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Rules and Regulations Federal Register

28115 

Vol. 78, No. 93 

Tuesday, May 14, 2013 

DEPARTMENT OF AGRICULTURE 

Agricultural Marketing Service 

7 CFR Part 905 

[Doc. No. AMS–FV–13–0009; FV13–905–2 

IR] 

Oranges, Grapefruit, Tangerines, and 

Tangelos Grown in Florida; Relaxing 

Size and Grade Requirements on 

Valencia and Other Late Type Oranges 

AGENCY: Agricultural Marketing Service, 

USDA. 

ACTION: Interim rule with request for 

comments. 

SUMMARY: This rule changes the size and 

grade requirements currently prescribed 

under the marketing order for oranges, 

grapefruit, tangerines, and tangelos 

grown in Florida (order). The order is 

administered locally by the Citrus 

Administrative Committee (Committee). 

This rule reduces the minimum size 

requirement for Valencia and other late 

type oranges shipped to interstate 

markets from 28⁄16 inches to 24⁄16 inches 

from May 15 through August 31 each 

season. This rule also reduces the 

minimum grade requirement for 

Valencia and other late type oranges 

shipped to interstate markets from a 

U.S. No. 1 to a U.S. No. 1 Golden from 

May 15, 2013, to June 14, 2013, and to 

a U.S. No. 2 external/U.S. No. 1 internal 

from June 15, 2013, to August 31, 2013. 

This rule will provide additional 

Valencia and other late type oranges for 

late season markets, helping to 

maximize fresh shipments. 

DATES: Effective May 15, 2013; 

comments received by July 15, 2013 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, Marketing 

Order and Agreement Division, Fruit 

and Vegetable Program, AMS, USDA, 

1400 Independence Avenue SW., STOP 

0237, Washington, DC 20250–0237; Fax: 

(202) 720–8938; or Internet: http:// 

www.regulations.gov. 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 in 

the Office of the Docket Clerk during 

regular business hours, or can be viewed 

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

comments submitted in response to this 

rule will be included in the record and 

will be made available to the public. 

Please be advised that the identity of the 

individuals or entities submitting 

comments will be made public on the 

Internet at the address provided above. 

FOR FURTHER INFORMATION CONTACT: 

Corey E. Elliott, Marketing Specialist, or 

Christian D. Nissen, Regional Director, 

Southeast Marketing Field Office, 

Marketing Order and Agreement 

Division, Fruit and Vegetable Program, 

AMS, USDA; Telephone: (863) 324– 

3375, Fax: (863) 325–8793, or Email: 

Corey.Elliott@ams.usda.gov or 

Christian.Nissen@ams.usda.gov. 

Small businesses may request 

information on complying with this 

regulation by contacting Jeffrey Smutny, 

Marketing Order and Agreement 

Division, Fruit and Vegetable Program, 

AMS, USDA, 1400 Independence 

Avenue SW., STOP 0237, Washington, 

DC 20250–0237; Telephone: (202) 720– 

2491, Fax: (202) 720–8938, or Email: 

Jeffrey.Smutny@ams.usda.gov. 

SUPPLEMENTARY INFORMATION: This rule 

is issued under Marketing Order No. 

905, as amended (7 CFR part 905), 

regulating the handling of oranges, 

grapefruit, tangerines, and tangelos 

grown in Florida, 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 

(USDA) is issuing this rule in 

conformance with Executive Order 

12866. 

This rule has been reviewed under 

Executive Order 12988, Civil Justice 

Reform. This rule is not intended to 

have retroactive effect. 

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 

handler subject to an order may file 

with USDA 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, USDA 

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 USDA’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 changes the minimum size 

requirement on Valencia and other late 

type oranges shipped to interstate 

markets from 28⁄16 inches to 24⁄16 inches 

from May 15 through August 31 each 

season. It also reduces the minimum 

grade requirement on Valencia and 

other late type oranges shipped to 

interstate markets from a U.S. No. 1 to 

a U.S. No. 1 Golden from May 15, 2013, 

to June 14, 2013, and to a U.S. No. 2 

external/U.S. No. 1 internal from June 

15, 2013, to August 31, 2013. This rule 

will provide additional Valencia and 

other late type oranges for late season 

markets and will help maximize fresh 

shipments. The Committee 

unanimously recommended these 

changes at a meeting on January 8, 2013. 

Section 905.52 of the order provides, 

in part, authority to establish minimum 

grade and size requirements for Florida 

citrus. Section 905.306 of the order’s 

rules and regulations specifies the 

minimum grade and size requirements 

for different varieties of fresh Florida 

citrus. Such requirements for domestic 

shipments are specified in Table I of 

§ 905.306(a). Currently, the minimum 

size for Valencia and other late type 

oranges is 28⁄16 inches in diameter. The 

minimum grade for Valencia and other 

late type oranges is a U.S. No. 1 from 

August 1 to June 14 and a U.S. No. 2 

external/U.S. No. 1 internal from June 

15 to July 31. The characteristics of 

these grades are specified in the U.S. 

Standard for Grades of Florida Oranges 

and Tangelos (7 CFR 51.1140 through 

51.1179). 

At its meeting, the Committee 

discussed that there may be a late 

season market for Florida Valencia and 

other late type oranges in the food 


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28116 Federal Register / Vol. 78, No. 93 / Tuesday, May 14, 2013 / Rules and Regulations 

service industry. One member stated 

that this market prefers a smaller-size 

orange and may be undersupplied 

during the last few months of the 

Florida citrus season, as supplies from 

other states have been declining. At the 

end of the season, growers still have 

Valencia and other late type oranges left 

on the tree to supply this market. 

However, with current size and grade 

regulations, it is difficult to supply this 

market. 

During the last few seasons, 

approximately 97.5 percent of Valencia 

and other late type oranges were 

utilized in the production of orange 

juice, while approximately 2.5 percent, 

or about 3.1 million cartons, were 

utilized as shipments to the fresh 

market. Of the fresh shipments, 85 

percent were shipped between March 

and May. With the current size and 

grade requirements, the Committee 

estimates that fewer than 465,000 

cartons would be available after May 15 

for shipment to the food service market. 

According to the National 

Agricultural Statistics Service (NASS), 

approximately 10 percent of Valencia 

oranges measured at the end of April are 

24⁄16 inches. From this forecast, the 

Committee estimates an additional 

200,000 cartons of Valencia and other 

late type oranges, between 24⁄16 and 

28⁄16 inches in size, still remain on the 

tree. 

However, most of the remaining fruit 

wouldn’t meet grade requirements due 

to discoloration and scarring. As fruit 

continues to mature on the tree, 

physiological changes occur that affect 

the color of the fruit. Also, over time, 

the fruit gets more blemishes due to 

wind scarring. Therefore, only changing 

the minimum size may not be sufficient 

to make additional fruit available late in 

the season. 

Consequently, to provide additional 

Valencia and other late type oranges to 

supply the food service market, the 

Committee recommended a relaxation 

in size and grade. This rule changes the 

minimum size requirement for Valencia 

and other late type oranges shipped to 

interstate markets from 28⁄16 inches to 

24⁄16 inches from May 15 through 

August 31 each season. It also reduces 

the minimum grade requirement for 

Valencia and other late type oranges 

shipped to interstate markets from a 

U.S. No. 1 to a U.S. No. 1 Golden from 

May 15, 2013, to June 14, 2013, and to 

a U.S. No. 2 external/U.S. No. 1 internal 

from June 15, 2013, to August 31, 2013. 

The Committee believes that relaxing 

the size and grade requirements will 

provide an outlet for fruit that may 

otherwise go un-harvested. This will 

maximize fresh shipments, allowing 

more fruit to be shipped to the fresh 

market, and increasing returns to both 

handlers and growers. 

Initial Regulatory Flexibility Analysis 

Pursuant to requirements set forth in 

the Regulatory Flexibility Act (RFA) (5 

U.S.C. 601–612), the Agricultural 

Marketing Service (AMS) has 

considered the economic impact of this 

action on small entities. Accordingly, 

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. 

There are approximately 29 Valencia 

and other late type orange handlers 

subject to regulation under the 

marketing order and approximately 

8,000 producers of citrus in the 

production area. Small agricultural 

service firms are defined by the Small 

Business Administration (SBA) as those 

whose annual receipts are less than 

$7,000,000, and small agricultural 

producers are defined as those having 

annual receipts less than $750,000 (13 

CFR 121.201). 

Based on industry and Committee 

data, the average f.o.b. price for fresh 

Valencia and other late type oranges 

during the 2011–12 season was 

approximately $12.42 per 4⁄5 bushel 

carton, and total fresh shipments were 

approximately 3.2 million cartons. 

Using the average f.o.b. price and 

shipment data, the majority of Florida 

Valencia and other late type orange 

handlers could be considered small 

businesses under SBA’s definition. In 

addition, the average annual grower 

revenue is below $750,000 based on 

production data, grower prices as 

reported by NASS, and the total number 

of Florida citrus growers. Thus, 

assuming a normal distribution, the 

majority of Valencia and other late type 

orange handlers and producers may be 

classified as small entities. 

This rule relaxes the size and grade 

requirements prescribed under the 

order. These changes will allow 

additional late season fruit to be 

shipped to the fresh market, maximizing 

shipments and providing additional 

returns to both handlers and growers. 

This rule revises § 905.306 by reducing 

the minimum size requirements for 

interstate shipments of fresh Valencia 

and other late type oranges from 28⁄16

inches to 24⁄16 inches from May 15 to 

August 31 each season. This rule further 

revises § 905.306 by reducing the 

minimum grade requirements for 

interstate shipments of Valencia and 

other late type oranges from a U.S. No. 

1 to a U.S. No. 1 Golden from May 15, 

2013, to June 14, 2013, and to a U.S. No. 

2 external/U.S. No. 1 internal from June 

15, 2013, to August 31, 2013. Authority 

for these changes is provided for in 

§ 905.52. These changes were 

unanimously recommended by the 

Committee at a January 8, 2013, 

meeting. 

This action does not impose any 

additional costs on the industry. 

However, it is anticipated that this 

action will have a beneficial impact. 

Reducing size and grade requirements 

for Valencia and other late type oranges 

from May 15 to August 31 will make 

additional fruit available for shipment 

to the fresh market, providing the 

opportunity to supply the potential food 

service industry market. The Committee 

believes that relaxing the size and grade 

requirements will provide an outlet for 

fruit that may otherwise go unharvested. This will allow more fruit to 

be shipped to the fresh market and 

increase returns to both handlers and 

growers. The benefits of this rule are 

expected to be equally available to all 

fresh citrus growers and handlers, 

regardless of their size. 

Regarding alternatives to this action, 

the Committee considered two different 

approaches to providing additional fruit 

to the market. They considered 

changing the minimum size and leaving 

the current grade standard in place. 

However, the consensus of the 

Committee was that late in the season 

the additional quantity demanded could 

not be met through a size change alone. 

The Committee also considered 

changing the minimum size and 

establishing U.S. No. 1 Golden as the 

grade from May 15 to August 31. 

However, this option would effectively 

increase the grade from June 15 to July 

31, which was not the Committee’s 

intention for the 2013 season. Therefore, 

the Committee rejected both of these 

alternatives. 

In accordance with the Paperwork 

Reduction Act of 1995, (44 U.S.C. 

Chapter 35), the order’s information 

collection requirements have been 

previously approved by the Office of 

Management and Budget (OMB) and 

assigned OMB No. 0581–0189, Generic 

Fruit Crops. No changes in those 

requirements as a result of this action 

are necessary. Should any changes 

become necessary, they would be 

submitted to OMB for approval. 


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Federal Register / Vol. 78, No. 93 / Tuesday, May 14, 2013 / Rules and Regulations 28117 

This rule will not impose any 

additional reporting or recordkeeping 

requirements on either small or large 

Florida citrus 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. 

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. 

In addition, USDA has not identified 

any relevant Federal rules that 

duplicate, overlap, or conflict with this 

rule. 

Further, the Committee meeting was 

widely publicized throughout the 

Florida citrus industry. All interested 

persons were invited to attend the 

meeting and participate in Committee 

deliberations. Like all Committee 

meetings, the January 8, 2013, meeting 

was a public meeting. All entities, both 

large and small, were able to express 

their views on this issue. Finally, 

interested persons are invited to submit 

comments on this interim rule, 

including 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: www.ams.usda.gov/ 

MarketingOrdersSmallBusinessGuide. 

Any questions about the compliance 

guide should be sent to Jeffrey Smutny 

at the previously mentioned address in 

the FOR FURTHER INFORMATION CONTACT

section. 

This rule invites comments on 

changes to the size and grade 

requirements currently prescribed under 

the Florida citrus marketing order. Any 

comments received will be considered 

prior to finalization of this rule. 

After consideration of all relevant 

material presented, including the 

Committee’s recommendation, and 

other information, it is found that this 

interim 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) This action relaxes the 

current size and grade requirements 

under the order; (2) these changes need 

to be in effect by May 15, 2013; (3) the 

Committee recommended these changes 

at a public meeting and interested 

parties had an opportunity to provide 

input; and (4) this rule provides a 60- 

day comment period and any comments 

received will be considered prior to 

finalization of this rule. 

List of Subjects in 7 CFR Part 905 

Grapefruit, Marketing agreements, 

Oranges, Reporting and recordkeeping 

requirements, Tangelos, Tangerines. 

For the reasons set forth in the 

preamble, 7 CFR part 905 is amended as 

follows: 

PART 905—ORANGES, GRAPEFRUIT, 

TANGERINES, AND TANGELOS 

GROWN IN FLORIDA 

■ 1. The authority citation for 7 CFR 

parts 905 continues to read as follows: 

Authority: 7 U.S.C. 601–674. 

■ 2. In § 905.306, Table I in paragraph 

(a) is amended by revising the entry for 

‘‘Valencia and other late type’’ under 

‘‘Oranges’’ to read as follows: 

§ 905.306 Orange, Grapefruit, Tangerine, 

and Tangelo Regulation. 

(a) * * * 

TABLE I 

Variety Regulation period Minimum grade 

Minimum 

diameter 

(inches) 

(1) (2) (3) (4) 

*******

Valencia and other late type .................... 08/01/2012–05/14/2013 .......................... U.S. No. 1 ............................................... 28⁄16

05/15/2013–06/14/2013 .......................... U.S. No. 1 Golden ................................... 24⁄16

06/15/2013–08/31/2013 .......................... U.S. No. 2, External ................................ 24⁄16

U.S. No. 1, Internal.

On or after 09/01/13 ................................ U.S. No. 1 ............................................... 28⁄16

September 1–May 14 .............................. U.S. No. 1 ............................................... 24⁄16

May 15–June 14 ..................................... U.S. No. 2, External ................................ 24⁄16

June 15–July 31 ...................................... U.S. No. 1, Internal.

August 1–August 31 ................................ U.S. No. 1 ............................................... 24⁄16

* * * * * * * 


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28118 Federal Register / Vol. 78, No. 93 / Tuesday, May 14, 2013 / Rules and Regulations 

* * * * * 

Dated: May 8, 2013. 

David R. Shipman, 

Administrator, Agricultural Marketing 

Service. 

[FR Doc. 2013–11389 Filed 5–13–13; 8:45 am] 

BILLING CODE 3410–02–P 

DEPARTMENT OF AGRICULTURE 

Agricultural Marketing Service 

7 CFR Part 955 

[Doc. No. AMS–FV–12–0071; FV13–955–1 

IR] 

Vidalia Onions Grown in Georgia; 

Change in Reporting and Assessment 

Requirements 

AGENCY: Agricultural Marketing Service, 

USDA. 

ACTION: Interim rule with request for 

comments. 

SUMMARY: This rule changes the 

reporting and assessment requirements 

currently prescribed under the 

marketing order for Vidalia onions 

grown in Georgia (order). The order 

regulates the handling of Vidalia onions 

grown in Georgia and is administered 

locally by the Vidalia Onion Committee 

(Committee). This rule changes the date 

by which handlers are required to 

submit monthly shipping reports and 

their corresponding assessments to the 

Committee from the fifth day of the 

month to the tenth day of the month. In 

addition, this rule also changes the due 

date to the first business day after the 

tenth of the month should the tenth fall 

on a weekend or a holiday. These 

changes are expected to benefit handlers 

without negatively affecting program 

compliance. 

DATES: Effective May 15, 2013; 

comments received by July 15, 2013 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, Marketing 

Order and Agreement Division, Fruit 

and Vegetable Program, AMS, USDA, 

1400 Independence Avenue SW., STOP 

0237, Washington, DC 20250–0237; Fax: 

(202) 720–8938; or Internet: http:// 

www.regulations.gov. 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 in 

the Office of the Docket Clerk during 

regular business hours, or can be viewed 

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

comments submitted in response to this 

rule will be included in the record and 

will be made available to the public. 

Please be advised that the identity of the 

individuals or entities submitting the 

comments will be made public on the 

Internet at the address provided above. 

FOR FURTHER INFORMATION CONTACT: 

Corey Elliott, Marketing Specialist, or 

Christian Nissen, Regional Director, 

Southeast Marketing Field Office, 

Marketing Order and Agreement 

Division, Fruit and Vegetable Program, 

AMS, USDA; Telephone: (863) 324– 

3378, Fax: (863) 325–8793, or Email: 

Corey.Elliott@ams.usda.gov or 

Christian.Nissen@ams.usda.gov. 

Small businesses may request 

information on complying with this 

regulation by contacting Jeffrey Smutny, 

Marketing Order and Agreement 

Division, Fruit and Vegetable Program, 

AMS, USDA, 1400 Independence 

Avenue SW., STOP 0237, Washington, 

DC 20250–0237; Telephone: (202) 720– 

2491, Fax: (202) 720–8938, or Email: 

Jeffrey.Smutny@ams.usda.gov. 

SUPPLEMENTARY INFORMATION: This rule 

is issued under Marketing Agreement 

and Order No. 955, as amended (7 CFR 

part 955), regulating the handling of 

Vidalia onions grown in Georgia, 

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 

(USDA) is issuing this rule in 

conformance with Executive Order 

12866. 

This rule has been reviewed under 

Executive Order 12988, Civil Justice 

Reform. This rule is not intended to 

have retroactive effect. 

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 

handler subject to an order may file 

with USDA 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, USDA 

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 USDA’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 changes the reporting and 

assessment requirements currently 

prescribed under the order. This rule 

changes the date by which handlers are 

required to submit monthly shipping 

reports and their corresponding 

assessments to the Committee from the 

fifth day of the month to the tenth day 

of the month. In addition, this rule also 

changes the due date to the first 

business day after the tenth of the 

month should the tenth fall on a 

weekend or a holiday. These changes 

are expected to benefit handlers without 

negatively affecting program 

compliance. The Committee 

unanimously recommended these 

changes at a meeting on August 9, 2012. 

Section 955.60 of the order provides 

authority for the Committee to require 

handlers to file reports and provide 

information as may be necessary for the 

Committee to perform its duties. Section 

955.101 of the regulations provides the 

requisite reporting requirements. 

Currently this section provides, in part, 

that handlers are required to file with 

the Committee a monthly shipping 

report on the fifth day of each month 

following the month in which 

shipments were made. 

Section 955.42 provides the authority 

for the collection of assessments from 

handlers to administer the order and the 

authority to establish the time and rate 

of assessments. Section 955.142 

specifies that handler assessments are 

required to be paid on a monthly basis 

corresponding with the due date of the 

monthly shipping reports. In addition, 

§§ 955.101 and 955.142 specify that 

should the fifth day of the month fall on 

a weekend or holiday, both reports and 

assessments are due on the first 

business day prior to the fifth. 

This rule revises §§ 955.101 and 

955.142 to require that handlers submit 

monthly shipping reports and 

assessments to the Committee by the 

tenth day of the month following the 

month in which shipments were made. 

This rule also changes the reporting and 

assessment requirements to state that if 

the tenth falls on a weekend or holiday, 

the monthly reports and assessments are 

due on the first business day after the 

tenth day of the month. 

At the August meeting, the Committee 

discussed that the industry has 

expressed concern regarding the 

difficulties some handlers were having 

in submitting their reports and 

assessments by the fifth of the month. 

Some handlers have reported that the 

current due date of the fifth of the 

month has created a hardship for them 

because of the short turnaround time for 

preparing the monthly shipping report 

and getting it submitted to the 


wreier-aviles on DSK5TPTVN1PROD with RULES