### 30441 Federal Register / Vol. 79, No. 102 / Wednesday, May 28, 2014 / Rules and Regulations

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 grade requirements under the order; (2) these changes need to be in effect by May 15, 2014; (3) the Committee unanimously 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) * * *



### T ABLE 

### I

Variety Regulation period Minimum grade Minimum diameter (inches)

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

******* Valencia and other late type .................... September 1–May 14 .............................. U.S. No. 1 ..................... .......................... 2 8 ⁄ 16 May 15–June 14 ..................................... U.S. No. 1 Golden ................................... 2 4 ⁄ 16 June 15–August 31 ................................. U.S. No. 2, External/U.S. No. 1, Internal 2 4 ⁄ 16

* * * * * * *

* * * * *

Dated: May 22, 2014.

Rex A. Barnes, Associate Administrator, Agricultural Marketing Service.

[FR Doc. 2014–12287 Filed 5–23–14; 8:45 am]

**BILLING CODE 3410–02–P**

**DEPARTMENT OF AGRICULTURE**

**Agricultural Marketing Service**

**7 CFR Part 920**

**[Doc. No. AMS–FV–12–0008; FV12–920–1 FR]** 

**Kiwifruit Grown in California; Order Amending Marketing Order No. 920** 

**AGENCY :**  Agricultural Marketing Service,

USDA.

**ACTION :**  Final rule.

**SUMMARY :**  This final rule amends Marketing Order No. 920 (order), which regulates the handling of kiwifruit grown in California. The amendments were proposed by the Kiwifruit Administrative Committee (Committee or KAC), which is responsible for the
local administration of the order. The five amendments will provide authority to recommend and conduct production and postharvest research, to recommend
and conduct market research and development projects, to receive and expend voluntary contributions, to specify that recommendations for production research and market development be approved by eight members of the Committee, and to update provisions regarding alternate
members’ service on the Committee.
These amendments are intended to improve administration of and compliance with the order, as well as reflect current industry practices.

**DATES :**  This rule is effective May 29,

2014.

**FOR FURTHER INFORMATION CONTACT :**  Melissa Schmaedick, Marketing Order and Agreement Division, Fruit and Vegetable Program, AMS, USDA, Post Office Box 952, Moab, UT 84532; Telephone: (202) 557–4783, Fax: (435) 259–1502, or Email: Melissa.Schmaedick@ams.usda.gov; or, Michelle Sharrow, Marketing Order and Agreement Division, Fruit and Vegetable Program, AMS, USDA, 1400 Independence Avenue SW., Stop 0237, Washington, DC 20250–0237; Telephone: (202) 720–9921, Fax: (202)
720–8938 or Email: Michelle.Sharrow@ 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. 920, as amended (7 CFR part 920), regulating the handling of kiwifruit produced in California, 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.’’ Section 608c(17) of the Act and the applicable rules of practice and procedure governing the formulation of marketing agreements and orders (7 CFR part 900)
authorize amendments of the order through this informal rulemaking

action.

The Department of Agriculture (USDA) is issuing this rule in
conformance with Executive Orders 12866, 13563, and 13175.

This rule has been reviewed under Executive Order 12988, Civil Justice
Reform. This rule is not intended to
have retroactive effect. This rule shall not be deemed to preclude, preempt, or supersede any research and market development provisions of any State program covering California kiwifruit (7 U.S.C. 608c(6)(I)).


### 30442 Federal Register / Vol. 79, No. 102 / Wednesday, May 28, 2014 / Rules and Regulations

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 no later than 20 days after the date of entry of the ruling.

Section 1504 of the Food, Conservation, and Energy Act of 2008 (2008 Farm Bill) (Pub. L. 110–246) amended section 18c(17) of the Act, which in turn required the addition of supplemental rules of practice to 7 CFR Part 900 (73 FR 49307; August 21, 2008). The amendment of section 18c(17) of the Act and additional supplemental rules of practice authorize the use of informal rulemaking (5 U.S.C. 553) to amend Federal fruit, vegetable, and nut marketing agreements and orders. USDA may use informal rulemaking to amend marketing orders based on the nature and complexity of the proposed amendments, the potential regulatory and economic impacts on affected entities, and any other relevant

matters.

AMS considered the nature and complexity of the proposed amendments, the potential regulatory and economic impacts on affected entities, and other relevant matters, and determined that amending the order as proposed by the Committee could appropriately be accomplished through informal rulemaking.

The proposed amendments were unanimously recommended by the Committee following deliberations at public meetings on July 12 and December 13, 2011. A proposed rule soliciting comments on the proposed amendments was issued on February 4, 2013, and published in the Federal Register on February 8, 2013 (78 FR 9331). Three comments were received. Two comments were supportive of the proposed amendments. The third comment was supportive of some of the proposed amendments and not supportive of others. A proposed rule
and referendum order was issued on July 29, 2013, and published in the Federal Register on August 2, 2013 (78 FR 46823). This document directed that USDA conduct a referendum among kiwifruit producers who produced kiwifruit during the period of August 1, 2012, through July 31, 2013, to determine whether they favored the proposed amendments to the order. To become effective, the amendments had to be approved by at least two-thirds of the producers voting or two-thirds of the volume of kiwifruit represented by
voters in the referendum. All of the proposed amendments were favored by at least 80 percent of those voting in the referendum and by at least 83 percent of the volume represented in the
referendum.

The amendments included in this
final rule will:

(1) Provide authority to recommend and conduct production and postharvest research;

(2) Provide authority to recommend
and conduct market research and development projects;

(3) Provide authority to receive and expend voluntary contributions;

(4) Amend procedures to specify that recommendations for production research and market development be approved by eight members of the Committee; and

(5) Clarify provisions regarding
alternate members’ service on the

Committee.

Final Regulatory Flexibility Analysis

Pursuant to the 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 final regulatory flexibility analysis.

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. Marketing orders issued pursuant to the Act, and rules issued thereunder, are unique in that they are brought about through group action of essentially small entities acting on their own
behalf.

Based on Committee data, there are approximately 175 producers and 27
handlers of kiwifruit in the California production area. The Small Business Administration (SBA) defines small agricultural producers as those having annual receipts of less than $750,000, and small agricultural service firms are defined as those having annual receipts of less than $7,000,000. (13 CFR 121.201)

The California Agricultural Statistical Service (CASS) reported total California kiwifruit production for the 2011–12 season at 37,700 tons, with an average price of $775 per ton. Based on the average price, shipment, and grower information provided by the CASS and the Committee, the majority of kiwifruit
handlers would be considered small
businesses under the SBA definition. In addition, based on kiwifruit production and price information, as well as the
total number of California kiwifruit growers, the average annual grower revenue is less than $750,000. Thus, the majority of California kiwifruit producers may also be classified as
small entities.

The amendments will provide authority to recommend and conduct production and postharvest research; provide authority to recommend and conduct marketing research and development projects; provide authority to receive and expend voluntary contributions; amend procedures to specify that recommendations for production research and market development be approved by eight members of the Committee; and update provisions regarding alternate members’
service on the Committee.

These amendments were unanimously recommended at public meetings of the Committee held on July 12 and December 13, 2011. None of
these amendments will have an immediate impact on handlers or producers because they will not establish any requirements or regulations on handlers. However, the amendments will add authority to conduct production and postharvest
research as well as market research and development projects. In the event the
Committee decides to conduct these activities in the future, there would be a cost associated with funding any projects recommended.

Research activities were previously funded by the industry through the California Kiwifruit Commission (CKC), which no longer exists. Therefore, there
would be no net overall increase in costs to the industry if the Committee chose to take over projects previously funded through the CKC. Furthermore, the newly established authority for the Committee to accept voluntary contributions could provide additional
sources of funds and reduce the amount
of assessment monies otherwise needed
to fund research activities.

Although there would be a cost associated with any research activities undertaken by the industry, the benefits of such activities would be expected to outweigh the costs. Past benefits of production research to the California kiwifruit industry include improved techniques for establishing vineyards,


### 30443 Federal Register / Vol. 79, No. 102 / Wednesday, May 28, 2014 / Rules and Regulations

pruning, thinning, irrigating, pollination, fertilizer application, disease and pest management, and harvesting. Benefits of postharvest research include improved methods of fruit storage, packaging, and transportation. These research results have been disseminated to growers and handlers in the past and have been instrumental in maintaining a viable kiwifruit industry in California.

Prior to undertaking any research activities, the Committee would evaluate potential projects and weigh their costs against the potential benefits to the industry. Any projects recommended by the Committee would be reviewed and approved by USDA before implementation. The Committee and USDA would provide oversight to help ensure that the goals and objectives were being met. The results would be disseminated to industry members and
would also be made available to the public.

Adding authority to the order for marketing research and development projects will not result in immediate costs to the industry. It will provide authority to recommend marketing research and development activities. In
the event the Committee decides to undertake these activities in the future,
there would be a cost associated with funding any marketing research and development projects.

Like the production and postharvest research activities discussed above, marketing research and development projects could also be funded with voluntary contributions. This could help mitigate any possible assessment
rate increases to offset the costs of these
activities. To the extent that the assessment rate may need to be increased, any increase would be
limited to remain within the maximum level authorized under § 920.41 of the
order.

Any increased costs associated with marketing research and development activities are expected to be outweighed by the benefits. Marketing research
could be conducted on consumer tastes and preferences. This type of information is valuable in developing marketing strategies. Collection of
market data can also be used to evaluate prior programs and to develop future programs. Market development programs could be used to conduct activities designed to increase consumer
awareness and demand for California kiwifruit. These demand-building activities would be expected to increase sales, which would ultimately increase producer returns.

Prior to undertaking any marketing research and/or market development activities, the Committee would evaluate potential projects and their costs against the potential benefits to the industry. Any projects recommended by
the Committee would be reviewed and approved by USDA before implementation. The Committee and USDA would provide oversight to help ensure that the goals and objectives were being met. In addition, as required by the Federal Agricultural Improvement and Reform Act of 1996, any marketing research and development programs engaged in under a Federal marketing order require periodic evaluation by an independent third party to ensure that they are effective. Thus, any such programs
conducted under the kiwifruit order
would be evaluated to ensure that the
benefits exceed the costs.

Adding authority for the Committee to receive voluntary contributions will provide an additional monetary source to help fund research and development programs. These types of programs are intended to benefit the entire industry. This change will not increase or decrease any reporting, recordkeeping, or compliance costs. Acceptance of voluntary financial contributions by the
Committee would not result in increased costs. Rather, it might reduce
the amount of assessment revenue needed to fund programs.

Amendments four and five relate to voting procedures and alternate member
service on the Committee. Both are procedural in nature and will have no economic impact on producers or handlers. They will not establish any regulatory requirements on handlers and will also not result in any assessment or funding implications. There will be no change in financial costs, reporting, or recordkeeping requirements.

Alternatives to these proposals, including making no changes at this time, were considered. However, the
Committee believes it would be beneficial to have the ability to conduct production research and market development activities, collect voluntary contributions, and clarify procedural language for Committee meetings.

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 OMB Fruit Crops. No changes in those requirements as a result of this proceeding are anticipated. Should any changes become necessary, they would be submitted to OMB for approval. 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.

In addition, 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.

The Committee’s meetings, at which these proposals were discussed, were widely publicized throughout the California kiwifruit industry. All interested persons were invited to attend the meetings and encouraged to participate in Committee deliberations on all issues. The Committee meetings were public, and all entities, both large and small, were encouraged to express their views on these proposals.

A proposed rule concerning this action was published in the Federal Register on February 8, 2013 (78 FR 9331). Copies of the rule were mailed or
sent via facsimile to all Committee
members and kiwifruit handlers. Finally, the rule was made available through the internet by USDA and the Office of the Federal Register. A 60-day comment period ending April 9, 2013, was provided to allow interested persons to respond to the proposal.

Three comments were received. Two comments were supportive of the proposed amendments.

The third commenter supported the amendments to §§ 920.32 and 920.45 concerning Committee quorum (voting) and accepting voluntary contributions, respectively. However, the commenter was opposed to the amendment to § 920.27 regarding alternate member procedures that will allow substitute alternates, from within the same district, to represent absent members at Committee meetings in districts with
two or more members because he was concerned that it gave the Committee the opportunity to choose an alternate who shared their views. The change will improve the likelihood that quorum requirements are met. This should ensure a timely and orderly flow of business so that important matters would not have to be postponed. The substitute alternate would only be called upon if the member and their designated alternate were both absent.
Because the substitute would be from
the same district as the absent member and alternate, it is more likely that the


### 30444 Federal Register / Vol. 79, No. 102 / Wednesday, May 28, 2014 / Rules and Regulations

substitute would represent the views of other growers in that district.

In 2010, the order was amended and
the number of districts decreased to three. Each district is now represented on the Committee by two, four, or five members and alternate members, for a total of twenty-two grower positions. However, § 920.27 only addresses
alternate members’ service on the
Committee in districts with one and two grower positions. This amendment
addresses alternate members’ service on
the Committee in districts with more than two members, as well as substitute
alternates if both a member and his or her respective alternate are unable to attend a Committee meeting. In such situations, the Committee will be authorized to designate any other alternate present, in the same district, to serve in place of the absent member. Accordingly, no change to the
amendment based on the comment received is being adopted.

The commenter was also opposed to the amendment to § 920.48 regarding marketing research and development
because he believes each marketer
should conduct their own market promotion. The Act authorizes the establishment of marketing research and development projects, including paid advertising, for certain commodities; however, paid advertising is not authorized for kiwifruit. (7 U.S.C. 608c(6)(I)) The Committee developed this amendment taking into account that the CKC is no longer conducting such activities. One purpose of such generic programs is to benefit all members of the kiwifruit industry, including those that could not fund their own programs. As such, adding authority in the order for market research and development projects will benefit the entire kiwifruit industry. Therefore, no change to the proposed amendment is being adopted
as a result of this comment.

The commenter only supported the amendment to add authority to § 920.47 to conduct production and postharvest research if the quorum requirement of eight votes passes in § 920.32. The
commenter wanted to either eliminate or link the two proposed amendments. Such a change would not have allowed the voters to consider each proposal on its own merits. Currently, the order requires an eight vote plurality for any changes for expenses, assessments, or recommended regulations in § 920.32. The Committee unanimously supported requiring eight votes for approval of marketing research and development as well as production and postharvest research activities. Requiring at least eight votes would ensure that a broad base of support existed for any major actions that would affect the budget. Further, the Committee believes, and USDA concurs, that this requirement will help ensure that industry support exists before undertaking these
activities. The commenter was supportive of adding the quorum voting requirement for production and postharvest research, and the commenter was in favor of production and postharvest research. Accordingly, no changes were made to the proposed
amendments as a result of this

comment.

A proposed rule and referendum order was issued on July 29, 2013, and published in the Federal Register on August 2, 2013 (78 FR 46823). This
document directed that USDA conduct a referendum among kiwifruit producers who produced kiwifruit during the period of August 1, 2012, through July 31, 2013, to determine whether they favored the proposed amendments to the order. To become effective, the amendments had to be approved by at least two-thirds of the producers voting
or two-thirds of the volume of kiwifruit represented by voters in the referendum. All of the proposed amendments were favored by at least 80 percent of those voting in the referendum and by at least 83 percent of the volume represented in
the referendum.

A small business guide on complying with fruit, vegetable, and specialty crop marketing agreements and orders may
be viewed at: http://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.

Order Amending the Order Regulating the Handling of Kiwifruit Grown in
California

Findings and Determinations

(a) Findings and Determinations Upon the Basis of the Rulemaking Record

The findings hereinafter set forth are supplementary to the findings and determinations which were previously
made in connection with the issuance of the marketing order; and all said previous findings and determinations are hereby ratified and affirmed, except insofar as such findings and determinations may be in conflict with the findings and determinations set
forth herein.

1. The marketing order, as amended,
and all of the terms and conditions thereof, will tend to effectuate the declared policy of the Act;

2. The marketing order, as amended, and as hereby proposed to be further amended, regulates the handling of kiwifruit grown in California in the same manner as, and is applicable only to, persons in the respective classes of commercial and industrial activity specified in the marketing order;

3. The marketing order, as amended, is limited in application to the smallest regional production area which is practicable, consistent with carrying out the declared policy of the Act, and the issuance of several orders applicable to subdivisions of the production area would not effectively carry out the declared policy of the Act;

4. The marketing order, as amended, prescribes, insofar as practicable, such different terms applicable to different parts of the production area as are necessary to give due recognition to the differences in the production and marketing of kiwifruit produced or packed in the production area; and

5. All handling of kiwifruit produced in the production area as defined in the marketing order is in the current of interstate or foreign commerce or directly burdens, obstructs, or affects
such commerce.

(b) Additional Findings

It is necessary and in the public
interest to make these amendments effective not later than one day after publication in the Federal Register . A later effective date would unnecessarily delay implementation of the
amendments. These amendments should be in place as soon as possible so that any regulations recommended as
a result of these amendments can be in place prior to the next production year, which begins on August 1. In view of the foregoing, it is hereby found and determined that good cause exists for making these amendments effective one day after publication in the Federal Register and that it would be contrary to the public interest to delay the effective date for 30 days after publication in the Federal Register

. (Sec. 553(d), Administrative Procedure Act; 5 U.S.C. 551–559.)

(c) Determinations

It is hereby determined that: 1. Handlers (excluding cooperative associations of producers who are not engaged in processing, distributing, or shipping kiwifruit covered under the order) who during the period August 1, 2012, through July 31, 2013, handled not less than 50 percent of the volume of such kiwifruit covered by said order, as hereby amended, have not signed an amended marketing agreement; and

2. The issuance of this amendatory order, amending the aforesaid order, isfavored or approved by at least twoVerDate Mar<15>2010 16:12 May 27, 2014 Jkt 232001 PO 00000 Frm 00006 Fmt 4700 Sfmt 4700 E:\FR\FM\28MYR1.SGM 28MYR1mstockstill on DSK4VPTVN1PROD with RULES

### 30445 Federal Register / Vol. 79, No. 102 / Wednesday, May 28, 2014 / Rules and Regulations

1 15 U.S.C. 69, et seq.

2 16 CFR Part 301. thirds of the producers who participated in a referendum on the question of approval and who, during the period of August 1, 2012, through July 31, 2013, have been engaged within the production area in the production of such kiwifruit, such producers havingalso produced for market at least twothirds of the volume of such commodity represented in the referendum.

Order Relative To Handling

It is therefore ordered, That on and after the effective date hereof, all handling of kiwifruit grown in California shall be in conformity to, and in compliance with, the terms and conditions of the said order as hereby
amended as follows:

The provisions of the proposed marketing order amending the order contained in the proposed rule issued by the Administrator on July 29, 2013, and published in the Federal Register on August 2, 2013 (78 FR 46823), shall be and are the terms and provisions of this order amending the order and are
set forth in full herein.

List of Subjects in 7 CFR Part 920

Marketing agreements, Kiwifruit, Reporting and recordkeeping requirements.

For the reasons set forth in the preamble, 7 CFR part 920 is amended as
follows:

**PART 920—KIWIFRUIT GROWN IN**
**CALIFORNIA**

■ 1. The authority citation for 7 CFR part 920 continues to read as follows:

Authority: 7 U.S.C. 601–674.

■ 2. Revise § 920.27 to read as follows:

**§ 920.27 Alternate members.**

An alternate member of the committee, during the absence of the
member for whom that individual is an alternate, shall act in the place and stead of such member and perform such other duties as assigned. In the event
both a member and his or her alternate
are unable to attend a committee meeting, the committee may designate any other alternate member from the
same district to serve in such member’s place and stead. In the event of the death, removal, resignation, or disqualification of a member, the
alternate of such member shall act for
him or her until a successor for such member is selected and has qualified.

■ 3. Revise § 920.32(a) to read as
follows:

**§ 920.32 Procedure.**

(a) Eight members of the committee, or alternates acting for members, shall constitute a quorum and any action of the committee shall require the concurring vote of the majority of those present: Provided, That actions of the committee with respect to expenses and assessments, production and postharvest research, market research and development, or recommendations for regulations pursuant to §§ 920.50 through 920.55, of this part shall require at least eight concurring votes.

* * * * *

■ 4. Add § 920.45 to read as follows:

**§ 920.45 Contributions.**

The committee may accept voluntary contributions, but these shall only be used to pay expenses incurred pursuant to § 920.47 and § 920.48. Furthermore,
such contributions shall be free from any encumbrances by the donor, and the committee shall retain complete control
of their use.

■ 5. Add § 920.47 to read as follows:

**§ 920.47 Production and postharvest**

**research.**

The committee, with the approval of the Secretary, may establish or provide for the establishment of projects involving research designed to assist or improve the efficient production and postharvest handling of kiwifruit.

■ 6. Add § 920.48 to read as follows:

**§ 920.48 Market research and development.** 

The committee, with the approval of the Secretary, may establish or provide for the establishment of marketing research and development projects designed to assist, improve, or promote the marketing, distribution, and consumption of kiwifruit.

Dated: May 22, 2014.

Rex A. Barnes, Associate Administrator, Agricultural Marketing Service.

[FR Doc. 2014–12327 Filed 5–27–14; 8:45 am]

**BILLING CODE P**

**FEDERAL TRADE COMMISSION**

**16 CFR Part 301**

**Regulations Under the Fur Products Labeling Act** 

**AGENCY :**  Federal Trade Commission.

**ACTION :**  Final rule.

**SUMMARY :**  The Federal Trade Commission amends its Regulations under the Fur Products Labeling Act to update the Fur Products Name Guide, provide more labeling flexibility, incorporate Truth in Fur Labeling Act provisions, and conform the guaranty provisions to those governing textiles. The Commission does not change the required name for nyctereutes procyonoides fur products. Labels will
continue to describe this animal as

‘‘Asiatic Raccoon.’’

**DATES :**  The amendments published in
this document will become effective November 19, 2014.

**FOR FURTHER INFORMATION CONTACT :**  Matthew Wilshire, (202) 326–2976, Attorney, Division of Enforcement, Bureau of Consumer Protection, Federal Trade Commission, 600 Pennsylvania Avenue NW., Washington, DC 20580.

**SUPPLEMENTARY INFORMATION :** 

I. Introduction

After considering comments on proposed amendments to the Rules and Regulations (‘‘Fur Rules’’ or ‘‘Rules’’) under the Fur Products Labeling Act (‘‘Fur Act’’ or ‘‘Act’’), the Federal Trade Commission (‘‘FTC’’ or ‘‘Commission’’) adopts those amendments with minor changes. The final amendments update the Fur Products Name Guide (‘‘Name Guide’’), provide businesses with more flexibility in labeling, incorporate the provisions of the Truth in Fur Labeling Act (‘‘TFLA’’), and conform the Rules’ guaranty provisions to those governing textile products. The amendments do not change the Guide’s name for nyctereutes procyonoides. The name
‘‘Asiatic Raccoon’’ best identifies this
animal for fur consumers. The final rules also do not adopt the proposed annual renewal requirement for continuing guaranties.

This supplementary information section first provides background on the Fur Act and Rules, the Name Guide, TFLA, and this rulemaking. Next, it summarizes the comments. Finally, it analyzes those comments and discusses
the amendments.

II. Background

A. The Fur Act and Rules

The Fur Act prohibits misbranding and false advertising of fur products, and requires labeling of most fur products. 1 Pursuant to this Act, the Commission promulgated the Fur
Rules. 2 These Rules set forth disclosure requirements that assist consumers in making informed purchasing decisions. Specifically, the Fur Act and Rules require manufacturers, dealers, and retailers to label products made entirely or partly of fur. These labels must disclose: (1) The animal’s name as provided in the Name Guide; (2) the presence of any used, bleached, dyed, or