Softwood Lumber Research, Promotion, Consumer Education and Industry Information Order; Changes to the Membership of the Softwood Lumber Board, 58956-58960 [2013-22968]
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58956
Proposed Rules
Federal Register
Vol. 78, No. 186
Wednesday, September 25, 2013
This section of the FEDERAL REGISTER
contains notices to the public of the proposed
issuance of rules and regulations. The
purpose of these notices is to give interested
persons an opportunity to participate in the
rule making prior to the adoption of the final
rules.
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 1217
[Document Number AMS–FV–13–0038]
Softwood Lumber Research,
Promotion, Consumer Education and
Industry Information Order; Changes
to the Membership of the Softwood
Lumber Board
Agricultural Marketing Service.
Proposed rule.
AGENCY:
ACTION:
This proposal invites
comments on changes to the
membership of the Softwood Lumber
Board (Board) established under the
Softwood Lumber Research, Promotion,
Consumer Education and Industry
Information Order (Order). The Board
administers the Order with oversight by
the U.S. Department of Agriculture
(USDA). Under the Order, assessments
are collected from U.S. manufacturers
(domestic) and importers and used for
projects to promote softwood lumber
within the United States. This proposal
would revise the Board’s membership to
reflect the diversity of the industry in
terms of size of operation; allow
companies that operate in multiple
geographic regions to seek
representation in any region in which
they operate (U.S. or import); add
flexibility for the Board to nominate
eligible persons to fill vacancies that
occur during a term; and re-designate
the States of Virginia and West Virginia
to the U.S. South Region. These changes
would help facilitate program
operations.
DATES: Comments must be received by
October 25, 2013.
ADDRESSES: Interested persons are
invited to submit written comments
concerning this proposal. Comments
may be submitted on the Internet at:
https://www.regulations.gov or to the
Promotion and Economics Division,
Fruit and Vegetable Program, AMS,
USDA, 1400 Independence Avenue
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SUMMARY:
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SW., Room 1406–S, Stop 0244,
Washington, DC 20250–0244; facsimile:
(202) 205–2800. All comments should
reference the document number and the
date and page number of this issue of
the Federal Register and will be made
available for public inspection,
including name and address, if
provided, in the above office during
regular business hours or it can be
viewed at https://www.regulations.gov.
FOR FURTHER INFORMATION CONTACT:
Maureen T. Pello, Marketing Specialist,
Promotion and Economics Division,
Fruit and Vegetable Program, AMS,
USDA, P.O. Box 831, Beavercreek,
Oregon, 97004; telephone: (503) 632–
8848; facsimile (503) 632–8852; or
electronic mail:
Maureen.Pello@ams.usda.gov.
order or an exemption from an order.
Any petition filed challenging an order,
any provision of an order, or any
obligation imposed in connection with
an order, shall be filed within two years
after the effective date of an order,
provision, or obligation subject to
challenge in the petition. The petitioner
will have the opportunity for a hearing
on the petition. Thereafter, USDA will
issue a ruling on the petition. The 1996
Act provides that the district court of
the United States for any district in
which the petitioner resides or conducts
business shall have the jurisdiction to
review a final ruling on the petition, if
the petitioner files a complaint for that
purpose not later than 20 days after the
date of the entry of USDA’s final ruling.
This
proposal is issued under the Order. The
Order is authorized under the
Commodity Promotion, Research, and
Information Act of 1996 (1996 Act) (7
U.S.C. 7411–7425).
This proposal invites comments on
changes to the Board’s membership
provisions under the Order. The Board
administers the Order with oversight by
USDA. Under the Order, assessments
are collected from U.S. manufacturers
and importers and used for projects to
promote softwood lumber within the
United States. This proposal would
revise the Board’s membership to reflect
the diversity of the industry in terms of
size of operation; allow companies that
operate in multiple regions to seek
representation in any region in which
they operate (U.S. or import); add
flexibility for the Board to nominate
eligible persons to fill vacancies that
occur during a term; and re-designate
the States of Virginia and West Virginia
to the U.S. South Region. These changes
would help facilitate program
operations and were unanimously
recommended by the Board in July
2013.
Pursuant to section 1217.40(b), the
Board is composed of 18 or 19 members,
depending upon whether an additional
importer member is appointed to the
Board. Twelve members are domestic
manufacturers and six members are
importers of softwood lumber from
Canada. Of the 12 domestic
manufacturers, 6 represent the U.S.
South, 5 represent the U.S. West and 1
represents the Northeast and Lake
States. Of the six Canadian importers,
four represent Canada West and two
represent Canada East. An additional
importer member may be appointed to
represent all other importing countries
besides Canada. Section 1217.40(c)(2)
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 13175
This action has been reviewed in
accordance with the requirements of
Executive Order 13175, Consultation
and Coordination with Indian Tribal
Governments. The review reveals that
this regulation would not have
substantial and direct effects on Tribal
governments and would not have
significant Tribal implications.
Executive Order 12988
This proposal has been reviewed
under Executive Order 12988, Civil
Justice Reform. It is not intended to
have retroactive effect. Section 524 of
the 1996 Act (7 U.S.C. 7423) provides
that it shall not affect or preempt any
other Federal or State law authorizing
promotion or research relating to an
agricultural commodity.
Under section 519 of the 1996 Act (7
U.S.C. 7418), a person subject to an
order may file a written petition with
USDA stating that an order, any
provision of an order, or any obligation
imposed in connection with an order, is
not established in accordance with the
law, and request a modification of an
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Background
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Federal Register / Vol. 78, No. 186 / Wednesday, September 25, 2013 / Proposed Rules
provides authority for the Board to
recommend changes to its membership
and nomination process.
The Board met on May 7 and 8, 2013,
and reviewed program operations,
including the Board’s structure and
nomination process. The Board
reviewed these issues further and made
the following four recommendations in
July 2013.
reflect the diversity of the industry in
terms of size of operation. About 8
percent of the companies covered under
the Order account for the top two-thirds
of the total annual volume of assessable
softwood lumber (both domestic and
imports). These companies are
considered large by the industry in
terms of size of operation. Some of these
companies operate in multiple regions
and some are both a domestic
manufacturer and an importer of
softwood lumber. Ninety-two percent of
the companies covered under the Order
Board Diversity and Size of Operation
The Board recommended that its
regional membership be revised to
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account for the remaining one-third of
the total annual volume of assessable
softwood lumber. These are considered
small by the industry in terms of size of
operation.
The Board wants to ensure that this
diversity is reflected within each region.
The Board analyzed each region’s
volume of assessable softwood lumber
in relation to the region’s volume
attributed to small and large companies.
Table 1 below shows this analysis based
on 3-year average data (2010–2012).
TABLE 1—REGIONAL ANALYSIS OF ASSESSABLE SOFTWOOD LUMBER BY SIZE OF OPERATION
Large companies
Small companies
Regional volume
(billion board feet)
Assessable volume
(billion board feet)
Region
Regional volume
(billion board feet)
U.S. South ...................................................................................
U.S. West .....................................................................................
NE and Lake States ....................................................................
10.436
10.548
0.749
5.951 (57%)
8.017 (76%)
0.229 (31%)
4.485 (43%)
2.511 (24%)
0.520 (69%)
Canada West ...............................................................................
Canada East ................................................................................
4.983
2.379
3.919 (79%)
1.315 (55%)
1.064 (21%)
1.064 (45%)
* These figures are an average of data from 2010–2012. 2012 is actual Board assessment data from its first year of operation. 2010 and 2011
Canadian data is from U.S. Customs and Border Protection. 2010 and 2011 U.S. data is from Forest Economic Advisors.
It is noted that for the U.S. South,
while the majority of the volume of
assessable softwood lumber is attributed
to large companies, almost 90 percent of
the number of companies operating in
this region are small. The Board
considered this in its recommended
distribution of Board seats as shown in
Table 2 below.
TABLE 2—ALLOCATION OF BOARD SEATS BASED ON SIZE OF OPERATION
Number of seats
Size of operation
U.S. South
Large companies .....................................
Small companies ......................................
NE and Lake
States
U.S. West
2
4
6
4
1
5
Canada east
N/A
Canada west
1
1
2
1
3
1
4
Non-Canadian
importer
N/A
1
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* The Northeast and Lake States member and non-Canadian importer member could represent companies of any size.
Additionally, if there were no eligible
nominees for a large or small seat within
a region, that seat could be filled by a
nominee representing a company of any
size. Should a company’s size change
during a member’s term of office, that
member could serve for the remainder
of the term to which they were
appointed. Section 1217.40(b) would be
revised accordingly.
Further, section 1217.40(c) requires
the Board to periodically review the
geographic distribution of the volume of
softwood lumber manufactured and
shipped within the United States by
domestic manufacturers and the volume
of softwood lumber imported into the
United States. This section would be
revised to require the Board to also
periodically review the distribution of
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seats based on size of operation and
recommend changes as necessary.
Section 1217.40(c) would be revised
accordingly.
Entities That Operate in Multiple
Regions (U.S. and/or Import)
Section 1217.41(b)(3) provides that
nominees that are both a domestic
manufacturer and importer may seek
nomination to the Board as either a
domestic manufacturer or an importer,
but not both. Nominees who
domestically manufacture the majority
of their softwood lumber must seek
representation as a domestic
manufacturer and nominees who import
the majority of their softwood lumber
must seek representation as an importer.
Section 1217.41(b)(4) provides that
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domestic manufacturers who
manufacture and domestically ship from
more than one U.S. region must seek
representation in the region of the
majority of their softwood lumber.
Further, section 1217.41(b)(5) provides
that importers who import from more
than one Canadian region must seek
representation in the region from which
they import the majority of their
softwood lumber.
As previously mentioned some
entities in the softwood lumber industry
are both domestic manufacturers and
importers and operate in multiple
regions under the Order. Industry
members would like the flexibility to
choose which region they represent and
whether they seek a position as a
domestic manufacturer or an importer
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Federal Register / Vol. 78, No. 186 / Wednesday, September 25, 2013 / Proposed Rules
on the Board. Thus, the Board
recommended revising the Order so that
entities that are U.S. manufacturers and
importers and who may operate in
multiple regions have the ability to seek
representation in any region in which
they operate. This would add flexibility
to the nomination process by allowing
companies to seek representation in
their region of choice. Paragraphs (3), (4)
and (5) of section 1217.41(b) would be
revised accordingly.
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Vacancies That Occur Mid-Term
Section 1217.43(c) currently specifies
that if a position becomes vacant,
nominations to fill the vacancy be
conducted using the nomination process
set forth in the Order (section
1217.41(b)) whereby the Board solicits
the names of eligible nominees and then
conducts regional elections. The process
is lengthy and can result in a seat
remaining vacant for an extended period
of time. Thus, the Board recommended
revising the Order to allow the Board
the flexibility to nominate eligible
persons to fill vacancies that occur
during a term. This would facilitate
program operations by helping to ensure
that vacancies are filled in a timely
manner. Section 1217.43(c) would be
revised accordingly.
Virginia and West Virginia
Section 1217.40(b)(1)(iii) specifies
that the States of Virginia and West
Virginia are included as part of the
Northeast and Lake States Region under
the Order. However, softwood lumber
from Virginia and West Virginia is
predominately pine, a much different
species from the white spruce and red
pine in the Northeast and Lake States,
respectively. Thus, the Board
recommended that the Order be revised
to re-designate the States of Virginia and
West Virginia as part of the U.S. South.
The volume of softwood lumber from
Virginia and West Virginia is relatively
small (284 million board feet in 2012),
so this change would have no impact on
the regional distribution of seats on the
Board. This change would align Virginia
and West Virginia with the region in
which they have more in common.
Section 1217.40(b)(1)(iii) would be
revised accordingly.
This proposal would also make two
minor changes to the Order. In
paragraph (b) of section 1217.70 on
reports, the last sentence would be
modified to specify that importers who
pay their assessments directly to the
Board must submit their report that
accompanies the payment of collected
assessments within 30 calendar days
after the end of the quarter in which the
softwood lumber was imported as
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opposed to 30 calendar days after
importation. This language was
inadvertently omitted from the final rule
that implemented the Order (76 FR
46185; August 2, 2012) and would bring
the Order in line with current industry
practices. This proposal would also
change the OMB control number in
section 1217.108 from 0581–NEW to
0581–0264, the control number assigned
by the OMB.
Initial Regulatory Flexibility Act
Analysis
In accordance with the Regulatory
Flexibility Act (RFA) (5 U.S.C. 601–
612), AMS is required to examine the
impact of the proposed rule on small
entities. Accordingly, AMS has
considered the economic impact of this
action on small entities.
The purpose of the RFA is to fit
regulatory actions to the scale of
businesses subject to such actions 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
(domestic manufacturers and importers)
as those having annual receipts of no
more than $7.0 million.
According to the Board, it is estimated
that there are currently about 446
domestic manufacturers of softwood
lumber in the United States. This
number represents separate business
entities; one business entity may
include multiple sawmills. Using an
average price of $322 per thousand
board feet,1 a domestic manufacturer
who ships less than about 25 million
board feet per year would be considered
a small entity. Using 2012 data, it is
estimated that about 270 domestic
manufacturers, or about 60 percent,2
ship less than 25 million board feet
annually.
Likewise, based on data from U.S.
Customs and Border Protection
(Customs) and the Board, it is estimated
there are currently about 767 importers
of softwood lumber. Using 2012
Customs data, about 699 importers, or
about 91 percent, import less than $7.0
million worth of softwood lumber
annually. Thus, for purposes of the
1 Price data was obtained from Random Lengths
Publications, Inc., and is a framing composite price
that is designed as a broad measure of price
movement in the lumber market
(www.randomlengths.com).
2 Percentages were obtained from the American
Lumber Standard Committee, Inc. (ALSC). The
ALSC administers an accreditation program for the
grade marking of lumber produced under the
American Softwood Lumber Standard (Voluntary
Product Standard 20).
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RFA, the majority of domestic
manufacturers and importers of
softwood lumber would be considered
small entities.
Regarding value of the commodity,
with domestic production averaging
about 28.5 billion board feet in 2012,
and using an average price of $322 per
thousand board feet, the average annual
domestic value for softwood lumber is
about $9.2 billion. According to
Customs data, the average annual value
for softwood lumber imports for 2012 is
about $3.5 billion.
This proposal invites comments on
four changes to the Order regarding the
Board’s membership. Paragraphs (1) and
(2) of section 1217.40(b) would be
revised to reflect the diversity of the
industry in terms of size of operation;
paragraph 1217.40(c) would be revised
to require the Board to periodically
review this distribution. Paragraphs (3),
(4) and (5) of section 1217.41(b) would
be revised to allow companies that
operate in multiple regions to seek
representation in any region in which
they operate. Section 1217.43(c) would
be revised to add flexibility for the
Board to nominate eligible persons to
fill vacancies that occur during a term.
Section 1217.40(b)(1)(iii) would be
revised to re-designate the States of
Virginia and West Virginia to the U.S.
South Region. These changes were
unanimously recommended by the
Board and are authorized under section
1217.40(c)(2) of the Order and section
515(b)(3) of the 1996 Act.
Regarding the economic impact of this
proposed rule on affected entities, these
changes are administrative in nature
and would have no economic impact on
entities covered under the program.
These changes would help maintain the
Board’s balance in terms of size of
operation by geographic region; add
flexibility so that multi-region
companies could choose which region
they represent on the Board; help ensure
that mid-term vacancies are filled in a
timely manner; and better align the
States of Virginia and West Virginia.
Regarding alternatives, the Board
explored various options regarding the
diversity of size of operation. The Board
considered establishing a separate
region for multi-region companies and
companies that are both a domestic
manufacturer and an importer. The
Board also considered establishing some
‘‘at large’’ seats for multi-region
companies. The Board considered
weighting an entity’s vote in a regional
election by volume. The Board also
considered maintaining the status quo
and not changing the Order in this
regard. After much deliberation, the
Board opted to recommend allocating
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Federal Register / Vol. 78, No. 186 / Wednesday, September 25, 2013 / Proposed Rules
regional seats based on an analysis of
the volume of softwood lumber within
each region and the volume of
assessable softwood lumber covered
under the Order.
The Board considered maintaining the
status quo regarding multi-region
companies who may also be a domestic
manufacturer and importer, filling midterm vacancies and the regional
designation for the States of Virginia
and West Virginia. The Board ultimately
recommended modifications to these
Order provisions.
In accordance with the Paperwork
Reduction Act of 1995 (44 U.S.C.
Chapter 35), the information collection
and recordkeeping requirements that are
imposed by the Order have been
approved previously under OMB
control number 0581–0264. This
proposed rule would impose no
additional reporting and recordkeeping
burden on domestic manufacturer and
importers of softwood lumber.
As with all Federal promotion
programs, reports and forms are
periodically reviewed to reduce
information requirements and
duplication by industry and public
sector agencies. Finally, USDA has not
identified any relevant Federal rules
that duplicate, overlap, or conflict with
this proposed rule.
AMS is committed to complying with
the E-Government Act, to promote the
use of the Internet and other
information technologies to provide
increased opportunities for citizen
access to Government information and
services, and for other purposes.
Regarding outreach efforts, these
actions were discussed by the Board at
meetings on May 7 and 8, 2013. The
Board’s Executive Committee discussed
these issues on January 7, June 3 and 10,
and July 1, 2013. All of the Board’s
meetings, including meetings held via
teleconference, are open to the public
and interested persons are invited to
participate and express their views.
We have performed this initial RFA
analysis regarding the impact of this
proposed action on small entities and
we invite comments concerning
potential effects of this action on small
businesses.
While this proposed rule set forth
below has not received the approval of
USDA, it has been determined that it is
consistent with and would effectuate
the purposes of the 1996 Act.
A 30-day comment period is provided
to allow interested persons to respond
to this proposal. Thirty days is deemed
appropriate because this action needs to
be in place no later than February 2014
to allow sufficient time for the election
process and appointments for the term
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of office beginning January 1, 2015. All
written comments received in response
to this proposed rule by the date
specified will be considered prior to
finalizing this action.
List of Subjects in 7 CFR Part 1217
Administrative practice and
procedure, Advertising, Consumer
information, Marketing agreements,
Softwood Lumber promotion, Reporting
and recordkeeping requirements.
For the reasons set forth in the
preamble, 7 CFR part 1217 is proposed
to be amended as follows:
PART 1217—SOFTWOOD LUMBER
RESEARCH, PROMOTION,
CONSUMER EDUCATION AND
INDUSTRY INFORMATION ORDER
1. The authority citation for 7 CFR
part 1217 continues to read as follows:
■
Authority: 7 U.S.C. 7411–7425; 7 U.S.C.
7401.
2. Amend § 1217.40 by:
a. Revising paragraph (a);
b. Revising paragraphs (b)(1), (b)2)
introductory text, (b)(2)(i), and (b)(2)(ii);
■ c. Revising the introductory text to
paragraph (c) and paragraphs (c)(2) and
(c)(3)
The changes to read as follows:
■
■
■
§ 1217.40
Establishment and membership.
(a) Establishment of the Board. There
is hereby established a Softwood
Lumber Board to administer the terms
and provisions of this Order and
promote the use of softwood lumber.
The Board shall be composed of
manufacturers for the U.S. market who
manufacture and domestically ship or
import 15 million board feet or more of
softwood lumber in the United States
during a fiscal period. Seats on the
Board shall be apportioned based on the
volume of softwood lumber
manufactured and shipped within the
United States by domestic
manufacturers and the volume of
softwood lumber imported into the
United States. Seats on the Board shall
also be apportioned based on size of
operation within each geographic
region, as specified in paragraphs
(b)(1)(i), (b)(1)(ii), (b)(2)(i), and (b)(2)(ii)
of this section. For purposes of this
section, large means manufacturers for
the U.S. market who account for the top
two-thirds of the total annual volume of
assessable softwood lumber and small
means those who account for the
remaining one-third of the total annual
volume of assessable softwood lumber.
If there are no eligible nominees for a
large or small seat within a region, that
seat may be filled by a nominee
representing an eligible manufacturer
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58959
for the U.S. market of any size. Should
the size of a manufacturer for the U.S.
market change during a member’s term
of office, that member could serve for
the remainder of the term.
(b) * * *
(1) Domestic manufacturers. Twelve
members shall be domestic
manufacturers from the following three
regions:
(i) Six members shall be from the U.S.
South Region, which consists of the
states of Alabama, Arkansas, Florida,
Georgia, Louisiana, Mississippi, North
Carolina, Oklahoma, South Carolina,
Tennessee, Texas, Virginia and West
Virginia. Of these six members, two
must be large and four must be small;
(ii) Five members shall be from the
U.S. West Region, which consists of the
states of Alaska, Arizona, California,
Colorado, Hawaii, Idaho, Montana,
Nevada, New Mexico, North Dakota,
Oregon, South Dakota, Utah,
Washington and Wyoming. Of these five
members, four must be large and one
must be small; and
(iii) One member shall be from the
Northeast and Lake States Region,
which consists of the states of
Connecticut, Delaware, Illinois, Indiana,
Iowa, Kansas, Kentucky, Maine,
Maryland, Massachusetts, Michigan,
Minnesota, Missouri, Nebraska, New
Hampshire, New Jersey, New York,
Ohio, Pennsylvania, Rhode Island,
Vermont, Wisconsin and all other parts
of the United States not listed in
paragraphs (b)(1)(i), (b)(1)(ii), or
(b)(1)(iii) of this section.
(2) Importers. Six members shall be
importers who represent the following
regions:
(i) Four members shall import
softwood lumber from the Canadian
West Region, which consists of the
provinces of British Columbia and
Alberta. Of these four members, three
must be large and one must be small;
and
(ii) Two members shall import
softwood lumber from the Canadian
East Region, which consists of the
Canadian territories and all other
Canadian provinces not listed in
paragraph (b)(2)(i) of this section that
import softwood lumber into the United
States. Of these two members, one must
be large and one must be small.
(iii) * * *
(c) In each five-year period, but not
more frequently than once in each threeyear period, the Board shall:
(1) * * *
(2) Review, based on a three-year
average, the distribution of the size of
operations within each region; and
(3) If warranted, recommend to the
Secretary the reapportionment of the
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Board membership to reflect changes in
the geographical distribution of the
volume of softwood lumber
manufactured and shipped within the
United States by domestic
manufacturers and the volume of
softwood lumber imported into the
United States. The destination of
volumes between regions and the
distribution of the size of operations
within regions shall also be considered.
The number of Board members may also
be changed. Any changes in Board
composition shall be implemented by
the Secretary through rulemaking.
■ 3. Amend § 1217.41 by
■ a. Revising the introductory text to
paragraph (b);
■ b. Revising paragraphs (b)(1), (b)(2),
(b)(3), (b)(4), and (b)(5).
The changes to read as follows:
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§ 1217.41
Nominations and appointments.
(a) * * *
(b) Subsequent nominations shall be
conducted as follows:
(1) The Board shall conduct outreach
to all segments of the softwood lumber
industry. Softwood lumber domestic
manufacturers and importers may
submit nominations to the Board.
Subsequent nominees must
domestically manufacture and/or import
15 million board feet or more of
softwood lumber per fiscal year;
(2) Domestic manufacturers and
importer nominees may provide the
Board a short background statement
outlining their qualifications to serve on
the Board;
(3) Nominees that are both a domestic
manufacturer and an importer may seek
nomination to the Board and vote in the
nomination process as either a domestic
manufacturer or an importer, but not
both. Such nominees must domestically
manufacture and import 15 million
board feet or more of softwood lumber
per fiscal year;
(4) The names of domestic
manufacturer nominees shall be placed
on a ballot by region. The ballots along
with the background statements shall be
mailed to domestic manufacturers in
each respective region for a vote.
Domestic manufacturers who
manufacture softwood lumber in more
than one region may seek nomination
and vote in one region of their choice.
The votes shall be tabulated for each
region with the nominee receiving the
highest number of votes at the top of the
list in descending order by vote. The top
two candidates for each position shall
be submitted to the Secretary;
(5) The names of importer nominees
shall be placed on a ballot by region.
The ballots along with the background
statements shall be mailed to importers
VerDate Mar<15>2010
16:14 Sep 24, 2013
Jkt 229001
in each respective region for a vote.
Importers who import softwood lumber
from more than one region may seek
nomination and vote in one region of
their choice. The votes shall be
tabulated for each region with the
nominee receiving the highest number
of votes at the top of the list in
descending order by vote. The top two
candidates for each position shall be
submitted to the Secretary.
*
*
*
*
*
■ 4. Amend § 1217.43 by revising
paragraph (c) to read as follows:
§ 1217.43
Removal and vacancies.
(a) * * *
(b) * * *
(c) If a position becomes vacant,
nominations to fill the vacancy may be
conducted using the nominations
process set forth in § 1217.41(b) or the
Board may nominate eligible persons. A
vacancy will not be required to be filled
if the unexpired term is less than six
months.
■ 5. Amend § 1217.70 by revising
paragraph (b) to read as follows:
§ 1217.70
Reports.
*
*
*
*
*
(b) For domestic manufacturers, such
information shall accompany the
collected payment of assessments on a
quarterly basis specified in § 1217.52.
For importers who pay their
assessments directly to the Board, such
information shall accompany the
payment of collected assessments
within 30 calendar days after the end of
the quarter in which the softwood
lumber was imported.
■ 6. Section 1217.108 is revised to read
as follows:
§ 1217.108
OMB control number.
The control number assigned to the
information collection requirement in
this subpart by the Office of
Management and Budget pursuant to the
Paperwork Reduction Act of 1995, 4
U.S.C. is OMB control number 0581–
0264.
Dated: September 17, 2013.
Rex A. Barnes,
Associate Administrator.
[FR Doc. 2013–22968 Filed 9–24–13; 8:45 am]
BILLING CODE 3410–02–P
PO 00000
Frm 00005
Fmt 4702
Sfmt 4702
DEPARTMENT OF TRANSPORTATION
Federal Aviation Administration
14 CFR Part 39
[Docket No. FAA–2013–0793; Directorate
Identifier 2012–NM–138–AD]
RIN 2120–AA64
Airworthiness Directives; BAE
SYSTEMS (OPERATIONS) LIMITED
Airplanes
Federal Aviation
Administration (FAA), DOT.
ACTION: Notice of proposed rulemaking
(NPRM).
AGENCY:
We propose to adopt a new
airworthiness directive (AD) for all BAE
SYSTEMS (OPERATIONS) LIMITED
Model BAe 146 series airplanes and
Model Avro 146–RJ series airplanes.
This proposed AD was prompted by
reports of excess solder deposited
during overhaul on the frangible plug of
a fire extinguisher, which prevented the
release of the extinguishant. This
proposed AD would require a one-time
inspection of certain engine and
auxiliary power unit (APU) fire
extinguishers to determine if the fire
extinguishers are affected by excessive
solder and corrective actions if
necessary. We are proposing this AD to
prevent the failure of a fire extinguisher
to discharge, which reduces the ability
of the fire protection system to
extinguish fires in the engine or APU
fire zones, possibly resulting in damage
to the airplane and injury to the
passengers.
DATES: We must receive comments on
this proposed AD by November 12,
2013.
ADDRESSES: You may send comments by
any of the following methods:
• 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
W12–140, 1200 New Jersey Avenue SE.,
Washington, DC, between 9 a.m. and 5
p.m., Monday through Friday, except
Federal holidays.
• For BAE SYSTEMS (OPERATIONS)
LIMITED service information identified
in this proposed AD, contact BAE
SYSTEMS (OPERATIONS) LIMITED,
Customer Information Department,
SUMMARY:
E:\FR\FM\25SEP1.SGM
25SEP1
Agencies
[Federal Register Volume 78, Number 186 (Wednesday, September 25, 2013)]
[Proposed Rules]
[Pages 58956-58960]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2013-22968]
========================================================================
Proposed Rules
Federal Register
________________________________________________________________________
This section of the FEDERAL REGISTER contains notices to the public of
the proposed issuance of rules and regulations. The purpose of these
notices is to give interested persons an opportunity to participate in
the rule making prior to the adoption of the final rules.
========================================================================
Federal Register / Vol. 78, No. 186 / Wednesday, September 25, 2013 /
Proposed Rules
[[Page 58956]]
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 1217
[Document Number AMS-FV-13-0038]
Softwood Lumber Research, Promotion, Consumer Education and
Industry Information Order; Changes to the Membership of the Softwood
Lumber Board
AGENCY: Agricultural Marketing Service.
ACTION: Proposed rule.
-----------------------------------------------------------------------
SUMMARY: This proposal invites comments on changes to the membership of
the Softwood Lumber Board (Board) established under the Softwood Lumber
Research, Promotion, Consumer Education and Industry Information Order
(Order). The Board administers the Order with oversight by the U.S.
Department of Agriculture (USDA). Under the Order, assessments are
collected from U.S. manufacturers (domestic) and importers and used for
projects to promote softwood lumber within the United States. This
proposal would revise the Board's membership to reflect the diversity
of the industry in terms of size of operation; allow companies that
operate in multiple geographic regions to seek representation in any
region in which they operate (U.S. or import); add flexibility for the
Board to nominate eligible persons to fill vacancies that occur during
a term; and re-designate the States of Virginia and West Virginia to
the U.S. South Region. These changes would help facilitate program
operations.
DATES: Comments must be received by October 25, 2013.
ADDRESSES: Interested persons are invited to submit written comments
concerning this proposal. Comments may be submitted on the Internet at:
https://www.regulations.gov or to the Promotion and Economics Division,
Fruit and Vegetable Program, AMS, USDA, 1400 Independence Avenue SW.,
Room 1406-S, Stop 0244, Washington, DC 20250-0244; facsimile: (202)
205-2800. All comments should reference the document number and the
date and page number of this issue of the Federal Register and will be
made available for public inspection, including name and address, if
provided, in the above office during regular business hours or it can
be viewed at https://www.regulations.gov.
FOR FURTHER INFORMATION CONTACT: Maureen T. Pello, Marketing
Specialist, Promotion and Economics Division, Fruit and Vegetable
Program, AMS, USDA, P.O. Box 831, Beavercreek, Oregon, 97004;
telephone: (503) 632-8848; facsimile (503) 632-8852; or electronic
mail: Maureen.Pello@ams.usda.gov.
SUPPLEMENTARY INFORMATION: This proposal is issued under the Order. The
Order is authorized under the Commodity Promotion, Research, and
Information Act of 1996 (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 13175
This action has been reviewed in accordance with the requirements
of Executive Order 13175, Consultation and Coordination with Indian
Tribal Governments. The review reveals that this regulation would not
have substantial and direct effects on Tribal governments and would not
have significant Tribal implications.
Executive Order 12988
This proposal has been reviewed under Executive Order 12988, Civil
Justice Reform. It is not intended to have retroactive effect. Section
524 of the 1996 Act (7 U.S.C. 7423) provides that it shall not affect
or preempt any other Federal or State law authorizing promotion or
research relating to an agricultural commodity.
Under section 519 of the 1996 Act (7 U.S.C. 7418), a person subject
to an order may file a written petition with USDA stating that an
order, any provision of an order, or any obligation imposed in
connection with an order, is not established in accordance with the
law, and request a modification of an order or an exemption from an
order. Any petition filed challenging an order, any provision of an
order, or any obligation imposed in connection with an order, shall be
filed within two years after the effective date of an order, provision,
or obligation subject to challenge in the petition. The petitioner will
have the opportunity for a hearing on the petition. Thereafter, USDA
will issue a ruling on the petition. The 1996 Act provides that the
district court of the United States for any district in which the
petitioner resides or conducts business shall have the jurisdiction to
review a final ruling on the petition, if the petitioner files a
complaint for that purpose not later than 20 days after the date of the
entry of USDA's final ruling.
Background
This proposal invites comments on changes to the Board's membership
provisions under the Order. The Board administers the Order with
oversight by USDA. Under the Order, assessments are collected from U.S.
manufacturers and importers and used for projects to promote softwood
lumber within the United States. This proposal would revise the Board's
membership to reflect the diversity of the industry in terms of size of
operation; allow companies that operate in multiple regions to seek
representation in any region in which they operate (U.S. or import);
add flexibility for the Board to nominate eligible persons to fill
vacancies that occur during a term; and re-designate the States of
Virginia and West Virginia to the U.S. South Region. These changes
would help facilitate program operations and were unanimously
recommended by the Board in July 2013.
Pursuant to section 1217.40(b), the Board is composed of 18 or 19
members, depending upon whether an additional importer member is
appointed to the Board. Twelve members are domestic manufacturers and
six members are importers of softwood lumber from Canada. Of the 12
domestic manufacturers, 6 represent the U.S. South, 5 represent the
U.S. West and 1 represents the Northeast and Lake States. Of the six
Canadian importers, four represent Canada West and two represent Canada
East. An additional importer member may be appointed to represent all
other importing countries besides Canada. Section 1217.40(c)(2)
[[Page 58957]]
provides authority for the Board to recommend changes to its membership
and nomination process.
The Board met on May 7 and 8, 2013, and reviewed program
operations, including the Board's structure and nomination process. The
Board reviewed these issues further and made the following four
recommendations in July 2013.
Board Diversity and Size of Operation
The Board recommended that its regional membership be revised to
reflect the diversity of the industry in terms of size of operation.
About 8 percent of the companies covered under the Order account for
the top two-thirds of the total annual volume of assessable softwood
lumber (both domestic and imports). These companies are considered
large by the industry in terms of size of operation. Some of these
companies operate in multiple regions and some are both a domestic
manufacturer and an importer of softwood lumber. Ninety-two percent of
the companies covered under the Order account for the remaining one-
third of the total annual volume of assessable softwood lumber. These
are considered small by the industry in terms of size of operation.
The Board wants to ensure that this diversity is reflected within
each region. The Board analyzed each region's volume of assessable
softwood lumber in relation to the region's volume attributed to small
and large companies. Table 1 below shows this analysis based on 3-year
average data (2010-2012).
Table 1--Regional Analysis of Assessable Softwood Lumber by Size of Operation
----------------------------------------------------------------------------------------------------------------
Large companies Small companies
Assessable volume -------------------------------------------------
Region (billion board feet) Regional volume Regional volume
(billion board feet) (billion board feet)
----------------------------------------------------------------------------------------------------------------
U.S. South........................... 10.436 5.951 (57%) 4.485 (43%)
U.S. West............................ 10.548 8.017 (76%) 2.511 (24%)
NE and Lake States................... 0.749 0.229 (31%) 0.520 (69%)
----------------------------------------------------------------------------------------------------------------
----------------------------------------------------------------------------------------------------------------
Canada West.......................... 4.983 3.919 (79%) 1.064 (21%)
Canada East.......................... 2.379 1.315 (55%) 1.064 (45%)
----------------------------------------------------------------------------------------------------------------
* These figures are an average of data from 2010-2012. 2012 is actual Board assessment data from its first year
of operation. 2010 and 2011 Canadian data is from U.S. Customs and Border Protection. 2010 and 2011 U.S. data
is from Forest Economic Advisors.
It is noted that for the U.S. South, while the majority of the
volume of assessable softwood lumber is attributed to large companies,
almost 90 percent of the number of companies operating in this region
are small. The Board considered this in its recommended distribution of
Board seats as shown in Table 2 below.
Table 2--Allocation of Board Seats Based on Size of Operation
--------------------------------------------------------------------------------------------------------------------------------------------------------
Number of seats
-----------------------------------------------------------------------------------------------
Size of operation NE and Lake Non-Canadian
U.S. South U.S. West States Canada east Canada west importer
--------------------------------------------------------------------------------------------------------------------------------------------------------
Large companies......................................... 2 4 N/A 1 3 N/A
Small companies......................................... 4 1 1 1
6 5 1 2 4 1
--------------------------------------------------------------------------------------------------------------------------------------------------------
* The Northeast and Lake States member and non-Canadian importer member could represent companies of any size.
Additionally, if there were no eligible nominees for a large or
small seat within a region, that seat could be filled by a nominee
representing a company of any size. Should a company's size change
during a member's term of office, that member could serve for the
remainder of the term to which they were appointed. Section 1217.40(b)
would be revised accordingly.
Further, section 1217.40(c) requires the Board to periodically
review the geographic distribution of the volume of softwood lumber
manufactured and shipped within the United States by domestic
manufacturers and the volume of softwood lumber imported into the
United States. This section would be revised to require the Board to
also periodically review the distribution of seats based on size of
operation and recommend changes as necessary. Section 1217.40(c) would
be revised accordingly.
Entities That Operate in Multiple Regions (U.S. and/or Import)
Section 1217.41(b)(3) provides that nominees that are both a
domestic manufacturer and importer may seek nomination to the Board as
either a domestic manufacturer or an importer, but not both. Nominees
who domestically manufacture the majority of their softwood lumber must
seek representation as a domestic manufacturer and nominees who import
the majority of their softwood lumber must seek representation as an
importer. Section 1217.41(b)(4) provides that domestic manufacturers
who manufacture and domestically ship from more than one U.S. region
must seek representation in the region of the majority of their
softwood lumber. Further, section 1217.41(b)(5) provides that importers
who import from more than one Canadian region must seek representation
in the region from which they import the majority of their softwood
lumber.
As previously mentioned some entities in the softwood lumber
industry are both domestic manufacturers and importers and operate in
multiple regions under the Order. Industry members would like the
flexibility to choose which region they represent and whether they seek
a position as a domestic manufacturer or an importer
[[Page 58958]]
on the Board. Thus, the Board recommended revising the Order so that
entities that are U.S. manufacturers and importers and who may operate
in multiple regions have the ability to seek representation in any
region in which they operate. This would add flexibility to the
nomination process by allowing companies to seek representation in
their region of choice. Paragraphs (3), (4) and (5) of section
1217.41(b) would be revised accordingly.
Vacancies That Occur Mid-Term
Section 1217.43(c) currently specifies that if a position becomes
vacant, nominations to fill the vacancy be conducted using the
nomination process set forth in the Order (section 1217.41(b)) whereby
the Board solicits the names of eligible nominees and then conducts
regional elections. The process is lengthy and can result in a seat
remaining vacant for an extended period of time. Thus, the Board
recommended revising the Order to allow the Board the flexibility to
nominate eligible persons to fill vacancies that occur during a term.
This would facilitate program operations by helping to ensure that
vacancies are filled in a timely manner. Section 1217.43(c) would be
revised accordingly.
Virginia and West Virginia
Section 1217.40(b)(1)(iii) specifies that the States of Virginia
and West Virginia are included as part of the Northeast and Lake States
Region under the Order. However, softwood lumber from Virginia and West
Virginia is predominately pine, a much different species from the white
spruce and red pine in the Northeast and Lake States, respectively.
Thus, the Board recommended that the Order be revised to re-designate
the States of Virginia and West Virginia as part of the U.S. South. The
volume of softwood lumber from Virginia and West Virginia is relatively
small (284 million board feet in 2012), so this change would have no
impact on the regional distribution of seats on the Board. This change
would align Virginia and West Virginia with the region in which they
have more in common. Section 1217.40(b)(1)(iii) would be revised
accordingly.
This proposal would also make two minor changes to the Order. In
paragraph (b) of section 1217.70 on reports, the last sentence would be
modified to specify that importers who pay their assessments directly
to the Board must submit their report that accompanies the payment of
collected assessments within 30 calendar days after the end of the
quarter in which the softwood lumber was imported as opposed to 30
calendar days after importation. This language was inadvertently
omitted from the final rule that implemented the Order (76 FR 46185;
August 2, 2012) and would bring the Order in line with current industry
practices. This proposal would also change the OMB control number in
section 1217.108 from 0581-NEW to 0581-0264, the control number
assigned by the OMB.
Initial Regulatory Flexibility Act Analysis
In accordance with the Regulatory Flexibility Act (RFA) (5 U.S.C.
601-612), AMS is required to examine the impact of the proposed rule on
small entities. Accordingly, AMS has considered the economic impact of
this action on small entities.
The purpose of the RFA is to fit regulatory actions to the scale of
businesses subject to such actions 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
(domestic manufacturers and importers) as those having annual receipts
of no more than $7.0 million.
According to the Board, it is estimated that there are currently
about 446 domestic manufacturers of softwood lumber in the United
States. This number represents separate business entities; one business
entity may include multiple sawmills. Using an average price of $322
per thousand board feet,\1\ a domestic manufacturer who ships less than
about 25 million board feet per year would be considered a small
entity. Using 2012 data, it is estimated that about 270 domestic
manufacturers, or about 60 percent,\2\ ship less than 25 million board
feet annually.
---------------------------------------------------------------------------
\1\ Price data was obtained from Random Lengths Publications,
Inc., and is a framing composite price that is designed as a broad
measure of price movement in the lumber market
(www.randomlengths.com).
\2\ Percentages were obtained from the American Lumber Standard
Committee, Inc. (ALSC). The ALSC administers an accreditation
program for the grade marking of lumber produced under the American
Softwood Lumber Standard (Voluntary Product Standard 20).
---------------------------------------------------------------------------
Likewise, based on data from U.S. Customs and Border Protection
(Customs) and the Board, it is estimated there are currently about 767
importers of softwood lumber. Using 2012 Customs data, about 699
importers, or about 91 percent, import less than $7.0 million worth of
softwood lumber annually. Thus, for purposes of the RFA, the majority
of domestic manufacturers and importers of softwood lumber would be
considered small entities.
Regarding value of the commodity, with domestic production
averaging about 28.5 billion board feet in 2012, and using an average
price of $322 per thousand board feet, the average annual domestic
value for softwood lumber is about $9.2 billion. According to Customs
data, the average annual value for softwood lumber imports for 2012 is
about $3.5 billion.
This proposal invites comments on four changes to the Order
regarding the Board's membership. Paragraphs (1) and (2) of section
1217.40(b) would be revised to reflect the diversity of the industry in
terms of size of operation; paragraph 1217.40(c) would be revised to
require the Board to periodically review this distribution. Paragraphs
(3), (4) and (5) of section 1217.41(b) would be revised to allow
companies that operate in multiple regions to seek representation in
any region in which they operate. Section 1217.43(c) would be revised
to add flexibility for the Board to nominate eligible persons to fill
vacancies that occur during a term. Section 1217.40(b)(1)(iii) would be
revised to re-designate the States of Virginia and West Virginia to the
U.S. South Region. These changes were unanimously recommended by the
Board and are authorized under section 1217.40(c)(2) of the Order and
section 515(b)(3) of the 1996 Act.
Regarding the economic impact of this proposed rule on affected
entities, these changes are administrative in nature and would have no
economic impact on entities covered under the program. These changes
would help maintain the Board's balance in terms of size of operation
by geographic region; add flexibility so that multi-region companies
could choose which region they represent on the Board; help ensure that
mid-term vacancies are filled in a timely manner; and better align the
States of Virginia and West Virginia.
Regarding alternatives, the Board explored various options
regarding the diversity of size of operation. The Board considered
establishing a separate region for multi-region companies and companies
that are both a domestic manufacturer and an importer. The Board also
considered establishing some ``at large'' seats for multi-region
companies. The Board considered weighting an entity's vote in a
regional election by volume. The Board also considered maintaining the
status quo and not changing the Order in this regard. After much
deliberation, the Board opted to recommend allocating
[[Page 58959]]
regional seats based on an analysis of the volume of softwood lumber
within each region and the volume of assessable softwood lumber covered
under the Order.
The Board considered maintaining the status quo regarding multi-
region companies who may also be a domestic manufacturer and importer,
filling mid-term vacancies and the regional designation for the States
of Virginia and West Virginia. The Board ultimately recommended
modifications to these Order provisions.
In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C.
Chapter 35), the information collection and recordkeeping requirements
that are imposed by the Order have been approved previously under OMB
control number 0581-0264. This proposed rule would impose no additional
reporting and recordkeeping burden on domestic manufacturer and
importers of softwood lumber.
As with all Federal promotion programs, reports and forms are
periodically reviewed to reduce information requirements and
duplication by industry and public sector agencies. Finally, USDA has
not identified any relevant Federal rules that duplicate, overlap, or
conflict with this proposed rule.
AMS is committed to complying with the E-Government Act, to promote
the use of the Internet and other information technologies to provide
increased opportunities for citizen access to Government information
and services, and for other purposes.
Regarding outreach efforts, these actions were discussed by the
Board at meetings on May 7 and 8, 2013. The Board's Executive Committee
discussed these issues on January 7, June 3 and 10, and July 1, 2013.
All of the Board's meetings, including meetings held via
teleconference, are open to the public and interested persons are
invited to participate and express their views.
We have performed this initial RFA analysis regarding the impact of
this proposed action on small entities and we invite comments
concerning potential effects of this action on small businesses.
While this proposed rule set forth below has not received the
approval of USDA, it has been determined that it is consistent with and
would effectuate the purposes of the 1996 Act.
A 30-day comment period is provided to allow interested persons to
respond to this proposal. Thirty days is deemed appropriate because
this action needs to be in place no later than February 2014 to allow
sufficient time for the election process and appointments for the term
of office beginning January 1, 2015. All written comments received in
response to this proposed rule by the date specified will be considered
prior to finalizing this action.
List of Subjects in 7 CFR Part 1217
Administrative practice and procedure, Advertising, Consumer
information, Marketing agreements, Softwood Lumber promotion, Reporting
and recordkeeping requirements.
For the reasons set forth in the preamble, 7 CFR part 1217 is
proposed to be amended as follows:
PART 1217--SOFTWOOD LUMBER RESEARCH, PROMOTION, CONSUMER EDUCATION
AND INDUSTRY INFORMATION ORDER
0
1. The authority citation for 7 CFR part 1217 continues to read as
follows:
Authority: 7 U.S.C. 7411-7425; 7 U.S.C. 7401.
0
2. Amend Sec. 1217.40 by:
0
a. Revising paragraph (a);
0
b. Revising paragraphs (b)(1), (b)2) introductory text, (b)(2)(i), and
(b)(2)(ii);
0
c. Revising the introductory text to paragraph (c) and paragraphs
(c)(2) and (c)(3)
The changes to read as follows:
Sec. 1217.40 Establishment and membership.
(a) Establishment of the Board. There is hereby established a
Softwood Lumber Board to administer the terms and provisions of this
Order and promote the use of softwood lumber. The Board shall be
composed of manufacturers for the U.S. market who manufacture and
domestically ship or import 15 million board feet or more of softwood
lumber in the United States during a fiscal period. Seats on the Board
shall be apportioned based on the volume of softwood lumber
manufactured and shipped within the United States by domestic
manufacturers and the volume of softwood lumber imported into the
United States. Seats on the Board shall also be apportioned based on
size of operation within each geographic region, as specified in
paragraphs (b)(1)(i), (b)(1)(ii), (b)(2)(i), and (b)(2)(ii) of this
section. For purposes of this section, large means manufacturers for
the U.S. market who account for the top two-thirds of the total annual
volume of assessable softwood lumber and small means those who account
for the remaining one-third of the total annual volume of assessable
softwood lumber. If there are no eligible nominees for a large or small
seat within a region, that seat may be filled by a nominee representing
an eligible manufacturer for the U.S. market of any size. Should the
size of a manufacturer for the U.S. market change during a member's
term of office, that member could serve for the remainder of the term.
(b) * * *
(1) Domestic manufacturers. Twelve members shall be domestic
manufacturers from the following three regions:
(i) Six members shall be from the U.S. South Region, which consists
of the states of Alabama, Arkansas, Florida, Georgia, Louisiana,
Mississippi, North Carolina, Oklahoma, South Carolina, Tennessee,
Texas, Virginia and West Virginia. Of these six members, two must be
large and four must be small;
(ii) Five members shall be from the U.S. West Region, which
consists of the states of Alaska, Arizona, California, Colorado,
Hawaii, Idaho, Montana, Nevada, New Mexico, North Dakota, Oregon, South
Dakota, Utah, Washington and Wyoming. Of these five members, four must
be large and one must be small; and
(iii) One member shall be from the Northeast and Lake States
Region, which consists of the states of Connecticut, Delaware,
Illinois, Indiana, Iowa, Kansas, Kentucky, Maine, Maryland,
Massachusetts, Michigan, Minnesota, Missouri, Nebraska, New Hampshire,
New Jersey, New York, Ohio, Pennsylvania, Rhode Island, Vermont,
Wisconsin and all other parts of the United States not listed in
paragraphs (b)(1)(i), (b)(1)(ii), or (b)(1)(iii) of this section.
(2) Importers. Six members shall be importers who represent the
following regions:
(i) Four members shall import softwood lumber from the Canadian
West Region, which consists of the provinces of British Columbia and
Alberta. Of these four members, three must be large and one must be
small; and
(ii) Two members shall import softwood lumber from the Canadian
East Region, which consists of the Canadian territories and all other
Canadian provinces not listed in paragraph (b)(2)(i) of this section
that import softwood lumber into the United States. Of these two
members, one must be large and one must be small.
(iii) * * *
(c) In each five-year period, but not more frequently than once in
each three-year period, the Board shall:
(1) * * *
(2) Review, based on a three-year average, the distribution of the
size of operations within each region; and
(3) If warranted, recommend to the Secretary the reapportionment of
the
[[Page 58960]]
Board membership to reflect changes in the geographical distribution of
the volume of softwood lumber manufactured and shipped within the
United States by domestic manufacturers and the volume of softwood
lumber imported into the United States. The destination of volumes
between regions and the distribution of the size of operations within
regions shall also be considered. The number of Board members may also
be changed. Any changes in Board composition shall be implemented by
the Secretary through rulemaking.
0
3. Amend Sec. 1217.41 by
0
a. Revising the introductory text to paragraph (b);
0
b. Revising paragraphs (b)(1), (b)(2), (b)(3), (b)(4), and (b)(5).
The changes to read as follows:
Sec. 1217.41 Nominations and appointments.
(a) * * *
(b) Subsequent nominations shall be conducted as follows:
(1) The Board shall conduct outreach to all segments of the
softwood lumber industry. Softwood lumber domestic manufacturers and
importers may submit nominations to the Board. Subsequent nominees must
domestically manufacture and/or import 15 million board feet or more of
softwood lumber per fiscal year;
(2) Domestic manufacturers and importer nominees may provide the
Board a short background statement outlining their qualifications to
serve on the Board;
(3) Nominees that are both a domestic manufacturer and an importer
may seek nomination to the Board and vote in the nomination process as
either a domestic manufacturer or an importer, but not both. Such
nominees must domestically manufacture and import 15 million board feet
or more of softwood lumber per fiscal year;
(4) The names of domestic manufacturer nominees shall be placed on
a ballot by region. The ballots along with the background statements
shall be mailed to domestic manufacturers in each respective region for
a vote. Domestic manufacturers who manufacture softwood lumber in more
than one region may seek nomination and vote in one region of their
choice. The votes shall be tabulated for each region with the nominee
receiving the highest number of votes at the top of the list in
descending order by vote. The top two candidates for each position
shall be submitted to the Secretary;
(5) The names of importer nominees shall be placed on a ballot by
region. The ballots along with the background statements shall be
mailed to importers in each respective region for a vote. Importers who
import softwood lumber from more than one region may seek nomination
and vote in one region of their choice. The votes shall be tabulated
for each region with the nominee receiving the highest number of votes
at the top of the list in descending order by vote. The top two
candidates for each position shall be submitted to the Secretary.
* * * * *
0
4. Amend Sec. 1217.43 by revising paragraph (c) to read as follows:
Sec. 1217.43 Removal and vacancies.
(a) * * *
(b) * * *
(c) If a position becomes vacant, nominations to fill the vacancy
may be conducted using the nominations process set forth in Sec.
1217.41(b) or the Board may nominate eligible persons. A vacancy will
not be required to be filled if the unexpired term is less than six
months.
0
5. Amend Sec. 1217.70 by revising paragraph (b) to read as follows:
Sec. 1217.70 Reports.
* * * * *
(b) For domestic manufacturers, such information shall accompany
the collected payment of assessments on a quarterly basis specified in
Sec. 1217.52. For importers who pay their assessments directly to the
Board, such information shall accompany the payment of collected
assessments within 30 calendar days after the end of the quarter in
which the softwood lumber was imported.
0
6. Section 1217.108 is revised to read as follows:
Sec. 1217.108 OMB control number.
The control number assigned to the information collection
requirement in this subpart by the Office of Management and Budget
pursuant to the Paperwork Reduction Act of 1995, 4 U.S.C. is OMB
control number 0581-0264.
Dated: September 17, 2013.
Rex A. Barnes,
Associate Administrator.
[FR Doc. 2013-22968 Filed 9-24-13; 8:45 am]
BILLING CODE 3410-02-P