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

25969 

Vol. 80, No. 87 

Wednesday, May 6, 2015 

DEPARTMENT OF AGRICULTURE 

Agricultural Marketing Service 

7 CFR Part 900 

[Docket No. AMS–FV–14–0072; FV14–900– 

2 PR] 

Clarification of United States Antitrust 

Laws, Immunity, and Liability Under 

Marketing Order Programs 

AGENCY: Agricultural Marketing Service, 

USDA. 

ACTION: Proposed rule. 

SUMMARY: This proposal invites 

comments on an amendment to the 

general regulations for federal fruit, 

vegetable, and specialty crop marketing 

agreements and marketing orders that 

would accentuate the applicability of 

U.S. antitrust laws to marketing order 

programs’ domestic and foreign 

activities. This action would also advise 

marketing order board and committee 

members and personnel of the 

restrictions, limitations, and liabilities 

imposed by those laws. 

DATES: Comments must be received by 

June 5, 2015. 

ADDRESSES: Interested persons are 

invited to submit written comments 

concerning this proposal. 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 proposal 

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: 

Geronimo Quinones, Marketing 

Specialist, or Michelle P. Sharrow, 

Rulemaking Branch Chief, 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: 

Geronimo.Quinones@ams.usda.gov or 

Michelle.Sharrow@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 

proposal is issued under the general 

regulations for federal marketing 

agreements and orders (7 CFR part 900), 

effective under the Agricultural 

Marketing Agreement Act of 1937, as 

amended (7 U.S.C. 601–674), hereinafter 

referred to as the ‘‘Act.’’ This action 

would add a new § 900.202 (Restrictions 

applicable to Committee personnel) 

under ‘‘Subpart—Miscellaneous 

Regulations’’ to accentuate the 

applicability of U.S. antitrust laws to 

marketing order program activities. 

The Department of Agriculture 

(USDA) is issuing this proposed rule in 

conformance with Executive Orders 

12866, 13563, and 13175. 

This proposal has been reviewed 

under Executive Order 12988, Civil 

Justice Reform. This proposed 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 

not later than 20 days after the date of 

the entry of the ruling. 

Federal marketing order boards and 

committees have always been subject to 

U.S. antitrust laws. These boards and 

committees work with USDA in 

administering marketing order programs 

which, among other things, authorizes 

them, with approval of the Secretary, to 

establish and promote a program’s 

domestic and foreign marketing 

activities. The Act immunizes board and 

committee members and employees 

from prosecution under U.S. antitrust 

laws so long as their conduct is 

authorized by the Act or provisions of 

a marketing order. This proposal is 

intended to accentuate the applicability 

of U.S. antitrust laws to marketing order 

board and committee members and 

personnel in light of changing global 

marketing and production trends as well 

as to advise boards and committees of 

the restrictions, limitations, and 

liabilities of those laws. Under these 

laws, Committee members and 

employees may not engage in any 

unauthorized agreement or concerted 

action that unreasonably restrains 

United States domestic or foreign 

commerce. Failing to adhere to antitrust 

laws may lead to prosecution under the 

antitrust laws by the United States 

Department of Justice and/or suit by 

injured private persons seeking treble 

damages, and may also result in 

expulsion of members from the 

Committee or termination of 

employment with the Committee. 

Initial Regulatory Flexibility Act 

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 


tkelley on DSK3SPTVN1PROD with PROPOSALS
25970 Federal Register / Vol. 80, No. 87 / Wednesday, May 6, 2015 / Proposed Rules 

small entities acting on their own 

behalf. 

There are approximately 1,090 

handlers who are subject to regulation 

under the 28 federal marketing order 

programs and approximately 33,100 

producers in the regulated areas. Small 

agricultural service firms are defined by 

the Small Business Administration 

(SBA) 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 (13 CFR 121.201). USDA 

estimates that many of these handlers 

and producers may be classified as 

small entities. This rule would 

accentuate the applicability of U.S. 

antitrust laws to marketing order 

programs’ domestic and foreign 

activities. This action would also advise 

marketing order board and committee 

members and personnel of the 

restrictions, limitations, and liabilities 

imposed by those laws. 

Paperwork Reduction Act 

This rule contains no information 

collection or recordkeeping 

requirements under the Paperwork 

Reduction Act of 1995 (44 U.S.C. 3501– 

3520). 

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. 

USDA has not identified any relevant 

Federal rules that duplicate, overlap, or 

conflict with this proposed rule. 

AMS has discussed the changes to the 

regulations with all marketing order 

board and committee staff that it 

oversees. Moreover, AMS conducted 

refresher training on antitrust laws for 

marketing order board and committee 

staff and officers at the Marketing Order 

Management Conference on September 

23–24, 2014. Finally, interested persons 

are invited to submit comments on this 

proposed 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. 

A 30-day comment period is provided 

to allow interested persons to respond 

to this proposal. Thirty days is deemed 

appropriate because federal marketing 

order boards and committees have 

always been subject to U.S. antitrust 

laws. AMS is simply updating the 

regulations to reemphasize the 

applicability of U.S. antitrust laws in 

light of global marketing and production 

trends. All written comments timely 

received will be considered before a 

final determination is made on this 

matter. 

List of Subjects in 7 CFR Part 900 

Administrative practice and 

procedure, Freedom of information, 

Marketing agreements, Reporting and 

recordkeeping requirements. 

For the reasons set forth above, 7 CFR 

part 900 is proposed to be amended as 

follows: 

PART 900—GENERAL REGULATIONS 

■ 1. The authority citation for 7 CFR 

part 900 continues to read as follows: 

Authority: 7 U.S.C. 601–674 and 7 U.S.C. 

7401. 

Subpart—Miscellaneous Regulations 

■ 2. The authority citation for Subpart— 

Miscellaneous Regulations continues to 

read as follows: 

Authority: Sec. 10, 48 Stat. 37, as 

amended; 7 U.S.C. 610. 

■ 3. Add new section 900.202 to read as 

follows: 

§ 900.202 Restrictions applicable to 

Committee personnel. 

Members and employees of Federal 

marketing order boards and committees 

are immune from prosecution under the 

United States antitrust laws only insofar 

as their conduct in administering the 

respective marketing order is authorized 

by the Agricultural Marketing 

Agreement Act of 1937, 7 U.S.C. 601– 

674, or the provisions of the respective 

order. Under the antitrust laws, 

Committee members and employees 

may not engage in any unauthorized 

agreement or concerted action that 

unreasonably restrains United States 

domestic or foreign commerce. For 

example, Committee members and 

employees have no authority to 

participate, either directly or indirectly, 

whether on an informal or formal, 

written or oral basis, in any bilateral or 

international undertaking or agreement 

with any competing foreign producer or 

seller or with any foreign government, 

agency, or instrumentality acting on 

behalf of competing foreign producers 

or sellers to (a) raise, fix, stabilize, or set 

a floor for commodity prices, or (b) limit 

the quantity or quality of commodity 

imported into or exported from the 

United States. Participation in any such 

unauthorized agreement or joint 

undertaking could result in prosecution 

under the antitrust laws by the United 

States Department of Justice and/or suit 

by injured private persons seeking treble 

damages, and could also result in 

expulsion of members from the 

Committee or termination of 

employment with the Committee. 

Dated: April 30, 2015. 

Rex A. Barnes, 

Associate Administrator, Agricultural 

Marketing Service. 

[FR Doc. 2015–10447 Filed 5–5–15; 8:45 am] 

BILLING CODE 3410–02–P 

DEPARTMENT OF THE TREASURY 

Internal Revenue Service 

26 CFR Part 1 

[REG–132634–14] 

RIN 1545–BM43 

Qualifying Income From Activities of 

Publicly Traded Partnerships With 

Respect to Minerals or Natural 

Resources 

AGENCY: Internal Revenue Service (IRS), 

Treasury. 

ACTION: Notice of proposed rulemaking. 

SUMMARY: This document contains 

proposed regulations under section 

7704(d)(1)(E) of the Internal Revenue 

Code (Code) relating to qualifying 

income from exploration, development, 

mining or production, processing, 

refining, transportation, and marketing 

of minerals or natural resources. The 

proposed regulations affect publicly 

traded partnerships and their partners. 

DATES: Comments and requests for a 

public hearing must be received by 

August 4, 2015. 

ADDRESSES: Send submissions to: 

CC:PA:LPD:PR (REG–132634–14), Room 

5203, Internal Revenue Service, P.O. 

Box 7604, Ben Franklin Station, 

Washington, DC 20044. Submissions 

may be hand-delivered Monday through 

Friday between the hours of 8 a.m. and 

4 p.m. to CC:PA:LPD:PR (REG–132634– 

14), Courier’s Desk, Internal Revenue 

Service, 1111 Constitution Avenue NW., 

Washington, DC, or sent electronically, 

via the Federal eRulemaking Portal at 

www.regulations.gov (IRS REG–132634– 

14). 

FOR FURTHER INFORMATION CONTACT: 

Concerning the proposed regulations, 

Caroline E. Hay at (202) 317–5279; 

concerning the submissions of 

comments and requests for a public 


tkelley on DSK3SPTVN1PROD with PROPOSALS