Federal Register / Vol. 71, No. 184 / Friday, September 22, 2006 / Proposed Rules 55367 

TABLE I.—INTERNAL DEFECTS—Continued 

Defects Damage 

maximum allowed 

Serious damage 

maximum allowed 

Internal Black Spot ............................................. When the spot(s) are darker than the official 

color chip (POT–CC–2) after removing 5 

percent of the total weight of the potato. 

When the spot(s) are darker than the official 

color chip (POT–CC–2) after removing 10 

percent of the total weight of the potato. 

Occurring entirely within the vascular ring 

Hollow Heart or Hollow Heart with Discoloration. Area affected not to exceed that of a circle 1⁄2

inch in diameter in a potato 21⁄2 inches in 

diameter or 6 ounces in weight.1

Area affected not to exceed that of a circle 3⁄4

inch in diameter in a potato 21⁄2 inches in 

diameter or 6 ounces in weight.1

Light Brown Discoloration (Brown Center). Area affected not to exceed that of a circle 1⁄2

inch in diameter in a potato 21⁄2 inches in 

diameter or 6 ounces in weight.1

Area affected not to exceed that of a circle 3⁄4

inch in diameter in a potato 21⁄2 inches in 

diameter or 6 ounces in weight.1

Internal Brown Spot and Similar Discoloration 

(Heat Necrosis). 

Not more than the equivalent of 3 scattered 

spots 1⁄8 inch in diameter in a potato 21⁄2

inches in diameter or 6 ounces in weight.1

Not more than the equivalent of 6 scattered 

spots 1⁄8 inch in diameter in a potato 21⁄2

inches in diameter or 6 ounces in weight.1

1 Note: Correspondingly lesser or greater areas in smaller or larger potatoes. 

Dated: September 14, 2006. 

Lloyd C. Day, 

Administrator, Agricultural Marketing 

Service. 

[FR Doc. 06–7819 Filed 9–21–06; 8:45 am] 

BILLING CODE 3410–02–M 

DEPARTMENT OF AGRICULTURE 

Agricultural Marketing Service 

7 CFR Part 51 

[Docket Number FV–06–304] 

United States Standards for Grades of 

Table Grapes (European or Vinifera 

Type) 

AGENCY: Agricultural Marketing Service, 

USDA. 

ACTION: Proposed rule. 

SUMMARY: The Agricultural Marketing 

Service (AMS) of the Department of 

Agriculture (USDA), is proposing a 

revision to the voluntary United States 

Standards for Grades of Table Grapes 

(European or Vinifera Type). Two 

industry associations requested the 

standards be modified by adding a 10 

percent allowance for shattered grapes 

in consumer containers for shipment 

that are en route or at destination. The 

standards provide industry with a 

common language and a uniform basis 

for trading, thus promoting the orderly 

and efficient marketing of European or 

Vinifera Type table grapes. 

DATES: Comments must be received by 

November 21, 2006. 

ADDRESSES: Interested persons are 

invited to submit written comments to 

the Standardization Section, Fresh 

Products Branch, Fruit and Vegetable 

Programs, Agricultural Marketing 

Service, U.S. Department of Agriculture, 

1400 Independence Ave., SW., Room 

1661 South Building, Stop 0240, 

Washington, DC 20250–0240; fax (202) 

720–8871; e-mail 

FPB.DocketClerk@usda.gov. Comments 

should make reference to the dates and 

page number of this issue of the Federal 

Register and will be made available for 

public inspection in the above office 

during regular business hours. The 

United States Standards for Grades of 

Table Grapes (European or Vinifera 

Type) are available either through the 

address cited above or by accessing the 

AMS, Fresh Products Branch Web site 

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

fpbcheck.htm. 

FOR FURTHER INFORMATION CONTACT: 

Cheri L. Emery, at the above address, 

telephone number (202) 720–2185, or email address Cheri.Emery@usda.gov. 

SUPPLEMENTARY INFORMATION: Section 

203(c) of the Agricultural Marketing Act 

of 1946 (7 U.S.C. 1621–1627), as 

amended, directs and authorizes the 

Secretary of Agriculture ‘‘To develop 

and improve standards of quality, 

condition, quantity, grade and 

packaging and recommend and 

demonstrate such standards in order to 

encourage uniformity and consistency 

in commercial practices.’’ AMS is 

committed to carrying out this authority 

in a manner that facilitates the 

marketing of agricultural commodities 

and makes copies of official standards 

available upon request. 

Executive Order 12866 and 12988 

The Office of Management and Budget 

has waived the review process required 

by Executive Order 12866 for this 

action. This rule has been reviewed 

under Executive Order 12988, Civil 

Justice Reform. This action is not 

intended to have retroactive effect. This 

rule will not preempt any State or local 

laws, regulations, or policies, unless 

they present an irreconcilable conflict 

with this rule. There are no 

administrative procedures which must 

be exhausted prior to any judicial 

challenge to the provisions of the rule. 

Regulatory Flexibility Act and 

Paperwork Reduction Act 

Pursuant to the requirements set forth 

in the Regulatory Flexibility Act (RFA), 

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 in 

order that small businesses will not be 

unduly or disproportionately burdened. 

Accordingly, AMS has prepared this 

initial regulatory flexibility analysis. 

Interested parties are invited to submit 

information on the regulatory and 

informational impacts of this action on 

small businesses. Comments also are 

specifically requested on the number 

and size of producers and handlers of 

table grapes in United States. 

This rule will revise the U.S. 

Standards for Grades of Table Grapes 

(European or Vinifera Type) that were 

issued under the Agricultural Marketing 

Act of 1946. Standards issued under the 

1946 Act are voluntary. 

According to the National 

Agricultural Statistics Service (NASS) 

report of the 2002 Census of 

Agriculture, there are 23,856 grape 

farms in the United States. Using 

additional data from the Noncitrus 

Fruits and Nuts 2005 Summary, total 

fresh utilization of grapes was 995,370 

tons. Furthermore, the price per ton for 

grapes in 2005 was $570.00 and the 

value of grape utilized as fresh was 

$567,523,000. Based on the number of 

farms (23,856), the average producer 

revenue from the sale of fresh grapes is 


jlentini on PROD1PC65 with PROPOSAL
55368 Federal Register / Vol. 71, No. 184 / Friday, September 22, 2006 / Proposed Rules 

estimated at approximately $23,789 per 

year. 

Small agricultural service firms, 

which include handlers, have been 

defined by the Small Business 

Administration (SBA) (13 CFR 121.201) 

as those having annual receipts of less 

than $6,500,000, and small agricultural 

producers are defined as those having 

annual receipts of less than $750,000. 

The number of table grape handlers in 

the United States is not known. 

However, we estimate that the majority 

of such handlers may be classified as 

small entities, reflecting the size of a 

majority of handlers regulated under the 

marketing order 7 CFR part 925. The 

majority of handlers regulated under the 

marketing order is approximately 

twenty. Thus, the majority of fresh grape 

producers and handlers, may be 

classified as small entities. 

The effects of this rule are not 

expected to be disproportionately 

greater or smaller for small handlers or 

producers than for larger entities. 

The use of grading services and 

grading standards is voluntary unless 

required by a specific Act, Federal 

Marketing Order or Agreement, or other 

regulations governing domestic, import 

or export shipments. 

USDA has not identified any Federal 

rules that duplicate, overlap, or conflict 

with this rule. There is a marketing 

order program which regulates the 

handling of European or Vinifera type 

table grapes under 7 CFR part 925. 

Further, Section 8e of the Agricultural 

Marketing Agreement Act of 1937 

requires, whenever the Secretary of 

Agriculture issues grade, size, quality or 

maturity regulations under domestic 

marketing orders for certain specified 

commodities, the same or comparable 

regulations on imports of those 

commodities be issued. The revision 

being proposed in this action only 

affects shattered berries in consumer 

size containers en route or at 

destination. As such, the proposed 

action would not affect table grapes 

under the marketing order or under 

Section 8e of the Agricultural Marketing 

Agreement Act of 1937. 

This proposed change would modify 

the standard by adding a 10 percent 

allowance for shattered grapes in 

shipments that are en route or at 

destination and will make the standards 

more consistent and uniform with 

marketing trends and commodity 

characteristics. This proposed action 

will not impose any additional reporting 

or recordkeeping requirements on either 

small or large grape producers, 

handlers, or importers. 

Alternatives were considered for this 

action. One alternative would be to not 

issue a proposed rule. However, the 

need for revisions have increased as a 

result of changing marketing 

characteristics by industry, and the 

proposal is the result of a request by 

industry. Further, the purpose of these 

standards is to facilitate the marketing 

of agricultural commodities. 

Background 

AMS received petitions from the 

California Grape and Tree Fruit League 

and Western Growers Association, 

requesting a revision to the United 

States Standards for Grades of Table 

Grapes (European or Vinifera Type) to 

add an additional 10 percent allowance 

for shattered grapes in consumer 

containers for shipments that are en 

route or at destination. The standards 

currently provide in section 51.886, 

Table II Tolerances En Route or at 

Destination, a 12 percent total tolerance 

for bunches and berries failing to meet 

the requirements of grade for en route or 

at destination. Revising section 51.886, 

Table II by adding 10 percent allowance 

for shattered would mean that shattered 

berries would not be scored as a defect 

against the 12 percent total tolerance 

until the amount of shattered berries 

exceeds the 10 percent allowance. For 

example, if a lot of berries has 22 

percent shattered berries, 12 percent 

would be reported as a defect and the 

lot would meet the requirements of the 

U.S. No. 1 Table grade provided no 

other defects were present; however, if 

a lot of berries has 23 percent shattered 

berries, 13 percent would be reported as 

a defect, which would cause the lot to 

fail meet the requirements of the U.S. 

No. Table 1 grade by 1 percent. The 

petitioners stated that they feel change, 

specific to consumer containers, is 

warranted as the majority of table grapes 

are now being sold in consumer 

containers which allow shattered berries 

to be fully utilized/sold. 

Prior to undertaking detailed work to 

develop a proposed revision to the 

standards, AMS published a notice on 

January 24, 2006, in the Federal 

Register (71 FR 3818) soliciting 

comments on the proposed revision. In 

response to the notice, AMS received 

fourteen comments from the table grape 

industry. The comments are available by 

accessing the AMS, Fresh Products 

Branch Web site at: http:// 

www.ams.usda.gov/fv/ 

fpbdocketlist.htm. 

Twelve comments supported the 

proposal; one from a regional 

agriculture trade association, one from a 

table grape association and ten from 

members of that table grape association. 

Each of these comments indicated that 

new improvements to consumer 

packaging resulted in less shrinkage and 

a more sellable product to consumers, 

and with this improvement, a revision 

of how shatter is scored was needed. 

One comment opposing the proposal 

was received from a national trade 

association representing wholesale 

produce receivers. The receivers’

association stated that an increase of 

shattered grapes would be unfairly 

damaging to receivers and consumers. 

Finally, one comment was received 

from a trade association of shippers of 

table grapes from the State of Sonora, 

Mexico. The shippers’ association 

supported the idea of revisiting the 

standards for table grapes, however, it 

wanted to investigate the potential 

effects of an added ten percent 

allowance during the upcoming season 

before supporting this revision. The 

association indicated that the 10 percent 

allowance seemed high. Additionally, 

the association expressed a need to 

reexamine the definitions of ‘‘bunch 

size’’ and ‘‘straggly bunch’’ as it does 

not believe the requirements under each 

definition accurately represent the 

current market demands for table 

grapes. These additional matters are 

beyond the scope of the proposed 

revision, and therefore they will not be 

addressed in this action. 

Taking into account the comments 

received, AMS believes that it would be 

more beneficial to the overall industry 

to fully utilize shattered berries that are 

not otherwise defective, in consumer 

containers. The majority of table grapes 

are now sold in consumer containers. 

Further, this action provides for a 60- 

day comment period for interested 

parties to comment on the proposed 

revision. 

Accordingly, AMS proposes to amend 

the United States Standards for Grades 

of Table Grapes (European or Vinifera 

Type) as follows: 

List of Subjects in 7 CFR Part 51 

Agricultural commodities, Food 

grades and standards, Fruits, Nuts, 

Reporting and recordkeeping 

requirements, Trees, Vegetables. 

For reasons set forth in the preamble, 

7 CFR part 51 is proposed to be 

amended as follows: 

PART 51—[AMENDED] 

1. The authority citation for part 51 

continues to read as follows: 

Authority: 7 U.S.C. 1621—1627. 

2. In § 51.886, paragraph (b), Table II 

is revised to read as follows: 


jlentini on PROD1PC65 with PROPOSAL
Federal Register / Vol. 71, No. 184 / Friday, September 22, 2006 / Proposed Rules 55369 

Subpart—United States Standards for 

Grades of Table Grapes (European or 

Vinifera Type) 

§ 51.886 Tolerances. 

* * * * * 

(b) * * * 

TABLE II.—TOLERANCES EN ROUTE OR AT DESTINATION

Factor U.S. extra 

fancy table 

U.S. fancy 

table 

U.S. No. 1 

table 

(A) For bunches failing to meet color requirements .................................................................... 10 10 10 

(B) For bunches failing to meet requirements for minimum diameter of berries ........................ 10 10 10 

(C) For bunches failing to meet stem color requirements .......................................................... 10 

(D) For offsize bunches and for bunches and berries failing to meet the remaining requirements for the grade .................................................................................................................. 12 12 12 

(E) For shattered berries in consumer size packages an allowance of 10 percent is provided. 

Any percent of shattered berries exceeding the allowance of 10 percent shall be scored as 

berries failing to meet the requirements of the grade. 

Including in (D): 

(a) For permanent defects .................................................................................................... 8 8 8 

(b) For serious damage ........................................................................................................ 4 4 4 

And, including in (b): 

(i) For serious damage by permanent defects ..................................................................... 2 2 2 

(ii) For decay ........................................................................................................................ 1 1 1 

Dated: September 15, 2006. 

Lloyd C. Day, 

Administrator, Agricultural Marketing 

Service. 

[FR Doc. 06–7869 Filed 9–21–06; 8:45 am] 

BILLING CODE 3410–02–P 

DEPARTMENT OF AGRICULTURE 

Agricultural Marketing Service 

7 CFR Parts 91 and 92 

[Docket Number ST–05–01] 

RIN 0581–AC48 

Changes in Hourly Fee Rates for 

Science and Technology Laboratory 

Services—Fiscal Years 2007–2009 

AGENCY: Agricultural Marketing Service, 

USDA. 

ACTION: Proposed rule with request for 

comments. 

SUMMARY: The Agricultural Marketing 

Service (AMS) is proposing to change 

the hourly fee rates for Science and 

Technology (S&T) Laboratory Services. 

The agency is proposing to raise these 

rates to reflect, among other factors, 

national and locality pay increases for 

Federal employees and inflation, 

operating costs, instrumentation and 

training, and program and agency 

administrative overhead costs. In the 

past, AMS has amended its regulations 

on an as needed basis in order to 

recover laboratory program costs. With 

this proposed regulation, AMS is 

providing for three annual standard 

hourly fee rate increases for fiscal years 

2007–2009. This would provide the 

agricultural commodity industries and 

other stakeholders with more timely and 

relevant information regarding 

voluntary user fees for laboratory testing 

services. The agency is also proposing to 

remove tables and schedules with 

listings of individual tests and services. 

Three annual hourly fee rate 

adjustments are proposed for appeals, 

holiday, and overtime services to reflect 

the anticipated increase in cost of 

providing these laboratory services each 

fiscal year. The regulations also are 

updated to identify current facility 

addresses. Part 92 is obsolete and 

therefore has been removed. 

DATES: Comments must be received on 

or before October 23, 2006. 

ADDRESSES: Send comments to James V. 

Falk, Docket Manager, USDA, AMS, 

Science and Technology Programs, 1400 

Independence Avenue, SW., Mail Stop 

0272, Washington, DC 20250–0272; 

telephone (202) 690–4089; fax (202) 

720–4631, or e-mail: 

James.falk@usda.gov. State that your 

comments refer to Docket No. ST–05–

01. Comments may also be submitted 

electronically through http:// 

www.regulations.gov. Submitted 

comments will be available for public 

inspection during regular business 

hours in Room 1090 South Building, 

U.S. Department of Agriculture, 1400 

Independence Avenue, SW., 

Washington, DC. 

FOR FURTHER INFORMATION CONTACT: Dr. 

Robert L. Epstein, Science and 

Technology Programs, Agricultural 

Marketing Service, United States 

Department of Agriculture, Mail Stop 

0270, 1400 Independence Avenue, SW., 

Washington, DC 20250–0270, telephone 

number (202) 720–5231; fax (202) 720–

6496, and e-mail: 

Robert.epstein@usda.gov. 

SUPPLEMENTARY INFORMATION:

Background 

Science and Technology (S&T) 

Programs has been performing voluntary 

laboratory services under the 

Agricultural Marketing Act of 1946, as 

amended, for the AMS commodity 

programs (Fruit and Vegetable, Cotton, 

Livestock and Seed, Poultry, Dairy, and 

Tobacco) and applicable customers in 

these industries since its inception on 

August 17, 1988. Before that, voluntary 

laboratory testing was provided for a 

user fee by AMS under the various 

commodity programs. The current 

standard hourly rate of $45.00 and the 

premium hourly rate of $67.50 have 

been in effect since publication in the 

Federal Register on October 27, 2000 

(65 FR 64302). The standard fee rate for 

laboratory services is proposed to be 

increased to $60.00 per hour in fiscal 

year 2007, $63.00 per hour in fiscal year 

2008, and $67.00 per hour in fiscal year 

2009. The premium hourly fee rates 

would also be adjusted for fiscal years 

2007 through 2009. An increase in the 

premium hourly rates over the three 

fiscal years for laboratory services 

performed on holidays, appeal samples, 

and overtime basis is also needed since 

Science and Technology laboratory 

personnel may be required to work 

extended hours of service at the time 

and a half pay or the double hourly pay 

to accommodate clients. This is due to 


jlentini on PROD1PC65 with PROPOSAL