damaged the crop and resulted in the Committee recommending a temporary
relaxation in the minimum size requirement.
DATES: Effective Date: January 22, 2010.
FOR FURTHER INFORMATION CONTACT: Teresa Hutchinson or Gary Olson,
Northwest Marketing Field Office, Marketing Order Administration
Branch, Fruit and Vegetable Programs, AMS, USDA, Telephone: (503) 326-
2724, Fax: (503) 326-7440, or E-mail: Teresa.Hutchinson@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
Avenue, 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 final rule is issued under Marketing
Agreement No. 97 and Marketing Order No. 948, both as amended (7 CFR
part 948), regulating the handling of Irish potatoes grown in Colorado,
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 final rule has been reviewed under Executive Order 12988,
Civil Justice Reform. This rule is not intended to have retroactive
effect.
The Act provides that administrative proceedings must be exhausted
before parties may file suit in court. Under section 608c(15)(A) of the
Act, any handler subject to an order may file with USDA a petition
stating that the order, any provision of the order, or any obligation
imposed in connection with the order is not in accordance with law and
request a modification of the order or to be exempted therefrom. A
handler is afforded the opportunity for a hearing on the petition.
After the hearing USDA would rule on the petition. The Act provides
that the district court of the United States in any district in which
the handler is an inhabitant, or has his or her principal place of
business, has jurisdiction to review USDA's ruling on the petition,
provided an action is filed not later than 20 days after the date of
the entry of the ruling.
This final rule revises the minimum size requirement under the
order. This rule changes the minimum size requirement from 1\7/8\
inches in diameter to 2 inches in diameter or 4 ounces minimum weight
for all varieties of potatoes, except for round varieties. This rule
was recommended by the Committee at a meeting on June 25, 2009.
Section 948.22 authorizes the issuance of grade, size, quality,
maturity, pack, and container regulations for potatoes grown in the
production area. Section 948.21 further authorizes the modification,
suspension, or termination of requirements issued pursuant to Sec.
948.22.
Section 948.40 provides that whenever the handling of potatoes is
regulated pursuant to Sec. Sec. 948.20 through 948.24, such potatoes
must be inspected by the Federal-State Inspection Service, and
certified as meeting the applicable requirements of such regulations.
Under the order, the State of Colorado is divided into three areas
of regulation for marketing order purposes. Area No. 1, commonly known
as the Western Slope, includes and consists of the counties of Routt,
Eagle, Pitkin, Gunnison, Hinsdale, La Plata, and all counties west
thereof; Area No. 2, commonly known as the San Luis Valley, includes
and consists of the counties of Sanguache, Huerfano, Las Animas,
Mineral, Archuleta, and all counties south thereof; and, Area No. 3
includes and consists of all the remaining counties in the State of
Colorado which are not included in Area No. 1 or Area No. 2. The order
currently regulates the handling of potatoes grown in Areas No. 2 and
No. 3 only; regulation for Area No. 1 is currently not active.
Grade, size, and maturity regulations specific to the handling of
potatoes grown in Area No. 2 are contained in Sec. 948.386 of the
order.
On June 25, 2009, the Committee unanimously recommended changing
the minimum size requirement from 1\7/8\ inches to 2 inches in diameter
or 4 ounces minimum weight for all varieties of potatoes, except for
round varieties. This had been the industry standard in place prior to
the 2008-2009 season. Because severe and adverse weather conditions in
2008 significantly decreased yields and damaged the crop, the Committee
had recommended for the 2008-2009 marketing season that the minimum
size be reduced from 2 inches in diameter or 4 ounces minimum weight to
1\7/8\ inches in diameter for all varieties of potatoes, except round
varieties. The Committee believes it is now appropriate to return to
the size regulations that were in place prior to the 2008-2009 season.
The Committee believes that quality assurance is very important to
the Colorado potato industry. Providing acceptable quality produce that
is appealing to consumers on a consistent basis is necessary to
maintain buyer
[[Page 3334]]
confidence in the marketplace and improve producer returns.
Under this final rule, potatoes other than round varieties will
meet the size requirement if they are at least 2 inches in diameter or
4 ounces in weight. Some long, thin potatoes might be smaller than 2
inches in diameter, but weigh at least 4 ounces. These potatoes will
meet the revised size requirement. Some potatoes might weigh less than
4 ounces, but be at least 2 inches in diameter. These potatoes will
also meet the revised minimum size requirement.
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 action 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 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 72 handlers of Colorado Area No. 2 potatoes
subject to regulation under the order and approximately 175 producers
in the regulated production area. Small agricultural service firms are
defined by the Small Business Administration (SBA) (13 CFR 121.201) as
those having annual receipts of less than $7,000,000, and small
agricultural producers are defined as those having annual receipts of
less than $750,000.
During the 2007-2008 marketing year, 14,225,568 hundredweight of
Colorado Area No. 2 potatoes were inspected under the order and sold
into the fresh market. Based on an estimated average f.o.b. price of
$12.05 per hundredweight, the Committee estimates that 61 Area No. 2
handlers, or about 85 percent, have annual receipts of less than
$7,000,000. In view of the foregoing, the majority of Colorado Area No.
2 potato handlers may be classified as small entities.
In addition, based on information provided by the National
Agricultural Statistics Service (NASS), the average producer price for
Colorado potatoes for 2007 was $9.85 per hundredweight. The average
annual fresh potato revenue for each of the 175 Colorado Area No. 2
potato producers is therefore calculated to be approximately $778,455.
Consequently, on average, the majority of the Area No. 2 Colorado
potato producers may not be classified as small entities.
This rule changes the minimum size requirement from 1\7/8\ inches
in diameter to 2 inches in diameter or 4 ounces minimum weight for all
potato varieties, except round varieties. Authority for this action is
contained in Sec. Sec. 948.21 and 948.22.
NASS estimated planted acreage for the 2007 crop in Area No. 2 at
59,200 acres, a decrease of 700 acres when compared with 59,900 acres
planted in 2006. Based on Committee records, 88.4 percent of Area No. 2
potatoes entered the fresh market during the 2007-2008 marketing year
(including potatoes produced for seed). Of those potatoes, Russet or
long potato varieties accounted for 88.3 percent.
Only a small portion of the crop is expected to be negatively
affected by this minimum size increase (i.e., that portion of the crop,
other than round varieties, smaller than 2 inches in diameter or 4
ounces minimum weight, but larger than 1\7/8\ inches in diameter) and
thus no longer meet order requirements. However, due to current
customer demand, many handlers are already shipping potatoes that
measure 2-inches or greater. The Committee believes that the expected
benefits of improved quality, increased purchases and sales volume, and
increased returns received by producers will greatly outweigh the costs
related to the regulation.
The Committee discussed alternatives to this rule. One alternative
included making no change at all to the current regulation. However,
the Committee did not believe this alternative would have met the needs
of buyers or provided any benefit to the industry. The Committee
believes that the change will increase returns to producers while
supplying the market with a higher percentage of larger high quality
potatoes.
This final rule changes the size requirement for all varieties of
potatoes, except for round varieties. Accordingly, this action will not
impose any additional reporting or recordkeeping requirements on either
small or large potato 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 final rule.
In addition, the Committee's meeting was widely publicized
throughout the Colorado Area No. 2 potato 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 25,
2009, meeting was a public meeting and all entities, both large and
small, were able to express views on this issue.
A proposed rule concerning this action was published in the Federal
Register on November 23, 2009 (74 FR 61053). Copies of the rule were e-
mailed or sent via facsimile to all Committee members and potato
handlers. Finally, the rule was made available through the Internet by
USDA and the Office of the Federal Register. A 15-day comment period
ending December 8, 2009, 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/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 matter 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.
It is further found that good cause exists for not postponing the
effective date of this rule until 30 days after publication in the
Federal Register (5 U.S.C. 553) because handlers are already shipping
potatoes from the 2009-2010 crop. Further, handlers are aware of this
rule, which was recommended at a public meeting. Also, a 15-day comment
period was provided for in the proposed rule.
List of Subjects in 7 CFR Part 948
Marketing agreements, Potatoes, Reporting and recordkeeping
requirements.
0
For the reasons set forth in the preamble, 7 CFR part 948 is amended as
follows:
[[Page 3335]]
PART 948--IRISH POTATOES GROWN IN COLORADO
0
1. The authority citation for 7 CFR part 948 continues to read as
follows:
Authority: 7 U.S.C. 601-674.
0
2. Amend Sec. 948.386 by revising paragraph (a)(2) to read as follows:
Sec. 948.386 Handling Regulation.
* * * * *
(a) * * *
(2) All other varieties. U.S. No. 2, or better grade, 2 inches
minimum diameter or 4 ounces minimum weight.
* * * * *
Dated: January 13, 2010.
David R. Shipman,
Acting Administrator, Agricultural Marketing Service.
[FR Doc. 2010-1000 Filed 1-20-10; 8:45 am]
BILLING CODE P
