GAO-01-546R

United States General Accounting Office

Washington, DC 20548

B-287436

May 4, 2001

The Honorable Richard G. Lugar

Chairman

The Honorable Tom Harkin

Ranking Member

Committee on Agriculture, Nutrition, and Forestry

United States Senate

The Honorable Larry Combest

Chairman

The Honorable Charles W. Stenholm

Ranking Minority Member

Committee on Agriculture

House of Representatives

Subject: Department of Agriculture, Commodity Credit Corporation: Wool and

Mohair Market Loss Assistance Program and Apple Market Loss Assistance

Program

Pursuant to section 801(a)(2)(A) of title 5, United States Code, this is our report on a

major rule promulgated by the Department of Agriculture, Commodity Credit

Corporation (CCC), entitled “Wool and Mohair Market Loss Assistance Program and

Apple Market Loss Assistance Program” (RIN: 0560-AG35). We received the rule on

April 30, 2001. It was published in the Federal Register as a final rule on March 8,

2001. 66 Fed. Reg. 13839.

The final rule implements provisions of the Agriculture, Rural Development, Food

and Drug Administration, and Related Agencies Appropriations Act, 2001, related to

the Wool and Mohair Market Loss Assistance Payment Program and the Apple

Market Loss Assistance Payment Program.

Enclosed is our assessment of the CCC’s compliance with the procedural steps

required by section 801(a)(1)(B)(i) through (iv) of title 5 with respect to the rule.

Our review indicates that the CCC complied with the applicable requirements.

If you have any questions about this report, please contact James W. Vickers,

Assistant General Counsel, at (202) 512-8210. The official responsible for GAO

evaluation work relating to the subject matter of the rule is Robert Robinson,
Page 2 GAO-01-546R

Managing Director, Natural Resources and Environment. Mr. Robinson can be

reached at (202) 512-3841.

signed

Kathleen E. Wannisky

Managing Associate General Counsel

Enclosure

cc: Mr. James R. Little

Acting Administrator

Farm Service Agency

Department of Agriculture
GAO-01-546R

ENCLOSURE

ANALYSIS UNDER 5 U.S.C. § 801(a)(1)(B)(i)-(iv) OF A MAJOR RULE

ISSUED BY THE

DEPARTMENT OF AGRICULTURE,

COMMODITY CREDIT CORPORATION

ENTITLED

"WOOL AND MOHAIR MARKET LOSS ASSISTANCE PROGRAM AND

APPLE MARKET LOSS ASSISTANCE PROGRAM"

(RIN: 0560-AG35)

(i) Cost-benefit analysis

The CCC performed a cost-benefit analysis of the final rule. Payments under the

wool market loss assistance program are estimated at $18 million. Under the mohair

market loss assistance program, the costs are estimated at $2 million. Payments

under the apple market loss assistance program are estimated at $100 million.

(ii) Agency actions relevant to the Regulatory Flexibility Act, 5 U.S.C. §§ 603-605,

607, and 609

The requirements of the Regulatory Flexibility Act do not apply to this rule because a

notice of proposed rulemaking was not utilized in issuing the final rule.

(iii) Agency actions relevant to sections 202-205 of the Unfunded Mandates Reform

Act of 1995, 2 U.S.C. §§ 1532-1535

The final rule does not contain an intergovernmental or private sector mandate, as

defined in title II, of more than $100 million in any one year.

(iv) Other relevant information or requirements under acts and executive orders

Administrative Procedure Act, 5 U.S.C. §§ 551 et seq.

Section 840 of the authorizing legislation, Pub. L. 106-387, permitted the final rule to

be issued without regard to the notice and comment procedures contained at

5 U.S.C. 553.

Likewise, section 840 permits the Secretary to use the provisions of 5 U.S.C. 808,

which provide for an exception to the requirement that a major rule have a 60-day

delay in its effective date for congressional review.

Paperwork Reduction Act, 44 U.S.C. §§ 3501-3520

Section 840 of the authorizing legislation permits the final rule to be promulgated

without regard to the provisions of the Paperwork Reduction Act. However, the
Page 2 GAO-01-546R

60-day public comment period and Office of Management and Budget (OMB)

approval are still required after the rule is published.

Statutory authorization for the rule

The final rule is promulgated under the authority of sections 811 and 814 of Public

Law 106-387.

Executive Order No. 12866

The final rule was reviewed by OMB and found to be an “economically significant”

regulatory action under the order.