Federal Register / Vol. 65, No. 12 / Wednesday, January 19, 2000 / Rules and Regulations 2841

meeting was a public meeting and all

entities, both large and small, were able

to express views on this issue. Finally,

interested persons are invited to submit

information on the regulatory and

informational impacts of this action on

small businesses.

This action imposes no additional

reporting or recordkeeping requirements

on California olive handlers. As with all

Federal marketing order programs,

reports and forms are periodically

reviewed to reduce information

requirements and duplication by

industry and public sector agencies.

The Department has not identified

any relevant Federal rules that

duplicate, overlap, or conflict with this

rule.

A small business guide on complying

with fruit, vegetable, and specialty crop

marketing agreements and orders may

be viewed at the following web site:

http://www.ams.usda.gov/fv/

moab.html. Any questions about the

compliance guide should be sent to Jay

Guerber at the previously mentioned

address in the FOR FURTHER INFORMATION

CONTACT section.

After consideration of all relevant

material presented, including the

information and recommendation

submitted by the Committee and other

available information, it is hereby found

that this rule, as hereinafter set forth,

will tend to effectuate the declared

policy of the Act.

Pursuant to 5 U.S.C. 553, it is also

found and determined upon good cause

that it is impracticable, unnecessary,

and contrary to the public interest to

give preliminary notice prior to putting

this rule into effect, and that good cause

exists for not postponing the effective

date of this rule until 30 days after

publication in the Federal Register

because: (1) Fiscal year 2000 begins on

January 1, 2000, and the marketing

order requires that the rate of

assessment for each fiscal year apply to

all assessable olives handled during

such fiscal year; (2) this action decreases

the assessment rate for assessable olives

beginning with the 2000 fiscal year; (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; and (4) this interim

final rule provides a 60-day comment

period, and all comments timely

received will be considered prior to

finalization of this rule.

List of Subjects in 7 CFR Part 932

Marketing agreements, Olives,

Reporting and recordkeeping

requirements.

For the reasons set forth in the

preamble, 7 CFR part 932 is amended as

follows:

PART 932—OLIVES GROWN IN

CALIFORNIA

1. The authority citation for 7 CFR

part 932 continues to read as follows:

Authority: 7 U.S.C. 601–674.

2. Section 932.230 is revised to read

as follows:

§ 932.230 Assessment rate.

On and after January 1, 2000, an

assessment rate of $21.73 per ton is

established for California olives.

Dated: January 12, 2000.

Robert C. Keeney,

Deputy Administrator, Fruit and Vegetable

Programs.

[FR Doc. 00–1221 Filed 1–18–00; 8:45 am]

BILLING CODE 3410–02–P

DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 982

[Docket No. FV00–982–1 IFR]

Hazelnuts Grown in Oregon and

Washington; Establishment of Interim

and Final Free and Restricted

Percentages for the 1999–2000

Marketing Year

AGENCY: Agricultural Marketing Service,

USDA.

ACTION: Interim final rule with request

for comments.

SUMMARY: This rule establishes interim

and final free and restricted percentages

for domestic inshell hazelnuts for the

1999–2000 marketing year under the

Federal marketing order for hazelnuts

grown in Oregon and Washington. The

percentages allocate the quantity of

domestically produced hazelnuts which

may be marketed in the domestic inshell

market. The percentages are intended to

stabilize the supply of domestic inshell

hazelnuts to meet the limited domestic

demand for such hazelnuts and provide

reasonable returns to producers. This

rule was recommended unanimously by

the Hazelnut Marketing Board (Board),

which is the agency responsible for

local administration of the order.

DATES: Effective Date: This interim final

rule is effective January 20, 2000.

Applicability Date: This interim final

rule applies during the period July 1,

1999, through June 30, 2000. Comments

received by March 20, 2000 will be

considered prior to issuance of a final

rule.

ADDRESSES: Interested persons are

invited to submit written comments

concerning this rule. Comments must be

sent to the Docket Clerk, Fruit and

Vegetable Programs, AMS, USDA, room

2525–S, P.O. Box 96456, Washington,

DC 20090–6456; Fax: (202) 720–5698, or

E-mail: moab.docketclerk@usda.gov. All

comments should reference the docket

number and the date and page number

of this issue of the Federal Register and

will be available for public inspection in

the Office of the Docket Clerk during

regular business hours.

FOR FURTHER INFORMATION CONTACT:

Teresa L. Hutchinson, Northwest

Marketing Field Office, Marketing Order

Administration Branch, Fruit and

Vegetable Programs, AMS, USDA, 1220

SW Third Avenue, room 369, Portland,

OR 97204; telephone: (503) 326–2724,

Fax: (503) 326–7440; or George J.

Kelhart, Technical Advisor, Marketing

Order Administration Branch, Fruit and

Vegetable Programs, AMS, USDA, room

2525–S, P.O. Box 96456, Washington,

DC 20090–6456; telephone: (202) 720–

2491, Fax: (202) 720–5698.

Small businesses may request

information on complying with this

regulation by contacting Jay Guerber,

Marketing Order Administration

Branch, Fruit and Vegetable Programs,

AMS, USDA, P.O. Box 96456, room

2525–S, Washington, DC 20090–6456;

telephone: (202) 720–2491, Fax: (202)

720–5698, or E-mail:

Jay.Guerber@usda.gov.

SUPPLEMENTARY INFORMATION: This rule

is issued under Marketing Agreement

No. 115 and Marketing Order No. 982,

both as amended (7 CFR part 982),

regulating the handling of hazelnuts

grown in Oregon and Washington,

hereinafter referred to as the ‘‘order.’’

The order is effective under the

Agricultural Marketing Agreement Act

of 1937, as amended (7 U.S.C. 601–674),

hereinafter referred to as the ‘‘Act.’’

The Department of Agriculture

(Department) is issuing this rule in

conformance with Executive Order

12866.

This rule has been reviewed under

Executive Order 12988, Civil Justice

Reform. It is intended that this action

apply to all merchantable hazelnuts

handled during the 1999–2000

marketing year (July 1, 1999, through

June 30, 2000). This rule will not

preempt any State or local laws,

regulations, or policies, unless they

present an irreconcilable conflict with

this rule.

The Act provides that administrative

proceedings must be exhausted before

parties may file suit in court. Under

section 608c(15)(A) of the Act, any

2842 Federal Register / Vol. 65, No. 12 / Wednesday, January 19, 2000 / Rules and Regulations

handler subject to an order may file

with the Secretary a petition stating that

the order, any provision of the order, or

any obligation imposed in connection

with the order is not in accordance with

law and request a modification of the

order or to be exempted therefrom. A

handler is afforded the opportunity for

a hearing on the petition. After the

hearing, the Secretary would rule on the

petition. The Act provides that the

district court of the United States in any

district in which the handler is an

inhabitant, or has his or her principal

place of business, has jurisdiction to

review the Secretary’s ruling on the

petition, provided an action is filed not

later than 20 days after the date of the

entry of the ruling.

This rule establishes marketing

percentages which allocate the quantity

of inshell hazelnuts that may be

marketed in domestic markets. The

Board is required to meet prior to

September 20 of each marketing year to

compute its marketing policy for that

year, and compute and announce an

inshell trade demand if it determines

that volume regulations would tend to

effectuate the declared policy of the Act.

The Board also computes and

announces preliminary free and

restricted percentages for that year.

The inshell trade demand is the

amount of inshell hazelnuts that

handlers may ship to the domestic

market throughout the marketing

season. The order specifies that the

inshell trade demand be computed by

averaging the preceding three ‘‘normal’’

years’ trade acquisitions of inshell

hazelnuts, rounded to the nearest whole

number. The Board may increase the

three-year average by up to 25 percent,

if market conditions warrant an

increase. The Board’s authority to

recommend volume regulations and the

computations used to determine the

percentages are specified in § 982.40 of

the order.

The National Agricultural Statistics

Service (NASS) estimated hazelnut

production at 38,000 tons for the Oregon

and Washington area. The majority of

domestic inshell hazelnuts are marketed

in October, November, and December.

By November, the marketing season is

well under way.

The quantity marketed is broken

down into free and restricted

percentages to make available hazelnuts

which may be marketed in domestic

inshell markets (free) and hazelnuts

which must be exported, shelled or

otherwise disposed of by handlers

(restricted). The preliminary free

percentage releases 80 percent of the

adjusted inshell trade demand. The

adjusted inshell trade demand used by

the Board was the average of the past

three years’ sales (4,136 tons), plus an

additional 10 percent for market

development (414 tons), minus the

declared carryin from last year’s crop

(110 tons).

The purpose of releasing only 80

percent of the inshell trade demand

under the preliminary percentage is to

guard against an underestimate of crop

size. The preliminary free percentage is

expressed as a percentage of the total

supply subject to regulation (supply)

and is based on the preliminary crop

estimate.

Based on the NASS crop estimate of

38,000 tons, the Board computed and

announced preliminary free and

restricted percentages of 10 percent and

90 percent, respectively, at its August

31, 1999, meeting. This action initially

released 3,552 tons of hazelnuts from

the 1999 supply for domestic inshell use

as the preliminary free percentage. The

preliminary restricted percentage of the

1999 supply for export and kernel

markets thus initially totaled 31,143

tons.

A special meeting of the Board was

held on October 26, 1999, to increase

the percentage of free product released

for market development from 10 percent

(414 tons) to 20 percent (827 tons)

which is 120 percent of the three-year

average trade acquisitions of inshell

hazelnuts. The Board took this action

because it determined that the demand

for domestic inshell hazelnuts was

greater than previously thought. Based

upon the new adjusted trade demand of

4,854 tons, the Board computed revised

preliminary free and restricted

percentages of 11 percent and 89

percent, respectively. This revised

preliminary free percentage (11 percent)

released 3,883 tons of hazelnuts from

the 1999 supply for domestic inshell use

rather than the initially computed 3,552

tons. The revised preliminary restricted

percentage (89 percent) of the 1999

supply for export and kernel markets

thus totaled 30,720 tons, rather than

31,143 tons.

Under the order, the Board must meet

on or before November 15 to

recommend interim final and final

percentages. The Board uses current

crop estimates to calculate interim final

and final percentages. The interim final

percentages are calculated in the same

way as the preliminary percentages and

release the remaining 20 percent (to

total 100 percent of the inshell trade

demand) previously computed by the

Board. Final free and restricted

percentages may release up to an

additional 15 percent of the average of

the preceding three years’ trade

acquisitions to provide an adequate

carryover into the following season (i.e.,

desirable carryout). The order requires

that the final free and restricted

percentages shall be effective 30 days

prior to the end of the marketing year,

or earlier, if recommended by the Board

and approved by the Secretary.

Revisions in the marketing policy can be

made until February 15 of each

marketing year, but the inshell trade

demand can only be revised upward,

consistent with § 982.40(e).

The Board met on November 15, 1999,

and reviewed and approved an

amended marketing policy and

recommended the establishment of

interim final and final free and

restricted percentages. The interim final

free and restricted percentages were

recommended at 15 percent free and 85

percent restricted. Final percentages,

which included an additional 15

percent of the average of the preceding

three-years’ trade acquisitions for

desirable carryout, were recommended

at 16 percent free and 84 percent

restricted effective March 1, 2000. The

final percentages release 5,474 tons of

inshell hazelnuts from the 1999 supply

for domestic use.

The final marketing percentages are

based on the Board’s final production

estimate (36,548 tons) and the following

supply and demand information for the

1999–2000 marketing year:

Tons

Inshell supply

(1) Total production (Board’s

estimate) ................................ 36,548

(2) Less substandard, farm use

(disappearance) ..................... 3,271

(3) Merchantable production

(Board’s adjusted crop estimate; Item 1 minus Item 2) ... 33,277

(4) Plus undeclared carryin as

of July 1, 1999, subject to

regulation ............................... 4

(5) Supply subject to regulation

(Item 3 plus Item 4 ................ 33,281

Inshell trade demand

(6) Average trade acquisitions

of inshell hazelnuts for three

prior years .............................. 4,136

(7) Increase to encourage increased sales (20 percent of

Item 6) .................................... 827

(8) Less declared carryin as of

July 1, 1999, not subject to

regulation ............................... 109

(9) Adjusted Inshell Trade Demand ...................................... 4,854

(10) Desirable carryout on August 31, 2000 (15 percent of

Item 6) .................................... 620

(11) Adjusted Inshell Trade Demand plus desirable carryout

(Item 9 plus Item 10) ............. 5,474

Federal Register / Vol. 65, No. 12 / Wednesday, January 19, 2000 / Rules and Regulations 2843

Free

Restricted

Percentages:

(12) Interim final percentages (Item 9 divided by

Item 5) .......................... 15 85

(13) Final percentages

(Item 11 divided by

Item 5) x 100 ............... 16 84

In addition to complying with the

provisions of the order, the Board also

considered the Department’s 1982

‘‘Guidelines for Fruit, Vegetable, and

Specialty Crop Marketing Orders’’

(Guidelines) when making its

computations in the marketing policy.

This volume control regulation provides

a method to collectively limit the

supply of inshell hazelnuts available for

sale in domestic markets. The

Guidelines provide that the domestic

inshell market has available a quantity

equal to 110 percent of prior years’

shipments before secondary market

allocations are approved. This provides

for plentiful supplies for consumers and

for market expansion, while retaining

the mechanism for dealing with

oversupply situations. At its October 26

and November 15, 1999, meetings the

Board recommended that an increase of

20 percent (827 tons) for market

expansion be included in the inshell

trade demand which was used to

compute the interim percentages. The

established final percentages are based

on the final inshell trade demand, and

will make available an additional 620

tons for desirable carryout effective

March 1, 2000. The total free supply for

the 1999–2000 marketing year is 4,756

tons of hazelnuts, which is the final

trade demand of 4,136 tons plus the 620

tons for desirable carryout. This amount

is 135 percent of prior years’ sales and

exceeds the goal of the Guidelines.

Pursuant to requirements set forth in

the Regulatory Flexibility Act (RFA), the

Agricultural Marketing Service (AMS)

has considered the economic impact of

this rule on small entities. Accordingly,

the AMS has prepared this initial

regulatory flexibility analysis.

The purpose of the RFA is to fit

regulatory actions to the scale of

business subject to such actions in order

that small businesses will not be unduly

or disproportionately burdened.

Marketing orders issued pursuant to the

Act, and the rules issued thereunder, are

unique in that they are brought about

through group action of essentially

small entities acting on their own

behalf. Thus, both statutes have small

entity orientation and compatibility.

There are approximately 800

producers of hazelnuts in the

production area and approximately 22

handlers subject to regulation under the

order. Small agricultural producers have

been defined by the Small Business

Administration (13 CFR 121.601) as

those having annual receipts of less than

$500,000, and small agricultural service

firms are defined as those whose annual

receipts are less than $5,000,000. Using

these criteria, virtually all of the

producers are small agricultural

producers and an estimated 19 of the 22

handlers are small agricultural service

firms. In view of the foregoing, it can be

concluded that the majority of hazelnut

producers and handlers may be

classified as small entities.

Board meetings are widely publicized

in advance of the meetings and are held

in a location central to the production

area. The meetings are open to all

industry members and other interested

persons who are encouraged to

participate in the deliberations and

voice their opinions on topics under

discussion. Thus, Board

recommendations can be considered to

represent the interests of small business

entities in the industry.

Many years of marketing experience

led to the development of the current

volume control procedures. These

procedures have helped the industry

solve its marketing problems by keeping

inshell supplies in balance with

domestic needs. The current volume

control procedures fully supply the

domestic inshell market while

preventing oversupplies in that market.

Inshell hazelnuts sold to the domestic

market provide higher returns to the

industry than are obtained from

shelling. The inshell market is inelastic

and is characterized as having limited

demand and being prone to oversupply.

Industry statistics show that total

hazelnut production has varied widely

over the last 10 years, from a low of

13,000 tons in 1989 to a high of 47,000

tons in 1997. Average production has

been around 27,000 tons. While crop

size has fluctuated, the volume

regulations contribute toward orderly

marketing and market stability, and help

moderate the variation in returns for all

producers and handlers, both large and

small. For instance, production in the

shortest crop year (1989) was 48 percent

of the 10-year average (1989–1998).

Production in the biggest crop year

(1997) was 173 percent of the 10-year

average. The percentage releases

provide all handlers with the

opportunity to benefit from the most

profitable domestic inshell market. That

market is available to all handlers,

regardless of handler size.

NASS statistics show that the

producer price per pound has increased

over the last 5 years, from $.32 in 1993

to $.49 in 1998.

The Board discussed not regulating.

However, without any regulations in

effect, the Board believes that the

industry would oversupply the inshell

domestic market.

While the level of benefits of this

rulemaking is difficult to quantify, the

stabilizing effects of the volume

regulations impact both small and large

handlers positively by helping them

maintain and expand markets even

though hazelnut supplies fluctuate

widely from season to season.

Hazelnuts produced under the order

comprise virtually all of the hazelnuts

produced in the United States. This

production represents, on average, less

than 5 percent of total U.S. tree nut

production, and less than 5 percent of

the world’s hazelnut production.

This volume control regulation

provides a method for the U.S. hazelnut

industry to limit the supply of domestic

inshell hazelnuts available for sale in

the United States. Section 982.40 of the

order establishes a procedure and

computations for the Board to follow in

recommending to the Secretary release

of preliminary, interim final, and final

quantities of hazelnuts to be released to

the free and restricted markets each

marketing year. The program results in

plentiful supplies for consumers and for

market expansion while retaining the

mechanism for dealing with oversupply

situations.

Currently, U.S. hazelnut production

can be successfully allocated between

the inshell domestic and secondary

markets. One of the best secondary

markets for hazelnuts is the export

market. Inshell hazelnuts produced

under the marketing order compete well

in export markets because of quality.

Europe, and Germany in particular, is

historically the primary world market

for U.S. produced inshell hazelnuts. A

third market is for shelled hazelnuts

(kernels) sold domestically.

Domestically produced kernels

generally command a higher price in the

domestic market than imported kernels.

The industry is continuing its efforts to

develop and expand secondary markets,

especially the domestic kernel market.

Small business entities, both producers

and handlers, benefit from the

expansion efforts resulting from this

program.

There are some reporting,

recordkeeping, and other compliance

requirements under the order. The

reporting and recordkeeping burdens

are necessary for compliance purposes

and for developing statistical data for

maintenance of the program. The

information collection requirements

2844 Federal Register / Vol. 65, No. 12 / Wednesday, January 19, 2000 / Rules and Regulations

have been previously approved by the

Office of Management and Budget under

OMB No. 0581–0178. The forms require

information which is readily available

from handler records and which can be

provided without data processing

equipment or trained statistical staff. As

with other marketing order programs,

reports and forms are periodically

reviewed to reduce or eliminate

duplicate information collection

burdens by industry and public sector

agencies. This interim final rule does

not change those requirements. In

addition, the Department has not

identified any relevant Federal rules

that duplicate, overlap or conflict with

this regulation.

Further, the Board’s meeting was

widely publicized throughout the

hazelnut industry and all interested

persons were invited to attend the

meeting and participate in Board

deliberations. Like all Board meetings,

the November 15, 1999, meeting was a

public meeting and all entities, both

large and small, were able to express

their views on this issue. The Board

itself is composed of 10 members, of

which 4 are handlers, 5 are producers,

and one is a public member. Finally,

interested persons are invited to submit

information on the regulatory and

informational impacts of this action on

small businesses.

A small business guide on complying

with fruit, vegetable, and specialty crop

marketing agreements and orders may

be viewed at the following website:

http://www.ams.usda.gov/fv/

moab.html. Any questions about the

compliance guide should be sent to Jay

Guerber at the previously mentioned

address in the FOR FURTHER INFORMATION

CONTACT section.

After consideration of all relevant

material presented, including the

Board’s recommendation, and other

information, it is found that this interim

final rule, as hereinafter set forth, will

tend to effectuate the declared policy of

the Act.

Any comments received will be

considered prior to finalization of this

rule.

Pursuant to 5 U.S.C. 553, it is also

found and determined, upon good

cause, that it is impracticable,

unnecessary, and contrary to the public

interest to give preliminary notice prior

to putting this rule into effect, and that

good cause exists for not postponing the

effective date of this action until 30 days

after publication in the Federal Register

because: (1) The 1999–2000 marketing

year began July 1, 1999, and the

percentages established herein apply to

all merchantable hazelnuts handled

from the beginning of the crop year; (2)

handlers are aware of this rule, which

was recommended at an open Board

meeting, and need no additional time to

comply with this rule; and (3) interested

persons are provided a 60-day comment

period in which to respond, and all

comments timely received will be

considered prior to finalization of this

action.

List of Subjects in 7 CFR Part 982

Filberts, Hazelnuts, Marketing

agreements, Nuts, Reporting and

recordkeeping requirements.

For the reasons set forth in the

preamble, 7 CFR Part 982 is amended as

follows:

PART 982—HAZELNUTS GROWN IN

OREGON AND WASHINGTON

1. The authority citation for 7 CFR

part 982 continues to read as follows:

Authority: 7 U.S.C. 601–674.

2. Section 982.247 is added to read as

follows:

NOTE: This section will not be published in

the annual Code of Federal Regulations.

§ 982.247 Free and restricted

percentages—1999–2000 marketing year.

(a) The interim final free and

restricted percentages for merchantable

hazelnuts for the 1999–2000 marketing

year shall be 15 and 85 percent,

respectively.

(b) On March 1, 2000, the final free

and restricted percentages for

merchantable hazelnuts for the 1999–

2000 marketing year shall be 16 and 84

percent, respectively.

Dated: January 12, 2000.

Robert C. Keeney,

Deputy Administrator, Fruit and Vegetable

Programs.

[FR Doc. 00–1223 Filed 1–18–00; 8:45 am]

BILLING CODE 3410–02–P

DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 1220

[No. LS–99–17]

Soybean Promotion and Research: the

Procedures To Request a Referendum;

Correction

AGENCY: Agricultural Marketing Service,

USDA.

ACTION: Final rule; correction of

effective date.

SUMMARY: This document corrects the

effective date of the correction

published in the Federal Register on

January 3, 2000. The effective date is

being changed from January 3, 2000, to

December 30, 1999, to permit the

corrected subpart F, Procedures to

Request a Referendum, to be published

in the 2000 issue of the Code of Federal

Regulations.

DATES: The effective date of the January

3, 2000 rule is corrected to December

30, 1999.

FOR FURTHER INFORMATION CONTACT:

Ralph L. Tapp, Chief, Marketing

Programs Branch, Livestock and Seed

program, (202) 720–1115.

SUPPLEMENTARY INFORMATION: The

Department of Agriculture (Department)

published a correction in the Federal

Register on January 3, 2000 (65 FR 1),

redesignating section numbers to a final

rule published in the Federal Register

on August 20, 1999 (64 FR 45413),

which established the procedures for a

Request for Referendum pursuant to the

Soybean Promotion, Research, and

Consumer Information Act (7 U.S.C.

6301–6311) and the Soybean Promotion

and Research Order (7 CFR part 1220).

The substance of the January 3, 2000,

correction requires no change. However,

the effective date of the correction is

being changed to December 30, 1999, to

enable those changes to appear in the

2000 issue of the Code of Federal

Regulations.

Correction

In the Federal Register issue of

January 3, 2000 (65 FR 1), make the

following correction. On page 1, in the

first column, under the caption

EFFECTIVE DATE correct the date to read:

‘‘December 30, 1999.’’

January 12, 2000

Barry L. Carpenter,

Deputy Administrator, Livestock and Seed

Program.

[FR Doc. 00–1224 Filed 1–18–00; 8:45 am]

BILLING CODE 3410–02–M

DEPARTMENT OF TRANSPORTATION

Federal Aviation Administration

14 CFR Part 39

[Docket No. 97–CE–67–AD; Amendment 39–

11514; AD 2000–01–16]

RIN 2120–AA64

Airworthiness Directives; Cessna

Aircraft Company 300 and 400 Series

Airplanes

AGENCY: Federal Aviation

Administration, DOT.

ACTION: Final rule; request for

comments.