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[Federal Register Volume 76, Number 153 (Tuesday, August 9, 2011)]
[Rules and Regulations]
[Pages 48713-48714]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2011-20124]

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Rules and Regulations
                                                Federal Register
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This section of the FEDERAL REGISTER 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.

The Code of Federal Regulations is sold by the Superintendent of Documents. 
Prices of new books are listed in the first FEDERAL REGISTER issue of each 
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Federal Register / Vol. 76, No. 153 / Tuesday, August 9, 2011 / Rules 
and Regulations

[[Page 48713]]

DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 946

[Doc. No. AMS-FV-11-0024; FV11-946-3 FIR]

Irish Potatoes Grown in Washington; Modifications of the Rules 
and Regulations

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Affirmation of interim rule as final rule.

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SUMMARY: The Department of Agriculture is adopting, as a final rule, 
without change, an interim rule that extended the one-year suspension 
of the minimum quality, maturity, pack, marking, and inspection 
requirements prescribed for russet potato varieties under the 
Washington potato marketing order for the 2011-2012 and subsequent 
fiscal periods. The interim rule also extended the reporting 
requirement for russet potato handlers for the purpose of obtaining 
information necessary for administering the marketing order. This 
change is expected to reduce overall industry expenses and increase net 
returns to producers and handlers while allowing the industry the 
opportunity to continue exploring alternative marketing strategies.

DATES: Effective August 10, 2011.

FOR FURTHER INFORMATION CONTACT: Teresa Hutchinson or Gary Olson, 
Northwest Marketing Field Office, Marketing Order Administration 
Branch, Fruit and Vegetable Programs, AMS, USDA, Telephone: (503) 326-
2724, Fax: (503) 326-7440, or E-mail: Teresa.Hutchinson@ams.usda.gov or 
GaryD.Olson@ams.usda.gov.
    Small businesses may obtain information on complying with this and 
other marketing order regulations by viewing a guide at the following 
Web site: http://www.ams.usda.gov/MarketingOrdersSmallBusinessGuide; or 
by contacting Laurel May, Marketing Order Administration Branch, Fruit 
and Vegetable Programs, AMS, USDA, 1400 Independence Avenue, SW., STOP 
0237, Washington, DC 20250-0237; Telephone: (202) 720-2491, Fax: (202) 
720-8938, or E-mail: Laurel.May@ams.usda.gov.

SUPPLEMENTARY INFORMATION: This rule is issued under Marketing Order 
No. 946, as amended (7 CFR part 946), regulating the handling of Irish 
potatoes grown in Washington, 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.
    The handling of potatoes grown in Washington is regulated by 7 CFR 
part 946. This rule continues in effect the interim rule that extended 
the one-year suspension of the order's handling regulation for russet 
potato varieties for the 2011-2012 and subsequent fiscal periods. This 
change also extended the reporting requirement for russet potato 
handlers to obtain information necessary for the collection of 
assessments and statistical data. This change allows the Washington 
potato industry to continue marketing russet potatoes without regard to 
the minimum quality, maturity, pack, marking, and inspection 
requirements prescribed under the Washington potato marketing order.
    In an interim rule published in the Federal Register on May 13, 
2011, and effective on July 1, 2011, (76 FR 27850, Doc. No. AMS-FV-11-
0024, FV11-946-3 IR), the introductory text of Sec. Sec.  946.143 and 
946.336 were amended by removing text referring to the temporary 
suspension and replacing it with text referring to a permanent 
suspension.

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 action 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 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 43 handlers of Washington potatoes subject to regulation 
under the order (inclusive of the 33 russet potato handlers) and 
approximately 267 producers in the regulated production area. Small 
agricultural service firms are defined by the Small Business 
Administration (13 CFR 121.201) as those having annual receipts of less 
than $7,000,000, and small agricultural producers are defined as those 
having annual receipts of less than $750,000.
    During the 2009-2010 fiscal period, the Committee reports that 
9,765,131 hundredweight of Washington potatoes were shipped into the 
fresh market. Based on average f.o.b. prices estimated by the USDA's 
Economic Research Service and Committee data on individual handler 
shipments, the Committee estimates that 42, or approximately 98 percent 
of the handlers, had annual receipts of less than $7,000,000.
    In addition, based on information provided by the National 
Agricultural Statistics Service, the average producer price for 
Washington potatoes for 2010 was $7.55 per hundredweight. The average 
gross annual producer revenue for each of the 267 Washington potato 
producers is therefore calculated to be approximately $276,130. In view 
of the foregoing, the majority of Washington potato producers and 
handlers may be classified as small entities.
    This rule continues in effect the action that extended the one-year 
suspension of the handling regulation for russet potato varieties for 
the 2011-2012 and subsequent fiscal periods. This rule also continues 
in effect the action that extended the reporting requirement for russet 
potato handlers to obtain information necessary to administer the 
order. This change is expected to reduce overall industry expenses 
while providing the industry with the opportunity to continue exploring 
alternative marketing strategies. This rule amends the

[[Page 48714]]

introductory text in Sec. Sec.  946.143 and 946.336. Authority for the 
change in the order's rules and regulations is provided for in 
Sec. Sec.  946.70 and 946.52, respectively.
    This action is not expected to increase costs associated with the 
order requirements. Rather, this action represents a cost savings for 
handlers and has the potential to increase industry returns. This 
change extends the one-year suspension of minimum quality, maturity, 
pack, marking, and inspection requirements indefinitely. Though 
inspections will not be mandated for russet potatoes handled under the 
order, handlers may at their discretion choose to have their potatoes 
inspected. Handlers are thus able to control costs--which are generally 
passed on to producers--based on the demands of their customers. The 
opportunities and benefits of this rule are equally available to all 
Washington potato handlers and growers, regardless of their size.
    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. 0581-0178 (Vegetable and Specialty Crop Marketing 
Orders). 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 change continues the monthly reporting requirement for russet 
potato handlers. The reports provide the Committee with information 
necessary to track shipments and collect assessments. 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. In addition, USDA has not identified any 
relevant Federal rules that duplicate, overlap or conflict with this 
rule.
    Further, the Committee's meeting was widely publicized throughout 
the Washington potato industry and all interested persons were invited 
to participate in Committee deliberations. Like all Committee meetings, 
the January 26, 2011, meeting was a public meeting, and all entities, 
both large and small, were able to express views on this issue.
    Comments on the interim rule were required to be received on or 
before July 12, 2011. No comments were received. Therefore, for the 
reasons given in the interim rule, we are adopting the interim rule as 
a final rule, without change.
    To view the interim rule, go to: http://www.regulations.gov/#!documentDetail;D=AMS-FV-11-0024-0001.
    This action also affirms information contained in the interim rule 
concerning Executive Orders 12866 and 12988, the Paperwork Reduction 
Act (44 U.S.C. Chapter 35), and the E-Gov Act (44 U.S.C. 101).
    After consideration of all relevant material presented, it is found 
that finalizing the interim rule, without change, as published in the 
Federal Register (76 FR 27850, May 13, 2011) will tend to effectuate 
the declared policy of the Act.

List of Subjects in 7 CFR Part 946

    Marketing agreements, Potatoes, Reporting and recordkeeping 
requirements.

    Accordingly, the interim rule that amended 7 CFR 946.143 and 
946.336 and that was published at 76 FR 27850 on May 13, 2011, is 
adopted as a final rule, without change.

    Dated: August 3, 2011.
David R. Shipman,
Acting Administrator, Agricultural Marketing Service.
[FR Doc. 2011-20124 Filed 8-8-11; 8:45 am]
BILLING CODE 3410-02-P
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