[Federal Register Volume 62, Number 154 (Monday, August 11, 1997)]
[Proposed Rules]
[Pages 42944-42948]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-20901]


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DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 56

[Docket No. PY-97-003]


Voluntary Shell Egg Regulations

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Proposed rule.

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SUMMARY: The Agricultural Marketing Service (AMS) proposes to amend the 
regulations governing the voluntary shell egg grading program. The 
proposed revisions would require electronic digital-display scales be 
provided to the grader; provide an alternative grademark for shell 
eggs; provide for the use of a ``Produced From'' grademark to 
officially identify products that originate from officially graded 
shell eggs; and remove the requirement for continuous overflow of water 
during the egg washing process. From time to time, sections in the 
regulations are affected by changes in egg processing technology. This 
rule updates the regulations to reflect these changes.

DATES: Comments must be received on or before October 10, 1997.

ADDRESSES: Send written comments to Douglas C. Bailey, Chief, 
Standardization Branch, Poultry Division, Agricultural Marketing 
Service, U.S. Department of Agriculture, Stop 0259, 1400 Independence 
Avenue, SW, Washington, D.C. 20250-0259. Comments received may be 
inspected at this location between 8:00 a.m. and 4:30 p.m., Eastern 
Time, Monday through Friday, except holidays. State that your comments 
refer to Docket No. PY-97-003.

FOR FURTHER INFORMATION CONTACT: Rex A. Barnes, Chief, Grading Branch, 
202-720-3271.

SUPPLEMENTARY INFORMATION: This proposed rule has been determined to be 
not significant for purposes of Executive Order 12866 and has not been 
reviewed by the Office of Management and Budget (OMB).
    This proposed 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 
this rule.
    Pursuant to the requirements set forth in the Regulatory 
Flexibility Act (RFA), AMS has considered the economic impact of this 
action on small entities as defined in the RFA (5 U.S.C. 601). There 
are almost 200 plants using the Agency's shell egg grading services and 
many of them are small entities.
    The proposal to require electronic digital-display scales will 
affect some processors by requiring the purchase of one or more scales 
that cost from $150 to $1,000 each. This equipment will improve the 
accuracy of egg weight determinations, allowing processors to avoid the 
expense incurred when product is unnecessarily retained and re-
processed.
    One proposal to establish an alternative form of the USDA grademark

[[Page 42945]]

would allow shell egg processors to use a shield displayed in three 
colors to officially identify USDA graded eggs. Similarly, another 
proposal would allow producers of products originating from officially 
graded shell eggs to use a ``Produced From'' grademark on packaging 
materials. These proposals would have no adverse economic impact on 
processors.
    The proposal to remove the requirement for the continuous overflow 
of water during egg washing would conserve water and energy resources, 
decrease operating expenses of processors, and lessen the environmental 
impact of shell egg processing. This is expected to have a significant 
positive economic impact on processors.
    Other editorial-type changes would clarify or update the existing 
regulations and would have no economic impact on entities using 
voluntary shell egg grading services.
    For the above reasons, the Agency has certified that this action 
will not have a significant impact on a substantial number of small 
entities.
    The information collection requirement in Sec. 56.37 to be amended 
by this rule has been previously approved by OMB and assigned OMB 
Control Number 0581-0127 under the Paperwork Reduction Act of 1980.

Background and Proposed Changes

    Shell egg grading is a voluntary program provided under the 
Agricultural Marketing Act of 1946, as amended, and is offered on a 
fee-for-service basis. It is designed to assist the orderly marketing 
of shell eggs by providing for the official certification of egg 
quality, quantity, size, temperature, packaging, and other factors. 
Changing technology in egg processing requires that the regulations 
governing shell egg grading be updated.
    Grading personnel certify egg weights according to the official 
U.S. weight classes. Today, the highly mechanized, state-of-the-art 
equipment used to package shell eggs weighs individual eggs with high 
precision to satisfy container weight requirements. For processors to 
receive fair, uniform, accurate weight certification, graders need to 
have similarly precise scales to certify egg weights. The Agency is 
proposing to amend Sec. 56.17(a) by requiring plants to replace balance 
or spring-type scales for weighing individual eggs and consumer 
packages with electronic digital-display scales.
    Many processors want to identify their consumer-pack USDA graded 
shell eggs, or products prepared from those eggs, with a USDA 
grademark. The Agency is proposing to amend Sec. 56.36 to allow 
processors additional flexibility. The proposal would permit the use of 
a new grademark that contains horizontal bands of three colors. It 
would also provide for the use of a new ``Produced From'' grademark to 
officially identify products for which there are no U.S. grade 
standards (e.g., pasteurized shell eggs) that are produced from U.S. 
Grade AA or Grade A shell eggs. The proposal would also remove the 
option of using terms such as ``Federal-State Graded'' within the 
grademark because this option is no longer used. Finally, the proposal 
would clarify the organization and wording of Sec. 56.36 and would 
correct references to Sec. 56.36 that are in Sec. 56.37 and Sec. 56.40.
    Egg wash tanks are designed to permit the continuous inflow of 
water and, when tank capacity is exceeded, the continuous outflow of 
water. Because some water is lost during egg washing due to evaporation 
and other causes, a continuous supply of fresh replacement water is 
required in order to maintain a proper volume of wash water. A 
continuous overflow of water is required by AMS to indicate that an 
adequate amount of fresh replacement water is being added. However, 
replacement water is not always of a sufficient volume to provide for 
continuous overflow, especially at the beginning of shifts or when the 
washing equipment is stopped and restarted. This situation, in addition 
to new washing and egg cleaning technologies and better production 
practices, brought the requirement for a continuous overflow into 
question. Therefore, AMS is proposing to amend Sec. 56.76(e)(5) by 
omitting the requirement for a continuous overflow of water in shell 
egg washers.

List of Subjects in 7 CFR Part 56

    Eggs and egg products, Food grades and standards, Food labeling, 
Reporting and recordkeeping requirements.

    For reasons set forth in the preamble, it is proposed that 7 CFR 
part 56 be amended as follows:

PART 56--VOLUNTARY GRADING OF SHELL EGGS

    1. The heading for part 56 is revised to read as set forth above.
    1a. The authority citation for part 56 continues to read as 
follows:

    Authority: 7 U.S.C. 1621-1627.

    2. In Sec. 56.17, paragraphs (a)(2) and (a)(3) are revised and new 
paragraphs (a)(4) and (a)(5) are added to read as follows:


Sec. 56.17  Facilities and equipment for graders.

* * * * *
    (a) * * *
    (2) Electronic digital-display scales graduated in increments of 1/
10-ounce or less for weighing individual eggs and test weights for 
calibrating such scales. Plants packing product based on metric weight 
must provide scales graduated in increments of 1-gram or less;
    (3) Electronic digital-display scales graduated in increments of 1/
4-ounce or less for weighing the lightest and heaviest consumer 
packages packed in the plant and test weights for calibrating such 
scales;
    (4) Scales graduated in increments of 1/4-pound or less for 
weighing shipping containers and test weights for calibrating such 
scales;
    (5) An acceptable candling light.
* * * * *
    3. Section 56.36 is revised to read as follows:


Sec. 56.36  Form of grademark and information required.

    (a) Form of official identification symbol and grademark. (1) The 
shield set forth in Figure 1 of this section shall be the official 
identification symbol for purposes of this part and when used, 
imitated, or simulated in any manner in connection with shell eggs, 
shall be deemed prima facia to constitute a representation that the 
product has been officially graded for the purposes of Sec. 56.2.
    (2) Except as otherwise authorized, the grademark permitted to be 
used to officially identify USDA consumer-graded shell eggs shall be of 
the form and design indicated in Figures 2 through 4 of this section. 
The shield shall be of sufficient size so that the printing and other 
information contained therein is legible and in approximately the same 
proportion as shown in Figures 2 through 4 of this section.
    (3) The ``Produced From'' grademark in Figure 5 of this section may 
be used to identify products approved by the Agency for which there are 
no U.S. grade standards (e.g., pasteurized shell eggs) that are 
prepared from U.S. Consumer Grade AA or A shell eggs under the 
continuous supervision of a grader.
    (b) Information required on grademark. (1) Except as otherwise 
authorized by the administrator, each grademark used shall include the 
letters ``USDA'' and the U.S. grade of the product it identifies, such 
as ``A Grade,'' as shown in Figure 2 of this section. Such information 
shall be printed with the shield and the wording within the

[[Page 42946]]

shield in contrasting colors in a manner such that the design is 
legible and conspicuous on the material upon which it is printed.
    (2) The size or weight class of the product, such as ``Large,'' may 
appear within the grademark as shown in Figure 3 of this section. If 
the size or weight class is omitted from the grademark, it must appear 
prominently on the main panel of the carton.
    (3) Except as otherwise authorized, the bands of the shield in 
Figure 4 of this section shall be displayed in three colors, with the 
color of the top, middle, and bottom bands being blue, white, and red, 
respectively.
    (4) The ``Produced From'' grademark in Figure 5 of this section may 
be any one of the designs shown in Figures 2 through 4 of this section. 
The text outside the shield shall be conspicuous, legible, and in 
approximately the same proportion and close proximity to the shield as 
shown in Figure 5 of this section.
    (5) The plant number of the official plant preceded by the letter 
``P'' must be shown on each carton or packaging material.

Figures to Sec. 56.36

BILLING CODE 3410-02-P

[[Page 42947]]

[GRAPHIC] [TIFF OMITTED] TP11AU97.000



BILLING CODE 3410-02-C

[[Page 42948]]

    4. In Sec. 56.37, the first sentence is revised to read as follows:


Sec. 56.37  Lot marking of officially identified product.

    Each carton identified with the grademarks shown in Sec. 56.36 
shall be legibly lot numbered on either the carton or the consumer 
package. * * *
    5. In Sec. 56.40, paragraph (a) is revised to read as follows:


Sec. 56.40  Grading requirements of shell eggs identified with consumer 
grademarks.

    (a) Shell eggs to be identified with the grademarks illustrated in 
Sec. 56.36 must be individually graded by a grader or by authorized 
personnel pursuant to Sec. 56.11 and thereafter check graded by a 
grader.
* * * * *
    6. In Sec. 56.76, the first sentence in paragraph (e)(5) is revised 
to read as follows:


Sec. 56.76  Minimum facility and operating requirements for shell egg 
grading and packing plants.

* * * * *
    (e) * * *
    (5) Replacement water shall be added continuously to the wash water 
of washers. * * *
* * * * *
    Dated: July 31, 1997.
Lon Hatamiya,
Administrator, Agricultural Marketing Service.
[FR Doc. 97-20901 Filed 8-8-97; 8:45 am]
BILLING CODE 3410-02-P