[Federal Register: April 12, 2004 (Volume 69, Number 70)]
[Proposed Rules]
[Page 19118-19123]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr12ap04-12]
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Proposed Rules
Federal Register
________________________________________________________________________
This section of the FEDERAL REGISTER contains notices to the public of
the proposed issuance of rules and regulations. The purpose of these
notices is to give interested persons an opportunity to participate in
the rule making prior to the adoption of the final rules.
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[[Page 19118]]
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 926
[Docket No. FV01-926-1 PR]
Proposed Data Collection, Reporting, and Recordkeeping
Requirements Applicable to Cranberries Not Subject to the Cranberry
Marketing Order
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Proposed rule.
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SUMMARY: This proposed rule would establish a new part 926 in the Code
of Federal Regulations which would require persons engaged in the
handling or importation of fresh cranberries or cranberry products
(including handlers, producer-handlers, processors, brokers, and
importers) not subject to the reporting requirements of the Federal
cranberry marketing order (order) to report sales, acquisition, and
inventory information to the Cranberry Marketing Committee (Committee),
and to maintain adequate records on such activities. The establishment
of the proposed data collection, reporting, and recordkeeping
requirements for entities not subject to the order is authorized under
an amendment to section 8(d) of the Agricultural Marketing Agreement
Act of 1937. The additional information is needed by the Committee to
make more informed recommendations to USDA for regulations authorized
under the cranberry marketing order. This rule also announces the
Agricultural Marketing Service's intention to request approval of the
new data collection and reporting requirements by the Office of
Management and Budget.
DATES: Comments must be received by June 11, 2004. Pursuant to the
Paperwork Reduction Act, comments on the information collection burden
must be received by June 11, 2004.
ADDRESSES: Interested persons are invited to submit written comments
concerning this proposal. Comments must be sent to the Docket Clerk,
Marketing Order Administration Branch, Fruit and Vegetable Programs,
AMS, USDA, 1400 Independence Avenue, SW., STOP 0237, Washington, DC
20250-0237; Fax: (202) 720-8938, or E-mail: moab.docketclerk@usda.gov
or http://www.regulations.gov. Comments should reference the docket number and
the date and page number of this issue of the Federal Register and will
be made available for public inspection in the Office of the Docket
Clerk during regular business hours, or can be viewed at: http://www.ams.usda.gov/fv/moab.html
.
FOR FURTHER INFORMATION CONTACT: Patricia A. Petrella or Kenneth G.
Johnson, DC Marketing Field Office, Marketing Order Administration
Branch, Fruit and Vegetable Programs, AMS, USDA, Suite 2A04, Unit 155,
4700 River Road, Riverdale, Maryland 20737; telephone: (301) 734-5243,
Fax: (301) 734-5275; or George Kelhart, Technical Advisor, Marketing
Order Administration Branch, Fruit and Vegetable Programs, AMS, USDA,
1400 Independence Avenue, SW., STOP 0237, Washington, DC 20250-0237;
telephone: (202) 720-2491, Fax: (202) 720-8938.
Small businesses may request information on complying with this
regulation by contacting Jay Guerber, Marketing Order Administration
Branch, Fruit and Vegetable Programs, AMS, USDA, 1400 Independence
Avenue, SW., STOP 0237, Washington, DC 20250-0237; telephone: (202)
720-2491, Fax: (202) 720-8938, or E-mail: Jay.Guerber@usda.gov.
SUPPLEMENTARY INFORMATION: This rule is proposed pursuant to the
Agricultural Marketing Agreement Act of 1937, as amended [7 U.S.C. 601-
674], and as further amended October 22, 1999, by Public Law 106-78,
113 Stat. 1171, hereinafter referred to as the ``Act''.
The Department of Agriculture (USDA) is issuing this rule in
conformance with Executive Order 12866.
This proposal has been reviewed under Executive Order 12988, Civil
Justice Reform. This rule is not intended to have retroactive effect.
This proposal will not preempt any State or local laws, regulations, or
policies, unless they present an irreconcilable conflict with this
rule. There are no administrative procedures which must be exhausted
prior to any judicial challenge to the provisions of this rule.
This proposed action is necessary to implement authority on
cranberry data collection consistent with a 1999 amendment to section
8(d) of the Act. If a cranberry order is in effect, the amendment
authorizes the Secretary to require persons engaged in the handling or
importation of fresh cranberries or cranberry products (including
producer-handlers, second handlers, processors, brokers and importers)
to provide to the USDA certain information including information on
sales, acquisitions, and inventories of fresh cranberries or cranberry
products. Under the provisions of proposed Part 926, such persons would
include handlers, producer-handlers, processors, brokers, and
importers. Under the proposal, the Committee would collect such
information.
According to the Committee, the number of end users of cranberries
and cranberry products has increased in recent years. This has
increased the number of entities in the marketing chain acquiring,
selling, and maintaining inventories of cranberries and cranberry
products produced domestically and outside the United States.
Significant quantities of cranberries and cranberry products are now
being marketed by handlers, producer-handlers, processors, importers,
brokers, and others not subject to the reporting requirements of the
cranberry marketing order (7 CFR Part 929). The cranberry marketing
order authorizes the Committee to obtain information on sales,
acquisitions, and inventories of cranberries and cranberry products
from handlers regulated under the order. Such handlers are those who
can, freeze, or dehydrate cranberries produced within the production
area, or who sell, consign, deliver, transport (except as a common or
contract carrier of cranberries owned by another person) fresh
cranberries or in any other way place fresh cranberries in the current
of commerce within the production area or between the production area
and any point outside thereof in the United States and Canada.
Prior to the 1999 amendment of the Act, the Committee and USDA did
not have the authority to obtain information from entities not subject
to the reporting requirements of the order. The 1999
[[Page 19119]]
amendment provides authority for USDA to expand the Committee's
information gathering capability. With more complete information, the
Committee would be able to make better-informed regulation
recommendations to USDA. The Committee would also publish periodic
reports aggregating the data on cranberry and cranberry products for
use by all members of the industry.
Prior to the mid-1990's, the majority of cranberry inventories were
held by handlers subject to the order, and the Committee was able to
account for practically all of the cranberry and cranberry product
inventory under the order. Under Sec. 929.9 of the order, the term
handler is defined as any person who handles cranberries. Handle means
to sell, consign, deliver or transport (except as a common or contract
carrier of cranberries owned by another person) fresh cranberries or in
any other way to place fresh cranberries in the current of commerce
within the production area and any point outside thereof in the United
States or Canada (7 CFR 929.10). However, with increased domestic
production and imports of cranberries, the number of entities not
regulated under the Federal cranberry marketing order has expanded to
include handlers, producer-handlers, processors, brokers, and importers
who are not subject to the mandatory reporting requirements of the
cranberry marketing order. Therefore, the Committee does not have
complete information on sales, acquisitions and inventories of
cranberries. Allowing the Committee to collect this information will
help it make better informed regulation recommendations to USDA.
Section 929.46 of the cranberry marketing order requires the
Committee to develop a marketing policy each year prior to May 1.
Currently, in its marketing policy discussions, the Committee projects
expected supply and market conditions for an upcoming season, based on
information provided by growers and, particularly, handlers who are
regulated under the order. These projections include an estimate of the
marketable quantity (defined as the number of pounds of cranberries
needed to meet total market demand and to provide for an adequate
carryover into the next season). The Committee believes that its
marketing policy is limited in some respects because it does not have
the ability to include sales, acquisitions, and inventory reports from
all segments of the cranberry industry.
Increased production, stagnant demand, and high inventory levels
have compounded the problem of unreported inventories. With increased
production and stagnant markets, the industry is producing far more
cranberries than needed for current market needs. This situation has
led to higher inventory levels. However, the Committee's inability to
obtain needed information on cranberry sales, acquisitions, and
inventories from entities not regulated under the marketing order has
prevented it from obtaining complete information from all segments of
the industry. With understated sales, acquisition, and inventory
information, the Committee has been limited somewhat in making
recommendations under the marketing order.
The ability to closely monitor levels of sales, acquisitions, and
inventory is critical to the Committee in making more thorough
recommendations. The 1999 amendment to the Act provides a means for
collecting this information.
Section 8(d)(3) of the amended Act specifies that if an order is in
effect with respect to cranberries, USDA may require persons engaged in
the handling or importation of cranberries or cranberry products
(including handlers, producer-handlers, processors, brokers, and
importers) to provide such information as USDA considers necessary to
effectuate the declared policy of the Act (which is to promote orderly
marketing conditions and improve returns to producers), including
information on acquisitions, inventories, and dispositions of
cranberries and cranberry products. The amendment allows USDA to
delegate to the Committee the authority to collect sales, acquisition,
and inventory data from persons, other than regulated handlers under
the marketing order, engaged in the handling or importation of
cranberries. Under this proposal, the Committee would collect such
information. Typically, marketing order committees collect information
and require record keeping to ensure that USDA can verify handler
reports. Additionally, the Committee also compiles collected
information in its aggregate form to use when discussing cranberry
supplies, inventories, and market strategies during its marketing
policy discussions. This proposed rule would assist the Committee in
making more informed marketing recommendations.
A new part 926 would be added to the regulations to authorize the
Committee to collect data from such entities. New part 926 would define
terms and establish rules and regulations relative to the reporting and
recordkeeping requirements necessary to effectuate the declared policy
of the Act.
Several examples are listed below as to how data collection
currently is conducted under the marketing order and how it would
operate under the new data collection process. For instance, a grower
harvests and delivers cranberries to a handler regulated under the
cranberry marketing order. The regulated handler sells the cranberries
to a processor. The regulated handler reports to the Committee the
name, address, and amount of cranberries sold to the processor on a
Handler Inventory Report--Supplement Form (HIR-SUP), and that completes
the current marketing order data collection process. Under the proposed
new data collection process, the Committee, noting information used
from marketing order reports to identify newly regulated entities,
would send a report form (Handler/Processor Cranberry Inventory Report
Form; HPCIR A-D) to the processor. The processor would complete the
form by indicating names, sources, and amounts of domestic/foreign
barrels of cranberries acquired, domestic/foreign sales, and beginning
and ending inventories of cranberries (in freezers and in processed
form, including concentrate) and submit the report form to the
Committee.
In another example, a regulated handler sells cranberries to a
broker. The broker sells the cranberries to three processors. The
Committee would receive the initial information (barrels acquired,
sold, and in inventory) from the regulated handler and that ends the
current marketing order data collection process. Under the proposed
data collection process, the Committee would also contact and send a
report form (Importer Cranberry Inventory Report; Form ICIR A-D) to the
broker to track the cranberries to the three processors. This form
would be filed by a broker and provide the Committee with names,
sources, and amounts of cranberry barrels acquired, amount sold to and
received by the broker, processor and handler, and the beginning and
ending inventories of cranberries (in freezers and in processed form,
including concentrate) held by the broker. After receiving the broker's
report, the Committee would send a Handler/Processor Cranberry
Inventory Report Form to each of the three processors to complete and
return to the Committee.
In a third example, a non-regulated handler acquires cranberries
(imports or domestically produced cranberries from a non-marketing
order production area). The non-regulated handler is outside the scope
of the marketing order and thus, not required to report to the
Committee under the current marketing order reporting process. However,
through the information supplied from other producer-handlers,
importers,
[[Page 19120]]
processors and brokers, the Committee might be able to identify the
non-regulated handler and send him/her a Handler/Processor Cranberry
Inventory Report Form. The non-regulated handler would complete the
form by indicating names, sources, and amounts of domestic/foreign
barrels of cranberries acquired, foreign/domestic sales, and beginning
and ending inventories of cranberries (in freezers and in processed
form, including concentrate) and submit the report form to the
Committee.
In the last example, a broker imports cranberries into the United
States. The broker is outside the scope of the marketing order and not
a regulated handler. Thus, there is no mandatory reporting or
recordkeeping requirements that he/she would have to meet. Under the
proposed data collection requirements, the importer would be required
to submit quarterly reports (on an Importer Cranberry Inventory Report
Form CIR A-D) to the Committee. This form is to be filed by an importer
to provide the Committee with names, sources and amounts of cranberry
barrels imported, amounts sold to and received by the broker, processor
and handler, and the beginning and ending inventories of cranberries
(in freezers and in processed form, including concentrate) held by the
importer. Once that information is obtained, the Committee can contact
the individuals/firms receiving the imported cranberries and have them
report on the distribution.
All of these reports would be on the same reporting cycle (4 times
a year or quarterly) as regulated handlers under the marketing order.
Handlers, producer-handlers, processors, brokers, and importers would
report any/all cranberry transactions that occurred during each of the
reporting cycles. The purpose of this action is to provide the
Committee with the ability to account for cranberries in the marketing
pipeline after they have been sold by the regulated handler or if
imported, brought into the United States.
All cranberries and cranberry products would be covered. This would
include fresh cranberries, frozen cranberries, and cranberry
concentrate. Currently, if a handler regulated under the order has
juice, sauce or other finished cranberry products in inventory, the
handler is required to determine the barrel equivalency of cranberries
contained in those products and report this as inventory. Handlers,
producer-handlers, processors, brokers, and importers would be required
to do the same.
Data collection requirements would not apply once fresh cranberries
or cranberry products reached retail markets. For example, a regulated
handler (handler A), sells concentrate to processor B. Processor B uses
the concentrate to bottle private label juice. The product is shipped
to a wholesale/retail distribution center. The Committee would receive
an initial report from handler A and subsequently from processor B.
Processor B would continue to file reports for each cycle that the
concentrate and cranberry products remained in his/her possession. The
reporting requirement would extend up to, but not include, the retailer
level.
Failure on the part of handlers, producer-handlers, processors,
brokers, and importers to comply with the proposed data collection and
recordkeeping requirements could lead to enforcement action, including
the levying of penalties provided under 8c(14) of Act against the
violating person or entity. False representation to an agency of the
United States in any matter, knowing it to be false, is a violation of
18 U.S.C. 1001 which provides for a fine or imprisonment or both.
Initial Regulatory Flexibility Analysis
Pursuant to requirements set forth in the Regulatory Flexibility
Act (RFA), the Agricultural Marketing Service (AMS) has considered the
economic impact of this proposed rule on small entities. Accordingly,
AMS has prepared this initial regulatory flexibility analysis.
The purpose of the RFA is to fit regulatory actions to the scale of
business subject to such actions in order that small businesses will
not be unduly or disproportionately burdened.
Small agricultural service firms have been defined by the Small
Business Administration [13 CFR 121.201] as those having annual
receipts less than $5,000,000, and small agricultural producers are
those with annual receipts of less than $750,000. There are about 20
handlers currently regulated under marketing order No. 929. In
addition, there are about 1,250 producers of cranberries in the
production area. Based on recent years' price and sales levels, AMS
finds that nearly all of the cranberry producers and some of the
handlers are considered small under the SBA definition.
In 2003, a total of 39,400 acres were harvested with an average
U.S. yield per acre of 155.1 barrels. Grower prices in 2003 averaged
$31.80 per barrel. Average total annual grower receipts for 2003 are
estimated at $155,203 per grower. Of the 1,250 cranberry producers in
the marketing order production area, between 86 and 95 percent are
estimated to have sales equal to or less than $750,000. Few growers are
estimated to have sales that would have exceeded this threshold in
recent years.
Under the marketing order, five handlers handle over 97 percent of
the cranberry crop. Using Committee data on volumes handled, AMS has
determined that none of these handlers qualify as small businesses
under SBA's definition. The remainder of the crop in the marketing
order production area is marketed by about a dozen producer-handlers
who handle their own crops. Dividing the remaining 3 percent of the
crop by these producer-handlers, all would be considered small
businesses.
Cranberries are produced in 10 States under Marketing Order No.
929, but the vast majority of farms and production is concentrated in
Massachusetts, New Jersey, Oregon, Washington, and Wisconsin. Average
farm size for cranberry production is very small. The average across
all producing States is about 33 acres. Wisconsin's average is twice
the U.S. average at 66.5 acres, and New Jersey averages 83 acres.
Average farm size is below the U.S. average for Massachusetts (25
acres), Oregon (17 acres) and Washington (14 acres).
Small cranberry growers dominate in all States: 84 percent of
growers in Massachusetts harvest 10,000 or fewer barrels of
cranberries, while another 3.8 percent harvest fewer than 25,000
barrels. In New Jersey, 62 percent of growers harvest less than 10,000
barrels, and 10 percent harvest between 10,000 and 25,000 barrels. More
than half of Wisconsin growers raise less than 10,000 barrels, while
another 29 percent produce between 10,000 and 25,000 barrels. Similar
production patterns exist in Washington and Oregon. Over 90 percent of
the cranberry crop is processed, with the remainder sold as fresh
fruit.
According to the National Agricultural Statistics Service (NASS),
the 2003 overall U.S. cranberry crop totaled 6.1 million barrels (1
barrel equals 100 pounds of cranberries). Total barrels of cranberry
imports acquired were 1.06 million pounds. The U.S. 2003 preliminary
price for fresh and processed cranberries was $50.90 and $30.60 per
barrel respectively.
Under Part 926, as proposed, the Committee estimates that there are
approximately 130 handlers, producer-handlers, processors, brokers, and
importers who would be subject to the data collection requirements.
Taking into account the profile of the size of the industry under the
marketing order, we estimate that most of these entities would be
considered small under the
[[Page 19121]]
SBA criteria. In order to gather the most accurate information
possible, this proposal specifically invites comments on the number and
size of those entities. Comments should be sent to USDA in care of the
Docket Clerk at the previously mentioned address.
Public Law 106-78, enacted October 22, 1999, amended section 608(d)
of the Act to authorize USDA to require persons engaged in the handling
of cranberries or cranberry products (including handlers, producer-
handlers, processors, brokers, and importers) not subject to the order
to maintain adequate records and report sales, acquisitions, and
inventory information. The data collection and reporting requirements
would help the Committee make more informed recommendations to USDA for
regulations authorized under the cranberry marketing order.
This proposed rule would implement the reporting and recordkeeping
requirements authorized by the amendment to the Act. Under the
regulations, handlers, producer-handlers, processors, brokers, and
importers would be required to submit reports four times annually
regarding sales, acquisitions, movement for further processing and
disposition of cranberries and cranberry products. It is estimated that
it would take each person or entity approximately 20 minutes to
complete each form. One of these forms, (Importer Cranberry Inventory
Report Form; Form ICIR A-D) directs importers and brokers to indicate
the name, address, variety acquired, amount sold to and received by
brokers, processors, and handlers, and the beginning and ending
inventories of cranberries held by the importer. The second form,
(Handler/Processor Cranberry Inventory Report Form; Form HPCIR A-D)
directs handlers, producer-handlers, and processors to indicate the
name, address, variety acquired, domestic/foreign sales, acquisitions,
and beginning and ending inventories.
These forms were designed to capture the type of information the
Committee needs on inventory and sales data for the entire cranberry
industry. If all of the entities complete each form, it is estimated
that the total annual burden on the respondents would be 1 hour and 20
minutes or a total of 174.66 hours. The regulations would also require
the retention of information for a total of three years. Such reporting
and recordkeeping requirements, including the two new forms, will be
submitted to the Office of Management and Budget (OMB) for approval
under the Paperwork Reduction Act of 1995 [44 U.S.C. Chapter 35] and
will not be implemented until they have been approved.
For the purposes of checking and verifying reports filed under the
regulations hereinafter proposed, provisions are included which would
allow USDA or the Committee, through duly authorized agents, to have
access to any premises where cranberries and cranberry products may be
held. Authorized agents, at any time during regular business hours,
would be permitted to inspect any cranberries and cranberry products
held and any and all records with respect to the acquisition, holding
or disposition of any cranberries and cranberry products which may be
held or which may have been disposed of by that entity. All reports and
records furnished or submitted by handlers, producer-handlers,
processors, brokers, and importers to the Committee which include data
or information constituting a trade secret or disclosing the trade
position or financial condition, or business operations from whom
received, would be in the custody and control of the authorized agents
of the Committee, who would disclose such information to no person
other than USDA.
Failure on the part of handlers, producer-handlers, processors,
brokers, and importers to comply with the proposed data collection and
recordkeeping requirements could lead to enforcement action, including
the levying of fines against the violating person or entity. Any
violation of this regulation would be subject to a penalty levied under
8c(14) of the Act. False representation to an agency of the United
States in any matter, knowing it to be false, is a violation of 18
U.S.C. 1001 which provides for a fine or imprisonment or both.
The proposed reporting requirements should help the entire
cranberry industry. While this proposed rule would increase reporting
and recordkeeping requirements on affected entities, the benefits of
this proposal, however, could be substantial. By implementing this
proposed rule, the Committee would have access to more complete
acquisition, sales, and inventory data and be able to make
recommendations based on more detailed information. This, in turn,
could lead to more effective marketing decisions and higher returns for
producers and non-regulated entities.
The Committee discussed alternatives to this action, including
continuing to ask those entities not subject to the marketing order to
voluntarily submit inventory data to the Committee. This has not been
successful. To make well informed regulatory decisions, the Committee
needs complete inventory, sales and acquisition information from
handlers, producer-handlers, processors, brokers, and importers who
handle cranberries and cranberry products produced in the United States
and outside the United States. This proposed rule would establish
reporting and recordkeeping requirements.
USDA has not identified any relevant Federal rules that duplicate,
overlap or conflict with this proposed rule. While the proposed data
collection and reporting requirements are similar to those reporting
requirements regulated handlers must comply with under the cranberry
marketing order, this action is necessary to assist the Committee in
its volume regulation recommendations.
Finally, interested persons are invited to submit information on
the economic and informational impacts of this action on small and
large businesses.
A small business guide on complying with fruit, vegetable, and
specialty crop marketing agreements and orders may be viewed at: http//
http://www.ams.usda.gov/fv/moab/html. Any questions about the compliance guide
should be sent to Jay Guerber at the previously mentioned address in
the FOR FURTHER INFORMATION CONTACT section.
A 60-day comment period is provided to allow interested persons the
opportunity to respond to this proposal. All written comments timely
received will be considered before a final rule is issued on this
matter.
This action requires a collection of information. These information
collection requirements are discussed in the following section.
Paperwork Reduction Act
In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C.
Chapter 35), this notice announces that AMS is seeking approval for a
new information collection request for proposed data collection and
reporting requirements applicable to cranberries not subject to the
cranberry marketing order. The new requirements would be established in
7 CFR Part 926.
Title: Data Collection Requirements Applicable to Cranberries Not
Subject to the Cranberry Marketing Order, 7 CFR Part 926.
OMB Number: 0581-New.
Type of Request: New collection.
Abstract: A Federal marketing order for cranberries (M.O. 929)
regulates the handling of cranberries grown in 10 States and is
applicable to regulated handlers under the order. Public Law 106-78,
enacted October 22, 1999, amended section 8(d) of the Act. If a
cranberry order is in effect, the
[[Page 19122]]
amendment authorizes the Secretary to require persons engaged in the
handling or importation of cranberries and cranberry products not
subject to the reporting requirements of the Federal cranberry
marketing order to maintain adequate records and report information on
sales, acquisitions, and inventory information to USDA or the
Committee. Such persons would include handlers, producer-handlers,
processors, brokers, and importers. The Cranberry Marketing Order
Committee would collect this information. The data collection and
reporting requirements would help the Committee make more informed
recommendations to USDA for regulations authorized under the cranberry
marketing order. The forms for OMB No. 0581-NEW proposed in the
information collection rulemaking are as follows:
Importer Cranberry Inventory Report Form, (ICIR A-D)
Estimate of Burden: Public reporting burden for this collection of
information is estimated to average 20 minutes per response.
Respondents: Cranberry importers and brokers who acquire and sell
cranberries and cranberry products, and maintain inventories of
cranberries and products. The information would cover the 12-month
period beginning September 1 and ending August 31.
Estimated Number of Respondents: 6.
Estimated Number of Responses per Respondent: 4.
Estimated Total Annual Burden on Respondents: 8 hours.
Handler/Processor Cranberry Inventory Report Form (HPCIR A-D)
Estimate of Burden: Public reporting burden for this collection of
information is estimated to average 20 minutes per response.
Respondents: Handlers, producer-handlers, and processors not
subject to the cranberry marketing order who produce, handle, acquire,
sell and maintain beginning and ending inventories of cranberries and
cranberry products. The information would cover the 12-month period
beginning September 1 and ending August 31.
Estimated Number of Respondents: 125.
Estimated Number of Responses per Respondent: 4.
Estimated Total Annual Burden on Respondents: 166.66 hours.
Comments: Comments are invited on: (1) Whether the proposed
collection of information is necessary for the proper performance of
the functions of the agency, including whether the information will
have practical utility; (2) the accuracy of the agency's estimate of
the burden of the proposed collection of information, including the
validity of the methodology and assumptions used; (3) ways to enhance
the quality , utility, and clarity of the information collected; and
(4) ways to minimize the burden collection of the information on those
who are to respond, including the use of appropriate automated,
electronic, mechanical, or other technological collection techniques or
other forms of information technology.
Comments should reference OMB No. 0581-NEW and the proposed data
collection and reporting requirements applicable to cranberries not
subject to the cranberry marketing order, and be sent to USDA in care
of the Docket Clerk at the previously mentioned address. All comments
received will be available for public inspection during regular
business hours at the same address.
All responses to this notice will be summarized and included in the
request for OMB approval. All comments will also become a matter of
public record.
A 60-day comment period is provided to allow interested persons to
respond to this proposal.
List of Subjects in 7 CFR Part 926
Cranberries and cranberry products, Reporting and recordkeeping
requirements.
For the reasons set forth in the preamble, it is proposed that
Chapter IX of Title 7 of the Code of Federal Regulations be amended by
adding Part 926 to read as follows:
PART 926--DATA COLLECTION REQUIREMENTS APPLICABLE TO CRANBERRIES
NOT SUBJECT TO THE CRANBERRY MARKETING ORDER [7 CFR PART 929]
Sec.
926.1 Secretary.
926.2 Act.
926.3 Person.
926.4 Cranberries.
926.5 Fiscal period.
926.6 Committee.
926.7 Producer.
926.8 Handler.
926.9 Handle.
926.10 Acquire.
926.11 Processed cranberries or cranberry products.
926.12 Producer-handler.
926.13 Processor.
926.14 Broker.
926.15 Importer.
926.16 Reports.
926.17 Reporting requirements.
926.18 Records.
926.19 Confidential information.
926.20 Verification of reports and records.
926.21 Suspension or termination.
Authority: 7 U.S.C. 601-674.
Sec. 926.1 Secretary.
Secretary means the Secretary of Agriculture of the United States
or any officer or employee of the United States Department of
Agriculture who is, or who may hereafter be authorized to act in her/
his stead.
Sec. 926.2 Act.
Act means Public Act No. 10, 73d Congress [May 12, 1933], as
amended, and as reenacted and amended by the Agricultural Marketing
Agreement Act of 1937, as amended (Secs.1-19, 48 Stat.31, as amended; 7
U.S.C. 601 et seq.).
Sec. 926.3 Person.
Person means an individual, partnership, corporation, association,
or any other business unit.
Sec. 926.4 Cranberries.
Cranberries means all varieties of the fruit Vaccinium Macrocarpon
and Vaccinium oxycoccus, known as cranberries.
Sec. 926.5 Fiscal period.
Fiscal period is synonymous with fiscal year and crop year and
means the 12-month period beginning September 1 and ending August 31 of
the following year.
Sec. 926.6 Committee.
Committee means the Cranberry Marketing Committee, which is hereby
authorized by USDA to collect information on sales, acquisitions, and
inventories of cranberries and cranberry products under this part. The
Committee is established pursuant to the Federal cranberry marketing
order regulating the handling of cranberries grown in the States of
Massachusetts, Rhode Island, Connecticut, New Jersey, Wisconsin,
Michigan, Minnesota, Oregon, Washington, and Long Island in the State
of New York (7 CFR part 929).
Sec. 926.7 Producer.
Producer is synonymous with grower and means any person who
produces cranberries for market and has a proprietary interest therein.
Sec. 926.8 Handler.
Handler means any person who handles cranberries and is not subject
to the reporting requirements of 7 CFR part 929.
Sec. 926.9 Handle.
Handle means to can, freeze, dehydrate, acquire, sell, consign,
deliver, or transport (except as a common or contract carrier of
cranberries owned by another person) fresh or processed cranberries
produced
[[Page 19123]]
within or outside the United States or in any other way to place fresh
or processed cranberries into the current of commerce within or outside
the United States. This term includes all initial and subsequent
handling of cranberries or processed cranberries up to, but not
including, the retail level.
Sec. 926.10 Acquire.
Acquire means to obtain cranberries by any means whatsoever for the
purpose of handling cranberries.
Sec. 926.11 Processed cranberries or cranberry products.
Processed cranberries or cranberry products means cranberries which
have been converted from fresh cranberries into canned, frozen, or
dehydrated cranberries or other cranberry products by any commercial
process.
Sec. 926.12 Producer-handler.
Producer-handler means any person who is a producer of cranberries
for market and handles such cranberries.
Sec. 926.13 Processor.
Processor means any person who receives or acquires fresh or frozen
cranberries or cranberries in the form of concentrate from handlers,
producer-handlers, importers, brokers or other processors and uses such
cranberries or concentrate, with or without other ingredients, in the
production of a product for market.
Sec. 926.14 Broker.
Broker means any person who acts as an agent of the buyer or seller
and negotiates the sale or purchase of cranberries or cranberry
products.
Sec. 926.15 Importer.
Importer means any person who causes cranberries or cranberry
products produced outside the United States to be brought into the
United States with the intent of entering the cranberries or cranberry
products into the current of commerce.
Sec. 926.16 Reports.
(a) Each handler, producer-handler, processor, broker, and importer
engaged in handling or importing cranberries or cranberry products who
is not subject to the reporting requirements of the Federal cranberry
marketing order, (7 CFR part 926) shall, in accordance with Sec.
926.17, file promptly with the Committee reports of sales,
acquisitions, and inventory information on fresh cranberries and
cranberry products using forms supplied by the Committee.
(b) Upon the request of the Committee, with the approval of the
Secretary, each handler, producer-handler, processor, broker, and
importer engaged in handling or importing cranberries or cranberry
products who is not subject to the Federal cranberry marketing order (7
CFR part 926) shall furnish to the Committee such other information
with respect to fresh cranberries and cranberry products acquired and
disposed of by such entity as may be necessary to meet the objectives
of the Act.
Sec. 926.17 Reporting requirements.
Handlers, producer-handlers, importers, processors, and brokers not
subject to the Federal cranberry marketing order (7 CFR part 926) shall
be required to submit four times annually, for each fiscal period
reports regarding sales, acquisitions, movement for further processing,
and dispositions of fresh cranberries and cranberry products using
forms supplied by the Committee. An Importer Cranberry Inventory Report
Form shall be required to be completed by importers and brokers. This
report shall indicate the name, address, variety acquired, the amount
sold to and received by brokers, processors, and handlers, and the
beginning and ending inventories of cranberries held by the importer
for each applicable fiscal period. A Handler/Processor Cranberry
Inventory Report Form shall be completed by handlers, producer-
handlers, and processors and shall indicate the name, address, variety
acquired, domestic/foreign sales, acquisitions, and beginning and
ending inventories.
Sec. 926.18 Records.
Each handler, producer-handler, processor, broker, and importer
shall maintain such records of all fresh cranberries and cranberry
products acquired, imported, handled, withheld from handling, and
otherwise disposed of during the fiscal period to substantiate the
required reports. All such records shall be maintained for not less
than three years after the termination of the fiscal year in which the
transactions occurred or for such lesser period as the Committee may
direct.
Sec. 926.19 Confidential information.
All reports and records furnished or submitted pursuant to this
part which include data or information constituting a trade secret or
disclosing the trade position or financial condition, or business
operations from whom received, shall be in the custody and control of
the authorized agents of the Committee, who shall disclose such
information to no person other than the Secretary.
Sec. 926.20 Verification of reports and records.
For the purpose of assuring compliance and checking and verifying
records and reports required to be filed by handlers, producer-
handlers, processors, brokers, and importers, USDA or the Committee,
through its duly authorized agents, shall have access to any premises
where applicable records are maintained, where cranberries and
cranberry products are received, acquired, stored, handled, and
otherwise disposed of and, at any time during reasonable business
hours, shall be permitted to inspect such handler, producer-handler,
processor, broker, and importer premises, and any and all records of
such handlers, producer-handlers, processors, brokers, and importers.
The Committee's authorized agents shall be the manager of the Committee
and other staff under the supervision of the Committee manager.
Sec. 926.21 Suspension or termination.
The provisions of this part shall be suspended or terminated
whenever there is no longer a Federal cranberry marketing order in
effect.
Dated: April 6, 2004.
A.J. Yates,
Administrator, Agricultural Marketing Service.
[FR Doc. 04-8212 Filed 4-9-04; 8:45 am]
BILLING CODE 3410-02-P