Unknown. Final rule
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/register/2010/08/24/2010-20978A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
--- schema: federal-register doc_type: fedreg source_file: FR-2010-08-24.xml --- 75 163 Tuesday, August 24, 2010 Contents Agricultural Agricultural Marketing Service RULES Changes to Quality Regulations for Shelled Walnuts: Walnuts Grown in California, 51926-51929 2010-21010 Increased Assessment Rates: Apricots Grown in Designated Counties in Washington, 51924-51926 2010-21037 National Organic Program: Amendment to National List of Allowed and Prohibited Substances (Livestock), 51919-51924 2010-20977 Orders Amending Orders:
Milk in Northeast and Other Marketing Areas, 51929-51931 2010-20972 Perishable Agricultural Commodities Act; Increase in License Fees, 51917-51919 2010-20978 PROPOSED RULES Dried Prunes Produced in California; Increased Assessment Rate, 51956-51958 2010-20981 NOTICES United States Standards for Grades of Pineapple Juice: Correction, 51978 C1--2010--21030 Agriculture Agriculture Department See Agricultural Marketing Service See Foreign Agricultural Service See Forest Service See Rural Utilities Service NOTICES Agency Information Collection Activities;
Proposals, Submissions, and Approvals, 51975-51977 2010-20995 2010-20997 Alcohol Alcohol, Tobacco, Firearms, and Explosives Bureau NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Application for Federal Firearms License (Collector of Curios and Relics), 52029-52030 2010-21006 Application to Make and Register a Firearm, 52025-52026 2010-20987 Firearms Manufactured or Imported, 52028-52029 2010-20985 Letter Application to Obtain Authorization for Assembly of Nonsporting Rifle or Nonsporting Shotgun for Purpose of Testing or Evaluation, 52024-52025 2010-20983 Records of Acquisition and Disposition, Collectors of Firearms, 52025 2010-20984 Special Agent Medical Pre-placement, 52031 2010-21003 Training Registration Request for Non-ATF Employees, 52030 2010-21005 Census Census Bureau NOTICES Proposed Urban Area Criteria for the 2010 Census, 52174-52184 2010-20808 Children Children and Families Administration NOTICES Agency Information Collection Activities;
Proposals, Submissions, and Approvals: Standard Reporting Format; Proposed Projects, 52007-52008 2010-20892 Coast Guard Coast Guard RULES Drawbridge Operation Regulations: Atchafalaya River, Melville, LA, 51942-51943 2010-20925 Passaic River, Clifton, NJ, 51940-51942 2010-20926 Taunton River, Fall River and Somerset, MA, 51938-51940 2010-20922 Safety Zones: DEEPWATER HORIZON at Mississippi Canyon 252 Outer Continental Shelf MODU in Gulf of Mexico, 51943-51945 2010-20921 Potomac River, St.
Mary's River, St. Inigoes, MD, 51945-51947 2010-20919 Special Local Regulations for Marine Events: Roanoke River, Plymouth, NC, 51936-51938 2010-20920 Commerce Commerce Department See Census Bureau See International Trade Administration See National Oceanic and Atmospheric Administration NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Management and Oversight of National Estuarine Research Reserve System, 51978-51979 2010-20944 Defense Defense Department NOTICES Meetings:
Federal Advisory Committee, 51985 2010-20970 Uniform Formulary Beneficiary Advisory Panel, 51984-51985 2010-21014 Science and Technology Reinvention Laboratory Personnel Management Demonstration Project: Department of the Navy, Space and Naval Warfare Systems Center (SSC), SSC Atlantic and SSC Pacific, 52140-52171 2010-20801 Department of Transportation See Pipeline and Hazardous Materials Safety Administration Education Education Department NOTICES Agency Information Collection Activities;
Proposals, Submissions, and Approvals, 51985-51986 2010-20967 Energy Energy Department See Federal Energy Regulatory Commission NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Correction, 51986 2010-20969 Convention on Supplementary Compensation for Nuclear Damage Contingent Cost Allocation, 51986-51987 2010-20968 EPA Environmental Protection Agency RULES Approvals and Promulgations of Air Quality Implementation Plans: Charlotte-Gastonia-Rock Hill, NC-SC;
Completeness Determination for Purpose of Stopping Sanctions Clock, 51949-51950 2010-20989 Outer Continental Shelf Air Regulations Consistency Update for Massachusetts, 51950-51953 2010-20710 PROPOSED RULES Outer Continental Shelf Air Regulations Consistency Update for Massachusetts, 51968-51969 2010-20726 Proposed Rule to Implement the 1997 8-Hour Ozone National Ambient Air Quality Standard: New Source Review Anti-Backsliding Provisions for Former 1-Hour Ozone Standard, 51960-51968 2010-20992 NOTICES Agency Information Collection Activities;
Proposals, Submissions, and Approvals: Annual Public Water System Compliance Report (Reinstatement), 52000-52001 2010-20994 Emission Control System Performance Warranty Regulations and Voluntary Aftermarket Part Certification Program (Renewal), 52003-52004 2010-20996 Minority Business Enterprise/Woman Business Enterprise (MBE/WBE) Utilization Under Federal Grants, etc., 52001-52003 2010-20998 FAA Federal Aviation Administration RULES Airworthiness Directives: Dassault-Aviation Model FALCON 7X Airplanes, 51931-51934 2010-20839 NOTICES Meetings:
Commercial Space Transportation Advisory Committee; Public Teleconference, 52058 2010-20520 FBI Federal Bureau of Investigation NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Hate Crime Incident Report; Quarterly Hate Crime Report, 52027 2010-20990 Violent Criminal Apprehension Program, 52027-52028 2010-20988 FCC Federal Communications Commission PROPOSED RULES Use of Microwaves for Wireless Backhaul: Provision for Additional Flexibility to Broadcast Auxiliary Service and Operational Fixed Microwave Licensees, 52186-52209 2010-20785 NOTICES Agency Information Collection Activities;
Proposals, Submissions, and Approvals, 2010-21002 52004-52006 2010-21004 2010-21012 Federal Energy Federal Energy Regulatory Commission NOTICES Applications for Transfer of License, and Soliciting Comments and Motions to Intervene: Birch Power Co.; Sorenson Engineering; and Sorenson Leasing L.L.C., 51987 2010-20932 Applications Ready for Environmental Analysis, Soliciting Comments, etc.: TideWorks, LLC, 51987-51988 2010-20933 Applications: Bison Pipeline LLC, 51988-51989 2010-20929 Southern LNG Co., L.L.C, 51989-51990 2010-20930 Baseline Filings:
CenterPoint Energy—Illinois Gas Transmission Co., 51990 2010-20931 Combined Filings: Electric Rate, 51990-51994 2010-20934 2010-20937 Natural Gas Pipeline Rate and Refund Report, 51994-51996 2010-20935 Commission Staff Attendance at Midwest ISO Meetings, 51996-52000 2010-20928 Initial Market-Based Rate Filings Include Request for Blanket Section 204 Authorization: Driftwood LLC, 52000 2010-20936 Federal Motor Federal Motor Carrier Safety Administration NOTICES Agency Information Collection Activities;
Proposals, Submissions, and Approvals: Request for Revocation of Authority Granted, 52053-52054 2010-21008 Qualifications of Drivers: Exemption Applications; Vision, 52061-52064 2010-20986 2010-21009 Exemption Renewals; Vision, 2010-20973 52060-52061 2010-20974 Federal Railroad Federal Railroad Administration NOTICES Petitions for Waiver of Compliance, 2010-20979 2010-20980 52059-52060 2010-20982 FTC Federal Trade Commission RULES Telemarketing Sales Rule: Correction, 51934 2010-20680 NOTICES Grantings of Requests for Early Termination of Waiting Period under Premerger Notification Rules, 52006-52007 2010-20814 Federal Transit Federal Transit Administration NOTICES Bus and Bus Facilities Discretionary Program Funds, 52054-52057 2010-20952 Fish Fish and Wildlife Service PROPOSED RULES Endangered and Threatened Wildlife and Plants: 90-Day Finding on Petition to List Oklahoma Grass Pink Orchid as Endangered or Threatened, 51969-51974 2010-20729 NOTICES Endangered and Threatened Wildlife and Plants:
Receipt of Applications for Permits, 52012-52013 2010-20945 Food Food and Drug Administration NOTICES Meetings: Menthol Report Subcommittee of Tobacco Products Scientific Advisory Committee, 52008-52009 2010-20953 Foreign Foreign Agricultural Service NOTICES Trade Adjustment Assistance for Farmers, 51978 2010-20918 Forest Forest Service NOTICES Meetings: Fishlake Resource Advisory Committee, 51977 2010-20813 Health Health and Human Services Department See Children and Families Administration See Food and Drug Administration See National Institutes of Health Homeland Homeland Security Department See Coast Guard Interior Interior Department See Fish and Wildlife Service See National Park Service IRS Internal Revenue Service RULES Clarification to Section 6411 Regulations, 51934-51936 2010-20916 International International Trade Administration NOTICES Amended Final Determination of Sales at Less Than Fair Value:
Narrow Woven Ribbons with Woven Selvedge from People's Republic of China, 51979-51980 2010-21042 Export Trade Certificates of Review: Northwest Fruit Exporters (NFE), 51980 2010-20971 Extension of Time Limit for Preliminary Results of Antidumping Duty Administrative Review: Hand Trucks and Certain Parts Thereof from the People's Republic of China, 51980-51981 2010-21043 Final Results of Sunset Reviews and Revocations of Findings: Polychloroprene Rubber from Japan, 51981 2010-21029 International International Trade Commission NOTICES Meetings;
Sunshine Act, 52024 2010-21057 Justice Justice Department See Alcohol, Tobacco, Firearms, and Explosives Bureau See Federal Bureau of Investigation See Justice Programs Office Justice Justice Programs Office NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Firearms Inquiry Statistics
(FIST)Program, 52026 2010-20991 Survey of State Criminal History Information Systems, 52029 2010-20993 Labor Labor Department See Occupational Safety and Health Administration NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals, 52031-52032 2010-20914 Maritime Maritime Administration NOTICES Requested Administrative Waivers of Coastwise Trade Laws: Vessel BLUE HEAVEN, 52064-52065 2010-20947 NIH National Institutes of Health NOTICES Meetings: Center for Scientific Review, 52009-52010 2010-20963 National Institute of Neurological Disorders and Stroke, 52010 2010-20962 NOAA National Oceanic and Atmospheric Administration NOTICES Gulf of Mexico Fisheries: Greater Amberjack; Southeast Data, Assessment, and Review (SEDAR) Update, 51982 2010-20958 Meetings: Pacific Fishery Management Council, 51983 2010-20961 Pacific Fishery Management Council; Correction, 51982-51983 C1--2010--20960 South Atlantic and Gulf of Mexico Fisheries: Southeast Data, Assessment, and Review (SEDAR); Assessment Webinar for SEDAR 23 Goliath Grouper, 51983-51984 2010-20959 National Park National Park Service NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Land and Water Conservation Fund Description and Notification, etc., 52010-52012 2010-21041 Extension of Concession Contract, 52013 2010-21038 Intents to Repatriate Cultural Items: Field Museum of Natural History, Chicago, IL, 52013-52014 2010-20951 University of Montana, Missoula, MT, 52014 2010-20942 Inventory Completions: Cherokee National Forest; Cleveland, TN, 52014-52015 2010-20938 Field Museum of Natural History, Chicago, IL, 52022-52023 2010-20948 New York University College of Dentistry, New York, NY, 52021-52022 2010-20949 2010-20950 Texas Parks and Wildlife Department, Austin, TX, 52016-52017 2010-20941 Thomas Burke Memorial Washington State Museum, University of Washington, Seattle, WA, 52023 2010-20940 U.S. Department of Interior, Bureau of Indian Affairs, Washington, DC; and Arizona State Museum, University of Arizona, Tucson, AZ, 52017-52019 2010-20946 University of Colorado Museum, Boulder, CO, 52015-52016, 52019-52021 2010-20939 2010-20954 Meetings: Boston Harbor Islands National Recreation Area Advisory Council, 52023-52024 2010-21040 National Science National Science Foundation NOTICES Permit Applications Received under 1978 Antarctic Conservation Act, 52038-52039 2010-20923 National Transportation National Transportation Safety Board RULES Reporting of Aircraft Accidents or Incidents and Overdue Aircraft, and Preservation of Aircraft Wreckage, Mail, Cargo, and Records, 51953-51955 2010-20864 NOTICES Meetings; Sunshine Act, 52039 2010-21151 Nuclear Nuclear Regulatory Commission PROPOSED RULES California Association of Marriage and Family Therapists: Petition for Rulemaking; Receipt, 51958-51960 2010-21022 NOTICES Applications and Amendments to Facility Operating Licenses Involving No Significant Hazards Considerations, 52039-52045 2010-20694 Environmental Assessments; Availability, etc.: Arizona Public Service Co., Unit 3, Palo Verde Nuclear Generating Station, 52045-52046 2010-20915 Meetings: Development of Safety Culture Policy Statement, 52046-52047 2010-20966 Meetings; Sunshine Act, 52047-52048 2010-21133 Occupational Occupational Safety and Health Administration NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Grantee Quarterly Progress Report, 52035-52037 2010-21053 Portable Fire Extinguishers (Annual Maintenance Certification Record), 52034-52035 2010-21059 Rigging Equipment for Material Handling, 52033-52034 2010-21050 Welding, Cutting and Brazing Standard, 52037-52038 2010-21055 Pipeline Pipeline and Hazardous Materials Safety Administration PROPOSED RULES Hazardous Materials: Harmonization with United Nations Recommendations, International Maritime Dangerous Goods Code, etc., 52070-52138 2010-19952 NOTICES Delays in Processing of Special Permits Applications, 52057-52058 2010-20911 Postal Postal Service RULES Mailing of Cigarettes and Smokeless Tobacco Products to APO/FPO/DPO Destination Addresses, 51947-51949 2010-20835 RUS Rural Utilities Service NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals, 51977 2010-21007 SEC Securities and Exchange Commission NOTICES Self-Regulatory Organizations; Proposed Rule Changes: NASDAQ Stock Market LLC, 52049 2010-21001 SBA Small Business Administration NOTICES Disaster Declarations: Iowa (Amendment 1), 52048-52049 2010-20965 Washington, 52048 2010-20964 Surface Surface Transportation Board NOTICES Assessments of Mediation and Arbitration Procedures, 52054 2010-20924 Susquehanna Susquehanna River Basin Commission NOTICES Projects Approved for Consumptive Uses of Water, 52049-52053 2010-20943 Thrift Thrift Supervision Office NOTICES Approvals of Conversion Applications: SharePlus Federal Bank, Plano, TX, 52065 2010-20812 Transportation Transportation Department See Federal Aviation Administration See Federal Motor Carrier Safety Administration See Federal Railroad Administration See Federal Transit Administration See Maritime Administration See Pipeline and Hazardous Materials Safety Administration See Surface Transportation Board Treasury Treasury Department See Internal Revenue Service See Thrift Supervision Office Veterans Veterans Affairs Department NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Application for Reinstatement (Insurance Lapsed More than 6 Months), etc., 52066-52067 2010-20907 Application for Supplemental Service Disabled Veterans Insurance, 52066 2010-20906 Loan Service Report, 52065-52066 2010-20905 Veterans Mortgage Life Insurance Statement, 52065 2010-20904 Separate Parts In This Issue Part II Transportation Department, Pipeline and Hazardous Materials Safety Administration, 52070-52138 2010-19952 Part III Defense Department, 52140-52171 2010-20801 Part IV Commerce Department, Census Bureau, 52174-52184 2010-20808 Part V Federal Communications Commission, 52186-52209 2010-20785 Reader Aids Consult the Reader Aids section at the end of this page for phone numbers, online resources, finding aids, reminders, and notice of recently enacted public laws. To subscribe to the Federal Register Table of Contents LISTSERV electronic mailing list, go to http://listserv.access.gpo.gov and select Online mailing list archives, FEDREGTOC-L, Join or leave the list (or change settings); then follow the instructions. 75 163 Tuesday, August 24, 2010 Rules and Regulations DEPARTMENT OF AGRICULTURE Agricultural Marketing Service 7 CFR Part 46 [Document No.: AMS-FV-08-0098] RIN 0581-AC92 Perishable Agricultural Commodities Act: Increase in License Fees AGENCY: Agricultural Marketing Service, USDA. ACTION: Final rule. SUMMARY: The Department of Agriculture
(USDA)is amending the regulations issued under the Perishable Agricultural Commodities Act (PACA or Act) to increase license fees. Specifically, annual license fees of $550 are increased to $995. Fees for branch locations are increased from $200 for branch locations in excess of nine, to $600 for each branch location. The maximum amount a licensee will pay per year has increased from $4,000 to $8,000. Additionally, the regulations have been amended to remove the provisions to phase out license fees by retailers and grocery wholesalers and the provisions to phase in triennial license renewal for retailers and grocery wholesalers as these processes have been completed. Finally, the regulations have been amended to eliminate the multi-year license renewal option for commission merchants, brokers, and dealers. DATES: *Effective Date:* This rule is effective September 23, 2010, except for the amendment to § 46.6(b), which is effective on October 1, 2010. FOR FURTHER INFORMATION CONTACT: Jeffrey F. Davis, Office of the Chief, PACA Branch, Fruit and Vegetable Programs, AMS, USDA, 1400 Independence Ave., SW., Room 2098-A South Bldg., Washington, DC 20250-0242.
(202)205-7847. E-mail— *jeffrey.davis4@ams.usda.gov.* SUPPLEMENTARY INFORMATION: This rule is issued under authority of section 15 of the PACA (7 U.S.C. 499o). The Perishable Agricultural Commodities Act (PACA or Act) of 1930 establishes a code of fair trade practices covering the marketing of fresh and frozen fruits and vegetables in interstate and foreign commerce. The PACA protects growers, shippers, distributors, and retailers dealing in those commodities by prohibiting unfair and fraudulent trade practices. In this way, the law fosters an efficient nationwide distribution system for fresh and frozen fruits and vegetables, benefiting the whole marketing chain from farmer to consumer. USDA's Agricultural Marketing Service
(AMS)administers and enforces the PACA. The PACA Branch proactively works for the fruit and vegetable industry promoting interstate and foreign commerce through dispute resolution, licensing, and outreach programs facilitating fair trade practices. The PACA enforces federal regulations outside the civil court system by upholding contract requirements. The PACA also mandates full and prompt payment, removes unscrupulous individuals from the trade when needed, and provides expert advice on trust protection. The PACA Amendments of 1995 1 increased the annual license fee from $400 to $550 (up to a maximum annual fee of $4,000) for all licensees except retailers and grocery wholesalers. 2 The 1995 Amendments granted USDA the authority to increase fees through rulemaking after November 14, 1998, provided that the PACA program's operating reserves fall below 25 percent of PACA's projected annual program costs. 3 Because of the loss of revenue to the Agency caused by the amendment's requirement that fees for retailers and grocery wholesalers be phased out, PACA program budget projections for FY 2000 and 2001 indicated the program's assets would have fallen below the required 25 percent of projected expenditures in FY 2001. However, on June 20, 2000, President Clinton signed Public Law 106-224 which included $30.45 million to be deposited into USDA's PACA reserve fund on October 1, 2000, in order to maintain PACA license and complaint filing fees at their 1995 levels. 4 The one-time appropriation (expected to last a few years) has lasted almost 11 years through concentrated cost-cutting measures, including office restructuring and staff reductions. In FY 2006, the PACA Branch restructured its regional offices and consolidated nationwide licensing functions into one office, resulting in over $1 million in annual savings. In January 2000, the PACA Branch operated with 116 employees. As a result of gains in technology and office consolidations this program now employs approximately 80 full time staff members in three regional offices and Washington, DC. The 2007 U.S. Department of Commerce Bureau of Economic Analysis report indicates the total retail value of fruits and vegetables for at-home and away-from-home consumption was $80-$95 billion. The PACA Branch operating expenses in FY 2008 were $10.6 million, constituting a sound value in cost-efficiency and productivity dedicated to the service of the fruit and vegetable industry. 1 Public Law 104-48, 109 Stat. 427(1995). 2 7 U.S.C. 499c(b)(2). 3 *Id.* 4 Sec. 203, Pub. L. 106-224. During the first quarter of FY 2011, the PACA Branch operating fund will fall below 25 percent of projected annual program costs. Without a fee increase in FY 2011, the program will exhaust its reserves by the second quarter of FY 2011, and would soon need to begin reducing its level of services to the industry. Therefore, USDA is increasing the current base annual license fee for commission merchants, brokers, and dealers from $550 to $995. USDA is also increasing the current $200 additional fee for branch locations in excess of nine, to $600 for each branch location starting from the first branch. USDA is also increasing the current aggregate fee maximum from $4,000 to $8,000. The new fees are effective October 1, 2010. The license fee increase will allow the PACA Branch to maintain its current level of services through FY 2015. USDA is also amending the regulations by removing sections of 46.6(a) and 46.9(1) of the regulations (7 CFR 46.6 and 46.9(1)) that phased out license fees for retailers and grocery wholesalers and that phased in triennial license renewal for retailers and grocery wholesalers. And USDA is removing the multi-year license renewal option for commission merchants, dealers, and brokers in section 46.9(k) of the regulations (7 CFR 46.9(k)). Comments A proposed rule to amend PACA regulations was published in the **Federal Register** on March 11, 2010 (75 FR 11472). The proposal sought to amend Title 7, Part 46 to increase license fees. The comment period closed on May 10, 2010. We received timely comments from Western Growers Association (WGA), Newport Beach, California; Produce Marketing Association (PMA), Newark, Delaware; Washington State Potato Commission (WSPC), Moses Lake, Washington; and three individuals. The WGA and PMA strongly supported the PACA Branch and the proposal. The PMA and the 3,000 companies it represents—from grower-shippers and supermarket retailers to foodservice operators and importers—supports the proposed fee increases as outlined in the proposed rule. The WGA and its 2,500 members strongly support the proposed fee increase, but requested branch fees be waived on the first and second branch locations. The WGA felt reducing the current exemption from nine branches down to zero was too dramatic a change. In its unfavorable comment, Matt Harris, Director of Trade for the WSPC requested further economic analysis to identify the true impact to small business. The WPSC feels an 81% increase in fees is uncalled for. The WPSC cited 45 potato handlers in Washington State who need up to 12 different licenses and audits totaling $9,125 yearly already; adding an additional $450 in PACA fees understates the incremental impact this federal increase means to the small business owner. In response, the PACA Branch has not raised license fees since 1995. The 1995 amendments preclude PACA from increasing fees until the funds on hand as of the end of the fiscal year in which the increase will take effect will be less than 25 percent of the projected budget. The PACA Branch achieved tremendous success over the past fifteen years minimizing costs and improving service to the fruit and vegetable industry. Through the PACA Branch's use of improved technology, strong centralized management, and aggressive cost-cutting methods (including the closing of two regional offices and consolidation of licensing functions), the one-time congressional appropriation of $30.45 million expected to last a few years has lasted for over ten years. These efforts delayed the need to request a license fee increase without curtailing services, another benefit to the fruit and vegetable industry. The criteria set forth in the statute have now been met, authorizing the fee increase. The amount of the increase is necessary to permit PACA to continue to provide services to the industry at current levels. Given the above discussion, the USDA is making no change to the final rule based on this comment. In his unfavorable comment, one commenter indicated he feels the fee increase is unfair, discriminately excessive, and monopolistically disproportionate. He feels the fee increase should have been proposed gradually over ten years. The commenter also feels licensees who use PACA services should bear more of the financial burden to pay for the fee increase. As outlined previously, PACA may only by law, institute a fee increase under certain circumstances. By being PACA licensed, all PACA licensees enjoy the same benefit of the federal protection of the Act. Since 2001, over 20% of all licensees have filed an action with the PACA. Since 2004, PACA has resolved 7,660 complaints involving claims of over $155 million within four months 91% of the time. Currently 14,508 PACA licensees have a total of 5,365 branch locations. The increased branch fees will affect 1,102 licensees; 10.6% of the largest firms will bear the greatest burden of the fee increase. Based on this discussion, the USDA will be making no changes to the final rule based on this comment. Another commenter requested that the fee remain the same for small entities. Small agricultural business firms are defined by the Small Business Administration
(SBA)(13 CFR 121.601) as those whose annual receipts are less than $7,000,000. The majority of PACA licensees fall within this classification. The fee structure is designed so most firms would only see the annual license fee increase from $550 to $995. This $445 fee increase is believed to be a minor increase to operating costs for firms of all sizes. The USDA will be making no changes to the final rule based on this comment. Another commenter suggested the license fees are passed on to the consumer, the cost of commodities are too expensive now, and PACA is a burden to the people. No direct complaint against the proposed rule was provided, so the USDA will be making no changes to the final rule based on this comment. No comments were received on our proposal to remove sections of 46.6(a) of the regulations (7 CFR 46.6) that phased out license fees for retailers and grocery wholesalers, to remove section 46.9(1) (7 CFR 46.9(1)) that phased out triennial license renewal for retailers and grocery wholesalers, or to remove the multi-year license renewal option for commission merchants, dealers, and brokers in section 46.9(k) of the regulations (7 CFR 46.9(k)). Therefore, these changes are finalized as proposed. Executive Orders 12866 and 12988 This final 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. This final rule has been reviewed under Executive Order 12988, Civil Justice Reform, and is not intended to have retroactive effect. This final 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. Effects on Small Businesses Pursuant to requirements set forth in the Regulatory Flexibility Act
(RFA)(5 U.S.C. 601-612), the Agricultural Marketing Service has considered the economic impact of this final rule on small entities, and accordingly has prepared this 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. Small agricultural service firms have been defined by the Small Business Administration
(SBA)(13 CFR 121.201) as those having annual receipts of less than $7,000,000. The PACA is enforced through a licensing system and is user-fee financed primarily through a license fee. USDA's Agricultural Marketing Service administers and enforces the PACA. As of May 21, 2010 there were 14,508 PACA licensees, a majority of which may be classified as small entities. Retailers and grocery wholesalers represent 4,147 licensees. Internally, PACA refers to retailers and grocery wholesalers as “non-paying” licensees, and all other licensees as “paying.” Since November, 1998 retailers and grocery wholesalers pay a $100 application processing fee. Their PACA license is effective for three years, renewed at no cost. Retailers accounted for about 35% of program revenue before their fees were phased out by the 1995 Amendments to the Act. Today, retailers account for 28.6% of all PACA licensees. However, since only new applicants pay a processing fee, retailers contribute little to PACA's annual operating revenue. The fee increase will have no impact on operating costs of retailers and grocery wholesalers. Therefore, retailers and grocery wholesalers will not be unduly burdened by the final rule. Wholesalers, processors, food service companies, commission merchants, dealers, brokers, and truckers are considered to be dealers and subject to license when they buy or sell more than 2,000 pounds of fresh and/or frozen fruits and vegetables in any given day. This group represents the remaining 10,361 active, “paying” PACA licensees and is the only group impacted by the fee increase. While the annual revenues of this group of agricultural service firms is unknown, we estimated a significant percentage of these firms have annual receipts less than $7,000,000. Therefore, the businesses are “small businesses” within the meaning of that term in the RFA. A large number of these small agricultural service firms will be impacted by the PACA license fee increase. While the maximum amount of the PACA license fee is to be $8,000, this increase will impact a small number of larger firms with multiple branches. Currently, only 56 licensees (or 0.0039%) of all PACA licensees would pay the $8,000 maximum. The fee structure in the final rule was designed so most firms would only see the annual fee increase from $550 per year to $995. This $445 fee increase is believed to be a minor increase in operating costs to these firms and is more than offset by the protection provided to these firms under the PACA. Larger firms operating at multiple branch locations would face larger fee increases. As the renewal of PACA licenses has become highly automated and renewal notices are sent to all licensees well before the renewal date, elimination of the option biennial or triennial licenses should not impose a substantial burden upon small businesses holding such licenses. All fruit and vegetable traders that handle less than 2,000 pounds of fresh and/or frozen fruits and vegetables are exempt from the PACA license requirement and would not be subject to this fee increase. These firms would be considered very small and handle a relatively minor volume of total fresh and/or frozen fruits and/or vegetables marketed. On February 24, 2009 the USDA Fruit and Vegetable Industry Advisory Committee unanimously recommended to the Secretary of Agriculture their approval of the proposed license fee increase. Paperwork Reduction Act In accordance with Office of Management and Budget
(OMB)regulations (5 CFR part 1320) that implement the Paperwork Reduction Act of 1995 (44 U.S.C. Chapter 35), the information collection and recordkeeping requirements are currently approved under OMB number 0581-0031. The forms covered under this information collection require the minimum information necessary to effectively carry out the requirements of the order, and their use is necessary to fulfill the intent of the PACA as expressed in the order, and the rules and regulations issued under the order. E-Government Act Compliance AMS is committed to complying with the E-Government Act, which requires Government agencies in general to provide the public the option of submitting information or transacting business electronically to the maximum extent possible. License application forms are available on our PACA Web site at *http://www.ams.usda.gov/PACA* and can be printed, completed, and faxed. Currently, forms are transmitted by fax machine and postal delivery. The PACA Branch is working towards furthering the availability of online forms. List of Subjects in 7 CFR Part 46 Agricultural commodities, Brokers, Penalties, Reporting and recordkeeping requirements. For reasons set forth in the preamble, 7 CFR part 46 is amended as follows: PART 46—[AMENDED] 1. The authority citation for part 46 is revised to read as follows: Authority: 7 U.S.C. 499a-499t. 2. In § 46.6, paragraphs
(a)and
(b)are revised to read as follows: § 46.6 License fees.
(a)Retailers and grocery wholesalers making an initial application for license shall pay a $100 administrative processing fee.
(b)For commission merchants, brokers, and dealers (other than grocery wholesalers and retailers) the annual license fee is $995 plus $600 for each branch or additional business facility. In no case shall the aggregate annual fees paid by any such applicant exceed $8,000. 3. In § 46.9, paragraph
(k)is revised and paragraph
(l)is removed to read as follows: § 46.9 Termination, suspension, revocation, cancellation of licenses; notices; renewal.
(k)Only a commission merchant, broker, or dealer holding a multi-year license, prior to phase out of this option, will receive a refund if business operations cease or a change in legal status occurs that requires issuance of a new license prior to the next license renewal date. If a refund is due, it will be issued for any remaining full-year portion of advance fee paid, minus a $100 processing fee. Dated: August 17, 2010. Rayne Pegg, Administrator, Agricultural Marketing Service. [FR Doc. 2010-20978 Filed 8-23-10; 8:45 am]
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Traces to 6 documents
U.S. Code
CFR
10 references not yet in our index
- 7 CFR 46
- Pub. L. 106-224
- Pub. L. 104-48
- 109 Stat. 427
- 7 CFR 46.6
- 7 CFR 46.9(k)
- 7 CFR 46.9(1)
- 5 USC 601-612
- 5 CFR 1320
- 7 USC 499a-499t
Citation graph
cites case law
Unknown
Final rule
Cite7 CFR 46
Pub. L.Pub. L. 106-224
Pub. L.Pub. L. 104-48
Stat.109 Stat. 427
Cite7 CFR 46.6
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