[Federal Register: September 25, 2007 (Volume 72, Number 185)]
[Notices]
[Page 54426-54427]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr25se07-28]
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DEPARTMENT OF AGRICULTURE
Commodity Credit Corporation
Warehouse Rates for Peanuts Pledged as Collateral for a Marketing
Assistance Loan
AGENCY: Commodity Credit Corporation, USDA.
ACTION: Notice.
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SUMMARY: This notice announces to the warehouse operators operating
under a Commodity Credit Corporation (CCC) Peanut Storage Agreement on
the uniform rates that CCC will pay for storage, handling, and other
associated costs for 2007 crop of peanuts.
DATES: Effective Date: September 25, 2007.
FOR FURTHER INFORMATION CONTACT: Mark Overbo, Deputy Director,
Warehouse and Inventory Division, Farm Service Agency, USDA, STOP 0553,
1400 Independence Avenue, SW., Washington, DC 20250-0553; telephone:
(202) 720-4647; email: mark.overbo@usda.gov. Persons with disabilities
who require alternative means for communication (Braille, large print,
audiotape, etc.) should contact the USDA Target Center at (202) 720-
2600 (voice and TDD).
SUPPLEMENTARY INFORMATION: The marketing assistance loan program for
peanuts is authorized by the Farm Security and Rural Investment Act of
2002 (Pub. L. 107-171) (2002 Farm Bill). Section 1307(a)(6) of the 2002
Farm Bill (7 U.S.C. 7957(a)(6)) requires CCC to pay storage, handling,
and other associated costs for the 2002 through 2006 crops of peanuts
that are pledged as collateral for marketing assistance loans. This
authority terminates beginning with the 2007 crop of peanuts.
CCC paid storage, handling, and other associated costs for the 2002
through 2006 crop years for peanuts that were pledged as loan
collateral and stored in a warehouse with an approved Peanut Storage
Agreement. The statute does not authorize CCC to pay storage, handling,
and other associated costs when 2007-crop peanuts are pledged as
collateral for a loan. However, rates for storage and handling (in-
elevation and load-out) must be established in the event that peanuts
pledged as loan collateral are
[[Page 54427]]
forfeited to CCC. For peanuts forfeited to CCC, CCC will be responsible
for storage charges beginning on the day following the loan maturity
date. While CCC is not responsible for storage charges incurred on or
before the loan maturity date, CCC will pay to warehouse operators any
amount by which the loan amount was reduced because the producer failed
to pay storage or make arrangements for storage charges through the
loan maturity date. Additionally, while CCC is not responsible for in-
elevation charges incurred on or before the loan maturity date, CCC
will pay to warehouse operators the CCC-approved in-elevation charge
and collect the amount from the producer after loan forfeiture. CCC is
not responsible for load out charges or other services such as
inspections or grading, unless delivery is directed by CCC or such
services are requested by CCC.
Section 4(h) of the CCC Charter Act (15 U.S.C. 714-714p) allows CCC
to contract for the physical handling, storage, processing, servicing,
and transportation of the agricultural commodities subject to its
control. The terms and conditions of the CCC Peanut Storage Agreement
are based on the authority provided by the CCC Charter Act.
CCC announces the following uniform rates that CCC will pay for
storage, handling, and other associated costs for 2007-crop peanuts to
warehouse operators with a CCC Peanut Storage Agreement:
In-Elevation
CCC will pay $8.00 per ton in-elevation charges to the receiving
warehouse, only in cases where CCC directs delivery of CCC-owned
peanuts from one warehouse to another location. In cases where the
producer did not prepay the in-elevation charges, CCC will pay the CCC-
approved in-elevation charge at a rate of $8.00 per ton to the
warehouse operator and collect the amount from the producer after loan
forfeiture.
Storage
Storage amounts may be earned at the rate of $.089 per ton per day
beginning on the day following the loan maturity date, based on a
monthly storage rate of $2.71 per ton. CCC will also use this rate to
pay the storage amount by which the loan amount was reduced, when
producers fail to pay storage or make arrangements for storage charges
through the loan maturity date.
Load-Out
CCC will pay a load-out rate of $8.00 per ton which includes all
items associated with loading out CCC-owned peanuts, such as weighing
and placing peanuts aboard railcars or trucks. CCC will pay load-out
charges only when this service is ordered by CCC.
Grading and Inspection
CCC will pay the amount of grading and inspection fees as
determined by the Federal-State Inspection Service, Agriculture
Marketing Service, for CCC-owned peanuts, only when CCC requests such
service.
Other Associated Costs
CCC will negotiate rates on a case-by-case basis for other services
for CCC-owned peanuts, such as cleaning, drying, or fumigation, when
CCC requests such service.
Signed at Washington, DC, September 20, 2007.
Teresa C. Lasseter,
Executive Vice President, Commodity Credit Corporation.
[FR Doc. E7-18856 Filed 9-24-07; 8:45 am]
BILLING CODE 3410-05-P