28520 Federal Register / Vol. 60, No. 105 / Thursday, June 1, 1995 / Rules and Regulations

§ 620.15 Payments not subject to claims.

Any cost-share or easement payment

or portion thereof due any person under

this part shall be allowed without regard

to any claim or lien in favor of any

creditor, except agencies of the United

States Government.

§ 620.16 Assignments.

Any person entitled to any cash

payment under this program may assign

the right to receive such cash payments,

in whole or in part.

§ 620.17 Appeals.

(a) A person participating in the WRP

may obtain a review of any

administrative determination

concerning eligibility for participation

utilizing the administrative appeal

procedures pursuant to Title II, Subtitle

B and Subtitle H of the Department of

Agriculture Reorganization Act of 1994,

Public Law 103–354.

(b) Before a person may seek judicial

review of any action taken under this

part, the person must exhaust all

administrative appeal procedures set

forth in paragraph (a) of this section,

and for purposes of judicial review, no

decision shall be a final agency action

except a decision of the Chief of NRCS

under these procedures.

(c) Any appraisals, market analysis, or

supporting documentation that may be

used by the NRCS in determining

property value are considered

confidential information, and shall only

be disclosed as determined at the sole

discretion of the NRCS in accordance

with applicable law.

§ 620.18 Scheme and device.

(a) If it is determined by the NRCS

that a landowner has employed a

scheme or device to defeat the purposes

of this part, any part of any program

payment otherwise due or paid such

landowner during the applicable period

may be withheld or be required to be

refunded with interest thereon, as

determined appropriate by the NRCS.

(b) A scheme or device includes, but

is not limited to, coercion, fraud,

misrepresentation, depriving any other

person of payments for cost-share

practices or easements for the purpose

of obtaining a payment to which a

person would otherwise not be entitled.

(c) A landowner who succeeds to the

responsibilities under this part shall

report in writing to the NRCS any

interest of any kind in enrolled land that

is held by a predecessor or any lender.

A failure of full disclosure will be

considered a scheme or device under

this section.

Signed at Washington, DC on May 19,

1995.

Gary A. Margheim,

Acting Chief, Natural Resources Conservation

Service.

[FR Doc. 95–13161 Filed 5–31–95; 8:45 am]

BILLING CODE 3410–16–M

Agricultural Marketing Service

7 CFR Part 981

[FV94–981–3IFR]

Almonds Grown in California; Release

of the Reserve Established for the

1994–95 Crop Year

AGENCY: Agricultural Marketing Service,

USDA.

ACTION: Interim final rule with request

for comments.

SUMMARY: This document relaxes

volume regulations imposed on

California almond handlers for the

1994–95 crop year by releasing reserve

almonds into salable channels. Volume

regulations were imposed under the

authority of the Federal marketing order

which regulates the handling of

almonds grown in California and is

locally administered by the Almond

Board of California (Board). During the

1994–95 season, handlers were required

to withhold as a reserve, from normal

competitive markets, 10 percent of the

almonds which they received from

growers. The remaining 90 percent of

the crop could be sold by handlers to

any market at any time. This rule

relaxes these regulations on handlers by

releasing the reserve percentage to the

salable category and is necessary to

provide a sufficient quantity of almonds

to meet anticipated trade demand and

carryover needs.

DATES: Effective on May 25, 1995;

comments received by July 3, 1995 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 in triplicate to the Docket Clerk,

Fruit and Vegetable Division, AMS,

USDA, room 2525–S, P.O. Box 96456,

Washington, DC 20090–6456. All

comments should reference the docket

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.

FOR FURTHER INFORMATION CONTACT:

Kathleen M. Finn, Marketing Specialist,

Marketing Order Administration

Branch, Fruit and Vegetable Division,

AMS, USDA, room 2522–S, P.O. Box

96456, Washington, DC 20090–6456;

telephone: (202) 720–1509, or fax (202)

720–5698; or Martin Engeler, Assistant

Officer-in-Charge, California Marketing

Field Office, Fruit and Vegetable

Division, AMS, USDA, 2202 Monterey

Street, suite 102B, Fresno, California

93721; telephone: (209) 487–5901, or fax

(209) 487–5906.

SUPPLEMENTARY INFORMATION: This rule

is issued under Marketing Agreement

and Order No. 981 (7 CFR part 981),

both as amended, hereinafter referred to

as the ‘‘order,’’ regulating the handling

of almonds grown in California. 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

(Department) is issuing this rule in

accordance with Executive Order 12866.

This rule has been reviewed under

Executive Order 12778, Civil Justice

Reform. Under the provisions of the

marketing order now in effect, salable

and reserve percentages may be

established for almonds during any crop

year. This rule revises the salable and

reserve percentages for marketable

California almonds during the 1994–95

crop year. 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 the Secretary 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 the Secretary 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 in

equity to review the Secretary’s ruling

on the petition, provided a bill in equity

is filed not later than 20 days after date

of the entry of the ruling.

Pursuant to requirements set forth in

the Regulatory Flexibility Act (RFA), the

Administrator of the Agricultural

Marketing Service (AMS) has

considered the economic impact of this

action on small entities.

The purpose of the RFA is to fit

regulatory actions to the scale of

business subject to such actions in order
Federal Register / Vol. 60, No. 105 / Thursday, June 1, 1995 / Rules and Regulations 28521

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 115 handlers

of almonds who are subject to regulation

under the marketing order and

approximately 7,000 producers in the

regulated area. Small agricultural

service firms have been defined by the

Small Business Administration (13 CFR

121.601) as those having annual receipts

of less than $5,000,000, and small

agricultural producers are defined as

those whose annual receipts are less

than $500,000. The majority of handlers

and producers of California almonds

may be classified as small entities.

This rule relaxes volume regulations

imposed on California almond handlers

for the 1994–95 crop year (July 1

through June 30). During the 1994–95

season, handlers were required to

withhold, from normal domestic and

export markets, 10 percent of the

merchantable almonds which they

received from growers (reserve

percentage). The remaining 90 percent

of almonds received by handlers could

be sold to any market at any time

(salable percentage). Volume regulations

were recommended by the Board and

imposed on handlers to lessen the

impact of a large almond supply for the

1994–95 season. Salable and reserve

percentages were established through

publication of a final rule in the Federal

Register on December 9, 1994 (59 FR

63693). The Board now believes that

volume regulations on almond handlers

are no longer necessary and that the

entire reserve should be released to

provide a sufficient quantity of almonds

to meet anticipated trade demand and

carryover needs.

Section 981.47 of the almond

marketing order provides authority for

the Secretary, based on

recommendations by the Board and the

analysis of other available information,

to establish salable and reserve

percentages for almonds during a crop

year. To aid the Secretary in fixing the

salable and reserve percentages, section

981.49 of the order requires the Board

to submit information to the Department

on estimates of the marketable

production of almonds, combined

domestic and export trade demand for

the year, carryin inventory at the

beginning of the year, and the desirable

carryover inventory at the end of the

year. Authority for the Board to

recommend revisions in the volume

regulation percentages is provided in

section 981.48 of the order. Such

revisions must be recommended by May

15.

The Board met in July of 1994 to

review projected crop estimates and

marketing conditions for the 1994–95

almond season. A very large crop of 640

million kernelweight pounds was

projected for the season. Estimated

shipments for the two prior seasons

were 535.9 million pounds for 1992

crop almonds and 497.7 million pounds

for 1993 crop almonds.

Variations in production from seasonto-season can cause wide fluctuations in

prices. For example, the Board

estimated that grower prices increased

from $1.26 per pound for 1992 crop

almonds to $2.00 per pound for the

smaller, 1993 crop almonds. The large

1994 California almond crop estimate

caused early speculation of grower

prices in the $1.15 per pound range.

Such swings in supplies and price

levels can result in market instability

and uncertainty for growers, handlers,

buyers, and consumers. The long term

goal of the almond industry is to

increase almond consumption and

demand, and the Board believes this is

best achieved in the presence of stable

and orderly market conditions. Thus,

the Board recommended that the

volume regulation provisions of the

order be utilized for the 1994–95 season

as a supply management tool, with 10

percent of the 1994 crop almonds being

held by handlers as a reserve.

On May 12, 1995, the Board met in

Modesto, California, and unanimously

recommended releasing the reserve

established for the 1994–95 crop year.

Thus, the salable percentage will

increase from 90 to 100 percent and the

reserve percentage will decrease from 10

to 0 percent. The Board considered a

number of factors in arriving at its

recommendation to release the reserve.

The 1994–95 almond crop is now

estimated at 727 million pounds, far

above the initial 640 million pound

estimate. Shipments for the year are

expected to exceed 600 million pounds.

Further, it appears that production in

the rest of the world is well below

normal. Production in Spain, the

world’s second largest producer of

almonds, fell well below usual and is

estimated to have been about 75 million

pounds. Spain, California’s biggest

competitor in the world almond

markets, became the United States’

fourth largest export market.

At the meeting, the Board also

considered a crop estimate for California

almonds for the 1995–96 season

provided by the California Agricultural

Statistics Service (CASS). CASS

released its crop estimate of 430 million

kernelweight pounds on May 11. The

estimate is relatively small compared

with normal almond production for a

year. An extremely wet spring that

prohibited successful pollination of

almond trees during the critical bloom

period as well as crop losses due to trees

having been blown over by high winds

have resulted in the predicted small

yield in California. Very short carryin

inventories of 1993 crop almonds into

the current season combined with

reduced production from California

competitors resulted in higher than

anticipated demand for California

almonds.

As required under the order, the

Board revised a number of estimates

that had been considered when volume

regulation was first recommended in

July 1994. The Board’s current estimates

of marketable supply, combined

domestic and export trade demand for

1994–95, and desirable carryover to be

available for the 1995–96 crop year are

shown below. The Board considered

these revised estimates in arriving at its

recommendation to release the 1994–95

reserve. The estimates used by the

Board to establish the original volume

regulations for the year are shown for

comparison.

MARKETING POLICY ESTIMATES—1994

CROP

[Kernelweight basis in millions of pounds]

12/9/94

Initial

estimates

5/12/95

Revised

estimates

Estimated Production:

1. 1994 Production ........ 640.0 727.1

2. Loss and Exempt—

3.0% ........................... 19.2 21.8

3. Marketable Production ............................. 620.8 705.3

Estimated Trade Demand:

4. Domestic ................... 175.0 152.8

5. Export ........................ 381.4 449.0

6. Total .......................... 556.4 601.8

Inventory Adjustment:

7. Carryin 7/1/94 ........... 99.6 102.6

8. Desirable Carryover

6/30/95 ....................... 100.0 206.1

9. Adjustment (Item 8

minus item 7) ............. 0.4 103.5

Salable/Reserve:

10. Adjusted Trade Demand (Item 6 plus

item 9) ........................ 556.8 705.3

11. Reserve (Item 3

minus item 10) ........... 64.0 0

12. Salable % (Item 10

divided by item

3×100) ........................ 90% 100.0

13. Reserve % (100%

minus item 12) ........... 10% 0
28522 Federal Register / Vol. 60, No. 105 / Thursday, June 1, 1995 / Rules and Regulations

As previously mentioned and

reflected in the table, estimated almond

crop production for the 1994–95 season

increased from 640 to 727.1 million

kernelweight pounds. Estimated weight

losses resulting from the removal of

inedible kernels by handlers and losses

during manufacturing also increased

from 19.2 to 21.8 million kernelweight

pounds. Therefore, marketable

production is expected at 705.3 million

kernelweight pounds.

The Board’s estimated trade demand

(or shipments) also increased from 556.5

million kernelweight pounds to a total

of 601.8 kernelweight pounds. If the

estimates are achieved, this would set a

new record for the California almond

industry. Although estimated domestic

trade demand decreased from 175 to

152.8 million kernelweight pounds,

estimated export trade demand

increased sharply from 381.4 to 449

million kernelweight pounds. Almond

production in the rest of the world was

well below normal, contributing to a

significant increase in the amount of

California almonds shipped into export

markets.

The Board also revised its inventory

estimates. The carryin figure—supplies

of salable almonds carried in from the

1993–94 crop year—was slightly revised

from 99.6 to 102.6 million kernelweight

pounds. The desirable carryout figure—

supplies of salable almonds to be

carried out on June 30 for early season

shipment during the 1995–96 crop

year—was revised from 100 to 206.1

million kernelweight pounds. With the

projected short crop for the upcoming

season, the carryout figure was

significantly increased to provide a

more adequate supply of almonds

available to meet early market needs.

After taking into account the carryin

and desirable carryover figures, the

adjusted trade demand was increased

from 556.8 to 705.3 million

kernelweight pounds, an amount equal

to the Board’s estimate of marketable

production.

The order also permits the Board to

recommend the establishment of a

percentage of reserve almonds that can

be exported. However, export is

currently the largest market for

California almonds and is not

considered a secondary or

noncompetitive outlet. For the 1994–95

crop year, exports were included in the

trade demand and the export market

was not an authorized reserve outlet.

The percentage of reserve almonds

available for export was established at 0

percent in the final rule previously cited

that established volume regulation for

the 1994–95 crop. The export

percentage is not changed as a result of

this action.

The Board believes that immediate

release of the reserve will positively

impact market stability by increasing

the amount of almonds available to the

market prior to the harvest of the 1995

crop, and by augmenting the overall

supply available for the upcoming

season. This action is expected to

facilitate a smooth transition into the

1995–96 season. Since market stability

is of paramount importance in achieving

long-term industry health, the Board

concluded that there are no viable

alternatives to its recommendation.

This action is not expected to impose

any additional costs on handlers or

producers because immediate release of

the reserve will eliminate the need for

handlers to continue to store almonds

and will allow the product to enter an

eager market in a smooth fashion.

Therefore, the Administrator of the

AMS has determined that the issuance

of this interim final rule will not have

a significant economic effect on a

substantial number of small entities.

After consideration of all relevant

material presented, including the

Board’s recommendation, and other

available information, it is found that

revision of section 981.239 so as to

change the salable percentage from 90 to

100 percent and the reserve percentage

from 10 to 0 percent 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) This rule relaxes

requirements currently in effect by

increasing the quantity of almonds that

may be marketed; (2) this rule was

discussed at a public meeting and

interested persons had an opportunity

to provide input; (3) the rule was

unanimously recommended by the

Board; and (4) this rule provides a 30-

day comment period and any comments

received will be considered prior to

finalization of this rule.

List of Subjects in 7 CFR Part 981

Almonds, Marketing agreements,

Nuts, Reporting and recordkeeping

requirements.

For the reasons set forth in the

preamble, 7 CFR part 981 is amended as

follows:

PART 981—ALMONDS GROWN IN

CALIFORNIA

1. The authority citation for 7 CFR

part 981 continues to read as follows:

Authority: 7 U.S.C. 601–674.

Note: This section will not appear in the

Code of Federal Regulations.

Subpart—Salable, Reserve, and Export

Percentages

2. Section 981.239 is revised to read

as follows:

§ 981.239 Salable, reserve, and export

percentages for almonds during the crop

year beginning on July 1, 1994.

The salable, reserve, and export

percentages during the crop year

beginning on July 1, 1994, shall be 100

percent, 0 percent, and 0 percent,

respectively beginning on May 25, 1995.

Dated: May 25, 1995.

Sharon Bomer Lauritsen,

Deputy Director, Fruit and Vegetable Division.

[FR Doc. 95–13339 Filed 5–31–95; 8:45 am]

BILLING CODE 3410–02–P

Commodity Credit Corporation

7 CFR Part 1468

RIN 0560–AD40

Support Prices for Shorn Wool, Wool

on Unshorn Lambs, and Mohair for the

1995 Marketing Year

AGENCY: Commodity Credit Corporation,

USDA.

ACTION: Final rule.

SUMMARY: The National Wool Act of

1954, as amended (Wool Act), requires

the Secretary of Agriculture, through the

Commodity Credit Corporation (CCC), to

make loans and payments available to

producers of wool and mohair through

December 31, 1995. The Wool Act

further provides that, in the case of the

1995 marketing year, the payments shall

be 50 percent of the amount otherwise

determined in accordance with section

704(a) of the Wool Act. On September

16, 1994, CCC issued a proposed rule

(59 FR 47564) with respect to the

support prices for shorn wool, wool on

unshorn lambs, and mohair for the 1995

marketing year. The 1995 payment rate

formula for wool on unshorn lambs has

been determined to be 80 percent of the

difference between the 1995 support

price for shorn wool and the 1995

national average market price for shorn

wool, multiplied by 5 (the quantity of

wool on an average 100-pound unshorn

lamb). The mohair support level has

been determined to be $4.657, which is