Raisins Produced From Grapes Grown in California; Temporary Relaxation of Substandard and Maturity Dockage Requirements, 59819-59823 [2024-16173]

Agencies

• Agricultural Marketing Service
• DEPARTMENT OF AGRICULTURE

[Federal Register Volume 89, Number 142 (Wednesday, July 24, 2024)]
[Rules and Regulations]
[Pages 59819-59823]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-16173]



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Rules and Regulations
                                                Federal Register
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Federal Register / Vol. 89, No. 142 / Wednesday, July 24, 2024 / 
Rules and Regulations

[[Page 59819]]



DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 989

[Doc. No. AMS-SC-23-0062]


Raisins Produced From Grapes Grown in California; Temporary 
Relaxation of Substandard and Maturity Dockage Requirements

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Affirmation of interim final rule as final rule.

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

SUMMARY: This final rule adopts, without change, an interim final rule 
that temporarily changes the substandard and maturity dockage 
requirements for raisins covered under the Federal marketing order for 
raisins produced from grapes grown in California (Order). For the 2023-
2024 crop year, the minimum requirements for substandard and maturity 
dockage in the marketing order's handling regulations are relaxed to 
accommodate raisins adversely impacted by severe weather conditions.

DATES: Effective July 25, 2024.

FOR FURTHER INFORMATION CONTACT: Jeremy Sasselli, Marketing Specialist, 
or Barry Broadbent, Branch Chief, West Region Branch, Market 
Development Division, Specialty Crops Program, AMS, USDA; Telephone: 
(559) 487-5901 or Email: [email protected] or 
[email protected].
    Small businesses may request information on complying with this 
regulation by contacting Richard Lower, Assistant to the Director, 
Market Development Division, Specialty Crops Program, AMS, USDA, 1400 
Independence Avenue SW, STOP 0237, Washington, DC 20250-0237; 
Telephone: (202) 720-8085, or Email: [email protected].

SUPPLEMENTARY INFORMATION: This action, pursuant to 5 U.S.C. 553, 
temporarily amends regulations issued to carry out a marketing order as 
defined in 7 CFR 900.2(j). This final rule is issued under Marketing 
Agreement and Order No. 989, both as amended (7 CFR part 989), 
hereinafter referred to as the ``Order,'' and the applicable provisions 
of the Agricultural Marketing Agreement Act of 1937, as amended (7 
U.S.C. 601-674), hereinafter referred to as the ``Act.'' The Raisin 
Administrative Committee (Committee) locally administers the Order and 
is comprised of growers and handlers of raisins operating within the 
area of production, and a public member.
    The Agricultural Marketing Service (AMS) is issuing this final rule 
in conformance with Executive Orders 12866, 13563, and 14094. Executive 
Orders 12866, 13563, and 14094 direct agencies to assess 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. Executive 
Order 14094 reaffirms, supplements, and updates Executive Order 12866 
and further directs agencies to solicit and consider input from a wide 
range of affected and interested parties through a variety of means. 
This action falls within a category of regulatory actions that the 
Office of Management and Budget (OMB) exempted from Executive Order 
12866 review.
    This final rule has been reviewed under Executive Order 13175--
Consultation and Coordination with Indian Tribal Governments, which 
requires agencies to consider whether their rulemaking actions would 
have Tribal implications. AMS has determined that this rule is unlikely 
to have substantial direct effects on one or more Indian Tribes, on the 
relationship between the Federal Government and Indian Tribes, or on 
the distribution of power and responsibilities between the Federal 
Government and Indian Tribes.
    This final rule has been reviewed under Executive Order 12988, 
Civil Justice Reform. This rule is not intended to have a 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 the United States 
Department of Agriculture (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 no later than 20 days after the date of the entry of 
the ruling.
    This final rule affirming the interim final rule temporarily 
relaxes the substandard and maturity dockage minimum requirements for 
incoming raisins covered under the Order for the 2023-2024 crop year. 
Section 989.58 requires natural condition raisins that do not meet the 
minimum requirements must be returned by handlers to producers, 
reconditioned by handlers at the producers' expense, or disposed of in 
a non-normal outlet such as animal feed at a much-reduced producer 
price. Provided, however, handlers may acquire natural condition 
raisins which exceed the tolerance established for maturity under a 
weight dockage system. Under the Order, handlers acquire raisins from 
producers under a weight dockage system and adjust the creditable fruit 
weight acquired according to the percentage of substandard raisins in 
the lot and/or the percentage of raisins that fall below certain levels 
of maturity in the lot. Handler payments to producers, and the payment 
of handler assessments, are based on the creditable weight of raisins 
acquired by handlers. Due to unusual crop conditions created by extreme 
weather events which adversely affected the growing conditions of 
California raisin grape vines, producers and handlers in the industry 
are seeing a relatively high percentage of the 2023-2024 crop year 
deliveries of raisins fall outside the minimum requirements of the 
substandard and maturity dockage

[[Page 59820]]

system. The situation is the result of unforeseen environmental factors 
that are showing effects on raisin grapes after harvest and drying. The 
temporary relaxation of the substandard and maturity requirements 
effectuated by this final rule is expected to mitigate the disruption 
of the marketing of California raisins caused by adverse environmental 
conditions on the California raisin industry and provide a cost savings 
for producers by reducing reconditioning and reinspection costs.
    Prior to the 2022-2023 winter, the raisin-growing region in 
California suffered multiple years of extreme drought, which had long-
term detrimental effects on California grape vineyards. Further, over 
the course of the 2022-2023 winter, temperatures across California were 
colder than average, rainfall in the San Joaquin Valley exceeded normal 
levels, and snowfall in the Sierra Nevada greatly exceeded normal 
levels, leading to one of the largest snowpacks on record. 
Additionally, in 2023 a series of intense storms brought rain onto the 
record snowpack, causing rapid snowmelt which had disastrous flooding 
effects in parts of the San Joaquin Valley, including the historic 
filling of the Tulare Lake Basin. However, the full effect of such 
severe weather conditions on raisin grape production only became 
apparent to producers when dehydrators began their grape dehydrating 
activities in mid to late August 2023.
    During its October 5, 2023, meeting, the Committee determined that 
rain and cold temperatures into late spring and early summer delayed 
crop maturity and that record rain and snowmelt created exceptionally 
high humidity levels throughout the production area, causing some bunch 
rot and mildew issues. In addition, hurricane Hillary perpetuated these 
conditions at the end of August 2023 by bringing unseasonal and 
substantial rainfall throughout the raisin growing region. The crop was 
also late by at least three weeks, and temperatures in September and 
into October were below average, which extended the raisin drying 
period and has delayed deliveries to handlers. Thus, raisins delivered 
to handlers by producers failed to meet the Order's minimum 
requirements. This was evident by incoming inspections reported to the 
Committee since the beginning of the 2023-2024 crop year (August 1) 
having shown an increase of approximately 160 percent in off-grade 
natural condition raisins over the average of the past 4 years (29.1 
percent versus 11.2 percent). All other varieties of raisins have also 
shown a 155 percent increase in off-grade over the previous 4-year 
average (26.0 percent versus 10.2 percent). Relaxing the limits for the 
2023-2024 crop year reduces the number of failing lots of raisins that 
must be returned by handlers to producers, reconditioned by handlers at 
the producers' expense, or disposed of through non-normal outlets. This 
final rule provides cost savings to producers by minimizing 
reconditioning and reinspection costs and avoid further delays 
affecting producer deliveries in the 2023-2024 crop year. The Committee 
unanimously recommended this action during its October 5, 2023, 
meeting.
    Section 989.58(a) of the Order provides authority for the 
establishment of incoming grade, quality, and condition requirements 
for natural condition raisins that are delivered from producers to 
handlers. This section also contains authority for handlers to acquire 
natural condition raisins which fall outside the tolerance established 
for maturity, which includes substandard raisins, under a weight 
dockage system.
    Section 989.701 of the Order establishes the minimum grade and 
condition standards for natural condition raisins. Product that does 
not meet those requirements is considered substandard. Handlers may 
acquire product that is determined to be substandard under a weight 
dockage system. The regulations delineating the Order's weight dockage 
system are contained in Sec. Sec.  989.212 and 989.213. Under those 
provisions, handler acquisitions of raisins, and payments to producers 
for such raisins, are adjusted according to the percentage of 
substandard raisins in each lot and/or the percentage of raisins that 
fall below certain levels of maturity of each lot. Product that does 
not meet the minimum requirements under the weight dockage system is 
considered off-grade and must be returned to producers, reconditioned, 
or disposed of in an eligible non-normal market outlet that does not 
compete with standard raisins.

Tolerances for Substandard Raisins

    Section 989.701 of the Order's regulations specifies the minimum 
quality requirements for natural condition raisins. Lots of raisins may 
contain a maximum percentage, depending on varietal type, of 
substandard raisins (raisins that show development less than that 
characteristic of raisins prepared from fairly well-matured grapes). 
Specifically, lots of Natural (sun-dried) Seedless, Monukka, Other 
Seedless, Dipped Seedless, Oleate and Related Seedless, Other Seedless-
Sulfured, and Golden Seedless raisins may contain no more than 5 
percent, by weight, of substandard raisins. Lots of Muscat, Sultana, 
and Zante Currant raisins may contain no more than 12 percent, by 
weight, of substandard raisins.

Dockage System for Substandard Raisins

    Section 989.212 provides that handlers may acquire, under an 
agreement with a producer, raisins that fall outside the tolerance for 
substandard raisins specified in Sec.  989.701. Specifically, handlers 
may acquire any lot of Natural (sun-dried) Seedless, Golden Seedless, 
Dipped Seedless, Monukka, Other Seedless, and Other Seedless--Sulfured 
raisins which contain from 5.1 through 17.0 percent, by weight, of 
substandard raisins under a weight dockage system. A handler may also 
acquire, subject to prior agreement, any lot of Muscat (including other 
raisins with seeds), Sultana, and Zante Currant raisins containing from 
12.1 through 20.0 percent, by weight, of substandard raisins under a 
weight dockage system. The creditable weight of each lot of raisins 
acquired by handlers under the substandard dockage system is obtained 
by multiplying the applicable net weight of the lot of raisins by the 
applicable dockage factor from the tables in Sec.  989.212. The dockage 
factor reduces the weight of the raisin lot by an amount approximating 
the weight of the raisins needed to be removed for the remainder of the 
lot to meet minimum grade requirements after processing and packing. 
The weight determined in this manner represents the creditable weight 
of the raisins which is used as a basis for applicable handler 
assessments and handler payments to producers for product received. 
However, those raisins failing to meet the established substandard 
tolerance levels (17.0 or 20.0 percent, depending on varietal type) 
must be returned to the producer or reconditioned by the handler (at 
the producer's expense) to bring the lot up to acceptable quality 
standards or disposed of in an eligible non-normal market outlet that 
does not compete with standard raisins.
    Because of the adverse crop conditions described above, the 
industry producers and handlers are dealing with a relatively high 
percentage of the 2023 crop (marketed over the 2023-2024 crop year) 
that is falling outside the limits of the substandard dockage systems 
when delivered to handlers. Further, the Committee has reported that, 
to date, approximately 29.1 percent of natural

[[Page 59821]]

condition raisins delivered to handlers, and approximately 26.0 percent 
of all other varieties of raisins, have been off-grade, requiring 
reworking or disposition into non-normal market outlets. In comparison, 
the average percentages for off-grade deliveries for the 4 years prior 
to the 2023-2024 crop year shows approximately 11.2 percent and 10.2 
percent, respectively.
    The Committee recommended that the allowable maximum percentage of 
substandard raisins in producer deliveries that can be acquired under 
the dockage system be increased, from 17.0 to 21.0 percent for Natural 
(sun-dried) Seedless, Golden Seedless, Dipped Seedless, Monukka, Other 
Seedless, and Other Seedless-Sulfured raisins, and from 20.0 to 25.0 
percent for Muscat (including other raisins with seeds), Sultana, and 
Zante Currant raisins. Lots containing more than 21.0 or 25.0 percent, 
depending on varietal type, of substandard raisins are considered off-
grade and require reconditioning before they can be acquired by 
handlers. This rule makes appropriate changes to Sec.  989.212 to 
incorporate the Committee's recommendations. The changes apply for the 
2023-2024 crop year only.
    Increasing the percentage allowed for substandard raisins in 
incoming fruit is expected to reduce the number of failed lots of 
raisins returned by handlers to producers or reconditioned by handers 
at the producers' expense or disposed of in a non-normal outlet such as 
animal feed at a much-reduced producer price. Under the relaxation, 
handlers are able to acquire more lots of raisins upon first inspection 
and not experience the potential delay of waiting for failing lots to 
be reconditioned. The ability to acquire more raisins upon first 
inspection helps handlers better meet the needs of the market and save 
producers the cost of reconditioning and reinspecting failed fruit that 
would otherwise have passed incoming inspections and be received by 
handlers.

Tolerance for Maturity

    Section 989.701 of the Order's regulations specifies that lots of 
certain varietal types of natural condition raisins must contain a 
minimum percentage of raisins that are well-matured or reasonably well-
matured. Specifically, lots of Natural (sun-dried) Seedless, Golden 
Seedless, Dipped Seedless, Monukka, Other Seedless, and Other Seedless-
Sulfured raisins must contain at least 50 percent, by weight, of 
raisins that are well-matured or reasonably well-matured, or what is 
commonly referred to by the industry as the ``B or better'' maturity 
standard.

Dockage System for Maturity

    Section 989.213 provides that handlers may acquire, under an 
agreement with a producer, raisins falling outside the tolerance for 
maturity specified in Sec.  989.701. Specifically, handlers may acquire 
any lot of Natural (sun-dried) Seedless, Golden Seedless, Dipped 
Seedless, Monukka, Other Seedless, Other Seedless-Sulfured raisins 
which contain from 35.0 to 49.9 percent, by weight, of well-matured or 
reasonably well matured raisins under a weight dockage system. The 
dockage system is applied similarly to the substandard dockage system 
previously described. The creditable weight of each lot of raisins 
acquired by handlers under the maturity dockage system is obtained by 
multiplying the applicable net weight of the lot of raisins by the 
applicable dockage factor in the tables in Sec.  989.213. The dockage 
factor reduces the weight of the raisins needed to be removed for the 
remainder of the lot to meet minimum maturity requirements after 
processing and packing. The weight determined in this manner represents 
the creditable weight of the raisins which is used as a basis for 
payment of handler assessments and handler payments to producers for 
product received. Those raisins failing to meet the maturity tolerance 
level of 35.0 percent are returned to the producer or reconditioned by 
the handler (at the producer's expense) to bring the lot up to 
acceptable quality standards. If a lot of raisins is subject to both a 
maturity and substandard dockage factor, only the highest of the two 
dockage factors is applied, as stated in Sec.  989.210(d).
    In addition, the maturity dockage system is divided into three 
categories depending on the percentage of well-matured or reasonably 
well-matured raisins in the lot. The creditable fruit weight of raisins 
delivered by producers to handlers in the first category, which 
includes lots containing between 45.0 to 49.9 percent well-matured or 
reasonably well-matured raisins, is reduced .05 percent for each 0.1 
percent the lot is below 50.0 percent down to 45.0 percent. The 
creditable fruit weight of raisins delivered by producers to handlers 
in the second category, which includes lots containing between 40.0 to 
44.9 percent well-matured or reasonably well-matured raisins, is 
reduced 0.1 percent for each 0.1 percent the lot is below 44.9 percent 
down to 40.0 percent. The creditable fruit weight of raisins delivered 
by producers to handlers in the third category, which includes lots 
containing between 35.0 to 39.9 percent well-matured or reasonably 
well-matured raisins is reduced 0.15 percent for each 0.1 percent the 
lot is below 39.9 percent down to 35.0 percent. Applicable handler 
assessments and producer payments for product received are reduced 
accordingly. Because of the adverse crop conditions described above, 
the industry predicts that a relatively high percentage of the 2023 
crop will fall below the 35.0 percent tolerance level for maturity when 
product is delivered to handlers. So far this crop year, approximately 
29.1 percent of natural condition raisins have been off-grade and 
require reconditioning to enter the market. In addition, approximately 
26.0 percent of all other varieties have been off-grade.
    The Committee recommended that the minimum allowable level for 
maturity of raisins delivered by producers that can be acquired under 
the dockage system be reduced, for the 2023-2024 crop year only, from 
35.0 to 30.0 percent under a fourth category in the regulation. The 
Committee also recommended that the creditable fruit weight of raisin 
deliveries in this fourth category created for the 2023-2024 crop year, 
or lots containing between 30.0 to 34.9 percent well-matured or 
reasonably well-matured raisins, be reduced by 0.2 percent for each 0.1 
percent the lot is below 34.9 percent down to 30.0 percent. Applicable 
handler assessments and producer payments for product received are to 
be reduced accordingly. Lots containing 29.9 percent or less raisins 
which are well-matured or reasonably well-matured raisins are 
considered off-grade and require reconditioning before they can be 
acquired by handlers. A new paragraph (e) is added to Sec.  989.213 for 
this fourth category and applies only to product handled during the 
2023-2024 crop year.
    Similar to relaxing the requirements under the substandard dockage 
system, reducing the minimum allowable level for maturity for the 2023-
2024 crop year is expected to reduce the number of failed lots of 
raisins returned by handlers to producers or reconditioned by handlers 
at the producers' expense or disposed of in non-normal outlets. Under 
this relaxation, handlers are able to acquire more lots of raisins upon 
first inspection and not continue to experience further delay waiting 
for failed lots to be reconditioned and reinspected. The ability to 
acquire more raisins upon first inspection helps handlers better meet 
the needs of the market and save producers the cost of reconditioning 
failed fruit that would

[[Page 59822]]

otherwise have been acquired by handlers under the weight dockage 
system. In addition, the industry has indicated that there is strong 
market demand for raisins and requiring a large percentage of the crop 
to be reconditioned and reinspected would have hindered the handlers' 
ability to fulfill that demand, disrupting the orderly marketing of 
California raisins. Further, the cost of reconditioning and 
reinspection is expected to be passed on to the consumer. This rule 
allows better movement of product through market channels and is 
expected to reduce costs for producers, handlers, and possibly 
consumers.

Final Regulatory Flexibility Analysis

    Pursuant to requirements set forth in the Regulatory Flexibility 
Act (RFA) (5 U.S.C. 601-612), AMS has considered the economic impact of 
this final rule on small entities. Accordingly, AMS has prepared this 
final regulatory flexibility analysis.
    The purpose of the RFA is to fit regulatory actions to the scale of 
businesses subject to such actions in order that small businesses are 
not 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 1,700 producers of California raisins and 
approximately 17 handlers subject to regulation under the Order. Small 
agricultural producers of raisins are defined by the Small Business 
Administration (SBA) as those having annual receipts equal to or less 
than $4.0 million (NAICS code 111332, Grape Vineyards) and small 
agricultural service firms are defined as those whose annual receipts 
are equal to or less than $34.0 million (NAICS code 115114, Postharvest 
Crop Activities) (13 CFR 121.201).
    Using USDA National Agricultural Statistics Service (NASS) data, 
the 2022 season average value of utilized production of California 
processed raisin-type grapes (most of which are dried into raisins) is 
$376.6 million. Dividing that figure by 1,700 producers yields an 
annual average revenue per producer of $221,530, well below the SBA 
large farm size threshold of $4.0 million. Therefore, in terms of 
average annual sales of processed raisin-type grapes, the majority of 
California raisin producers may be classified as small entities.
    To make a similar computation for handlers, the first step is to 
estimate a representative handler price received per pound for packaged 
raisins. Recent USDA purchases under the Commodity Procurement Program 
provide such an estimate. For the most recent raisin crop year used by 
the RAC (August 2022-July 2023) the average price paid for packaged 
raisins purchased by the USDA for feeding programs was $1.56 per pound. 
For that time period, the RAC provided a list of quantities delivered 
by handlers. When multiplied by the $1.56 price per pound, the results 
showed that 5 handlers had annual raisin receipts greater than $34.0 
million, the SBA threshold level for a large handler. The remaining 12 
handlers out of 17 are small handlers, using the SBA criterion.
    This final rule relaxes the substandard and maturity dockage 
requirements specified in Sec. Sec.  989.212 and 989.213, respectively, 
of the Order's handling regulations for the 2023-2024 crop year. These 
sections allow handlers to acquire raisins from producers that do not 
meet the Order's minimum quality requirements under a weight dockage 
system. Under the system, handlers adjust their payments to producers 
for product received, and the payment of Order assessments, according 
to the percentage of substandard raisins in the lot and/or the 
percentage of raisins falling below certain levels of maturity. Because 
of extreme weather issues which adversely affected the growing 
conditions of the raisin grape vines for the 2023 crop, the industry 
predicts that a high percentage of the 2023-2024 crop year raisins 
delivered by producers to handlers will continue to fall outside the 
current limits of the dockage systems in the handling regulations. 
Temporarily relaxing the minimum requirements under the dockage systems 
for the 2023-2024 crop year is expected to reduce the number of lots of 
raisins returned by handlers to producers or reconditioned by handlers 
at the producers' expense or disposed of in a non-normal outlet such as 
animal feed at a much-reduced producer price.
    Relaxing the dockage limits for the 2023-2024 crop year allows 
handlers to acquire more lots of raisins that would otherwise fail 
specified tolerances for substandard raisins and maturity. Thus, fewer 
lots are expected to be returned to producers for reconditioning. Under 
the revised requirements, transportation costs for hauling raisins to 
and from the handler's premises for reconditioning and reinspection, 
estimated at $24 per ton one way, may be eliminated. Producers are also 
expected to save on reconditioning costs. Producer costs for 
reconditioning raisins falling below certain maturity levels (usually a 
``wash and dry'' process) are estimated at $275-$300 per ton. Producers 
may also save on reinspection costs at $15.50 per ton because more of 
their raisins will meet the relaxed incoming substandard and maturity 
requirements upon first inspection. In addition, producers whose lots 
of raisins fall into the extended dockage limits for substandard 
raisins will not have to incur $60 per ton in costs for ``dry 
reconditioning'' expenses.
    Relaxing the dockage limits may cause handlers to incur some 
additional costs; however, such costs are minimal when considering the 
alternative, that is to receive significantly less product for the 
2023-2024 crop year and to not be able to meet market demand. Thus, the 
benefits of this rule outweigh such costs. While the incoming quality 
requirements are relaxed, the outgoing quality requirements under the 
Order will remain unchanged. The burden of removing substandard raisins 
or raisins falling below certain levels of maturity will be shifted 
from producers to handlers. However, although handlers will have to 
undertake the additional burden of cleaning up the fruit, handlers are 
better prepared than producers to manage the lower quality raisins 
efficiently and economically because they already have the processing 
equipment designed to remove the undesirable fruit. Moreover, without 
this rule, handlers would likely have less fruit available to meet 
market needs.
    The Committee considered several alternatives to the recommended 
action. An Administrative Subcommittee (Subcommittee) convened on 
October 3, 2023, to discuss the current crop situation and to submit 
remediation recommendations to the full Committee. At the meeting, the 
Subcommittee discussed increasing the allowable amount of substandard 
fruit from 17.0 to 25.0 percent for Natural (sun-dried) Seedless, 
Golden Seedless, Dipped Seedless, Monukka, Other Seedless, and Other 
Seedless-Sulfured. However, many industry members felt that the 25.0 
percent was too high for the current conditions in the market, and 
ultimately the Subcommittee approved recommending a maximum 21.0 
percent allowable tolerance for those varieties of substandard incoming 
fruit. The Subcommittee also considered whether to maintain the dockage 
for maturity for percentages between 30 and 35 percent at 0.15 percent 
or to increase it. There were also discussions regarding revising the 
tolerance for mold under the quality requirements. The majority of the 
Subcommittee did not favor any changes for mold tolerances. Ultimately,

[[Page 59823]]

the Subcommittee voted to recommend to the Committee the changes as 
contained herein, and the full Committee subsequently voted unanimously 
to recommend this action to AMS.
    The Committee's meetings were widely publicized throughout the 
production area. The raisin industry and all interested persons were 
invited to attend the meetings and participate in Committee 
deliberations on all issues. The Subcommittee meeting on October 3, 
2023, and subsequent full Committee meeting on October 5, 2023, were 
each open to the public where any interested parties was able to 
express views on this issue. In addition, interested persons were 
invited to submit comments on this final rule, including the regulatory 
and information collection impacts of this action on small businesses.
    An interim final rule concerning this action was published in the 
Federal Register on December 11, 2023 (88 FR 85819). The interim final 
rule was effective on December 12, 2023. Copies of the interim rule 
were mailed or sent via email to California raisin handlers. A copy of 
the interim rule was made available through the internet by AMS via 
https://www.regulations.gov. AMS provided a 60-day comment period 
ending February 9, 2024, to give interested persons to respond to the 
interim final rule. No comments were received. Accordingly, no changes 
have been made to the rule as published.
    This final rule continues in effect temporary changes to the 
minimum requirements for substandard and maturity dockage under the 
Order's handling regulations for the 2023-2024 crop year. The minimum 
requirements have been temporarily relaxed to accommodate raisins 
adversely impacted by severe weather conditions. Producers and handlers 
are aware of this action as it continues in effect the interim final 
rule effective on December 12, 2023, and need no preparation time to 
comply. Accordingly, pursuant to 5 U.S.C. 553(d), AMS finds that good 
cause exists for not postponing the effective date of this final rule 
until 30 days after publication in the Federal Register. The relaxation 
of the minimum requirements expires at the end of the 2023-2024 crop 
year on July 31, 2024.
    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 OMB and assigned OMB No. 0581-0178, Vegetable 
and Specialty Crops. No changes in those requirements are necessary as 
a result of this action. Should any changes become necessary, they 
would be submitted to OMB for approval.
    This final rule would not impose any additional reporting or 
recordkeeping requirements on either small or large California raisin 
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.
    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.
    AMS has not identified any relevant Federal rules that duplicate, 
overlap, or conflict with this final rule.
    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/rulesregulations/moa/small-businesses. Any 
questions about the compliance guide should be sent to Richard Lower at 
the previously mentioned address in the FOR FURTHER INFORMATION CONTACT 
section.
    After consideration of all relevant material presented, including 
the information and recommendations submitted by the Committee and 
other available information, AMS has determined that finalizing the 
interim rule, without change, as published in the Federal Register of 
December 11, 2023 (88 FR 85819), is consistent with and will tend to 
effectuate the purposes of the Act.

List of Subjects in 7 CFR Part 989

    Grapes, Marketing agreements, Raisins, Reporting and recordkeeping 
requirements.

PART 989--RAISINS PRODUCED FROM GRAPES GROWN IN CALIFORNIA

0
Accordingly, the interim final rule amending 7 CFR part 989, which was 
published at 88 FR 85819 on December 11, 2023, is adopted as a final 
rule without change.

Erin Morris,
Associate Administrator, Agricultural Marketing Service.
[FR Doc. 2024-16173 Filed 7-23-24; 8:45 am]
BILLING CODE P