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

26946 

Vol. 76, No. 90 

Tuesday, May 10, 2011 

DEPARTMENT OF AGRICULTURE 

Agricultural Marketing Service 

7 CFR Part 1206 

[Document No. AMS–FV–11–0021] 

Mango Promotion, Research, and 

Information Order; Assessment 

Increase 

AGENCY: Agricultural Marketing Service, 

USDA. 

ACTION: Proposed rule. 

SUMMARY: This rule proposes 

amendment of the Mango Promotion, 

Research, and Information Order (Order) 

to increase the assessment rate on first 

handlers and importers of mangos from 

one half cent per pound to three 

quarters of a cent per pound. The 

increase is permitted under the Order, 

which is authorized by the Commodity 

Promotion, Research, and Information 

Act of 1996 (Act). The National Mango 

Board (Board), which administers the 

Order, recommended this action to 

ensure that the Board’s research and 

promotion programs continue to be 

adequately funded. 

DATES: Comments must be received by 

July 11, 2011. 

ADDRESSES: Comments may be 

submitted electronically at http:// 

www.regulations.gov. Comments may 

also be sent to the Research and 

Promotion Branch, Fruit and Vegetable 

Programs, Agricultural Marketing 

Service (AMS), U.S. Department of 

Agriculture, Room 0634–S, Stop 0244, 

1400 Independence Avenue, SW, 

Washington, DC 20250–0244; fax (202) 

205–2800. All comments submitted 

should reference the document number 

and title of this proposed rule, and will 

be included in the record and made 

available for public inspection. 

Comments may be viewed on the 

Internet at http://www.regulations.gov, 

or at the above office. Please be advised 

that the identity of individuals or 

entities submitting comments will be 

made public on the Internet at the above 

Web site. 

FOR FURTHER INFORMATION CONTACT: 

Veronica Douglass, Marketing 

Specialist, Research and Promotion 

Branch, Fruit and Vegetable Programs, 

AMS, USDA, 1400 Independence 

Avenue SW, Room 0634–S, Stop 0244, 

Washington, DC 20250–0244; telephone: 

(888) 720–9917; fax: (202) 205–2800; email: veronica.douglass@ams.usda.gov. 

SUPPLEMENTARY INFORMATION: This rule 

is issued under the Mango Promotion, 

Research, and Information Order (Order) 

(7 CFR part 1206). The Order is 

authorized under the Commodity 

Promotion, Research, and Information 

Act of 1996 (Act) (7 U.S.C. 7411–7425). 

Executive Order 12866 

The Office of Management and Budget 

(OMB) has waived the review process 

required by Executive Order 12866 for 

this action. 

Executive Order 12988 

This rule has been reviewed under 

Executive Order 12988, Civil Justice 

Reform. It is not intended to have a 

retroactive effect. 

Section 524 of the Act provides that 

the Act shall not affect or preempt any 

other State or Federal law authorizing 

promotion or research relating to an 

agricultural commodity. 

Under the Act, a person subject to an 

order may file a petition with the U.S. 

Department of Agriculture (Department) 

stating that an order, any provision of an 

order, or any obligation imposed in 

connection with an order, is not 

established in accordance with the law, 

and requesting a modification of an 

order or an exemption from an order. 

Any petition filed challenging an order, 

any provision of an order, or any 

obligation imposed in connection with 

an order, shall be filed within two years 

after the effective date of an order, 

provision, or obligation subject to 

challenge in the petition. The petitioner 

will have the opportunity for a hearing 

on the petition. Thereafter, the 

Department will issue a ruling on the 

petition. The Act provides that the 

district court of the United States for 

any district in which the petitioner 

resides or conducts business shall have 

the jurisdiction to review a final ruling 

on the petition, if the petitioner files a 

complaint for that purpose not later 

than 20 days after the date of the entry 

of the Department’s final ruling. 

Regulatory Flexibility Analysis and 

Paperwork Reduction Act 

In accordance with 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 the small 

entities that would be affected by this 

rule. The purpose of the RFA is to fit 

regulatory action to scale on businesses 

subject to such action so that small 

businesses will not be 

disproportionately burdened. 

The Small Business Administration 

defines small agricultural producers as 

those having annual receipts of no more 

than $750,000 and small agricultural 

service firms as those having annual 

receipts of no more than $7 million (13 

CFR part 121). First handlers and 

importers would be considered 

agricultural service firms, and the 

majority of mango producers, first 

handlers and importers would be 

considered small businesses. Although 

this criterion does not factor in 

additional monies that may be received 

by producers, handlers and importers of 

mangos, it is an inclusive standard for 

identifying small entities. 

Mango producers are not subject to 

the assessment. First handlers and 

importers who market or import less 

than 500,000 pounds of mangos 

annually are exempt from the 

assessment. Mangos that are exported 

out of the United States are also exempt 

from assessment. Furthermore, while 

domestic and foreign producers are not 

subject to assessment under the order, 

but such individuals are eligible to serve 

on the Board along with importers and 

first handlers. Currently, approximately 

five first handlers and 193 importers are 

subject to assessment under the Order. 

Under the current Order, first 

handlers and importers of 500,000 

pounds or more of mangos per year each 

pay a mandatory assessment of one half 

cent per pound of mangos handled or 

imported. The proposed amendment to 

the Order would increase the rate of 

assessment currently paid by first 

handlers and importers of mangos to 

three quarters of a cent per pound. 

Exempt handlers and importers would 

remain exempt from assessment. While 

this amendment will have an economic 

impact on handlers and importers of 

more than 500,000 pounds of mangos 

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Federal Register / Vol. 76, No. 90 / Tuesday, May 10, 2011 / Proposed Rules 26947 

per year, the impact is expected to be 

offset by the benefits to the mango 

industry. Assessment revenue is used by 

the Board to finance promotion, 

research, and information programs 

designed to increase consumer demand 

for mangos. Assessments at the current 

rate of one half cent per pound generate 

about $3.4 million in annual revenue. 

The Order is administered by the Board 

under U.S. Department of Agriculture 

supervision. 

According to the Board, additional 

revenue is needed to avoid reductions 

in the promotions budget and to 

increase investment in marketing and 

research programs. At its September 

2009 meeting, the Board voted to 

propose a 50 percent increase in the 

mango assessment rate upon completion 

of the March 2010 referendum to 

determine whether mango handlers and 

importers favored continuation of the 

Order. The proposed increase is 

consistent with section 1206.42(b) of the 

Order, which permits modification of 

the assessment rate by the Board with 

the approval of the Secretary, after the 

first referendum is conducted. 

Mango assessment collections began 

on January 3, 2005, however, Board 

activities did not begin until 2006. 

Consequently, the Board was able to 

grow a considerable reserve that was 

used to supplement annual assessment 

revenues from 2007 until 2009. In 2010, 

higher than expected assessment 

revenue made it possible for the Board 

to operate without exceeding the total 

assessments collected for that year and 

to begin 2011 with approximately $1.6 

million in available resources. However, 

with 2011 spending projected at 

approximately $4.3 million and 

assessment income projected at 

approximately $3.2 million, the Board is 

expected to begin 2012 with a reserve of 

$505,244. With no extra funds available 

from reserves, and if the assessment rate 

is kept at the current level, the Board’s 

budget would be decreased. 

In 2010, an econometric study of the 

effects of the Board’s promotion 

activities on U.S. mango demand was 

conducted by Dr. Ronald Ward of the 

University of Florida. The study 

indicates that from 2005 through 2009, 

the value of mango imports to the U.S. 

grew from $169 million to $217 million. 

This is significant as the vast majority 

of mangos consumed in the U.S. are 

imported. The growth in value is the 

result of both higher prices and greater 

volumes imported. The study also found 

that the Board’s activities have had a 

positive economic impact on the 

demand for mangos, both in attracting 

more buyers and in increasing the 

number of mangos purchased per buyer. 

According to the study, increased 

spending by the Board would 

correspond to increases in market 

penetration and the number of 

households purchasing mangos. 

Likewise, decreased spending would 

correspond to declines in both of those 

areas. Based on the analysis of these two 

factors and the value of mango imports, 

the study concludes that every $1 

invested in the Board adds an additional 

$7 to mango freight on board revenues. 

This study is available from the Board 

and the Agricultural Marketing Service 

Web site. 

An increase of one quarter of a cent 

per pound in the mango assessment rate 

is expected to add an additional $1.6 

million per year to the Board’s 

assessment revenue. With the additional 

revenue collected, the Board intends to 

invest primarily in marketing and 

research programs. In addition, the 

Board would be able to establish a 

contingency fund to ensure consistent 

funding in the face of market instability. 

The Board considered three 

alternatives prior to recommending that 

the assessment rate be increased. First, 

the Board considered reducing 

investment in its research program. 

However, postponing the human 

nutrition studies that may help the 

Board to develop health messages that 

increase demand for mangos could 

hinder expansion of the U.S. mango 

market. Second, the Board considered 

limiting investment in programs 

designed to improve the quality of 

mangos available at the retail level. 

Delivering higher quality mangos to U.S. 

consumers is one of the Board’s top 

priorities because higher quality 

translates to higher demand. Third, the 

Board considered reducing funding for 

its marketing programs. Lowering the 

funding level for marketing programs 

would significantly reduce the Board’s 

ability to conduct promotion and 

consumer marketing activities, thereby 

hindering its efforts to increase demand 

for mangos. 

This rule does not impose additional 

recordkeeping requirements on first 

handlers, importers, or producers of 

mangos. Additionally, first handlers or 

importers of less than 500,000 pounds 

of mangos per year are exempt. 

There are no Federal rules that 

duplicate, overlap, or conflict with this 

rule. Additionally, section 517(c) of the 

Act states that not more than one 

assessment may be levied on a first 

handler or importer. 

In accordance with the Office of 

Management and Budget (OMB) 

regulation (5 CFR part 1320) that 

implements the Paperwork Reduction 

Act of 1995 (44 U.S.C. Chapter 35), the 

information collection and 

recordkeeping requirements that are 

imposed by the Order have been 

approved previously under OMB 

control number 0581–0093. This rule 

does not result in a change to the 

information collection and 

recordkeeping requirements previously 

approved. 

We have performed this initial 

Regulatory Flexibility Analysis 

regarding the impact of this proposed 

amendment to the Order on small 

entities and we invite comments 

concerning potential effects of this 

amendment on small businesses. 

Background 

Under the Order, the Board 

administers a nationally coordinated 

program of research and promotion 

designed to strengthen the position of 

mangos in the marketplace and to 

establish, maintain, and expand U.S. 

markets for mangos. The program is 

financed by assessments on first 

handlers and importers of 500,000 

pounds or more of mangos per year. The 

Order specifies that first handlers are 

responsible for submitting assessments 

to the Board on a monthly basis and 

maintaining records necessary to verify 

their reporting. Importers are 

responsible for paying assessments on 

mangos imported for marketing in the 

United States through the U.S. Customs 

and Border Protection Service of the 

U.S. Department of Homeland Security. 

This rule proposes an increase of one 

quarter of a cent per pound in the 

mango assessment rate. Currently, the 

assessment rate is one half cent per 

pound of mangos handled domestically 

or imported into the United States. In 

order to sustain and expand its 

promotion, research, and 

communications programs, the Board 

contends that additional revenue is 

required. The proposed assessment rate 

increase is expected to generate an 

additional $1.6 million annually, 

depending on the volume of mangos 

handled in the United States or 

imported into the United States. In 

2010, a total of 717,830,404 pounds of 

mangos were subject to assessment, 

resulting in approximately $3.6 million 

in assessment revenue. Less than one 

percent of the total assessments were 

from domestic handlers as the vast 

majority of assessments were collected 

from importers. The Board states that 

the proposed assessment rate increase 

would enable it to make additional 

investments in its marketing and 

research programs. In addition, the 

Board states that some of the additional 

revenue could be used to establish a 

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26948 Federal Register / Vol. 76, No. 90 / Tuesday, May 10, 2011 / Proposed Rules 

contingency fund to ensure consistent 

funding for its programs. 

The Board, whose members represent 

domestic producers, first handlers, 

importers, and foreign producers, voted 

at its September 12, 2009, meeting to 

propose the assessment rate increase of 

one quarter of a cent per pound after the 

March 2010 continuance referendum. Of 

the members present at the meeting, 9 

voted in favor and 4 opposed proposal 

of the assessment rate increase. The four 

Board members that voted against the 

assessment increase stated that the 

increase would be passed onto mango 

producers. The assessment will be 

imposed on first handlers and importers 

who would pay assessments under the 

Order. Business decisions on how to 

manage assessments, including whether 

to pass back the cost of assessments to 

producers, are made by handlers and 

importers based on their respective 

business practices. 

This rule would amend the rules and 

regulations issued under the Order. This 

rule would increase the assessment rate 

by one quarter of a cent per pound of 

mangos handled in the United States or 

imported. The assessment rate would 

increase from one half cent to three 

quarters of a cent per pound. This 

proposed increase is consistent with 

section 517(d) of the Act, which permits 

the Board to recommend to the 

Secretary a rate of assessment. Section 

1206.42(a) of the Order states that the 

assessment rate may be modified by the 

Board with the approval of the 

Secretary, after the first referendum is 

conducted. The Board recommends the 

proposed assessment rate increase based 

on budget constraints imposed on its 

marketing, research, and industry 

relations programs by the current 

assessment rate. Accordingly, section 

1206.42(b) of the Order would be 

revised. 

A 60-day comment period is provided 

to allow interested persons to respond 

to this proposal. All written comments 

received in response to this rule by the 

date specified would be considered 

prior to finalizing this action. 

List of Subjects in 7 CFR Part 1206 

Administrative practice and 

procedure, Advertising, Consumer 

information, Marketing agreements, 

Mango promotion, Reporting and 

recording requirements. 

For the reasons set forth in the 

preamble, 7 CFR part 1206 is proposed 

to be amended as follows: 

PART 1206—MANGO RESEARCH, 

PROMOTION, AND INFORMATION 

ORDER 

1. The authority citation for 7 CFR 

part 1206 continues to read as follows: 

Authority: 7 U.S.C. 7411–7425 and 7 

U.S.C. 7401. 

2. In section 1206.42, paragraph (b) is 

revised to read as follows: 

§ 1206.42 Assessments. 

* * * * * 

(b) The assessment rate shall be three 

quarters of a cent per pound on all 

mangos. The assessment rate will be 

reviewed and may be modified by the 

Board with the approval of the 

Department, after the first referendum is 

conducted as stated in § 1206.71(b). The 

Department will amend this section if 

the assessment rate is modified. 

* * * * * 

Dated: April 29, 2011. 

Rayne Pegg, 

Administrator, Agricultural Marketing 

Service. 

[FR Doc. 2011–11042 Filed 5–9–11; 8:45 am] 

BILLING CODE 3410–02–P 

SMALL BUSINESS ADMINISTRATION 

13 CFR Parts 121, 124, 125, 126, and 

127 

[Docket No. SBA–2011–006] 

Small Business Jobs Act Tour: 

Selected Provisions Having an Effect 

on Government Contracting 

AGENCY: U.S. Small Business 

Administration (SBA) 

ACTION: Notice of public meetings; 

correction. 

SUMMARY: The Small Business 

Administration (SBA) published a 

document in the Federal Register on 

Friday, March 25, 2011, concerning the 

Small Business Act Tour: Selected 

Provisions Having an Effect on 

Government that announced a series of 

public meetings on the implementation 

of provisions of the Small Business Jobs 

Act of 2010 (SBJA). This document 

corrects the DATES section and the Event 

Information table. 

FOR FURTHER INFORMATION CONTACT: 

Richard L. Miller, Small Business Job’s 

Act Tour-Office of Government 

Contracting and Business Development, 

409 Third Street, SW., Washington, DC 

20416, at (202) 205–6895, Fax (202) 

481–4291, or e-mail 

richard.miller@sba.gov. 

Correction 

In the Federal Register of March 25, 

2011, in FR Doc. 2011–7135, on page 

16703, in the second column, correct 

the DATES caption to read: 

DATES: The meetings will be held on the 

dates and times specified in the Event 

Information section of the Supplementary 

Information below. It is recommended that 

all attendees register at least one week prior 

to the scheduled meeting date. In addition, 

comments to SBA docket number SBA– 

2011–0006 must be received on or before 

June 6, 2011. 

In the Federal Register of March 25, 

2011, in FR Doc. 2011–7135, on page 

16706, in the third column, correct the 

‘‘Event Information’’ caption to read: 

III. Event Information 

Location Date Address 

Seattle, WA ............ May 9, 2011, Begins 1 p.m., Ends 5:30 p.m ......................... Holiday Inn Seattle-SeaTac International Airport, 17338 

International Blvd, Seattle, WA 98188. 

Denver, CO ............ May 24, 2011, Begins 9 a.m., Ends 4:15 p.m ....................... PPA Event Center, 2105 Decatur Street, Denver, CO 

80211. 

Albuquerque, NM ... June 2, 2011, Begins 9 a.m., Ends 4:15 p.m ........................ Embassy Suites Albuquerque, 1000 Woodward Place NE, 

Albuquerque, NM 87102. 

San Diego, CA ....... June 3, 2011, Begins 9 a.m., Ends 4:15 p.m ........................ Scottish Rite Event Center, 1985 Camino del Rio, South, 

San Diego, CA 92108. 

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