Federal Register / Vol. 60, No. 32 / Thursday, February 16, 1995 / Proposed Rules 8973

automatically on expiration of the 1 year

withholding period, or on the death,

retirement, or separation of the allotter

from the federal service, whichever is

earlier.

(2) An allotter may revoke a perpetual

or term authorization at any time by

requesting it in writing from the payroll

office. Discontinuance will be effective

the first pay period beginning after

receipt of the written revocation in the

payroll office.

(3) A discontinued allotment will not

be reinstated.

(h) Transfer. When an allotter moves

to another organizational unit served by

a different payroll office in the same

CFC location, whether in the same office

or a different Department or agency, his

or her allotment authorization should be

transferred to the new payroll office.

(i) Accounting. (1) Federal payroll

offices will oversee the establishment of

individual allotment accounts, the

deductions each pay period, and the

reconciliation of employee accounts in

accordance with agency and General

Accounting Office requirements. The

payroll office will accept responsibility

for the accuracy of remittances, as

supported by current allotment

authorizations, and internal accounting

and auditing requirements.

(2) The PCFO shall notify the

federated groups, national agencies, and

local agencies as soon as practicable

after the completion of the campaign,

but in no case later than February 15, of

the amounts, if any, designated to them

and their member agencies and of the

amounts of the undesignated funds, if

any, allocated to them.

(3) The PCFO is responsible for the

accuracy of disbursements it transmits

to recipients. It shall transmit at least

monthly for campaigns of $500,000 of

more or quarterly if less than that

amount, minus only the approved

proportionate share for administrative

cost reimbursement and the PCFO fee

set forth in § 950.106(d). It shall remit

the contributions to each organization or

to the federated group, if any, of which

the organization is a member. For

campaigns with gross receipts in excess

of $500,000, the PCFO will distribute all

CFC receipts beginning April 1, and

monthly thereafter. For campaigns with

gross receipts of $500,000 or less, the

PCFO will distribute all CFC receipts

beginning June 1, and quarterly

thereafter. At the close of each

disbursement period, the PCFO’s

amount shall have a balance of zero.

(4) The PCFO may make one-time

disbursements to organizations

receiving minimal donations from

Federal employees. The LFCC must

determine and authorize the amount of

these one-time disbursements. The

PCFO may deduct the proportionate

amount of each organization’s share of

the campaign’s administrative costs and

the average of the previous 3 years

pledge loss from the one-time

disbursement. This is the only approved

application of adjusting for pledge loss.

(5) Federated and national charitable

organizations, or their designated

agents, will accept responsibility for:

(i) The accuracy of distribution

amount the charitable organizations of

remittances from the PCFO; and

(ii) Arrangements for an independent

audit conducted by a certified public

accountant agreed upon by the

participating charitable organizations.

[FR Doc. 95–3821 Filed 2–15–95; 8:45 am]

BILLING CODE 6325–01–M

DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR PART 51

[Docket Number FV–94–302]

Bermuda-Granex-Grano Type Onions

and Onions (Other than BermudaGranex-Grano and Creole Type); Grade

Standards

AGENCY: Agricultural Marketing Service,

USDA.

ACTION: Proposed rule.

SUMMARY: This proposed rule would

revise the United States Standards for

Grades of Bermuda-Granex-Grano Type

Onions and United States Standards for

Grades of Onions (Other Than BermudaGranex-Grano and Creole Type). The

proposal would set a minimum sample

size for consumer size packages, provide

a ‘‘Colossal’’ size classification,

eliminate Export size classifications and

designate a U.S. No. 1 Peeled Grade. It

would also include other technical

revisions to update the standards in

accord with current handling and

marketing practices.

DATES: Comments must be postmarked

or courier dated on or before April 17,

1995.

ADDRESSES: Interested parties are

invited to submit written comments

concerning this proposal. Comments

must be sent to the Fresh Products

Branch, Fruit and Vegetable Division,

Agricultural Marketing Service, U.S.

Department of Agriculture, P.O. Box

96456, Room 2056 South Building,

Washington, DC 20090–6456.

Comments should make reference to the

date and page number of this issue of

the Federal Register and will be made

available for public inspection in the

above office during regular business

hours.

FOR FURTHER INFORMATION CONTACT:

Frank O’Sullivan, at the above address

or call (202) 720–2185.

SUPPLEMENTARY INFORMATION: The U.S.

Department of Agriculture is issuing

this proposed rule in conformance with

Executive Order 12866.

Pursuant to the requirements set forth

in the Regulatory Flexibility Act (5

U.S.C. 601 et. seq.), the Administrator of

the Agricultural Marketing Service

(AMS) has determined that this action

will not have a significant economic

impact on substantial number of small

entities. This proposed rule for the

revision of U.S. Standards for Grades of

Bermuda-Granex-Grano Type Onions

and U.S. Standards for Grades of Onions

(Other Than Bermuda-Granex-Grano

and Creole Type) will not impose

substantial direct economic cost,

recordkeeping, or personnel workload

changes on small entities, and will not

alter the market share or competitive

position of these entities relative to large

businesses. In addition, under the

Agricultural Marketing Act of 1946, the

use of these standards is voluntary.

This proposed rule has been reviewed

under Executive Order 12778, Civil

Justice Reform. This action is not

intended to have retroactive effect. This

proposed rule will not preempt any

State or local laws, regulations, or

policies, unless they present an

irreconcilable conflict with this rule.

There are no administrative procedures

which must be exhausted prior to any

judicial challenge to the provisions of

this rule.

Agencies periodically review existing

regulations. An objective of the review

is to ensure that the grade standards are

serving their intended purpose, the

language is clear, and the standards are

consistent with AMS policy and

authority.

The United States Standards for

Grades of Bermuda-Granex-Grano Type

Onions was last revised February 20,

1985, and the United States Standards

for Grades of Onions (Other Than

Bermuda-Granex-Grano and Creole

Types) was last revised October 1, 1971.

In general, the Bermuda-Granex-Grano

Type (BGG) standard is applied to

southern grown onions that have thin

papery outer scales, are harvested in the

spring and summer and are not typically

kept in storage. The Other Than

Bermuda-Granex-Grano and Creole

Types (Other Than) standard is

generally applied to northern grown

onions that have thick outer papery

scales, are harvested in the fall and are
8974 Federal Register / Vol. 60, No. 32 / Thursday, February 16, 1995 / Proposed Rules

more commonly stored. The major

distinction between the two standards

for grades of these onions is the lot

tolerances; 10 percent for BGG and 5

percent for Other Than. Although

separated by type and tolerances, many

similarities exist in the grading of these

onions. The different types of onions are

affected by most of the same defects.

The procedures for sampling and

performing grading activities are

essentially the same regardless of which

standard is being applied. The standards

were established and have been revised

separately over the years to reflect the

needs of their respective industries.

A broad spectrum of growers and

shippers of onions who utilize both

standards, represented by The National

Onion Association (NOA), have

requested that the minimum sample size

for consumer size packages be

designated at 20 pounds. While

considering the NOA’s request the

Department, through a periodic review,

decided to take the opportunity to bring

the standards into closer uniformity

with each other and conformity to

current harvesting, handling and

marketing practices. Therefore, this

proposal would revise both standards by

the addition of a required minimum

sample size. It would also include the

following: An additional grade for

peeled onions, an additional size

designation for colossal onions and

technical revisions to promote

uniformity and clarity wherever

possible. The following are revisions

proposed herein:

—‘‘Fairly firm’’ is now a basic

requirement only in the Other Than

standard. ‘‘Fairly firm’’ would be

added as a basic requirement to the

U.S. No. 1 grade in the BGG standard

(§ 51.3195) and also included in the

Definitions section (§ 51.3205). This

would make both U.S. Standards

uniform in their basic requirements

for a U.S. No. 1 onion.

—The BGG standard currently contains

paragraphs for tolerances in each of

the respective grade sections. The

Other Than standard now contains a

specific section entitled ‘‘Tolerances’’

which is the format established for

more recent and current standards. To

make referencing much easier and to

make both U.S. Standards current and

uniform in the way they read, a

specific section for Tolerances

(§ 51.3200) would be established in

the BGG standard. The actual

tolerances would not be changed,

only the location in the standard.

—A U.S. No. 1 Peeled grade would be

established for both standards

(§§ 51.2835 and 51.3196). The

marketing of fresh-cut, ‘‘ready to use’’

products has expanded greatly in the

last few years in the produce industry.

Onions offered for sale whole and

completely peeled as a fresh product

ready to use have been part of this

expanding market. This grade would

provide clear and defined trading

language helping to facilitate the

increased movement in these type of

onions. The new grade would read as

follows:

‘‘U.S. No. 1 Peeled consists of onions

which meet all the requirements for the

U.S. No. 1 grade’’ (‘‘except for damage

by peeling’’ in the Other Than

standard). ‘‘Furthermore, onions must

be free from any outer papery scales in

order to meet the requirements of this

grade.’’

A 5 percent tolerance for onions in a

lot with outer papery scales in any

amount would also be provided in the

tolerance section.

—Both the BGG and Other Than

standards contain the grade

classification ‘‘Unclassified.’’ This

grade would be deleted from both

standards since it is not an actual

grade classification and is rarely, if

ever used. Elimination of Unclassified

would also maintain consistency with

newer versions of standards for other

commodities.

—Currently size classifications in each

of the standards are similar but not

completely the same. Each standard

now contains size designations for

small, medium and large sizes. The

BGG standard also references a

Repacker or Prepacker size, while the

Other Than standard contains export

small, export medium and export

large sizes as well as regional

specifications for the medium size.

Size classifications would be revised

and placed in chart form for each

standard (§§ 51.2837 and 51.3199) to

achieve uniformity and clarity.

A new size classification for colossal

onions would be added to both

standards based on the increased trade

in this size product and the need for

common trading language.

In the Other Than standard three

additional changes would also be made

to the size classifications. First, the

reference to export sizes would be

eliminated since these sizes are rarely,

if ever used. The reference to these sizes

in the Application of Tolerances section

would also be eliminated. There would

be no need for this reference if the sizes

were dropped. Next, the medium size

classification would no longer give

smaller size exception for ‘‘onions

grown in Minnesota, Iowa, and States

east of the Mississippi River * * *.’’

This would eliminate confusion in the

trade and standardize across the nation

the size of onions referred to as

‘‘Medium.’’ Finally, the Repacker/

Prepacker size currently only referenced

in the BGG standard would be included

in the Other Than standard. This would

make both standards completely

uniform along size classifications

providing common and standardized

trading language in reference to size for

onions shipped from anywhere in the

country. The new size chart proposed

for each standard would read as follows:

Size designation

Minimum diameter Maximum diameter

Inches Millimeters Inches Millimeters

Small ................................................................................................................................ 1 25.4 21⁄4 57.2

Repacker/Prepacker 1 ....................................................................................................... 13⁄4 44.5 3 76.2

Medium ............................................................................................................................. 2 50.8 31⁄4 82.6

Large or Jumbo ................................................................................................................ 3 76.2 (2)

Colossal ............................................................................................................................ 33⁄4 95.3 (2)

1 In addition to the sizes specified, a lot of onions designated as Repacker or Prepacker shall contain at least 60 percent or more 2 inches or

larger in diameter. 2 No requirement.

—Sample size is not currently defined

in the standards for onions.

Inspections are performed using the

consumer package that onions are

packed in as the sample. While this

may be a fair and accurate way to

determine percentages of defects for

50 pound sacks, when smaller

consumer size packages (i.e., 2, 3, 5,

pounds) are taken as the sample a lot

may be thrown out of grade by a

proportionately small number of
Federal Register / Vol. 60, No. 32 / Thursday, February 16, 1995 / Proposed Rules 8975

onions due to the restrictions imposed

by the application of tolerances.

A specified sample size would

provide more uniform sampling when

certifying various sizes of smaller

packages. Also, to apply tolerances more

accurately to these smaller packages in

conjunction with the change in sample

size the application of tolerances would

need to be applied to the sample as

opposed to the package.

Therefore, this proposal would add

new sections (§ 51.2839 in Other Than

and 51.3201 in BGG), Samples For

Grade And Size Determination, to each

standard. The addition of sample size

requirements, §§ 51.2839 in Other Than

and 51.3201 in BGG, will read as

follows in both standards: ‘‘Individual

samples shall consist of at least 20

pounds. When individual packages

contain 20 pounds or more and the

onions are packed for Large or Jumbo

size or larger the package shall be the

sample. When individual packages

contain less than 20 pounds, a sufficient

number of adjoining packages are

opened to provide at least a 20 pound

sample.’’ For onions smaller than Large

or Jumbo size (3 inches), a 20 pound

sample would be sufficient regardless of

the package size because the onions are

small. Defects are determined by weight

and therefore smaller onions provide

ample numbers of units for inspection

purposes, whereas the larger onions

provide fewer specimens in the same

size sample. With this proposed

addition of sample sizes a more uniform

determination of defect percentages will

be applied to the various sizes of onions

in both small and large packages.

To further enhance the uniform

determination of defect tolerances this

proposal would also modify the

Application of Tolerances section in

each standard, §§ 51.2840 & 51.3202.

Currently each standard limits the

individual package from exceeding

certain tolerances. Each standard now

reads, in part, as follows: ‘‘* * * the

contents of individual packages in the

lot, based on sample inspection, are

subject to the following

limitations * * *.’’

This proposal would change those

limits from the package to the sample.

The modified sections as proposed

would read, in part: ‘‘Individual

samples are subject to the following

limitations: * * *’’ Of course, in some

instances the package still remains the

sample.

This proposed change in the

application of tolerances is intended to

enhance clarity, simplicity and

uniformity of inspection procedure.

Since the sample would be the unit of

inspection the tolerances should apply

to that unit. A single package could be

just one part of the unit of inspection (in

a combined 20 pound sample) and

applying the limits of tolerances to that

package would confuse and complicate

the inspection process.

—Currently each standard contains

sections entitled ‘‘Damage’’ and

‘‘Serious Damage.’’ The paragraphs

within each of these sections list

defects and the definitions of damage

or serious damage by these defects.

The following proposed revisions

would affect some of these defect

definitions in the interest of providing

clear language, uniformity of

application and consistency with

current marketing and handling

practices.

Currently Dry sunscald is a defect

listed under damage in both standards

and also under serious damage in the

BGG standard. Over the years there has

been some confusion surrounding the

identification of this defect because dirt

clod bruising of the onions may cause

an area similar looking to dry sunscald.

To eliminate confusion and to

standardize inspection procedures the

term Dry sunken areas is proposed as a

replacement for the term Dry sunscald.

This definition is more objective and

precise. (Sections 51.2850(f) and

51.3209(c).)

The proposed definition for serious

damage by dry sunken areas would

remain the same in the BGG standard as

it currently reads (51.3211(b)). The same

definition would be added to the Other

Than Standard (51.2853(f)). This would

maintain uniformity and clarity in each

of the standards.

Some of the defects currently listed in

the damage and serious damage sections

are defined in terms of when materially

or seriously detracting from the

appearance of the lot. Hence, these

defects are scored as damage or serious

damage when the lot is affected to a

certain degree as opposed to when the

individual onions are affected. The

method of judging when the appearance

of the lot is to be scored should be more

precise and objective.

In the Other Than standard damage

and serious damage by dirt or staining,

and damage by dry roots, tops and

sunburn are defined this way. In the

BGG standard damage and serious

damage by staining, dirt or other foreign

material is also defined this way.

This proposed rule would set

percentage allowances for when the lot

is damaged or seriously damaged by

individual defective specimens. For

example the current definition for

damage by dry roots in the Other Than

standard reads: ‘‘when detracting from

the appearance of the lot more than the

presence of 20 percent of the onions

having all roots 2 inches in length.’’ The

proposed revision would read: ‘‘when

more than 20 percent of the onions in

a lot have practically all roots 2 inches

or more in length.’’ The new definition

should be more objective and precise.

‘‘Practically all’’ was added to be more

realistic in determining the number of

roots. This term means 95 percent or

more as defined in the General

Inspection Instructions of the Fresh

Products Branch. Each of the defects

listed above would be clarified in this

way while keeping the intent of the

scoring guidelines intact. See §§ 51.2850

(c), (e), (g), (l) and 51.2853(b) in Other

Than and §§ 51.3209 (f), (h) and

51.3211(d) in BGG.

The Other Than standard currently

contains definitions for damage by new

roots, dry roots, tops, and watery scale.

The BGG standard does not currently

contain definitions for any of these

defects. In an effort to promote

uniformity and clarity these definitions

would be added to the BGG standard.

The current definition for damage by

watery scale in the Other Than standard

reads: ‘‘when more than the equivalent

of the entire outer fleshy scale is

affected by an off-color, watersoaked

condition.’’ To distinguish this defect

from another condition called

translucent scale an additional

clarification is proposed. The following

words would be added to the watery

scale definition: ‘‘* * * The off-color

must be of some shade of brown or

yellow.’’ The serious damage definition

would also be modified. The BGG

standard as mentioned above would

also have these definitions included for

uniformity. (Sections 51.2850(k) &

51.2853(a) and 51.3209(l) and

51.3211(f).)

Neither standard currently has a

definition for damage by translucent

scales. To provide clear language that is

consistent with current marketing

practices a definition would be

provided as follows: ‘‘when more than

the equivalent of two entire outer fleshy

scales have a watersoaked condition.’’

To provide uniformity each standard

would be affected. (Sections 51.2850(n)

and 51.3209(k).)

The BGG standard currently contains

definitions for damage and serious

damage by mechanical means. The

Other Than standard does not contain

these definitions. To be consistent with

current handling practices for both

types of onions and to provide

uniformity between the standards, the

current BGG definitions for mechanical

damage and serious damage would be
8976 Federal Register / Vol. 60, No. 32 / Thursday, February 16, 1995 / Proposed Rules

1Any lot of onions quoted as being of size smaller

than 11⁄2 inches minimum, such as ‘‘U.S. No. 1, 11⁄4

inches min.’’ is not required to meet the percentages

which shall be 2 inches or larger as specified in the

U.S. No. 1 grade.

added to the Other Than standard.

(Sections 51.2850(m) and 51.2853(e).)

—Finally, the BGG standard currently

does not contain a metric conversion

table. The Other Than standard does.

To keep both standards uniform and

to bring the BGG standard up to date

with current standard format a metric

conversion table would be added.

(Section 51.3213.)

List of Subjects in 7 CFR Part 51

Agricultural commodities, Food

grades and standards, Fruits, Nuts,

Reporting and recordkeeping

requirements, Vegetables.

PART 51—[AMENDED]

For reasons set forth in the preamble,

it is proposed that 7 CFR part 51 be

amended as follows:

1. The authority citation for 7 CFR

part 51 continues to read as follows:

Authority: 7 U.S.C. 1622, 1624.

2. Part 51, Subpart—United States

Standards for Grades of Onions (Other

Than Bermuda-Granex-Grano and

Creole Types) is revised to read as

follows:

Subpart—United States Standards for

Grades of Onions (Other Than BermudaGranex-Grano and Creole Types)

Grades

Sec.

51.2830 U.S. No. 1.

51.2831 U.S. Export No. 1.

51.2832 U.S. Commercial.

51.2833 U.S. No. 1 Boilers.

51.2834 U.S. No. 1 Picklers.

51.2835 U.S. No. 1 Peeled.

51.2836 U.S. No. 2.

Size Classifications

51.2837 Size classifications.

Tolerances

51.2838 Tolerances.

Samples for Grade and Size Determination

51.2839 Samples for grade and size

determination.

Application of Tolerances

51.2840 Application of tolerances.

Export Packing Requirements

51.2841 Export packing requirements.

Definitions

51.2842 Mature.

51.2843 Dormant.

51.2844 Fairly firm.

51.2845 Fairly well shaped.

51.2846 Wet sunscald.

51.2847 Doubles.

51.2848 Bottlenecks.

51.2849 Scallions.

51.2850 Damage.

51.2851 Diameter.

51.2852 Badly misshapen.

51.2853 Serious damage.

51.2854 One type.

Metric Conversion Table

51.2855 Metric conversion table.

Subpart—United States Standards for

Grades of Onions (Other Than

Bermuda-Granex-Grano and Creole

Types)

Grades

§ 51.2830 U.S. No. 1.

U.S. No. 1 consists of onions which

meet the following requirements:

(a) Basic requirements:

(1) Similar varietal characteristics;

(2) Mature;

(3) Fairly firm; and,

(4) Fairly well shaped.

(b) Free from:

(1) Decay;

(2) Wet sunscald;

(3) Doubles;

(4) Bottlenecks; and,

(5) Scallions.

(c) Free from damage caused by:

(1) Seedstems;

(2) Splits;

(3) Tops;

(4) Roots;

(5) Dry sunken areas;

(6) Sunburn;

(7) Sprouts;

(8) Freezing;

(9) Peeling;

(10) Cracked fleshy scales;

(11) Watery scales;

(12) Dirt or staining;

(13) Foreign matter;

(14) Disease;

(15) Insects; and,

(16) Other means.

(d) For tolerances see § 51.2838

(e) Size. Unless otherwise specified

the diameter shall be not less than 11⁄2

inches, and yellow, brown, or red

onions shall have 40 percent or more,

and white onions shall have 30 percent

or more, by weight, of the onions in any

lot 2 inches or larger in diameter.

(f) When a percentage of the onions is

specified to be of any certain size or

larger, no part of any tolerance shall be

allowed to reduce the specified

percentage, but individual packages in a

lot may have as much as 25 percentage

points less than the percentage

specified, except that individual

packages containing 10 pounds or less

shall have no requirements as to

percentage of a certain size or larger:

Provided, that any lot, regardless of

package size, shall average within the

percentage specified. (See §§ 51.2837

and 51.2838.) 1

§ 51.2831 U.S. Export No. 1.

U.S. Export No. 1 consists of onions

which meet the following requirements:

(a) Basic requirements:

(1) Similar varietal characteristics;

(2) Mature;

(3) Dormant;

(4) Fairly firm; and,

(5) Fairly well shaped.

(b) Free from:

(1) Decay;

(2) Wet sunscald;

(3) Doubles;

(4) Bottlenecks; and,

(5) Scallions.

(c) Free from damage caused by:

(1) Seedstems;

(2) Splits;

(3) Tops;

(4) Roots;

(5) Dry sunken areas;

(6) Sunburn;

(7) Sprouts;

(8) Freezing;

(9) Peeling;

(10) Cracked fleshy scales;

(11) Watery scales;

(12) Dirt or staining;

(13) Foreign matter;

(14) Disease;

(15) Insects; and,

(16) Other means.

(d) Unless otherwise specified onions

are packed in accordance with Export

Packing Requirements set forth in

§ 51.2841. (See § 51.2838.)

§ 51.2832 U.S. Commercial.

U.S. Commercial consists of onions

which meet the following requirements:

(a) Basic requirements:

(1) Similar varietal characteristics;

(2) Mature;

(3) Not soft or spongy; and,

(4) Not badly misshapen.

(b) Free from:

(1) Decay;

(2) Wet sunscald;

(3) Doubles;

(4) Bottlenecks; and,

(5) Scallions.

(c) Free from damage caused by:

(1) Seedstems;

(2) Tops;

(3) Roots;

(4) Dry sunken areas;

(5) Sunburn;

(6) Sprouts;

(7) Freezing;

(8) Cracked fleshy scales;

(9) Watery scales;

(10) Disease;

(11) Insects; and,

(12) Other means.

(d) Free from serious damage caused

by:
Federal Register / Vol. 60, No. 32 / Thursday, February 16, 1995 / Proposed Rules 8977

2Any lot of onions quoted as being of size smaller

than 11⁄2 inches minimum, such as ‘‘U.S. No. 1, 11⁄4

inches min.’’ is not required to meet the percentages

which shall be 2 inches or larger as specified in the

U.S. No. 1 grade.

(1) Staining;

(2) Dirt; and,

(3) Other foreign matter.

(e) For tolerances see § 51.2838.

(f) Size. Unless otherwise specified,

the diameter shall be not less than 11⁄2

inches. (See §§ 51.2837 and 51.2838.)

§ 51.2833 U.S. No. 1 Boilers.

U.S. No. 1 Boilers consists of onions

which meet all the requirements for the

U.S. No. 1 grade except for size. (See

§ 51.2830.) Size. The diameter of onions

of this grade shall be not less than 1

inch nor more than 17⁄8 inches. (See

§ 51.2838.)

§ 51.2834 U.S. No. 1 Picklers.

U.S. No. 1 Picklers consists of onions

which meet all the requirements for the

U.S. No. 1 grade except for size. (See

§ 51.2830.) Size. The maximum

diameter of onions of this grade shall be

not more than 1 inch. (See § 51.2838.)

§ 51.2835 U.S. No. 1 Peeled.

U.S. No. 1 Peeled consists of onions

which meet all the requirements for the

U.S. No. 1 grade except for damage

caused by peeling. Furthermore, onions

must be free from any outer papery

scales in order to meet the requirements

of this grade. (See § 51.2830.)

(a) Size. Unless otherwise specified

the diameter shall be not less than 11⁄2

inches with 30 percent or more, by

weight, of the onions in any lot 2 inches

or larger in diameter.

(b) When a percentage of the onions

is specified to be of any certain size or

larger, no part of any tolerance shall be

allowed to reduce the specified

percentage, but individual packages in a

lot may have as much as 25 percentage

points less than the percentage

specified, except that individual

packages containing 10 pounds or less

shall have no requirements as to

percentage of a certain size or larger:

Provided, that any lot, regardless of

package size, shall average within the

percentage specified.

(See §§ 51.2837 and 51.2838.) 2

§ 51.2836 U.S. No. 2.

U.S. No. 2 consists of onions which

meet the following requirements:

(a) Basic requirements:

(1) One type;

(2) Mature; and,

(3) Not soft or spongy.

(b) Free from:

(1) Decay;

(2) Wet sunscald; and,

(3) Scallions.

(c) Free from serious damage caused

by:

(1) Seedstems;

(2) Dry sunken areas;

(3) Sprouts;

(4) Freezing;

(5) Watery scales;

(6) Disease;

(7) Insects; and,

(8) Other means.

(d) For tolerances see § 51.2838.

(e) Size. Unless otherwise specified,

the diameter shall not be less than 11⁄2

inches. (See §§ 51.2837 and 51.2838.)

Size Classifications

§ 51.2837 Size classifications.

The size of onions may be specified

in accordance with one of the following

classifications.

Size designation

Minimum diameter Maximum diameter

Inches Millimeters Inches Millimeters

Small ................................................................................................................................ 1 25.4 21⁄4 57.2

Repacker/Prepacker 1 ....................................................................................................... 13⁄4 44.5 3 76.2

Medium ............................................................................................................................. 2 50.8 31⁄4 82.6

Large or jumbo ................................................................................................................. 3 76.2 (2) ...................

Colossal ............................................................................................................................ 33⁄4 95.3 (2) ...................

1 In addition to the sizes specified, a lot of onions designated as Repacker or Prepacker shall contain at least 60 percent or more 2 inches or

larger in diameter. 2 No requirement.

Tolerances

§ 51.2838 Tolerances.

In order to allow for variations

incident to proper grading and handling

in each of the foregoing grades the

following tolerances, by weight, are

provided as specified:

(a) For defects:

(1) U.S. No. 1, U.S. Export No. 1, U.S.

No. 1 Boilers and U.S. No. 1 Picklers

grades.

(i) Not more than 10 percent of the

onions in a lot may be damaged by

peeling;

(ii) Not more than 5 percent of the

onions in a lot may be below the

remaining requirements of these grades,

but not more than two-fifths of this

tolerance, or 2 percent, may be allowed

for onions which are affected by decay

or wet sunscald (see § 51.2840); and,

(2) U.S. No. 1 Peeled grade.

(i) Not more than 5 percent of the

onions in a lot may have outer papery

scales in any amount;

(ii) Not more than 5 percent of the

onions in a lot may be below the

remaining requirements of the grade,

but not more than two-fifths of this

tolerance, or 2 percent, may be allowed

for onions which are affected by decay

or wet sunscald (see § 51.2840); and,

(3) U.S. Commercial and U.S. No. 2

grades.

(i) Not more than 5 percent of the

onions in a lot may be below the

requirements of these grades, but not

more than two-fifths of this tolerance, or

2 percent, may be allowed for onions

which are affected by decay or wet

sunscald. (See § 51.2840.)

(b) For off-size:

(1) U.S. No. 1, U.S. No. 1 Boilers, U.S.

No. 1 Peeled, U.S. Commercial, and U.S.

No. 2 grades. Not more than 5 percent

of the onions in a lot may be below the

specified minimum size, and not more

than 10 percent may be above any

specified maximum size. (See

§ 51.2840.)

(2) U.S. No. 1 Pickler grade. Not more

than 10 percent of the onions in a lot

may be above the maximum size

specified for this grade. (See § 51.2840.)

Samples for Grade and Size

Determination

§ 51.2839 Samples for grade and size

determination.

Individual samples shall consist of at

least 20 pounds. When individual

packages contain 20 pounds or more

and the onions are packed for Large or

Jumbo size or larger the package shall be

the sample. When individual packages

contain less than 20 pounds, a sufficient

number of adjoining packages are
8978 Federal Register / Vol. 60, No. 32 / Thursday, February 16, 1995 / Proposed Rules

opened to provide at least a 20 pound

sample.

Application of Tolerances

§ 51.2840 Application of tolerances.

Individual samples are subject to the

following limitations:

(a) Samples which contain more than

20 pounds shall have not more than one

and one half times a specified tolerance

of 10 percent or more, and not more

than double a specified tolerance of less

than 10 percent, except that at least one

defective and one off-size onion may be

permitted in any sample: Provided, that

en-route or at destination when onions

in containers of 50 pounds or more are

packed to a minimum size of 3 inches

or larger not more than three onions or

more than 4 percent (whichever is the

larger amount) may be affected by decay

or wet sunscald: And provided further,

that the averages for the entire lot are

within the tolerances specified for the

grade; and,

(b) Samples which contain 20 pounds

shall have not more than double the

tolerance specified, except that at least

one defective and one off-size onion

may be permitted in any sample:

Provided, that the averages for the entire

lot are within the tolerances specified

for the grade.

Export Packing Requirements

§ 51.2841 Export packing requirements.

Onions specified as meeting Export

Packing Requirements shall be packed

in containers having a net capacity of 25

kilograms (approximately 56 pounds).

Definitions

§ 51.2842 Mature.

Mature means well cured. Midseason

onions which are not customarily held

in storage shall be considered mature

when harvested in accordance with

good commercial practice at a stage

which will not result in the onions

becoming soft or spongy.

§ 51.2843 Dormant.

Dormant means that at least 90

percent of the onions in any lot show no

evidence of growth as indicated by

distinct elongation of the growing point

or distinct yellow or green color in the

tip of the growing point.

§ 51.2844 Fairly firm.

Fairly firm means that the onion may

yield slightly to moderate pressure but

is not appreciably soft or spongy.

§ 51.2845 Fairly well shaped.

Fairly well shaped means having the

shape characteristic of the variety, but

onions may be slightly off-type or

slightly misshapen.

§ 51.2846 Wet sunscald.

Wet sunscald means sunscald which

is soft, mushy, sticky or wet.

§ 51.2847 Doubles.

Doubles means onions which have

developed more than one distinct bulb

joined only at the base.

§ 51.2848 Bottlenecks.

Bottlenecks are onions which have

abnormally thick necks with only fairly

well developed bulbs.

§ 51.2849 Scallions.

Scallions are onions which have thick

necks and relatively small and poorly

developed bulbs.

§ 51.2850 Damage.

Damage means any specific defect

described in this section; or any equally

objectionable variation of any one of

these defects, any other defect, or any

combination of defects, which

materially detracts from the appearance,

or the edible or marketing quality of the

onions. The following specific defects

shall be considered as damage:

(a) Seedstems which are tough or

woody, or which are more than 1⁄4 inch

in diameter;

(b) Splits when onions with two or

more hearts are not practically covered

by one or more outer scales;

(c) Tops when more than 30 percent

of the onions in a lot have tops 3 inches

or more in length;

(d) New roots when most roots on an

individual onion have grown to a length

of 1 inch or more in length;

(e) Dry roots when more than 20

percent of the onions in a lot have

practically all roots 2 inches or more in

length;

(f) Dry sunken areas when the affected

areas exceed the equivalent to that of a

circle 1⁄2 inch in diameter on an onion

23⁄4 inches in diameter which does not

have the outer papery scale covering the

affected areas or when the affected areas

exceed the equivalent to that of a circle

3⁄4 inch in diameter on an onion 23⁄4

inches in diameter which has the outer

papery scale covering the affected areas.

Correspondingly lesser or greater areas

are allowed on smaller or larger onions;

(g) Sunburn when more than 33

percent of the onions in a lot have a

medium green color on one-third of the

surface;

(h) Sprouts when visible, or when

concealed within the dry top and more

than three-fourths inch in length on an

onion 2 inches or larger in diameter, or

proportionately shorter on smaller

onions;

(i) Peeling when more than one-half of

the thin papery skin is missing, leaving

the underlying fleshy scale unprotected;

(j) Cracked fleshy scales when one or

more of the fleshy scales are cracked;

(k) Watery scales when more than the

equivalent of the entire outer fleshy

scale is affected by an off-color,

watersoaked condition. The off-color

must be of some shade of brown or

yellow;

(l) Dirt, staining or other foreign

matter when more than 20 percent of

the onions in a yellow, brown or red lot,

or more than 15 percent of the onions

in a white lot are appreciably stained.

Onions with adhering dirt or other

foreign matter shall be judged on the

same basis as stained onions;

(m) Mechanical when any cut extends

deeper than one fleshy scale, or when

any bruise breaks a fleshy scale; and,

(n) Translucent scales when more

than the equivalent of two entire outer

fleshy scales have a watersoaked

condition.

§ 51.2851 Diameter.

Diameter means the greatest

dimension measured at right angles to a

straight line running from the stem to

the root.

§ 51.2852 Badly misshapen.

Badly misshapen means that the

onion is so misshapen that its

appearance is seriously affected.

§ 51.2853 Serious damage.

Serious damage means any specific

defect described in this section; or any

equally objectionable variation of any

one of these defects, any other defect, or

any combination of defects, which

seriously detracts from the appearance,

or the edible or marketing quality of the

onions. The following specific defects

shall be considered as serious damage:

(a) Watery scales when more than the

equivalent of two entire outer fleshy

scales are affected by an off-colored,

watersoaked condition. The off-color

must be of some shade of brown or

yellow;

(b) Dirt, staining or other foreign

matter when more than 25 percent of

the onions in a lot are badly stained.

Onions with adhering dirt or other

foreign matter shall be judged on the

same basis as stained onions;

(c) Seedstems when more than onehalf inch in diameter;

(d) Sprouts when the visible length is

more than one half inch;

(e) Mechanical when any cut extends

deeper than two fleshy scales, or when

cuts seriously damage the appearance of

the onion; and,

(f) Dry sunken areas when extending

deeper than one fleshy scale, or when

affecting an area equivalent to that of a

circle 1 inch in diameter on an onion
Federal Register / Vol. 60, No. 32 / Thursday, February 16, 1995 / Proposed Rules 8979

23⁄4 inches in diameter, or

correspondingly lesser or greater areas

on smaller or larger onions.

§ 51.2854 One type.

One type means that the onions are

within the same general color category.

Metric Conversion Table

§ 51.2855 Metric conversion table.

Inches Millimeters

(mm)

1⁄8 .......................................... 3.2 1⁄4 .......................................... 6.4 3⁄8 .......................................... 9.5 1⁄2 .......................................... 12.7 5⁄8 .......................................... 15.9 3⁄4 .......................................... 19.1 7⁄8 .......................................... 22.2

1 ............................................ 25.4

11⁄4 ........................................ 31.8

11⁄2 ........................................ 38.1

13⁄4 ........................................ 44.5

2 ............................................ 50.8

21⁄2 ........................................ 63.5

23⁄4 ........................................ 69.9

3 ............................................ 76.2

31⁄2 ........................................ 88.9

4 ............................................ 101.6

3. In Subpart—United States

Standards for Grades of BermudaGranex-Grano Type Onions is revised to

read as follows:

Subpart—United States Standards for

Grades of Bermuda-Granex-Grano Type

Onions

Grades

Sec.

51.3195 U.S. No. 1.

51.3196 U.S. No. 1 Peeled.

51.3197 U.S. Combination.

51.3198 U.S. No. 2.

Size Classifications

51.3199 Size classifications.

Tolerances

51.3200 Tolerances

Samples for Grade and Size Determination

51.3201 Samples for grade and size

determination.

Application of Tolerances

51.3202 Application of tolerances.

Definitions

51.3203 Similar varietal characteristics.

51.3204 Mature.

51.3205 Fairly firm.

51.3206 Fairly well shaped.

51.3207 Wet sunscald.

51.3208 Doubles.

51.3209 Bottlenecks.

51.3210 Damage.

51.3211 Serious damage.

51.3212 Diameter.

Metric Conversion Table

51.3213 Metric conversion table.

Subpart—United States standards for

Grades of Bermuda-Granex-Grano

Type Onions

Grades

§ 51.3195 U.S. No. 1

U.S. No. 1 consists of onions which

meet the following requirements:

(a) Basic requirements:

(1) Similar varietal characteristics;

(2) Mature;

(3) Fairly firm; and,

(4) Fairly well shaped.

(b) Free from:

(1) Decay;

(2) Wet unscald;

(3) Doubles; and,

(4) Bottlenecks.

(c) Free from damage caused by:

(1) Seedstems;

(2) Splits;

(3) Moisture;

(4) Roots:

(5) Dry sunscald;

(6) Sunburn;

(7) Sprouting;

(8) Staining;

(9) Dirt or foreign material;

(10) Disease;

(11) Insects;

(12) Mechanical; and,

(13) Other means.

(d) For size and tolerances see

§§ 51.3199 and 51.3200.

§ 51.3196 U.S. No. 1 Peeled.

U.S. No. 1 Peeled consists of onions

which meet all the requirements for the

U.S. No. 1 grade. Furthermore, onions

must be free from any outer papery

scales in order to meet the requirements

of this grade. (See §§ 51.3199 and

51.3200.)

§ 51.3197 U.S. Combination.

U.S. Combination consists of a

combination of U.S. No. 1 and U.S. No.

2 onions: Provided, that at least 50

percent, by weight, of the onions in each

lot meet the requirements of U.S. No. 1

grade. (See §§ 51.3199 and 51.3200.)

§ 51.3198 U.S. No. 2.

U.S. No. 2 consists of onions which

meet the following requirements:

(a) Basic requirements:

(1) Similar varietal characteristics;

and,

(2) Not soft or spongy.

(b) Free from:

(1) Decay;

(2) Wet sunscald; and,

(3) Bottlenecks.

(c) Free from serious damage caused

by:

(1) Seedstems;

(2) Dry sunken areas;

(3) Sprouting;

(4) Staining;

(5) Dirt or other foreign material;

(6) Disease;

(7) Insects;

(8) Mechanical; and,

(9) Other means.

(d) For size and tolerances see

§§ 51.3199 and 51.3200.

Size Classifications

§ 51.3199 Size classifications.

Size shall be specified in connection

with the grade in terms of minimum

diameter, range in diameter, minimum

diameter with a percentage of a certain

size or larger, or in accordance with one

of the size classifications listed below:

Provided, that unless otherwise

specified, onions shall not be less than

11⁄2 inches in diameter, with 60 percent

or more 2 inches or larger in diameter.

Size designation

Minimum diameter Maximum diameter

Inches Millimeters Inches Millimeters

Small ................................................................................................................................ 1 25.4 21⁄4 57.2

Repacker/Prepacker 1 ....................................................................................................... 13⁄4 44.5 3 76.2

Medium ............................................................................................................................. 2 50.8 31⁄4 82.6

Large or jumbo ................................................................................................................. 3 76.2 (2)

Colossal ............................................................................................................................ 33⁄4 95.3 (2)

1 In addition to the sizes specified, a lot of onions designated as Repacker or Prepacker shall contain at least 60 percent or more 2 inches or

larger in diameter. 2 No requirement.
8980 Federal Register / Vol. 60, No. 32 / Thursday, February 16, 1995 / Proposed Rules

Tolerances

§ 51.3200 Tolerances.

In order to allow for variations

incident to proper grading and handling

in each of the foregoing grades the

following tolerances, by weight, are

provided as specified:

(a) For defects:

(1) U.S. No. 1 and U.S. No. 2 grades.

(i) Not more than 10 percent of the

onions in a lot may fail to meet the

requirements of these grades, but not

more than one-fifth of this tolerance, or

2 percent, may be allowed for onions

which are affected by decay or wet

sunscald.

(2) U.S. No. 1 Peeled grade.

(i) Not more than 5 percent of the

onions in a lot may have outer papery

scales in any amount;

(ii) Not more than 10 percent of the

onions in a lot may be below the

remaining requirements of the grade,

but not more than one-fifth of this

tolerance, or 2 percent, may be allowed

for onions which are affected by decay

or wet sunscald.

(3) U.S. Combination grade.

(i) When applying the foregoing

tolerances to this grade no part of any

tolerance shall be allowed to reduce, for

the lot as a whole, the 50 percent of

onions of the U.S. No. 1 grade, but

individual containers shall have not less

than 40 percent of the U.S. No. 1 grade.

(b) For size:

(1) Not more than 5 percent of the

onions in a lot may be smaller than the

minimum diameter specified. In

addition, not more than 10 percent of

the onions in a lot may be larger than

the maximum diameter specified.

(2) When a percentage of the onions

is specified to be a certain size and

larger, individual packages containing

more than 10 pounds may have not less

than one-half of the percentage

specified: Provided, that the entire lot

averages within the percentage

specified.

Samples for Grade and Size

Determination

§ 51.3201 Samples for grade and size

determination.

Individual samples shall consist of at

least 20 pounds. When individual

packages contain 20 pounds or more

and the onions are packed for Large or

Jumbo size or larger the package shall be

the sample. When individual packages

contain less than 20 pounds, a sufficient

number of adjoining packages are

opened to provide at least a 20 pound

sample.

Application of Tolerances

§ 51.3202 Application of tolerances.

Individual samples are subject to the

following limitations:

(a) Samples which contain more than

20 pounds shall have not more than one

and one half times a specified tolerance

of 10 percent or more, and not more

than double a specified tolerance of less

than 10 percent, except that at least one

defective and one off-size onion may be

permitted in any sample: Provided, that

enroute or at destination when onions

in containers of 50 pounds or more are

packed to a minimum size of 3 inches

or larger not more than three onions or

more than 4 percent (whichever is the

larger amount) may be affected by decay

or wet sunscald: And provided further,

that the averages for the entire lot are

within the tolerances specified for the

grade; and,

(b) Samples which contain 20 pounds

shall have not more than double the

tolerance specified, except that at least

one defective and one off-size onion

may be permitted in any sample:

Provided, that the averages for the entire

lot are within the tolerances specified

for the grade.

Definitions

§ 51.3203 Similar varietal characteristics.

Similar varietal characteristics means

that the onions in any container are

similar in color, shape and character of

growth.

§ 51.3204 Mature.

Mature means that the onion is fairly

well cured, and at least fairly firm.

§ 51.3205 Fairly firm.

Fairly firm means that the onion may

yield slightly to moderate pressure but

is not appreciably soft or spongy.

§ 51.3206 Fairly well shaped.

Fairly well shaped means that the

onion shows the characteristic shape,

not appreciably three-, four- or fivesided, thick necked or badly pinched.

§ 51.3207 Wet sunscald.

Wet sunscald means any sunscald

which is soft, mushy, sticky or wet.

§ 51.3208 Doubles.

Doubles means onions which have

developed more than one distinct bulb

joined only at the base.

§ 51.3209 Bottlenecks.

Bottlenecks means onions which have

abnormally thick necks with only fairly

well developed bulbs.

§ 51.3210 Damage.

Damage unless otherwise specifically

defined in this section, means any

defect which materially affects the

appearance, or the edible or shipping

quality of the onions. Any one of the

following defects, or combination of

defects the seriousness of which

exceeds the maximum allowed for any

one defect, shall be considered as

damage:

(a) Seedstems which are tough or

woody, or which are more than onefourth inch in diameter;

(b) Splits when well cured onions are

not practically covered by an outer

scale, or when fairly well cured onions

are not completely covered by one outer

scale;

(c) Dry sunken areas when the

affected areas exceed the equivalent to

that of a circle 1⁄2 inch in diameter on

an onion 23⁄4 inches in diameter which

does not have the outer papery scale

covering the affected areas or when the

affected areas exceed the equivalent to

that of a circle 3⁄4 inch in diameter on

an onion 23⁄4 inches in diameter which

has the outer papery scale covering the

affected areas. Correspondingly lesser or

greater areas are allowed on smaller or

larger onions;

(d) Sunburn when dark green in color

and affecting an area equivalent to that

of a circle 1 inch in diameter on an

onion 23⁄4 inches in diameter or

correspondingly smaller or larger areas

on smaller or larger onions, or when

medium to light green in color and

affecting more than 10 percent of the

surface of the onion;

(e) Sprouting when any sprout is

visible, or when concealed within the

neck scales and are more than threefourths inch in length on an onion 2

inches or larger in diameter, or

proportionately shorter on smaller

onions;

(f) Staining, dirt or other foreign

material when more than 20 percent of

the onions in a yellow, brown or red lot,

or more than 15 percent of the onions

in a white lot are appreciably stained.

Onions with adhering dirt or other

foreign matter shall be judged on the

same basis as stained onions;

(g) Mechanical when any cut extends

deeper than one fleshy scale, or when

any bruise breaks a fleshy scale;

(h) Tops when more than 30 percent

of the onions in a lot have tops 3 inches

or more in length;

(i) New roots when most roots on an

individual onion have grown to a length

of 1 inch or more;

(j) Dry roots when practically all roots

are 2 inches or more in length;

(k) Translucent scales when more

than the equivalent of two entire outer
Federal Register / Vol. 60, No. 32 / Thursday, February 16, 1995 / Proposed Rules 8981

fleshy scales have a watersoaked

condition; and,

(l) Watery scales when more than the

equivalent of the entire outer fleshy

scale is affected by an off-color,

watersoaked condition. The off-color

must be of some shade of brown or

yellow.

§ 51.3211 Serious damage.

Serious damage unless otherwise

specifically defined in this section,

means any defect which seriously

affects the appearance, or the edible or

shipping quality of the onions. Any one

of the following defects, or any

combination of defects the seriousness

of which exceeds the maximum allowed

for any one defect, shall be considered

as serious damage:

(a) Seedstems when more than onehalf inch in diameter;

(b) Dry sunken areas when extending

deeper than one fleshy scale, or when

affecting an area equivalent to that of a

circle 1 inch in diameter on an onion

23⁄4 inches in diameter, or

correspondingly lesser or greater areas

on smaller or larger onions;

(c) Sprouting when any visible sprout

is more than one-half inch in length;

(d) Staining, dirt or foreign material

when more than 25 percent of the

onions in any lot are badly stained.

Onions with adhering dirt or other

foreign matter shall be judged on the

same basis as stained onions;

(e) Mechanical when any cut extends

deeper than two fleshy scales, or when

cuts seriously damage the appearance of

the onion; and,

(f) Watery scales when more than the

equivalent of two entire outer fleshy

scales are affected by an off-colored,

watersoaked condition. The off-color

must be of some shade of brown or

yellow.

§ 51.3212 Diameter.

Diameter means the greatest

dimension of the onion at right angles

to a line running from the stem to the

root.

Metric Conversion Table

§ 51.3213 Metric conversion table.

Inches Millimeters

(mm)

1⁄8 .......................................... 3.2 1⁄4 .......................................... 6.4 3⁄8 .......................................... 9.5 1⁄2 .......................................... 12.7 5⁄8 .......................................... 15.9 3⁄4 .......................................... 19.1 7⁄8 .......................................... 22.2

1 ............................................ 25.4

11⁄4 ........................................ 31.8

11⁄2 ........................................ 38.1

Inches Millimeters

(mm)

13⁄4 ........................................ 44.5

2 ............................................ 50.8

21⁄2 ........................................ 63.5

23⁄4 ........................................ 69.9

3 ............................................ 76.2

31⁄2 ........................................ 88.9

4 ............................................ 101.6

Dated: February 9, 1995.

Lon Hatamiya,

Administrator.

[FR Doc. 95–3787 Filed 2–15–95; 8:45 am]

BILLING CODE 3410–02–P

Rural Utilities Service

7 CFR Part 1717

Investments, Loans, and Guarantees

by Electric Borrowers

AGENCY: Rural Utilities Service, USDA.

ACTION: Proposed Rule.

SUMMARY: The Rural Utilities Service

(RUS) hereby proposes to revise its

policies and requirements governing

restrictions on investments, loans and

guarantees made by electric borrowers.

This proposed rule is intended to clarify

RUS’s policies and requirements, reduce

uncertainty by borrowers, and improve

compliance.

DATES: Written comments must be

received by RUS or carry a postmark or

equivalent by April 17, 1995.

ADDRESSES: Written comments should

be addressed to Mr. F. Lamont Heppe,

Jr., Deputy Director, Program Support

Staff, U.S. Department of Agriculture,

Rural Utilities Service, Ag Box 1522,

room 2234–S, 14th Street and

Independence Avenue, SW.,

Washington, DC 20250–1500. RUS

requires a signed original and 3 copies

of all comments (7 CFR 1700.30 (e)).

Comments will be available for public

inspection during regular business

hours (7 CFR 1.27(b)).

FOR FURTHER INFORMATION CONTACT: Mr.

Alex M. Cockey, Jr., Deputy Assistant

Administrator—Electric, U.S.

Department of Agriculture, Rural

Utilities Service, Ag Box 1560, room

4037–S, 14th Street & Independence

Avenue, SW., Washington, DC 20250–

1500. Telephone: 202–720–9547.

SUPPLEMENTARY INFORMATION: This

proposed rule has been determined to

be not significant for the purposes of

Executive Order 12866, and therefore

has not been reviewed by the Office of

Management and Budget (OMB). The

Administrator of RUS has determined

that the Regulatory Flexibility Act (5

U.S.C. 601 et seq.) does not apply to this

rule. The Administrator of RUS has

determined that this rule will not

significantly affect the quality of the

human environment as defined by the

National Environmental Policy Act of

1969 (42 U.S.C. 4321 et seq.). Therefore,

this action does not require an

environmental impact statement or

assessment. This rule is excluded from

the scope of Executive Order 12372,

Intergovernmental Consultation, which

may require consultation with State and

local officials. A Notice of Final Rule

titled Department Programs and

Activities Excluded from Executive

Order 12372 (50 FR 47034) exempts

RUS electric loans and loan guarantees

from coverage under this Order. This

rule has been reviewed under Executive

Order 12778, Civil Justice Reform. This

rule: (1) Will not preempt any State or

local laws, regulations, or policies,

unless they present an irreconcilable

conflict with this rule; (2) Will not have

any retroactive effect; and (3) Will not

require administrative proceedings

before any parties may file suit

challenging the provisions of this rule.

The program described by this rule is

listed in the Catalog of Federal Domestic

Assistance Programs under number

10.850 Rural Electrification Loans and

Loan Guarantees. This catalog is

available on a subscription basis from

the Superintendent of Documents, the

United States Government Printing

Office, Washington, DC 20402–9325.

Information Collection and

Recordkeeping Requirements

The existing recordkeeping and

reporting burdens contained in this rule

were approved by the Office of

Management and Budget (OMB)

pursuant to the Paperwork Reduction

Act of 1980 (44 U.S.C. 3501 et seq.),

under control numbers 0572–0017,

0572–0032, and 0572–0103. Additional

information collection and

recordkeeping requirements contained

in this proposed rule have been

submitted to OMB for review.

Send questions or comments

regarding these burdens or any other

aspect of these collections of

information, including suggestions for

reducing the burden, to the Office of

Information and Regulatory Affairs,

Office of Management and Budget, room

10102, NEOB, Washington, DC 20503.

Attention: Desk Officer for USDA.

Background

On December 22, 1987, section 312

was added to the Rural Electrification

Act of 1936. This section allows electric

borrowers to invest their own funds or

make loans or guarantees, not in excess

of 15 percent of their total utility plant,