Blueberry Promotion, Research, and Information Order; Increase Membership, 12707-12710 [2010-5773]
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Federal Register / Vol. 75, No. 51 / Wednesday, March 17, 2010 / Proposed Rules
year beginning on July 1, 2009, which
shall be free and restricted, respectively,
are designated as follows: Free
percentage, 32 percent and restricted
percentage, 68 percent.
Dated: March 11, 2010.
David R. Shipman,
Acting Administrator, Agricultural Marketing
Service.
[FR Doc. 2010–5772 Filed 3–16–10; 8:45 am]
BILLING CODE 3410–02–P
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 1218
[Document Number AMS–FV–09–0022; FV–
09–705]
Blueberry Promotion, Research, and
Information Order; Increase
Membership
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AGENCY: Agricultural Marketing Service,
USDA.
ACTION: Proposed rule.
SUMMARY: This rule proposes to add two
importer members and their alternates
to the U.S. Highbush Blueberry Council
(Council) to reflect changes in the
quantity of highbush blueberry imports
in the past three years. The change was
proposed by the Council in accordance
with the provisions of the Blueberry
Promotion, Research, and Information
Order (Order) which is authorized by
the Commodity Promotion, Research,
and Information Act of 1996 (Act). The
Order requires that the Council review
the geographical distribution of the
United States production and the
quantity of imports of highbush
blueberries at least every five years. As
a result of these changes, the total
Council membership would increase
from 14 to 16 members and their
alternates. In addition, this rule
proposes to increase the quorum
minimum from seven to nine members.
DATES: Comments must be received by
April 6, 2010.
ADDRESSES: Interested persons are
invited to submit written comments on
the Internet at: https://
www.regulations.gov or to the Research
and Promotion Branch, Fruit and
Vegetable Programs, Agricultural
Marketing Service (AMS), U.S.
Department of Agriculture,
(Department) Room 0632–S, Stop 0244,
1400 Independence Avenue, SW.,
Washington, DC 20250–0244; facsimile:
(202) 205–2800. All comments should
reference the docket number and the
date and page number of this issue of
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the Federal Register and will be made
available for public inspection in the
above office during regular business
hours or it can be viewed at https://
www.regulations.gov. All comments
received will be posted without change,
including any personal information
provided.
FOR FURTHER INFORMATION CONTACT:
Jeanette Palmer, Marketing Specialist,
Research and Promotion Branch, Fruit
and Vegetable Programs, AMS, U.S.
Department of Agriculture, Stop 0244,
1400 Independence Avenue, SW., Room
0632–S, Washington, DC 20250–0244;
telephone: (888) 720–9917; facsimile:
(202) 205–2800; or electronic mail:
Jeanette.Palmer@ams.usda.gov.
This rule
is issued under the Blueberry
Promotion, Research, and Information
Order [7 CFR part 1218]. The Order is
authorized under the Commodity
Promotion, Research, and Information
Act of 1996 (Act) [7 U.S.C. 7411–7425].
SUPPLEMENTARY INFORMATION:
Executive Order 12866
The Office of Management and Budget
(OMB) has waived the review process
required by Executive Order 12866 for
this action.
Executive Order 12988
This rule has been reviewed under
Executive Order 12988, Civil Justice
Reform. The rule is not intended to have
retroactive effect. Section 524 of the Act
provides that the Act shall not affect or
preempt any other State or Federal law
authorizing promotion or research
relating to an agricultural commodity.
The Act provides that any person
subject to an order may file a written
petition with the Department if they
believe that the order, any provision of
the order, or any obligation imposed in
connection with the order, is not
established in accordance with law. In
any petition, the person may request a
modification of the order or an
exemption from the order. The
petitioner is afforded the opportunity
for a hearing on the petition. After a
hearing, the Department would rule on
the petition. The Act provides that the
district court of the United States in any
district in which the petitioner resides
or conducts business shall have the
jurisdiction to review the Department’s
ruling on the petition, provided a
complaint is filed not later than 20 days
after the date of the entry of the ruling.
Initial Regulatory Flexibility Analysis
and Paperwork Reduction Act
In accordance with the Regulatory
Flexibility Act (RFA) [5 U.S.C. 601–
612], AMS has considered the economic
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impact of this action on the small
producers, first handlers, importers, and
exporters that would be affected by this
rule. The purpose of the RFA is to fit
regulatory action to scale on businesses
subject to such action so that small
businesses will not be
disproportionately burdened.
The Small Business Administration
defines, in 13 CFR part 121, small
agricultural producers as those having
annual receipts of no more than
$750,000 and small agricultural service
firms as those having annual receipts of
no more than $7 million. There are
approximately 2,000 producers, 200 first
handlers, 50 importers, and 4 exporters
of highbush blueberries subject to the
program. Most of the producers would
be classified as small businesses under
the criteria established by the Small
Business Administration. Most
importers, first handlers, and exporters
would not be classified as small
businesses. Producers who produce less
than 2,000 pounds of highbush
blueberries annually are exempt from
this program. Importers who import less
than 2,000 pounds of fresh and frozen
highbush blueberries annually are also
exempt from this program.
The Department’s National
Agricultural Statistics Service (NASS)
data for the 2008 crop year shows that
about 5,790 pounds of highbush
blueberries were produced per acre. The
2008 average grower price for highbush
blueberries published by NASS was
$1.54 per pound. Thus, the value of
highbush blueberry production per acre
in 2008 averaged about $8,917 (5,790
pounds multiplied by $1.54). At that
average value, a producer would have to
farm over 84 acres to receive an annual
income from highbush blueberries of
$750,000 ($750,000 divided by $8,916
per acre equals 84). Accordingly, as
previously noted, a majority of the
producers of highbush blueberries
would be classified as small businesses.
According to the Council, assessments
received in 2008 reached $2.4 million.
Of the total, the Council received
$830,222 from import assessment
collections which is approximately 35
percent of the Council’s total budget.
The Council has projected import
assessment collections at $850,000 for
the 2009 budget year.
According to the Council’s World
Blueberry Acreage and Production
Report, highbush blueberry acreage in
North America increased from 71,075
acres in 2005 to an estimated 95,607
acres in 2008, a 35 percent increase in
just three years. The United States’
share of this total increased from 56,665
acres in 2005 to 74,992 acres in 2008,
a 32 percent increase. Most of this
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acreage growth is coming from the
higher yielding western and southern
States. Highbush blueberry production
volume is expected to increase
significantly from these regions in the
coming years.
In 2008, the United States exported
13,791 metric tons of fresh highbush
blueberries worth over $69 million.
Canada is the principal destination for
United States exports—accounting for
nearly 84 percent of the total in 2008.
Other key markets included the United
Kingdom at 7 percent and Japan at 6
percent of the total. Most of the
remaining 3 percent of the United States
exports were to Asian countries.
The United States exports of frozen
highbush blueberries totaled 5,785
metric tons in 2008 and were valued at
over $17 million. The largest United
States export market for frozen highbush
blueberries is Canada which accounted
for 47 percent of the total quantity
exported in 2008. Japan was the second
largest United States market accounting
for 39 percent. Most of the remaining 14
percent of United States exports were
sent to other Asian, United Kingdom,
and European countries.
In 2008, the United States imported
45,105 metric tons of fresh highbush
blueberries worth over $229 million.
The largest imports of highbush
blueberries came from Chile which
accounted for 61 percent of the total in
2008. Other major suppliers of fresh
highbush blueberries were Canada at 19
percent and Argentina at 17 percent of
the total. The remaining 3 percent of
imported highbush blueberries came
from New Zealand and Uruguay.
The United States imports of frozen
highbush blueberries totaled 19,152
metric tons in 2008 and were valued at
over $64 million. The bulk of the United
States frozen highbush blueberries
imports came from Canada, which
accounted for 78 percent of total in
2008. Other major suppliers of frozen
highbush blueberries were Chile with 16
percent of the total, Argentina with 5
percent and the Netherlands with 1
percent.
In the international market, highbush
blueberry production has increased in
Canada, Mexico, South America,
Europe, and Asia. The highbush
blueberry acreage worldwide has nearly
doubled in the past five years from an
estimated 83,299 acres in 2003 to an
estimated 163,065 acres in 2008. Based
on the data in the Council’s 2007–2008
World Acreage and Production Report,
North America represented 77 percent
of the total worldwide highbush
blueberry acreage in 2003 (64,360 acres),
but just 59 percent of the estimated total
acreage in 2008 (95,607 acres).
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Most of the worldwide growth over
the past five years has taken place in
South America which has increased
acreage from an estimated 6,939 acres in
2003 to an estimated 39,703 acres in
2008, a nearly sixfold increase with the
largest growth in Chile and Argentina.
Most of the growth in European
production, which has increased from
8,978 acres in 2003 to 18,038 in 2008,
has taken place in Spain, Germany, and
Poland. Asian highbush blueberry
production has increased during this
five-year period from 2,372 acres to
7,870 acres with most of the growth
taking place in China and to a lesser
extent Japan. Acreage in Australia and
New Zealand has not significantly
increased during this period.
Given worldwide acreage estimates,
projections show that given optimal
conditions with no crop losses or
disruptions, total worldwide highbush
blueberry production has the potential
to increase from an estimated 606
million pounds in 2008 to an estimated
1.5 billion pounds by the year 2015,
more than two times the current level of
production in the next seven years. This
total does not include lowbush (wild)
blueberry production, which at the
current time averages around 200
million pounds per year. These
projections are considered optimal
forecasts and are based on the potential
of what has been planted to date as well
as upon assumptions of favorable crop
years in all international highbush
blueberry growing regions. During this
period, North American highbush
blueberry production is estimated to
increase from 407 million pounds in
2008 to 890 million pounds by the year
2015, more than two times the current
level of production.
Section 1218.40(b) of the Order
requires that the Council review the
geographical distribution of United
States production of highbush
blueberries and the quantity of imports
at least once every five years. Based on
this review, the Council makes a
recommendation to the Secretary of
Agriculture (Secretary) to continue
without change or make changes to the
representation on the Council to reflect
changes in the geographical distribution
of the production of highbush
blueberries and the quantity of imports.
On August 13, 2009, the Council voted
by electronic mail (e-mail) to add two
importer members and their alternates
to the Council. The vote to recommend
two additional importers and their
alternates was based on a three-year
average production and imports data.
Nine out of the ten Council members
who voted were in support of adding
these additional members.
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The Council consists of a total of 14
members which includes 10 producers,
1 importer, 1 exporter from a foreign
production area, 1 handler, and 1 public
member. Each member has an alternate.
The 10 producer members are allocated
as follows: One producer member from
each of the four regions and one
producer member from each of the six
top producing States. The regions are
Western, Midwest, Northeast, and
Southern. The top-producing States are
Georgia, Michigan, New Jersey, North
Carolina, Oregon, and Washington.
In 2006, the Council collected
assessments on 360,467 million pounds
of highbush blueberries. The domestic
production of highbush blueberries in
the United States was 268,800 million
pounds which was 75 percent of the
total assessments collected by the
Council. Imports of highbush
blueberries came in at 91,667 million
pounds which represented 25 percent of
the total assessments collected by the
Council.
The Council records show that for the
years 2003, 2004, and 2005 the United
States produced 189,900 million
pounds, 209,200 million pounds, and
246,000 million pounds of highbush
blueberries respectively. Using this data,
the three-year average annual highbush
blueberries production for the United
States totaled 215,033 million pounds
per year (645,100 divided by 3). For this
period, domestic production
represented approximately 78 percent of
the total assessments collected by the
Council. For imports for the years 2003,
2004, and 2005, imports were at 63,334
million pounds, 55,000 million pounds,
and 66,667 million pounds of highbush
blueberries, respectively. Based on this
data, the three-year average annual
imports for highbush blueberries totaled
61,667 million pounds per year (185,001
divided by 3). Imports represented 22
percent of the total assessments paid to
the Council during the period of 2003
through 2005.
The Council reviewed the domestic
production of highbush blueberries in
the United States. The Council records
show that for the years 2006, 2007, and
2008 the United States produced
268,800 million pounds, 281,500
million pounds, and 335,900 million
pounds of highbush blueberries
respectively. Using this data, the threeyear average annual highbush
blueberries production for the United
States totals 295,400 million pounds per
year (886,200 divided by 3). Based on
this data, the domestic production
represents 72 percent of the total
assessments collected by the Council.
Currently 72 percent of the Council’s
members represent the domestic
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production. Therefore, the Council
determined that there were no changes
required at this time for the domestic
member positions.
The Council’s assessment records
show that for the years 2006, 2007, and
2008 imports came in at 91,667 million
pounds, 108,333 million pounds, and
141,667 million pounds of highbush
blueberries respectively. Based on this
data, the three-year average annual
imports for highbush blueberries totals
113,889 million pounds per year
(341,667 divided by 3). This represents
approximately 28 percent of the total
assessments paid to the Council. In
contrast in 1997, imports came at 23.7
million pounds or 12 percent of the total
of domestic and imports. Accordingly,
two importer and alternate seats should
be added to the Council. The new
Council membership distribution would
be 10 producers, 3 importers, 1 exporter,
1 handler, and 1 public member which
would bring the percentage of seats for
importers and exporters to 28 percent of
the total seats on the Council.
Given the adjustment in membership
for the Council in 2006 and the
proposed changes herein, it is proposed
that the minimum quorum at a Council
meeting increase from seven to nine
members. This would reflect that a
majority of the 16 Council members (or
their alternates, when appropriate) are
present for a quorum.
Nominations and appointments to the
Council are conducted pursuant to
sections 1218.40, 1218.41, and 1218.42
of the Order. Appointments to the
Council are made by the Secretary from
a slate of nominated candidates.
Pursuant to section 1218.41(d) of the
Order, nominations for the importer,
exporter, handler, and public member
positions will be made by the Council.
The nominees for the two importer and
alternate positions will be submitted to
the Secretary for appointment to the
Council.
In accordance with the Office of
Management and Budget (OMB)
regulation [5 CFR part 1320] which
implements the Paperwork Reduction
Act of 1995 [44 U.S.C. Chapter 35], the
background form, which represents the
information collection and
recordkeeping requirements that are
imposed by the Order have been
approved previously under OMB
number 0505–0001.
The Order requires that two nominees
be submitted for each vacant position.
With regard to information collection
requirements, adding two importers and
their alternates to the Council means
that eight additional importers will be
required to submit background forms to
the Department in order to be
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considered for appointment to the
Council. However, serving on the
Council is optional, and the burden of
submitting the background form would
be offset by the benefits of serving on
the Council. The estimated annual cost
of providing the information by eight
importers would be $33 or $4.12 per
importer. The additional burden will be
included in the existing information
collection package under OMB number
0505–0001.
The Department has not identified
any relevant Federal rules that
duplicate, overlap, or conflict with this
rule.
We have performed this Initial
Regulatory Flexibility Analysis
regarding the impact of this proposed
amendment to the Order on small
entities, and we invite comments
concerning potential effects of this
amendment on small businesses.
Background
The Order became effective on August
16, 2000, and it is authorized under the
Act. The Council is composed of 10
producers, 1 importer, 1 exporter from
a foreign production area, 1 handler,
and 1 public member. Each member has
an alternate. The 10 producer members
are allocated as follows: One producer
member from each of the four regions
and one producer member for each of
the six top producing States. The
regions are Western, Midwest,
Northeast, and Southern. The topproducing States that currently have
representation on the Council are
Georgia, Michigan, New Jersey, North
Carolina, Oregon, and Washington. The
producer members are nominated by
producers or producer groups. The
importer, exporter, handler, and public
member positions are nominated by the
Council.
Under the Order, the Council
administers a nationally coordinated
program of research, development,
advertising, and promotion designed to
strengthen the position of highbush
blueberries in the marketplace, and to
establish, maintain, and expand markets
for highbush blueberries. This program
is financed by assessments on producers
growing 2,000 pounds or more of
highbush blueberries and importers who
import 2,000 or more pounds of
highbush blueberries per year. The
current assessment rate is $12 per ton
levied on highbush blueberries
produced within the 50 States, the
District of Columbia, the
Commonwealth of Puerto Rico, and the
territories and possessions of the United
States and on imports of more than
2,000 pounds into the United States.
The Order specifies that handlers are
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responsible for collecting and
submitting the producer assessments to
the Council and maintaining records
necessary to verify their reporting(s).
Importers are responsible for payment of
assessments to the Council on highbush
blueberries imported into the United
States through the U.S. Customs Service
and Border Protection. Producers who
produce less than 2,000 pounds and
importers of less than 2,000 pounds of
highbush blueberries annually are
exempt from this program.
Pursuant to section 515(b)(3)of the
Act and section 1218.40(b) of the Order,
at least once in each five-year period,
the Council shall review the
geographical distribution of United
States production of highbush
blueberries and the quantity of imports
and make a recommendation to the
Secretary to continue without change or
make changes to the representation on
the Council to reflect changes in the
geographical distribution of the
production of highbush blueberries and
the quantity of imports.
On August 13, 2009, the Council
voted nine to one to increase the
membership of the Council by adding
two importer and alternate seats. Based
on the Council’s assessment records for
the years 2006, 2007, and 2008, imports
came in at 91,667 million pounds,
108,333 million pounds, and 141,667
million pounds of highbush blueberries
respectively. Based on this data, the
three-year average annual imports for
highbush blueberries totals 113,889
million pounds per year (341,667
divided by 3). This represents
approximately 28 percent of the total
assessments paid to the Council. In
contrast in 1997, imports came at 23.7
million pounds or 12 percent of the total
of domestic and imports. Accordingly,
two importer and alternate seats should
be added to the Council. The new
Council membership distribution would
be 10 producers, 3 importers, 1 exporter,
1 handler, and 1 public member which
would bring the percentage of seats for
importers and exporters to 28 percent of
the total seats on the Council.
This action will add to the Council
two importers and two alternates. The
Council would be composed of 10
producers, three importers, one exporter
from a foreign production area, one
handler, and one public member. Each
member has an alternate. The addition
of two importers and two alternates
would allow for more importers
representation on the Council’s decision
making and also potentially provide an
opportunity to increase diversity on the
Council.
Furthermore, this rule would make
amendments to section 1218.40(a) of the
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Order to specify that the Council will be
composed of 16 members and their
alternates rather than 14. Also, this rule
would revise section 1218.40(a)(3) of the
Order to specify three importers and
alternates instead of one importer and
alternate. In addition, this rule would
revise section 1218.45 (a) of the Order
to increase the minimum quorum level
at Council meetings from seven to nine
members.
Nominations and appointments to the
Council are conducted pursuant to
sections 1218.40, 1218.41, and 1218.42
of the Order. Appointments to the
Council are made by the Secretary from
a slate of nominated candidates.
Pursuant to section 1218.41(d) of the
Order, nominations for the importer,
exporter, handler, and public member
positions are made by the Council.
Nominations are submitted to the
Secretary for appointment to the
Council.
A 20-day comment period is provided
to allow interested persons to respond
to this proposal. Twenty days is deemed
appropriate so that the proposed
amendments, if adopted, may be
implemented with the other importer
seats up for appointment in spring 2010.
All written comments received in
response to this rule by the date
specified would be considered prior to
finalizing this action.
List of Subjects in 7 CFR Part 1218
Administrative practice and
procedure, Advertising, Consumer
information, Marketing agreements,
Blueberry promotion, Reporting and
recordkeeping requirements.
For the reasons set forth in the
preamble, 7 CFR part 1218 is proposed
to be amended as follows:
PART 1218—BLUEBERRY
PROMOTION, RESEARCH, AND
INFORMATION ORDER
1. The authority citation for 7 CFR
part 1218 continues to read as follows:
Authority: 7 U.S.C. 7411–7425; 7 U.S.C.
7401.
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2. In § 1218.40, paragraph (a)
introductory text and paragraph (a)(3)
are revised to read as follows:
§ 1218.40
Establishment and membership.
(a) Establishment of the U.S.
Highbush Blueberry Council. There is
hereby established a U.S. Highbush
Blueberry Council, hereinafter called
the Council, composed of no more than
16 members and alternates, appointed
by the Secretary from nominations as
follows:
*
*
*
*
*
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(3) Three importers and alternates.
*
*
*
*
3. Section 1218.45 paragraph (a) is
revised to read as follows:
*
§ 1218.45
Procedure.
(a) At a Council meeting, it will be
considered a quorum when a minimum
of nine members, or their alternates
serving in the absence, are present.
*
*
*
*
*
Dated: March 11, 2010.
David R. Shipman,
Acting Administrator, Agricultural Marketing
Service.
[FR Doc. 2010–5773 Filed 3–16–10; 8:45 am]
BILLING CODE 3410–02–P
DEPARTMENT OF TRANSPORTATION
Federal Aviation Administration
14 CFR Part 39
[Docket No. FAA–2010–0229; Directorate
Identifier 2009–NM–115–AD]
RIN 2120–AA64
Airworthiness Directives; Bombardier,
Inc., Model DHC–8–400 Series
Airplanes
Federal Aviation
Administration (FAA), DOT.
ACTION: Notice of proposed rulemaking
(NPRM).
AGENCY:
SUMMARY: We propose to adopt a new
airworthiness directive (AD) for the
products listed above. This proposed
AD results from mandatory continuing
airworthiness information (MCAI)
originated by an aviation authority of
another country to identify and correct
an unsafe condition on an aviation
product. The MCAI describes the unsafe
condition as: Certain main landing gear
components have experienced
premature failure during certification
testing. Revision has been made to the
DHC–8–400 Maintenance Requirements
Manual, Airworthiness Limitation
Items, to incorporate the revised safe life
limits for the main landing gear lock
actuator assembly, retraction actuator
assembly rod end and piston, and the
upper bearing in the main landing gear
shock strut assembly. Failure of these
components could adversely affect the
structural integrity of the main landing
gear. The proposed AD would require
actions that are intended to address the
unsafe condition described in the MCAI.
DATES: We must receive comments on
this proposed AD by May 3, 2010.
ADDRESSES: You may send comments by
any of the following methods:
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• Federal eRulemaking Portal: Go to
https://www.regulations.gov. Follow the
instructions for submitting comments.
• Fax: (202) 493–2251.
• Mail: U.S. Department of
Transportation, Docket Operations, M–
30, West Building Ground Floor, Room
W12–140, 1200 New Jersey Avenue, SE.,
Washington, DC 20590.
• Hand Delivery: U.S. Department of
Transportation, Docket Operations, M–
30, West Building Ground Floor, Room
W12–40, 1200 New Jersey Avenue, SE.,
Washington, DC, between 9 a.m. and 5
p.m., Monday through Friday, except
Federal holidays.
For service information identified in
this proposed AD, contact Bombardier,
ˆ
Inc., 400 Cote-Vertu Road West, Dorval,
´
Quebec H4S 1Y9, Canada; telephone
514–855–5000; fax 514–855–7401;
e-mail
thd.qseries@aero.bombardier.com;
Internet https://www.bombardier.com.
You may review copies of the
referenced service information at the
FAA, Transport Airplane Directorate,
1601 Lind Avenue, SW., Renton,
Washington. For information on the
availability of this material at the FAA,
call 425–227–1221.
Examining the AD Docket
You may examine the AD docket on
the Internet at https://
www.regulations.gov; or in person at the
Docket Operations office between 9 a.m.
and 5 p.m., Monday through Friday,
except Federal holidays. The AD docket
contains this proposed AD, the
regulatory evaluation, any comments
received, and other information. The
street address for the Docket Operations
office (telephone (800) 647–5527) is in
the ADDRESSES section. Comments will
be available in the AD docket shortly
after receipt.
FOR FURTHER INFORMATION CONTACT:
Craig Yates, Aerospace Engineer,
Airframe and Mechanical Systems
Branch, ANE–171, FAA, New York
Aircraft Certification Office, 1600
Stewart Avenue, Suite 410, Westbury,
New York 11590; telephone (516) 228–
7355; fax (516) 794–5531.
SUPPLEMENTARY INFORMATION:
Comments Invited
We invite you to send any written
relevant data, views, or arguments about
this proposed AD. Send your comments
to an address listed under the
ADDRESSES section. Include ‘‘Docket No.
FAA–2010–0229; Directorate Identifier
2009–NM–115–AD’’ at the beginning of
your comments. We specifically invite
comments on the overall regulatory,
economic, environmental, and energy
E:\FR\FM\17MRP1.SGM
17MRP1
Agencies
[Federal Register Volume 75, Number 51 (Wednesday, March 17, 2010)]
[Proposed Rules]
[Pages 12707-12710]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-5773]
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DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 1218
[Document Number AMS-FV-09-0022; FV-09-705]
Blueberry Promotion, Research, and Information Order; Increase
Membership
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Proposed rule.
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SUMMARY: This rule proposes to add two importer members and their
alternates to the U.S. Highbush Blueberry Council (Council) to reflect
changes in the quantity of highbush blueberry imports in the past three
years. The change was proposed by the Council in accordance with the
provisions of the Blueberry Promotion, Research, and Information Order
(Order) which is authorized by the Commodity Promotion, Research, and
Information Act of 1996 (Act). The Order requires that the Council
review the geographical distribution of the United States production
and the quantity of imports of highbush blueberries at least every five
years. As a result of these changes, the total Council membership would
increase from 14 to 16 members and their alternates. In addition, this
rule proposes to increase the quorum minimum from seven to nine
members.
DATES: Comments must be received by April 6, 2010.
ADDRESSES: Interested persons are invited to submit written comments on
the Internet at: https://www.regulations.gov or to the Research and
Promotion Branch, Fruit and Vegetable Programs, Agricultural Marketing
Service (AMS), U.S. Department of Agriculture, (Department) Room 0632-
S, Stop 0244, 1400 Independence Avenue, SW., Washington, DC 20250-0244;
facsimile: (202) 205-2800. All comments should reference the docket
number and the date and page number of this issue of the Federal
Register and will be made available for public inspection in the above
office during regular business hours or it can be viewed at https://www.regulations.gov. All comments received will be posted without
change, including any personal information provided.
FOR FURTHER INFORMATION CONTACT: Jeanette Palmer, Marketing Specialist,
Research and Promotion Branch, Fruit and Vegetable Programs, AMS, U.S.
Department of Agriculture, Stop 0244, 1400 Independence Avenue, SW.,
Room 0632-S, Washington, DC 20250-0244; telephone: (888) 720-9917;
facsimile: (202) 205-2800; or electronic mail:
Jeanette.Palmer@ams.usda.gov.
SUPPLEMENTARY INFORMATION: This rule is issued under the Blueberry
Promotion, Research, and Information Order [7 CFR part 1218]. The Order
is authorized under the Commodity Promotion, Research, and Information
Act of 1996 (Act) [7 U.S.C. 7411-7425].
Executive Order 12866
The Office of Management and Budget (OMB) has waived the review
process required by Executive Order 12866 for this action.
Executive Order 12988
This rule has been reviewed under Executive Order 12988, Civil
Justice Reform. The rule is not intended to have retroactive effect.
Section 524 of the Act provides that the Act shall not affect or
preempt any other State or Federal law authorizing promotion or
research relating to an agricultural commodity.
The Act provides that any person subject to an order may file a
written petition with the Department if they believe that the order,
any provision of the order, or any obligation imposed in connection
with the order, is not established in accordance with law. In any
petition, the person may request a modification of the order or an
exemption from the order. The petitioner is afforded the opportunity
for a hearing on the petition. After a hearing, the Department would
rule on the petition. The Act provides that the district court of the
United States in any district in which the petitioner resides or
conducts business shall have the jurisdiction to review the
Department's ruling on the petition, provided a complaint is filed not
later than 20 days after the date of the entry of the ruling.
Initial Regulatory Flexibility Analysis and Paperwork Reduction Act
In accordance with the Regulatory Flexibility Act (RFA) [5 U.S.C.
601-612], AMS has considered the economic impact of this action on the
small producers, first handlers, importers, and exporters that would be
affected by this rule. The purpose of the RFA is to fit regulatory
action to scale on businesses subject to such action so that small
businesses will not be disproportionately burdened.
The Small Business Administration defines, in 13 CFR part 121,
small agricultural producers as those having annual receipts of no more
than $750,000 and small agricultural service firms as those having
annual receipts of no more than $7 million. There are approximately
2,000 producers, 200 first handlers, 50 importers, and 4 exporters of
highbush blueberries subject to the program. Most of the producers
would be classified as small businesses under the criteria established
by the Small Business Administration. Most importers, first handlers,
and exporters would not be classified as small businesses. Producers
who produce less than 2,000 pounds of highbush blueberries annually are
exempt from this program. Importers who import less than 2,000 pounds
of fresh and frozen highbush blueberries annually are also exempt from
this program.
The Department's National Agricultural Statistics Service (NASS)
data for the 2008 crop year shows that about 5,790 pounds of highbush
blueberries were produced per acre. The 2008 average grower price for
highbush blueberries published by NASS was $1.54 per pound. Thus, the
value of highbush blueberry production per acre in 2008 averaged about
$8,917 (5,790 pounds multiplied by $1.54). At that average value, a
producer would have to farm over 84 acres to receive an annual income
from highbush blueberries of $750,000 ($750,000 divided by $8,916 per
acre equals 84). Accordingly, as previously noted, a majority of the
producers of highbush blueberries would be classified as small
businesses.
According to the Council, assessments received in 2008 reached $2.4
million. Of the total, the Council received $830,222 from import
assessment collections which is approximately 35 percent of the
Council's total budget. The Council has projected import assessment
collections at $850,000 for the 2009 budget year.
According to the Council's World Blueberry Acreage and Production
Report, highbush blueberry acreage in North America increased from
71,075 acres in 2005 to an estimated 95,607 acres in 2008, a 35 percent
increase in just three years. The United States' share of this total
increased from 56,665 acres in 2005 to 74,992 acres in 2008, a 32
percent increase. Most of this
[[Page 12708]]
acreage growth is coming from the higher yielding western and southern
States. Highbush blueberry production volume is expected to increase
significantly from these regions in the coming years.
In 2008, the United States exported 13,791 metric tons of fresh
highbush blueberries worth over $69 million. Canada is the principal
destination for United States exports--accounting for nearly 84 percent
of the total in 2008. Other key markets included the United Kingdom at
7 percent and Japan at 6 percent of the total. Most of the remaining 3
percent of the United States exports were to Asian countries.
The United States exports of frozen highbush blueberries totaled
5,785 metric tons in 2008 and were valued at over $17 million. The
largest United States export market for frozen highbush blueberries is
Canada which accounted for 47 percent of the total quantity exported in
2008. Japan was the second largest United States market accounting for
39 percent. Most of the remaining 14 percent of United States exports
were sent to other Asian, United Kingdom, and European countries.
In 2008, the United States imported 45,105 metric tons of fresh
highbush blueberries worth over $229 million. The largest imports of
highbush blueberries came from Chile which accounted for 61 percent of
the total in 2008. Other major suppliers of fresh highbush blueberries
were Canada at 19 percent and Argentina at 17 percent of the total. The
remaining 3 percent of imported highbush blueberries came from New
Zealand and Uruguay.
The United States imports of frozen highbush blueberries totaled
19,152 metric tons in 2008 and were valued at over $64 million. The
bulk of the United States frozen highbush blueberries imports came from
Canada, which accounted for 78 percent of total in 2008. Other major
suppliers of frozen highbush blueberries were Chile with 16 percent of
the total, Argentina with 5 percent and the Netherlands with 1 percent.
In the international market, highbush blueberry production has
increased in Canada, Mexico, South America, Europe, and Asia. The
highbush blueberry acreage worldwide has nearly doubled in the past
five years from an estimated 83,299 acres in 2003 to an estimated
163,065 acres in 2008. Based on the data in the Council's 2007-2008
World Acreage and Production Report, North America represented 77
percent of the total worldwide highbush blueberry acreage in 2003
(64,360 acres), but just 59 percent of the estimated total acreage in
2008 (95,607 acres).
Most of the worldwide growth over the past five years has taken
place in South America which has increased acreage from an estimated
6,939 acres in 2003 to an estimated 39,703 acres in 2008, a nearly
sixfold increase with the largest growth in Chile and Argentina. Most
of the growth in European production, which has increased from 8,978
acres in 2003 to 18,038 in 2008, has taken place in Spain, Germany, and
Poland. Asian highbush blueberry production has increased during this
five-year period from 2,372 acres to 7,870 acres with most of the
growth taking place in China and to a lesser extent Japan. Acreage in
Australia and New Zealand has not significantly increased during this
period.
Given worldwide acreage estimates, projections show that given
optimal conditions with no crop losses or disruptions, total worldwide
highbush blueberry production has the potential to increase from an
estimated 606 million pounds in 2008 to an estimated 1.5 billion pounds
by the year 2015, more than two times the current level of production
in the next seven years. This total does not include lowbush (wild)
blueberry production, which at the current time averages around 200
million pounds per year. These projections are considered optimal
forecasts and are based on the potential of what has been planted to
date as well as upon assumptions of favorable crop years in all
international highbush blueberry growing regions. During this period,
North American highbush blueberry production is estimated to increase
from 407 million pounds in 2008 to 890 million pounds by the year 2015,
more than two times the current level of production.
Section 1218.40(b) of the Order requires that the Council review
the geographical distribution of United States production of highbush
blueberries and the quantity of imports at least once every five years.
Based on this review, the Council makes a recommendation to the
Secretary of Agriculture (Secretary) to continue without change or make
changes to the representation on the Council to reflect changes in the
geographical distribution of the production of highbush blueberries and
the quantity of imports. On August 13, 2009, the Council voted by
electronic mail (e-mail) to add two importer members and their
alternates to the Council. The vote to recommend two additional
importers and their alternates was based on a three-year average
production and imports data. Nine out of the ten Council members who
voted were in support of adding these additional members.
The Council consists of a total of 14 members which includes 10
producers, 1 importer, 1 exporter from a foreign production area, 1
handler, and 1 public member. Each member has an alternate. The 10
producer members are allocated as follows: One producer member from
each of the four regions and one producer member from each of the six
top producing States. The regions are Western, Midwest, Northeast, and
Southern. The top-producing States are Georgia, Michigan, New Jersey,
North Carolina, Oregon, and Washington.
In 2006, the Council collected assessments on 360,467 million
pounds of highbush blueberries. The domestic production of highbush
blueberries in the United States was 268,800 million pounds which was
75 percent of the total assessments collected by the Council. Imports
of highbush blueberries came in at 91,667 million pounds which
represented 25 percent of the total assessments collected by the
Council.
The Council records show that for the years 2003, 2004, and 2005
the United States produced 189,900 million pounds, 209,200 million
pounds, and 246,000 million pounds of highbush blueberries
respectively. Using this data, the three-year average annual highbush
blueberries production for the United States totaled 215,033 million
pounds per year (645,100 divided by 3). For this period, domestic
production represented approximately 78 percent of the total
assessments collected by the Council. For imports for the years 2003,
2004, and 2005, imports were at 63,334 million pounds, 55,000 million
pounds, and 66,667 million pounds of highbush blueberries,
respectively. Based on this data, the three-year average annual imports
for highbush blueberries totaled 61,667 million pounds per year
(185,001 divided by 3). Imports represented 22 percent of the total
assessments paid to the Council during the period of 2003 through 2005.
The Council reviewed the domestic production of highbush
blueberries in the United States. The Council records show that for the
years 2006, 2007, and 2008 the United States produced 268,800 million
pounds, 281,500 million pounds, and 335,900 million pounds of highbush
blueberries respectively. Using this data, the three-year average
annual highbush blueberries production for the United States totals
295,400 million pounds per year (886,200 divided by 3). Based on this
data, the domestic production represents 72 percent of the total
assessments collected by the Council.
Currently 72 percent of the Council's members represent the
domestic
[[Page 12709]]
production. Therefore, the Council determined that there were no
changes required at this time for the domestic member positions.
The Council's assessment records show that for the years 2006,
2007, and 2008 imports came in at 91,667 million pounds, 108,333
million pounds, and 141,667 million pounds of highbush blueberries
respectively. Based on this data, the three-year average annual imports
for highbush blueberries totals 113,889 million pounds per year
(341,667 divided by 3). This represents approximately 28 percent of the
total assessments paid to the Council. In contrast in 1997, imports
came at 23.7 million pounds or 12 percent of the total of domestic and
imports. Accordingly, two importer and alternate seats should be added
to the Council. The new Council membership distribution would be 10
producers, 3 importers, 1 exporter, 1 handler, and 1 public member
which would bring the percentage of seats for importers and exporters
to 28 percent of the total seats on the Council.
Given the adjustment in membership for the Council in 2006 and the
proposed changes herein, it is proposed that the minimum quorum at a
Council meeting increase from seven to nine members. This would reflect
that a majority of the 16 Council members (or their alternates, when
appropriate) are present for a quorum.
Nominations and appointments to the Council are conducted pursuant
to sections 1218.40, 1218.41, and 1218.42 of the Order. Appointments to
the Council are made by the Secretary from a slate of nominated
candidates. Pursuant to section 1218.41(d) of the Order, nominations
for the importer, exporter, handler, and public member positions will
be made by the Council. The nominees for the two importer and alternate
positions will be submitted to the Secretary for appointment to the
Council.
In accordance with the Office of Management and Budget (OMB)
regulation [5 CFR part 1320] which implements the Paperwork Reduction
Act of 1995 [44 U.S.C. Chapter 35], the background form, which
represents the information collection and recordkeeping requirements
that are imposed by the Order have been approved previously under OMB
number 0505-0001.
The Order requires that two nominees be submitted for each vacant
position. With regard to information collection requirements, adding
two importers and their alternates to the Council means that eight
additional importers will be required to submit background forms to the
Department in order to be considered for appointment to the Council.
However, serving on the Council is optional, and the burden of
submitting the background form would be offset by the benefits of
serving on the Council. The estimated annual cost of providing the
information by eight importers would be $33 or $4.12 per importer. The
additional burden will be included in the existing information
collection package under OMB number 0505-0001.
The Department has not identified any relevant Federal rules that
duplicate, overlap, or conflict with this rule.
We have performed this Initial Regulatory Flexibility Analysis
regarding the impact of this proposed amendment to the Order on small
entities, and we invite comments concerning potential effects of this
amendment on small businesses.
Background
The Order became effective on August 16, 2000, and it is authorized
under the Act. The Council is composed of 10 producers, 1 importer, 1
exporter from a foreign production area, 1 handler, and 1 public
member. Each member has an alternate. The 10 producer members are
allocated as follows: One producer member from each of the four regions
and one producer member for each of the six top producing States. The
regions are Western, Midwest, Northeast, and Southern. The top-
producing States that currently have representation on the Council are
Georgia, Michigan, New Jersey, North Carolina, Oregon, and Washington.
The producer members are nominated by producers or producer groups. The
importer, exporter, handler, and public member positions are nominated
by the Council.
Under the Order, the Council administers a nationally coordinated
program of research, development, advertising, and promotion designed
to strengthen the position of highbush blueberries in the marketplace,
and to establish, maintain, and expand markets for highbush
blueberries. This program is financed by assessments on producers
growing 2,000 pounds or more of highbush blueberries and importers who
import 2,000 or more pounds of highbush blueberries per year. The
current assessment rate is $12 per ton levied on highbush blueberries
produced within the 50 States, the District of Columbia, the
Commonwealth of Puerto Rico, and the territories and possessions of the
United States and on imports of more than 2,000 pounds into the United
States. The Order specifies that handlers are responsible for
collecting and submitting the producer assessments to the Council and
maintaining records necessary to verify their reporting(s). Importers
are responsible for payment of assessments to the Council on highbush
blueberries imported into the United States through the U.S. Customs
Service and Border Protection. Producers who produce less than 2,000
pounds and importers of less than 2,000 pounds of highbush blueberries
annually are exempt from this program.
Pursuant to section 515(b)(3)of the Act and section 1218.40(b) of
the Order, at least once in each five-year period, the Council shall
review the geographical distribution of United States production of
highbush blueberries and the quantity of imports and make a
recommendation to the Secretary to continue without change or make
changes to the representation on the Council to reflect changes in the
geographical distribution of the production of highbush blueberries and
the quantity of imports.
On August 13, 2009, the Council voted nine to one to increase the
membership of the Council by adding two importer and alternate seats.
Based on the Council's assessment records for the years 2006, 2007, and
2008, imports came in at 91,667 million pounds, 108,333 million pounds,
and 141,667 million pounds of highbush blueberries respectively. Based
on this data, the three-year average annual imports for highbush
blueberries totals 113,889 million pounds per year (341,667 divided by
3). This represents approximately 28 percent of the total assessments
paid to the Council. In contrast in 1997, imports came at 23.7 million
pounds or 12 percent of the total of domestic and imports. Accordingly,
two importer and alternate seats should be added to the Council. The
new Council membership distribution would be 10 producers, 3 importers,
1 exporter, 1 handler, and 1 public member which would bring the
percentage of seats for importers and exporters to 28 percent of the
total seats on the Council.
This action will add to the Council two importers and two
alternates. The Council would be composed of 10 producers, three
importers, one exporter from a foreign production area, one handler,
and one public member. Each member has an alternate. The addition of
two importers and two alternates would allow for more importers
representation on the Council's decision making and also potentially
provide an opportunity to increase diversity on the Council.
Furthermore, this rule would make amendments to section 1218.40(a)
of the
[[Page 12710]]
Order to specify that the Council will be composed of 16 members and
their alternates rather than 14. Also, this rule would revise section
1218.40(a)(3) of the Order to specify three importers and alternates
instead of one importer and alternate. In addition, this rule would
revise section 1218.45 (a) of the Order to increase the minimum quorum
level at Council meetings from seven to nine members.
Nominations and appointments to the Council are conducted pursuant
to sections 1218.40, 1218.41, and 1218.42 of the Order. Appointments to
the Council are made by the Secretary from a slate of nominated
candidates. Pursuant to section 1218.41(d) of the Order, nominations
for the importer, exporter, handler, and public member positions are
made by the Council. Nominations are submitted to the Secretary for
appointment to the Council.
A 20-day comment period is provided to allow interested persons to
respond to this proposal. Twenty days is deemed appropriate so that the
proposed amendments, if adopted, may be implemented with the other
importer seats up for appointment in spring 2010. All written comments
received in response to this rule by the date specified would be
considered prior to finalizing this action.
List of Subjects in 7 CFR Part 1218
Administrative practice and procedure, Advertising, Consumer
information, Marketing agreements, Blueberry promotion, Reporting and
recordkeeping requirements.
For the reasons set forth in the preamble, 7 CFR part 1218 is
proposed to be amended as follows:
PART 1218--BLUEBERRY PROMOTION, RESEARCH, AND INFORMATION ORDER
1. The authority citation for 7 CFR part 1218 continues to read as
follows:
Authority: 7 U.S.C. 7411-7425; 7 U.S.C. 7401.
2. In Sec. 1218.40, paragraph (a) introductory text and paragraph
(a)(3) are revised to read as follows:
Sec. 1218.40 Establishment and membership.
(a) Establishment of the U.S. Highbush Blueberry Council. There is
hereby established a U.S. Highbush Blueberry Council, hereinafter
called the Council, composed of no more than 16 members and alternates,
appointed by the Secretary from nominations as follows:
* * * * *
(3) Three importers and alternates.
* * * * *
3. Section 1218.45 paragraph (a) is revised to read as follows:
Sec. 1218.45 Procedure.
(a) At a Council meeting, it will be considered a quorum when a
minimum of nine members, or their alternates serving in the absence,
are present.
* * * * *
Dated: March 11, 2010.
David R. Shipman,
Acting Administrator, Agricultural Marketing Service.
[FR Doc. 2010-5773 Filed 3-16-10; 8:45 am]
BILLING CODE 3410-02-P