Federal Register / Vol. 78, No. 80 / Thursday, April 25, 2013 / Rules and Regulations 24329 

on either small or large Florida citrus 

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. As noted in the initial 

regulatory flexibility analysis, USDA 

has not identified any relevant Federal 

rules that duplicate, overlap, or conflict 

with this final rule. 

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. 

A proposed rule concerning this 

action was published in the Federal 

Register on January 15, 2013 (78 FR 

2908). Copies of the proposed rule were 

also mailed or sent via facsimile to all 

Florida citrus handlers. Finally, the 

proposal was made available through 

the Internet by USDA and the Office of 

the Federal Register. A 10-day comment 

period ending January 25, 2013, was 

provided for interested persons to 

respond to the proposal. No comments 

were received. 

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. 

After consideration of all relevant 

material presented, including the 

information and recommendation 

submitted by the Committee and other 

available information, it is hereby found 

that this 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 that good cause 

exists for not postponing the effective 

date of this rule until 30 days after 

publication in the Federal Register 

because the crop year began August 1, 

handlers are already receiving 2012–13 

citrus from growers, and the order 

requires that the rate of assessment 

apply to all assessable citrus handled 

during such period. In addition, the 

Committee needs to have sufficient 

funds to pay its expenses, which are 

incurred on a continuous basis. Further, 

handlers are aware of this rule, which 

was recommended at a public meeting. 

Also, a 10-day comment period was 

provided for in the proposed rule, and 

no comments were received. 

List of Subjects in 7 CFR Part 905 

Grapefruit, Oranges, Reporting and 

recordkeeping requirements, Tangelos, 

Tangerines. 

For the reasons set forth in the 

preamble, 7 CFR part 905 is amended as 

follows: 

PART 905—ORANGES, GRAPEFRUIT, 

TANGERINES, AND TANGELOS 

GROWN IN FLORIDA 

■ 1. The authority citation for 7 CFR 

part 905 continues to read as follows: 

Authority: 7 U.S.C. 601–674. 

■ 2. Section 905.235 is revised to read 

as follows: 

§ 905.235 Assessment rate. 

On and after August 1, 2012, an 

assessment rate of $0.008 per 4⁄5 bushel 

carton or equivalent is established for 

Florida citrus covered under the order. 

Dated: April 22, 2013. 

David R. Shipman, 

Administrator, Agricultural Marketing 

Service. 

[FR Doc. 2013–09814 Filed 4–24–13; 8:45 am] 

BILLING CODE 3410–02–P 

DEPARTMENT OF AGRICULTURE 

Agricultural Marketing Service 

7 CFR Part 906 

[Doc. No. AMS–FV–12–0038; FV12–906–1 

FR] 

Oranges and Grapefruit Grown in 

Lower Rio Grande Valley in Texas; 

Increased Assessment Rate 

AGENCY: Agricultural Marketing Service, 

USDA. 

ACTION: Final rule. 

SUMMARY: This rule increases the 

assessment rate established for the 

Texas Valley Citrus Committee 

(Committee) for the 2012–13 and 

subsequent fiscal periods from $0.14 to 

$0.16 per 7/10-bushel carton or 

equivalent of oranges and grapefruit 

handled. The Committee locally 

administers the marketing order that 

regulates the handling of oranges and 

grapefruit grown in the Lower Rio 

Grande Valley in Texas (order). 

Assessments upon orange and grapefruit 

handlers are used by the Committee to 

fund reasonable and necessary expenses 

of the program. The fiscal period begins 

August 1 and ends July 31. The 

assessment rate will remain in effect 

indefinitely unless modified, 

suspended, or terminated. 

DATES: Effective April 26, 2013. 

FOR FURTHER INFORMATION CONTACT: 

Doris Jamieson, 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: 

Doris.Jamieson@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 Agreement 

and Order No. 906, as amended (7 CFR 

part 906), regulating the handling of 

oranges and grapefruit grown in Lower 

Rio Grande Valley in Texas, 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 

Reform. Under the marketing order now 

in effect, orange and grapefruit handlers 

are subject to assessments. Funds to 

administer the order are derived from 

such assessments. It is intended that the 

assessment rate as issued herein will be 

applicable to all assessable oranges and 

grapefruit beginning August 1, 2012, 

and continue until amended, 

suspended, or terminated. 

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. Such 

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 not later than 


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24330 Federal Register / Vol. 78, No. 80 / Thursday, April 25, 2013 / Rules and Regulations 

20 days after the date of the entry of the 

ruling. 

This rule increases the assessment 

rate established for the Committee for 

the 2012–13 and subsequent fiscal 

periods from $0.14 to $0.16 per 7/10- 

bushel carton or equivalent of oranges 

and grapefruit handled. 

The Texas orange and grapefruit 

marketing order provides authority for 

the Committee, with the approval of 

USDA, to formulate an annual budget of 

expenses and collect assessments from 

handlers to administer the program. The 

members of the Committee are 

producers and handlers of Texas 

oranges and grapefruit. They are 

familiar with the Committee’s needs and 

with the costs for goods and services in 

their local area and are thus in a 

position to formulate an appropriate 

budget and assessment rate. The 

assessment rate is formulated and 

discussed in a public meeting. Thus, all 

directly affected persons have an 

opportunity to participate and provide 

input. 

For the 2011–12 and subsequent fiscal 

periods, the Committee recommended, 

and USDA approved, an assessment rate 

that would continue in effect from fiscal 

period to fiscal period unless modified, 

suspended, or terminated by USDA 

based upon a recommendation and 

information submitted by the 

Committee or other information 

available to USDA. 

The Committee met on June 5, 2012, 

and unanimously recommended 2012– 

13 expenditures of $1,340,800 and an 

assessment rate of $0.16 per 7/10-bushel 

carton or equivalent of oranges and 

grapefruit handled. In comparison, last 

year’s budgeted expenditures were 

$1,273,537. The assessment rate of $0.16 

is $0.02 higher than the rate currently in 

effect. The increased assessment rate 

should generate sufficient income to 

cover anticipated expenses, including 

an increase in advertising and 

promotion, as well as allow the 

Committee to replenish funds in its 

reserves. 

The major expenditures 

recommended by the Committee for the 

2012–13 fiscal period include $575,000 

for promotion; $489,500 for the Mexican 

fruit fly control program; and $243,000 

for management, administration, and 

compliance. Budgeted expenses for 

these items in 2011–12 were $425,000, 

$564,500, and $250,737, respectively. 

The assessment rate recommended by 

the Committee was derived by dividing 

anticipated expenses by expected 

shipments of Texas oranges and 

grapefruit. Orange and grapefruit 

shipments for the 2012–13 fiscal period 

are estimated at 8.5 million 7/10-bushel 

cartons or equivalent, which should 

provide $1,360,000 in assessment 

income. Income derived from handler 

assessments should be adequate to cover 

budgeted expenses. Funds in the reserve 

(currently $78,090) will be kept within 

the maximum permitted by the order 

(approximately one fiscal period’s 

expenses as stated in § 906.35). 

The assessment rate established in 

this rule will continue in effect 

indefinitely unless modified, 

suspended, or terminated by USDA 

based upon a recommendation and 

information submitted by the 

Committee or other available 

information. 

Although this assessment rate will be 

in effect for an indefinite period, the 

Committee will continue to meet prior 

to or during each fiscal period to 

recommend a budget of expenses and 

consider recommendations for 

modification of the assessment rate. The 

dates and times of Committee meetings 

are available from the Committee or 

USDA. Committee meetings are open to 

the public and interested persons may 

express their views at these meetings. 

USDA will evaluate Committee 

recommendations and other available 

information to determine whether 

modification of the assessment rate is 

needed. Further rulemaking will be 

undertaken as necessary. The 

Committee’s 2012–13 budget and those 

for subsequent fiscal periods would be 

reviewed and, as appropriate, approved 

by USDA. 

Final 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 

rule on small entities. Accordingly, 

AMS has prepared this final regulatory 

flexibility analysis. 

The purpose of the RFA is to fit 

regulatory actions to the scale of 

business subject to such actions in order 

that small businesses will not be unduly 

or disproportionately burdened. 

Marketing orders issued pursuant to the 

Act, and the 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 170 

producers of oranges and grapefruit in 

the production area and 15 handlers 

subject to regulation under the 

marketing order. Small agricultural 

producers are defined by the Small 

Business Administration (SBA) as those 

having annual receipts less than 

$750,000, and small agricultural service 

firms are defined as those whose annual 

receipts are less than $7,000,000 (13 

CFR 121.201). 

According to Committee data and 

information from the National 

Agricultural Statistics Service, the 

weighted average grower price for Texas 

citrus during the 2010–11 season was 

around $11.30 per box and total 

shipments were near 7.3 million boxes. 

Using the weighted average price and 

shipment information, and assuming a 

normal distribution, the majority of 

growers would have annual receipts of 

less than $750,000. In addition, based 

on available information, approximately 

60 percent of Texas citrus handlers 

could be considered small businesses 

under SBA’s definition. Thus, the 

majority of producers and handlers of 

Texas citrus may be classified as small 

entities. 

This rule increases the assessment 

rate established for the Committee and 

collected from handlers for the 2012–13 

and subsequent fiscal periods from 

$0.14 to $0.16 per 7/10-bushel carton or 

equivalent of Texas oranges and 

grapefruit. The Committee unanimously 

recommended 2012–13 expenditures of 

$1,340,800 and an assessment rate of 

$0.16 per 7/10-bushel carton or 

equivalent handled. The assessment rate 

of $0.16 is $0.02 higher than the 2011– 

12 rate. The quantity of assessable 

oranges and grapefruit for the 2012–13 

fiscal period is estimated at 8.5 million 

7/10-bushel cartons or equivalent. Thus, 

the $0.16 rate should provide 

$1,360,000 in assessment income and be 

adequate to meet this year’s expenses. 

The major expenditures 

recommended by the Committee for the 

2012–13 fiscal period include $575,000 

for promotion; $489,500 for the Mexican 

fruit fly control program; and $243,000 

for management, administration and 

compliance. Budgeted expenses for 

these items in 2011–12 were $425,000, 

$564,500, and $250,737, respectively. 

The Committee reviewed and 

unanimously recommended 2012–13 

expenditures of $1,340,800, which 

included increases in promotional 

activities. The Committee considered 

proposed expenses and recommended 

increasing the assessment rate to cover 

the increase in the advertising and 

promotion program, as well as to allow 

the Committee to replenish funds in its 

reserve. 

Prior to arriving at this budget, the 

Committee considered information from 

various sources, such as the 

Committee’s Budget and Personnel 

Committee and the Market Development 

Committee. Alternative expenditure 

levels were discussed by these groups, 

based upon the relative value of various 


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Federal Register / Vol. 78, No. 80 / Thursday, April 25, 2013 / Rules and Regulations 24331 

research and promotion projects to the 

Texas citrus industry. The assessment 

rate of $0.16 per 7/10-bushel carton or 

equivalent of assessable oranges and 

grapefruit was then determined by 

dividing the total recommended budget 

by the quantity of assessable oranges 

and grapefruit, estimated at 8.5 million 

7/10-bushel cartons or equivalent for the 

2012–13 fiscal period. Based on 

estimated shipments, the recommended 

assessment rate of $0.16 should provide 

$1,360,000 in assessment income. This 

is approximately $19,200 above the 

anticipated expenses of $1,340,800, 

which the Committee determined to be 

acceptable as any assessments collected 

above expenditures are to be added to 

reserves. 

A review of historical information and 

preliminary information pertaining to 

the upcoming fiscal period indicates 

that the grower price for the 2012–13 

season could range between $8.98 and 

$16.35 per 7/10-bushel carton or 

equivalent of oranges and grapefruit. 

Therefore, the estimated assessment 

revenue for the 2012–13 fiscal period, as 

a percentage of total grower revenue, 

could range between 1 and 2 percent. 

This action increases the assessment 

obligation imposed on handlers. While 

assessments impose some additional 

costs on handlers, the costs are minimal 

and uniform on all handlers. Some of 

the additional costs may be passed on 

to producers. However, these costs are 

offset by the benefits derived by the 

operation of the marketing order. 

In addition, the Committee’s meeting 

was widely publicized throughout the 

Texas citrus industry and all interested 

persons were invited to attend the 

meeting and participate in Committee 

deliberations on all issues. Like all 

Committee meetings, the June 5, 2012, 

meeting was a public meeting and all 

entities, both large and small, were able 

to express views on this issue. 

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. 0581–0189 Generic 

Fruit Crops. 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 imposes no additional 

reporting or recordkeeping requirements 

on either small or large Texas orange 

and grapefruit 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. As 

noted in the initial regulatory flexibility 

analysis, USDA has not identified any 

relevant Federal rules that duplicate, 

overlap, or conflict with this final rule. 

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. 

A proposed rule concerning this 

action was published in the Federal 

Register on January 9, 2013 (78 FR 

1763). Copies of the proposed rule were 

also mailed or sent via facsimile to all 

orange and grapefruit handlers. Finally, 

the proposal was made available 

through the Internet by USDA and the 

Office of the Federal Register. A 10-day 

comment period ending January 22, 

2013, was provided for interested 

persons to respond to the proposal. No 

comments were received. 

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. 

After consideration of all relevant 

material presented, including the 

information and recommendation 

submitted by the Committee and other 

available information, it is hereby found 

that this 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 that good cause 

exists for not postponing the effective 

date of this rule until 30 days after 

publication in the Federal Register 

because handlers are already receiving 

2012–13 oranges and grapefruit from 

growers, and the crop year began on 

August 1 and the assessment rate 

applies to all oranges and grapefruit 

received during the 2012–13 and 

subsequent fiscal periods. In addition, 

the Committee needs to have sufficient 

funds to pay its expenses, which are 

incurred on a continuous basis. Further, 

handlers are aware of this rule which 

was recommended at a public meeting. 

Also, a 10-day comment period was 

provided for in the proposed rule, and 

no comments were received. 

List of Subjects in 7 CFR Part 906 

Grapefruit, Marketing agreements, 

Oranges, Reporting and recordkeeping 

requirements. 

For the reasons set forth in the 

preamble, 7 CFR part 906 is amended as 

follows: 

PART 906—ORANGES AND 

GRAPEFRUIT GROWN IN LOWER RIO 

GRANDE VALLEY IN TEXAS 

■ 1. The authority citation for 7 CFR 

part 906 continues to read as follows: 

Authority: 7 U.S.C. 601–674. 

■ 2. Section 906.235 is revised to read 

as follows: 

§ 906.235 Assessment rate. 

On and after August 1, 2012, an 

assessment rate of $0.16 per 7/10-bushel 

carton or equivalent is established for 

oranges and grapefruit grown in the 

Lower Rio Grande Valley in Texas. 

Dated: April 19, 2013. 

David R. Shipman, 

Administrator, Agricultural Marketing 

Service. 

[FR Doc. 2013–09734 Filed 4–24–13; 8:45 am] 

BILLING CODE 3410–02–P 

DEPARTMENT OF AGRICULTURE 

Agricultural Marketing Service 

7 CFR Part 922 

[Docket No. AMS–FV–12–0028; FV12–922– 

2 FIR] 

Apricots Grown in Designated 

Counties in Washington; Temporary 

Suspension of Handling Regulations 

AGENCY: Agricultural Marketing Service, 

USDA. 

ACTION: Affirmation of interim rule as 

final rule. 

SUMMARY: The Department of 

Agriculture (USDA) is adopting, as a 

final rule, without change, an interim 

rule that temporarily suspended the 

handling regulations and inspection 

requirements prescribed under the 

marketing order for apricots grown in 

designated Counties in Washington. The 

interim rule suspended the minimum 

grade, size, quality, maturity, and 

inspection requirements for the 2012– 

2013 fiscal period. This change is 

expected to reduce overall industry 

expenses and increase net returns to 

producers and handlers. 

DATES: Effective April 26, 2013. 

FOR FURTHER INFORMATION CONTACT: 

Manuel Michel, Marketing Specialist, or 

Gary Olson, Regional Director, 

Northwest Marketing Field Office, 

Marketing Order and Agreement 

Division, Fruit and Vegetable Program, 

AMS, USDA; Telephone: (503) 326– 


wreier-aviles on DSK5TPTVN1PROD with RULES