Federal Register / Vol. 78, No. 219 / Wednesday, November 13, 2013 / Proposed Rules 67979 

Any questions about the compliance 

guide should be sent to Jeffrey Smutny 

at the previously-mentioned address in 

the FOR FURTHER INFORMATION CONTACT

section. 

A 15-day comment period is provided 

to allow interested persons to respond 

to this proposed rule. Fifteen days is 

deemed appropriate because: (1) The 

2013–14 fiscal period began on August 

1, 2013, with shipments beginning in 

September, and the marketing order 

requires that the rate of assessment for 

each fiscal period apply to all assessable 

Florida citrus handled during such 

fiscal period; (2) the Committee needs to 

have sufficient funds to pay its 

expenses, which are incurred on a 

continuous basis; and (3) handlers are 

aware of this action, which was 

unanimously recommended by the 

Committee at a public meeting and is 

similar to other assessment rate actions 

issued in past years. 

List of Subjects in 7 CFR Part 905 

Grapefruit, Oranges, Reporting and 

recordkeeping requirements, Tangelos, 

Tangerines. 

For the reasons set forth in the 

preamble, 7 CFR part 905 is proposed to 

be amended as follows: 

PART 905—ORANGES, GRAPEFRUIT, 

TANGERINES, AND TANGELOS 

GROWN IN FLORIDA 

■ 1. The authority citation for 7 CFR 

part 905 continues to read as follows: 

Authority: 7 U.S.C. 601–674. 

■ 2. Section 905.235 is revised to read 

as follows: 

§ 905.235 Assessment rate. 

On and after August 1, 2013, an 

assessment rate of $0.009 per 4/5 bushel 

carton or equivalent is established for 

Florida citrus covered under the order. 

Dated: November 5, 2013. 

Rex A. Barnes, 

Associate Administrator, Agricultural 

Marketing Service. 

[FR Doc. 2013–27018 Filed 11–12–13; 8:45 am] 

BILLING CODE 3410–02–P 

DEPARTMENT OF AGRICULTURE 

Agricultural Marketing Service 

7 CFR Part 1211 

[Document Number AMS–FV–11–0074; 

PR–B] 

RIN 0581–AD24 

Hardwood Lumber and Hardwood 

Plywood Promotion, Research and 

Information Order; Referendum 

Procedures 

AGENCY: Agricultural Marketing Service, 

USDA. 

ACTION: Proposed rule. 

SUMMARY: This proposed rule invites 

comments on procedures for conducting 

a referendum to determine whether 

issuance of a proposed Hardwood 

Lumber and Hardwood Plywood 

Promotion, Research and Information 

Order (Order) is favored by domestic 

manufacturers of hardwood lumber and 

hardwood plywood. Hardwood lumber 

and hardwood plywood are used in 

products like flooring, furniture, 

moldings, doors, and kitchen cabinets. 

The procedures would also be used for 

any subsequent referendum under the 

Order. The proposed Order is being 

published separately in this issue of the 

Federal Register. This proposed rule 

also announces the Agricultural 

Marketing Service’s (AMS) intent to 

request approval by the Office of 

Management and Budget (OMB) of new 

information collection requirements to 

implement the program. 

DATES: Comments must be received by 

January 13, 2014. Pursuant to the 

Paperwork Reduction Act (PRA), 

comments on the information collection 

burden that would result from this 

proposal must be received by January 

13, 2014. 

ADDRESSES: Interested persons are 

invited to submit written comments 

concerning this rule. Comments may be 

submitted on the Internet at: http://

www.regulations.gov or to the 

Promotion and Economics Division, 

Fruit and Vegetable Program, AMS, 

USDA, 1400 Independence Avenue 

SW., Room 1406–S, Stop 0244, 

Washington, DC 20250–0244; facsimile: 

(202) 205–2800. All comments should 

reference the document number and the 

date and page number of this issue of 

the Federal Register and will be made 

available for public inspection, 

including name and address, if 

provided, in the above office during 

regular business hours or it can be 

viewed at http://www.regulations.gov. 

Pursuant to the PRA, comments 

regarding the accuracy of the burden 

estimate, ways to minimize the burden, 

including the use of automated 

collection techniques or other forms of 

information technology, or any other 

aspect of this collection of information, 

should be sent to the above address. In 

addition, comments concerning the 

information collection should also be 

sent to the Desk Office for Agriculture, 

Office of Information and Regulatory 

Affairs, OMB, New Executive Office 

Building, 725 17th Street NW., Room 

725, Washington, DC 20503. 

FOR FURTHER INFORMATION CONTACT: 

Patricia A. Petrella, Marketing 

Specialist, Promotion and Economics 

Division, Fruit and Vegetable Program, 

AMS, USDA, 1400 Independence 

Avenue SW., Room 1406, Stop 0244, 

Washington, DC 20250–0244; telephone: 

(301) 334–2891; facsimile (301) 334– 

2896; or electronic mail: 

Patricia.Petrella@ams.usda.gov. 

SUPPLEMENTARY INFORMATION: This 

proposed rule is issued pursuant to the 

Commodity Promotion, Research and 

Information Act of 1996 (1996 Act) 

(7 U.S.C. 7411–7425). 

Executive Order 12866 and Executive 

Order 13563 

Executive Orders 12866 and 13563 

direct agencies to assess all costs and 

benefits of available regulatory 

alternatives and, if regulation is 

necessary, to select regulatory 

approaches that maximize net benefits 

(including potential economic, 

environmental, public health and safety 

effects, distributive impacts, and 

equity). Executive Order 13563 

emphasizes the importance of 

quantifying both costs and benefits, of 

reducing costs, of harmonizing rules, 

and of promoting flexibility. This action 

has been designated as ‘‘non-significant 

regulatory action’’ under section 3(f) of 

Executive Order 12866. Accordingly, 

OMB has waived the review process. 

Executive Order 13175 

This action has been reviewed in 

accordance with the requirements of 

Executive Order 13175, Consultation 

and Coordination with Indian Tribal 

Governments. The review reveals that 

this regulation would not have 

substantial and direct effects on Tribal 

governments and would not have 

significant Tribal implications. 

Executive Order 12988 

This proposed 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 


emcdonald on DSK67QTVN1PROD with PROPOSALS
67980 Federal Register / Vol. 78, No. 219 / Wednesday, November 13, 2013 / Proposed Rules 

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 proposed rule invites comments 

on procedures for conducting a 

referendum to determine whether 

manufacturers of hardwood lumber and 

hardwood plywood favor issuance of a 

proposed hardwood lumber and 

plywood Order. Hardwood lumber and 

hardwood plywood are used in products 

like flooring, furniture, moldings, doors, 

and kitchen cabinets. USDA would 

conduct the referendum. The program 

would be implemented if it is approved 

by a majority of the volume of covered 

hardwood lumber and hardwood 

plywood represented in the referendum 

by those who, during a representative 

period determined by the Secretary, 

were engaged in the manufacturing of 

covered hardwood lumber. Covered 

hardwood is defined in this proposed 

rule and includes hardwood lumber, 

hardwood lumber products, hardwood 

value-added lumber products, and 

hardwood plywood. The procedures 

would also be used for any subsequent 

referendum under the Order. The 

proposed Order is being published 

separately in this issue of the Federal 

Register. This proposal also announces 

AMS’s intent to request approval by the 

OMB of new information collection 

requirements to implement the program. 

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 hardwood 

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 hardwood lumber from the 

Blue Ribbon Committee (BRC). The BRC 

is a committee of 14 industry leaders 

that manufacture covered hardwood 

lumber. Hardwood lumber and 

hardwood plywood are used in products 

like flooring, furniture, moldings, doors, 

and kitchen cabinets. The program 

would be financed by an assessment on 

hardwood lumber and hardwood 

plywood manufacturers and would be 

administered by a board of industry 

members selected by the Secretary of 

Agriculture (Secretary). The initial 

assessment rate would be: (1) $1.00 per 

$1,000 in sales of hardwood lumber and 

hardwood lumber products; (2) $.75 per 

$1,000 in sales of hardwood lumber 

value added products; and (3) $3.00 per 

$1,000 in sales of hardwood plywood. 

These assessments should generate 

about $10 million annually. The 

program would exempt those hardwood 

lumber manufacturers with annual sales 

of less than $2 million and hardwood 

plywood manufacturers with annual 

sales of less than $10 million. Exports 

from the United States would also be 

exempt from assessments. The purpose 

of the program would be to strengthen 

the position of hardwood lumber and 

hardwood plywood in the marketplace, 

maintain and expand markets for 

hardwood lumber and plywood. 

The BRC proposed that a referendum 

be held among eligible manufacturers to 

determine whether they favor 

implementation of the program prior to 

it going into effect. The BRC 

recommended that the program would 

be implemented if it is approved by a 

majority of the volume of covered 

hardwood lumber represented in the 

referendum by those who, during a 

representative period determined by the 

Secretary, were engaged in the 

manufacturing of covered hardwood 

lumber. Hardwood lumber 

manufacturers with annual sales of $2 

million or more and hardwood plywood 

manufacturers with annual sales of $10 

million or more annually would be 

eligible to vote in the referendum. 

Accordingly, this rule would add 

subpart B to part 1211 that would 

establish procedures for conducting the 

referendum. The procedures would 

cover definitions, voting instructions, 

use of subagents, ballots, the 

referendum report, and confidentiality 

of information. The procedures would 

be applicable for the initial referendum 

and future referenda. 

Initial 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 the proposed 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 

(manufacturers) as those having annual 

receipts of no more than $7.0 million. 

According to information submitted 

by the proponents, it is estimated that 

there are 2,804 hardwood lumber 

manufacturers and 36 hardwood 

plywood manufacturers in the United 

States annually. This number represents 

separate business entities and includes 

exempted and assessed entities under 

the Order; one business entity may 

include multiple sawmills. It is 

estimated that 85 to 90 percent of the 

manufacturers are small businesses. 

Regarding the economic impact of the 

proposed Order on affected entities, 

hardwood lumber domestic 

manufacturers and hardwood plywood 

manufacturers would be required to pay 

assessments to the Board. As previously 

mentioned, the initial assessment rate 

would be: (1) $1.00 per $1,000 in sales 

of hardwood lumber and hardwood 


emcdonald on DSK67QTVN1PROD with PROPOSALS
Federal Register / Vol. 78, No. 219 / Wednesday, November 13, 2013 / Proposed Rules 67981 

1Ward, Ronald, Commodity Checkoff Programs 

and Generic Advertising Choices, 2nd Quarter 2006, 

21(2). 

lumber products; (2) $.75 per $1,000 in 

sales of hardwood lumber value added 

products; and (3) $3.00 per $1,000 in 

sales of hardwood plywood. The 

percentage of revenue represented by 

the assessment rate would be 0.01 

percent for sales of hardwood lumber 

and hardwood lumber products, 0.0075 

percent for sales of hardwood lumber 

value added products, and 0.03 percent 

for sales of hardwood plywood. Thus, 

the percentage revenue represented by 

the assessment rate would be well under 

one percent of sales. Any change in the 

assessment rate may be changed only 

upon approval of the Board and only 

after the Secretary has conducted notice 

and comment rulemaking. 

The Order would provide for an 

exemption for hardwood lumber, 

products, value-added products 

manufacturers for the U.S. market with 

annual sales less than $2 million of any 

assessed product combined during a 

fiscal year. In addition, hardwood 

plywood manufacturers with annual 

sales of less than $10 million during a 

fiscal year are exempt from paying 

assessments. 

Regarding the impact on the industry 

as a whole, the proposed program is 

expected to grow markets for hardwood 

lumber and plywood by increasing the 

market share in residential, commercial 

and industrial product areas. While the 

benefits of the proposed program are 

difficult to quantify, the benefits are 

expected to outweigh the program’s 

costs of approximately $10 million per 

year, which is less than one percent of 

sales. 

Academic researchers have estimated 

benefit-to-cost ratios for promotion 

programs across a broad range of 

commodities in the range of 4:1 to 6:1, 

indicating that for each dollar of 

promotion at least 4 to 6 times that 

amount is generated in new revenues, 

profit, or ‘‘economic surplus’’ to the 

industry.1

This proposed rule invites comments 

on procedures for conducting a 

referendum to determine whether 

hardwood lumber and hardwood 

plywood manufacturers favor issuance 

of a proposed hardwood lumber and 

hardwood plywood Order. Hardwood 

lumber and hardwood plywood are used 

in products like flooring, furniture, 

moldings, doors and kitchen cabinets. 

USDA would conduct the referendum. 

The program would be implemented if 

it is approved by a majority of the 

volume of covered hardwood lumber 

represented in the referendum by those 

who, during a representative period 

determined by the Secretary, were 

engaged in the manufacturing of 

covered hardwood lumber. The 

procedures would 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 

hardwood lumber and hardwood 

plywood manufacturers would have the 

opportunity to participate in the 

referendum. The Order would provide 

for an exemption for hardwood lumber, 

products, value-added products 

manufacturers for the U.S. market with 

annual sales less than $2 million of any 

assessed product combined during a 

fiscal year. In addition, hardwood 

plywood manufacturers with annual 

sales of less than $10 million during a 

fiscal year are exempt from paying 

assessments. Exempt manufacturers 

would not be eligible to participate in 

the referendum. It is estimated that 

1,340 hardwood lumber manufacturers 

and 10 hardwood plywood 

manufacturers would pay assessments 

under the Order and thus be eligible to 

vote in the referendum. Voting in the 

referendum is optional. If hardwood 

lumber and hardwood plywood 

manufacturers 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 would be 

more cost effective and reliable. USDA 

would provide easy access to 

information for potential voters through 

a toll free telephone line. 

This action would impose an 

additional reporting burden on eligible 

hardwood lumber and hardwood 

plywood manufacturers. Eligible 

manufacturers would 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 

would 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 would 

also publicize information regarding the 

referendum process so that trade 

associations and related industry media 

can be kept informed. 

USDA has performed this initial RFA 

analysis regarding the impact of this 

proposed rule on small businesses. 

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. 

Title: Hardwood Lumber and 

Hardwood Plywood Promotion, 

Research and Information Program 

(Referendum Ballot). 

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 hardwood lumber and 

hardwood plywood. The program would 

be financed by an assessment on 

hardwood lumber and hardwood 

plywood manufacturers. The program 

would exempt those hardwood lumber 

manufacturers with annual sales of less 

than $2 million and hardwood plywood 

manufacturers with annual sales of less 

than $10 million. Exports from the 

United States would also be exempt 

from assessments. A referendum would 

be held among eligible manufacturers to 

determine whether they favor 

implementation of the program prior to 

it going into effect. The purpose of the 

program would be to strengthen the 

position of hardwood lumber and 

hardwood plywood in the marketplace, 


emcdonald on DSK67QTVN1PROD with PROPOSALS
67982 Federal Register / Vol. 78, No. 219 / Wednesday, November 13, 2013 / Proposed Rules 

maintain and expand markets for 

hardwood lumber and plywood. 

The information collection 

requirements in this proposed rule 

concern the referendum that would be 

held to determine whether the program 

is favored by the industry. Hardwood 

lumber manufacturers with annual sales 

of $2 million or more and hardwood 

plywood manufacturers with annual 

sales of $10 million or more annually 

would be eligible to vote in the 

referendum. The ballot would be 

completed by eligible manufacturers 

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: Hardwood lumber and 

hardwood plywood manufacturers. 

Estimated Number of Respondents: 

1350 (1340 hardwood lumber 

manufacturers and 10 hardwood 

plywood manufacturers). 

Estimated Number of Responses per 

Respondent: 1 every 5 years (0.2). 

Estimated Total Annual Burden on 

Respondents: 67.50 hours. 

The ballot would be added to the 

other information collections approved 

under OMB No. 0581–NEW. 

An estimated 1350 respondents 

would provide information to the Board 

(1340 hardwood lumber manufacturers 

and 10 hardwood plywood 

manufacturers). The estimated cost of 

providing the information to the Board 

by respondents would be $2,227.50. 

This total has been estimated by 

multiplying 67.50 total hours required 

for reporting and recordkeeping by $38, 

the average mean hourly earnings of 

various occupations involved in keeping 

this information. Data for computation 

of this hourly wage were obtained from 

the U.S. Department of Labor, Bureau of 

Labor Statistics, publication, ‘‘May 2011 

National Occupational Employment and 

Wage Estimates in the United States’’, 

updated March 29, 2012. 

The proposed Order’s provisions have 

been carefully reviewed, and every 

effort has been made to minimize any 

unnecessary recordkeeping costs or 

requirements. 

Request for Public Comment Under the 

Paperwork Reduction Act 

Comments are invited 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 hardwood lumber and 

hardwood plywood lumber; (d) the 

accuracy of USDA’s estimate of the 

number of hardwood lumber and 

hardwood plywood manufacturers 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. 

Comments concerning the 

information collection requirements 

contained in this action should 

reference OMB No. 0581–NEW. In 

addition, the document number, date, 

and page number of this issue of the 

Federal Register also should be 

referenced. Comments should be sent to 

the same addresses referenced in the 

ADDRESSES section of this proposed rule. 

A 60-day comment period is provided 

to allow interested persons to comment 

on this proposed information collection. 

All written comments received will be 

summarized and included in the request 

for OMB approval. All comments will 

also become a matter of public record. 

List of Subjects in 7 CFR Part 1211 

Administrative practice and 

procedure, Advertising, Consumer 

information, Marketing agreements, 

Hardwood lumber, Hardwood plywood, 

Promotion, Reporting and 

recordkeeping requirements. 

For the reasons set forth in the 

preamble, it is proposed that Title 7, 

Chapter XI of the Code of Federal 

Regulations, as proposed to be amended 

elsewhere in this issue of the Federal 

Register, be further amended as follows: 

PART 1211—HARDWOOD LUMBER 

AND HARDWOOD PLYWOOD 

PROMOTION, RESEARCH AND 

INFORMATION ORDER 

■ 1. The authority citation for part 1211 

continues to read as follows: 

Authority: 7 U.S.C. 7411–7425; 7 U.S.C. 

7401. 

■ 2. Subpart B of 7 CFR part 1211 is 

added to read as follows: 

Subpart B—Referendum Procedures 

Sec. 

1211.100 General. 

1211.101 Definitions. 

1211.102 Voting. 

1211.103 Instructions. 

1211.104 Subagents. 

1211.105 Ballots. 

1211.106 Referendum report. 

1211.107 Confidential information. 

1211.108 OMB Control number. 

Subpart B—Referendum Procedures 

§ 1211.100 General. 

Referenda to determine whether 

eligible hardwood lumber and 

hardwood plywood manufacturers favor 

the issuance, continuance, amendment, 

suspension, or termination of the 

Hardwood Lumber and Hardwood 

Plywood Promotion, Research and 

Information Order shall be conducted in 

accordance with this subpart. 

§ 1211.101 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) 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. 

(c) Covered hardwood means 

hardwood lumber, hardwood lumber 

products, hardwood value-added 

lumber products, and hardwood 

plywood to which an assessment has 

been or may be levied pursuant to the 

Order. 

(d) Eligible hardwood lumber and 

hardwood plywood manufacturer means 

any current hardwood lumber 

manufacturer with annual sales of $2 

million or more and current hardwood 

plywood manufacturers with annual 

sales of $10 million or more in the 

United States during the representative 

period. 

(e) Hardwood lumber means timber 

from the wood of a cypress tree or a 

deciduous, broad-leafed tree (including 

but not limited to aspen, birch, cypress, 

poplar, maple, cherry, walnut, and oak) 

that has been sawn into boards or blocks 

by a sawmill in the United States. 

(f) Hardwood plywood means a panel 

product, the decorative face of which is 

made from hardwood veneer intended 

for interior use composed of an 

assembly of layers or plies of veneer or 

veneers in combination with lumber 

core, particleboard, medium density 


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Federal Register / Vol. 78, No. 219 / Wednesday, November 13, 2013 / Proposed Rules 67983 

fiberboard core, hardboard core, or 

special core or special back material 

joined with an adhesive. 

(g) Manufacturing means the process 

of transforming logs into hardwood 

lumber, or the process of creating 

hardwood lumber products, valueadded hardwood lumber products, or 

hardwood plywood. 

(h) Order means the Hardwood 

Lumber Promotion, Research and 

Information Order. 

(i) 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 spouse who has title to, or 

leasehold interest in, a hardwood 

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 

manufacturing of covered hardwood 

lumber and the authority to transfer title 

to the hardwood lumber so 

manufactured. 

(j) Referendum agent or agent means 

the individual or individuals designated 

by the Secretary to conduct the 

referendum. 

(k) Representative period means the 

period designated by the Department. 

(l) 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. 

§ 1211.102 Voting. 

(a) Each eligible manufacturer of 

covered hardwood lumber shall be 

entitled to cast only one ballot in the 

referendum. However, each 

manufacturer in a landlord/tenant 

relationship or a divided ownership 

arrangement involving totally 

independent entities cooperating only to 

manufacture covered hardwood lumber, 

in which more than one of the parties 

is a manufacturer, shall be entitled to 

cast one ballot in the referendum 

covering only such manufacturer’s share 

of ownership. 

(b) Proxy voting is not authorized, but 

an officer or employee of an eligible 

corporate manufacturer, 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 manufactures 

covered hardwood 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. 

§ 1211.103 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 manufacturers 

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. 

§ 1211.104 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. 

§ 1211.105 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. 

§ 1211.106 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. 

§ 1211.107 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. 

§ 1211.108 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: November 6, 2013. 

Rex A. Barnes, 

Associate Administrator. 

[FR Doc. 2013–27107 Filed 11–12–13; 8:45 am] 

BILLING CODE 3410–02–P 

DEPARTMENT OF TRANSPORTATION 

Federal Aviation Administration 

14 CFR Part 121 

[Docket No. FAA–2013–0944] 

Proposed Legal Interpretation 

AGENCY: Federal Aviation 

Administration (FAA) 

ACTION: Proposed legal interpretation. 


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