Federal Register / Vol. 86, No. 154 / Friday, August 13, 2021 / Rules and Regulations 44587 

■ 7. In § 275.13 amend paragraph (f) by: 

■ a. Revising the paragraph heading; 

and 

■ b. Removing the last sentence. 

The revision reads as follows: 

§ 275.13 Review of negative cases. 

* * * * * 

(f) Demonstration projects. * * * 

■ 8. In § 275.21: 

■ a. Revise paragraph (b); and 

■ b. In paragraph (d): 

■ i. Revise the paragraph heading; and 

■ ii. Removing the phrase ‘‘/SSA 

processed cases’’ from the first sentence. 

The revisions read as follows: 

§ 275.21 Quality control review reports. 

* * * * * 

(b) Individual cases. The State agency 

shall report the review findings on each 

case selected for review during the 

sample month. For active cases, the 

State agency shall thoroughly document 

the Quality Control Review Schedule, 

Form FNS–380, to ensure any 

subsequent case reviewers fully 

understand household circumstances 

pertaining to the QC review as well as 

the reasons for the individual case 

finding and disposition. The State 

agency shall also code the findings on 

the Form FNS–380–1. For negative 

cases, the State agency shall submit a 

summary report, coded and documented 

on the Negative Quality Control Review 

Schedule, Form FNS–245, in enough 

detail to ensure subsequent case 

reviewers fully understand the reasons 

for the individual finding and 

disposition. The review findings shall 

be reported as follows: 

* * * * * 

(d) Demonstration projects. * * * 

■ 9. In § 275.23 amend paragraph (b)(1) 

by: 

■ a. Revising the paragraph heading; 

and 

■ b. Removing the second and third 

sentences of the paragraph. 

The revision reads as follows: 

§ 275.23 Determination of State agency 

program performance. 

* * * * * 

(b) * * * 

(1) Demonstration projects. * * * 

* * * * * 

Stacy Dean, 

Deputy Under Secretary, Food, Nutrition and 

Consumer Services. 

[FR Doc. 2021–17254 Filed 8–12–21; 8:45 am] 

BILLING CODE 3410–30–P 

DEPARTMENT OF AGRICULTURE 

Agricultural Marketing Service 

7 CFR Part 985 

[Doc. No. AMS–SC–20–0087; SC21–985–1 

FR] 

Marketing Order Regulating the 

Handling of Spearmint Oil Produced in 

the Far West; Salable Quantities and 

Allotment Percentages for the 2021– 

2022 Marketing Year 

AGENCY: Agricultural Marketing Service, 

USDA. 

ACTION: Final rule. 

SUMMARY: This rule implements a 

recommendation from the Far West 

Spearmint Oil Administrative 

Committee to establish salable 

quantities and allotment percentages for 

Class 1 (Scotch) and Class 3 (Native) 

spearmint oil produced in Washington, 

Idaho, Oregon, and designated parts of 

Nevada and Utah (the Far West) for the 

2021–2022 marketing year. 

DATES: Effective September 13, 2021. 

FOR FURTHER INFORMATION CONTACT: 

Joshua R. Wilde, Marketing Specialist, 

or Gary Olson, Regional Director, 

Northwest Marketing Field Office, 

Marketing Order and Agreement 

Division, Specialty Crops Program, 

AMS, USDA; Telephone: (503) 326– 

2724, or Email: Joshua.R.Wilde@

usda.gov or GaryD.Olson@usda.gov. 

Small businesses may request 

information on complying with this 

regulation by contacting Richard Lower, 

Marketing Order and Agreement 

Division, Specialty Crops Program, 

AMS, USDA, 1400 Independence 

Avenue SW, STOP 0237, Washington, 

DC 20250–0237; Telephone: (202) 720– 

2491, Fax: (202) 720–8938, or Email: 

Richard.Lower@usda.gov. 

SUPPLEMENTARY INFORMATION: This 

action, pursuant to 5 U.S.C. 553, 

amends regulations issued to carry out 

a marketing order as defined in 7 CFR 

900.2(j). This rule is issued under 

Marketing Order No. 985, as amended (7 

CFR part 985), regulating the handling 

of spearmint oil produced in the Far 

West. Part 985 (referred to as 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 

Far West Spearmint Oil Administrative 

Committee (Committee) locally 

administers the Order and is comprised 

of spearmint oil producers operating 

within the area of production, and a 

public member. 

The Department of Agriculture 

(USDA) is issuing this final rule in 

conformance with Executive Orders 

12866 and 13563. Executive Orders 

12866 and 13563 direct agencies to 

assess all costs and benefits of available 

regulatory alternatives and, if regulation 

is necessary, to select regulatory 

approaches that maximize net benefits 

(including potential economic, 

environmental, public health and safety 

effects, distributive impacts and equity). 

Executive Order 13563 emphasizes the 

importance of quantifying both costs 

and benefits, reducing costs, 

harmonizing rules, and promoting 

flexibility. This action falls within a 

category of regulatory actions that the 

Office of Management and Budget 

(OMB) exempted from Executive Order 

12866 review. 

This final rule has been reviewed 

under Executive Order 13175— 

Consultation and Coordination with 

Indian Tribal Governments, which 

requires agencies to consider whether 

their rulemaking actions would have 

tribal implications. AMS has 

determined this final rule is unlikely to 

have substantial direct effects on one or 

more Indian tribes, on the relationship 

between the Federal Government and 

Indian tribes, or on the distribution of 

power and responsibilities between the 

Federal Government and Indian tribes. 

This rule has been reviewed under 

Executive Order 12988, Civil Justice 

Reform. This rule is not intended to 

have retroactive effect. Under the Order 

now in effect, salable quantities and 

allotment percentages may be 

established for classes of spearmint oil 

produced in the Far West. This rule 

establishes quantities and allotment 

percentages for Scotch and Native 

spearmint oil for the 2021–2022 

marketing year, which begins on June 1, 

2021. 

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 a marketing order 

may file with USDA a petition stating 

that the marketing order, any provision 

of the marketing order, or any obligation 

imposed in connection with the 

marketing order is not in accordance 

with law and request a modification of 

the marketing order or to be exempted 

therefrom. Such 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 


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no later than 20 days after the date of 

the entry of the ruling. 

Pursuant to §§ 985.50, 985.51, and 

985.52, the Order requires the 

Committee to meet each year to consider 

supply and demand of spearmint oil 

and to adopt a marketing policy for the 

ensuing marketing year. When such 

considerations indicate a need to 

establish or to maintain stable market 

conditions through volume regulation, 

the Committee recommends salable 

quantity limitations and producer 

allotments to regulate the quantity of 

Far West spearmint oil available to the 

market. 

According to § 985.12, ‘‘salable 

quantity’’ is the total quantity of each 

class of oil (Scotch or Native) that 

handlers may purchase from, or handle 

on behalf of, producers during a given 

marketing year. The total industry 

allotment base is the aggregate of all 

allotment bases held individually by 

producers as prescribed under 

§ 985.53(d)(1). The total allotment base 

is revised each year on June 1 to account 

for producer base being lost as a result 

of the ‘‘bona fide effort’’ production 

provision of § 985.53(e) and additional 

base made available pursuant to the 

provisions of § 985.153. 

Each producer’s prorated share of the 

salable quantity of each class of oil, or 

the ‘‘annual allotment’’ as defined in 

§ 985.13, is calculated by using an 

allotment percentage. The allotment 

percentage is derived by dividing the 

salable quantity of each class of 

spearmint oil by the total industry 

allotment base for that same class of oil. 

The Committee met on October 14, 

2020, to consider its marketing policy 

for the 2021–2022 marketing year. At 

that meeting, the Committee determined 

that, based on the current market and 

supply conditions, volume regulation 

for both classes of oil would be 

necessary. With a 6–1 vote, the 

Committee recommended a salable 

quantity and allotment percentage for 

Scotch spearmint oil of 846,684 pounds 

and 38 percent. The member voting in 

opposition to the recommendation 

favored volume regulation but 

supported an unspecified lower salable 

quantity and allotment percent than 

what was recommended. The 

Committee voted six in favor, with one 

abstention, to recommend a salable 

quantity and allotment percentage for 

Native spearmint oil of 938,397 pounds 

and 37 percent. The member abstaining 

did not give a reason. 

This action establishes the amount of 

Scotch and Native spearmint oil that 

handlers may purchase from, or handle 

on behalf of, producers during the 

2021–2022 marketing year, which 

begins on June 1, 2021. Salable 

quantities and allotment percentages 

have been placed into effect each season 

since the Order’s inception in 1980. 

Scotch Spearmint Oil 

The Committee recommended a 

Scotch spearmint oil salable quantity of 

846,684 pounds and an allotment 

percentage of 38 percent for the 2021– 

2022 marketing year. The 2021–2022 

marketing year salable quantity of 

846,684 pounds is 8,355 pounds more 

than the 2020–2021 marketing year 

salable quantity of 838,329 pounds. The 

allotment percentage, recommended at 

38 percent for the 2021–2022 marketing 

year, is the same as the percentage in 

effect the previous year. The total 

allotment base for the coming marketing 

year is estimated to be 2,228,116 

pounds. This figure represents a onepercent increase over the 2020–2021 

marketing year total allotment base of 

2,206,055 pounds. The salable quantity 

(846,684 pounds) is the product of total 

allotment base (2,228,116 pounds) times 

the allotment percentage (38 percent). 

The Committee considered several 

factors in making its recommendation, 

including the current and projected 

future supply, estimated future demand, 

production costs, and producer prices. 

The Committee’s recommendation also 

accounts for the established acreage of 

Scotch spearmint, consumer demand, 

existing carry-in, reserve pool volume, 

and increased production in competing 

markets. 

According to the Committee, as costs 

of production have increased and 

spearmint oil prices have decreased, 

many producers have forgone new 

plantings of Scotch spearmint. This has 

resulted in a significant decline in 

production of Scotch spearmint oil in 

recent years. Production has decreased 

from 1,113,346 pounds produced in 

2016 to an estimated 498,322 pounds of 

Scotch spearmint oil produced in 2020. 

Industry reports indicate that trade 

demand for Far West Scotch spearmint 

oil has decreased over the past five 

years as international markets for 

spearmint-flavored products have 

slowed. Sales of Far West Scotch 

spearmint oil have averaged 740,216 

pounds per year over the last five years 

but have averaged only 645,965 pounds 

over the last three years. In addition to 

declining spearmint oil demand, 

increasing production of Scotch 

spearmint oil in competing markets, 

most notably by Canadian producers, 

has put additional downward pressure 

on the Far West Scotch spearmint oil 

market. 

Given the general decline in demand 

and anticipated market conditions for 

the coming year, the Committee 

estimates that Scotch spearmint oil 

trade demand for the 2021–2022 

marketing year trade will be 623,000 

pounds, which is 19,000 pounds higher 

than the prior year estimate, but still 

down from the three-year average of 

actual sales. Should the volume 

regulation levels established by this 

action prove insufficient to adequately 

supply the market, the Committee has 

the authority to recommend intraseasonal increases, as it has in previous 

marketing years. 

The Committee calculated the 

minimum salable quantity of Scotch 

spearmint oil that will be required 

during the 2021–2022 marketing year 

(359,424 pounds) by subtracting the 

estimated salable carry-in on June 1, 

2021, (263,576 pounds) from the 

estimated trade demand (623,000 

pounds). This minimum salable 

quantity represents the estimated 

minimum amount of Scotch spearmint 

oil that will be needed to satisfy 

estimated trade demand for the coming 

year. To ensure that the market will be 

fully supplied, the Committee 

recommended a 2021–2022 marketing 

year salable quantity of 846,684 pounds. 

The recommended salable quantity, 

combined with an estimated 263,576 

pounds of salable quantity carried in 

from the previous year, will yield a total 

available supply of 1,110,260 pounds of 

Scotch spearmint oil for the 2021–2022 

marketing year. With the recommended 

salable quantity and current market 

environment, the Committee estimates 

that as much as 487,260 pounds of 

salable Scotch spearmint oil could be 

carried into the 2022–2023 marketing 

year. 

Salable carry-in is the primary 

measure of excess spearmint oil supply 

under the Order, as it represents 

overproduction in prior years that is 

currently available to the market 

without restriction. Under volume 

regulation, spearmint oil that is 

designated as salable continues to be 

available to the market until it is sold 

and may be marketed at any time at the 

discretion of the owner. Salable 

quantities established under volume 

regulation over the last four seasons 

have exceeded sales, leading to a 

gradual build of Scotch spearmint oil 

salable carry-in. 

The Committee estimates that there 

will be 263,576 pounds of salable carryin of Scotch spearmint oil on June 1, 

2021. If current market conditions are 

maintained and the Committee’s 

projections are correct, salable carry-in 

will increase to 487,260 pounds at the 

beginning of the 2022–2023 marketing 

year. This level will be above the 


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Federal Register / Vol. 86, No. 154 / Friday, August 13, 2021 / Rules and Regulations 44589 

quantity that the Committee generally 

considers favorable (150,000 pounds). 

However, the Committee believes that, 

given the current economic conditions 

in the Scotch spearmint oil industry, 

some Scotch spearmint oil producers 

may not produce enough oil in the 

2021–2022 marketing year to fill all of 

their annual allotment. The Committee 

estimates that as much as 245,352 

pounds of 2020–2021 marketing year 

annual allotment may not be filled by 

producers. While the Committee has not 

projected unused base allotment for the 

2021–2022 marketing year and did not 

incorporate this factor in its 

recommendation, it anticipates that the 

actual quantity of Scotch spearmint oil 

carried into the following marketing 

year will be significantly less than the 

quantity calculated above (487,260 

pounds). 

Spearmint oil held in reserve is oil 

that has been produced in excess of a 

producer’s marketing year allotment and 

is not available to the market in the 

current marketing year without an 

increase in the salable quantity and 

allotment percentage. Oil held in the 

reserve pool is another indicator of 

excess supply. Scotch spearmint oil 

held in the reserve pool was 67,645 

pounds as of May 31, 2020, down from 

132,984 pounds as of May 31, 2019. 

However, the Scotch spearmint oil 

reserve is expected to rebound slightly 

to an estimated 83,608 pounds by the 

end of the 2020–2021 marketing year. 

This quantity of reserve pool oil should 

be an adequate buffer to supply the 

market, if necessary, should the 

industry experience an unexpected 

increase in demand. 

The Committee recommended an 

allotment percentage of 38 percent for 

the 2021–2022 marketing year for 

Scotch spearmint oil. During its October 

14, 2020, meeting, the Committee 

calculated an initial allotment 

percentage by dividing the minimum 

required salable quantity (359,424 

pounds) by the total estimated allotment 

base (2,228,116 pounds), resulting in 

16.1 percent. However, producers and 

handlers at the meeting indicated that 

the computed percentage (16.1 percent) 

might not adequately supply potential 

2021–2022 Scotch spearmint oil market 

demand and may also result in a less 

than desirable carry-in for the 

subsequent marketing year. After 

deliberation, the Committee increased 

the recommended allotment percentage 

to 38 percent. The total estimated 

allotment base (2,228,116 pounds) for 

the 2021–2022 marketing year, 

multiplied by the recommended salable 

allotment percentage (38 percent), 

yields 846,684 pounds, which is the 

recommended salable quantity for the 

2021–2022 marketing year. 

The 2021–2022 marketing year 

computational data for the Committee’s 

recommendations is detailed below. 

(A) Estimated carry-in of Scotch 

spearmint oil on June 1, 2021: 263,576 

pounds. This figure is the difference 

between the 2020–2021 marketing year 

total available supply of 867,576 pounds 

and the 2020–2021 marketing year 

estimated trade demand of 604,000 

pounds. The estimated 2020–2021 

marketing year trade demand was 

revised down from the original estimate 

of 750,000 pounds by the Committee at 

its October 14, 2020, meeting. 

(B) Estimated trade demand of Scotch 

spearmint oil for the 2021–2022 

marketing year: 623,000 pounds. This 

figure was established at the Committee 

meeting held on October 14, 2020. 

(C) Salable quantity of Scotch 

spearmint oil required from the 2021– 

2022 marketing year production: 

359,424 pounds. This figure is the 

difference between the estimated 2021– 

2022 marketing year trade demand 

(623,000 pounds) and the estimated 

carry-in on June 1, 2021 (263,576 

pounds). This salable quantity 

represents the minimum amount of 

Scotch spearmint oil that may be 

needed to satisfy estimated demand for 

the coming year. 

(D) Total estimated Scotch spearmint 

oil allotment base for the 2021–2022 

marketing year: 2,228,116 pounds. This 

figure represents a one-percent increase 

over the 2020–2021 total actual 

allotment base of 2,206,055 pounds, as 

prescribed by § 985.153. The onepercent increase equals 22,061 pounds. 

This total estimated allotment base is 

revised each year on June 1 in 

accordance with § 985.53(e). 

(E) Computed Scotch spearmint oil 

allotment percentage for the 2021–2022 

marketing year: 16.1 percent. This 

percentage is computed by dividing the 

minimum required salable quantity 

(359,424 pounds) by the total estimated 

allotment base (2,228,116 pounds). 

(F) Recommended Scotch spearmint 

oil allotment percentage for the 2021– 

2022 marketing year: 38 percent. This is 

the Committee’s recommendation and is 

based on the computed allotment 

percentage (16.1 percent) and input 

from producers and handlers at the 

October 14, 2020, meeting. The 

recommended 38 percent allotment 

percentage reflects the Committee’s 

belief that the computed percentage 

(16.1 percent) may not adequately 

supply the anticipated 2021–2022 

marketing year Scotch spearmint oil 

market demand. 

(G) Recommended Scotch spearmint 

oil salable quantity for the 2021–2022 

marketing year: 846,684 pounds. This 

figure is the product of the 

recommended salable allotment 

percentage (38 percent) and the total 

estimated allotment base (2,228,116 

pounds) for the 2021–2022 marketing 

year. 

(H) Estimated total available supply 

of Scotch spearmint oil for the 2021– 

2022 marketing year: 1,110,260 pounds. 

This figure is the sum of the 2021–2022 

marketing year recommended salable 

quantity (846,684 pounds) and the 

estimated carry-in on June 1, 2021 

(263,576 pounds). 

For the reasons stated above, the 

Committee believes that the 

recommended salable quantity and 

allotment percentage will adequately 

satisfy trade demand, will result in a 

reasonable carry-in for the following 

year, and will contribute to the orderly 

marketing of Scotch spearmint oil. 

Native Spearmint Oil 

The Committee recommended a 

Native spearmint oil salable quantity of 

938,397 pounds and an allotment 

percentage of 37 percent for the 2021– 

2022 marketing year. These figures are, 

respectively, 292,089 pounds and 12 

percentage points lower than the levels 

established for the 2020–2021 marketing 

year. The Committee utilized handlers’ 

estimated trade demand of Native 

spearmint oil for the coming year, 

historical and current Native spearmint 

oil production, inventory statistics, and 

international market data obtained from 

consultants for the spearmint oil 

industry to arrive at these 

recommendations. 

The Committee anticipates that 2021 

Native spearmint oil production will 

total 1,181,230 pounds, down 

substantially from the previous year’s 

production of 1,493,686 pounds. 

Committee records show an estimated 

7,957 acres of Native spearmint 

production in the Far West in 2020 

compared to an estimated 9,013 acres of 

Native spearmint production in 2019. 

Sales of Native spearmint oil have 

also been declining, falling from a high 

of 1,565,515 pounds in the 2017–2018 

marketing year to 1,076,906 pounds 

over the 2019–2020 marketing year, the 

last full year of reported sales. The 

Committee estimates that trade demand 

for Native spearmint oil will be 

1,059,167 pounds for the 2020–2021 

marketing year, well below the 5-year 

sales average of 1,283,266 pounds. 

The Committee expects that 694,137 

pounds of salable Native spearmint oil 

from prior years will be carried into the 

2021–2022 marketing year. This amount 


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is up from the 522,818 pounds of salable 

oil carried into the 2020–2021 

marketing year and well above the level 

that the Committee generally considers 

favorable. 

Further, the Committee estimates that 

there will be 1,130,264 pounds of Native 

spearmint oil in the reserve pool at the 

beginning of the 2021–2022 marketing 

year. This figure is 49,256 pounds lower 

than the quantity of reserve pool oil 

held by producers on June 1, 2020, but 

is still higher than the level that the 

Committee believes is optimal. This 

modest decline in the reserve oil 

reverses the recent trend of gradual 

increases that the industry has 

experienced over the past several 

marketing years. 

The Committee expects end users of 

Native spearmint oil to continue to rely 

on Far West production as their primary 

source of high-quality Native spearmint 

oil. Overseas production of Native 

spearmint has declined in recent years. 

As a result, U.S. exports of Native 

spearmint oil have been increasing since 

2018. However, the increase in domestic 

production from other states outside the 

Far West region has more than offset the 

decline in foreign production of Native 

spearmint oil. For instance, production 

of Native spearmint oil in the U.S. 

Midwest region has spiked in recent 

years, rising from fewer than 2,000 acres 

in 2016 to approximately 5,500 acres in 

2020. Additionally, the sharp increase 

in demand for Native spearmint 

experienced during the 2017–2018 

marketing year has tapered off in recent 

years. These factors have contributed to 

declining trade demand for Far West 

Native spearmint oil and led to 

downward pressure on producer prices. 

The Committee chose to be cautiously 

optimistic in the establishment of its 

trade demand estimate for the 2021– 

2022 marketing year to ensure that the 

market will be adequately supplied. At 

the October 14, 2020, meeting, the 

Committee estimated the 2021–2022 

marketing year Native spearmint oil 

trade demand to be 1,125,000 pounds. 

This figure is based on input provided 

by producers at nine production area 

meetings held in early October 2020, as 

well as estimates provided by handlers 

and other meeting participants. This 

figure represents an increase of 65,833 

pounds from the previous year’s revised 

trade demand estimate. The average 

estimated trade demand for Native 

spearmint oil derived from the area 

producer meetings was 1,105,556 

pounds, whereas the handlers’ estimates 

ranged from 900,000 to 1,300,000 

pounds. The average of Native 

spearmint oil sales over the last three 

years was 1,295,832 pounds. The 

quantity marketed over the most recent 

full marketing year, 2019–2020, was 

1,076,906 pounds. 

The estimated June 1, 2021, carry-in 

of 694,137 pounds of Native spearmint 

oil, plus the recommended 2021–2022 

marketing year salable quantity of 

938,397 pounds, results in an estimated 

total available supply of 1,632,534 

pounds of Native spearmint oil during 

the 2021–2022 marketing year. With the 

corresponding estimated trade demand 

of 1,125,000 pounds, the Committee 

projects that 507,534 pounds of oil will 

be carried into the 2022–2023 marketing 

year, resulting in a year-over-year 

decrease of 186,603 pounds. The 

Committee estimates that there will be 

1,130,264 pounds of Native spearmint 

oil held in the reserve pool at the 

beginning of the 2021–2022 marketing 

year. Should the industry experience an 

unexpected increase in trade demand, 

oil in the Native spearmint oil reserve 

pool could be released through an intraseasonal increase to satisfy that demand. 

The Committee recommended a 

producer allotment percentage of 37 

percent for the 2021–2022 marketing 

year. During its October 14, 2020, 

meeting, the Committee calculated an 

initial producer allotment percentage of 

17 percent by dividing the minimum 

required salable quantity to satisfy 

estimated trade demand (430,863 

pounds) by the total allotment base 

(2,536,208 pounds). However, producers 

and handlers at the meeting expressed 

that the computed percentage of 17 

percent may not adequately supply the 

potential 2021–2022 Native spearmint 

oil market demand or result in adequate 

carry-in for the subsequent marketing 

year. After deliberation, the Committee 

increased the recommended allotment 

percentage to 37 percent. The total 

estimated allotment base (2,536,208 

pounds) for the 2021–2022 marketing 

year multiplied by the recommended 

salable allotment percentage (37 

percent) yields 938,397 pounds, the 

recommended salable quantity for the 

year. 

The 2021–2022 marketing year 

computational data for the Committee’s 

recommendations is further outlined 

below. 

(A) Estimated carry-in of Native 

spearmint oil on June 1, 2021: 694,137 

pounds. This figure is the difference 

between the revised 2020–2021 

marketing year total available supply of 

1,753,304 pounds and the revised 2020– 

2021 marketing year estimated trade 

demand of 1,059,167 pounds. 

(B) Estimated trade demand of Native 

spearmint oil for the 2021–2022 

marketing year: 1,125,000 pounds. This 

estimate was established by the 

Committee at the October 14, 2020, 

meeting. 

(C) Salable quantity of Native 

spearmint oil required from the 2021– 

2022 marketing year production: 

430,863 pounds. This figure is the 

difference between the estimated 2021– 

2022 marketing year estimated trade 

demand (1,125,000 pounds) and the 

estimated carry-in on June 1, 2021 

(694,137 pounds). This is the minimum 

amount of Native spearmint oil that the 

Committee believes will be required to 

meet the anticipated 2021–2022 

marketing year trade demand. 

(D) Total estimated allotment base of 

Native spearmint oil for the 2021–2022 

marketing year: 2,536,208 pounds. This 

figure represents a one-percent increase 

over the 2020–2021 total actual 

allotment base of 2,511,097 pounds as 

prescribed in § 985.153. The onepercent increase equals 25,111 pounds 

of oil. This estimate is revised each year 

on June 1, due to adjustments resulting 

from the bona fide effort production 

provisions of § 985.53(e). 

(E) Computed Native spearmint oil 

allotment percentage for the 2021–2022 

marketing year: 17 percent. This 

percentage is calculated by dividing the 

required salable quantity (430,863 

pounds) by the total estimated allotment 

base (2,536,208 pounds) for the 2021– 

2022 marketing year. 

(F) Recommended Native spearmint 

oil allotment percentage for the 2021– 

2022 marketing year: 37 percent. This is 

the Committee’s recommendation based 

on the computed allotment percentage 

(17 percent) and input from producers 

and handlers at the October 14, 2020, 

meeting. The recommended 37 percent 

allotment percentage is also based on 

the Committee’s belief that the 

computed percentage (17 percent) may 

not adequately supply the potential 

market for Native spearmint oil in the 

2021–2022 marketing year or allow for 

salable Native spearmint oil to be 

carried into the beginning of the 2022– 

2023 marketing year. 

(G) Recommended Native spearmint 

oil 2021–2022 marketing year salable 

quantity: 938,397 pounds. This figure is 

the product of the recommended 

allotment percentage (37 percent) and 

the total estimated allotment base 

(2,536,208 pounds). 

(H) Estimated available supply of 

Native spearmint oil for the 2021–2022 

marketing year: 1,632,534 pounds. This 

figure is the sum of the 2021–2022 

recommended salable quantity (938,397 

pounds) and the estimated carry-in on 

June 1, 2021 (694,137 pounds). This 

amount could be increased, as needed, 

through an intra-seasonal increase in the 


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salable quantity and allotment 

percentage. 

The Committee’s recommended 

Scotch and Native spearmint oil salable 

quantities and allotment percentages of 

846,684 pounds and 38 percent, and 

938,397 pounds and 37 percent, 

respectively, will match the available 

supply of each class of spearmint oil to 

the estimated demand of each, thus 

avoiding extreme fluctuations in 

inventories and prices. This rule is 

similar to regulations issued in prior 

seasons. 

The salable quantities established in 

this final rule are not expected to cause 

a shortage of either class of spearmint 

oil. Any unanticipated or additional 

market demand for either class of 

spearmint oil which may develop 

during the marketing year could be 

satisfied by an intra-seasonal increase in 

the salable quantity and corresponding 

allotment percentage. The Order 

contains a provision in § 985.51 for 

intra-seasonal increases to allow the 

Committee the flexibility to respond 

quickly to changing market conditions. 

Under volume regulation, producers 

who produce more than their annual 

allotments during the marketing year 

may transfer such excess spearmint oil 

to producers who have produced less 

than their annual allotment. In addition, 

on December 1 of each year, producers 

who have not transferred their excess 

spearmint oil to other producers must 

place their excess spearmint oil 

production into the reserve pool to be 

released in the future, in accordance 

with market needs and under the 

Committee’s direction. 

USDA has reviewed the Committee’s 

marketing policy statement for the 

2021–2022 marketing year. The 

Committee’s marketing policy 

statement, a requirement whenever the 

Committee recommends volume 

regulation, meets the requirements of 

§§ 985.50 and 985.51. 

The establishment of salable 

quantities and allotment percentages in 

this rule is expected to fully satisfy 

anticipated market needs. In 

determining anticipated market needs, 

the Committee considered historical 

sales, as well as changes and trends in 

production and demand. This rule also 

provides producers with information 

regarding the amount of spearmint oil 

that should be produced for the 2021– 

2022 season to meet anticipated market 

demand. 

Final 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 

rule 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 

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 the 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 approximately 40 producers 

and 94 producers of Scotch and Native 

spearmint oil, respectively, in the 

regulated production area and 

approximately 8 spearmint oil handlers 

subject to regulation under the Order. 

Small agricultural service firms are 

defined by the Small Business 

Administration (SBA) as those having 

annual receipts of less than $30,000,000, 

and small agricultural producers are 

defined as those having annual receipts 

of less than $1,000,000 (13 CFR 

121.201). 

The Committee reported that recent 

producer prices for spearmint oil have 

ranged from $12.00 to $17.00 per 

pound. The National Agricultural 

Statistics Service (NASS) reported that 

the 2019 U.S. season average spearmint 

oil producer price per pound was 

$16.90. Spearmint oil utilization for the 

2019–2020 marketing year, as reported 

by the Committee, was 598,706 pounds 

and 1,076,906 pounds for Scotch and 

Native spearmint oil, respectively, for a 

total of 1,675,612 pounds. Multiplying 

$16.90 per pound by 2019–2020 

marketing year spearmint oil utilization 

of 1,675,612 pounds yields a crop value 

estimate of about $28.3 million. 

Given the accounting requirements for 

the volume regulation provisions of the 

Order, the Committee maintains 

accurate records of each producer’s 

production and sales. Using the $16.90 

average spearmint oil price, and 

Committee production data for each 

producer, the Committee estimates that 

37 of the 40 Scotch spearmint oil 

producers and 90 of the 94 Native 

spearmint oil producers could be 

classified as small entities under the 

SBA definition. 

There is no third party or 

governmental entity that collects and 

reports spearmint oil prices received by 

spearmint oil handlers. However, the 

Committee estimates an average 

spearmint oil handling markup at 

approximately 20 percent of the price 

received by producers. Multiplying 1.20 

by the 2018 producer price of $16.90 

yields a handler free on board (f.o.b.) 

price per pound estimate of $20.28. 

Multiplying this estimated handler 

f.o.b. price by the 2019–2020 marketing 

year total spearmint oil utilization of 

1,675,612 pounds results in an 

estimated handler-level spearmint oil 

value of $33.98 million. Dividing this 

figure by the number of handlers (8) 

yields estimated average annual handler 

receipts of about $4.25 million, which is 

well below the SBA threshold for small 

agricultural service firms. 

Furthermore, using confidential data 

on pounds handled by each handler, 

and the abovementioned estimated 

handler price per pound, the Committee 

reported that it is not likely that any of 

the eight handlers had 2019–2020 

marketing year spearmint oil sales that 

exceeded the $30 million SBA 

threshold. 

Therefore, the majority of producers 

of spearmint oil may be classified as 

small entities, and all of the handlers of 

spearmint oil may be classified as small 

entities. 

This final rule establishes the quantity 

of spearmint oil produced in the Far 

West, by class, which handlers may 

purchase from, or handle on behalf of, 

producers during the 2021–2022 

marketing year. The Committee 

recommended this action to help 

maintain stability in the spearmint oil 

market by matching supply to estimated 

demand, thereby avoiding extreme 

fluctuations in supplies and prices. 

Establishing quantities that may be 

purchased or handled during the 

marketing year through volume 

regulation allows producers to 

coordinate their spearmint oil 

production with the expected market 

demand. Authority for this action is 

provided in §§ 985.50, 985.51, and 

985.52 of the Order. 

The Committee estimates the total 

trade demand for the 2021–2022 

marketing year for both classes of oil at 

1,748,000 pounds. In addition, the 

Committee expects that the combined 

salable carry-in for both classes of 

spearmint oil will be 957,713 pounds. 

As such, the combined required salable 

quantity for the 2021–2022 marketing 

year is estimated to be 790,287 pounds 

(1,748,000 pounds trade demand less 

957,713 pounds carry-in). Under 

volume regulation, total sales of 

spearmint oil by producers for the 

2021–2022 marketing year will be held 

to 2,742,794 pounds (the recommended 

salable quantity for both classes of 

spearmint oil of 1,785,081 pounds plus 

957,713 pounds of carry-in). 

This total available supply of 

2,742,794 pounds should be more than 

adequate to supply the 1,748,000 


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pounds of anticipated total trade 

demand for spearmint oil. In addition, 

as of May 31, 2020, the total reserve 

pool for both classes of spearmint oil 

stood at 1,247,165 pounds. That 

quantity is expected to remain relatively 

unchanged over the course of the 2021– 

2022 marketing year, with current 

Committee reserve pool estimates 

totaling 1,366,673 pounds. Should trade 

demand increase unexpectedly during 

the 2021–2022 marketing year, reserve 

pool spearmint oil could be released 

into the market to supply that increase 

in demand. 

The established allotment 

percentages, upon which 2021–2022 

marketing year annual allotments are 

based, are 38 percent for Scotch 

spearmint oil and 37 percent for Native 

spearmint oil. Without volume 

regulation, producers will not be held to 

these allotment levels, and could sell 

unrestricted quantities of spearmint oil. 

The USDA econometric model used to 

evaluate the Far West spearmint oil 

market estimated that the season 

average producer price per pound (from 

both classes of spearmint oil) would 

decline about $1.70 per pound without 

volume regulation. The surplus 

situation for the spearmint oil market 

that would exist without volume 

regulation in the 2021–2022 marketing 

year also would likely dampen 

prospects for improved producer prices 

in future years because of the excessive 

buildup in stocks. 

In addition, the econometric model 

estimated that spearmint oil prices 

would fluctuate with greater amplitude 

in the absence of volume regulation. 

The coefficient of variation, or CV (a 

standard measure of variability), of Far 

West spearmint oil producer prices for 

the period 1980–2019 (the years in 

which the Order has been in effect), is 

25 percent, compared to 49 percent for 

the 20-year period (1960–1979) 

immediately prior to the establishment 

of the Order. Since higher CV values 

correspond to greater variability, this is 

an indicator of the price stabilizing 

impact of the Order. 

The use of volume regulation allows 

the industry to fully supply spearmint 

oil markets while avoiding the negative 

consequences of over-supplying these 

markets. The use of volume regulation 

is believed to have little or no effect on 

consumer prices of products containing 

spearmint oil and will not result in 

fewer retail sales of such products. 

The Committee discussed alternatives 

to the recommendations contained in 

this rule for both classes of spearmint 

oil. The Committee rejected the idea of 

not regulating volume for either class of 

spearmint oil because of the severe, 

price-depressing effects that will likely 

occur without volume regulation. The 

Committee also discussed and 

considered salable quantities and 

allotment percentages that were above 

and below the levels that were 

ultimately recommended for both 

classes of spearmint oil. Ultimately, the 

action recommended by the Committee 

was to maintain the allotment 

percentage for Scotch spearmint oil 

(which will slightly increase the salable 

quantity) and to decrease both the 

salable quantity and allotment 

percentage for Native spearmint oil from 

the levels established for the 2020–2021 

marketing year. 

As noted earlier, the Committee’s 

recommendation to establish salable 

quantities and allotment percentages for 

both classes of spearmint oil was made 

after careful consideration of all 

available information including: (1) The 

estimated quantity of salable oil of each 

class held by producers and handlers; 

(2) the estimated demand for each class 

of oil; (3) the prospective production of 

each class of oil; (4) the total of 

allotment bases of each class of oil for 

the current marketing year and the 

estimated total of allotment bases of 

each class for the ensuing marketing 

year; (5) the quantity of reserve oil, by 

class, in storage; (6) producer prices of 

oil, including prices for each class of oil; 

and (7) general market conditions for 

each class of oil, including whether the 

estimated season average price to 

producers is likely to exceed parity. 

Based on its review, the Committee 

believes that the salable quantities and 

allotment percentages established in 

this rule will achieve the objectives 

sought. The Committee also believes 

that, should there be no volume 

regulation in effect for the upcoming 

marketing year, the Far West spearmint 

oil industry will return to the 

pronounced cyclical price patterns that 

occurred prior to the promulgation of 

the Order. As previously stated, annual 

salable quantities and allotment 

percentages have been issued for both 

classes of spearmint oil since the 

Order’s inception. The salable quantities 

and allotment percentages established 

herein are expected to facilitate the goal 

of maintaining orderly marketing 

conditions for Far West spearmint oil 

for the 2021–2022 and future marketing 

years. 

Costs to producers and handlers, large 

and small, resulting from this action are 

expected to be offset by the benefits 

derived from a more stable market and 

increased returns. The benefits of this 

rule are expected to be equally available 

to all producers and handlers regardless 

of their sizes. 

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 OMB and 

assigned OMB No. 0581–0178, 

Vegetable and Specialty Crops. No 

changes in those requirements are 

necessary as a result of this rule. Should 

any changes become necessary, they 

would be submitted to OMB for 

approval. 

This rule establishes the salable 

quantities and allotment percentages for 

Scotch spearmint oil and Native 

spearmint oil produced in the Far West 

during the 2021–2022 marketing year. 

Accordingly, this rule does not impose 

any additional reporting or 

recordkeeping requirements on either 

small or large spearmint oil producers 

or handlers. 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 final rule. 

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. 

A proposed rule concerning this 

action was published in the Federal 

Register on April 16, 2021 (86 FR 

20038). Copies of the proposed rule 

were also mailed or sent via email to all 

Far West spearmint oil handlers. The 

proposal was made available through 

the internet by USDA and the Office of 

the Federal Register. A 60-day comment 

period ending June 15, 2021, was 

provided for interested persons to 

respond to the proposal. No comments 

were received during the comment 

period. Accordingly, no changes will be 

made to the rule as proposed. 

A small business guide on complying 

with fruit, vegetable, and specialty crop 

marketing agreements and orders may 

be viewed at: https://

www.ams.usda.gov/rules-regulations/ 

moa/small-businesses. Any questions 

about the compliance guide should be 

sent to Richard Lower at the previously 

mentioned address in the FOR FURTHER

INFORMATION CONTACT section. 

After consideration of all relevant 

material presented, including the 

information and recommendation 

submitted by the Board and other 

available information, it is hereby found 

that this rule will tend to effectuate the 

declared policy of the Act. 


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Federal Register / Vol. 86, No. 154 / Friday, August 13, 2021 / Rules and Regulations 44593 

List of Subjects in 7 CFR Part 985 

Marketing agreements, Oils and fats, 

Reporting and recordkeeping 

requirements, Spearmint oil. 

For the reasons set forth in the 

preamble, 7 CFR part 985 is amended as 

follows: 

PART 985—MARKETING ORDER 

REGULATING THE HANDLING OF 

SPEARMINT OIL PRODUCED IN THE 

FAR WEST 

■ 1. The authority citation for 7 CFR 

part 985 continues to read as follows: 

Authority: 7 U.S.C. 601–674. 

■ 2. Section 985.236 is added to read as 

follows: 

§ 985.236 Salable quantities and allotment 

percentages—2021–2022 marketing year. 

The salable quantity and allotment 

percentage for each class of spearmint 

oil during the marketing year beginning 

on June 1, 2021, shall be as follows: 

(a) Class 1 (Scotch) oil—a salable 

quantity of 846,684 pounds and an 

allotment percentage of 38 percent. 

(b) Class 3 (Native) oil—a salable 

quantity of 938,397 pounds and an 

allotment percentage of 37 percent. 

Erin Morris, 

Associate Administrator, Agricultural 

Marketing Service. 

[FR Doc. 2021–17293 Filed 8–12–21; 8:45 am] 

BILLING CODE P 

DEPARTMENT OF HOMELAND 

SECURITY 

8 CFR Parts 212, 214, 245 and 274a 

[CIS No. 2507–11; DHS Docket No USCIS– 

2011–0010] 

RIN 1615–AA59 

Classification for Victims of Severe; 

Forms of Trafficking in Persons; 

Eligibility for ‘‘T’’ Nonimmigrant Status; 

Extension of Comment Period 

AGENCY: U.S. Citizenship and 

Immigration Services, Department of 

Homeland Security. 

ACTION: Interim final rule; extension of 

the comment period. 

SUMMARY: On July 16, 2021, the 

Department of Homeland Security 

(DHS) reopened the public comment 

period for the interim final rule titled 

‘‘Classification for Victims of Severe 

Forms of Trafficking in Persons; 

Eligibility for ‘‘T’’ Nonimmigrant 

Status,’’ with a comment period ending 

August 16, 2021. DHS is announcing 

that the reopened comment period will 

be extended an additional 30 days. As 

part of this rulemaking, DHS will 

consider comments received during the 

entire public comment period, 

including comments received since July 

16, 2021. 

DATES: The comment period for the 

interim final rule published at 81 FR 

92266 (Dec. 19, 2016), which was 

reopened on July 16, 2021, at 86 FR 

37670, is extended. Written comments 

and related material must be submitted 

on or before September 14, 2021. 

ADDRESSES: You may submit comments 

on the entirety of this rule package, to 

include the related information 

collection requirements set forth in the 

2016 interim final rule (IFR), which is 

identified as DHS Docket No. USCIS– 

2011–0010, through the Federal 

eRulemaking Portal http://

www.regulations.gov. Follow the 

website instructions for submitting 

comments. Comments submitted in 

another manner, including emails or 

letters sent to DHS or U.S. Citizenship 

and Immigration Services (USCIS) 

officials, will not be considered 

comments on the rule and may not 

receive a response from DHS. Please 

note that DHS and USCIS cannot accept 

any comments that are hand delivered 

or couriered. In addition, USCIS cannot 

accept comments contained on any form 

of digital media storage devices, such as 

CDs/DVDs and USB drives. Due to 

COVID–19, USCIS is also not accepting 

mailed comments at this time. If you 

cannot submit your comment by using 

http://www.regulations.gov, please 

contact Samantha Deshommes, Chief, 

Regulatory Coordination Division, 

Office of Policy and Strategy, U.S. 

Citizenship and Immigration Services, 

Department of Homeland Security, by 

telephone at 240–721–3000 for alternate 

instructions. 

FOR FURTHER INFORMATION CONTACT: 

Andria Strano, Acting Branch Chief, 

Humanitarian Affairs Division, Office of 

Policy and Strategy, U.S. Citizenship 

and Immigration Services, DHS, 5900 

Capital Gateway Drive, Camp Springs, 

MD 20746; telephone 240–721–3000 

(this is not a toll-free number). 

Individuals with hearing or speech 

impairments may access the telephone 

numbers above via TTY by calling the 

toll-free Federal Information Relay 

Service at 1–877–889–5627 (TTY/TDD). 

SUPPLEMENTARY INFORMATION: Interested 

persons are invited to participate in this 

rulemaking by submitting written data, 

views, or arguments on all aspects of 

this rule. DHS also invites comments 

that relate to the economic or federalism 

effects that might result from this rule. 

Comments that will provide the most 

assistance to DHS will reference a 

specific portion of the rule, explain the 

reason for any recommended change, 

and include data, information, or 

authority that support such 

recommended change. 

Instructions: All submissions received 

must include the agency name and DHS 

Docket No. USCIS–20011–0010. 

Providing comments is entirely 

voluntary. Regardless of how comments 

are submitted to DHS, all submissions 

will be posted, without change, to the 

Federal eRulemaking Portal at http://

www.regulations.gov and will include 

any personal information provided by 

commenters. Because the information 

submitted will be publicly available, 

commenters should consider limiting 

the amount of personal information 

provided in each submission. DHS may 

withhold information provided in 

comments from public viewing if it 

determines that such information is 

offensive or may affect the privacy of an 

individual. For additional information, 

please read the Privacy Act notice 

available through the link in the footer 

of http://www.regulations.gov. 

Docket: For access to the docket, go to 

http://www.regulations.gov and enter 

this rulemaking’s eDocket number 

USCIS 2011–0010. 

Background 

On December 19, 2016, DHS 

published an interim final rule (IFR) in 

the Federal Register at 81 FR 92266 and 

received 17 public comments. In this 

IFR, USCIS amended its regulations 

governing the classification for Victims 

of Severe Forms of Trafficking in 

Persons; Eligibility for T Nonimmigrant 

Status, see Immigration and Nationality 

Act (INA) sec. 101(a)(15)(T), 8 U.S.C. 

1101(a)(15)(T). On July 16, 2021, at 86 

FR 37670, DHS published a document 

reopening the comment period for this 

rulemaking for 30 days, with the 

deadline to submit comments set at 

August 16, 2021. DHS has received a 

request from multiple stakeholders to 

extend the deadline for submitting 

public comments during the reopened 

public comment period. In response to 

that request, DHS is extending the 

reopened comment period for an 

additional 30 days, to provide a total of 

60 days for the public to submit 

comments. Through this document, 

DHS is extending the comment period 

for the IFR published in the Federal 

Register at 86 FR 37670 until September 

14, 2021. DHS will consider comments 

received during the entire public 


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