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[Federal Register Volume 77, Number 132 (Tuesday, July 10, 2012)]
[Proposed Rules]
[Pages 40529-40530]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2012-16703]

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Proposed Rules
                                                Federal Register
________________________________________________________________________

This section of the FEDERAL REGISTER contains notices to the public of 
the proposed issuance of rules and regulations. The purpose of these 
notices is to give interested persons an opportunity to participate in 
the rule making prior to the adoption of the final rules.

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Federal Register / Vol. 77, No. 132 / Tuesday, July 10, 2012 / 
Proposed Rules

[[Page 40529]]

DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 1220

[Doc. No. AMS-LS-12-0022]

Soybean Promotion and Research: Amend the Order To Adjust 
Representation on the United Soybean Board

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Proposed rule.

-----------------------------------------------------------------------

SUMMARY: This proposed rule would adjust the number of members on the 
United Soybean Board (Board) to reflect changes in production levels 
that have occurred since the Board was last reapportioned in 2009. As 
required by the Soybean Promotion, Research, and Consumer Information 
Act (Act), membership on the Board is reviewed every 3 years and 
adjustments are made accordingly. This proposed change would result in 
an increase in Board membership for one State, increasing the total 
number of Board members from 69 to 70. These changes would be reflected 
in the Soybean Promotion and Research Order (Order) and would be 
effective for the 2013 appointment process.

DATES: Comments must be received by September 10, 2012.

ADDRESSES: Comments should be posted online at www.regulations.gov. 
Comments received will be posted without change, including any personal 
information provided. All comments should reference the docket number, 
AMS-LS-12-0022; the date of submission; and the page number of this 
issue of the Federal Register. Comments may also be sent to Kenneth R. 
Payne, Director, Marketing Programs Division, Livestock and Seed 
Program, Agricultural Marketing Service (AMS), Department of 
Agriculture (USDA), Room 2628-S, STOP 0251, 1400 Independence Avenue 
SW., Washington, DC 20250-0251; or via Fax to (202) 720-1125. Comments 
will be made available for public inspection at the above address 
during regular business hours or via the Internet at 
www.regulations.gov. Comments must be received by September 10, 2012.

FOR FURTHER INFORMATION CONTACT: Kenneth R. Payne, Director, Marketing 
Programs Division, Livestock and Seed Program, AMS, USDA, Room 2628-S, 
STOP 0251, 1400 Independence Avenue SW., Washington, DC 20250-0251; 
Telephone 202/720-1115; Fax 202/720-1125; or email to 
Kenneth.Payne@ams.usda.gov.

SUPPLEMENTARY INFORMATION: 

Executive Order 12866

    The Office of Management and Budget (OMB) has waived the review 
process required by Executive Order 12866 for this action.

Executive Order 12988

    This proposed rule was reviewed under Executive Order 12988, Civil 
Justice Reform. It is not intended to have a retroactive effect. This 
action would 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 1971 of the Act, a 
person subject to the Order may file a petition with USDA stating that 
the Order, any provision of the Order, or any obligation imposed in 
connection with the Order, is not in accordance with the law and 
request a modification of the Order or an exemption from the Order. The 
petitioner is afforded the opportunity for a hearing on the petition. 
After a hearing, USDA would rule on the petition. The Act provides that 
district courts of the United States in any district in which such 
person is an inhabitant, or has their principal place of business, has 
jurisdiction to review USDA's ruling on the petition, if a complaint 
for this purpose is filed within 20 days after the date of the entry of 
the ruling.

Regulatory Flexibility Act

    AMS has determined that this rule will not have a significant 
economic impact on a substantial number of small entities, as defined 
by the Regulatory Flexibility Act (RFA) (5 U.S.C. 601-612), because it 
only adjusts representation on the Board to reflect changes in 
production levels that have occurred since the Board was last 
reapportioned in 2009. 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. As such, 
these changes will not impose a significant impact on persons subject 
to the program.
    There are an estimated 589,182 soybean producers and an estimated 
10,000 first purchasers who collect the assessment, most of whom would 
be considered small businesses under the criteria established by the 
Small Business Administration (SBA) [13 CFR 121.201]. SBA defines small 
agricultural producers as those having annual receipts of less than 
$750,000.

Paperwork Reduction Act

    In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. 
Chapter 35), the reporting and recordkeeping requirements included in 7 
CFR part 1220 were previously approved by OMB and were assigned control 
number 0581-0093.

Background and Proposed Changes

    The Act (7 U.S.C. 6301-6311) provides for the establishment of a 
coordinated program of promotion and research designed to strengthen 
the soybean industry's position in the marketplace, and to maintain and 
expand domestic and foreign markets and uses for soybeans and soybean 
products. The program is financed by an assessment of 0.5 percent of 
the net market price of soybeans sold by producers. Pursuant to the 
Act, an Order was made effective July 9, 1991. The Order established an 
initial Board with 60 members. For purposes of establishing the Board, 
the United States was divided into 31 States and geographical units. 
Representation on the Board from each unit was determined by the level 
of production in each unit. The initial Board was appointed on July 11, 
1991. The Board is composed of soybean producers.
    Section 1220.201(c) of the Order provides that at the end of each 
3-year period, the Board shall review soybean production levels in the 
geographic units throughout the United States. The Board may recommend 
to the Secretary of Agriculture (Secretary) modification

[[Page 40530]]

in the levels of production necessary for Board membership for each 
unit.
    Section 1220.201(d) of the Order provides that at the end of each 
3-year period, the Secretary must review the volume of production of 
each unit and adjust the boundaries of any unit and the number of Board 
members from each such unit as necessary to conform with the criteria 
set forth in Sec.  1220.201(e): (1) To the extent practicable, States 
with annual average soybean production of less than 3,000,000 bushels 
shall be grouped into geographically contiguous units, each of which 
has a combined production level equal to or greater than 3,000,000 
bushels, and each such group shall be entitled to at least one member 
on the Board; (2) units with at least 3,000,000 bushels, but fewer than 
15,000,000 bushels shall be entitled to one board member; (3) units 
with 15,000,000 bushels or more but fewer than 70,000,000 bushels shall 
be entitled to two Board members; (4) units with 70,000,000 bushels or 
more but fewer than 200,000,000 bushels shall be entitled to three 
Board members; and (5) units with 200,000,000 bushels or more shall be 
entitled to four Board members.
    The Board was last reapportioned in 2009. The total Board 
membership increased from 68 to 69 members, with Ohio gaining one 
additional member. This change was effective with the 2010 
appointments.
    Currently, the Board has 69 members representing 30 geographical 
units. This membership is based on average production levels for the 
years 2001-2005 (excluding crops in years that production was the 
highest and that production was the lowest) as reported by USDA's 
National Agricultural Statistics Service (NASS).
    This proposed rule would increase total membership on the Board 
from 69 to 70. Production data for years 2007-2011 (excluding the crops 
in years in which production was the highest and in which production 
was the lowest) was gathered from NASS. This change would not affect 
the number of geographical units.
    This proposed rule would adjust representation on the Board as 
follows:

------------------------------------------------------------------------
                                        Current            Proposed
              State                 representation      representation
------------------------------------------------------------------------
Mississippi.....................                  2                   3
------------------------------------------------------------------------

    Board adjustments as proposed by this rulemaking would become 
effective, if adopted, with the 2013 appointment process.

List of Subjects in 7 CFR 1220

    Administrative practice and procedure, Advertising, Agricultural 
research, Marketing agreements, Soybeans and soybean products, 
Reporting and recordkeeping requirements.

    For the reasons set forth in the preamble, it is proposed that 
Title 7, part 1220 be amended as follows:

PART 1220--SOYBEAN PROMOTION, RESEARCH, AND CONSUMER INFORMATION

    1. The authority citation for 7 CFR part 1220 continues to read as 
follows:

    Authority:  7 U.S.C. 6301-6311 and 7 U.S.C. 7401.

    2. In Sec.  1220.201, the table immediately following paragraph (a) 
is revised to read as follows:

Sec.  1220.201  Membership of board.

* * * * *

------------------------------------------------------------------------
                                                              Number of
                           Unit                                members
------------------------------------------------------------------------
Illinois..................................................            4
Iowa......................................................            4
Minnesota.................................................            4
Indiana...................................................            4
Nebraska..................................................            4
Ohio......................................................            4
Missouri..................................................            3
Arkansas..................................................            3
South Dakota..............................................            3
Kansas....................................................            3
Michigan..................................................            3
North Dakota..............................................            3
Mississippi...............................................            3
Louisiana.................................................            2
Tennessee.................................................            2
North Carolina............................................            2
Kentucky..................................................            2
Pennsylvania..............................................            2
Virginia..................................................            2
Maryland..................................................            2
Wisconsin.................................................            2
Georgia...................................................            1
South Carolina............................................            1
Alabama...................................................            1
Delaware..................................................            1
Texas.....................................................            1
Oklahoma..................................................            1
New York..................................................            1
Eastern Region (Florida, Massachusetts, New Jersey                    1
 Connecticut, Florida, Rhode Island, Vermont, New
 Hampshire, Maine, West Virginia, District of Columbia,
 and Puerto Rico..........................................
Western Region (Montana, Wyoming, Colorado, New Mexico,               1
 Idaho, Utah, Arizona, Washington, Oregon, Nevada,
 California, Hawaii, and Alaska)..........................
------------------------------------------------------------------------

* * * * *

    Dated: July 3, 2012.
David R. Shipman,
Administrator, Agricultural Marketing Service.
[FR Doc. 2012-16703 Filed 7-9-12; 8:45 am]
BILLING CODE 3410-02-P
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