Tart Cherries Grown in the States of Michigan, New York, Pennsylvania, Oregon, Utah, Washington, and Wisconsin; Revising Handler Reporting and Grower Diversion Requirements, 2775-2777 [2014-00769]
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Federal Register / Vol. 79, No. 11 / Thursday, January 16, 2014 / Rules and Regulations
and small agricultural producers are
defined as those having annual receipts
of less than $750,000 (13 CFR 121.201).
According to Committee data and
information from the National
Agricultural Statistical Service, the
average price for Florida avocados
during the 2011–12 season was
approximately $20.79 per 55-pound
bushel container and total shipments
were slightly higher than 1.2 million 55pound bushels. Using the average price
and shipment information, the majority
of avocado handlers could be
considered small businesses under
SBA’s definition. In addition, based on
avocado production, producer prices,
and the total number of Florida avocado
producers, the average annual producer
revenue is less than $750,000.
Consequently, the majority of avocado
handlers and producers may be
classified as small entities.
This rule increases the assessment
rate for the 2013–14 and subsequent
fiscal periods from the current rate of
$0.25 to $0.30 per 55-pound bushel
container of avocados. The Committee
unanimously recommended the
increased assessment rate, and 2013–14
expenditures of $472,553. The increase
was recommended to provide an
additional $100,000 for research to
address the Laurel Wilt fungus, which
can infect and kill avocado trees. As
previously stated, income from handler
assessments and interest, and funds
from reserves, should be adequate to
meet this year’s expenses.
Alternative expenditure and
assessments levels were discussed prior
to arriving at this budget. However, the
Committee agreed on $472,553 in
expenditures, reviewed the quantity of
assessable avocados and available
reserves, and recommended an
assessment rate of $0.30 per 55-pound
bushel container.
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 are
offset by the benefits derived by the
operation of the marketing order. In
addition, the Committee’s meeting was
widely publicized throughout the
Florida avocado industry and all
interested persons were invited to
attend the meeting and participate in
Committee deliberations on all issues.
Like all Committee meetings, the June
12, 2013, meeting was a public meeting
and all entities, both large and small,
were able to express views on this issue.
In accordance with the Paperwork
Reduction Act of 1995, (44 U.S.C.
VerDate Mar<15>2010
14:19 Jan 15, 2014
Jkt 232001
Chapter 35), the order’s information
collection requirements have been
previously approved by the Office of
Management and Budget (OMB) and
assigned OMB No. 0581–0189 Generic
OMB Fruit Crops. No changes in those
requirements as a result of this action
are necessary. Should any changes
become necessary, they would be
submitted to OMB for approval.
This rule imposes no additional
reporting or recordkeeping requirements
on either small or large Florida avocado
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 final rule.
AMS is committed to complying with
the E-Government Act, to promote the
use of the internet and other
information technologies to provide
increased opportunities for citizen
access to Government information and
services, and for other purposes.
A proposed rule concerning this
action was published in the Federal
Register on September 17, 2013 (78 FR
57099). Copies of the proposed rule
were also mailed or sent via facsimile to
all Florida avocado handlers. Finally,
the proposal was made available
through the internet by USDA and the
Office of the Federal Register. A 15-day
comment period ending October 2,
2013, 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/
MarketingOrdersSmallBusinessGuide.
Any questions about the compliance
guide should be sent to Jeffrey Smutny
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 handlers are already receiving
avocadoes from the 2013–14 crop from
growers, the fiscal period began on
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2775
April 1, 2013, and the assessment rate
applies to all Florida avocados received
during the 2013–14 and subsequent
seasons. Further, handlers are aware of
this rule which was recommended at a
public meeting. Also, a 15-day comment
period was provided for in the proposed
rule and no comments were received.
List of Subjects in 7 CFR Part 915
Avocados, Reporting and
recordkeeping requirements.
For the reasons set forth in the
preamble, 7 CFR part 915 is amended as
follows:
PART 915—AVOCADOS GROWN IN
SOUTH FLORIDA
1. The authority citation for 7 CFR
part 915 continues to read as follows:
■
Authority: 7 U.S.C. 601–674.
2. Section 915.235 is revised to read
as follows:
■
§ 915.235
Assessment rate.
On and after April 1, 2013, an
assessment rate of $0.30 per 55-pound
container or equivalent is established
for avocados grown in South Florida.
Dated: January 10, 2014.
Rex A. Barnes,
Associate Administrator, Agricultural
Marketing Service.
[FR Doc. 2014–00753 Filed 1–15–14; 8:45 am]
BILLING CODE 3410–02–P
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 930
[Doc. No. AMS–FV–13–0030; FV13–930–2
FIR]
Tart Cherries Grown in the States of
Michigan, New York, Pennsylvania,
Oregon, Utah, Washington, and
Wisconsin; Revising Handler
Reporting and Grower Diversion
Requirements
Agricultural Marketing Service,
USDA.
ACTION: Affirmation of interim rule as
final rule.
AGENCY:
The Department of
Agriculture (USDA) is adopting, as a
final rule, without change, an interim
rule that changed handler reporting and
grower diversion requirements
prescribed under the marketing order
for tart cherries grown in the States of
Michigan, New York, Pennsylvania,
Oregon, Utah, Washington, and
Wisconsin (order). The Cherry Industry
SUMMARY:
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2776
Federal Register / Vol. 79, No. 11 / Thursday, January 16, 2014 / Rules and Regulations
Administrative Board (Board) locally
administers the order. The interim rule
changed the deadline for submitting the
handler reserve plan from November 1
to October 1 and extended the deadline
for redeeming or transferring grower
diversion certificates from November 1
to June 30 of a given crop year. These
changes provide the industry with a
more complete and timely picture of the
available supply of tart cherries earlier
in the season and give handlers more
time and flexibility in meeting their
obligations under volume regulation.
DATES: Effective January 17, 2014.
FOR FURTHER INFORMATION CONTACT:
Jennie M. Varela, Marketing Specialist,
or Christian D. Nissen, Regional
Director, Southeast Marketing Field
Office, Marketing Order and Agreement
Division, Fruit and Vegetable Program,
AMS, USDA; Telephone: (863) 324–
3375, Fax: (863) 325–8793, or Email:
Jennie.Varela@ams.usda.gov or
Christian.Nissen@ams.usda.gov.
Small businesses may obtain
information on complying with this and
other marketing order and agreement
regulations by viewing a guide at the
following Web site: https://
www.ams.usda.gov/
MarketingOrdersSmallBusinessGuide;
or by contacting Jeffrey Smutny,
Marketing Order and Agreement
Division, Fruit and Vegetable Program,
AMS, USDA; 1400 Independence
Avenue SW., STOP 0237, Washington,
DC 20250–0237; Telephone: (202) 720–
2491, Fax: (202) 720–8938, or Email:
Jeffrey.Smutny@ams.usda.gov.
SUPPLEMENTARY INFORMATION: This rule
is issued under Marketing Order and
Agreement No. 930, as amended (7 CFR
part 930), regulating the handling of tart
cherries grown in the States of
Michigan, New York, Pennsylvania,
Oregon, Utah, Washington, and
Wisconsin, 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.’’
USDA is issuing this rule in
conformance with Executive Orders
12866 and 13563.
Prior to this change, handlers were
required to submit a handler reserve
plan and use grower diversion credits
by November 1 of the crop year. A crop
year is a 12-month period beginning on
July 1 and ending on June 30 of the
following year. The order was recently
amended to exempt cherries diverted in
the orchard (grower diversion) from
inclusion in a handler’s total volume
calculation. When a volume regulation
is issued, handlers are obligated to keep
a percentage of their total volume in
VerDate Mar<15>2010
14:19 Jan 15, 2014
Jkt 232001
reserve or account for the restricted
volume with diversion certificates.
These certificates can be earned through
export sales, new market or new
product sales, or through grower
diversion. Before the amendment, the
volume of cherries represented by a
grower diversion certificate was added
to the handler’s total volume.
As the volume represented by
diversion certificates is no longer part of
the total volume calculation, handlers
no longer need these certificates to
complete the reserve plan.
Consequently, the Board believes
handlers will be able to complete the
simplified reserve plan at an earlier date
and recommended changing the date of
submission from November 1 to October
1 to provide the industry with a more
complete and timely picture of the
available supply of tart cherries.
Further, with the amendment to the
order, grower diversion certificates no
longer need to be linked to when the
handler reserve plan is due. To bring
consistency to the use of all types of
diversion certificates, the Board
recommended allowing handlers to
transfer and redeem grower diversion
certificates through the end of the
season, June 30. This change provides
handlers with additional time and
flexibility in meeting their restriction
obligations.
In addition to adjusting the deadline
for submitting the handler reserve plan
and extending the deadline for
redeeming grower diversion certificates,
this rule also makes a minor wording
change to § 930.158 to facilitate the
change in date.
In an interim rule published in the
Federal Register on August 1, 2013, and
effective on August 2, 2013, (78 FR
46494, Doc. No. AMS–FV–13–0030;
FV13–930–2 IR), § 930.158 was
amended by changing the date
‘‘November 1’’ to ‘‘June 30.’’ Further,
§ 930.159 was amended by changing
‘‘November’’ to ‘‘October’’ in the first
sentence and by revising the words
‘‘certificates redeemed’’ to read
‘‘certificates to be redeemed’’ in the
fourth sentence.
Final Regulatory Flexibility Analysis
Pursuant to requirements set forth in
the Regulatory Flexibility Act (RFA) (5
U.S.C. 601–612), the Agricultural
Marketing Service (AMS) has
considered the economic impact of this
action on small entities. Accordingly,
AMS has prepared this final regulatory
flexibility analysis.
The purpose of the RFA is to fit
regulatory actions to the scale of
businesses subject to such actions in
order that small businesses will not be
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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 600 tart
cherry producers in the regulated area
and approximately 40 tart cherry
handlers who are subject to regulation
under the order. Small agricultural
producers are defined by the Small
Business Administration (SBA) as those
having annual receipts of less than
$750,000 and small agricultural service
firms have been defined as those having
annual receipts of less than $7,000,000
(13 CFR 121.201).
According to data from the National
Agricultural Statistics Service and the
Board, the average annual grower price
for tart cherries during the 2012–13
season was $0.54 per pound, and total
shipments were around 85 million
pounds. Therefore, average receipts for
tart cherry producers were around
$76,200, well below the SBA threshold
for small producers. In 2013, The Food
Institute estimated an f.o.b. price of
$0.84 per pound for frozen tart cherries,
which make up the majority of
processed tart cherries. Based on this
information, average annual handler
receipts were about $1.8 million, also
below the SBA threshold for small
agricultural service firms. Assuming a
normal distribution, the majority of tart
cherry producers and handlers may be
classified as small entities.
This rule continues in effect an
interim rule that changed the deadline
for submitting the handler reserve plan
from November 1 to October 1 and
extended the deadline for redeeming or
transferring grower diversion certificates
from November 1 to June 30 of a given
crop year. These changes provide the
industry with a more complete and
timely picture of the available supply
earlier in the season. In addition, the
new deadline gives handlers more time
and flexibility to meet their obligations
under volume regulation. This rule
amends the provisions of §§ 930.158
and 930.159. Authority for the change in
the order’s rules and regulations is
provided in §§ 930.58 and 930.59.
It is not anticipated that this rule will
generate any additional costs for
growers or handlers. This action is
intended to adjust regulations to reflect
recent amendments to the order and to
allow the order to function more
efficiently. These changes are expected
to benefit the industry by providing a
clear picture of available supply earlier
in the season, and by allowing handlers
more time to utilize grower diversion
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ehiers on DSK2VPTVN1PROD with RULES
Federal Register / Vol. 79, No. 11 / Thursday, January 16, 2014 / Rules and Regulations
certificates to meet their obligations
under volume regulation. These changes
should impact all entities positively,
regardless of size.
In accordance with the Paperwork
Reduction Act of 1995, (44 U.S.C.
Chapter 35), the order’s information
collection requirements have been
previously approved by the Office of
Management and Budget (OMB) and
assigned OMB No. 0581–0177, (Tart
Cherries Grown in the States of
Michigan, New York, Pennsylvania,
Oregon, Utah, Washington, and
Wisconsin). This rule required changes
to Cherry Industry Administrative Board
Form 4, ‘‘Handler Reserve Plan and
Final Pack Report.’’ However, these
changes are minor and the currently
approved burden for the form remains
the same. The revised form has been
submitted to OMB for approval as part
of the routine three-year renewal of all
forms related to this order.
This rule will not impose any
additional reporting or recordkeeping
requirements on either small or large
tart cherry 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. In addition, USDA has
not identified any relevant Federal rules
that duplicate, overlap or conflict with
this rule.
Further, the Board’s meeting was
widely publicized throughout the tart
cherry industry and all interested
persons were invited to attend
videoconference meetings at regional
locations or call in to participate in
Board deliberations. Like all Board
meetings, the March 21, 2013, meeting
was a public meeting and all entities,
both large and small, were able to
express their views on this issue.
Comments on the interim rule were
required to be received on or before
September 30, 2013. No comments were
received. Therefore, for the reasons
given in the interim rule, we are
adopting the interim rule as a final rule,
without change.
To view the interim rule, go to: https://
www.regulations.gov/
#!documentDetail;D=AMS-FV-13-00300001.
This action also affirms information
contained in the interim rule concerning
Executive Orders 12866, 12988, and
13563, the Paperwork Reduction Act (44
U.S.C. Chapter 35), and the E-Gov Act
(44 U.S.C. 101).
After consideration of all relevant
material presented, it is found that
finalizing the interim rule, without
change, as published in the Federal
Register (78 FR 46494, August 1, 2013)
VerDate Mar<15>2010
14:19 Jan 15, 2014
Jkt 232001
will tend to effectuate the declared
policy of the Act.
List of Subjects in 7 CFR Part 930
Marketing agreements, Reporting and
recordkeeping requirements, Tart
cherries.
PART 930—TART CHERRIES GROWN
IN THE STATES OF MICHIGAN, NEW
YORK, PENNSYLVANIA, OREGON,
UTAH, WASHINGTON, AND
WISCONSIN
Accordingly, the interim rule that
amended 7 CFR part 930 and was
published at 78 FR 46494 on August 1,
2013, is adopted as a final rule, without
change.
Dated: January 10, 2014.
Rex A. Barnes,
Associate Administrator, Agricultural
Marketing Service.
[FR Doc. 2014–00769 Filed 1–15–14; 8:45 am]
BILLING CODE 3410–02–P
SECURITIES AND EXCHANGE
COMMISSION
17 CFR Parts 240 and 249
[Release No. 34–71288; File No. S7–45–10]
RIN 3235–AK86
Registration of Municipal Advisors;
Temporary Stay of Final Rule
Securities and Exchange
Commission.
ACTION: Final rule; stay.
AGENCY:
The Securities and Exchange
Commission (‘‘Commission’’) is staying
temporarily Rules 15Ba1–1 through
15Ba1–8 and Rule 15Bc4–1 (‘‘Rules’’)
under the Securities Exchange Act of
1934 and Forms MA, MA–I, MA–W, and
MA–NR (‘‘Forms’’) until July 1, 2014
and making conforming, nonsubstantive amendments to Rule 15Ba1–
8 regarding recordkeeping requirements
to conform the dates referenced in
certain provisions of that rule to the July
1, 2014 date (the ‘‘Amendment’’). The
effective date for the Rules and Forms
was January 13, 2014. This stay of the
Rules and Forms means that persons are
not required to comply with the Rules
and Forms until July 1, 2014. The
Amendment is the only action the
Commission is taking in this release
with respect to the Rules and Forms.
Therefore, the phased-in compliance
period that begins on July 1, 2014, for
the requirement to use the Forms to
register as municipal advisors under the
Rules remains unchanged.
DATES: Effective January 13, 2014, 17
CFR 240.15Ba1–1 through 15Ba1–8 and
SUMMARY:
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2777
240.15Bc4–1 and 17 CFR 249.1300,
249.1310, 249.1320, and 249.1330 are
stayed until July 1, 2014.
FOR FURTHER INFORMATION CONTACT: John
Cross, Director; Jessica Kane, Senior
Special Counsel to the Director; Rebecca
Olsen, Attorney Fellow; Mary Simpkins,
Senior Special Counsel; Edward Fierro,
Attorney-Adviser; or Cori Shepherd,
Attorney-Adviser; Office of Municipal
Securities, Securities and Exchange
Commission, 100 F Street NE.,
Washington, DC 20549–7010. Contact
phone number: (202) 551–5680
SUPPLEMENTARY INFORMATION:
I. Discussion
Section 15B(a)(1) of the Exchange
Act,1 as amended by Section
975(a)(1)(B) of the Dodd-Frank Act,2
makes it unlawful for a municipal
advisor to provide advice to or on behalf
of a municipal entity or obligated
person with respect to municipal
financial products or the issuance of
municipal securities, or to undertake a
solicitation of a municipal entity or
obligated person, unless the municipal
advisor is registered with the
Commission. Section 15B(a)(2) of the
Exchange Act,3 as amended by Section
975(a)(2) of the Dodd-Frank Act,
provides that a municipal advisor may
be registered by filing with the
Commission an application for
registration in such form and containing
such information and documents
concerning the municipal advisor and
any person associated with the
municipal advisor as the Commission
by rule may prescribe as necessary or
appropriate in the public interest or for
the protection of investors.
On September 20, 2013, the
Commission issued Rules and Forms to
provide for municipal advisor
registration under a permanent
registration regime.4 The effective date
for the Rules and Forms was January 13,
2014. The Commission provided a
phased-in compliance period, beginning
on July 1, 2014, for the requirement to
use the Forms to register as municipal
advisors under the Rules. Municipal
advisors currently are subject to the
statutory regime under Section 15B of
the Exchange Act, which imposes on
municipal advisors a fiduciary duty to
municipal entities, and the temporary
registration regime under which
municipal advisors are required to
1 15
U.S.C. 78o–4(a)(1).
Law 111–203, 124 Stat. 1376 (2010).
3 15 U.S.C. 78o–4(a)(2).
4 See Registration of Municipal Advisors, Release
No. 34–70462 (September 20, 2013), 78 FR 67467
(November 12, 2013), available at https://
www.sec.gov/rules/final/2013/34-70462.pdf (the
‘‘Adopting Release’’).
2 Public
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]]>Agencies
[Federal Register Volume 79, Number 11 (Thursday, January 16, 2014)]
[Rules and Regulations]
[Pages 2775-2777]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-00769]
-----------------------------------------------------------------------
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 930
[Doc. No. AMS-FV-13-0030; FV13-930-2 FIR]
Tart Cherries Grown in the States of Michigan, New York,
Pennsylvania, Oregon, Utah, Washington, and Wisconsin; Revising Handler
Reporting and Grower Diversion Requirements
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Affirmation of interim rule as final rule.
-----------------------------------------------------------------------
SUMMARY: The Department of Agriculture (USDA) is adopting, as a final
rule, without change, an interim rule that changed handler reporting
and grower diversion requirements prescribed under the marketing order
for tart cherries grown in the States of Michigan, New York,
Pennsylvania, Oregon, Utah, Washington, and Wisconsin (order). The
Cherry Industry
[[Page 2776]]
Administrative Board (Board) locally administers the order. The interim
rule changed the deadline for submitting the handler reserve plan from
November 1 to October 1 and extended the deadline for redeeming or
transferring grower diversion certificates from November 1 to June 30
of a given crop year. These changes provide the industry with a more
complete and timely picture of the available supply of tart cherries
earlier in the season and give handlers more time and flexibility in
meeting their obligations under volume regulation.
DATES: Effective January 17, 2014.
FOR FURTHER INFORMATION CONTACT: Jennie M. Varela, Marketing
Specialist, or Christian D. Nissen, Regional Director, Southeast
Marketing Field Office, Marketing Order and Agreement Division, Fruit
and Vegetable Program, AMS, USDA; Telephone: (863) 324-3375, Fax: (863)
325-8793, or Email: Jennie.Varela@ams.usda.gov or
Christian.Nissen@ams.usda.gov.
Small businesses may obtain information on complying with this and
other marketing order and agreement regulations by viewing a guide at
the following Web site: https://www.ams.usda.gov/MarketingOrdersSmallBusinessGuide; or by contacting Jeffrey Smutny,
Marketing Order and Agreement Division, Fruit and Vegetable Program,
AMS, USDA; 1400 Independence Avenue SW., STOP 0237, Washington, DC
20250-0237; Telephone: (202) 720-2491, Fax: (202) 720-8938, or Email:
Jeffrey.Smutny@ams.usda.gov.
SUPPLEMENTARY INFORMATION: This rule is issued under Marketing Order
and Agreement No. 930, as amended (7 CFR part 930), regulating the
handling of tart cherries grown in the States of Michigan, New York,
Pennsylvania, Oregon, Utah, Washington, and Wisconsin, 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.''
USDA is issuing this rule in conformance with Executive Orders
12866 and 13563.
Prior to this change, handlers were required to submit a handler
reserve plan and use grower diversion credits by November 1 of the crop
year. A crop year is a 12-month period beginning on July 1 and ending
on June 30 of the following year. The order was recently amended to
exempt cherries diverted in the orchard (grower diversion) from
inclusion in a handler's total volume calculation. When a volume
regulation is issued, handlers are obligated to keep a percentage of
their total volume in reserve or account for the restricted volume with
diversion certificates. These certificates can be earned through export
sales, new market or new product sales, or through grower diversion.
Before the amendment, the volume of cherries represented by a grower
diversion certificate was added to the handler's total volume.
As the volume represented by diversion certificates is no longer
part of the total volume calculation, handlers no longer need these
certificates to complete the reserve plan. Consequently, the Board
believes handlers will be able to complete the simplified reserve plan
at an earlier date and recommended changing the date of submission from
November 1 to October 1 to provide the industry with a more complete
and timely picture of the available supply of tart cherries.
Further, with the amendment to the order, grower diversion
certificates no longer need to be linked to when the handler reserve
plan is due. To bring consistency to the use of all types of diversion
certificates, the Board recommended allowing handlers to transfer and
redeem grower diversion certificates through the end of the season,
June 30. This change provides handlers with additional time and
flexibility in meeting their restriction obligations.
In addition to adjusting the deadline for submitting the handler
reserve plan and extending the deadline for redeeming grower diversion
certificates, this rule also makes a minor wording change to Sec.
930.158 to facilitate the change in date.
In an interim rule published in the Federal Register on August 1,
2013, and effective on August 2, 2013, (78 FR 46494, Doc. No. AMS-FV-
13-0030; FV13-930-2 IR), Sec. 930.158 was amended by changing the date
``November 1'' to ``June 30.'' Further, Sec. 930.159 was amended by
changing ``November'' to ``October'' in the first sentence and by
revising the words ``certificates redeemed'' to read ``certificates to
be redeemed'' in the fourth sentence.
Final Regulatory Flexibility Analysis
Pursuant to requirements set forth in the Regulatory Flexibility
Act (RFA) (5 U.S.C. 601-612), the Agricultural Marketing Service (AMS)
has considered the economic impact of this action on small entities.
Accordingly, AMS has prepared this final regulatory flexibility
analysis.
The purpose of the RFA is to fit regulatory actions to the scale of
businesses 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 600 tart cherry producers in the regulated
area and approximately 40 tart cherry handlers who are subject to
regulation under the order. Small agricultural producers are defined by
the Small Business Administration (SBA) as those having annual receipts
of less than $750,000 and small agricultural service firms have been
defined as those having annual receipts of less than $7,000,000 (13 CFR
121.201).
According to data from the National Agricultural Statistics Service
and the Board, the average annual grower price for tart cherries during
the 2012-13 season was $0.54 per pound, and total shipments were around
85 million pounds. Therefore, average receipts for tart cherry
producers were around $76,200, well below the SBA threshold for small
producers. In 2013, The Food Institute estimated an f.o.b. price of
$0.84 per pound for frozen tart cherries, which make up the majority of
processed tart cherries. Based on this information, average annual
handler receipts were about $1.8 million, also below the SBA threshold
for small agricultural service firms. Assuming a normal distribution,
the majority of tart cherry producers and handlers may be classified as
small entities.
This rule continues in effect an interim rule that changed the
deadline for submitting the handler reserve plan from November 1 to
October 1 and extended the deadline for redeeming or transferring
grower diversion certificates from November 1 to June 30 of a given
crop year. These changes provide the industry with a more complete and
timely picture of the available supply earlier in the season. In
addition, the new deadline gives handlers more time and flexibility to
meet their obligations under volume regulation. This rule amends the
provisions of Sec. Sec. 930.158 and 930.159. Authority for the change
in the order's rules and regulations is provided in Sec. Sec. 930.58
and 930.59.
It is not anticipated that this rule will generate any additional
costs for growers or handlers. This action is intended to adjust
regulations to reflect recent amendments to the order and to allow the
order to function more efficiently. These changes are expected to
benefit the industry by providing a clear picture of available supply
earlier in the season, and by allowing handlers more time to utilize
grower diversion
[[Page 2777]]
certificates to meet their obligations under volume regulation. These
changes should impact all entities positively, regardless of size.
In accordance with the Paperwork Reduction Act of 1995, (44 U.S.C.
Chapter 35), the order's information collection requirements have been
previously approved by the Office of Management and Budget (OMB) and
assigned OMB No. 0581-0177, (Tart Cherries Grown in the States of
Michigan, New York, Pennsylvania, Oregon, Utah, Washington, and
Wisconsin). This rule required changes to Cherry Industry
Administrative Board Form 4, ``Handler Reserve Plan and Final Pack
Report.'' However, these changes are minor and the currently approved
burden for the form remains the same. The revised form has been
submitted to OMB for approval as part of the routine three-year renewal
of all forms related to this order.
This rule will not impose any additional reporting or recordkeeping
requirements on either small or large tart cherry 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. In addition, USDA has not identified any
relevant Federal rules that duplicate, overlap or conflict with this
rule.
Further, the Board's meeting was widely publicized throughout the
tart cherry industry and all interested persons were invited to attend
videoconference meetings at regional locations or call in to
participate in Board deliberations. Like all Board meetings, the March
21, 2013, meeting was a public meeting and all entities, both large and
small, were able to express their views on this issue.
Comments on the interim rule were required to be received on or
before September 30, 2013. No comments were received. Therefore, for
the reasons given in the interim rule, we are adopting the interim rule
as a final rule, without change.
To view the interim rule, go to: https://www.regulations.gov/#!documentDetail;D=AMS-FV-13-0030-0001.
This action also affirms information contained in the interim rule
concerning Executive Orders 12866, 12988, and 13563, the Paperwork
Reduction Act (44 U.S.C. Chapter 35), and the E-Gov Act (44 U.S.C.
101).
After consideration of all relevant material presented, it is found
that finalizing the interim rule, without change, as published in the
Federal Register (78 FR 46494, August 1, 2013) will tend to effectuate
the declared policy of the Act.
List of Subjects in 7 CFR Part 930
Marketing agreements, Reporting and recordkeeping requirements,
Tart cherries.
PART 930--TART CHERRIES GROWN IN THE STATES OF MICHIGAN, NEW YORK,
PENNSYLVANIA, OREGON, UTAH, WASHINGTON, AND WISCONSIN
Accordingly, the interim rule that amended 7 CFR part 930 and was
published at 78 FR 46494 on August 1, 2013, is adopted as a final rule,
without change.
Dated: January 10, 2014.
Rex A. Barnes,
Associate Administrator, Agricultural Marketing Service.
[FR Doc. 2014-00769 Filed 1-15-14; 8:45 am]
BILLING CODE 3410-02-P
