Irish Potatoes Grown in Washington and Imported Potatoes; Modification of the Handling Regulations, Reporting Requirements, and Import Regulations for Red Types of Potatoes, 41413-41415 [2014-16635]
Download as PDF
<![CDATA[
ehiers on DSK2VPTVN1PROD with RULES
Federal Register / Vol. 79, No. 136 / Wednesday, July 16, 2014 / Rules and Regulations
906.365, and 944.312. Authority for the
change in the order’s rules and
regulations is provided in § 906.40. The
change in the import regulation is
required under section 8e of the Act.
This action is not expected to increase
the costs associated with the order
requirements or the orange import
regulation. Rather, it is anticipated that
this action will have a beneficial impact.
Reducing the size requirement makes
additional fruit available for shipment
to the fresh market. The Committee
believes that this provides additional
fruit to fill a shortage in the fresh market
and provides the opportunity to fulfill a
growing consumer demand for smaller
sized fruit. This action also provides an
outlet for fruit that may otherwise go
unharvested, maximizing fresh
shipments and increasing returns to
handlers and growers. The benefits of
this rule are expected to be equally
available to all fresh orange growers,
handlers, and importers, regardless of
their 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. 0581–0189, Generic
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 will not impose any
additional reporting or recordkeeping
requirements on either small or large
citrus 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 Committee’s meeting was
widely publicized throughout the Texas
citrus industry and all interested
persons were invited to attend the
meeting and participate in Committee
deliberations. Like all Committee
meetings, the December 11, 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
April 29, 2014. 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/
VerDate Mar<15>2010
15:23 Jul 15, 2014
Jkt 232001
#!documentDetail;D=AMS-FV-14-00090001.
This action also affirms information
contained in the interim rule concerning
Executive Orders 12866, 12988, 13175,
and 13563; the Paperwork Reduction
Act (44 U.S.C. Chapter 35); and the EGov Act (44 U.S.C. 101).
In accordance with section 8e of the
Act, the United States Trade
Representative has concurred with the
issuance of this final rule.
After consideration of all relevant
material presented, it is found that
finalizing the interim rule, without
change, as published in the Federal
Register (79 FR 11297, February 28,
2014) will tend to effectuate the
declared policy of the Act.
List of Subjects
7 CFR Part 906
Grapefruit, Marketing agreements,
Oranges, Reporting and recordkeeping
requirements.
7 CFR Part 944
Avocados, Food grades and standards,
Grapefruit, Grapes, Imports, Kiwifruit,
Limes, Olives, Oranges.
PARTS 906 and 944—[AMENDED]
Accordingly, the interim rule that
amended 7 CFR parts 906 and 944 and
that was published at 79 FR 11297 on
February 28, 2014, is adopted as final
without change.
■
Dated: July 10, 2014.
Rex A. Barnes,
Associate Administrator, Agricultural
Marketing Service.
[FR Doc. 2014–16638 Filed 7–15–14; 8:45 am]
BILLING CODE P
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 946 and Part 980
[Doc. No. AMS–FV–13–0068; FV13–946–3
FIR]
Irish Potatoes Grown in Washington
and Imported Potatoes; Modification of
the Handling Regulations, Reporting
Requirements, and Import Regulations
for Red Types of Potatoes
Agricultural Marketing Service,
USDA.
ACTION: Affirmation of interim rule as a
final rule.
AGENCY:
The Department of
Agriculture is adopting, as a final rule,
without change, an interim rule that
exempted red types of potatoes from
SUMMARY:
PO 00000
Frm 00009
Fmt 4700
Sfmt 4700
41413
minimum quality, maturity, pack,
marking, and inspection requirements of
the Washington potato marketing order
and the potato import regulation for the
2013–2014 and subsequent fiscal
periods. This rule also continues in
effect the action that required handlers
of red types of potatoes to submit
reports during the period that red types
of potatoes are exempt from regulation.
This rule is expected to reduce overall
industry expenses and increase net
returns to producers and handlers while
giving the industry the opportunity to
explore alternative marketing strategies.
DATES: Effective July 21, 2014.
FOR FURTHER INFORMATION CONTACT:
Teresa Hutchinson, Marketing
Specialist, or Gary Olson, Regional
Director, Northwest Marketing Field
Office, Marketing Order and Agreement
Division, Fruit and Vegetable Program,
AMS, USDA; Telephone: (503) 326–
2724, Fax: (503) 326–7440, or Email:
Teresa.Hutchinson@ams.usda.gov or
GaryD.Olson@ams.usda.gov.
Small businesses may obtain
information on complying with this and
other marketing order 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 No.
946, as amended (7 CFR part 946),
regulating the handling of Irish potatoes
grown in Washington, hereinafter
referred to as the ‘‘order.’’ The order is
effective under the Agricultural
Marketing Agreement Act of 1937, as
amended (7 U.S.C. 601–674), hereinafter
referred to as the ‘‘Act.’’
This rule is also issued under section
8e of the Act, which provides that
whenever certain specified
commodities, including potatoes, are
regulated under a Federal marketing
order, imports of these commodities
into the United States is prohibited
unless they meet the same or
comparable grade, size, quality, or
maturity requirements as those in effect
for domestically produced commodities.
The Department of Agriculture
(USDA) is issuing this rule in
conformance with Executive Orders
12866, 13563, and 13175.
The handling of Irish potatoes grown
in Washington is regulated by 7 CFR
part 946. Prior to this change, red types
E:\FR\FM\16JYR1.SGM
16JYR1
41414
Federal Register / Vol. 79, No. 136 / Wednesday, July 16, 2014 / Rules and Regulations
ehiers on DSK2VPTVN1PROD with RULES
of potatoes were subject to the
requirements contained in the order’s
handling regulations (§ 946.336). The
Washington potato industry was
concerned that the cost of mandatory
inspection for red types of potatoes,
which has increased, may outweigh the
benefits of having the quality
regulations in place. By exempting red
types of potatoes from handling
regulations, the industry expects to
reduce overall expenses and provide
handlers the opportunity to explore
alternative marketing strategies.
Therefore, this rule continues in effect
the interim rule that exempted red types
of potatoes from the order’s handling
regulations for the remainder of the
2013–2014 fiscal period and subsequent
fiscal periods. This rule also continues
in effect the action that required
handlers of red types of potatoes to
submit reports during the period that
red types of potatoes are exempt from
regulation. Assessments on all fresh red
types of potatoes handled under the
order will remain in effect during the
exemption period.
Imported potatoes are subject to
regulations specified in 7 CFR part 980.
Under those regulations, imported
potatoes must meet the same or
comparable grade, size, quality, and
maturity requirements as specified for
domestic potatoes under the order.
Therefore, the exemption of red types of
potatoes from the minimum grade, size,
quality, and maturity requirements of
the order also exempts red-skinned,
round types of potatoes imported into
the United States from the same
requirements.
In an interim rule published in the
Federal Register on February 12, 2014,
and effective February 15, 2014, (79 FR
8253, Doc. No. FV–13–0068, FV13–946–
3 IR), § 946.336 was amended to exempt
red types of potatoes from the order’s
handling requirements for the
remainder of the 2013–2014 fiscal
period and subsequent fiscal periods. In
addition, § 946.143 was modified to
require that each person handling red
types of potatoes submit a monthly
report to the State of Washington Potato
Committee (Committee) during the
period that red types of potatoes are
exempt from regulation. Lastly,
pursuant to the section 8e, § 980.1 was
revised to exempt imported redskinned, round types of potatoes from
the import regulations.
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
VerDate Mar<15>2010
15:23 Jul 15, 2014
Jkt 232001
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 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 43 handlers of Washington
potatoes subject to regulation under the
order and approximately 267 producers
in the regulated production area. Small
agricultural service firms are defined by
the Small Business Administration as
those having annual receipts of less than
$7,000,000, and small agricultural
producers are defined as those having
annual receipts of less than $750,000.
(13 CFR 121.201)
For the 2011–2012 marketing year, the
Committee reports that 11,018,670
hundredweight of Washington potatoes
were shipped into the fresh market.
Based on average f.o.b. prices estimated
by the USDA’s Economic Research
Service and Committee data on
individual handler shipments, the
Committee estimates that 42, or
approximately 98 percent of the
handlers, had annual receipts of less
than $7,000,000.
In addition, based on information
provided by the National Agricultural
Statistics Service, the average producer
price for Washington potatoes for 2011–
2012 was $7.90 per hundredweight.
Taking the 2011–2012 shipments of
fresh potatoes in the marketing order
area (11,018,670 hundredweight),
multiplying it by the average producer
price for Washington potatoes, $7.90,
and then dividing it by the number of
Washington potato producers (267)
equates to an average gross annual
revenue per producer of approximately
$326,021. In view of the foregoing, the
majority of Washington potato handlers
and producers may be classified as
small entities.
Information from the Foreign
Agricultural Service, USDA, indicates
that the dollar value of imported fresh
potatoes averaged $128.962 million
from 2008 to 2012, ranging from a low
of approximately $106.502 million in
2012 to a high of approximately
$155.358 million in 2008. Taking the
average dollar value of imported fresh
potatoes, $128.962 million, and dividing
it by the number of potato importers,
571, results in average annual receipts
per importer of approximately $226,000.
Since this is below the SBA definition
PO 00000
Frm 00010
Fmt 4700
Sfmt 4700
for small businesses (less than $7
million in annual sales), most potato
importers may be classified as small
entities.
This rule continues in effect the
action that exempted red types of
potatoes from the order’s handling
regulations and modified the order’s
reporting requirements for the
remainder of the 2013–2014 fiscal
period and subsequent fiscal periods.
This rule also continues in effect the
action that exempted imported redskinned, round type potatoes from the
minimum grade, size, quality, maturity,
and inspection requirements of the
potato import regulation. This change is
expected to reduce overall industry
expenses and provide the industry with
the opportunity to explore alternative
marketing strategies.
This rule modifies §§ 946.143,
946.336, and 980.1. Authority for the
change in the order’s rules and
regulations is provided in § 946.52 of
the order, while authority for reports
and records is provided in § 946.70. The
change in the potato import regulation
is required under section 8e of the Act.
This rule is not anticipated to
negatively impact small businesses.
This rule exempts red types of potatoes
from minimum quality, maturity, pack,
marking, and inspection requirements
for the remainder of the current fiscal
period and subsequent fiscal periods.
Though inspections are not mandatory
for such potatoes during the exemption
period, handlers may choose to
voluntarily have their potatoes
inspected. Handlers are thus able to
control costs based on the demands of
their customers. The opportunities and
benefits of this rule are equally available
to all Washington potato handlers and
producers, regardless of their 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. 0581–0178, Generic
Vegetable and Specialty Crops.
This rule continues in effect the
action requiring the submission of a
monthly handler report for fresh red
types of potatoes handled during the
exemption period. The action modified
the ‘‘Russet Fresh Potato Report’’ that
was previously established for reporting
the handling of russet type potatoes to
now include red types of potatoes
during the period those types of
potatoes are exempted from regulation.
The modified form, now titled the ‘‘SelfReporting Potato Form,’’ will provide
the Committee with information
necessary to track shipments and collect
E:\FR\FM\16JYR1.SGM
16JYR1
ehiers on DSK2VPTVN1PROD with RULES
Federal Register / Vol. 79, No. 136 / Wednesday, July 16, 2014 / Rules and Regulations
assessments. The form modification has
been approved by OMB.
While this rule continues in effect the
action requiring a reporting requirement
for red types of potatoes, the exemption
of red types of potatoes from handling
regulation also eliminates, for the
exemption period, the more frequent
reporting requirements imposed under
the order’s special purpose shipment
exemptions (§ 946.336(d) and (e)).
Under these paragraphs, handlers are
required to provide detailed reports
whenever they divert regulated potatoes
for livestock feed, charity, seed,
prepeeling, processing, grading and
storing in specified counties in Oregon,
and experimentation.
Therefore, any additional reporting or
recordkeeping requirements on either
small or large handlers of red types of
potatoes are expected to be offset by the
elimination of the other reporting
requirements currently in effect. In
addition, the exemption from handling
regulation and inspection requirements
for red types of potatoes is expected to
reduce industry expenses.
USDA has not identified any relevant
Federal rules that duplicate, overlap or
conflict with this rule.
Further, the Committee’s meetings
were widely publicized throughout the
Washington potato industry and all
interested persons were invited to
participate in Committee deliberations.
Like all Committee meetings, the May 9,
July 16, and December 10, 2013,
meetings were public meetings. All
entities, both large and small, were able
to express views on this issue.
Comments on the interim rule were
required to be received on or before
April 14, 2014. No comments were
received. Accordingly, for the reasons
given in the interim rule, USDA is
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-13-00680001.
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).
In accordance with section 8e of the
Act, the United States Trade
Representative has concurred with the
issuance of this final rule.
After consideration of all relevant
material presented, it is found that
finalizing the interim rule, without
change, as published in the Federal
Register (79 FR 8253, February 12,
2014) will tend to effectuate the
declared policy of the Act.
VerDate Mar<15>2010
15:23 Jul 15, 2014
Jkt 232001
List of Subjects
7 CFR Part 946
Marketing agreements, Potatoes,
Reporting and recordkeeping
requirements.
7 CFR Part 980
Food grades and standards, Imports,
Marketing agreements, Onions, Potatoes,
Tomatoes.
PARTS 946 and 980 [AMENDED]
Accordingly, the interim rule that
amended 7 CFR parts 946 and 980 and
that was published at 79 FR 8253 on
February 12, 2014, is adopted as final
without change.
■
Dated: July 10, 2014.
Rex A. Barnes,
Associate Administrator, Agricultural
Marketing Service.
[FR Doc. 2014–16635 Filed 7–15–14; 8:45 am]
BILLING CODE 3410–02–P
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 987
[Docket No. AMS–FV–13–0090; FV14–
987–2 FR]
Domestic Dates Produced or Packed in
Riverside County, California; Revision
of Assessment Requirements
Agricultural Marketing Service,
USDA.
ACTION: Final rule.
AGENCY:
This rule revises the rules and
regulations of the California date
marketing order (order) to impose
interest and late payment charges on
overdue handler assessments. The order
regulates the handling of dates
produced or packed in Riverside
County, California, and is administered
locally by the California Date
Administrative Committee (committee).
Assessments upon date handlers are
used to fund the reasonable and
necessary expenses of the committee.
These changes are expected to assist in
the financial administration of the order
by encouraging handlers to pay their
assessments in a timely manner.
DATES: Effective July 17, 2014.
FOR FURTHER INFORMATION CONTACT:
Terry Vawter, Senior Marketing
Specialist, or Martin Engeler, Regional
Director, California Marketing Field
Office, Marketing Order and Agreement
Division, Fruit and Vegetable Program,
AMS, USDA; Telephone: (559) 487–
5901, Fax: (559) 487–5906, or Email:
SUMMARY:
PO 00000
Frm 00011
Fmt 4700
Sfmt 4700
41415
Terry.Vawter@ams.usda.gov or
Martin.Engeler@ams.usda.gov.
Small businesses may request
information on complying with this
regulation 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 final
rule is issued under Marketing
Agreement and Order No. 987, as
amended (7 CFR Part 987), regulating
the handling of dates produced or
packed in Riverside County, California,
hereinafter referred to as the ‘‘order.’’
The order is effective under the
Agricultural Marketing Agreement Act
of 1937, as amended (7 U.S.C. 601–674),
hereinafter referred to as the ‘‘Act.’’
The Department of Agriculture
(USDA) is issuing this rule in
conformance with Executive Orders
12866, 13563, and 13175.
This final rule has been reviewed
under Executive Order 12988, Civil
Justice Reform. This rule is not intended
to have retroactive effect.
The Act provides that administrative
proceedings must be exhausted before
parties may file suit in court. Under
section 608c(15)(A) of the Act, any
handler subject to an order may file
with USDA a petition stating that the
order, any provision of the order, or any
obligation imposed in connection with
the order is not in accordance with law
and request a modification of the order
or to be exempted therefrom. Such
handler is afforded the opportunity for
a hearing on the petition. After the
hearing, USDA would rule on the
petition. The Act provides that the
district court of the United States in any
district in which the handler is an
inhabitant, or has his or her principal
place of business, has jurisdiction to
review USDA’s ruling on the petition,
provided an action is filed not later than
20 days after the date of the entry of the
ruling.
This final rule revises the rules and
regulations of the California date order
to impose interest and late payment
charges on overdue handler
assessments. Interest and late payment
charges will encourage California date
handlers to pay their assessments
promptly when billed by the committee.
The order was amended on June 25,
2012, [77 FR 37762], to provide
authority for the committee to
recommend these actions, thereby
permitting these changes through
informal rulemaking, with the approval
of the Secretary.
E:\FR\FM\16JYR1.SGM
16JYR1
]]>Agencies
[Federal Register Volume 79, Number 136 (Wednesday, July 16, 2014)]
[Rules and Regulations]
[Pages 41413-41415]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2014-16635]
-----------------------------------------------------------------------
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 946 and Part 980
[Doc. No. AMS-FV-13-0068; FV13-946-3 FIR]
Irish Potatoes Grown in Washington and Imported Potatoes;
Modification of the Handling Regulations, Reporting Requirements, and
Import Regulations for Red Types of Potatoes
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Affirmation of interim rule as a final rule.
-----------------------------------------------------------------------
SUMMARY: The Department of Agriculture is adopting, as a final rule,
without change, an interim rule that exempted red types of potatoes
from minimum quality, maturity, pack, marking, and inspection
requirements of the Washington potato marketing order and the potato
import regulation for the 2013-2014 and subsequent fiscal periods. This
rule also continues in effect the action that required handlers of red
types of potatoes to submit reports during the period that red types of
potatoes are exempt from regulation. This rule is expected to reduce
overall industry expenses and increase net returns to producers and
handlers while giving the industry the opportunity to explore
alternative marketing strategies.
DATES: Effective July 21, 2014.
FOR FURTHER INFORMATION CONTACT: Teresa Hutchinson, Marketing
Specialist, or Gary Olson, Regional Director, Northwest Marketing Field
Office, Marketing Order and Agreement Division, Fruit and Vegetable
Program, AMS, USDA; Telephone: (503) 326-2724, Fax: (503) 326-7440, or
Email: Teresa.Hutchinson@ams.usda.gov or GaryD.Olson@ams.usda.gov.
Small businesses may obtain information on complying with this and
other marketing order 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
No. 946, as amended (7 CFR part 946), regulating the handling of Irish
potatoes grown in Washington, hereinafter referred to as the ``order.''
The order is effective under the Agricultural Marketing Agreement Act
of 1937, as amended (7 U.S.C. 601-674), hereinafter referred to as the
``Act.''
This rule is also issued under section 8e of the Act, which
provides that whenever certain specified commodities, including
potatoes, are regulated under a Federal marketing order, imports of
these commodities into the United States is prohibited unless they meet
the same or comparable grade, size, quality, or maturity requirements
as those in effect for domestically produced commodities.
The Department of Agriculture (USDA) is issuing this rule in
conformance with Executive Orders 12866, 13563, and 13175.
The handling of Irish potatoes grown in Washington is regulated by
7 CFR part 946. Prior to this change, red types
[[Page 41414]]
of potatoes were subject to the requirements contained in the order's
handling regulations (Sec. 946.336). The Washington potato industry
was concerned that the cost of mandatory inspection for red types of
potatoes, which has increased, may outweigh the benefits of having the
quality regulations in place. By exempting red types of potatoes from
handling regulations, the industry expects to reduce overall expenses
and provide handlers the opportunity to explore alternative marketing
strategies.
Therefore, this rule continues in effect the interim rule that
exempted red types of potatoes from the order's handling regulations
for the remainder of the 2013-2014 fiscal period and subsequent fiscal
periods. This rule also continues in effect the action that required
handlers of red types of potatoes to submit reports during the period
that red types of potatoes are exempt from regulation. Assessments on
all fresh red types of potatoes handled under the order will remain in
effect during the exemption period.
Imported potatoes are subject to regulations specified in 7 CFR
part 980. Under those regulations, imported potatoes must meet the same
or comparable grade, size, quality, and maturity requirements as
specified for domestic potatoes under the order. Therefore, the
exemption of red types of potatoes from the minimum grade, size,
quality, and maturity requirements of the order also exempts red-
skinned, round types of potatoes imported into the United States from
the same requirements.
In an interim rule published in the Federal Register on February
12, 2014, and effective February 15, 2014, (79 FR 8253, Doc. No. FV-13-
0068, FV13-946-3 IR), Sec. 946.336 was amended to exempt red types of
potatoes from the order's handling requirements for the remainder of
the 2013-2014 fiscal period and subsequent fiscal periods. In addition,
Sec. 946.143 was modified to require that each person handling red
types of potatoes submit a monthly report to the State of Washington
Potato Committee (Committee) during the period that red types of
potatoes are exempt from regulation. Lastly, pursuant to the section
8e, Sec. 980.1 was revised to exempt imported red-skinned, round types
of potatoes from the import regulations.
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 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 43 handlers of Washington potatoes subject to regulation
under the order and approximately 267 producers in the regulated
production area. Small agricultural service firms are defined by the
Small Business Administration as those having annual receipts of less
than $7,000,000, and small agricultural producers are defined as those
having annual receipts of less than $750,000. (13 CFR 121.201)
For the 2011-2012 marketing year, the Committee reports that
11,018,670 hundredweight of Washington potatoes were shipped into the
fresh market. Based on average f.o.b. prices estimated by the USDA's
Economic Research Service and Committee data on individual handler
shipments, the Committee estimates that 42, or approximately 98 percent
of the handlers, had annual receipts of less than $7,000,000.
In addition, based on information provided by the National
Agricultural Statistics Service, the average producer price for
Washington potatoes for 2011-2012 was $7.90 per hundredweight. Taking
the 2011-2012 shipments of fresh potatoes in the marketing order area
(11,018,670 hundredweight), multiplying it by the average producer
price for Washington potatoes, $7.90, and then dividing it by the
number of Washington potato producers (267) equates to an average gross
annual revenue per producer of approximately $326,021. In view of the
foregoing, the majority of Washington potato handlers and producers may
be classified as small entities.
Information from the Foreign Agricultural Service, USDA, indicates
that the dollar value of imported fresh potatoes averaged $128.962
million from 2008 to 2012, ranging from a low of approximately $106.502
million in 2012 to a high of approximately $155.358 million in 2008.
Taking the average dollar value of imported fresh potatoes, $128.962
million, and dividing it by the number of potato importers, 571,
results in average annual receipts per importer of approximately
$226,000. Since this is below the SBA definition for small businesses
(less than $7 million in annual sales), most potato importers may be
classified as small entities.
This rule continues in effect the action that exempted red types of
potatoes from the order's handling regulations and modified the order's
reporting requirements for the remainder of the 2013-2014 fiscal period
and subsequent fiscal periods. This rule also continues in effect the
action that exempted imported red-skinned, round type potatoes from the
minimum grade, size, quality, maturity, and inspection requirements of
the potato import regulation. This change is expected to reduce overall
industry expenses and provide the industry with the opportunity to
explore alternative marketing strategies.
This rule modifies Sec. Sec. 946.143, 946.336, and 980.1.
Authority for the change in the order's rules and regulations is
provided in Sec. 946.52 of the order, while authority for reports and
records is provided in Sec. 946.70. The change in the potato import
regulation is required under section 8e of the Act.
This rule is not anticipated to negatively impact small businesses.
This rule exempts red types of potatoes from minimum quality, maturity,
pack, marking, and inspection requirements for the remainder of the
current fiscal period and subsequent fiscal periods. Though inspections
are not mandatory for such potatoes during the exemption period,
handlers may choose to voluntarily have their potatoes inspected.
Handlers are thus able to control costs based on the demands of their
customers. The opportunities and benefits of this rule are equally
available to all Washington potato handlers and producers, regardless
of their 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. 0581-0178, Generic Vegetable and Specialty Crops.
This rule continues in effect the action requiring the submission
of a monthly handler report for fresh red types of potatoes handled
during the exemption period. The action modified the ``Russet Fresh
Potato Report'' that was previously established for reporting the
handling of russet type potatoes to now include red types of potatoes
during the period those types of potatoes are exempted from regulation.
The modified form, now titled the ``Self-Reporting Potato Form,'' will
provide the Committee with information necessary to track shipments and
collect
[[Page 41415]]
assessments. The form modification has been approved by OMB.
While this rule continues in effect the action requiring a
reporting requirement for red types of potatoes, the exemption of red
types of potatoes from handling regulation also eliminates, for the
exemption period, the more frequent reporting requirements imposed
under the order's special purpose shipment exemptions (Sec. 946.336(d)
and (e)). Under these paragraphs, handlers are required to provide
detailed reports whenever they divert regulated potatoes for livestock
feed, charity, seed, prepeeling, processing, grading and storing in
specified counties in Oregon, and experimentation.
Therefore, any additional reporting or recordkeeping requirements
on either small or large handlers of red types of potatoes are expected
to be offset by the elimination of the other reporting requirements
currently in effect. In addition, the exemption from handling
regulation and inspection requirements for red types of potatoes is
expected to reduce industry expenses.
USDA has not identified any relevant Federal rules that duplicate,
overlap or conflict with this rule.
Further, the Committee's meetings were widely publicized throughout
the Washington potato industry and all interested persons were invited
to participate in Committee deliberations. Like all Committee meetings,
the May 9, July 16, and December 10, 2013, meetings were public
meetings. All entities, both large and small, were able to express
views on this issue.
Comments on the interim rule were required to be received on or
before April 14, 2014. No comments were received. Accordingly, for the
reasons given in the interim rule, USDA is 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-13-0068-0001.
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).
In accordance with section 8e of the Act, the United States Trade
Representative has concurred with the issuance of this final rule.
After consideration of all relevant material presented, it is found
that finalizing the interim rule, without change, as published in the
Federal Register (79 FR 8253, February 12, 2014) will tend to
effectuate the declared policy of the Act.
List of Subjects
7 CFR Part 946
Marketing agreements, Potatoes, Reporting and recordkeeping
requirements.
7 CFR Part 980
Food grades and standards, Imports, Marketing agreements, Onions,
Potatoes, Tomatoes.
PARTS 946 and 980 [AMENDED]
0
Accordingly, the interim rule that amended 7 CFR parts 946 and 980 and
that was published at 79 FR 8253 on February 12, 2014, is adopted as
final without change.
Dated: July 10, 2014.
Rex A. Barnes,
Associate Administrator, Agricultural Marketing Service.
[FR Doc. 2014-16635 Filed 7-15-14; 8:45 am]
BILLING CODE 3410-02-P
