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 week.

Rules and Regulations Federal Register

9951 

Vol. 74, No. 44 

Monday, March 9, 2009 

OFFICE OF PERSONNEL 

MANAGEMENT 

5 CFR Part 300 

RIN 3206–AL18 

Time-in-Grade Eliminated, Delay of 

Effective Date and Addition of 

Comment Period 

AGENCY: U.S. Office of Personnel 

Management. 

ACTION: Final rule; delay of effective 

date and addition of comment period. 

SUMMARY: This document delays the 

effective date by 60 days and provides 

a 30-day public comment period to run 

concurrently for the final rule 

eliminating the time-in-grade 

requirement for competitive 

promotions, as published in the Federal 

Register on November 7, 2008. 

DATES: The effective date for the final 

rule published on November 7, 2008 (73 

FR 66157), is delayed until May 18, 

2009. Written comments must be 

received on or before April 8, 2009. 

FOR FURTHER INFORMATION CONTACT: Ms. 

Janice Warren by telephone (202) 606– 

0960; by FAX (202) 606–2329; by TTY 

(202) 418–2134; or by e-mail 

janice.warren@opm.gov. 

SUPPLEMENTARY INFORMATION: The Office 

of Personnel Management published a 

Final Rule in the Federal Register on 

November 7, 2008 (73 FR 66157). 

Pursuant to a January 20, 2009, White 

House Memorandum on regulatory 

review, agencies are requested to 

consider extending for 60 days the 

effective date of regulations that have 

been published in the Federal Register 

but not yet taken effect, for the purpose 

of reviewing questions of law and policy 

raised by those regulations. Where such 

an extension is made, agencies are 

requested to immediately reopen the 

notice-and-comment period for 30 days 

to allow interested parties to provide 

comments about issues of law and 

policy raised by those regulations. As a 

result, OPM has delayed the effective 

date of the final rule from March 9, 2008 

to May 18, 2009. OPM has also opened 

a 30-day public comment period. 

U.S. Office of Personnel Management. 

Kathie Ann Whipple, 

Acting Director. 

[FR Doc. E9–5008 Filed 3–5–09; 11:15 am] 

BILLING CODE 6325–39–P 

OFFICE OF PERSONNEL 

MANAGEMENT 

5 CFR Part 532 

RIN 3206–AL74 

Prevailing Rate Systems; Abolishment 

of Santa Clara, CA, as a 

Nonappropriated Fund Federal Wage 

System Wage Area 

AGENCY: U.S. Office of Personnel 

Management. 

ACTION: Final rule. 

SUMMARY: The U.S. Office of Personnel 

Management is issuing a final rule to 

abolish the Santa Clara, California, 

nonappropriated fund (NAF) Federal 

Wage System (FWS) wage area and 

redefine Santa Clara County, CA, to the 

Monterey, CA, NAF wage area and 

Alameda, Contra Costa, and San 

Francisco Counties, CA, to the Solano, 

CA, NAF wage area. San Mateo County, 

CA, will no longer be defined to a wage 

area. These changes are necessary 

because the closure of the Moffett 

Federal Airfield Navy Exchange left the 

Santa Clara wage area without an 

activity having the capability to conduct 

a local wage survey. 

DATES: Effective date: This regulation is 

effective on March 9, 2009. 

Applicability date: This regulation 

applies on the first day of the first 

applicable pay period beginning on or 

after November 15, 2008. 

FOR FURTHER INFORMATION CONTACT: 

Madeline Gonzalez, (202) 606–2838; email pay-performance-policy@opm.gov; 

or FAX: (202) 606–4264. 

SUPPLEMENTARY INFORMATION: On 

November 4, 2008, the U.S. Office of 

Personnel Management (OPM) issued an 

interim rule (73 FR 65495) to abolish the 

Santa Clara, California, nonappropriated 

fund (NAF) Federal Wage System wage 

area, redefine Santa Clara County, CA, 

to the Monterey, CA, NAF wage area 

and Alameda, Contra Costa, and San 

Francisco Counties, CA, to the Solano, 

CA, NAF wage area, and remove San 

Mateo County, CA, from the wage area 

definition. The interim rule had a 30- 

day public comment period, during 

which OPM received no comments. 

Regulatory Flexibility Act 

I certify that these regulations will not 

have a significant economic impact on 

a substantial number of small entities 

because they will affect only Federal 

agencies and employees. 

List of Subjects in 5 CFR Part 532 

Administrative practice and 

procedure, Freedom of information, 

Government employees, Reporting and 

recordkeeping requirements, Wages. 

U.S. Office of Personnel Management. 

Kathie Ann Whipple, 

Acting Director. 

■ Accordingly, under the authority of 5 

U.S.C. 5343, the interim rule published 

on November 4, 2008, amending 5 CFR 

part 532 (73 FR 65495) is adopted as 

final with no changes. 

[FR Doc. E9–4925 Filed 3–6–09; 8:45 am] 

BILLING CODE 6325–39–P 

DEPARTMENT OF AGRICULTURE 

Agricultural Marketing Service 

7 CFR Part 989 

[Doc. No. AMS–FV–08–0114; FV09–989–1 

IFR] 

Raisins Produced From Grapes Grown 

in California; Final Free and Reserve 

Percentages for 2008–09 Crop Natural 

(Sun-Dried) Seedless Raisins 

AGENCY: Agricultural Marketing Service, 

USDA. 

ACTION: Interim final rule with request 

for comments. 

SUMMARY: This rule establishes final 

volume regulation percentages for 2008– 

09 crop Natural (sun-dried) Seedless 

(NS) raisins covered under the Federal 

marketing order for California raisins 

(order). The order regulates the handling 

of raisins produced from grapes grown 

in California and is locally administered 

by the Raisin Administrative Committee 

(Committee). The volume regulation 

percentages are 87 percent free and 13 


dwashington3 on PROD1PC60 with RULES
9952 Federal Register / Vol. 74, No. 44 / Monday, March 9, 2009 / Rules and Regulations 

percent reserve. The percentages are 

intended to help stabilize raisin 

supplies and prices, and strengthen 

market conditions. 

DATES: Effective March 10, 2009. The 

volume regulation percentages apply to 

acquisitions of NS raisins from the 

2008–09 crop until the reserve raisins 

from that crop are disposed of under the 

marketing order. Comments received by 

May 8, 2009, 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 Administration Branch, Fruit and 

Vegetable Programs, 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: Rose 

M. Aguayo, Marketing Specialist, or 

Kurt J. Kimmel, Regional Manager, 

California Marketing Field Office, 

Marketing Order Administration 

Branch, Fruit and Vegetable Programs, 

AMS, USDA; Telephone: (559) 487– 

5901; Fax: (559) 487–5906; or E-mail: 

Rose.Aguayo@ams.usda.gov or 

Kurt.Kimmel@ams.usda.gov. 

Small businesses may request 

information on complying with this 

regulation by contacting Jay Guerber, 

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: 

Jay.Guerber@ams.usda.gov. 

SUPPLEMENTARY INFORMATION: This rule 

is issued under Marketing Agreement 

and Order No. 989, both as amended (7 

CFR part 989), regulating the handling 

of raisins produced from grapes grown 

in California, 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 order provisions now 

in effect, final free and reserve 

percentages may be established for 

raisins acquired by handlers during the 

crop year. This rule establishes final free 

and reserve percentages for NS raisins 

for the 2008–09 crop year, which began 

August 1, 2008, and ends July 31, 2009. 

This rule will not preempt any State or 

local laws, regulations, or policies, 

unless they present an irreconcilable 

conflict with this rule. 

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. 

This rule establishes final volume 

regulation percentages for the 2008–09 

crop year for NS raisins covered under 

the order. The volume regulation 

percentages are 87 percent free and 13 

percent reserve. Free tonnage raisins 

may be sold by handlers to any market. 

Reserve raisins must be held in a pool 

for the account of the Committee and 

are disposed of through various 

programs authorized under the order. 

For example, reserve raisins may be sold 

by the Committee to handlers for free 

use or to replace part of the free tonnage 

raisins they exported; used in diversion 

programs; carried over as a hedge 

against a short crop; or disposed of in 

other outlets not competitive with those 

for free tonnage raisins, such as 

government purchase, distilleries, or 

animal feed. 

The volume regulation percentages 

are intended to help stabilize raisin 

supplies and prices, and strengthen 

market conditions. The Committee 

unanimously recommended final 

percentages for NS raisins on December 

18, 2008. 

Computation of Trade Demand 

Section 989.54 of the order prescribes 

procedures and time frames to be 

followed in establishing volume 

regulation. This includes methodology 

used to calculate free and reserve 

percentages. Pursuant to § 989.54(a) of 

the order, the Committee met on August 

15, 2008, to review shipment and 

inventory data, and other matters 

relating to the supplies of raisins of all 

varietal types. The Committee computed 

a trade demand for each varietal type for 

which a free tonnage percentage might 

be recommended. Trade demand is 

computed using a formula specified in 

the order and, for each varietal type, is 

equal to 90 percent of the prior year’s 

shipments of free tonnage and reserve 

tonnage raisins sold for free use into all 

market outlets, adjusted by subtracting 

the carryin on August 1 of the current 

crop year, and adding the desirable 

carryout at the end of that crop year. As 

specified in § 989.154(a), the desirable 

carryout for NS raisins shall equal the 

total shipments of free tonnage during 

August and September for each of the 

past 5 crop years, converted to a natural 

condition basis, dropping the high and 

low figures, and dividing the remaining 

sum by three, or 60,000 natural 

condition tons, whichever is higher. For 

all other varietal types, the desirable 

carryout shall equal the total shipments 

of free tonnage during August, 

September and one-half of October for 

each of the past 5 crop years, converted 

to a natural condition basis, dropping 

the high and low figures, and dividing 

the remaining sum by three. In 

accordance with these provisions, the 

Committee computed and announced 

the 2008–09 trade demand for NS 

raisins at 273,863 tons as shown below. 

COMPUTED TRADE DEMAND

[Natural condition tons] 

NS Raisins 

Prior year’s shipments .............. 355,680 

Multiplied by 90 percent ........... 0.90 

Equals adjusted base ............... 320,112 

Minus carryin inventory ............ 106,249 

Plus desirable carryout ............. 60,000 

Equals computed NS trade Demand ..................................... 273,863 

Computation of Volume Regulation 

Percentages 

Section 989.54(b) of the order requires 

that the Committee announce, on or 

before October 5, preliminary crop 

estimates and determine whether 

volume regulation is warranted for the 

varietal types for which it computed a 

trade demand. That section allows the 


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Federal Register / Vol. 74, No. 44 / Monday, March 9, 2009 / Rules and Regulations 9953 

Committee to extend the October 5 date 

up to 5 business days if warranted by a 

late crop. If the Committee determines 

that volume regulation is warranted, it 

must also compute and announce 

preliminary free and reserve 

percentages. Section 989.54(c) provides 

that the Committee may modify the 

preliminary free and reserve percentages 

prior to February 15 by announcing 

interim percentages which release less 

than the trade demand. Section 

989.54(d) requires the Committee to 

recommend final percentages no later 

than February 15 which will tend to 

release the full trade demand. Final 

percentages are established by USDA 

through informal rulemaking. 

The Committee met on October 9, 

2008, and announced a 2008–09 crop 

estimate of 300,000 tons for NS raisins 

pursuant to § 989.54(b). NS raisins are 

the major varietal type of California 

raisin. The crop estimate of 300,000 tons 

was higher than the computed trade 

demand of 273,863 tons. Thus, it was 

determined that volume regulation for 

NS raisins was warranted. Preliminary 

volume regulation percentages 

computed to 78 percent free and 22 

percent reserve to release 85 percent of 

the computed trade demand. 

Pursuant to § 989.54(c), at its 

December 18, 2008, meeting, the 

Committee announced a revised crop 

estimate of 313,231 tons of NS raisins 

(up from the October estimate of 

300,000 tons). The Committee 

announced interim volume regulation 

percentages for NS raisins to release 

slightly less than the full trade demand 

at 86.75 percent free and 13.25 percent 

reserve and recommended final volume 

regulation percentages of 87 percent free 

and 13 percent reserve pursuant to 

§ 989.54(d). The Committee’s 

calculations and determinations to 

arrive at final percentages for NS raisins 

are shown in the table below: 

FINAL VOLUME REGULATION

PERCENTAGES

[Natural condition tons] 

NS Raisins 

Trade demand .......................... 273,863 

Divided by crop estimate .......... 313,231 

Equals the free percentage ...... 87.00 

100 minus free percentage 

equals the reserve percentage ........................................ 13.00 

USDA’s ‘‘Guidelines for Fruit, 

Vegetable, and Specialty Crop 

Marketing Orders’’ (Guidelines) specify 

that 110 percent of recent years’ sales 

should be made available to primary 

markets each season for marketing 

orders utilizing reserve pool authority. 

This goal is expected to be met for NS 

raisins for the 2008–09 crop year. 

Application of the final percentages will 

make 273,863 tons of raisins available to 

handlers if the crop estimate is realized. 

In addition, handlers will be offered 

additional reserve raisins for sale under 

the ‘‘10 plus 10 offers.’’ As specified in 

§ 989.54(g), the 10 plus 10 offers are two 

offers of reserve pool raisins which are 

made available to handlers during each 

season. For each such offer, a quantity 

of reserve raisins equal to 10 percent of 

the prior year’s shipments is made 

available to handlers for free use. 

Handlers may sell their 10 plus 10 

raisins to any market. 

Based on 2007–08 NS shipments of 

355,680 natural condition tons, 71,136 

tons should be made available in the 10 

plus 10 offers. However, based on the 

313,231-ton crop estimate and the 

273,863-ton trade demand, only 39,368 

tons of 2008–09 reserve raisins would 

be available. There is no tonnage 

available from prior pools. Thus, all 

available reserve pool raisins should be 

offered to handlers for free use through 

the 10 plus 10 offers. Raisins that are 

not purchased by handlers through the 

10 plus 10 offers may be used for other 

programs authorized under the order. 

In addition to the 10 plus 10 offers, 

§ 989.67(j) of the order provides 

authority for sales of reserve raisins to 

handlers under certain conditions such 

as a national emergency, crop failure, 

change in economic or marketing 

conditions, or if free tonnage shipments 

in the current crop year exceed 

shipments during a comparable period 

of the prior crop year. Pursuant to 

§ 989.67(j), 643 tons of 2007–08 reserve 

raisins were sold to handlers in August 

2008. 

Adding the estimated figure of 39,368 

tons of 10 plus 10 raisins to the 273,863- 

ton trade demand, plus 106,249 tons of 

carryin inventory, plus 643 tons of 

reserve raisins sold pursuant to 

§ 989.67(j) results in a total supply of 

420,123 tons of natural condition 

raisins, or 397,054 packed tons. This 

equates to 118 percent of the 2007–08 

shipments of 355,680 natural condition 

tons or 336,150 packed tons. 

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 

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. Thus, both statutes have small 

entity orientation and compatibility. 

There are approximately 18 handlers 

of California raisins who are subject to 

regulation under the order and 

approximately 3,000 raisin producers in 

the regulated area. Small agricultural 

firms are defined by the Small Business 

Administration (SBA) (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. 

No more than 7 handlers and a majority 

of producers of California raisins may be 

classified as small entities. 

Since 1949, the California raisin 

industry has operated under a Federal 

marketing order. The order contains 

authority to, among other things, limit 

the portion of a given year’s crop that 

can be marketed freely in any outlet by 

raisin handlers. This volume regulation 

mechanism is used to stabilize supplies 

and prices and strengthen market 

conditions. If the primary market (the 

normal domestic market) is oversupplied with raisins, grower prices 

decline substantially. 

Pursuant to § 989.54(d) of the order, 

this rule establishes final volume 

regulation percentages for the 2008–09 

crop year for NS raisins. The volume 

regulation percentages are 87 percent 

free and 13 percent reserve. Free 

tonnage raisins may be sold by handlers 

to any market. Reserve raisins must be 

held in a pool for the account of the 

Committee and are disposed of through 

certain programs authorized under the 

order. Volume regulation is warranted 

this season because the crop estimate of 

313,231 tons is significantly higher than 

the 273,863 ton trade demand. 

The volume regulation procedures 

have helped the industry address its 

marketing problems by keeping supplies 

in balance with domestic and export 

market needs, and strengthening market 

conditions. The volume regulation 

procedures fully supply the domestic 

and export markets, provide for market 

expansion, and help reduce the burden 

of oversupplies in the domestic market. 

Raisin grapes are a perennial crop, so 

production in any year is dependent 

upon plantings made in earlier years. 

The sun-drying method of producing 

raisins involves considerable risk 

because of variable weather patterns. 


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9954 Federal Register / Vol. 74, No. 44 / Monday, March 9, 2009 / Rules and Regulations 

Even though the product and the 

industry are viewed as mature, the 

industry has experienced considerable 

change over the last several decades. 

Before the 1975–76 crop year, more than 

50 percent of the raisins were packed 

and sold directly to consumers. Now, 

about 62 percent of raisins are sold in 

bulk. This means that raisins are now 

sold to consumers mostly as an 

ingredient in another product such as 

cereal and baked goods. In addition, for 

a few years in the early 1970’s, over 50 

percent of the raisin grapes were sold to 

the wine market for crushing. Since 

then, the percent of raisin-variety grapes 

sold to the wine industry has decreased. 

California’s grapes are classified into 

three groups—table grapes, wine grapes, 

and raisin-variety grapes. Raisin-variety 

grapes are the most versatile of the three 

types. They can be marketed as fresh 

grapes, crushed for juice in the 

production of wine or juice concentrate, 

or dried into raisins. Annual 

fluctuations in the fresh grape, wine, 

and concentrate markets, as well as 

weather-related factors, cause 

fluctuations in raisin supply. This type 

of situation introduces a certain amount 

of variability into the raisin market. 

Although the size of the crop for raisinvariety grapes may be known, the 

amount dried for raisins depends on the 

demand for crushing. This makes the 

marketing of raisins a more difficult 

task. These supply fluctuations can 

result in producer price instability and 

disorderly market conditions. 

Volume regulation is helpful to the 

raisin industry because it lessens the 

impact of such fluctuations and 

contributes to orderly marketing. For 

example, producer prices for NS raisins 

remained fairly steady between the 

1993–94 through the 1997–98 crop 

years, although production varied. As 

shown in the table below, during those 

years, production varied from a low of 

272,063 tons in 1996–97 to a high of 

387,007 tons in 1993–94. 

According to Committee data, the 

total producer return per ton during 

those years, which includes proceeds 

from both free tonnage plus reserve pool 

raisins, has varied from a low of $904.60 

in 1993–94 to a high of $1,049.20 in 

1996–97. Producer prices for the 1998– 

99 and 1999–2000 crop years increased 

significantly due to back-to-back short 

crops during those years. Record large 

crops followed and producer prices 

dropped dramatically for the 2000–01 

through 2003–04 crop years, as 

inventories grew while demand 

stagnated. However, as noted below, 

producer prices were higher for the 

2004–05 through the 2007–08 crop 

years: 

NATURAL SEEDLESS (NATURAL CONDITION) DELIVERIES, FIELD PRICES AND PRODUCER PRICES

Crop year Deliveries 

(tons) 

Field prices 

(per ton) 1

Producer prices 

(per ton) 

2007–08 ................................................................................................................... 329,288 $1,210.00 1 $1,028.50 

2006–07 ................................................................................................................... 282,999 1,210.00 2 1,089.00 

2005–06 ................................................................................................................... 319,126 1,210.00 2 998.25 

2004–05 ................................................................................................................... 265,262 1,210.00 3 1,210.00 

2003–04 ................................................................................................................... 296,864 810.00 567.00 

2002–03 ................................................................................................................... 388,010 745.00 491.20 

2001–02 ................................................................................................................... 377,328 880.00 650.94 

2000–01 ................................................................................................................... 432,616 877.50 603.36 

1999–2000 ............................................................................................................... 299,910 1,425.00 1,211.25 

1998–99 ................................................................................................................... 240,469 1,290.00 3 1,290.00 

1997–98 ................................................................................................................... 382,448 1,250.00 946.52 

1996–97 ................................................................................................................... 272,063 1,220.00 1,049.20 

1995–96 ................................................................................................................... 325,911 1,160.00 1,007.19 

1994–95 ................................................................................................................... 378,427 1,160.00 928.27 

1993–94 ................................................................................................................... 387,007 1,155.00 904.60 

1Field prices for NS raisins are established by the Raisin Bargaining Association, and are also referred to in the industry as the free tonnage 

price for raisins. 2 Return-to-date, reserve pool still open. 

3 No volume regulation. 

There are essentially two broad 

markets for raisins—domestic and 

export. Domestic shipments generally 

increased over the years. Although 

domestic shipments decreased from a 

high of 204,805 packed tons during the 

1990–91 crop year to a low of 156,325 

packed tons in 1999–2000 crop year, 

they increased from 174,117 packed 

tons during the 2000–01 crop year to 

193,609 packed tons during the 2007–08 

crop year. Export shipments ranged 

from a high of 107,931 packed tons in 

1991–92 crop year to a low of 91,599 

packed tons in the 1999–2000 crop year. 

Since that time, export shipments 

increased to 106,755 tons of raisins 

during the 2004–05 crop year, fell to 

101,684 tons in 2006–07 crop year, and 

again increased to 142,541 tons in 2007– 

08 crop year. This significant increase 

was due to a short crop in Turkey. 

The per capita consumption of raisins 

has declined from 2.07 pounds in 1988 

to 1.51 pounds in 2006. This decrease 

is consistent with the decrease in the 

per capita consumption of dried fruits 

in general, which is due to the 

increasing availability of most types of 

fresh fruit throughout the year. 

While the overall demand for raisins 

has increased in four of the last five 

years (as reflected in increased 

commercial shipments), production has 

been decreasing. Deliveries of NS dried 

raisins from producers to handlers 

reached an all-time high of 432,616 tons 

in the 2000–01 crop year. This large 

crop was preceded by two short crop 

years; deliveries were 240,469 tons in 

1998–99 crop year and 299,910 tons in 

1999–2000 crop year. Deliveries for the 

2000–01 crop year soared to a record 

level because of increased bearing 

acreage and yields. Deliveries for the 

2001–02 crop year were at 377,328 tons, 

388,010 tons for the 2002–03 crop year, 

296,864 for the 2003–04 crop year, and 

265,262 tons for the 2004–05 crop year. 

After three crop years of high 

production and a large 2001–02 carryin 

inventory, the industry diverted raisin 

production to other uses or removed 

bearing vines. Diversions/removals 

totaled 38,000 acres in 2001; 27,000 

acres in 2002; and 8,000 acres of vines 

in 2003. These actions resulted in 

declining deliveries of 296,864 tons for 

the 2003–04 crop year and 265,262 tons 

for the 2004–05 crop year. Although 

deliveries increased in 2005–06 crop 


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Federal Register / Vol. 74, No. 44 / Monday, March 9, 2009 / Rules and Regulations 9955 

year to 319,126 tons, this may have been 

because fewer growers opted to contract 

with wineries, as raisin variety grapes 

crushed in 2005–06 crop year decreased 

by 161,000 green tons, the equivalent of 

over 40,000 tons of raisins. In the 2006– 

07 crop year, raisin deliveries were 

again less than 300,000 tons at 282,999 

tons and increased to 329,288 tons in 

2007–08 crop year. The 2007–08 crop 

year was considered to be a good crop 

and the quality of the crop has a direct 

bearing on the overall production. 

The order permits the industry to 

exercise volume regulation provisions, 

which allow for the establishment of 

free and reserve percentages, and 

establishment of a reserve pool. One of 

the primary purposes of establishing 

free and reserve percentages is to 

balance supply and demand. If raisin 

markets are over-supplied with product, 

producer prices will decline. 

Raisins are generally marketed at 

relatively lower price levels in the more 

elastic export market than in the more 

inelastic domestic market. This results 

in a larger volume of raisins being 

marketed and enhances producer 

returns. In addition, this system allows 

the U.S. raisin industry to be more 

competitive in export markets. 

The reserve percentage limits what 

handlers can market as free tonnage. 

Based on the 2008–09 crop year 

estimate of 313,231 tons, the 13 percent 

reserve would limit the total free 

tonnage to 273,863 natural condition 

tons (.87 × the 313,231 ton crop). 

Adding the 273,863 ton figure to the 

carryin of 106,249 tons, plus 39,368 tons 

of 2008–09 crop year reserve raisins 

anticipated for sale to handlers during 

the 2008–09 crop year under the 10 plus 

10 offers, and 643 tons of 2007–08 crop 

year reserve raisins available to handlers 

in the 2008–09 crop year results in a 

total free supply of 420,123 natural 

condition tons. 

With volume regulation, producer 

prices are expected to be higher than 

without volume regulation. This price 

increase is beneficial to all producers 

regardless of size and enhances 

producers’ total revenues in comparison 

to no volume regulation. Establishing a 

reserve allows the industry to help 

stabilize supplies in both domestic and 

export markets, while improving returns 

to producers. 

Free and reserve percentages are 

established by varietal type, and usually 

in years when the supply exceeds the 

trade demand by a large enough margin 

that the Committee believes volume 

regulation is necessary to maintain 

market stability. Accordingly, in 

assessing whether to apply volume 

regulation or, as an alternative, not to 

apply such regulation, it was 

determined that volume regulation is 

warranted this season for only one of 

the nine raisin varietal types defined 

under the order. 

The free and reserve percentages 

established by this rule release the full 

trade demand and apply uniformly to 

all handlers in the industry, regardless 

of size. For NS raisins, with the 

exception of the 1998–99 and 2004–05 

crop years, small and large raisin 

producers and handlers have been 

operating under volume regulation 

percentages every year since the 1983– 

84 crop year. There are no known 

additional costs incurred by small 

handlers that are not incurred by large 

handlers. While the level of benefits of 

this rulemaking are difficult to quantify, 

the stabilizing effects of the volume 

regulations impact small and large 

handlers positively by helping them 

maintain and expand markets even 

though raisin supplies fluctuate widely 

from season to season. Likewise, price 

stability positively impacts small and 

large producers by allowing them to 

better anticipate the revenues their 

raisins will generate. 

There are some reporting, 

recordkeeping and other compliance 

requirements under the order. The 

reporting and recordkeeping 

requirements are necessary for 

compliance purposes and for 

developing statistical data for 

maintenance of the program. The 

requirements are the same as those 

applied in past seasons. Thus, this 

action imposes no additional reporting 

or recordkeeping requirements on either 

small or large raisin handlers. The forms 

require information which is readily 

available from handler records and 

which can be provided without data 

processing equipment or trained 

statistical staff. The information 

collection and recordkeeping 

requirements have been previously 

approved by the Office of Management 

and Budget (OMB) under OMB Control 

No. 0581–0178, Vegetable and Specialty 

Crops. 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 Committee’s meetings 

were widely publicized throughout the 

raisin industry and all interested 

persons were invited to attend the 

meetings and participate in the 

Committee’s deliberations. Like all 

Committee meetings, the August 15, 

2008, October 9, 2008, and December 

18, 2008, meetings were public meetings 

and all entities, both large and small, 

were able to express their views on this 

issue. 

Also, the Committee has a number of 

appointed subcommittees to review 

certain issues and make 

recommendations to the Committee. 

The Committee’s Reserve Sales and 

Marketing Subcommittee met on August 

15, 2008, October 9, 2008, and 

December 18 2008, and discussed these 

issues in detail. Those meetings were 

also public meetings and both large and 

small entities were able to participate 

and express their views. Finally, 

interested persons are invited to submit 

comments on this interim final 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: http://www.ams.usda.gov/ 

AMSv1.0/ams.fetchTemplate

Data.do?template=TemplateN&

page=MarketingOrders

SmallBusinessGuide. Any questions 

about the compliance guide should be 

sent to Jay Guerber at the previously 

mentioned address in the FOR FURTHER

INFORMATION CONTACT section. 

This rule invites comments on the 

establishment of final volume regulation 

percentages for the 2008–09 crop year 

for NS raisins covered under the order. 

Any comments received will be 

considered prior to finalization of this 

rule. 

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 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 relevant provisions of 

this part require that the percentages 


dwashington3 on PROD1PC60 with RULES
9956 Federal Register / Vol. 74, No. 44 / Monday, March 9, 2009 / Rules and Regulations 

designated herein for the 2008–09 crop 

year apply to all NS raisins acquired 

during the crop year; (2) handlers are 

aware of this action, which was 

unanimously recommended at a public 

meeting, and need no additional time to 

comply with these percentages; and (3) 

this interim final rule provides a 60-day 

comment period, and all comments 

timely received will be considered prior 

to finalization of this rule. 

List of Subjects in 7 CFR Part 989 

Grapes, Marketing agreements, 

Raisins, Reporting and recordkeeping 

requirements. 

■ For the reasons set forth in the 

preamble, 7 CFR part 989 is amended to 

read as followed: 

PART 989—RAISINS PRODUCED 

FROM GRAPES GROWN IN 

CALIFORNIA 

■ 1. The authority citation for 7 CFR 

part 989 continues to read as follows: 

Authority: 7 U.S.C. 601–674. 

■ 2. Section 989.257 is revised to read 

as follows: 

§ 989.257 Final free and reserve 

percentages. 

(a) The final percentages for the 

respective varietal type(s) of raisins 

acquired by handlers during the crop 

year beginning August 1, which shall be 

free tonnage and reserve tonnage, 

respectively, are designated as follows: 

Crop year Varietal type Free 

percentage 

Reserve 

percentage 

2003–04 ...................................................................... Natural (sun-dried) Seedless ..................................... 70 30 

2005–06 ...................................................................... Natural (sun-dried) Seedless ..................................... 82 .50 17 .50 

2006–07 ...................................................................... Natural (sun-dried) Seedless ..................................... 90 10 

2007–08 ...................................................................... Natural (sun-dried) Seedless ..................................... 85 15 

2008–09 ...................................................................... Natural (sun-dried) Seedless ..................................... 87 13 

(b) The volume regulation percentages 

apply to acquisitions of the varietal type 

of raisins for the applicable crop year 

until the reserve raisins for that crop are 

disposed of under the marketing order. 

Dated: March 3, 2009. 

Robert C. Keeney, 

Acting Associate Administrator. 

[FR Doc. E9–4851 Filed 3–6–09; 8:45 am] 

BILLING CODE 3410–02–P 

DEPARTMENT OF HOMELAND 

SECURITY 

Coast Guard 

33 CFR Part 165 

[Docket No. USCG–2009–0063] 

RIN 1625–AA00 

Safety Zone; Coast Guard Air Station 

San Francisco Airborne Use of Force 

Judgmental Training Flights 

AGENCY: Coast Guard, DHS. 

ACTION: Temporary final rule. 

SUMMARY: The Coast Guard is 

establishing a temporary safety zone in 

the navigable waters of the San Pablo 

Bay, CA for training purposes. This 

safety zone is established to ensure the 

safety of the public and participating 

crews from potential hazards associated 

with fast-moving Coast Guard 

smallboats taking part in the exercise. 

Unauthorized persons or vessels are 

prohibited from entering into, transiting 

through, or remaining in the safety zone 

without permission of the Captain of the 

Port San Francisco or his designated 

representative. 

DATES: This safety zone is effective from 

9 a.m. on February 10, 2009, until 10 

p.m. on March 20, 2009. 

ADDRESSES: Comments and materials 

received from the public, as well as 

documents indicated in this preamble as 

being available in the docket, are part of 

docket USCG–2009–0063 and are 

available online at http:// 

www.regulations.gov, selecting the 

Advanced Docket Search option on the 

right side of the screen, inserting USCG– 

2009–0063 in the Docket ID box, 

pressing Enter, and then clicking on the 

item in the Docket ID column. This 

material is also available for inspection 

or copying at two locations: The Docket 

Management Facility (M–30), U.S. 

Department of Transportation, West 

Building Ground Floor, Room W12–140, 

1200 New Jersey Avenue, SE., 

Washington, DC 20590, between 9 a.m. 

and 5 p.m., Monday through Friday, 

except Federal holidays, and Coast 

Guard Sector San Francisco, 1 Yerba 

Buena Island, San Francisco, California 

94130, between 9 a.m. and 4 p.m., 

Monday through Friday, except Federal 

holidays. 

FOR FURTHER INFORMATION CONTACT: If 

you have questions on this temporary 

rule, call Lieutenant Junior Grade 

Megan Clifford, U.S. Coast Guard Sector 

San Francisco, at (415) 399–7436. If you 

have questions on viewing the docket, 

call Renee V. Wright, Program Manager, 

Docket Operations, telephone 202–366– 

9826. 

SUPPLEMENTARY INFORMATION: 

Regulatory Information 

Due to the dynamic availability of 

Coast Guard assets to conduct this 

training, the Coast Guard is issuing this 

final rule without prior notice and 

opportunity to comment pursuant to 

authority under section (a)(1) of the 

Administrative Procedure Act (APA) (5 

U.S.C. 553). This provision creates a 

military function exception to the 

advance publication requirements. 

Because of the potential hazards posed 

by this exercise, the safety zone is 

necessary to provide for the safety of the 

public, participating vessels and crews, 

and other vessels transiting the area. For 

the safety concerns noted, it is in the 

public interest to have these regulations 

in effect during the event. 

Under 5 U.S.C. 553(b)(B), the Coast 

Guard finds that good cause exists for 

not publishing a notice of proposed 

rulemaking (NPRM) with respect to this 

rule because any delay in the effective 

date of this rule would expose mariners 

to the potential hazards posed by the 

exercises. For the same reasons as 

above, under 5 U.S.C. 553(d)(3), the 

Coast Guard finds that good cause exists 

for making this rule effective less than 

30 days after publication in the Federal 

Register. 

Background and Purpose 

U.S. Coast Guard Air Station San 

Francisco will be conducting airborne 

use of force judgmental training flights 

with observers from the Coast Guard 

Aviation Training Center and Coast 

Guard Headquarters, on February 10, 

and March 5 through 20, 2009 

(excluding Saturdays and Sundays), in 

the waters of San Pablo Bay. The 

exercises are designed to train and test 

Coast Guard aviation personnel in the 

judgmental decision-making process 

necessary to safely and effectively 

employ use of force from a helicopter 


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