[Federal Register: September 3, 2008 (Volume 73, Number 171)]
[Rules and Regulations]
[Page 51352-51353]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr03se08-2]
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DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 1000
[Docket No. AMS-DA-07-0026; AO-14-A77]
Milk in the Northeast and Other Marketing Areas; Delay of
Effective Date
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Interim final rule; delay of effective date.
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SUMMARY: An interim final rule published July 31, 2008 amending the
manufacturing cost allowances and the butterfat yield factor used in
Class III and Class IV product-price formulas applicable in all Federal
milk marketing orders had an effective date of September 1, 2008. The
effective date of the Interim Rule will now be October 1, 2008. The
rule's effective date is delayed because a complaint to enjoin the
implementation of the revised manufacturing allowances and butterfat
yield factor was filed in the United States District Court for the
District of Columbia. Delaying implementation allows sufficient time
for a preliminary injunction hearing.
DATES: The effective date for the interim final rule published July 31,
2008 (73 FR 44617), is delayed from September 1, 2008, until October 1,
2008.
FOR FURTHER INFORMATION CONTACT: Jack Rower, Marketing Specialist,
USDA/AMS/Dairy Programs, Order Formulation and Enforcement, Stop 0231--
Room 2971-S, 1400 Independence Avenue, SW., Washington, DC 20250-0231,
(202) 720-7183.
SUPPLEMENTARY INFORMATION:
Background
The regulations in 7 CFR part 1000 provide for, among other things,
formulas that establish minimum Class III and Class IV milk prices in
all Federal milk marketing orders. The Class III and Class IV formulas
also set minimum Federal order prices for Class I and Class II nonfat
solids and skim milk prices and pricing factors that are announced in
advance of the month for which such prices will be effective. Minimum
Class III and Class IV prices for any given month are announced for all
Federal orders on or before the 5th day of the following month.
The Class III and Class IV product-price formulas use finished
product prices for cheese, butter, nonfat dry milk and dry whey
together with manufacturing allowances (commonly referred to as ``make
allowances'') and yield factors to determine the minimum value of milk
used to make the finished dairy products. Currently, the make
allowances being used to compute all Federal order minimum class prices
are those published in the Federal Register on December 29, 2006 (71 FR
78333). The current butterfat yield factor used in the Class III and
Class IV product-pricing formulas is that published in the Federal
Register on February 12, 2003 (65 FR 76832).
Delay in Effective Date
On July 31, 2008, an Interim Final Rule was published in the
Federal Register (73 FR 44617) amending the make allowances and
butterfat yield
[[Page 51353]]
factor used in the Class III and Class IV product-pricing formulas.
On Friday, August 15, 2008, a lawsuit was filed in the District
Court for the District of Columbia requesting that a temporary
restraining order be issued by the court until a preliminary injunction
hearing could be held as part of the pre-hearing process. USDA
determined that it was in the best interest of the dairy industry to
delay implementation of the Final Rule one month until October 1, 2008.
Delaying implementation allows sufficient time for a preliminary
injunction hearing to be held.
The revised manufacturing allowances and butterfat yield factor
will be used in computing the October 2008 Federal order minimum
advance Class I and Class II prices and pricing factors to be announced
on September 19, 2008 unless a court order directs otherwise. The
revised manufacturing allowances and butterfat yield factor of the
Interim Final Rule will be used to compute minimum Federal order Class
III and Class IV prices for October 2008 and in the announcement of
advanced prices and pricing factors thereafter.
Authority: 7 U.S.C. 601-674, and 7253.
Dated: August 28, 2008.
Lloyd C. Day,
Administrator, Agricultural Marketing Service.
[FR Doc. E8-20391 Filed 8-28-08; 4:15 pm]
BILLING CODE 3410-02-P