Federal Register / Vol. 87, No. 72 / Thursday, April 14, 2022 / Rules and Regulations 22105 

total producer revenue would be 

approximately 0.9 percent ($50,000 

divided by ($5.42 × 1,000,000 cartons) × 

100%). 

This action increases the assessment 

obligation imposed on handlers. While 

assessments impose some additional 

costs on handlers, costs are minimal and 

uniform on all handlers, and some 

portion of the additional costs may be 

passed on to producers. However, these 

costs are expected to be offset by 

benefits derived by the operation of the 

Order. 

The Committee’s meeting was widely 

publicized throughout the Texas citrus 

industry. All interested persons were 

invited to attend the meeting and 

participate in Committee deliberations 

on all issues. Like all Committee 

meetings, the July 14, 2021, meeting was 

a public meeting and all entities, both 

large and small, were able to express 

views on this issue. 

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. 0581–0189 Fruit 

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 imposes no additional 

reporting or recordkeeping requirements 

on either small or large Texas orange 

and grapefruit 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. As 

noted in the initial regulatory flexibility 

analysis, AMS has not identified any 

relevant Federal rules that duplicate, 

overlap, or conflict with this rule. 

AMS is committed to complying with 

the E-Government Act, promoting 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 November 18, 2021 (86 FR 

64408). Copies of the proposed rule 

were also mailed or sent via email to all 

Texas citrus handlers. The proposal was 

made available through the internet by 

AMS and the Office of the Federal 

Register. A 30-day comment period 

ending December 20, 2021, was 

provided for interested persons to 

respond to the proposal. 

No comments were received. 

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 Committee and other 

available information, it is hereby found 

that this rule will tend to effectuate the 

declared policy of the Act. 

List of Subjects in 7 CFR Part 906 

Grapefruit, Marketing agreements, 

Oranges, Reporting and recordkeeping 

requirements. 

For the reasons set forth in the 

preamble, the Agricultural Marketing 

Service amends 7 CFR part 906 as 

follows: 

PART 906—ORANGES AND 

GRAPEFRUIT GROWN IN LOWER RIO 

GRANDE VALLEY IN TEXAS 

■ 1. The authority citation for 7 CFR 

part 906 continues to read as follows: 

Authority: 7 U.S.C. 601–674. 

■ 2. Section 906.235 is revised to read 

as follows: 

§ 906.235 Assessment rate. 

On and after August 1, 2021, an 

assessment rate of $0.05 per 7/10-bushel 

carton or equivalent is established for 

oranges and grapefruit grown in the 

Lower Rio Grande Valley in Texas. 

Melissa Bailey, 

Associate Administrator, Agricultural 

Marketing Service. 

[FR Doc. 2022–07975 Filed 4–13–22; 8:45 am] 

BILLING CODE P 

DEPARTMENT OF AGRICULTURE 

Agricultural Marketing Service 

7 CFR Part 983 

[Doc. No. AMS–SC–21–0068; SC21–983–1 

FR] 

Increased Assessment Rate for 

Pistachios 

AGENCY: Agricultural Marketing Service, 

USDA. 

ACTION: Final rule. 

SUMMARY: This rule implements a 

recommendation from the 

Administrative Committee for 

Pistachios (Committee) to increase the 

assessment rate established for the 

2021–22 and subsequent production 

years. The assessment rate will remain 

in effect indefinitely unless modified, 

suspended, or terminated. 

DATES: Effective May 16, 2022. 

FOR FURTHER INFORMATION CONTACT: 

Peter Sommers, Marketing Specialist, 

or Gary Olson, Regional Director, West 

Region Branch, Market Development 

Division, Specialty Crops Program, 

AMS, USDA; Telephone: (503) 326– 

2724 or Email: PeterR.Sommers@

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

Small businesses may request 

information on complying with this 

regulation by contacting Richard Lower, 

Market Development Division, Specialty 

Crops Program, AMS, USDA, 1400 

Independence Avenue SW, STOP 0237, 

Washington, DC 20250–0237; 

Telephone: (202) 720–2491, 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 Agreement and Order No. 

983, as amended (7 CFR part 983), 

regulating the handling of pistachios 

grown in California, Arizona, and New 

Mexico. Part 983 (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 

Committee locally administers the 

Order and is comprised of producers 

and handlers of pistachios operating 

within the production area, and a public 

member. 

The Department of Agriculture 

(USDA) is issuing this 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. 


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22106 Federal Register / Vol. 87, No. 72 / Thursday, April 14, 2022 / Rules and Regulations 

This 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. 

Agricultural Marketing Service (AMS) 

has determined this 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. Under the Order now in effect, 

pistachio handlers are subject to 

assessments. Funds to administer the 

Order are derived from such 

assessments. The assessment rate 

established herein is applicable to all 

assessable pistachios for the 2021–22 

and subsequent production years and 

will continue until amended, 

suspended, or terminated. The 

production year runs from September 1 

to August 31. This rule is not intended 

to have retroactive effect. 

The Act provides that administrative 

proceedings must be exhausted before 

parties may file suit in court. Under 

section 608c(15)(A) of the Act, any 

handler subject to an order may file 

with USDA a petition stating that the 

order, any provision of the order, or any 

obligation imposed in connection with 

the order is not in accordance with law 

and request a modification of the order 

or to be exempted therefrom. Such 

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 no later than 

20 days after the date of the entry of the 

ruling. 

This rule increases the assessment 

rate from $0.00015 per pound of 

pistachios, the rate established for the 

2020–21 and subsequent production 

years, to $0.0007 per pound of 

pistachios for the 2021–22 and 

subsequent production years. 

The Order authorizes the Committee, 

with the approval of AMS, to formulate 

an annual budget of expenses and 

collect assessments from handlers to 

administer the program. Members are 

familiar with the Committee’s needs and 

with costs of goods and services in their 

local area and are in a position to 

formulate an appropriate budget and 

assessment rate. The assessment rate is 

formulated and discussed in a public 

meeting, and all directly affected 

persons have an opportunity to 

participate and provide input. 

For the 2020–21 and subsequent 

production years, the Committee 

recommended, and AMS approved, an 

assessment rate of $0.00015 per pound 

of pistachios. That assessment rate 

continued in effect from production 

year to production year until modified, 

suspended, or terminated by AMS upon 

recommendation and information 

submitted by the Committee or other 

information available to AMS. 

The Committee met on July 20, 2021, 

and unanimously recommended 

expenditures of $828,000 and an 

assessment rate of $0.0007 per pound of 

pistachios handled for the 2021–22 and 

subsequent production years. In 

comparison, the prior year’s budgeted 

expenditures were $679,800. The 

assessment rate of $0.0007 is $0.00055 

higher than the rate previously in effect. 

The Committee recommended 

increasing the assessment rate to pay for 

additional Committee staff in 

preparation for the retirement of key 

staff positions (manager and 

administrative assistant) and to provide 

adequate income to cover all of the 

Committee’s budgeted expenses for the 

2021–22 production year. 

Major expenditures recommended by 

the Committee for the 2021–22 

production year include $462,500 for 

personnel expenses, $125,000 for 

research, $100,000 for a contingency 

fund, $82,700 for administration, and 

$57,800 for office expenses. Budgeted 

expenses for these items in the 2020–21 

production year were $336,500, 

$125,000, $80,000, $80,700, and 

$57,600, respectively. 

The Committee derived the 

recommended assessment rate by 

considering anticipated expenses, an 

estimated crop of 975 million pounds of 

pistachios, and the amount of funds 

available in the authorized reserve. 

Income derived from handler 

assessments, calculated at $682,500 

(975,000,000 pounds multiplied by 

$0.0007 assessment rate), along with 

other income ($220,200), will be 

adequate to cover budgeted expenses of 

$828,000. Excess assessment revenue 

would be added to the Committee’s 

reserve fund. Funds in the Committee’s 

financial reserve are expected to be 

approximately $385,157 at the end of 

the 2021–22 production year, which 

would be within the Order’s 

requirement of no more than 

approximately two production years’ 

budgeted expenses. 

The assessment rate established by 

this rule will continue in effect 

indefinitely unless modified, 

suspended, or terminated by AMS upon 

recommendation and information 

submitted by the Committee or other 

available information. 

Although this assessment rate will be 

in effect for an indefinite period, the 

Committee will continue to meet prior 

to or during each production year to 

recommend a budget of expenses and 

consider recommendations for 

modification of the assessment rate. 

Dates and times of Committee meetings 

are available from the Committee or 

AMS. Committee meetings are open to 

the public and interested persons may 

express their views at these meetings. 

AMS will evaluate Committee 

recommendations and other available 

information to determine whether 

modification of the assessment rate is 

needed. Further rulemaking will be 

undertaken as necessary. The 

Committee’s 2022–23 production year 

budget, and those for subsequent 

production years, will be reviewed and, 

as appropriate, approved by AMS. 

Final Regulatory Flexibility Analysis 

Pursuant to requirements set forth in 

the Regulatory Flexibility Act (RFA) (5 

U.S.C. 601–612), the 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 19 handlers 

subject to regulation under the Order, 

and approximately 1,624 producers of 

pistachios in the production area. Small 

agricultural producers are defined by 

the Small Business Administration 

(SBA) as those having annual receipts of 

less than $1,000,000, and small 

agricultural service firms have been 

defined as those whose annual receipts 

are less than $30,000,000 (13 CFR 

121.201). 

According to the National 

Agricultural Statistics Service (NASS), 

the national average producer price for 

pistachios for the 2019–20 production 

year was $2.75 per pound. Committee 

data indicates 2019–20 production year 

total pistachio production was 

582,111,271 pounds. The total 2019–20 

production year value of the pistachio 

crop was calculated as $1,600,805,995 


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Federal Register / Vol. 87, No. 72 / Thursday, April 14, 2022 / Rules and Regulations 22107 

(582,111,271 pounds times $2.75 per 

pound equals $1,600,805,995). Dividing 

the crop value by the estimated number 

of producers (1,624) yields an estimated 

average receipt per producer of 

$985,718, which is just below the SBA 

threshold for small producers. 

According to AMS Market News data, 

the reported terminal price for 2021 for 

pistachios ranged between $150.00 to 

$250.00 per 25-pound carton. The 

average of this range is $200.00 ($150.00 

plus $250.00 divided by 2 equals 

$200.00). Dividing the average value by 

the 25-pound carton yields an estimated 

average price per pound of $8.00 

($200.00 average value for 25-pound 

carton divided by 25). Multiplying the 

2019–20 production year total pistachio 

production of 582,111,271 pounds by 

the estimated average price per pound 

of $8.00 equals $4,656,890,168. Dividing 

this figure by 19 regulated handlers 

yields estimated average annual handler 

receipts of $245,099,483, which is well 

above the SBA threshold for small 

agriculture service firms. 

Therefore, using the above data, and 

assuming a normal distribution, the 

majority of pistachio producers may be 

classified as small entities and the 

majority of handlers of pistachios may 

be classified as large entities. 

The assessment rate of $0.0007 that 

the Committee recommended complies 

with § 983.71(b) of the Order which 

states that any assessment rate must not 

exceed one-half of one percent of the 

average price received by producers in 

the preceding production year. The 

average price received by producers in 

the preceding production year was 

$2.75 per pound of pistachios. Thus, 

$2.75 times 0.5 percent equals $0.01375, 

which is greater than the assessment 

rate of $0.0007. 

This rule increases the assessment 

rate collected from handlers for the 

2021–22 and subsequent production 

years from $0.00015 to $0.0007 per 

pound of pistachios. The Committee 

unanimously recommended 2021–22 

production year expenditures of 

$828,000 and an assessment rate of 

$0.0007 per pound of pistachios 

handled. The assessment rate of $0.0007 

per pound of pistachios is $0.00055 

higher than the current rate. The volume 

of assessable pistachios for the 2021–22 

production year is estimated to be 975 

million pounds. Thus, the $0.0007 per 

pound assessment rate should provide 

$682,500 in assessment income 

(975,000,000 multiplied by $0.0007). 

Income derived from handler 

assessments, along with an estimated 

$220,000 of other income, will be 

adequate to cover budgeted expenses for 

the 2021–22 production year. 

Major expenditures recommended by 

the Committee for the 2021–22 

production year include $462,500 for 

personnel expenses, $125,000 for 

research, $100,000 for a contingency 

fund, $82,700 for administration, and 

$57,800 for office expenses. Budgeted 

expenses for these items in the 2020–21 

production year were $336,500, 

$125,000, $80,000, $80,700, and 

$57,600, respectively. 

The Committee recommended 

increasing the assessment rate to cover 

the Committee’s budgeted expenses for 

the 2021–22 production year and 

maintain its financial reserve. 

Additionally, the Committee has 

approved a hiring search for both the 

Manager and Administrative Assistant, 

as both are expected to retire in the near 

future. The increased assessment 

income will accommodate the hiring of 

additional staff to aid in the transition. 

Prior to arriving at this budget and 

assessment rate recommendation, the 

Committee discussed an alternative that 

considered the timing of when the 

additional staff salaries would be 

required to assist the management 

transition. However, the Committee 

determined that the recommended 

assessment rate will fully fund budgeted 

expenses, avoid utilizing reserves, and 

permit the Committee to hire the needed 

staff to facilitate the replacement of the 

key management positions. 

This rule increases the assessment 

obligation imposed on handlers. 

Assessments are applied uniformly on 

all handlers, and some of the costs may 

be passed on to producers. However, 

these costs are offset by the benefits 

derived by the operation of the Order. 

The Committee’s meeting was widely 

publicized throughout the pistachio 

industry. All interested persons were 

invited to attend the meeting and 

encouraged to participate in Committee 

deliberations on all issues. Like all 

Committee meetings, the July 20, 2021, 

meeting was a public meeting, and all 

entities, both large and small, were able 

to express views on this issue. 

Interested persons were invited to 

submit comments on this rule, 

including regulatory and information 

collection impacts of this action on 

small businesses. 

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. 0581–0215, 

Pistachios Grown in California, Arizona, 

and New Mexico. 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 imposes no additional 

reporting or recordkeeping requirements 

on either small or large pistachio 

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. 

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. 

AMS has not identified any relevant 

Federal rules that duplicate, overlap, or 

conflict with this rule. 

A proposed rule concerning this 

action was published in the Federal 

Register on December 6, 2021 (86 FR 

68932). Copies of the proposal were 

provided by the Committee to members 

and handlers. Finally, the proposed rule 

was made available through the internet 

by AMS and the Federal Register. A 30- 

day comment period ending January 5, 

2022, was provided to allow interested 

persons to respond to the proposal. 

No comments were received. 

Accordingly, no changes were 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 Committee and other 

available information, it is hereby found 

that this rule will tend to effectuate the 

declared policy of the Act. 

List of Subjects in 7 CFR Part 983 

Marketing agreements, Nuts, 

Reporting and recordkeeping 

requirements. 

For the reasons set forth in the 

preamble, the Agricultural Marketing 

Service is amending 7 CFR part 983 as 

follows: 

PART 983—PISTACHIOS GROWN IN 

CALIFORNIA, ARIZONA, AND NEW 

MEXICO 

■ 1. The authority citation for 7 CFR 

part 983 continues to read as follows: 

Authority: 7 U.S.C. 601–674. 


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22108 Federal Register / Vol. 87, No. 72 / Thursday, April 14, 2022 / Rules and Regulations 

■ 2. Section 983.253 is revised to read 

as follows: 

§ 983.253 Assessment rate. 

On and after September 1, 2021, an 

assessment rate of $0.0007 per pound is 

established for California, Arizona, and 

New Mexico pistachios. 

Erin Morris, 

Associate Administrator, Agricultural 

Marketing Service. 

[FR Doc. 2022–08009 Filed 4–13–22; 8:45 am] 

BILLING CODE P 

DEPARTMENT OF AGRICULTURE 

Agricultural Marketing Service 

7 CFR Part 986 

[Doc. No. AMS–SC–21–0080; SC21–986–2 

FR] 

Decreased Assessment Rate for 

Pecans Grown in 15 States 

AGENCY: Agricultural Marketing Service, 

Department of Agriculture (USDA). 

ACTION: Final rule. 

SUMMARY: This rule decreases the 

assessment rate established for the 

2021–22 fiscal year and subsequent 

fiscal years. The assessment rate will 

remain in effect indefinitely unless 

modified, suspended, or terminated. 

DATES: Effective May 16, 2022. 

FOR FURTHER INFORMATION CONTACT:

Abigail Campos, Marketing Specialist, 

or Christian D. Nissen, Regional 

Director, Southeast Region Branch, 

Market Development Division, Specialty 

Crops Program, AMS, USDA; 

Telephone: (863) 324–3375, Fax: (863) 

291–8614, or Email: Abigail.Campos@

usda.gov or Christian.Nissen@usda.gov. 

Small businesses may request 

information on complying with this 

regulation by contacting Richard Lower, 

Market Development Division, Specialty 

Crops Program, AMS, USDA, 1400 

Independence Avenue SW, STOP 0237, 

Washington, DC 20250–0237; 

Telephone: (202) 720–2491, 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 Agreement and Marketing 

Order No. 986, as amended (7 CFR part 

986), regulating the handling of pecans 

grown in the states of Alabama, 

Arkansas, Arizona, California, Florida, 

Georgia, Kansas, Louisiana, Missouri, 

Mississippi, North Carolina, New 

Mexico, Oklahoma, South Carolina, and 

Texas. Part 986, (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 

Council locally administers the Order 

and is comprised of growers and 

handlers of pecans operating within the 

production area, and one accumulator 

and one public member. 

The Department of Agriculture 

(USDA) is issuing this 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 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. 

USDA has determined this 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. Under the Order now in effect, 

pecan handlers are subject to 

assessments. Funds to administer the 

Order are derived from such 

assessments. It is intended that the 

assessment rates will be applicable to all 

assessable pecans for the 2021–22 fiscal 

year, and continue until amended, 

suspended, or terminated. 

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. Such 

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. 

The Order provides that based on the 

recommendation of the Council or other 

available data, the Secretary shall fix 

three base rates of assessments for 

inshell pecans handled during each 

fiscal year. This rule decreases the 

assessment rates from $0.03 per pound 

for improved varieties and $0.02 per 

pound for native and seedling varieties 

and for substandard pecans, the rates 

that were established for the 2016–17 

and subsequent fiscal years, to $0.01 per 

pound for improved varieties and $0.00 

per pound for native and seedling 

varieties and for substandard pecans 

handled for the 2021–22 and subsequent 

fiscal years. 

The Order authorizes the Council, 

with the approval of Agricultural 

Marketing Service (AMS), to formulate 

an annual budget of expenses and 

collect assessments from handlers to 

administer the program. The members 

of the Council are familiar with the 

Council’s needs and with the costs of 

goods and services in their local area 

and can formulate an appropriate 

budget and assessment rates. The 

assessment rates are formulated and 

discussed in a public meeting, and all 

directly affected persons have an 

opportunity to participate and provide 

input. 

For the 2016–17 and subsequent fiscal 

years, the Council recommended, and 

AMS approved, assessment rates of 

$0.03 per pound for improved varieties 

and $0.02 per pound for native and 

seedling varieties and for substandard 

pecans handled. The assessment rates 

continue in effect from fiscal year to 

fiscal year unless modified, suspended, 

or terminated by AMS upon 

recommendation and information 

submitted by the Council or other 

information available to AMS. 

The Council held a virtual meeting on 

September 22, 2021, and recommended 

2021–22 expenditures of $9,002,508, 

and a decreased assessment rate of $0.01 

per pound of improved varieties, and 

$0.00 per pound for native and seedling 

varieties and for substandard pecans. In 

comparison, the previous fiscal year’s 

budget expenditures were $11,741,400. 

The assessment rate for improved 

varieties of $0.01 and the assessment 

rate of $0.00 for native and seedling 

varieties and for substandard pecans are 


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