46494 Federal Register / Vol. 78, No. 148 / Thursday, August 1, 2013 / Rules and Regulations 

ARTICLES SUBJECT TO: APPENDIX 1, HISTORICAL LICENSES; APPENDIX 2, NON-HISTORICAL LICENSES; AND APPENDIX 3, 

DESIGNATED IMPORTERS LICENSES FOR QUOTA YEAR 2013—Continued 

[Quantities in kilograms] 

Appendix 1 Appendix 2 

Sum of 

Appendix 

1 & 2 

Appendix 3 

Grand total 

HTS 

Tokyo R. Uruguay R. Chapter 

4/2010 

EU–25 .................................... 1,840,852 2,584,055 4,424,907 .................... .................... 4,424,907 4,424,907 

Israel ...................................... .................... 0 0 50,000 .................... 50,000 50,000 

New Zealand ......................... .................... 0 0 1,000,000 .................... 1,000,000 1,000,000 

Other Countries ..................... .................... 1 1 .................... .................... 1 1 

SWISS OR EMMENTHALER 

CHEESE WITH EYE FORMATION (SW—NOTE 25) .............. 15,337,670 6,959,661 22,297,331 9,557,945 2,620,000 34,475,276 34,475,276 

Argentina ............................... .................... 9,115 9,115 70,885 .................... 80,000 80,000 

Australia ................................. 209,698 0 209,698 290,302 .................... 500,000 500,000 

Canada .................................. .................... 0 0 70,000 .................... 70,000 70,000 

EU–25 .................................... 10,979,785 5,497,043 16,476,828 4,003,172 2,420,000 22,900,000 22,900,000 

Iceland ................................... 149,999 0 149,999 150,001 .................... 300,000 300,000 

Israel ...................................... 27,000 0 27,000 .................... .................... 27,000 27,000 

Norway ................................... 3,159,885 495,425 3,655,310 3,227,690 .................... 6,883,000 6,883,000 

Switzerland ............................ 763,050 921,055 1,684,105 1,745,895 200,000 3,630,000 3,630,000 

Other Countries ..................... 48,253 37,023 85,276 .................... .................... 85,276 85,276 

TOTAL: CHEESE ARTICLES ....... 62,625,617 25,275,026 87,900,653 22,764,145 24,921,000 135,585,788 135,585,788 

TOTAL: CHEESE & NON– 

CHEESE .................................... 67,247,025 42,518,399 109,765,434 22,764,145 24,921,000 157,450,569 157,450,569 

[FR Doc. 2013–18568 Filed 7–31–13; 8:45 am] 

BILLING CODE 3410–10–P 

DEPARTMENT OF AGRICULTURE 

Agricultural Marketing Service 

7 CFR Part 930 

[Doc. No. AMS–FV–13–0030; FV13–930–2 

IR] 

Tart Cherries Grown in the States of 

Michigan, New York, Pennsylvania, 

Oregon, Utah, Washington, and 

Wisconsin; Revising Handler 

Reporting and Grower Diversion 

Requirements 

AGENCY: Agricultural Marketing Service, 

USDA. 

ACTION: Interim rule with request for 

comments. 

SUMMARY: This rule invites comments 

on changes to handler reporting and 

grower diversion requirements 

prescribed under the marketing order 

for tart cherries grown in the States of 

Michigan, New York, Pennsylvania, 

Oregon, Utah, Washington, and 

Wisconsin (order). The Cherry Industry 

Administrative Board (Board) locally 

administers the order. This rule changes 

the deadline for submitting the handler 

reserve plan from November 1 to 

October 1 and extends the deadline for 

redeeming or transferring grower 

diversion certificates from November 1 

to June 30 of a given crop year. A crop 

year is the 12-month period beginning 

on July 1 of any crop year and ending 

on June 30 of the following year. These 

changes will provide the industry with 

a more complete and timely picture of 

the available supply earlier in the 

season and give handlers more time and 

flexibility in meeting their obligations 

under volume regulation. 

DATES: Effective August 2, 2013; 

comments received by September 30, 

2013 will be considered prior to 

issuance of a final rule. 

ADDRESSES: Interested persons are 

invited to submit written comments 

concerning this rule. Comments must be 

sent to the Docket Clerk, Marketing 

Order and Agreement Division, Fruit 

and Vegetable Program, AMS, USDA, 

1400 Independence Avenue SW., STOP 

0237, Washington, DC 20250–0237; Fax: 

(202) 720–8938; or Internet: http:// 

www.regulations.gov. All comments 

should reference the document number 

and the date and page number of this 

issue of the Federal Register and will be 

made available for public inspection in 

the Office of the Docket Clerk during 

regular business hours, or can be viewed 

at: http://www.regulations.gov. All 

comments submitted in response to this 

rule will be included in the record and 

will be made available to the public. 

Please be advised that the identity of the 

individuals or entities submitting the 

comments will be made public on the 

internet at the address provided above. 

FOR FURTHER INFORMATION CONTACT: 

Jennie M. Varela, Marketing Specialist, 

or Christian D. Nissen, Regional 

Director, Southeast Marketing Field 

Office, Marketing Order and Agreement 

Division, Fruit and Vegetable Program, 

AMS, USDA; Telephone: (863) 324– 

3375, Fax: (863) 325–8793, or Email: 

Jennie.Varela@ams.usda.gov or 

Christian.Nissen@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 and 

Agreement No. 930, as amended (7 CFR 

part 930), regulating the handling of tart 

cherries grown in the States of 

Michigan, New York, Pennsylvania, 

Oregon, Utah, Washington, and 

Wisconsin, 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.’’ 

The Department of Agriculture 

(USDA) is issuing this rule in 

conformance with Executive Order 

12866. 

This rule has been reviewed under 

Executive Order 12988, Civil Justice 

mstockstill on DSK4VPTVN1PROD with RULES

Federal Register / Vol. 78, No. 148 / Thursday, August 1, 2013 / Rules and Regulations 46495 

Reform. This rule is not intended to 

have retroactive effect. 

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 

the entry of the ruling. 

This rule changes the deadline for 

submitting the handler reserve plan 

from November 1 to October 1 and 

extends the deadline for redeeming or 

transferring grower diversion certificates 

issued by the Board from November 1 to 

June 30 of a given crop year. These 

changes will provide the industry with 

a more complete and timely picture of 

the available supply earlier in the 

season and will provide handlers more 

time and flexibility in meeting their 

obligations under volume regulation. 

The Board unanimously approved these 

changes at its March 21, 2013, meeting. 

Sections 930.58 and 930.59 of the 

order provide authority for grower and 

handler diversion, respectively. In 

particular, § 930.59(c) requires that 

handlers notify the Board of their intent 

to divert cherries. These sections also 

provide authority for the Board to 

establish rules and regulations to 

administer these provisions, with the 

approval of the Secretary. 

Section 930.159 of the rules and 

regulations establishes requirements for 

handler diversion. This section 

currently states, in part, that handlers 

intending to divert cherries or cherry 

products under a volume regulation 

must notify the Board and submit their 

plan for complying with that season’s 

restriction obligation by November 1. 

Section 930.158 of the order’s rules 

and regulations establishes 

requirements for using grower diversion 

certificates. This section currently 

provides that handlers redeem grower 

diversion certificates with the Board by 

November 1 of the crop year, as the 

certificates will not be valid after that 

date. 

Section 930.58 of the order was 

recently amended to exempt cherries 

diverted in the orchard (grower 

diversion) from inclusion in a handler’s 

total volume calculation. When a 

volume regulation is issued, handlers 

are obligated to keep a percentage of 

their total volume in reserve or account 

for the restricted volume with diversion 

certificates. These certificates can be 

earned through export sales, new market 

or new product sales, or through grower 

diversion. Before the amendment, the 

volume of cherries represented by a 

grower diversion certificate was added 

to the handler’s total volume. Following 

the amendment, handlers can redeem 

grower diversion certificates without 

adding tonnage to their total volume. 

Amendments to an order often require 

conforming changes or adjustments to 

the administrative rules and regulations. 

The Board created a committee to 

review the order’s diversion and 

reporting regulations and present any 

recommended changes to the Board. 

This rule implements the two 

recommended changes: Changing the 

due date for the handler reserve plan to 

October 1, and allowing the transfer and 

redemption of grower diversion 

certificates through the end of the crop 

year, June 30. 

Separating grower diversion 

certificates from a handler’s total 

volume simplified the completion of the 

reserve plan. Consequently, the Board 

believes handlers will be able to 

complete their reserve plan for 

restricted tart cherries at an earlier date. 

As a result, the Board recommended 

that the deadline for submitting handler 

reserve plans be changed from 

November 1 to October 1 of each season. 

The reserve plan is submitted in 

combination with a handler’s final pack 

report. The Board consolidates this data 

and uses it to issue reports on the final 

volume processed and available 

inventory. This date change will 

provide the industry a more complete 

and timely picture of the available 

supply earlier in the season. This 

information is important to the industry, 

especially when considering the release 

of additional reserves when a volume 

regulation is in effect. 

Originally, the deadline to redeem 

grower diversion certificates was tied to 

the handler reserve plan as handlers 

needed to account for grower diversion 

when calculating their total volume. As 

such, current regulations establish a due 

date of November 1 for grower diversion 

certificates, while other diversion 

certificates can be transferred 

throughout the season. With the 

amendment to the order, grower 

diversion certificates no longer need to 

be linked to when the handler reserve 

plan is due. To bring consistency to the 

use of diversion certificates, the Board 

recommended allowing handlers to 

transfer and redeem grower diversion 

certificates through the end of the 

season, June 30. This change also 

provides handlers additional time and 

flexibility in meeting restriction 

obligations. 

In addition to adjusting the deadline 

for submitting the handler reserve plan 

and extending the deadline for 

redeeming grower diversion certificates, 

this rule also makes a minor wording 

change to § 930.158 to facilitate the 

change in date. 

Initial Regulatory Flexibility Analysis 

Pursuant to 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 initial 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. 

There are approximately 600 

producers of tart cherries in the 

regulated area and approximately 40 

handlers of tart cherries who are subject 

to regulation under the order. Small 

agricultural producers are defined by 

the Small Business Administration 

(SBA) as those having annual receipts of 

less than $750,000 and small 

agricultural service firms have been 

defined as those having annual receipts 

of less than $7,000,000 (13 CFR 

121.201). 

According to data from the National 

Agricultural Statistics Service and the 

Board, the average annual grower price 

for tart cherries during the 2012–13 

season was $0.54 per pound, and total 

shipments were around 85 million 

pounds. Therefore, average receipts for 

tart cherry producers were around 

$76,200, well below the SBA threshold 

for small producers. In 2013, The Food 

Institute estimated an f.o.b. price of 

$0.84 per pound for frozen tart cherries, 

which make up the majority of 

processed tart cherries. Using this data, 

average annual handler receipts were 

about $1.8 million, also below the SBA 

threshold for small agricultural service 

firms. Assuming a normal distribution, 

the majority of producers and handlers 

mstockstill on DSK4VPTVN1PROD with RULES

46496 Federal Register / Vol. 78, No. 148 / Thursday, August 1, 2013 / Rules and Regulations 

of tart cherries may be classified as 

small entities. 

This rule modifies § 930.159, 

changing the deadline for submitting the 

handler reserve plan from November 1 

to October 1. This rule also modifies 

§ 930.158 to extend the deadline for 

redeeming or transferring grower 

diversion certificates issued by the 

Board from November 1 to June 30 of a 

given crop year. These changes are 

authorized under §§ 930.59 and 930.58, 

respectively. These changes will 

provide the industry with a more 

complete and timely picture of the 

available supply earlier in the season. In 

addition, the new deadline for 

transferring grower diversion certificates 

will allow handlers more time and 

flexibility in meeting their obligations 

under volume regulation. 

It is not anticipated that this rule will 

generate any additional costs for 

growers or handlers. This action is 

intended to adjust regulations to reflect 

recent amendments to the order and to 

allow the order to function more 

efficiently. These changes are expected 

to benefit the industry by providing a 

clear picture of available supply earlier 

in the season, and by allowing handlers 

more time to utilize grower diversion 

certificates to meet their restriction 

under volume regulation. These changes 

should impact all entities positively, 

regardless of size. 

Regarding alternatives to this action, 

the Board considered not making any 

changes to the regulations regarding the 

handler reserve plan or grower 

diversion certificates. However, the 

Board unanimously supported an earlier 

date for the handler reserve plan as all 

handlers are aware of the restriction 

well in advance and it would provide 

timely information regarding the season. 

Additionally, the Board determined that 

changing the deadline for redeeming 

grower diversion certificates was in line 

with the industry’s objective to have 

consistency among the application of 

diversion credits. As such, these 

alternatives were rejected. 

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. 0581–0177, (Tart 

Cherries Grown in the States of 

Michigan, New York, Pennsylvania, 

Oregon, Utah, Washington, and 

Wisconsin). No changes in those 

requirements as a result of this action 

are necessary. Should any changes 

become necessary, they would be 

submitted to OMB for approval. 

This rule will require changes to 

Cherry Industry Administrative Board 

Form 4, ‘‘Handler Reserve Plan and 

Final Pack Report’’. However, these 

changes are minor and the currently 

approved burden for the form remains 

the same. The revised form has been 

submitted to OMB for approval. 

This rule will not impose any 

additional reporting or recordkeeping 

requirements on either small or large 

tart cherry handlers. 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. 

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. 

In addition, USDA has not identified 

any relevant Federal rules that 

duplicate, overlap or conflict with this 

rule. 

Further, the Board’s meeting was 

widely publicized throughout the tart 

cherry industry and all interested 

persons were invited to attend the 

videoconference meeting at regional 

locations or call in to participate in the 

Board’s deliberations. Like all Board 

meetings, the March 21, 2013, meeting 

was a public meeting and all entities, 

both large and small, were able to 

express their views on these issues. 

Finally, interested persons are invited to 

submit comments on this interim rule, 

including the regulatory and 

informational impacts of this action on 

small businesses. 

A small business guide on complying 

with fruit, vegetable, and specialty crop 

marketing agreements and orders may 

be viewed at: 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. 

This rule invites comments on 

changes to handler reporting and grower 

diversion requirements prescribed 

under the order. Any comments 

received will be considered prior to 

finalization of this rule. 

After consideration of all relevant 

material presented, including the 

Board’s recommendation, and other 

information, it is found that this 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) The order amendments 

prompting these changes were 

implemented on June 7, 2012; (2) the 

Board unanimously recommended these 

changes at a public meeting and 

interested parties had an opportunity to 

provide input; (3) this change relaxes 

the date for utilizing grower diversion 

certificates; (4) handlers begin to make 

plans regarding diversion requirements 

in July; and (5) 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 930 

Marketing agreements, Reporting and 

recordkeeping requirements, Tart 

cherries. 

For the reasons set forth in the 

preamble, 7 CFR part 930 is amended as 

follows: 

PART 930—TART CHERRIES GROWN 

IN THE STATES OF MICHIGAN, NEW 

YORK, PENNSYLVANIA, OREGON, 

UTAH, WASHINGTON, AND 

WISCONSIN 

■ 1. The authority citation for 7 CFR 

part 930 continues to read as follows: 

Authority: 7 U.S.C. 601–674. 

§ 930.158 [Amended] 

■ 2. In § 930.158, paragraph (a) is 

amended by removing the words 

‘‘November 1’’ and adding in their place 

‘‘June 30’’ everywhere they appear. 

§ 930.159 [Amended] 

■ 3. In § 930.159, paragraph (b) is 

amended by removing the word 

‘‘November’’ and adding in its place 

‘‘October’’ in the first sentence, and 

removing the words ‘‘certificates 

redeemed’’ and adding in their place 

‘‘certificates to be redeemed’’ in the 

fourth sentence. 

Dated: July 25, 2013. 

Rex A. Barnes, 

Associate Administrator, Agricultural 

Marketing Service. 

[FR Doc. 2013–18432 Filed 7–31–13; 8:45 am] 

BILLING CODE 3410–02–P 

mstockstill on DSK4VPTVN1PROD with RULES