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.

Proposed Rules Federal Register

8639

Vol. 62, No. 38

Wednesday, February 26, 1997

DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 1230

[No. LS–97–001]

Pork Promotion, Research, and

Consumer Information Order—

Increase in Importer Assessments

AGENCY: Agricultural Marketing Service,

USDA.

ACTION: Proposed rule.

SUMMARY: Pursuant to the Pork

Promotion, Research, and Consumer

Information Act (Act) of 1985 and the

Pork Promotion, Research, and

Consumer Information Order (Order)

issued thereunder, this proposed rule

would increase by eight-hundredths of a

cent per pound the amount of the

assessment per pound due on imported

pork and pork products to reflect an

increase in the 1996 five-market average

price for domestic barrows and gilts.

This proposed action would bring the

equivalent market value of the live

animals from which such imported pork

and pork products were derived in line

with the market values of domestic

porcine animals. These proposed

changes will facilitate the continued

collection of assessments on imported

porcine animals, pork, and pork

products.

DATES: Comments must be received by

March 28, 1997.

ADDRESSES: Send two copies of

comments to Ralph L. Tapp, Chief;

Marketing Programs Branch, STOP

0251; Livestock and Seed Division;

Agricultural Marketing Service (AMS),

USDA, Room 2606–S; P.O. Box 96456;

Washington, D.C. 20090–6456.

Comments will be available for public

inspection during regular business

hours at the above office in Room 2606

South Building; 14th and Independence

Avenue, SW.; Washington, D.C. 20090–

6456.

FOR FURTHER INFORMATION CONTACT:

Ralph L. Tapp, Chief, Marketing

Programs Branch, 202/720–1115.

SUPPLEMENTARY INFORMATION:

Executive Orders 12866 and 12778 and

Regulatory Flexibility Act

This proposed rule has been

determined not significant for purposes

of Executive Order 12866 and therefore

has not been reviewed by the Office of

Management and Budget.

This proposed rule has been reviewed

under Executive Order 12988, Civil

Justice Reform. This proposal is not

intended to have a retroactive effect.

The Act states that the statute is

intended to occupy the field of

promotion and consumer education

involving pork and pork products and of

obtaining funds thereof from pork

producers and that the regulation of

such activity (other than a regulation or

requirement relating to a matter of

public health or the provision of State

or local funds for such activity) that is

in addition to or different from the Act

may not be imposed by a State.

The Act provides that administrative

proceedings must be exhausted before

parties may file suit in court. Under

section 1625 of the Act, a person subject

to an order may file a petition with the

Secretary stating that such order, a

provision of such order or an obligation

imposed in connection with such order

is not in accordance with the law; and

requesting a modification of the order or

an exemption from the order. Such

person is afforded the opportunity for a

hearing on the petition. After the

hearing, the Secretary would rule on the

petition. The Act provides that the

district court of the United States in the

district in which person resides or does

business has jurisdiction to review the

Secretary’s determination, if a

complaint is filed not later than 20 days

after the date such person receives

notice of such determination.

This action also was reviewed under

the Regulatory Flexibility Act (RFA) (5

United States Code (U.S.C.) 601 et seq.).

The effect of the Order upon small

entities was discussed in the September

5, 1986, issue of the Federal Register

(51 FR 31898), and it was determined

that the Order would not have a

significant effect upon a substantial

number of small entities. Many of the

estimated 200 importers may be

classified as small entities under the

Small Business Administration

definition (13 CFR 121.601). This

proposed rule would increase the

amount of assessments on imported

pork and pork products subject to

assessment by eight-hundredths of a

cent per pound, or as expressed in cents

per kilogram, nineteen-hundredths of a

cent per kilogram. This increase is

consistent with the increase in the

annual average price of domestic

barrows and gilts for calendar year 1996.

Adjusting the assessments on imported

pork and pork products would result in

an estimated increase in assessments of

$310,000 over a 12-month period.

Assessments collected for 1996 were

$2,804,935. Accordingly, the

Administrator of AMS has determined

that this action would not have a

significant economic impact on a

substantial number of small entities.

The Act (7 U.S.C. 4801–4819)

approved December 23, 1985,

authorized the establishment of a

national pork promotion, research, and

consumer information program. The

program was funded by an initial

assessment rate of 0.25 percent of the

market value of all porcine animals

marketed in the United States and an

equivalent amount of assessment on

imported porcine animals, pork, and

pork products. However, that rate was

increased to 0.35 percent in 1991 (56 FR

51635) and to 0.45 percent effective

September 3, 1995 (60 FR 29963). The

final Order establishing a pork

promotion, research, and consumer

information program was published in

the September 5, 1986, issue of the

Federal Register (51 FR 31898; as

corrected, at 51 FR 36383 and amended

at 53 FR 1909, 53 FR 30243, 56 FR 4,

56 FR 51635, and 60 FR 29963) and

assessments began on November 1,

1986.

The Order requires importers of

porcine animals to pay U.S. Customs

Service (USCS), upon importation, the

assessment of 0.45 percent of the

animal’s declared value and importers

of pork and pork products to pay USCS,

upon importation, the assessment of

0.45 percent of the market value of the

live porcine animals from which such

pork and pork products were produced.

This proposed rule would increase the

assessments on all of the imported pork

and pork products subject to assessment

as published in the Federal Register as

a final rule June 7, 1995, and effective
8640 Federal Register / Vol. 62, No. 38 / Wednesday, February 26, 1997 / Proposed Rules

on September 3, 1995; (60 FR 29965).

This increase is consistent with the

increase in the annual average price of

domestic barrows and gilts for calendar

year 1996 as reported by USDA, AMS,

Livestock and Grain Market News

(LGMN) Branch. This increase in

assessments would make the equivalent

market value of the live porcine animal

from which the imported pork and pork

products were derived reflect the recent

increase in the market value of domestic

porcine animals, thereby promoting

comparability between importer and

domestic assessments. This proposed

rule would not change the current

assessment rate of 0.45 percent of the

market value.

The methodology for determining the

per pound amounts for imported pork

and pork products was described in the

Supplementary Information

accompanying the Order and published

in the September 5, 1986, Federal

Register at 51 FR 31901. The weight of

imported pork and pork products is

converted to a carcass weight equivalent

by utilizing conversion factors which

are published in the Department’s

Statistical Bulletin No. 697 ‘‘Conversion

Factors and Weights and Measures.’’

These conversion factors take into

account the removal of bone, weight lost

in cooking or other processing, and the

nonpork components of pork products.

Secondly, the carcass weight equivalent

is converted to a live animal equivalent

weight by dividing the carcass weight

equivalent by 70 percent, which is the

average dressing percentage of porcine

animals in the United States. Thirdly,

the equivalent value of the live porcine

animal is determined by multiplying the

live animal equivalent weight by an

annual average market price for barrows

and gilts as reported by USDA, AMS,

LGMN Branch. This average price is

published on a yearly basis during the

month of January in LGMN Branch’s

publication ‘‘Livestock, Meat, and Wool

Weekly Summary and Statistics.’’

Finally, the equivalent value is

multiplied by the applicable assessment

rate of 0.45 percent due on imported

pork and pork products. The end result

is expressed in an amount per pound for

each type of pork or pork product. To

determine the amount per kilogram for

pork and pork products subject to

assessment under the Act and Order, the

cent per pound assessments are

multiplied by a metric conversion factor

2.2046 and carried to the sixth decimal.

The formula in the preamble for the

Order at 51 FR 31901 contemplated that

it would be necessary to recalculate the

equivalent live animal value of

imported pork and pork products to

reflect changes in the annual average

price of domestic barrows and gilts to

maintain equity of assessments between

domestic porcine animals and imported

pork and pork products.

The average annual market price

increased from $41.99 in 1995 to $52.77

in 1996, an increase of about 25 percent.

This increase would result in a

corresponding increase in assessments

for all HTS numbers listed in the table

in § 1230.110, 60 FR 29965; June 7,

1995, of an amount equal to eighthundredths of a cent per pound, or as

expressed in cents per kilogram,

nineteen-hundredths of a cent per

kilogram. Based on the most recent

available Department of Commerce,

Bureau of Census, data on the volume

of imported pork and pork products

available for the period January 1, 1995,

through September 30, 1995, the

proposed increase in assessment

amounts would result in an estimated

$310,000 increase in assessments over a

12-month period.

List of Subjects in 7 CFR Part 1230

Administrative practice and

procedure, Advertising, Agricultural

research, Marketing agreement, Meat

and meat products, Pork and pork

products.

For the reasons set forth in the

preamble, it is proposed that 7 CFR Part

1230 be amended as follows:

PART 1230—PORK PROMOTION,

RESEARCH, AND CONSUMER

INFORMATION

1. The authority citation for 7 CFR

Part 1230 continues to read as follows:

Authority: 7 U.S.C. 4801–4819.

2. In Subpart B—Rules and

Regulations, § 1230.110 is revised to

read as follows:

§ 1230.110 Assessments on imported pork

and pork products.

(a) The following HTS categories of

imported live porcine animals are

subject to assessment at the rate

specified.

Live porcine

animals Assessment

0103.10.0000 ... 0.45 percent Customs Entered Value.

0103.91.0000 ... 0.45 percent Customs Entered Value.

0103.92.0000 ... 0.45 percent Customs Entered Value.

(b) The following HTS categories of

imported pork and pork products are

subject to assessment at the rates

specified.

Pork and pork

products

Assessment

Cents/lb Cents/kg

0203.11.0000 .... .34 .749564

0203.12.1010 .... .34 .749564

0203.12.1020 .... .34 .749564

0203.12.9010 .... .34 .749564

0203.12.9020 .... .34 .749564

0203.19.2010 .... .39 .859794

0203.19.2090 .... .39 .859794

0203.19.4010 .... .34 .749564

0203.19.4090 .... .34 .749564

0203.21.0000 .... .34 .749564

0203.22.1000 .... .34 .749564

0203.22.9000 .... .34 .749564

0203.29.2000 .... .39 .859794

0203.29.4000 .... .34 .749564

0206.30.0000 .... .34 .749564

0206.41.0000 .... .34 .749564

0206.49.0000 .... .34 .749564

0210.11.0010 .... .34 .749564

0210.11.0020 .... .34 .749564

0210.12.0020 .... .34 .749564

0210.12.0040 .... .34 .749564

0210.19.0010 .... .39 .859794

0210.19.0090 .... .39 .859794

1601.00.2010 .... .47 1.036162

1601.00.2090 .... .47 1.036162

1602.41.2020 .... .51 1.124346

1602.41.2040 .... .51 1.124346

1602.41.9000 .... .34 .749564

1602.42.2020 .... .51 1.124346

1602.42.2040 .... .51 1.124346

1602.42.4000 .... .34 .749564

1602.49.2000 .... .47 1.036162

1602.49.4000 .... .39 .859794

Dated: February 20, 1997.

Lon Hatamiya,

Administrator.

[FR Doc. 97–4772 Filed 2–25–97; 8:45 am]

BILLING CODE 3410–02–P

SMALL BUSINESS ADMINISTRATION

13 CFR Part 120

Business Loan Programs

AGENCY: Small Business Administration.

ACTION: Proposed Rule.

SUMMARY: The U. S. Small Business

Administration (SBA) is proposing to

modify its rules regarding the financing

and securitization of the unguaranteed

portion of loans guaranteed under

Section 7(a) of the Small Business Act.

Present regulations provide these

options only to non-depository lenders.

(13 CFR 120.420, Revised as of March 1,

1996) These proposed rules would

permit both depository and nondepository lenders to pledge or

securitize the unguaranteed portions of

SBA guaranteed loans.

DATES: Comments must be received

March 28, 1997.

ADDRESSES: Comments may be mailed to

Jane Palsgrove Butler, Acting Associate