[Federal Register: May 30, 2007 (Volume 72, Number 103)]
[Rules and Regulations]
[Page 29839-29840]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr30my07-2]
-----------------------------------------------------------------------
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 925
[Docket No. AMS-FV-07-0028; FV07-925-1 FR]
Grapes Grown in a Designated Area of Southeastern California;
Change in Reporting Requirements
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: This rule revises the reporting requirements established under
the California desert grape marketing order, which regulates the
handling of grapes grown in a designated area of Southeastern
California. The marketing order is administered locally by the
California Desert Grape Administrative Committee (CDGAC or committee).
This rule requires handlers to provide an annual report to the
committee which lists the acreages devoted to grapes for fresh
shipment, the owners and locations of the acreages, and varieties
produced thereon that the handler will be handling during the upcoming
season. This change allows the committee to collect information on the
acreage and varieties of desert grapes regulated under the marketing
order, thus improving data collection and the efficient operation of
the program.
EFFECTIVE DATES: May 31, 2007.
FOR FURTHER INFORMATION CONTACT: Terry Vawter, Marketing Specialist, or
Kurt J. Kimmel, Regional Manager, California Marketing Field Office,
Marketing Order Administration Branch, Fruit and Vegetable Programs,
AMS, USDA; Telephone: (559) 487-5901, Fax: (559) 487-5906, or E-mail:
Terry.Vawter@usda.gov or Kurt.Kimmel@usda.gov.
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 final rule is issued under Marketing
Agreement and Order No. 925, both as amended (7 CFR part 925),
regulating the handling of grapes grown in a designated area of
southeastern 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 Order 12866.
This final rule has been reviewed under Executive Order 12988,
Civil Justice Reform. This rule is not intended to have retroactive
effect. This final rule will not preempt any State or local laws,
regulations, or policies, unless they present an irreconcilable
conflict with this rule.
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. A
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 changes the reporting requirements under the order
by requiring handlers to file an annual acreage survey which lists the
acreages devoted to grapes, the locations and owners of the acreage,
and varieties produced thereon for fresh shipment that the handler will
be handling during the upcoming season. The form provides information
necessary for the committee to estimate annual production, determine
the necessary assessment rate, and establish an annual budget of
expenses. This change was unanimously recommended by the committee at a
meeting on February 6, 2007.
Section 925.60 provides authority for the committee, with the
approval of USDA, to require handlers to furnish information to the
committee. Currently, Sec. 925.60(a) requires handlers to file reports
of shipments of grapes. Under Sec. 925.60(b), the committee is
authorized, with the approval of USDA, to require handlers to furnish
such other information as it may prescribe and may be necessary to
enable the committee to perform its duties under the order.
The acreage survey is currently an approved form authorized for use
by the committee. The form was initially included so that the committee
could, at some future time, recommend requiring handlers to use the
form if it were determined that aggregating information on grape
acreage would provide a benefit to the industry.
The committee met on February 6, 2007, and discussed the grape
acreage survey. At this time, the committee believes the report would
provide valuable information and unanimously recommended that it be a
mandatory report, such as those authorized under Sec. 925.60. This
change is intended to enhance the efficient operation of the program by
permitting the committee to collect production data, which, in turn,
would allow them to have more accurate information for establishing a
crop estimate, determining an
[[Page 29840]]
assessment rate, and developing an annual budget of expenses.
Final 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 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
business subject to such actions in order that small businesses will
not be unduly or disproportionately burdened. Marketing orders issued
pursuant to the Act, and the rules issued thereunder, are unique in
that they are brought about through group action of essentially small
entities acting on their own behalf. Thus, both statutes have small
entity orientation and compatibility.
There are approximately 50 producers of grapes in the production
area and approximately 20 handlers subject to regulation under the
marketing order. The Small Business Administration (13 CFR 121.201)
defines small agricultural producers as those having annual receipts
less than $750,000 and defines small agricultural service firms as
those whose annual receipts are less than $6,500,000.
Last year, six of the 20 handlers subject to regulation had annual
grape sales of at least $6,500,000. In addition, 10 of the 50 producers
had annual sales of at least $750,000. Therefore, a majority of
handlers and producers may be classified as small entities.
This final rule revises Sec. 925.160 of the order's rules and
regulations to include the requirement that handlers file an annual
grape acreage survey.
This final rule imposes minimal additional costs on handlers
regulated under the order. The benefits of this proposed rule are not
expected to be disproportionately greater or less for small handlers
than for large entities.
At the meeting, the committee discussed an alternative to this
change, which would be to ask handlers to voluntarily report grape
acreage. However, under voluntary reporting it is possible that all
handlers would not report the information, making it difficult for the
committee to aggregate accurate information for the committee's crop
estimate, assessment rate, and budget of expenses. The committee agreed
that this alternative would not be in the best interest of the
committee and the industry, and unanimously recommended mandating the
report.
In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C.
Chapter 35), the information collection requirements that are contained
in this rule are currently approved by the Office of Management and
Budget (OMB), under OMB No. 0581-0189, Generic OMB Fruit Crops.
USDA has not identified any relevant Federal rules that duplicate,
overlap or conflict with this rule. As with other similar marketing
order programs, reports and forms are periodically reviewed to reduce
information requirements and duplication by industry and public sector
agencies.
The 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.
Further, the committee's meeting on February 6, 2007, was widely
publicized throughout the desert grape industry and all interested
persons were encouraged to attend the meeting and participate in
committee deliberations. Like all committee meetings, the February 6,
2007, meeting was a public meeting; and all entities, both large and
small, were encouraged to express their views on this issue. All
interested persons were invited to attend this meeting and encouraged
to participate in the industry's deliberations.
A proposed rule concerning this action was published in the Federal
Register on April 16, 2007 (72 FR 18922). Copies of the rule were
provided to all committee members and regulated handlers. Finally, the
rule was made available through the Internet by USDA and the Office of
the Federal Register. A 15-day comment period ending May 1, 2007, was
provided to allow interested persons to respond to the proposal. No
comments were received. Accordingly, no changes will be made to the
rule as proposed.
A small business guide on complying with fruit, vegetable, and
specialty crop marketing agreements and orders may be viewed at: 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.
After consideration of all relevant matters presented, including
the information and recommendation submitted by the committee and other
available information, it is hereby found that this rule, as
hereinafter set forth, will tend to effectuate the declared policy of
the Act.
It is further found that good cause exists for not postponing the
effective date of this rule until 30 days after publication in the
Federal Register (5 U.S.C. 553) because the order regulations went into
effect on April 20, 2007, and the committee needs to have the
information during this crop year. Further, handlers are aware of this
rule, which was recommended at a public meeting. Also, a 15-day comment
period was provided in the proposed rule.
List of Subjects in 7 CFR Part 925
Grapes, Marketing agreements, Reporting and recordkeeping
requirements.
0
For the reasons set forth in the preamble, 7 CFR part 925 is amended as
follows:
PART 925--GRAPES GROWN IN A DESIGNATED AREA OF SOUTHEASTERN
CALIFORNIA
0
1. The authority citation for 7 CFR part 925 continues to read as
follows:
Authority: 7 U.S.C. 601-674.
0
2. In Sec. 925.160, the current paragraph is redesignated as paragraph
(a), and a new paragraph (b) is added to read as follows:
Sec. 925.160 Reports.
(a) * * *
(b) When requested by the California Desert Grape Administrative
Committee (CDGAC), each shipper who ships grapes shall furnish to the
committee at such time as the committee shall require, an annual grape
acreage survey (CDGAC Form 7), which shall include, but is not limited
to, the following: The applicable year in which the report is
requested; the names of the shipper (handler) who will handle the
grapes and the grower who produces them; the location of each vineyard;
the variety or varieties grown in each vineyard; and the bearing, non-
bearing, and total acres of each vineyard.
Dated: May 23, 2007.
Lloyd C. Day,
Administrator, Agricultural Marketing Service.
[FR Doc. E7-10280 Filed 5-29-07; 8:45 am]
BILLING CODE 3410-02-P