17434 Federal Register / Vol. 60, No. 66 / Thursday, April 6, 1995 / Rules and Regulations

The Committee also recommended

workman’s compensation tax expenses

of $400 for which no funding was

recommended last year and $17,400 for

an agreement with the Washington State

Potato Commission to provide certain

services to the Committee as specified

in the agreement. Included in the

$17,400 for this year are salaries and

salary expenses which were budgeted

separately last year at $11,200 and

$1,800 and other expenses which were

$2,400 for last year. In this year’s

budget, these items are included under

the Commission agreement.

The Committee also unanimously

recommended an assessment rate of

$0.003 per hundredweight, $0.002 less

than last season. This rate, when

applied to anticipated shipments of 9

million hundredweight, will yield

$27,000 in assessment income. This,

along with $15,300 from the

Committee’s authorized reserve will be

adequate to cover budgeted expenses.

Funds in the reserve as of January 31,

1995, were $75,025, which is within the

maximum permitted by the order of two

fiscal periods’ expenses.

While this rule will impose some

additional costs on handlers, the costs

are in the form of uniform assessments

on all handlers. Some of the additional

costs may be passed on to producers.

However, these costs will be offset by

the benefits derived by the operation of

the marketing order. Therefore, the

Administrator of the AMS has

determined that this rule will not have

a significant economic impact on a

substantial number of small entities.

After consideration of all relevant

material presented, including the

information and recommendation

submitted by the Committee and other

available information, it is hereby found

that this rule, as hereinafter set forth,

will tend to effectuate the declared

policy of the Act.

Pursuant to 5 U.S.C. 553, it is also

found and determined upon good cause

that it is impracticable, unnecessary,

and contrary to the public interest to

give preliminary notice prior to putting

this rule into effect because: (1) The

Committee needs to have sufficient

funds to pay its expenses which are

incurred on a continuous basis; (2) the

fiscal period begins on July 1, 1995, and

the marketing order requires that the

rate of assessment for the fiscal period

apply to all assessable potatoes handled

during the fiscal period; (3) handlers are

aware of this rule which was

unanimously recommended by the

Committee at a public meeting and is

similar to other budget rules issued in

past years; and (4) this interim final rule

provides a 30-day comment period, and

all comments timely received will be

considered prior to finalization of this

rule.

List of Subjects in 7 CFR Part 946

Marketing agreements, Potatoes,

Reporting and recordkeeping

requirements.

For the reasons set forth in the

preamble, 7 CFR part 946 is amended as

follows:

PART 946—IRISH POTATOES GROWN

IN WASHINGTON

1. The authority citation for 7 CFR

part 946 continues to read as follows:

Authority: 7 U.S.C. 601–674.

2. A new § 946.247 is added to read

as follows:

Note: This section will not appear in the

Code of Federal Regulations.

§ 946.247 Expenses and assessment rate.

Expenses of $42,300 by the State of

Washington Potato Committee are

authorized, and an assessment rate of

$0.003 per hundredweight of assessable

potatoes is established for the fiscal

period ending June 30, 1996.

Unexpended funds may be carried over

as a reserve.

Dated: March 31, 1995.

Sharon Bomer Lauritsen,

Deputy Director, Fruit and Vegetable Division.

[FR Doc. 95–8425 Filed 4–5–95; 8:45 am]

BILLING CODE 3410–02–P

7 CFR Part 985

[FV95–985–2IFR]

Spearmint Oil Produced in the Far

West; Revision of the Salable Quantity

and Allotment Percentage for Class 3

(Native) Spearmint Oil for the 1994–95

Marketing Year

AGENCY: Agricultural Marketing Service,

USDA.

ACTION: Interim final rule with request

for comments.

SUMMARY: This interim final rule

increases the quantity of Class 3 (Native)

spearmint oil produced in the Far West

that handlers may purchase from, or

handle for, producers during the 1994–

95 marketing year. This rule was

recommended by the Spearmint Oil

Administrative Committee (Committee),

the agency responsible for local

administration of the marketing order

for spearmint oil produced in the Far

West. The Committee recommended

this rule to avoid extreme fluctuations

in supplies and prices and thus help to

maintain stability in the Far West

spearmint oil market.

EFFECTIVE DATE: April 6, 1995;

comments received by May 8, 1995 will

be considered prior to issuance of a final

rule.

ADDRESSES: Interested persons are

invited to submit written comments

concerning this rule. Comments must be

sent in triplicate to the Docket Clerk,

Fruit and Vegetable Division, AMS,

USDA, room 2525, South Building, P.O.

Box 96456, Washington, D.C. 20090–

6456; Fax: (202) 720–5698. All

comments should reference the docket

number and the date and page number

of this issue of the Federal Register and

will be made available for public

inspection in the Office of the Docket

Clerk during regular business hours.

FOR FURTHER INFORMATION CONTACT:

Robert J. Curry, Northwest Marketing

Field Office, Marketing Order

Administration Branch, Fruit and

Vegetable Division, AMS, USDA, 1220

SW. Third Avenue, room 369, Portland,

Oregon 97204–2807; telephone: (503)

326–2724; or Caroline C. Thorpe,

Marketing Order Administration

Branch, Fruit and Vegetable Division,

AMS, USDA, room 2525, South

Building, P.O. Box 96456, Washington,

D.C. 20090–6456; telephone: (202) 720–

8139.

SUPPLEMENTARY INFORMATION: This rule

is issued under Marketing Order No.

985 (7 CFR Part 985), regulating the

handling of spearmint oil produced in

the Far West (Washington, Idaho,

Oregon, and designated parts of

California, Nevada, Montana, and Utah),

hereinafter referred to as the ‘‘order.’’

This order is effective under the

Agricultural Marketing Agreement Act

of 1937, as amended (7 U.S.C. 601–674),

hereinafter referred to as the ‘‘Act.’’

The Department of Agriculture

(Department) is issuing this rule in

conformance with Executive Order

12866.

This rule has been reviewed under

Executive Order 12778, Civil Justice

Reform. Under the provisions of the

marketing order now in effect, salable

quantities and allotment percentages

may be established for classes of

spearmint oil produced in the Far West.

This rule increases the quantity of Class

3 spearmint oil produced in the Far

West that may be purchased from or

handled for producers by handlers

during the 1994–95 marketing year,

which ends on May 31, 1995. This rule

will not preempt any state or local laws,

regulations, or policies, unless they

present an irreconcilable conflict with

this rule.
Federal Register / Vol. 60, No. 66 / Thursday, April 6, 1995 / Rules and Regulations 17435

The Act provides that administrative

proceedings must be exhausted before

parties may file suit in court. Under

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

handler subject to an order may file

with the Secretary a petition stating that

the order, any provision of the order, or

any obligation imposed in connection

with the order is not in accordance with

law and request a modification of the

order or to be exempted therefrom. A

handler is afforded the opportunity for

a hearing on the petition. After the

hearing the Secretary would rule on the

petition. The Act provides that the

district court of the United States in any

district in which the handler is an

inhabitant, or has his or her principal

place of business, has jurisdiction in

equity to review the Secretary’s ruling

on the petition, provided a bill in equity

is filed not later than 20 days after date

of the entry of the ruling.

Pursuant to requirements set forth in

the Regulatory Flexibility Act (RFA), the

Administrator of the Agricultural

Marketing Service (AMS) has

considered the economic impact of this

action on small entities.

The purpose of the RFA is to fit

regulatory actions to the scale of

business subject to such actions in order

that small businesses will not be unduly

or disproportionately burdened.

Marketing orders issued pursuant to the

Act, and rules issued thereunder, are

unique in that they are brought about

through group action of essentially

small entities acting on their own

behalf. Thus, both statutes have small

entity orientation and compatibility.

There are eight spearmint oil handlers

subject to regulation under the order

and approximately 260 producers of

spearmint oil in the regulated

production area. Of the 260 producers,

approximately 160 producers hold Class

1 (Scotch) spearmint oil allotment base,

and approximately 145 producers hold

Class 3 (Native) spearmint oil allotment

base. Small agricultural service firms

have been defined by the Small

Business Administration (13 CFR

121.601) as those having annual receipts

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

agricultural producers are defined as

those whose annual receipts are less

than $500,000. A minority of handlers

and producers of Far West spearmint oil

may be classified as small entities.

The Far West spearmint oil industry

is characterized by producers whose

farming operations generally involve

more than one commodity and whose

income from farming operations are not

exclusively dependent on the

production of spearmint oil. The U.S.

production of spearmint oil is

concentrated in the Far West, primarily

Washington, Idaho, and Oregon (part of

the area covered by the order).

Spearmint oil is also produced in the

Midwest. The production area covered

by the order accounts for approximately

75 percent of the annual U.S.

production of spearmint oil.

This rule increases the quantity of

Native spearmint oil that handlers may

purchase from, or handle for, producers

during the 1994–95 marketing year,

which ends on May 31, 1995. This rule

increases the salable quantity from

1,287,680 pounds to 1,358,404 pounds

and the allotment percentage from 66

percent to 70 percent for Native

spearmint oil for the 1994–95 marketing

year.

The salable quantity is the total

quantity of each class of oil that

handlers may purchase from, or handle

for, producers during a marketing year.

The salable quantity calculated by the

Committee is based on the estimated

trade demand. The total salable quantity

is divided by the total industry

allotment base to determine an

allotment percentage. Each producer is

allotted a share of the salable quantity

by applying the allotment percentage to

the producer’s allotment base for the

applicable class of spearmint oil.

The initial salable quantities and

allotment percentages for Scotch and

Native spearmint oils for the 1994–95

marketing year were recommended by

the Committee at its October 6, 1993,

meeting. The Committee recommended

salable quantities of 723,326 pounds

and 897,388 pounds, and allotment

percentages of 41 percent and 46

percent, respectively, for Scotch and

Native spearmint oils. A proposed rule

was published in the December 21,

1993, issue of the Federal Register (58

FR 67378). Comments on the proposed

rule were solicited from interested

persons until January 20, 1994. No

comments were received. Accordingly,

based upon analysis of available

information, a final rule establishing the

salable quantities and allotment

percentages for Scotch and Native

spearmint oils for the 1994–95

marketing year was published in the

March 16, 1994, issue of the Federal

Register (59 FR 12151).

At its June 14, 1994, teleconference

meeting, the Committee recommended

that the salable quantity and allotment

percentage for Native spearmint oil for

the 1994–95 marketing year be

increased. The Committee

recommended that the Native spearmint

oil salable quantity be increased from

897,388 pounds to 1,092,577 pounds,

and that the allotment percentage, based

on a revised total allotment base of

1,951,032 pounds, be increased from 46

to 56 percent resulting in a 195,189

pound increase in the salable quantity.

An interim final rule was published

in the August 26, 1994, Federal Register

(59 FR 44028). Comments on the interim

rule were solicited from interested

persons until September 26, 1994. No

comments were received.

At its October 5, 1994, meeting, the

Committee recommended that the

salable quantities for Scotch and Native

spearmint oils for the 1994–95

marketing year be increased from

723,326 pounds to 811,516 pounds, and

from 1,092,577 pounds to 1,287,680

pounds, respectively. Based on a revised

total allotment base of 1,763,795

pounds, the Committee recommended

that the allotment percentage for Scotch

spearmint oil be increased from 41

percent to 46 percent, resulting in an

88,190 pound increase in the salable

quantity. Further, based on the revised

total allotment base published in the

August 26, 1994, Federal Register (59

FR 44028), the Committee

recommended that the allotment

percentage for Native spearmint oil be

increased from 56 percent to 66 percent,

resulting in a 195,103 pound increase in

the salable quantity.

An interim final rule amending the

August 26, 1994, rule was published in

the October 31, 1994, Federal Register

(59 FR 54376). Comments on the interim

rule were solicited from interested

persons until November 30, 1994. No

comments were received.

Accordingly, based upon an analysis

of available information, a final rule

finalizing the 1994–95 salable quantities

and allotment percentages was

published in the February 2, 1995,

Federal Register (60 FR 6392).

Pursuant to authority contained in

sections 985.50, 985.51, and 985.52 of

the order, at its February 22, 1995,

meeting, the Committee recommended,

with one member voting in opposition,

that the salable quantity for Native

spearmint oil for the 1994–95 marketing

year be increased from 1,287,680

pounds to 1,358,404 pounds. The

member voting in opposition favored

the establishment of a lower salable

quantity that would have resulted in a

lower allotment percentage. Based on

the revised total allotment base of

1,951,032 pounds, the allotment

percentage for Native spearmint oil is

increased from 66 percent to 70 percent,

resulting in a 70,724 pound increase in

the salable quantity.

Native Spearmint Oil Recommendations

(1) Salable Quantity

October 6, 1993 ...................897,388 pounds

June 14, 1994....................1,092,577 pounds

October 5, 1994 ................1,287,680 pounds
17436 Federal Register / Vol. 60, No. 66 / Thursday, April 6, 1995 / Rules and Regulations

February 22, 1995 ............1,358,404 pounds

(2) Total Allotment Base

October 6, 1993 ................1,950,843 pounds

June 14, 1994....................1,951,032 pounds

October 5, 1994 ................1,951,032 pounds

February 22, 1995 ............1,951,032 pounds

(3) Allotment Percentage

October 6, 1993 ............................46 percent

June 14, 1994................................56 percent

October 5, 1994 ............................66 percent

February 22, 1995 ........................70 percent

In making this latest recommendation

the Committee considered all available

information on supply and demand.

As of February 22, 1995, the

Committee reports that of the 1994–95

marketing year Scotch and Native

spearmint oil salable quantities of

811,516 pounds and 1,287,680 pounds,

respectively, 154,375 pounds and

70,840 pounds remained available for

handling. Handlers have indicated that

the available supply of Scotch

spearmint oil is adequate to meet

anticipated demand through May 31,

1995. However, handlers have indicated

that demand for Native spearmint oil

may be as high as 100,000 pounds for

the remainder of this marketing year.

This level of demand was not

anticipated by the Committee when it

made its initial recommendation for the

establishment of the Scotch and Native

spearmint oil salable quantities and

allotment percentages for the 1994–95

marketing year, nor was it foreseen

when the Committee made its June 14

and October 5, 1994, recommendations

for increasing the Native spearmint oil

salable quantity and allotment

percentage.

The recommended salable quantity of

1,358,404 pounds of Native spearmint

oil (an increase of 70,724 pounds),

combined with the June 1, 1994, carryin of 19,139 pounds, results in a revised

1994–95 available supply of 1,377,543

pounds. The revised available supply of

Native spearmint oil is approximately

300,000 pounds higher than the annual

average of sales for the past five years.

The Committee anticipates that

foreseeable demand for Native

spearmint oil will be adequately met for

the remainder of the 1994–95 marketing

year.

The Department, based on its analysis

of available information, has determined

that an allotment percentage of 70

percent should be established for Native

spearmint oil for the 1994–95 marketing

year. This percentage will provide an

increased salable quantity of 1,358,404

pounds of Native spearmint oil.

Based on available information, the

Administrator of the AMS has

determined that the issuance of this

interim final rule will not have a

significant economic impact on a

substantial number of small entities.

After consideration of all relevant

matter presented, including that

contained in the prior proposed, final,

and interim final rules in connection

with the establishment of the salable

quantities and allotment percentages for

Scotch and Native spearmint oils for the

1994–95 marketing year, the

Committee’s recommendation and other

available information, it is found that to

revise section 985.213 (60 FR 6392) to

change the salable quantity and

allotment percentage for Native

spearmint oil, as hereinafter set forth,

will tend to effectuate the declared

policy of the Act.

Pursuant to 5 U.S.C. 553, it is also

found and determined upon good cause

that it is impracticable, unnecessary,

and contrary to public interest to give

preliminary notice prior to putting this

rule into effect and that good cause

exists for not postponing the effective

date of this rule until 30 days after

publication in the Federal Register

because: (1) This interim final rule

increases the quantity of Native

spearmint oil that may be marketed

immediately; (2) Handlers and

producers should be apprised as soon as

possible of the salable quantity and

allotment percentage of Native

spearmint oil contained in this interim

final rule; and (3) This rule provides a

30-day comment period and any

comments received will be considered

prior to finalization of this rule.

List of Subjects in 7 CFR Part 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—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 985.213 is amended by

revising the introductory text and

paragraph (b) to read as follows:

Note: This section will not appear in the

annual Code of Federal Regulations.

§ 985.213 Salable quantities and allotment

percentages—1994–95 marketing year.

The salable quantity and allotment

percentage for each class of spearmint

oil during the marketing year beginning

on June 1, 1994, shall be as follows:

* * * * *

(b) Class 3 (Native) oil—a salable

quantity of 1,358,404 pounds and an

allotment percentage of 70 percent.

Dated: March 31, 1995.

Sharon Bomer Lauritsen,

Deputy Director, Fruit and Vegetable Division.

[FR Doc. 95–8426 Filed 4–5–95; 8:45 am]

BILLING CODE 3410–02–P

FEDERAL RESERVE SYSTEM

12 CFR Part 208

[Regulation H; Docket No. R–0873]

Membership of State Banking

Institutions in the Federal Reserve

System

AGENCY: Board of Governors of the

Federal Reserve System.

ACTION: Final rule; interpretation.

SUMMARY: The Board is issuing an

interpretation of the provisions of its

Regulation H, Membership of State

Banking Institutions in the Federal

Reserve System, concerning the

establishment of loan production offices

and ‘‘back office’’ facilities by state

member banks. The interpretation

provides that a state member bank may

establish a back office facility that is not

accessible to the public without such a

facility being considered to be a branch.

The interpretation also provides that

loans originated by a loan production

office may be approved at a back office

location, rather than at the main office

or a branch of the bank, without the

loan production office being considered

to be a branch, if the proceeds of loans

originated by the loan production office

are received by customers at locations

other than a loan production office or

back office facility. This interpretation

is intended to provide parity between

state member banks and national banks

with respect to the establishment of loan

production offices and back office

facilities.

EFFECTIVE DATE: April 6, 1995.

FOR FURTHER INFORMATION CONTACT:

Lawranne Stewart, Senior Attorney

(202/452–3513), Legal Division. For the

hearing impaired only:,

Telecommunications Device for the Deaf

(‘‘TDD’’), Dorothea Thompson (202/

452–3544).

SUPPLEMENTARY INFORMATION: In

connection with the acquisition of a

mortgage company by a state member

bank, the Board has been asked to

consider two issues with respect to the

types of facilities that a state member

bank may establish to engage in

activities related to lending at locations

that are not approved branches: (1)

Whether a state member bank may

establish a ‘‘back office’’ facility that is

not accessible to the public without