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contains regulatory documents having general

applicability and legal effect, most of which

are keyed to and codified in the Code of

Federal Regulations, which is published under

50 titles pursuant to 44 U.S.C. 1510.

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Rules and Regulations Federal Register

14907 

Vol. 78, No. 46 

Friday, March 8, 2013 

DEPARTMENT OF AGRICULTURE 

Agricultural Marketing Service 

7 CFR Part 51 

[Doc. Number AMS–FV–11–0046] 

United States Standards for Grades of 

Almonds in the Shell 

AGENCY: Agricultural Marketing Service, 

USDA. 

ACTION: Final rule. 

SUMMARY: This rule revises the United 

States Standards for Grades of Almonds 

in the Shell. These standards are issued 

under the Agricultural Marketing Act of 

1946. The Agricultural Marketing 

Service (AMS) is revising the standards 

by changing the determination of 

internal defects from count to weight. 

These revisions will align the inspection 

procedures for incoming inspections 

(based on the marketing order) and 

outgoing inspections (based on the 

standards). These changes will promote 

greater uniformity and will provide 

consistency with current marketing 

practices. 

DATES: Effective April 8, 2013. 

FOR FURTHER INFORMATION CONTACT: 

Lindsay Mitchell, Standardization 

Branch, Specialty Crops Inspection 

(SCI) Division, (540) 361–1127 or 1150. 

The United States Standards for 

Almonds in the Shell are available 

through the SCI Division Web site at: 

http://www.ams.usda.gov/ 

freshinspection. 

SUPPLEMENTARY INFORMATION: 

Executive Order 12866 Regulatory 

Flexibility Act 

This rule has been determined to be 

not significant for purposes of Executive 

Order 12866 and, therefore, has not 

been reviewed by the Office of 

Management and Budget. 

Pursuant to the requirements set forth 

in the Regulatory Flexibility Act (RFA) 

(5 U.S.C. 601–612), AMS has considered 

the economic impact of the action on 

small entities. 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 unduly 

or disproportionately burdened. 

Accordingly, AMS has prepared this 

final regulatory flexibility analysis. 

The final rule will revise the United 

States Standards for Grades of Almonds 

in the Shell (standards) that were issued 

under the Agricultural Marketing Act of 

1946 (7 U.S.C. 1621–1627). Standards 

issued under the 1946 Act are 

voluntary. 

Small agricultural service firms, 

which include handlers, have been 

defined by the Small Business 

Administration (SBA) (13 CFR 121.201) 

as those having annual receipts of less 

than $7,000,000 and small agricultural 

producers have been defined as those 

having annual receipts of less than 

$750,000. There are approximately 53 

handlers of almonds that would 

potentially be affected by the changes 

set forth in this rule and approximately 

6,500 producers of almonds. 

Information provided by the Almond 

Board of California (ABC) indicates that 

approximately 36 percent of the 

handlers would be considered small 

agricultural service firms. According to 

data reported by the National 

Agricultural Statistics Service (NASS), 

the two-year average crop value for 

2008–09 and 2009–10 was $2.566 

billion. Dividing that average by 6,500 

producers yields average estimated 

producer revenues of $394,769, which 

suggests that the majority of almond 

producers would be considered small 

entities according to the SBA’s 

definition. 

The California almond bearing 

acreage increased approximately 9 

percent between 2008 and 2010, from 

680,000 to 740,000 acres. 

Approximately 1.643 billion pounds 

(shelled basis) of almonds were 

produced during the 2009–10 season. 

More than two thirds of California’s 

almond crop is exported to 

approximately 90 countries worldwide, 

and comprises nearly 80 percent of the 

world’s almond supply. 

The changes herein will have the 

effect of improving grading methods and 

accuracy without adding any additional 

financial burden to buyers or sellers of 

almonds in the shell. This rule changes 

one step in a multi-step grading 

procedure (7 CFR 51.2080) and changes 

the method of determining one of five 

tolerances used in determining grade (7 

CFR 51.2075(b)(5)). The outgoing 

inspection procedure will become more 

closely aligned with incoming 

inspection by shifting the basis (from 

count to weight) in the standards for 

determining the percentage of internal 

defects in an inspection sample of 

almonds in the shell. 

In addition to simplifying the grading 

process, the weight basis would yield a 

more accurate percentage of internal 

defects. With a count method, a defect 

such as shriveling would result in a 

particular kernel being counted as one 

of the 300 kernels in the sample with 

internal defects, even if the defect left 

only a small portion of the original 

kernel in the sample. Due to its lower 

weight relative to a fully formed kernel, 

a shriveled kernel has a smaller impact 

on the percentage of internal defects 

when the sample is weighed rather than 

counted. 

The lower average percentage of 

internal defects using the weight 

method was confirmed by a review of 

shipping point inspection records, with 

14 examples in which both the count 

and weight method were used on the 

same sample of inshell almonds. The 

average serious damage percentages of 

the count method and the weight 

method were 1.5 percent and 0.8 

percent, respectively. Smaller 

percentages of defects in sampled lots 

using the weight method will mean 

larger quantities of almonds meet a 

particular grade, which would 

positively affect the quality of the 

almonds, as it would yield more 

accurate percentages of defects, 

resulting in higher payments to growers. 

Shifting the determination of internal 

(kernel) defects from a count basis to a 

weight basis in the standards is 

expected to contribute to efficiencies in 

the grading process. It would make the 

internal defects aspect of the outgoing 

inspection process consistent with that 

of the incoming inspection. Weighing 

rather than counting the kernels may 

result in slightly more time in the 

inspection process, but any potential 

effect on the cost of inspections is 

expected to be minor or nonexistent, 

and would be offset by the benefits. 


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14908 Federal Register / Vol. 78, No. 46 / Friday, March 8, 2013 / Rules and Regulations 

There is no disproportionate impact 

on smaller entities; entities of all sizes 

will benefit. 

This rule would not impose any 

additional reporting or recordkeeping 

requirements on either small or large 

almond producers, handler or exporters. 

The use of grading services and 

grading standards is voluntary unless 

required by a specific Act, Federal 

Marketing Order or Agreement, or other 

regulations governing domestic, import 

or export shipments. USDA has not 

identified any Federal rules that 

duplicate, overlap, or conflict with this 

rule. However, there is a marketing 

program which regulates the handling of 

almonds under 7 CFR part 981. The 

revision in this action only affects the 

inspection procedures for internal 

defects in the standards. As such, the 

action would not affect almonds in the 

shell under the marketing order. 

Alternatives were considered for this 

action. One alternative would be to not 

issue a rule. However, the need for 

revisions remains due to differing 

procedures for incoming and outgoing 

almond inspections, and is the result of 

a request by industry. Further, the 

purpose of these standards is to 

facilitate the marketing of agricultural 

commodities. 

Executive Order 12988 

The rule has been reviewed under 

Executive Order 12988, Civil Justice 

Reform. This action is not intended to 

have retroactive effect. There are no 

administrative procedures which must 

be exhausted prior to any judicial 

challenge to the provisions of the rule. 

Section 203(c) of the Act directs and 

authorizes the Secretary of Agriculture 

‘‘to develop and improve standards of 

quality, condition, quantity, grade and 

packaging and recommend and 

demonstrate such standards in order to 

encourage uniformity and consistency 

in commercial practices.’’ AMS is 

committed to carrying out this authority 

in a manner that facilitates the 

marketing of agricultural commodities 

and makes copies of official standards 

available upon request. 

Background 

On March 11, 2011, AMS received a 

letter from the Almond Board of 

California (Board) requesting that the 

procedure for measuring internal 

(kernel) defects in the United States 

Standards for Grades of Almonds in the 

Shell be changed from a count basis to 

a weight basis. The purpose of this 

change is to align incoming and 

outgoing inspection procedures. 

Currently, almonds must undergo 

incoming inspections and may undergo 

outgoing inspections. The almond 

marketing order (part 981—Almonds 

Grown in California) mandates that the 

percentage of inedible kernels is 

determined during an incoming 

inspection. As required in the marketing 

order (7 CFR 981.42 and 981.442 

(Quality Control)), federally licensed 

state inspectors perform these 

inspections on 100 percent of the 

product moving from growers to 

handlers (packers). ‘‘Inedible kernel’’ is 

defined in §§ 981.8 and 981.408 of the 

marketing order and is based on internal 

(kernel) defects as defined in the 

standards, in §§ 51.2087 (Decay), 

51.2088 (Rancidity), 51.2089 (Damage) 

and 51.2090 (Serious Damage). 

Federally licensed state inspectors 

also perform outgoing inspections, 

which are voluntary, on approximately 

75 percent of all of the almonds going 

from the handlers to domestic and 

international markets, according to 

shipping point records maintained by 

Federal State Inspection. The current 

procedures for determining the 

percentage of defective kernels in the 

two different inspections are not the 

same. For incoming inspections, the 

percentage of inedible kernels is 

determined on a weight basis. With 

outgoing inspections, however, 

determining the percentage of internal 

(kernel) defects, which is one step in a 

multi-step procedure specified in the 

standards for determining U.S. grade, is 

done through a combination of count 

and weight of the nuts in the sample. 

This change to the standards would 

more closely align the procedures of the 

incoming and outgoing inspections. 

A key reason for making this change 

is the increasing magnitude of exports of 

almonds in the shell. Between the 2006/ 

07 and 2009/10 seasons, export 

shipments of almonds in the shell 

doubled, rising from 148 to 297 million 

pounds (inshell basis), according to 

trade data from the Foreign Agricultural 

Service of USDA. During this same time 

period, the number of handlers 

exporting almonds in the shell 

increased by 42 percent. Due to the 

substantial increase in the number of 

handlers and volume of shipments, the 

Board received numerous inquiries 

regarding the reasons for the different 

procedures for determining internal 

defects on incoming and outgoing 

inspections. 

A number of handlers asked the 

Board’s Food Quality and Safety 

Committee (committee) to look into how 

to change the standards to make 

outgoing inspections more consistent 

with the incoming inspection method. 

Determining the percentage of nuts with 

internal defects is the third of three 

required steps in section 51.2080 

(Determination of Grade). In addition, a 

10 percent tolerance for internal (kernel) 

defects is one of five tolerances that are 

specified in section 51.2075(b)(5) for 

determining whether a lot of inshell 

almonds is graded as U.S. No. 1. 

Committee staff queried handlers that 

ship almonds in the shell about 

changing the determination of internal 

defects from a count basis to a weight 

basis, which would apply to both of 

these sections. 

A proposed rule regarding these 

revisions to the United States Standards 

for Grades of Almonds in the Shell was 

published in the Federal Register on 

July 16, 2012 (77 FR 41707). The public 

comment period closed on August 15, 

2012, with no responses. Based on the 

information gathered, AMS believes the 

revisions will bring the standards for 

almonds in the shell in line with the 

marketing order and thereby improve 

their usefulness. 

List of Subjects in 7 CFR part 51 

Agricultural commodities, Food 

grades and standards, Fruits, Nuts, 

Reporting and record keeping 

requirements, Trees, Vegetables. 

For reasons set forth in the preamble, 

7 CFR part 51 is to be amended as 

follows: 

PART 51—[AMENDED] 

■ 1. The authority citation for part 51 

continues to read as follows: 

Authority: 7 U.S.C. 1621–1627. 

■ 2. In § 51.2075, paragraph (b)(5) is 

revised to read as follows: 

§ 51.2075 U.S. No. 1 

* * * * * 

(b) * * * 

(5) For internal (kernel) defects. 10 

percent, by weight, for almonds with 

kernels failing to meet the requirements 

of this grade: Provided, that not more 

than one-half of this tolerance or 5 

percent shall be allowed for kernels 

affected by decay or rancidity, damaged 

by insects or mold or seriously damaged 

by shriveling: And provided further, 

that no part of this tolerance shall be 

allowed for live insects inside the shell. 

* * * * * 

■ 3. Section 51.2080 is revised to read 

as follows: 

§ 51.2080 Determination of grade. 

In grading the inspection sample, the 

percentage of loose hulls, pieces of 

shell, chaff and foreign material is 

determined on the basis of weight. Next, 

the percentages of nuts which are of 

dissimilar varieties, undersize or have 


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Federal Register / Vol. 78, No. 46 / Friday, March 8, 2013 / Rules and Regulations 14909 

adhering hulls or defective shells are 

determined by count, using an adequate 

portion of the total sample. Finally, the 

nuts in that portion of the sample are 

cracked and the percentage having 

internal defects is determined on the 

basis of weight. 

Dated: February 28, 2013. 

David R. Shipman, 

Administrator, Agricultural Marketing 

Service. 

[FR Doc. 2013–05436 Filed 3–7–13; 8:45 am] 

BILLING CODE 3410–02–P 

DEPARTMENT OF AGRICULTURE 

Agricultural Marketing Service 

7 CFR Part 1230 

[Doc. No. AMS–LS–07–0143] 

Pork Promotion, Research, and 

Consumer Information Program; 

Section 610 Review 

AGENCY: Agricultural Marketing Service, 

USDA. 

ACTION: Confirmation of regulations. 

SUMMARY: This document summarizes 

the results of an Agricultural Marketing 

Service (AMS) review of the Pork 

Promotion, Research, and Consumer 

Information Program (Program), 

commonly known as the Pork Checkoff 

Program, under the criteria contained in 

section 610 of the Regulatory Flexibility 

Act (RFA). Based upon this review, 

AMS concluded that there is a 

continued need for the Pork Promotion, 

Research, and Consumer Information 

Order (Order). Copies of the review 

performed by AMS are available to 

interested parties. 

DATES: Effective March 8, 2013. 

ADDRESSES: Interested persons may 

obtain a copy of the review. Requests for 

copies should be sent to 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 or email 

Kenneth.Payne@ams.usda.gov. 

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 or 

email Kenneth.Payne@ams.usda.gov. 

SUPPLEMENTARY INFORMATION: The Order 

(7 CFR Part 1230) is authorized under 

the Pork Promotion, Research, and 

Consumer Information Act of 1985 (Act) 

(7 U.S.C. 4801–4819). As part of a 

comprehensive strategy to strengthen 

the pork industry’s position in the 

marketplace, this national pork Program 

maintains and expands existing 

domestic and foreign markets and 

develops new markets for pork and pork 

products. The Program is funded by a 

mandatory assessment of $0.40 perhundred-dollars of market value. Nearly 

all producers, with few exceptions, 

owning and marketing swine, regardless 

of the size of their operation or the value 

of their swine, must pay the assessment. 

A comparable assessment is collected 

on all imported swine, pork, and pork 

products. Assessments collected under 

this Program are used for promotion, 

research, consumer information, and 

industry information. 

The Program is administered by the 

National Pork Board (Board), which is 

composed of 15 producer members. 

Board members serve 3-year terms, but 

no individual may serve more than two 

consecutive 3-year terms. Producer 

members are selected by the National 

Pork Producers Delegate Body, a group 

of producer and importer members that 

represent all 50 States and importers. 

The Program became effective on 

September 5, 1986, when the Order was 

issued. Assessments began on 

November 1, 1986. 

On February 18, 1999, AMS 

published in the Federal Register (64 

FR 8014) its plan to review certain 

regulations. On January 4, 2002, AMS 

published in the Federal Register (67 

FR 525) an update to its plan to review 

regulations, including the Pork 

Promotion and Research Program, 

which is conducted under the Order, 

under criteria contained in section 610 

of the RFA (5 USC 601–612). Additional 

updates were provided on August 14, 

2003, in the Federal Register (68 FR 

48575) and on March 24, 2006, in the 

Federal Register (71 FR 14827). Because 

many AMS regulations impact small 

entities, AMS decided, as a matter of 

policy, certain regulations warranted 

review, although they may not meet the 

threshold requirement under section 

610 of the RFA. 

The reviews are being conducted over 

a ten-year period under section 610 of 

the RFA. The Program was reviewed for 

the purpose of determining whether it 

should be continued without change, or 

should be amended, rescinded, or 

terminated (consistent with the 

objectives of applicable statutes) to 

minimize the impacts on small entities. 

AMS published a notice for review 

and request for written comments on the 

Order in the March 27, 2008, issue of 

the Federal Register (73 FR 16218). 

Comments were due May 27, 2008. 

USDA received one comment generally 

opposing the Program, which did not 

specifically address the criteria 

provided under section 610 of the RFA. 

The review was undertaken to 

determine whether the Order should be 

continued without change, amended, or 

rescinded (consistent with the 

objectives of the Act) to minimize the 

impacts on small entities. In conducting 

this review and using the guidance set 

forth in section 610 of the RFA, AMS 

considered the following factors: (1) The 

continued need for the Order; (2) the 

nature of complaints or comments 

received from the public concerning the 

Order; (3) the complexity of the Order; 

(4) the extent to which the Order 

overlaps, duplicates, or conflicts with 

other Federal rules, and, to the extent 

feasible, with State and local 

governmental rules; and (5) the length of 

time since the Order has been evaluated 

or the degree to which technology, 

economic conditions or other factors 

have changed in the area affected by the 

Order. 

Based upon this review, AMS has 

concluded that there is continued need 

for the Order. AMS plans to continue 

working with the pork industry in 

maintaining an effective program. 

Interested parties may request a copy of 

the review by AMS as set forth in this 

Confirmation of Regulations. 

Authority: 7 U.S.C. 4801–4819. 

Dated: February 28, 2013. 

David R. Shipman, 

Acting Administrator, Agricultural Marketing 

Service. 

[FR Doc. 2013–05432 Filed 3–7–13; 8:45 am] 

BILLING CODE 3410–02–P 

DEPARTMENT OF TRANSPORTATION 

Federal Aviation Administration 

14 CFR Part 71 

[Docket No. FAA–2013–0079; Airspace 

Docket No. 13–AWA–1] 

RIN 2120–AA66 

Amendment of Class B Airspace 

Description; Houston, TX 

AGENCY: Federal Aviation 

Administration (FAA), DOT. 

ACTION: Final rule, technical 

amendment. 

SUMMARY: This action amends the 

description of the Houston, TX, Class B 

airspace area by changing the airport 

reference for describing the William P. 

Hobby Airport in the Class B airspace 

header from ‘‘Secondary Airport’’ to 

‘‘Primary Airport.’’ This change is 

editorial only and does not alter the 


tkelley on DSK3SPTVN1PROD with RULES