[Code of Federal Regulations]
[Title 7, Volume 8]
[Revised as of January 1, 2007]
From the U.S. Government Printing Office via GPO Access
[CITE: 7CFR987]

[Page 597-599]
 
                          TITLE 7--AGRICULTURE
 
  CHAPTER IX--AGRICULTURAL MARKETING SERVICE (Marketing Agreements and 
      Orders; Fruits, Vegetables, Nuts), DEPARTMENT OF AGRICULTURE
 
PART 987_DOMESTIC DATES PRODUCED OR PACKED IN RIVERSIDE COUNTY, 
 
                    Subpart_Order Regulating Handling
 
Sec.  987.45  Withholding restricted dates.

    (a) Whenever free and restricted percentages for any variety of 
dates have been established for a crop year by the Secretary in 
accordance with Sec.  987.44, each handler shall, at the time of having 
dates of such variety certified for handling as free dates (including 
those for further processing that are to be handled as free dates), 
withhold from handling a quantity of marketable dates of such variety 
having a weight equal to the restricted percentage for such variety 
referrable to the dates so far certified. The withholding requirement 
shall not apply to dates certified for delivery directly to an excess 
supply removal program of the Secretary. The weight required to be 
withheld shall be determined by dividing the restricted percentage by 
the free percentage and applying the resultant withholding factor, 
rounded to the nearest one-tenth of one percent, to the weight of dates 
so certified. The withholding factor, computed as aforesaid, shall be 
established by the Secretary. When pitted dates are certified, the 
weight to be withheld shall be determined by dividing the weight of the 
pitted dates certified for handling or further processing by a divisor 
established by the Committee with the approval of the Secretary and 
applying the withholding factor.
    (b) Compliance by any handler with the withholding of restricted 
dates may be deferred to any date not later than January 31 of any crop 
year, upon request to the Committee and when accompanied by a written 
undertaking that on or prior to such date, he will have fully satisfied 
his withholding obligation. Such undertaking shall be secured by a bond 
or bonds to be filed with, and acceptable to, the Committee and with a 
surety or sureties acceptable to the Committee, running in favor of the 
Committee and the Secretary in an amount conditioned upon full 
compliance with such undertaking. The amount shall be determined by 
multiplying the poundage of the deferred restricted obligation by a 
bonding rate per pound which would provide funds estimated to be 
sufficient for the Committee to purchase on the open market a volume of 
dates equivalent to the deferred obligation. Such bonding

[[Page 598]]

rate shall be established annually, and modified as necessary, by the 
Committee. Any sums collected through default by a handler on his bond 
shall be used by the Committee to purchase dates to meet the violated 
restricted obligation, reimburse the Committee for expenses relative to 
the default, and any excess money remaining shall be refunded to the 
defaulting handler. The dates so purchased by the Committee shall be 
turned over to the defaulting handler for disposition as restricted 
dates. In the event the Committee is unable to purchase a poundage of 
dates equal to the defaulted volume, the sums collected shall, after 
reimbursement of Committee expenses in connection with the default, be 
distributed among all handlers other than the defaulting handler in 
proportion to the volume of certified dates handled as free dates 
(including those for further processing that were handled as free 
dates), during the crop year in which the default occurred.
    (c) At any time during the crop year free dates may be inspected and 
certified for handling or for further processing as provided in Sec.  
987.41. Dates so certified shall, at the time of certification, be 
identified by appropriate seals, stamps, or tags to be furnished by the 
Committee and to be affixed to the containers by the handler under the 
direction and supervision of the Committee or its designated inspectors. 
The assessment requirements in Sec.  987.72 as well as the withholding 
obligation prescribed in paragraph (a) of this section shall be met at 
the time of certification. However, a handler who has had more free 
dates certified for handling or further processing than he subsequently 
shipped or otherwise handled may, upon request to the Committee and with 
its approval, have any of such excess quantity of the certified dates 
suspended from certification of record or, if damaged or the outlet 
changed, removed from certification, and his withholding and assessment 
obligations adjusted accordingly. A handler, who has had dates certified 
for handling or further processing and has not had them so suspended 
from certification of record or removed from certification, may carry 
such certified free dates over into the new crop year and need not pay 
the assessment nor meet the requirements of any withholding percentages 
established for such year.
    (d) Dates withheld to meet the withholding obligation shall be 
stored at the expense of the handler, in storage of his own choosing and 
disposed of in accordance with Sec.  987.55. All such dates shall be 
inspected and identified by appropriate seals, stamps, or tags to be 
furnished by the Committee and to be affixed to the containers by the 
handler under the direction and supervision of the Committee or its 
designated inspectors. All withholding and movement of restricted dates, 
shall be subject to the supervision and accounting control of the 
Committee and reports shall be filed as required by this part. Any 
handler who during a crop year disposes in restricted outlets of a 
quantity of marketable dates in excess of his withholding obligation of 
such year may: (1) On written request delivered to the Committee not 
later than September 30 of such crop year have a part or all of such 
excess transferred, by the Committee, to such other handler or handlers 
as he may name, for crediting such other handlers' withholding 
obligations incurred in that crop year; and in addition (2) have a part 
or all of the remainder of such excess credited to his restricted 
obligation of the subsequent crop year: Provided, That the amount of any 
such credit shall not exceed that established by the Committee, with the 
approval of the Secretary, as the percentage of such withholding 
obligation.
    (e) On request to the Committee and with its approval, a handler 
may, in accordance with the provisions of this paragraph and any 
applicable rules and regulations which the Committee may prescribe with 
the approval of the Secretary, defer until any date not later than 
September 30 of the crop year the meeting of any portion of his 
obligation to withhold restricted dates by setting aside such amount of 
graded dates as will assure a quantity of marketable dates equal at 
least to the quantity needed to be withheld to meet his withholding 
obligation. With respect to any such dates the handler may set aside in 
connection with such

[[Page 599]]

a deferment, the Committee may require, if it deems it necessary, the 
handler to have made, at his own expense, such inspection as may be 
necessary for a determination as to whether such dates conform to the 
applicable requirements for dates that may be set aside under this 
paragraph. As a condition to the Committee approving the deferment, the 
handler shall agree in writing that: (1) He will adequately mark and 
identify the set-aside graded dates as such and hold them separate and 
apart from other dates; (2) the graded dates will not be removed from 
the stacks in which so set aside without the prior written permission of 
the Committee; (3) inspection of the dates by the Committee will be 
permitted at any reasonable time; and (4) if the quantity, quality, or 
size of the set-aside dates is found by the Committee at any time to be 
deficient, the handler will promptly set aside such additional or 
substitute quantity of graded dates as is necessary to correct the 
deficiency.
    (f) Upon the Committee prescribing, with the approval of the 
Secretary, minimum standards for inspection of field-run dates and 
appropriate administrative rules and regulations, a handler may, in 
accordance therewith and the provisions of this paragraph, satisfy all 
or any part of his obligation to withhold restricted dates by setting 
aside field-run dates or by disposing of field-run dates in outlets 
prescribed in, or pursuant to, Sec.  987.56. The field-run dates shall 
be of such quality or size as shall be prescribed in such rules and 
regulations. The setting aside, direct disposal, and disposal of any 
field-run dates set aside shall occur prior to September 30 of the crop 
year in which the withholding obligation occurs. Prior to the disposal 
or setting aside of the field run dates, the handler shall have had them 
inspected to determine the weight of dates eligible to satisfy 
withholding obligation. Upon such disposal or setting aside of the 
field-run dates, the handler shall be credited with satisfaction of his 
restricted obligation to the extent of the eligible weight of dates. In 
permitting the handler to so satisfy his withholding obligation the 
Committee shall require the handler to agree in writing that: (1) Any 
field-run dates set aside will be held separate and apart from other 
dates and appropriately marked; (2) such dates will not be removed from 
the stacks in which so set aside for substitution of other dates, 
disposition, or for any other reason without prior written permission of 
the Committee; and (3) inspection of said dates by the Committee will be 
permitted at any reasonable time. In order to satisfy a withholding 
obligation by direct disposal of field-run dates into cull outlets, the 
disposal shall be under the supervision of the Committee and through 
persons on a Committee approved list of feeders and manufacturers. The 
handler may, upon giving prior notice to the Committee of any of the 
following proposed actions with respect to field-run dates withheld and 
obtaining its approval, (i) dispose of any such set-aside, field-run 
dates in the same manner as provided for direct disposal (ii) grade such 
dates and have the graded dates certified as marketable dates and 
withhold or dispose of such marketable dates as restricted dates, or 
(iii) substitute for the set-aside, field-run dates an equivalent 
quantity of marketable dates which he shall withhold or dispose of as 
restricted dates.

[27 FR 6818, July 19, 1962, as amended at 29 FR 9707, July 18, 1964; 36 
FR 15039, Aug. 12, 1971; 43 FR 4253, Feb. 1, 1978]