Apricots Grown in Designated Counties in Washington; Increased Assessment Rate, 51924-51926 [2010-21037]
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51924
Federal Register / Vol. 75, No. 163 / Tuesday, August 24, 2010 / Rules and Regulations
FOR FURTHER INFORMATION CONTACT:
PART 205—NATIONAL ORGANIC
PROGRAM
1. The authority citation for 7 CFR
part 205 continues to read as follows:
■
Authority: 7 U.S.C. 6501–6522.
2. Section 205.603(d)(1) is revised to
read as follows:
■
§ 205.603 Synthetic substances allowed
for use in organic livestock production.
*
*
*
*
*
(d) * * *
(1) DL–Methionine, DL–Methionine—
hydroxy analog, and DL–Methionine—
hydroxy analog calcium (CAS #–59–51–
8; 63–68–3; 348–67–4)—for use only in
organic poultry production until
October 1, 2012, at the following
maximum levels of synthetic
methionine per ton of feed: laying
chickens—4 pounds; broiler chickens—
5 pounds; turkeys and all other
poultry—6 pounds.
*
*
*
*
*
Dated: August 17, 2010.
Rayne Pegg,
Administrator, Agricultural Marketing
Service.
[FR Doc. 2010–20977 Filed 8–23–10; 8:45 am]
BILLING CODE 3410–02–P
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 922
[Doc. No. AMS–FV–10–0050; FV10–922–1
FR]
Apricots Grown in Designated
Counties in Washington; Increased
Assessment Rate
Agricultural Marketing Service,
USDA.
ACTION: Final rule.
AGENCY:
This rule increases the
assessment rate established for the
Washington Apricot Marketing
Committee (Committee) for the 2010–11
and subsequent fiscal periods from
$1.00 to $1.50 per ton for Washington
apricots. The Committee is responsible
for local administration of the marketing
order regulating the handling of apricots
grown in designated counties in
Washington. Assessments upon
handlers of apricots are used by the
Committee to fund reasonable and
necessary expenses of the program. The
fiscal period for the marketing order
begins April 1 and ends March 31. The
assessment rate would remain in effect
indefinitely unless modified, suspended
or terminated.
DATES: Effective Date: August 25, 2010.
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SUMMARY:
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Robert Curry or Gary 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:
Robert.Curry@ams.usda.gov or
GaryD.Olson@ams.usda.gov.
Small businesses may request
information on complying with this
regulation by contacting Antoinette
Carter, Marketing Order Administration
Branch, Fruit and Vegetable Programs,
AMS, USDA, 1400 Independence, SW.,
STOP 0237, Washington, DC 20250–
0237; Telephone: (202) 690–3919; Fax:
(202) 720–8938; or E-mail:
Antoinette.Carter@ams.usda.gov.
This rule
is issued under Marketing Order No.
922 (7 CFR part 922), as amended,
regulating the handling of apricots
grown in designated counties in
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, apricot handlers in designated
counties in Washington 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 Washington
apricots beginning April 1, 2010, 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
SUPPLEMENTARY INFORMATION:
PO 00000
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Fmt 4700
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20 days after the date of the entry of the
ruling.
This rule increases the assessment
rate established for the Committee for
the 2010–11 and subsequent fiscal
periods from $1.00 to $1.50 per ton for
Washington apricots handled under the
order.
The order provides authority for the
Committee, with the approval of USDA,
to formulate an annual budget of
expenses and collect assessments from
handlers to administer the program. The
members of the Committee are
producers and handlers of apricots in
designated counties in Washington.
They are familiar with the Committee’s
needs and with the costs for goods and
services in their local area and are thus
in a position to formulate an appropriate
budget and assessment rate. The
assessment rate is formulated and
discussed at a public meeting. Thus, all
directly affected persons have an
opportunity to participate and provide
input.
For the 2009–10 and subsequent fiscal
periods, the Committee recommended,
and the USDA approved, an assessment
rate of $1.00 per ton of apricots handled.
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 Committee or other
information available to USDA.
The Committee met on May 19, 2010,
and unanimously recommended 2010–
11 expenditures of $8,145. In
comparison, last year’s budgeted
expenditures were $7,843. In addition,
the Committee recommended that the
$1.00 per ton assessment rate be
increased by $0.50 to $1.50 per ton of
apricots handled. Committee members
reported that apricot production this
season may be lower than that of last
season since portions of the Washington
apricot production area experienced
freezing weather in October 2009, and
high winds in April of this year. As a
result, the Committee has estimated that
shipments of fresh apricots will
approximate 5,550 tons this season—
somewhat less than the 6,860 tons of
fresh apricots reported last season. The
Committee thus recommended that the
assessment rate be increased by $0.50 to
help ensure that budgeted expenses are
adequately covered.
The major expenditures
recommended by the Committee for the
2010–11 fiscal period include $4,800 for
the management fee, $1,300 for
Committee travel, $100 for compliance,
$750 for the annual audit review, and
$1,195 for equipment maintenance,
insurance, bonds, and miscellaneous
expenses. In comparison, major
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expenditures for the 2009–10 fiscal
period included $4,800 for the
management service fee, $1,000 for
travel, $100 for compliance, and $1,943
for audits, insurance and bonds,
equipment maintenance and
miscellaneous expenses.
The assessment rate recommended by
the Committee was derived by dividing
the anticipated expenses of $8,145 by
the projected 2010 apricot production of
5,550 tons. Applying the $1.50 per ton
recommended assessment rate to this
crop estimate should provide $8,325 in
assessment income. Funds in the
Committee’s monetary reserve are
projected to be $7,854 on March 31,
2011. This is within the order’s limit of
approximately one fiscal period’s
operational expenses.
The assessment rate established in
this rule will continue in effect
indefinitely unless modified,
suspended, or terminated by USDA
upon recommendation and information
submitted by the Committee or other
available information.
Although this assessment rate will be
effective for an indefinite period, the
Committee 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 Committee’s
meetings are available from the
Committee or USDA. The Committee’s
meetings are open to the public and
interested persons may express their
views at these meetings. USDA would
evaluate the Committee’s
recommendations and other available
information to determine whether
modification of the assessment rate is
needed. Further rulemaking would be
undertaken as necessary. The
Committee’s 2010–11 budget has been
reviewed and approved by USDA; those
for subsequent fiscal periods would also
be reviewed and, as appropriate,
approved.
Final Regulatory Flexibility Analysis
Pursuant to requirements set forth in
the Regulatory Flexibility Act (RFA), the
Agricultural Marketing Service (AMS)
has considered the economic impact of
this rule on small entities. Accordingly,
AMS has prepared this final regulatory
flexibility analysis.
The purpose of the RFA is to fit
regulatory actions to the scale of
business subject to such actions in order
that small businesses will not be unduly
or disproportionately burdened.
Marketing orders issued pursuant to the
Act, and the rules issued thereunder, are
unique in that they are brought about
through group action of essentially
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15:10 Aug 23, 2010
Jkt 220001
small entities acting on their own
behalf.
There are approximately 94 apricot
producers within the regulated
production area and approximately 20
regulated handlers. Small agricultural
producers are defined by the Small
Business Administration (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.
The Washington Agricultural
Statistics Service reported that the total
8,500 ton Washington apricot utilization
(including both fresh and processed
markets) in 2009 sold for an average of
$888 per ton. The total 2009 farm-gate
value was approximately $7,551,000.
Based on the number of producers in
the production area (94), the average
annual producer revenue from the sale
of apricots in 2009 can thus be
estimated at approximately $80,330. In
addition, based on information from the
Committee and USDA’s Market News
Service, 2009 f.o.b. prices for WA No. 1
apricots ranged from $14.00 to $24.00
per 24-pound loose-pack container, and
from $12.00 to $22.00 for 2-layer tray
pack containers. The average 2009 price
across all sizes and packs was $17.50,
with an estimated industry gross intake
of approximately $10,913,636 in f.o.b.
receipts for the 2009 crop—leaving
average receipts for each of the 20
handlers well below the SBA’s
$7,000,000 threshold for small
businesses. Therefore, the majority of
producers and handlers of Washington
apricots may be classified as small
entities.
This rule increases the assessment
rate established for the Committee and
collected from handlers for the 2010–11
and subsequent fiscal periods from
$1.00 to $1.50 per ton for apricots
handled under the order. The
Committee also unanimously
recommended 2010–11 expenditures of
$8,145. With a 2010–11 Washington
apricot crop estimate of 5,550 fresh
market tons, the Committee anticipates
assessment income of about $8,325. The
Committee recommended the
assessment rate increase to help ensure
that budgeted expenses are adequately
covered.
The major expenditures
recommended by the Committee for the
2010–11 fiscal period include $4,800 for
the management fee, $1,300 for
Committee travel, $100 for compliance,
$750 for the annual audit review, and
$1,195 for equipment maintenance,
insurance, bonds, and miscellaneous
expenses. In comparison, major
expenditures for the 2009–10 fiscal
PO 00000
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Fmt 4700
Sfmt 4700
51925
period included $4,800 for the
management service fee, $1,000 for
travel, $100 for compliance, and $1,943
for audits, insurance and bonds,
equipment maintenance and
miscellaneous expenses. Funds in the
Committee’s monetary reserve are
projected to be $7,854 on March 31,
2011. This is within the order’s limit of
approximately one fiscal period’s
operational expenses.
The Committee discussed alternatives
to the assessment rate increase. Leaving
the assessment rate at $1.00 per ton
would have provided the Committee
with about $5,550 in income, an amount
considerably less than the 2010
budgeted expenditures of $8,145. The
Committee felt that this would have
significantly depleted its monetary
reserves, and thus recommended the
$.50 increase. The Committee did not
consider an assessment rate greater than
$1.50.
A review of historical crop and price
information, as well as preliminary
information pertaining to the upcoming
crop year indicates that the producer
price for the 2010–11 season could
average about $1,000 per ton for fresh
Washington apricots. Therefore, the
estimated assessment revenue for the
2010–11 fiscal period as a percentage of
total producer revenue is 0.15 percent
for Washington apricots.
This action increases the assessment
obligation imposed on handlers. While
assessments impose some additional
costs on handlers, the costs are minimal
and uniform on all handlers. Some of
the additional costs may be passed on
to producers. However, these costs
would be offset by the benefits derived
by the operation of the order.
The Committee’s meeting was widely
publicized throughout the Washington
apricot industry and all interested
persons were invited to attend and
participate in Committee deliberations
on all issues. Like all Committee
meetings, the May 19, 2010 meeting was
a public meeting and all entities, both
large and small, were able to express
views on the issues.
This rule imposes no additional
reporting or recordkeeping requirements
on either small or large Washington
apricot 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
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51926
Federal Register / Vol. 75, No. 163 / Tuesday, August 24, 2010 / Rules and Regulations
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 June 30, 2010 (FR 75 37740). Copies
of the proposed rule were also made
available to all apricot handlers by
Committee staff. The proposal was also
made available through the Internet by
USDA and the Office of the Federal
Register. A 15-day comment period
ending July 15, 2010, was provided for
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.fetchTemplate
Data.do?template=TemplateN&
page=MarketingOrdersSmallBusiness
Guide. Any questions about the
compliance guide should be sent to
Antoinette Carter at the previously
mentioned address in the FOR FURTHER
INFORMATION CONTACT section.
After consideration of all relevant
material presented, including the
information and recommendation
submitted by the Committee and other
available information, it is hereby found
that this rule, as hereinafter set forth,
will tend to effectuate the declared
policy of the Act.
Pursuant to 5 U.S.C. 553, it 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 2010–11 fiscal period
began on April 1, 2010, and the order
requires that the assessment rate for
each fiscal period apply to all assessable
apricots handled during such fiscal
period; (2) Washington apricots are
currently being harvested and shipped
to market; (3) the Committee needs to
have sufficient funds to pay its
expenses, which are incurred on a
continuous basis; (4) handlers are aware
of this action, which was recommended
by the Committee at a public meeting
and is similar to other assessment rate
actions issued in past years; and (5) a
15-day comment period was provided in
the proposed rule.
List of Subjects in 7 CFR Part 922
Apricots, Marketing agreements,
Reporting and recordkeeping
requirements.
For the reasons set forth in the
preamble, 7 CFR part 922 is amended as
follows:
■
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15:10 Aug 23, 2010
Jkt 220001
PART 922—APRICOTS GROWN IN
DESIGNATED COUNTIES IN
WASHINGTON
1. The authority citation for 7 CFR
part 922 continues to read as follows:
■
Authority: 7 U.S.C. 601–674.
2. Section 922.235 is revised to read
as follows:
■
§ 922.235
Assessment rate.
On and after April 1, 2010, an
assessment rate of $1.50 per ton is
established for the Washington Apricot
Marketing Committee.
Dated: August 17, 2010.
Rayne Pegg,
Administrator, Agricultural Marketing
Service.
[FR Doc. 2010–21037 Filed 8–23–10; 8:45 am]
BILLING CODE 3410–02–P
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 984
[Doc. No. AMS–FV–09–0036; FV09–984–4
FR]
Walnuts Grown in California; Changes
to the Quality Regulations for Shelled
Walnuts
Agricultural Marketing Service,
USDA.
ACTION: Final rule.
AGENCY:
This rule revises the quality
regulations for shelled walnuts under
the Federal marketing order for
California walnuts (order). The order
regulates the handling of walnuts grown
in California and is administered locally
by the California Walnut Board (Board).
This rule requires inspection and
certification of shelled walnut products
after manufacturing instead of before
manufacturing. It also establishes a
process to specify that manufactured
products smaller than eight sixtyfourths of an inch in diameter are
derived from walnut pieces that have
been inspected and certified to U.S.
Commercial grade standards. These
changes will result in more efficient and
cost-effective handler operations, and
will certify the final Size And Grade Of
All Manufactured Walnut Pieces.
DATES: Effective Date: August 25, 2010.
FOR FURTHER INFORMATION CONTACT: Jeff
Smutny, Marketing Specialist, or Kurt J.
Kimmel, Regional Manager, California
Marketing Field Office, Marketing Order
Administration Branch, Fruit and
Vegetable Programs, AMS, USDA;
Telephone: (559) 487–5901, Fax: (559)
SUMMARY:
PO 00000
Frm 00010
Fmt 4700
Sfmt 4700
487–5906, or E-mail:
Jeffrey.Smutny@ams.usda.gov or
Kurt.Kimmel@ams.usda.gov.
Small businesses may request
information on complying with this
regulation by contacting Antoinette
Carter, 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:
Antoinette.Carter@ams.usda.gov.
This final
rule is issued under Marketing Order
No. 984, as amended (7 CFR part 984),
regulating the handling of walnuts
grown in California, hereinafter referred
to as the ‘‘order.’’ The order is effective
under the Agricultural Marketing
Agreement Act of 1937, as amended (7
U.S.C. 601–674), hereinafter referred to
as the ‘‘Act.’’
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 quality
regulations for shelled walnuts to
require inspection and certification after
chopping or dicing them into smaller
pieces (manufacturing) instead of before
manufacturing, and to establish a
process for specifying that
manufactured products smaller than
eight sixty-fourths of an inch in
diameter are derived from walnut pieces
that have been inspected and certified to
U.S. Commercial grade standards. This
will result in more efficient and costeffective handler operations and will
certify the final size and grade of all
manufactured walnut pieces. This rule
SUPPLEMENTARY INFORMATION:
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Agencies
[Federal Register Volume 75, Number 163 (Tuesday, August 24, 2010)]
[Rules and Regulations]
[Pages 51924-51926]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2010-21037]
-----------------------------------------------------------------------
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 922
[Doc. No. AMS-FV-10-0050; FV10-922-1 FR]
Apricots Grown in Designated Counties in Washington; Increased
Assessment Rate
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: This rule increases the assessment rate established for the
Washington Apricot Marketing Committee (Committee) for the 2010-11 and
subsequent fiscal periods from $1.00 to $1.50 per ton for Washington
apricots. The Committee is responsible for local administration of the
marketing order regulating the handling of apricots grown in designated
counties in Washington. Assessments upon handlers of apricots are used
by the Committee to fund reasonable and necessary expenses of the
program. The fiscal period for the marketing order begins April 1 and
ends March 31. The assessment rate would remain in effect indefinitely
unless modified, suspended or terminated.
DATES: Effective Date: August 25, 2010.
FOR FURTHER INFORMATION CONTACT: Robert Curry or Gary 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: Robert.Curry@ams.usda.gov or GaryD.Olson@ams.usda.gov.
Small businesses may request information on complying with this
regulation by contacting Antoinette Carter, Marketing Order
Administration Branch, Fruit and Vegetable Programs, AMS, USDA, 1400
Independence, SW., STOP 0237, Washington, DC 20250-0237; Telephone:
(202) 690-3919; Fax: (202) 720-8938; or E-mail:
Antoinette.Carter@ams.usda.gov.
SUPPLEMENTARY INFORMATION: This rule is issued under Marketing Order
No. 922 (7 CFR part 922), as amended, regulating the handling of
apricots grown in designated counties in 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, apricot
handlers in designated counties in Washington 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 Washington apricots beginning
April 1, 2010, 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
Committee for the 2010-11 and subsequent fiscal periods from $1.00 to
$1.50 per ton for Washington apricots handled under the order.
The order provides authority for the Committee, with the approval
of USDA, to formulate an annual budget of expenses and collect
assessments from handlers to administer the program. The members of the
Committee are producers and handlers of apricots in designated counties
in Washington. They are familiar with the Committee's needs and with
the costs for goods and services in their local area and are thus in a
position to formulate an appropriate budget and assessment rate. The
assessment rate is formulated and discussed at a public meeting. Thus,
all directly affected persons have an opportunity to participate and
provide input.
For the 2009-10 and subsequent fiscal periods, the Committee
recommended, and the USDA approved, an assessment rate of $1.00 per ton
of apricots handled. 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 Committee or other
information available to USDA.
The Committee met on May 19, 2010, and unanimously recommended
2010-11 expenditures of $8,145. In comparison, last year's budgeted
expenditures were $7,843. In addition, the Committee recommended that
the $1.00 per ton assessment rate be increased by $0.50 to $1.50 per
ton of apricots handled. Committee members reported that apricot
production this season may be lower than that of last season since
portions of the Washington apricot production area experienced freezing
weather in October 2009, and high winds in April of this year. As a
result, the Committee has estimated that shipments of fresh apricots
will approximate 5,550 tons this season--somewhat less than the 6,860
tons of fresh apricots reported last season. The Committee thus
recommended that the assessment rate be increased by $0.50 to help
ensure that budgeted expenses are adequately covered.
The major expenditures recommended by the Committee for the 2010-11
fiscal period include $4,800 for the management fee, $1,300 for
Committee travel, $100 for compliance, $750 for the annual audit
review, and $1,195 for equipment maintenance, insurance, bonds, and
miscellaneous expenses. In comparison, major
[[Page 51925]]
expenditures for the 2009-10 fiscal period included $4,800 for the
management service fee, $1,000 for travel, $100 for compliance, and
$1,943 for audits, insurance and bonds, equipment maintenance and
miscellaneous expenses.
The assessment rate recommended by the Committee was derived by
dividing the anticipated expenses of $8,145 by the projected 2010
apricot production of 5,550 tons. Applying the $1.50 per ton
recommended assessment rate to this crop estimate should provide $8,325
in assessment income. Funds in the Committee's monetary reserve are
projected to be $7,854 on March 31, 2011. This is within the order's
limit of approximately one fiscal period's operational expenses.
The assessment rate established in this rule will continue in
effect indefinitely unless modified, suspended, or terminated by USDA
upon recommendation and information submitted by the Committee or other
available information.
Although this assessment rate will be effective for an indefinite
period, the Committee 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 Committee's meetings are available from the Committee or
USDA. The Committee's meetings are open to the public and interested
persons may express their views at these meetings. USDA would evaluate
the Committee's recommendations and other available information to
determine whether modification of the assessment rate is needed.
Further rulemaking would be undertaken as necessary. The Committee's
2010-11 budget has been reviewed and approved by USDA; those for
subsequent fiscal periods would also be reviewed and, as appropriate,
approved.
Final Regulatory Flexibility Analysis
Pursuant to requirements set forth in the Regulatory Flexibility
Act (RFA), the Agricultural Marketing Service (AMS) has considered the
economic impact of this rule on small entities. Accordingly, AMS has
prepared this final regulatory flexibility analysis.
The purpose of the RFA is to fit regulatory actions to the scale of
business subject to such actions in order that small businesses will
not be unduly or disproportionately burdened. Marketing orders issued
pursuant to the Act, and the rules issued thereunder, are unique in
that they are brought about through group action of essentially small
entities acting on their own behalf.
There are approximately 94 apricot producers within the regulated
production area and approximately 20 regulated handlers. Small
agricultural producers are defined by the Small Business Administration
(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.
The Washington Agricultural Statistics Service reported that the
total 8,500 ton Washington apricot utilization (including both fresh
and processed markets) in 2009 sold for an average of $888 per ton. The
total 2009 farm-gate value was approximately $7,551,000. Based on the
number of producers in the production area (94), the average annual
producer revenue from the sale of apricots in 2009 can thus be
estimated at approximately $80,330. In addition, based on information
from the Committee and USDA's Market News Service, 2009 f.o.b. prices
for WA No. 1 apricots ranged from $14.00 to $24.00 per 24-pound loose-
pack container, and from $12.00 to $22.00 for 2-layer tray pack
containers. The average 2009 price across all sizes and packs was
$17.50, with an estimated industry gross intake of approximately
$10,913,636 in f.o.b. receipts for the 2009 crop--leaving average
receipts for each of the 20 handlers well below the SBA's $7,000,000
threshold for small businesses. Therefore, the majority of producers
and handlers of Washington apricots may be classified as small
entities.
This rule increases the assessment rate established for the
Committee and collected from handlers for the 2010-11 and subsequent
fiscal periods from $1.00 to $1.50 per ton for apricots handled under
the order. The Committee also unanimously recommended 2010-11
expenditures of $8,145. With a 2010-11 Washington apricot crop estimate
of 5,550 fresh market tons, the Committee anticipates assessment income
of about $8,325. The Committee recommended the assessment rate increase
to help ensure that budgeted expenses are adequately covered.
The major expenditures recommended by the Committee for the 2010-11
fiscal period include $4,800 for the management fee, $1,300 for
Committee travel, $100 for compliance, $750 for the annual audit
review, and $1,195 for equipment maintenance, insurance, bonds, and
miscellaneous expenses. In comparison, major expenditures for the 2009-
10 fiscal period included $4,800 for the management service fee, $1,000
for travel, $100 for compliance, and $1,943 for audits, insurance and
bonds, equipment maintenance and miscellaneous expenses. Funds in the
Committee's monetary reserve are projected to be $7,854 on March 31,
2011. This is within the order's limit of approximately one fiscal
period's operational expenses.
The Committee discussed alternatives to the assessment rate
increase. Leaving the assessment rate at $1.00 per ton would have
provided the Committee with about $5,550 in income, an amount
considerably less than the 2010 budgeted expenditures of $8,145. The
Committee felt that this would have significantly depleted its monetary
reserves, and thus recommended the $.50 increase. The Committee did not
consider an assessment rate greater than $1.50.
A review of historical crop and price information, as well as
preliminary information pertaining to the upcoming crop year indicates
that the producer price for the 2010-11 season could average about
$1,000 per ton for fresh Washington apricots. Therefore, the estimated
assessment revenue for the 2010-11 fiscal period as a percentage of
total producer revenue is 0.15 percent for Washington apricots.
This action increases the assessment obligation imposed on
handlers. While assessments impose some additional costs on handlers,
the costs are minimal and uniform on all handlers. Some of the
additional costs may be passed on to producers. However, these costs
would be offset by the benefits derived by the operation of the order.
The Committee's meeting was widely publicized throughout the
Washington apricot industry and all interested persons were invited to
attend and participate in Committee deliberations on all issues. Like
all Committee meetings, the May 19, 2010 meeting was a public meeting
and all entities, both large and small, were able to express views on
the issues.
This rule imposes no additional reporting or recordkeeping
requirements on either small or large Washington apricot 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
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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 June 30, 2010 (FR 75 37740). Copies of the proposed rule
were also made available to all apricot handlers by Committee staff.
The proposal was also made available through the Internet by USDA and
the Office of the Federal Register. A 15-day comment period ending July
15, 2010, was provided for 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
Antoinette Carter at the previously mentioned address in the FOR
FURTHER INFORMATION CONTACT section.
After consideration of all relevant material presented, including
the information and recommendation submitted by the Committee and other
available information, it is hereby found that this rule, as
hereinafter set forth, will tend to effectuate the declared policy of
the Act.
Pursuant to 5 U.S.C. 553, it 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
2010-11 fiscal period began on April 1, 2010, and the order requires
that the assessment rate for each fiscal period apply to all assessable
apricots handled during such fiscal period; (2) Washington apricots are
currently being harvested and shipped to market; (3) the Committee
needs to have sufficient funds to pay its expenses, which are incurred
on a continuous basis; (4) handlers are aware of this action, which was
recommended by the Committee at a public meeting and is similar to
other assessment rate actions issued in past years; and (5) a 15-day
comment period was provided in the proposed rule.
List of Subjects in 7 CFR Part 922
Apricots, Marketing agreements, Reporting and recordkeeping
requirements.
0
For the reasons set forth in the preamble, 7 CFR part 922 is amended as
follows:
PART 922--APRICOTS GROWN IN DESIGNATED COUNTIES IN WASHINGTON
0
1. The authority citation for 7 CFR part 922 continues to read as
follows:
Authority: 7 U.S.C. 601-674.
0
2. Section 922.235 is revised to read as follows:
Sec. 922.235 Assessment rate.
On and after April 1, 2010, an assessment rate of $1.50 per ton is
established for the Washington Apricot Marketing Committee.
Dated: August 17, 2010.
Rayne Pegg,
Administrator, Agricultural Marketing Service.
[FR Doc. 2010-21037 Filed 8-23-10; 8:45 am]
BILLING CODE 3410-02-P