National Sheep Industry Improvement Center, 31843-31845 [2014-12589]

Download as PDF 31843 Rules and Regulations Federal Register Vol. 79, No. 106 Tuesday, June 3, 2014 This section of the FEDERAL REGISTER contains regulatory documents having general applicability and legal effect, most of which are keyed to and codified in the Code of Federal Regulations, which is published under 50 titles pursuant to 44 U.S.C. 1510. The Code of Federal Regulations is sold by the Superintendent of Documents. Prices of new books are listed in the first FEDERAL REGISTER issue of each week. DEPARTMENT OF AGRICULTURE Agricultural Marketing Service 7 CFR Part 63 [Doc. No. AMS–LPS–14–0028] National Sheep Industry Improvement Center Agricultural Marketing Service, USDA. ACTION: Interim rule and request for comments. AGENCY: As provided under the Agriculture Act of 2014 (2014 Farm Bill), the Agricultural Marketing Service (AMS) is amending the National Sheep Industry Improvement Center (NSIIC) regulations. This interim rule redesignates the statutory authority from section 375 of the Consolidated Farm and Rural Development Act to the Agricultural Marketing Act of 1946, amends the definition of the Act in the regulations consistent with the redesignated statutory authority, and amends the regulations by increasing the administrative cap for the use of the fund from 3 percent to 10 percent. DATES: Effective Date: This interim rule is effective June 4, 2014. Comment Date: Written comments on the regulatory provisions of this interim rule must be received by July 3, 2014. ADDRESSES: Interested persons are invited to submit comments concerning this interim rule. Comments must be posted on https://www.regulations.gov; or sent to Kenneth R. Payne, Director, Research and Promotion Division, Livestock, Poultry and Seed Program, AM, USDA, Room 2608–S, STOP 0251, 1400 Independence Avenue SW., Washington, DC 20250–0251; via Fax to 202/720–1125; or email to Kenneth.Payne@ams.usda.gov. All comments should reference the document number (AMS–LPS–14–0028) and the volume, date, and page number wreier-aviles on DSK5TPTVN1PROD with RULES SUMMARY: VerDate Mar<15>2010 15:19 Jun 02, 2014 Jkt 232001 of this issue of the Federal Register and will be made available for public inspection at the aforementioned address during regular business hours or viewed at https://www.regulations.gov. All comments submitted in response to this rule will be included in the record and will be made available to the public. Please be advised that the identity of the individuals or entities submitting comments will be made public on the internet at the address provided above. FOR FURTHER INFORMATION CONTACT: Kenneth R. Payne, Director, Research and Promotion Division, Livestock, Poultry and Seed Program; Telephone 202/720–5705; Fax: 202/720–1125; or email Kenneth.Payne@ams.usda.gov. SUPPLEMENTARY INFORMATION: As provided under the 2014 Farm Bill, this interim rule redesignates the statutory authority for the program from section 375 (7 U.S.C. 2008j) of the Consolidated Farm and Rural Development Act to section 210 of the Agricultural Marketing Act of 1946 (7 U.S.C. 1621– 1627). In addition, the definition of ‘‘Act’’ is amended under section 63.1 to be consistent with the redesignated statutory authority, and amends the regulations by increasing the administrative cap for the use of the fund from 3 percent to 10 percent. Executive Order 12866 and Executive Order 13563 Executive Orders 12866 and 13563 direct agencies to assess all costs and benefits of available regulatory alternatives and, if regulation is necessary, to select regulatory approaches that maximize net benefits (including potential economic, environmental, public health, and safety effects, distributive impacts and equity). Executive Order 13563 emphasizes the importance of quantifying both costs and benefits, reducing costs, harmonizing rules, and promoting flexibility. This action has been designated as a ‘‘non-significant regulatory action’’ under of Executive Order 12866. Accordingly, the Office of Management and Budget (OMB) has waived the review process. Executive Order 13175 This interim final rule has been reviewed in accordance with the requirements of Executive Order 13175, Consultation and Coordination with PO 00000 Frm 00001 Fmt 4700 Sfmt 4700 Indian Tribal Governments. The review reveals that this interim final rule would not have substantial and direct effects on Tribal Governments and would not have significant tribal implications. Executive Order 12988 This interim final rule has been reviewed under Executive Order 12988, Civil Justice Reform. This action is not intended to have a retroactive effect. There are no administrative procedures which must be exhausted prior to any judicial challenge to the provisions of this rule. Executive Order 13132 This interim rule has been reviewed under Executive Order 13132, Federalism, and has been determined that this rule does not have sufficient Federalism implications to warrant the preparation of a Federalism Assessment. The provisions contained in this rule would not have a substantial direct effect on States or their political subdivisions or on the distribution of power and responsibilities among the various levels of government. Regulatory Flexibility Act In accordance with the Regulatory Flexibility Act (RFA) (5 U.S.C. 601– 612), the agency is required to examine the impact of regulatory actions 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. Pursuant to the requirements set forth in the RFA, AMS has considered the economic effect of this action on small entities and has determined that this final rule will not have a significant impact on a substantial number of small entities. The purpose of the RFA is to fit regulatory action to the scale of businesses subject to such action in order that small businesses will not be unduly burdened. The U.S. Department of Agriculture’s (USDA), National Agricultural Statistics Service’s February 2013 publication of ‘‘Farms, Land in Farms, and Livestock Operations’’ estimated that in 2012 the number of operations in the United States with sheep and goats totaled approximately 79,500 and 149,500, respectively and would be classified as small entities. The Small Business Administration defines, in 13 CFR 121, small E:\FR\FM\03JNR1.SGM 03JNR1 wreier-aviles on DSK5TPTVN1PROD with RULES 31844 Federal Register / Vol. 79, No. 106 / Tuesday, June 3, 2014 / Rules and Regulations agricultural producers as those having annual receipts of no more than $750,000, and small agricultural service firms as those having annual receipts of no more than $7 million. Under these definitions, the majority of the producers that will be affected by this rule are considered small entities. The purpose of NSIIC is to: (1) Promote strategic development activities and collaborative efforts by private and State entities to maximize the impact of Federal assistance to strengthen and enhance the production and marketing of sheep or goat products in the United States; (2) Optimize the use of available human capital and resources within the sheep or goat industries; (3) Provide assistance to meet the needs of the sheep or goat industry for infrastructure development, business development, production, resource development, and market and environmental research; (4) Advance activities that empower and build the capacity of the U.S. sheep or goat industry to design unique responses to the special needs of the sheep or goat industries on both a regional and national basis; and (5) Adopt flexible and innovative approaches to solving the long-term needs of the United States sheep or goat industry. A Board of Directors (Board) manages and is responsible for the general supervision of the structure of the NSIIC, with oversight from USDA. The Board is comprised of seven voting members, of whom four would be active producers of sheep or goats in the United States, two would have expertise in finance and management, and one would have expertise in lamb, wool, goat, or goat product marketing. The Secretary of Agriculture (Secretary) appoints the voting members from nominations submitted by eligible organizations. There are also two nonvoting members on the Board, the Under Secretary of Agriculture for Marketing and Regulatory Programs and the Under Secretary of Agriculture for Research, Education, and Economics. As provided under the 2014 Farm Bill, AMS is amending NSIIC regulations at 7 CFR part 63. This interim rule redesignates (1) the statutory authority from section 375 (7 U.S.C. 2008j) of the Consolidated Farm and Rural Development Act to the Agricultural Marketing Act of 1946 (7 U.S.C. 1621–1627), (2) amends the definition of the Act under section 63.1 consistent with the redesignated statutory authority, and (3) amends the regulations by increasing the administrative cap for the use of the fund from 3 percent to 10 percent. Accordingly, AMS has considered the VerDate Mar<15>2010 15:19 Jun 02, 2014 Jkt 232001 economic impact of this rule on small entities. AMS has determined that this rule will not have a significant economic impact on a substantial number of small entities as defined in the RFA. Paperwork Reduction Act In accordance with the Paperwork Reduction Act of 1995 (PRA) (44 U.S.C. Chapter 35), the reporting and recordkeeping requirements included in 7 CFR part 63 were previously approved by OMB and were assigned control number 0581–0093. No additions have been made to the PRA. Background Information The NSIIC was initially authorized under the Consolidated Farm and Rural Development Act (Act). The Act, as amended, was passed as part of the 1996 Farm Bill (Pub. Law 104–127). The initial legislation included a provision that privatized the NSIIC 10 years after its ratification or once the full appropriation of $50 million was disbursed. Subsequently, the NSIIC was privatized on September 30, 2006 (72 FR 28945). In 2008, the NSIIC was re-established under Title XI of the Food, Conservation, and Energy Act of 2008 (Pub. L. 110–246), also known as the 2008 Farm Bill. Section 11009 of the 2008 Farm Bill repealed the requirement in section 375(e)(6) of the Act to privatize the NSIIC. Additionally, the 2008 Farm Bill provided for $1,000,000 in mandatory funding for fiscal year 2008 from the Commodity Credit Corporation for the NSIIC to remain available until expended, as well as authorization for appropriations in the amount of $10 million for each of fiscal years 2008 through 2012. In July 2010, USDA promulgated rules and regulations establishing the NSIIC, consistent with the Food, Conservation, and Energy Act of 2008 (75 FR 43031). The rule established the NSIIC and a Board that will manage and be responsible for the general supervision of the activities of the NSIIC, with oversight from the USDA. The NSIIC is authorized to use funds to make grants to eligible entities in accordance with a strategic plan. The authorizing legislation established in the United States Department of the Treasury (Treasury) the NSIIC Revolving Fund (Fund). The Fund was available to the NSIIC, without fiscal year limitation, to carry out the authorized programs and activities of the NSIIC. The law provides authority for amounts in the Fund to be used for direct loans, loan guarantees, cooperative agreements, equity interests, PO 00000 Frm 00002 Fmt 4700 Sfmt 4700 investments, repayable grants, and grants to eligible entities, either directly or through an intermediary, in accordance with a strategic plan submitted by the NSIIC to the Secretary. In accordance with the 2014 Farm Bill, AMS is amending the National Sheep Industry Improvement Center regulations at 7 CFR part 63 as provided for herein. The management of the NSIIC is vested in a Board that is appointed by the Secretary. The Secretary reviews and monitors compliance of the Board as provided under the Act and rules and regulations. The Board is composed of seven voting members, of whom four would be active producers of sheep or goats in the United States, two would have expertise in finance and management, and one would have expertise in lamb, wool, goat, or goat product marketing. The Board also includes two non-voting members, the Under Secretary of Agriculture for Marketing and Regulatory Programs and the Under Secretary of Agriculture for Research, Education, and Economics. The Secretary appoints the voting members from nominations submitted by eligible organizations. A member’s term of office shall be 3 years with a maximum of two terms. Board members initially served staggered terms of 1, 2, or 3 years, as determined by the Secretary. Only national organizations that (1) consist primarily of active sheep or goat producers in the United States and (2) have the primary interest of sheep or goat production in the United States can make nominations to the Board. The Board meets not less than once each fiscal year. Board members do not receive compensation for serving on the Board, but are reimbursed for travel, subsistence, and other necessary expenses. The Board is responsible for general supervision of the NSIIC; review of any contract and grant to be made or entered into by the NSIIC and any financial assistance provided to the NSIIC; making final decision—by majority vote—on whether or not to provide grants to an eligible entity; and developing and establishing a budget plan and long-term operating plan to carry out the goals of the NSIIC. The authorizing legislation establishes in the United States Treasury, the NSIIC Fund. The Fund is available to the NSIIC, without fiscal year limitation, to carry out the authorized programs and activities of the NSIIC. The law provides authority for amounts in the Fund to be used to carry out authorized program activities of the NSIIC. The current program authorizes a grant-only program administered by the E:\FR\FM\03JNR1.SGM 03JNR1 Federal Register / Vol. 79, No. 106 / Tuesday, June 3, 2014 / Rules and Regulations NSIIC Board. Based on funding, the Board announces that proposals may be submitted to the Board for consideration from eligible entities. The Board determines how funds are allocated. Proposals submitted to the Board must be consistent with the purpose of the NSIIC. Discussion of Interim Regulatory Text As provided under 2014 Farm Bill, the AMS is amending the National Sheep Industry Improvement Center regulations at 7 CFR Part 63. This interim rule redesignates (1) the statutory authority from section 375 (7 U.S.C. 2008j) of the Consolidated Farm and Rural Development Act to the Agricultural Marketing Act of 1946 (7 U.S.C. 1621–1627), (2) amends the definition of the Act under section 63.1 consistent with the redesignated statutory authority, and (3) amends the regulations by increasing the administrative cap for the use of the funds from 3 percent to 10 percent. Pursuant to 5 U.S.C. 553, it is found and determined upon good cause that it is impracticable and contrary to the public interest to give preliminary notice prior to putting this rule into effect and that good cause exists for not postponing the effective date of this rule until 30 days after publication in the Federal Register because: (1) These changes need to be in effect as soon as possible because the next available funding opportunities are scheduled to begin in July; and (2) the amendments are necessary to implement provision under the 2014 Farm Bill. For these same reasons a 30-day comment period is deemed appropriate. List of Subjects in 7 CFR Part 63 Administrative practice and procedure, Advertising, Lamb and lamb products, Goat and goat products, Consumer information, Marketing agreements, Reporting and recordkeeping requirements. For the reasons set forth in the preamble, Chapter I of Title 7 of the Code of Federal Regulations is amended as follows: PART 63—NATIONAL SHEEP INDUSTRY IMPROVEMENT CENTER 1. Revise the authority for part 63 to read as follows: wreier-aviles on DSK5TPTVN1PROD with RULES ■ Authority: 7 U.S.C. 1621–1627. 2. Revise § 63.1, Act, to read as follows: ■ § 63.1 Act. Act means the Agricultural Marketing Act of 1946 (7 U.S.C. 1621–1627). VerDate Mar<15>2010 15:19 Jun 02, 2014 Jkt 232001 3. In § 63.301 revise paragraph (a)(6) to read as follows: ■ § 63.301 Use of Fund. * * * * * (a) * * * (6) For administration purposes, with a maximum 10 percent of the NSIIC Fund balance at the beginning of each fiscal year for the administration of the NSIIC; * * * * * Dated: May 27, 2014. Rex A. Barnes, Associate Administrator. [FR Doc. 2014–12589 Filed 6–2–14; 8:45 am] BILLING CODE 3410–02–P DEPARTMENT OF AGRICULTURE Rural Housing Service Rural Business-Cooperative Service Rural Utilities Service Farm Service Agency 7 CFR Part 1951 Rural Business-Cooperative Service Rural Utilities Service 7 CFR Part 4274 RIN 0570–AA86 Intermediary Relending Program Rural Business-Cooperative Service, Rural Housing Service, Rural Utilities Service, and Farm Service Agency, USDA. ACTION: Direct final rule. AGENCY: The Rural BusinessCooperative Service (RBS) amends its regulations for the Intermediary Relending Program (IRP). This action is critical to immediately address three major items. First, the Agricultural Act of 2014 incorporates the IRP into the Consolidated Farm and Rural Development Act (Con Act). Therefore the IRP will now be subject to the Con Act, Section 343(a)(13) ‘‘rural and rural area’’ definition. Second, the Agency is making the following changes based on an Office of Inspector General (OIG) audit: Removing part of the definition of revolved funds to eliminate public confusion on its applicability; providing stronger guidance on items that should be taken into consideration when approving subsequent loans; defining what is meant by promptly relending collections from loans made from the SUMMARY: PO 00000 Frm 00003 Fmt 4700 Sfmt 4700 31845 revolving loan fund account; and providing clarification when prior Agency concurrence is needed to make loans. Finally, the Agency is removing provisions for Rural Development Loan Fund (RDLF) servicing as there are no longer any active RDLF accounts. DATES: This direct final rule is effective September 2, 2014, unless RBS receives a written significant adverse comment or written notice of intent to submit a significant adverse comment on any provision other than the definition of ‘‘rural or rural area’’ on or before August 4, 2014. Since the definition of ‘‘rural or rural area’’ is statutory, RBS is unable to change the definition of ‘‘rural or rural area’’ even if significant adverse comments are received. If RBS receives a significant adverse comment on any provision of this rule other than the definition of ‘‘rural or rural area,’’ we will publish a timely document in the Federal Register informing the public that that provision will not take effect. The rule provisions that are not withdrawn will become effective on September 2, 2014, notwithstanding a significant adverse comment on any other provision, unless we determine that it would not be appropriate to do so. Any significant adverse comments will be addressed when RBS issues a final IRP rule to implement the proposed IRP rule that is also being published this date. ADDRESSES: You may submit adverse comments or notice of intent to submit adverse comments to this rule by any of the following methods: Federal eRulemaking Portal: https:// www.regulations.gov. Follow the instructions for submitting comments. Mail: Submit written comments via the U.S. Postal Service to the Branch Chief, Regulations and Paperwork Management Branch, U.S. Department of Agriculture, STOP 0742, 1400 Independence Avenue SW., Washington, DC 20250–0742. Hand Delivery/Courier: Submit written comments via Federal Express Mail or other courier service requiring a street address to the Branch Chief, Regulations and Paperwork Management Branch, U.S. Department of Agriculture, 300 7th Street SW., 7th Floor, Washington, DC 20024. All written comments will be available for public inspection during regular work hours at 300 7th Street SW., 7th Floor address listed above. FOR FURTHER INFORMATION CONTACT: Lori A. Washington, Business Loan and Grant Analyst, Specialty Programs Division, Rural Business-Cooperative Service, U.S. Department of Agriculture, STOP 3225, 1400 Independence Ave. E:\FR\FM\03JNR1.SGM 03JNR1

Agencies

[Federal Register Volume 79, Number 106 (Tuesday, June 3, 2014)]
[Rules and Regulations]
[Pages 31843-31845]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-12589]



========================================================================
Rules and Regulations
                                                Federal Register
________________________________________________________________________

This section of the FEDERAL REGISTER contains regulatory documents 
having general applicability and legal effect, most of which are keyed 
to and codified in the Code of Federal Regulations, which is published 
under 50 titles pursuant to 44 U.S.C. 1510.

The Code of Federal Regulations is sold by the Superintendent of Documents. 
Prices of new books are listed in the first FEDERAL REGISTER issue of each 
week.

========================================================================


Federal Register / Vol. 79, No. 106 / Tuesday, June 3, 2014 / Rules 
and Regulations

[[Page 31843]]


=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 63

[Doc. No. AMS-LPS-14-0028]


National Sheep Industry Improvement Center

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Interim rule and request for comments.

-----------------------------------------------------------------------

SUMMARY: As provided under the Agriculture Act of 2014 (2014 Farm 
Bill), the Agricultural Marketing Service (AMS) is amending the 
National Sheep Industry Improvement Center (NSIIC) regulations. This 
interim rule redesignates the statutory authority from section 375 of 
the Consolidated Farm and Rural Development Act to the Agricultural 
Marketing Act of 1946, amends the definition of the Act in the 
regulations consistent with the redesignated statutory authority, and 
amends the regulations by increasing the administrative cap for the use 
of the fund from 3 percent to 10 percent.

DATES: Effective Date: This interim rule is effective June 4, 2014.
    Comment Date: Written comments on the regulatory provisions of this 
interim rule must be received by July 3, 2014.

ADDRESSES: Interested persons are invited to submit comments concerning 
this interim rule. Comments must be posted on https://www.regulations.gov; or sent to Kenneth R. Payne, Director, Research 
and Promotion Division, Livestock, Poultry and Seed Program, AM, USDA, 
Room 2608-S, STOP 0251, 1400 Independence Avenue SW., Washington, DC 
20250-0251; via Fax to 202/720-1125; or email to 
Kenneth.Payne@ams.usda.gov.
    All comments should reference the document number (AMS-LPS-14-0028) 
and the volume, date, and page number of this issue of the Federal 
Register and will be made available for public inspection at the 
aforementioned address during regular business hours or viewed at 
https://www.regulations.gov. All comments submitted in response to this 
rule will be included in the record and will be made available to the 
public. Please be advised that the identity of the individuals or 
entities submitting comments will be made public on the internet at the 
address provided above.

FOR FURTHER INFORMATION CONTACT: Kenneth R. Payne, Director, Research 
and Promotion Division, Livestock, Poultry and Seed Program; Telephone 
202/720-5705; Fax: 202/720-1125; or email Kenneth.Payne@ams.usda.gov.

SUPPLEMENTARY INFORMATION: As provided under the 2014 Farm Bill, this 
interim rule redesignates the statutory authority for the program from 
section 375 (7 U.S.C. 2008j) of the Consolidated Farm and Rural 
Development Act to section 210 of the Agricultural Marketing Act of 
1946 (7 U.S.C. 1621-1627). In addition, the definition of ``Act'' is 
amended under section 63.1 to be consistent with the redesignated 
statutory authority, and amends the regulations by increasing the 
administrative cap for the use of the fund from 3 percent to 10 
percent.

Executive Order 12866 and Executive Order 13563

    Executive Orders 12866 and 13563 direct agencies to assess all 
costs and benefits of available regulatory alternatives and, if 
regulation is necessary, to select regulatory approaches that maximize 
net benefits (including potential economic, environmental, public 
health, and safety effects, distributive impacts and equity). Executive 
Order 13563 emphasizes the importance of quantifying both costs and 
benefits, reducing costs, harmonizing rules, and promoting flexibility. 
This action has been designated as a ``non-significant regulatory 
action'' under of Executive Order 12866. Accordingly, the Office of 
Management and Budget (OMB) has waived the review process.

Executive Order 13175

    This interim final rule has been reviewed in accordance with the 
requirements of Executive Order 13175, Consultation and Coordination 
with Indian Tribal Governments. The review reveals that this interim 
final rule would not have substantial and direct effects on Tribal 
Governments and would not have significant tribal implications.

Executive Order 12988

    This interim final rule has been reviewed under Executive Order 
12988, Civil Justice Reform. This action is not intended to have a 
retroactive effect. There are no administrative procedures which must 
be exhausted prior to any judicial challenge to the provisions of this 
rule.

Executive Order 13132

    This interim rule has been reviewed under Executive Order 13132, 
Federalism, and has been determined that this rule does not have 
sufficient Federalism implications to warrant the preparation of a 
Federalism Assessment. The provisions contained in this rule would not 
have a substantial direct effect on States or their political 
subdivisions or on the distribution of power and responsibilities among 
the various levels of government.

Regulatory Flexibility Act

    In accordance with the Regulatory Flexibility Act (RFA) (5 U.S.C. 
601-612), the agency is required to examine the impact of regulatory 
actions 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.
    Pursuant to the requirements set forth in the RFA, AMS has 
considered the economic effect of this action on small entities and has 
determined that this final rule will not have a significant impact on a 
substantial number of small entities. The purpose of the RFA is to fit 
regulatory action to the scale of businesses subject to such action in 
order that small businesses will not be unduly burdened.
    The U.S. Department of Agriculture's (USDA), National Agricultural 
Statistics Service's February 2013 publication of ``Farms, Land in 
Farms, and Livestock Operations'' estimated that in 2012 the number of 
operations in the United States with sheep and goats totaled 
approximately 79,500 and 149,500, respectively and would be classified 
as small entities.
    The Small Business Administration defines, in 13 CFR 121, small

[[Page 31844]]

agricultural producers as those having annual receipts of no more than 
$750,000, and small agricultural service firms as those having annual 
receipts of no more than $7 million. Under these definitions, the 
majority of the producers that will be affected by this rule are 
considered small entities.
    The purpose of NSIIC is to: (1) Promote strategic development 
activities and collaborative efforts by private and State entities to 
maximize the impact of Federal assistance to strengthen and enhance the 
production and marketing of sheep or goat products in the United 
States; (2) Optimize the use of available human capital and resources 
within the sheep or goat industries; (3) Provide assistance to meet the 
needs of the sheep or goat industry for infrastructure development, 
business development, production, resource development, and market and 
environmental research; (4) Advance activities that empower and build 
the capacity of the U.S. sheep or goat industry to design unique 
responses to the special needs of the sheep or goat industries on both 
a regional and national basis; and (5) Adopt flexible and innovative 
approaches to solving the long-term needs of the United States sheep or 
goat industry.
    A Board of Directors (Board) manages and is responsible for the 
general supervision of the structure of the NSIIC, with oversight from 
USDA. The Board is comprised of seven voting members, of whom four 
would be active producers of sheep or goats in the United States, two 
would have expertise in finance and management, and one would have 
expertise in lamb, wool, goat, or goat product marketing. The Secretary 
of Agriculture (Secretary) appoints the voting members from nominations 
submitted by eligible organizations. There are also two non-voting 
members on the Board, the Under Secretary of Agriculture for Marketing 
and Regulatory Programs and the Under Secretary of Agriculture for 
Research, Education, and Economics.
    As provided under the 2014 Farm Bill, AMS is amending NSIIC 
regulations at 7 CFR part 63. This interim rule redesignates (1) the 
statutory authority from section 375 (7 U.S.C. 2008j) of the 
Consolidated Farm and Rural Development Act to the Agricultural 
Marketing Act of 1946 (7 U.S.C. 1621-1627), (2) amends the definition 
of the Act under section 63.1 consistent with the redesignated 
statutory authority, and (3) amends the regulations by increasing the 
administrative cap for the use of the fund from 3 percent to 10 
percent. Accordingly, AMS has considered the economic impact of this 
rule on small entities. AMS has determined that this rule will not have 
a significant economic impact on a substantial number of small entities 
as defined in the RFA.

Paperwork Reduction Act

    In accordance with the Paperwork Reduction Act of 1995 (PRA) (44 
U.S.C. Chapter 35), the reporting and recordkeeping requirements 
included in 7 CFR part 63 were previously approved by OMB and were 
assigned control number 0581-0093. No additions have been made to the 
PRA.

Background Information

    The NSIIC was initially authorized under the Consolidated Farm and 
Rural Development Act (Act). The Act, as amended, was passed as part of 
the 1996 Farm Bill (Pub. Law 104-127). The initial legislation included 
a provision that privatized the NSIIC 10 years after its ratification 
or once the full appropriation of $50 million was disbursed. 
Subsequently, the NSIIC was privatized on September 30, 2006 (72 FR 
28945).
    In 2008, the NSIIC was re-established under Title XI of the Food, 
Conservation, and Energy Act of 2008 (Pub. L. 110-246), also known as 
the 2008 Farm Bill. Section 11009 of the 2008 Farm Bill repealed the 
requirement in section 375(e)(6) of the Act to privatize the NSIIC. 
Additionally, the 2008 Farm Bill provided for $1,000,000 in mandatory 
funding for fiscal year 2008 from the Commodity Credit Corporation for 
the NSIIC to remain available until expended, as well as authorization 
for appropriations in the amount of $10 million for each of fiscal 
years 2008 through 2012. In July 2010, USDA promulgated rules and 
regulations establishing the NSIIC, consistent with the Food, 
Conservation, and Energy Act of 2008 (75 FR 43031). The rule 
established the NSIIC and a Board that will manage and be responsible 
for the general supervision of the activities of the NSIIC, with 
oversight from the USDA. The NSIIC is authorized to use funds to make 
grants to eligible entities in accordance with a strategic plan.
    The authorizing legislation established in the United States 
Department of the Treasury (Treasury) the NSIIC Revolving Fund (Fund). 
The Fund was available to the NSIIC, without fiscal year limitation, to 
carry out the authorized programs and activities of the NSIIC. The law 
provides authority for amounts in the Fund to be used for direct loans, 
loan guarantees, cooperative agreements, equity interests, investments, 
repayable grants, and grants to eligible entities, either directly or 
through an intermediary, in accordance with a strategic plan submitted 
by the NSIIC to the Secretary. In accordance with the 2014 Farm Bill, 
AMS is amending the National Sheep Industry Improvement Center 
regulations at 7 CFR part 63 as provided for herein.
    The management of the NSIIC is vested in a Board that is appointed 
by the Secretary. The Secretary reviews and monitors compliance of the 
Board as provided under the Act and rules and regulations. The Board is 
composed of seven voting members, of whom four would be active 
producers of sheep or goats in the United States, two would have 
expertise in finance and management, and one would have expertise in 
lamb, wool, goat, or goat product marketing. The Board also includes 
two non-voting members, the Under Secretary of Agriculture for 
Marketing and Regulatory Programs and the Under Secretary of 
Agriculture for Research, Education, and Economics. The Secretary 
appoints the voting members from nominations submitted by eligible 
organizations. A member's term of office shall be 3 years with a 
maximum of two terms. Board members initially served staggered terms of 
1, 2, or 3 years, as determined by the Secretary. Only national 
organizations that (1) consist primarily of active sheep or goat 
producers in the United States and (2) have the primary interest of 
sheep or goat production in the United States can make nominations to 
the Board.
    The Board meets not less than once each fiscal year. Board members 
do not receive compensation for serving on the Board, but are 
reimbursed for travel, subsistence, and other necessary expenses. The 
Board is responsible for general supervision of the NSIIC; review of 
any contract and grant to be made or entered into by the NSIIC and any 
financial assistance provided to the NSIIC; making final decision--by 
majority vote--on whether or not to provide grants to an eligible 
entity; and developing and establishing a budget plan and long-term 
operating plan to carry out the goals of the NSIIC.
    The authorizing legislation establishes in the United States 
Treasury, the NSIIC Fund. The Fund is available to the NSIIC, without 
fiscal year limitation, to carry out the authorized programs and 
activities of the NSIIC. The law provides authority for amounts in the 
Fund to be used to carry out authorized program activities of the 
NSIIC.
    The current program authorizes a grant-only program administered by 
the

[[Page 31845]]

NSIIC Board. Based on funding, the Board announces that proposals may 
be submitted to the Board for consideration from eligible entities. The 
Board determines how funds are allocated. Proposals submitted to the 
Board must be consistent with the purpose of the NSIIC.

Discussion of Interim Regulatory Text

    As provided under 2014 Farm Bill, the AMS is amending the National 
Sheep Industry Improvement Center regulations at 7 CFR Part 63. This 
interim rule redesignates (1) the statutory authority from section 375 
(7 U.S.C. 2008j) of the Consolidated Farm and Rural Development Act to 
the Agricultural Marketing Act of 1946 (7 U.S.C. 1621-1627), (2) amends 
the definition of the Act under section 63.1 consistent with the 
redesignated statutory authority, and (3) amends the regulations by 
increasing the administrative cap for the use of the funds from 3 
percent to 10 percent.
    Pursuant to 5 U.S.C. 553, it is found and determined upon good 
cause that it is impracticable and contrary to the public interest to 
give preliminary notice prior to putting this rule into effect and that 
good cause exists for not postponing the effective date of this rule 
until 30 days after publication in the Federal Register because: (1) 
These changes need to be in effect as soon as possible because the next 
available funding opportunities are scheduled to begin in July; and (2) 
the amendments are necessary to implement provision under the 2014 Farm 
Bill. For these same reasons a 30-day comment period is deemed 
appropriate.

List of Subjects in 7 CFR Part 63

    Administrative practice and procedure, Advertising, Lamb and lamb 
products, Goat and goat products, Consumer information, Marketing 
agreements, Reporting and recordkeeping requirements.

    For the reasons set forth in the preamble, Chapter I of Title 7 of 
the Code of Federal Regulations is amended as follows:

PART 63--NATIONAL SHEEP INDUSTRY IMPROVEMENT CENTER

0
1. Revise the authority for part 63 to read as follows:

    Authority: 7 U.S.C. 1621-1627.


0
2. Revise Sec.  63.1, Act, to read as follows:


Sec.  63.1  Act.

Act means the Agricultural Marketing Act of 1946 (7 U.S.C. 1621-1627).

0
3. In Sec.  63.301 revise paragraph (a)(6) to read as follows:


Sec.  63.301  Use of Fund.

* * * * *
    (a) * * *
    (6) For administration purposes, with a maximum 10 percent of the 
NSIIC Fund balance at the beginning of each fiscal year for the 
administration of the NSIIC;
* * * * *

    Dated: May 27, 2014.
Rex A. Barnes,
Associate Administrator.
[FR Doc. 2014-12589 Filed 6-2-14; 8:45 am]
BILLING CODE 3410-02-P

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