[Federal Register Volume 76, Number 78 (Friday, April 22, 2011)]
[Rules and Regulations]
[Pages 22752-22756]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-9394]
[[Page 22751]]
Vol. 76
Friday,
No. 78
April 22, 2011
Part II
Department of Agriculture
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Agricultural Marketing Service
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7 CFR Part 1217
Softwood Lumber Research, Promotion, Consumer Education and Industry
Information Order; Referendum Procedures; Final Rule and Proposed Rule
Federal Register / Vol. 76 , No. 78 / Friday, April 22, 2011 / Rules
and Regulations
[[Page 22752]]
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DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 1217
[Document Number AMS-FV-10-0015; FR-B]
RIN 0581-AD03
Softwood Lumber Research, Promotion, Consumer Education and
Industry Information Order; Referendum Procedures
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Final rule.
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SUMMARY: This rule establishes procedures for conducting a referendum
to determine whether issuance of a proposed Softwood Lumber Research,
Promotion, Consumer Education and Industry Information Order (Order) is
favored by domestic manufacturers and importers of softwood lumber.
Softwood lumber is used in products like flooring, siding and framing.
The procedures will also be used for any subsequent referendum under
the Order. The proposed Order is being published separately in this
issue of the Federal Register.
DATES: Effective Date: April 23, 2011.
FOR FURTHER INFORMATION CONTACT: Maureen T. Pello, Marketing
Specialist, Research and Promotion Branch, Fruit and Vegetable
Programs, AMS, USDA, P.O. Box 831, Beavercreek, Oregon 97004;
telephone: (503) 632-8848; facsimile (503) 632-8852; or electronic
mail: [email protected].
SUPPLEMENTARY INFORMATION: This rule is issued pursuant to the
Commodity Promotion, Research, and Information Act of 1996 (1996 Act)
(7 U.S.C. 7411-7425).
As part of this rulemaking process, two proposed rules were
published in the Federal Register on October 1, 2010. One rule
pertained to the proposed Order (75 FR 61002) and a second rule
pertained to proposed referendum procedures (75 FR 61025). Both rules
provided for 60-day comment periods ending on November 30, 2010. No
comments were received regarding the referendum procedures. Fifty-five
comments were received regarding the proposed Order. Those comments are
addressed in another proposed rule published in this issue of the
Federal Register.
Executive Order 12866
This rule has been determined to be not significant for purposes of
Executive Order 12866 and therefore has not been reviewed by the Office
of Management and Budget (OMB).
Executive Order 12988
This rule has been reviewed under Executive Order 12988, Civil
Justice Reform. It is not intended to have retroactive effect. Section
524 of the 1996 Act provides that it shall not affect or preempt any
other Federal or State law authorizing promotion or research relating
to an agricultural commodity.
Under section 519 of the 1996 Act, a person subject to an order may
file a written petition with the U.S. Department of Agriculture (USDA)
stating that an order, any provision of an order, or any obligation
imposed in connection with an order, is not established in accordance
with the law, and request a modification of an order or an exemption
from an order. Any petition filed challenging an order, any provision
of an order, or any obligation imposed in connection with an order,
shall be filed within two years after the effective date of an order,
provision, or obligation subject to challenge in the petition. The
petitioner will have the opportunity for a hearing on the petition.
Thereafter, USDA will issue a ruling on the petition. The 1996 Act
provides that the district court of the United States for any district
in which the petitioner resides or conducts business shall have the
jurisdiction to review a final ruling on the petition, if the
petitioner files a complaint for that purpose not later than 20 days
after the date of the entry of USDA's final ruling.
This rule establishes procedures for conducting a referendum to
determine whether domestic manufacturers and importers of softwood
lumber favor issuance of a proposed softwood lumber Order. Softwood
lumber is used in products like flooring, siding and framing. USDA will
conduct the referendum. The program will be implemented if it is
favored by a majority of domestic manufacturers and importers of
softwood lumber voting in the referendum who also represent a majority
of the volume of softwood lumber represented in the referendum. The
procedures will also be used for any subsequent referendum under the
Order. The proposed Order is being published separately in this issue
of the Federal Register.
The 1996 Act authorizes USDA to establish agricultural commodity
research and promotion orders which may include a combination of
promotion, research, industry information, and consumer information
activities funded by mandatory assessments. These programs are designed
to maintain and expand markets and uses for agricultural commodities.
As defined under section 513(1)(D) of the 1996 Act, agricultural
commodities include the products of forestry, which includes softwood
lumber.
The 1996 Act provides for alternatives within the terms of a
variety of provisions. Paragraph (e) of section 518 of the 1996 Act
provides three options for determining industry approval of a new
research and promotion program: (1) By a majority of those persons
voting; (2) by persons voting for approval who represent a majority of
the volume of the agricultural commodity; or (3) by a majority of those
persons voting for approval who also represent a majority of the volume
of the agricultural commodity. In addition, section 518 of the 1996 Act
provides for referenda to ascertain approval of an order to be
conducted either prior to its going into effect or within three years
after assessments first begin under an order.
USDA received a proposal for a national research and promotion
program for softwood lumber from the Blue Ribbon Commission (BRC). The
BRC is a committee of 21 chief executive officers and heads of
businesses that domestically manufacture and import softwood lumber.
Softwood lumber is used in products like flooring, siding and framing.
The program would be financed by an assessment on softwood lumber
domestic manufacturers and importers and would be administered by a
board of industry members selected by the Secretary of Agriculture
(Secretary). The initial assessment rate would be $0.35 per thousand
board feet shipped within or imported to the United States and could be
increased up to $0.50 per thousand board feet. Entities that
domestically ship or import less than 15 million board feet would be
exempt along with shipments exported outside of the United States.
Assessed entities would not pay assessments on the first 15 million
board feet domestically shipped or imported. The purpose of the program
would be to strengthen the position of softwood lumber in the
marketplace, maintain and expand markets for softwood lumber, and
develop new uses for softwood lumber within the United States.
The BRC proposed that a referendum be held among eligible domestic
manufacturers and importers to determine whether they favor
implementation of the program prior to it going into effect. The BRC
recommended that the program be implemented if it is favored by a
[[Page 22753]]
majority of the domestic manufacturers and importers voting in the
referendum who also represent a majority of the volume of softwood
lumber represented in the referendum. Domestic manufacturers and
importers who domestically ship or import 15 million board feet or more
of softwood lumber annually are eligible to vote in the referendum.
The term ``softwood lumber'' means softwood lumber and products
manufactured from softwood as described in section 804(a) within Title
VIII (Softwood Lumber Act of 2008 or SLA of 2008) of the Tariff Act of
1930 (19 U.S.C. 1202-1683g), as amended by section 3301 of the Food,
Conservation and Energy Act of 2008 (Pub. L. 110-246, enacted June 18,
2008) and categorized in the following Harmonized Tariff Schedule of
the United States (HTSUS) numbers--4407.10.01, 4409.10.05, 4409.10.10,
4409.10.20, 4409.10.90, and 4418.90.25. Domestic product that cannot be
categorized in the referenced HTSUS numbers if it were an import is not
covered under this Order. Further, softwood lumber originating in the
United States that is exported to another country and shipped back to
the United States is covered under this Order, provided it can be
categorized in the referenced HTSUS numbers. Additionally, articles
brought into the United States temporarily and for which an exemption
is claimed under subchapter XIII of chapter 98 of the HTSUS are not
covered under this Order.
The definition for softwood lumber in this final rule was modified
to better state what is subject to this proposed program. Additionally,
the paragraphs in Sec. 1217.101 for softwood and softwood lumber were
reversed in this rule so that the terms appear alphabetically in the
referendum procedures. Thus, in Sec. 1217.101, the definition for
softwood was changed from paragraph (l) to (k), and the definition for
softwood lumber was changed from paragraph (k) to (l).
Accordingly, softwood lumber and softwood lumber products described
in section 804 of the SLA of 2008 and classified under subheading
4407.10.00, 4409.10.10, 4409.10.20, and 4409.10.90 of the HTSUS are
covered under this Order and described in the following paragraphs: \1\
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\1\ The HTSUS numbers referred to in this discussion are as of
January 1, 2008. However, HTS subheading 4407.10.00 is now HTS
subheading 4407.10.01.
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(1) Coniferous wood, sawn or chipped lengthwise, sliced or peeled,
whether or not planed, sanded or finger-jointed, of a thickness
exceeding 6 millimeters;
(2) Coniferous wood siding (including strips and friezes for
parquet flooring, not assembled) continuously shaped (tongued, grooved,
rabbeted, chamfered, v-jointed, beaded, molded, rounded, or the like)
along any of its edges or faces, whether or not planed, sanded, or
finger-jointed;
(3) Other coniferous wood (including strips and friezes for parquet
flooring, not assembled) continuously shaped (tongued, grooved,
rabbeted, chamfered, v-jointed, beaded, molded, rounded, or the like)
along any of its edges or faces (other than wood moldings and wood
dowel rods) whether or not planed, sanded, or finger-jointed;
(4) Coniferous wood flooring (including strips and friezes for
parquet flooring, not assembled) continuously shaped (tongued, grooved,
rabbeted, chamfered, v-jointed, beaded, molded, rounded, or the like)
along any of its edges or faces, whether or not planed, sanded, or
finger jointed; and
(5) Coniferous drilled and notched lumber and angle cut lumber.
In addition, any product classified under subheading 4409.10.05 of
the HTSUS that is continually shaped along its end and or side edges is
covered under the SLA of 2008 and would be covered under this Order.
All product classified under 4418.90.25 would also be covered under
this Order.
Accordingly, this rule adds subpart B to part 1217 that establishes
procedures for conducting the referendum. The procedures cover
definitions, voting instructions, use of subagents, ballots, the
referendum report, and confidentiality of information. The procedures
are applicable for the initial referendum and future referenda.
Final Regulatory Flexibility Act Analysis
In accordance with the Regulatory Flexibility Act (RFA) (5 U.S.C.
601-612), AMS is required to examine the impact of this final rule on
small entities. Accordingly, AMS has considered the economic impact of
this action on small entities.
The purpose of the RFA is to fit regulatory actions to the scale of
businesses subject to such actions so that small businesses will not be
disproportionately burdened. The Small Business Administration defines,
in 13 CFR part 121, small agricultural producers as those having annual
receipts of no more than $750,000 and small agricultural service firms
(domestic manufacturers and importers) as those having annual receipts
of no more than $7.0 million.
According to USDA's Forest Service, it is estimated that, between
2007 and 2009 (most recent data available to USDA), there were an
average of 595 domestic manufacturers of softwood lumber in the United
States annually.\2\ Using an average price of $280 per thousand board
feet, a domestic manufacturer who ships less than 25 million board feet
per year would be considered a small entity. It is estimated that,
between 2007 and 2009, about 498 domestic manufacturers, or about 61
percent, shipped less than 25 million board feet annually.\3\
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\2\ Spelter, H., D. McKeever, D. Toth, Profile 2009: Softwood
Sawmills in the United States, USDA, p. 15.
\3\ Percentages were obtained from the American Lumber Standard
Committee, Inc. (ALSC). The ALSC administers an accreditation
program for the grademarking of lumber produced under the American
Softwood Lumber Standard (Voluntary Product Standard 20).
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According to Customs' data, it is estimated that, between 2007 and
2009, there were about 833 importers of softwood lumber annually. About
798 importers, or about 90 percent, imported less than $7.0 million
worth of softwood lumber annually. Thus, the majority of domestic
manufacturers and importers of softwood lumber would be considered
small entities.
According to USDA's Forest Service, for 2007-2008 (most recent data
available to USDA), total output (production) of softwood lumber by
U.S. sawmills averaged about 29.5 billion board feet annually. Of the
29.5 billion board feet, 12.6 billion board feet were from the southern
States, 14.4 billion board feet were from the western States, and 2.5
billion board feet were from the northeast and lake States. (Data for
the western States is from the Western Wood Products Association \4\
and data for the other two regions is from the U.S. Census Bureau.\5\)
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\4\ Western Wood Products Association, 2008 Statistical
Yearbook, p. 32.
\5\ U.S. Census Bureau, 2009, Construction, http://www.census.gov/mcd/.
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According to U.S. Department of Commerce, Census Bureau, Foreign
Trade Statistics data,\6\ imports of softwood lumber from 2008 through
2010 averaged about 10.2 billion board feet annually. During those
years, imports from Canada averaged 9.6 billion board feet annually,
comprising about 94 percent of total imports; imports from western
Europe averaged 224 million board feet annually, comprising about 2.2
percent of total imports; and imports from Chile averaged 174 million
board feet annually, comprising about 1.8 percent of total imports.
Imports from other
[[Page 22754]]
countries accounted for the remaining 2 percent of total imports for
2008 through 2010.
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\6\ http://www.fas.usda.gov/gats; accessed 3/11/11.
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This rule establishes procedures for conducting a referendum to
determine whether domestic manufacturers and importers of softwood
lumber favor issuance of a proposed softwood lumber Order. Softwood
lumber is used in products like flooring, siding and framing. USDA will
conduct the referendum. The program will be implemented if it is
favored by a majority of domestic manufacturers and importers of
softwood lumber voting in a referendum who also represent a majority of
softwood lumber represented in the referendum. The procedures will also
be used for any subsequent referendum under the Order. The procedures
are authorized under paragraph (e) of section 518 the 1996 Act.
Regarding the economic impact of this rule on affected entities,
eligible softwood lumber domestic manufacturers and importers will have
the opportunity to participate in the referendum. The Order would
exempt domestic manufacturers and importers who ship or import less
than 15 million board feet annually from the payment of assessments.
Exempt domestic manufacturers and importers are not eligible to
participate in the referendum. Of the 595 domestic manufacturers and
883 importers, it is estimated that about 363 domestic manufacturers
and 103 importers would pay assessments under the Order and thus be
eligible to vote in the referendum. It is estimated that if $17.5
million were collected in assessments ($0.35 per thousand board feet
assessment rate with 50 billion board feet assessed), 25 percent, or
about $4 million, would be paid by importers and 75 percent, or about
$13 million, would be paid by domestic manufacturers. Voting in the
referendum is optional. If domestic manufacturers and importers chose
to vote, the burden of voting would be offset by the benefits of having
the opportunity to vote on whether or not they want to be covered by
the program.
Regarding alternatives, USDA considered requiring eligible voters
to vote in person at various USDA offices across the country. USDA also
considered electronic voting, but the use of computers is not
universal. Conducting the referendum from one central location by mail
ballot will be more cost effective and reliable. USDA will provide easy
access to information for potential voters through a toll free
telephone line.
This action imposes an additional reporting burden on eligible
domestic manufacturers and importers of softwood lumber. Eligible
domestic manufacturers and importers will have the opportunity to
complete and submit a ballot to USDA indicating whether or not they
favor implementation of the proposed Order. The specific burden for the
ballot is detailed later in this document in the section titled
Paperwork Reduction Act. As with all Federal promotion programs,
reports and forms are periodically reviewed to reduce information
requirements and duplication by industry and public sector agencies.
Finally, USDA has not identified any relevant Federal rules that
duplicate, overlap, or conflict with this rule.
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.
Regarding outreach efforts, USDA will keep these individuals
informed throughout the program implementation and referendum process
to ensure that they are aware of and are able to participate in the
program implementation process. USDA will also publicize information
regarding the referendum process so that trade associations and related
industry media can be kept informed.
Paperwork Reduction Act
In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C.
chapter 35), the referendum ballot, which represents the information
collection and recordkeeping requirements that may be imposed by this
rule, has been submitted to OMB for approval and approved under OMB
Number 0581-NEW.
Title: Softwood Lumber Research, Promotion, Consumer Education and
Industry Information Order.
OMB Number: 0581-NEW.
Expiration Date of Approval: 3 years from OMB date of approval.
Type of Request: New information collection for research and
promotion programs.
Abstract: The information collection requirements in the request
are essential to carry out the intent of the 1996 Act. The information
collection concerns a proposal received by USDA for a national research
and promotion program for softwood lumber. The program would be
financed by an assessment on softwood lumber domestic manufacturers and
importers and would be administered by a board of industry members
selected by the Secretary. The program would provide for an exemption
for the first 15 million board feet of lumber shipped by domestic
manufacturers within the United States or imported into the United
States during the year. Exports of softwood lumber from the United
States would also be exempt from assessments. A referendum will be held
among eligible domestic manufacturers and importers to determine
whether they favor implementation of the program prior to it going into
effect. The purpose of the program would be to help build the market
for softwood lumber.
The information collection requirements in this rule concern the
referendum that will be held to determine whether the program is
favored by the industry. Domestic manufacturers and importers of 15
million or more board feet annually are eligible to vote in the
referendum. The ballot will be completed by eligible domestic
manufacturers and importers who want to indicate whether or not they
support implementation of the program.
Referendum Ballot
Estimate of Burden: Public recordkeeping burden for this collection
of information is estimated to average 0.25 hour per application.
Respondents: Domestic manufacturers and importers.
Estimated Number of Respondents: 464 (363 domestic manufacturers
and 103 importers).
Estimated Number of Responses per Respondent: 1 every 5 years
(0.2).
Estimated Total Annual Burden on Respondents: 23.20 hours.
The ballot will be added to the other information collections
approved under OMB No. 0581-NEW.
An estimated 464 respondents will provide information to USDA (363
domestic manufacturers and 103 importers). The estimated cost of
providing the information to USDA by respondents is $765.60. This total
has been estimated by multiplying 23.20 total hours required for
reporting and recordkeeping by $33, the average mean hourly earnings of
various occupations involved in keeping this information. Data for
computation of this hourly rate was obtained from the U.S. Department
of Labor Statistics.
The proposed Order's provisions have been carefully reviewed, and
every effort has been made to minimize any unnecessary recordkeeping
costs or requirements, including efforts to utilize information already
submitted under other programs administered by USDA and other State
programs.
A proposed rule regarding the referendum procedures was published
[[Page 22755]]
in the Federal Register on October 1, 2010 (75 FR 61025). Copies of the
rule were made available by USDA through the Office of the Federal
Register and were also made available via the Internet at http://www.regulations.gov. That rule provided for a 60-day comment period. No
comments were received.
In the October 1, 2010, proposed rule, comments were also invited
on the information collection requirements prescribed in the Paperwork
Reduction Act section of this rule. Specifically, comments were
solicited on: (a) Whether the proposed collection of information is
necessary for the proper performance of functions of the proposed Order
and USDA's oversight of the proposed Order, including whether the
information would have practical utility; (b) the accuracy of USDA's
estimate of the burden of the proposed collection of information,
including the validity of the methodology and assumptions used; (c) the
accuracy of USDA's estimate of the principal manufacturing areas in the
United States for softwood lumber; (d) the accuracy of USDA's estimate
of the number of domestic manufacturers and importers of softwood
lumber that would be covered under the program; (e) ways to enhance the
quality, utility, and clarity of the information to be collected; and
(f) ways to minimize the burden of the collection of 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. No comments were received
regarding information collection.
Pursuant to 5 U.S.C. 553, it is found that good cause exists for
not postponing the effective date of this rule until 30 days after
publication in the Federal Register because this rule needs to be in
effect prior to USDA conducting a referendum which is scheduled for May
2011. Further, a 60-day comment period was provided for in the proposed
rule regarding referendum procedures, and no comments were received.
List of Subjects in 7 CFR Part 1217
Administrative practice and procedure, Advertising, Consumer
information, Marketing agreements, Softwood lumber, Promotion,
Reporting and recordkeeping requirements.
For the reasons set forth in the preamble, Title 7, Chapter XI of
the Code of Federal Regulations, is amended by adding part 1217 to read
as follows:
PART 1217--SOFTWOOD LUMBER RESEARCH, PROMOTION, CONSUMER EDUCATION
AND INDUSTRY INFORMATION ORDER
Subpart A--[Reserved]
Subpart B--Referendum Procedures
Sec.
1217.100 General.
1217.101 Definitions.
1217.102 Voting.
1217.103 Instructions.
1217.104 Subagents.
1217.105 Ballots.
1217.106 Referendum report.
1217.107 Confidential information.
1217.108 OMB Control number.
Authority: 7 U.S.C. 7411-7425; 7 U.S.C. 7401.
Subpart A--[Reserved]
Subpart B--Referendum Procedures
Sec. 1217.100 General.
Referenda to determine whether eligible domestic manufacturers and
importers favor the issuance, continuance, amendment, suspension, or
termination of the Softwood Lumber Research, Promotion, Consumer
Education, and Industry Information Order shall be conducted in
accordance with this subpart.
Sec. 1217.101 Definitions.
For the purposes of this subpart:
(a) Administrator means the Administrator of the Agricultural
Marketing Service, with power to delegate, or any officer or employee
of the U.S. Department of Agriculture to whom authority has been
delegated or may hereafter be delegated to act in the Administrator's
stead.
(b) Customs or CPB means Customs and Border Protection, an agency
of the United States Department of Homeland Security.
(c) Department or USDA means the U.S. Department of Agriculture or
any officer or employee of the Department to whom authority has
heretofore been delegated, or to whom authority may hereafter be
delegated, to act in the Secretary's stead.
(d) Eligible domestic manufacturer means any person who
manufactured and shipped 15 million board feet or more of softwood
lumber in the United States during the representative period.
(e) Eligible importer means any person who imported 15 million
board feet or more of softwood lumber into the United States during the
representative period as a principal or as an agent, broker, or
consignee of any person who manufactured softwood lumber outside of the
United States for sale in the United States, and who is listed as the
importer of record for such softwood lumber. Importation occurs when
softwood lumber manufactured outside of the United States is released
from custody by Customs and introduced into the stream of commerce in
the United States. Included are persons who hold title to foreign-
manufactured softwood lumber immediately upon release by Customs, as
well as any persons who act on behalf of others, as agents or brokers,
to secure the release of softwood lumber from Customs when such
softwood lumber is entered or withdrawn for use in the United States.
(f) Manufacture means the process of transforming softwood logs
into softwood lumber.
(g) Order means the Softwood Lumber Research, Promotion, Consumer
Education and Industry Information Order.
(h) Person means any individual, group of individuals, partnership,
corporation, association, cooperative, or any other legal entity. For
the purpose of this definition, the term ``partnership'' includes, but
is not limited to:
(1) A husband and a wife who have title to, or leasehold interest
in, a softwood lumber manufacturing entity as tenants in common, joint
tenants, tenants by the entirety, or, under community property laws, as
community property; and
(2) So called ``joint ventures'' wherein one or more parties to an
agreement, informal or otherwise, contributed land, facilities,
capital, labor, management, equipment, or other services, or any
variation of such contributions by two or more parties, so that it
results in the domestic manufacturing or importation of softwood lumber
and the authority to transfer title to the softwood lumber so
manufactured or imported.
(i) Referendum agent or agent means the individual or individuals
designated by the Secretary to conduct the referendum.
(j) Representative period means the period designated by the
Department.
(k) Softwood means one of the botanical groups of trees that have
needle-like or scale-like leaves, the conifers.
(l) Softwood lumber means and includes softwood lumber and products
manufactured from softwood as described in section 804(a) within Title
VIII (Softwood Lumber Act of 2008 or SLA of 2008) of the Tariff Act of
1930 (19 U.S.C. 1202-1683g), as amended by section 3301 of the Food,
Conservation and Energy Act of 2008 (Pub. L. 110-246, enacted June 18,
2008) and categorized in the following Harmonized Tariff Schedule of
the United States (HTSUS) numbers--
[[Page 22756]]
4407.10.01, 4409.10.05, 4409.10.10, 4409.10.20, 4409.10.90, and
4418.90.25. Domestic product that cannot be categorized in the
referenced HTSUS numbers if it were an import is not covered under this
order. Further, softwood lumber originating in the United States that
is exported to another country and shipped back to the United States is
also covered under this Order, provided it can be categorized in the
referenced HTSUS numbers. Additionally, articles brought into the
United States temporarily and for which an exemption is claimed under
subchapter XIII of chapter 98 of the HTSUS are exempted from the SLA of
2008 and are not covered under this Order.
(m) United States means collectively the 50 States, the District of
Columbia, the Commonwealth of Puerto Rico, and the territories and
possessions of the United States.
Sec. 1217.102 Voting.
(a) Each eligible domestic manufacturer and importer of softwood
lumber shall be entitled to cast only one ballot in the referendum.
However, each domestic manufacturer in a landlord/tenant relationship
or a divided ownership arrangement involving totally independent
entities cooperating only to manufacture softwood lumber, in which more
than one of the parties is a domestic manufacturer or importer, shall
be entitled to cast one ballot in the referendum covering only such
domestic manufacturer or importer's share of ownership.
(b) Proxy voting is not authorized, but an officer or employee of
an eligible corporate domestic manufacturer or importer, or an
administrator, executor, or trustee of an eligible entity may cast a
ballot on behalf of such entity. Any individual so voting in a
referendum shall certify that such individual is an officer or employee
of the eligible entity, or an administrator, executive, or trustee of
an eligible entity and that such individual has the authority to take
such action. Upon request of the referendum agent, the individual shall
submit adequate evidence of such authority.
(c) A single entity who domestically manufactures and imports
softwood lumber may cast one vote in the referendum.
(d) All ballots are to be cast by mail or other means, as
instructed by the Department.
Sec. 1217.103 Instructions.
The referendum agent shall conduct the referendum, in the manner
provided in this subpart, under the supervision of the Administrator.
The Administrator may prescribe additional instructions, consistent
with the provisions of this subpart, to govern the procedure to be
followed by the referendum agent. Such agent shall:
(a) Determine the period during which ballots may be cast;
(b) Provide ballots and related material to be used in the
referendum. The ballot shall provide for recording essential
information, including that needed for ascertaining whether the person
voting, or on whose behalf the vote is cast, is an eligible voter;
(c) Give reasonable public notice of the referendum:
(1) By using available media or public information sources, without
incurring advertising expense, to publicize the dates, places, method
of voting, eligibility requirements, and other pertinent information.
Such sources of publicity may include, but are not limited to, print
and radio; and
(2) By such other means as the agent may deem advisable.
(d) Mail to eligible domestic manufacturers and importers whose
names and addresses are known to the referendum agent, the instructions
on voting, a ballot, and a summary of the terms and conditions of the
proposed Order. No person who claims to be eligible to vote shall be
refused a ballot;
(e) At the end of the voting period, collect, open, number, and
review the ballots and tabulate the results in the presence of an agent
of a third party authorized to monitor the referendum process;
(f) Prepare a report on the referendum; and
(g) Announce the results to the public.
Sec. 1217.104 Subagents.
The referendum agent may appoint any individual or individuals
necessary or desirable to assist the agent in performing such agent's
functions of this subpart. Each individual so appointed may be
authorized by the agent to perform any or all of the functions which,
in the absence of such appointment, shall be performed by the agent.
Sec. 1217.105 Ballots.
The referendum agent and subagents shall accept all ballots cast.
However, if an agent or subagent deems that a ballot should be
challenged for any reason, the agent or subagent shall endorse above
their signature, on the ballot, a statement to the effect that such
ballot was challenged, by whom challenged, the reasons therefore, the
results of any investigations made with respect thereto, and the
disposition thereof. Ballots invalid under this subpart shall not be
counted.
Sec. 1217.106 Referendum report.
Except as otherwise directed, the referendum agent shall prepare
and submit to the Administrator a report on the results of the
referendum, the manner in which it was conducted, the extent and kind
of public notice given, and other information pertinent to the analysis
of the referendum and its results.
Sec. 1217.107 Confidential information.
The ballots and other information or reports that reveal, or tend
to reveal, the vote of any person covered under the Order and the voter
list shall be strictly confidential and shall not be disclosed.
Sec. 1217.108 OMB control number.
The control number assigned to the information collection
requirement in this subpart by the Office of Management and Budget
pursuant to the Paperwork Reduction Act of 1995, 44 U.S.C. is OMB
control number 0581-NEW.
Dated: April 13, 2011.
Rayne Pegg,
Administrator, Agricultural Marketing Service.
[FR Doc. 2011-9394 Filed 4-21-11; 8:45 am]
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