Unknown. Final rule
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/register/2013/09/30/2013-23695A 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-2013-09-30.xml --- 78 189 Monday, September 30, 2013 Contents Agricultural Marketing Agricultural Marketing Service RULES Assessment Rate Increases: Blueberry Promotion, Research and Information Order, 59775-59779 2013-23695 Agriculture Agriculture Department See Agricultural Marketing Service See Forest Service NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals, 59911 2013-23752 Arts and Humanities, National Foundation See National Foundation on the Arts and the Humanities Fiscal Bureau of the Fiscal Service NOTICES Agency Information Collection Activities;
Proposals, Submissions, and Approvals: Voluntary Customer Satisfaction Surveys, 60020 2013-23754 Centers Disease Centers for Disease Control and Prevention NOTICES Meetings: Community Preventive Services Task Force; Correction, 59939 2013-23730 Respirator Trusted-Source Mobile Application Challenge; Requirements and Registration, 59939-59941 2013-23731 Coast Guard Coast Guard RULES Nontank Vessel Response Plans and Other Response Plan Requirements, 60100-60135 2013-22059 Safety Zones:
Safety Zone, Delaware River; Wilmington, DE, 59821-59824 2013-22761 Shipping and Transportation; Technical, Organizational, and Conforming Amendments, 60138-60166 2013-22624 Special Local Regulations: Clearwater Super Boat National Championship Race; Gulf of Mexico; Clearwater, FL, 59819-59821 2013-23531 PROPOSED RULES Regulated Navigation Areas: Special Buzzards Bay Vessel Regulation, Buzzards Bay, MA, 59902-59903 2013-23716 Commerce Commerce Department See Foreign-Trade Zones Board See International Trade Administration See National Oceanic and Atmospheric Administration Committee Implementation Committee for the Implementation of Textile Agreements NOTICES Limitations of Duty- and Quota-Free Imports:
Apparel Articles Assembled in Beneficiary Sub-Saharan African Countries from Regional and Third-Country Fabric, 59917-59918 2013-23777 Defense Acquisition Defense Acquisition Regulations System RULES Defense Federal Acquisition Regulation Supplement: Acquisitions in Support of Operations in Afghanistan, 59854-59859 2013-23743 Allowability of Legal Costs for Whistleblower Proceedings, 59859-59861 2013-23764 Enhancement of Contractor Employee Whistleblower Protections, 59851-59854 2013-23768 Defense Department Defense Department See Defense Acquisition Regulations System RULES Federal Acquisition Regulations:
Allowability of Legal Costs for Whistleblower Proceedings, 60173-60174 2013-23702 Federal Acquisition Circular 2005-70; Introduction, 60168 2013-23704 Federal Acquisition Circular 2005-70; Small Entity Compliance Guide, 60174-60175 2013-23701 Pilot Program for Enhancement of Contractor Employee Whistleblower Protections, 60169-60173 2013-23703 NOTICES Meetings: Department of Defense Task Force on the Care, Management, and Transition of Recovering Wounded, Ill, and Injured Members of the Armed Forces, 59918-59919 2013-23650 Department of Transportation See Pipeline and Hazardous Materials Safety Administration Energy Department Energy Department See Federal Energy Regulatory Commission Environmental Protection Environmental Protection Agency RULES Air Quality State Implementation Plans;
Approvals and Promulgations: States of Michigan and Minnesota; Regional Haze, 59825-59839 2013-23394 West Virginia; Redesignation Request for the Wheeling, WV-OH 1997 Annual Fine Particulate Matter Nonattainment Area to Attainment and Approval, etc., 59841-59843 2013-23691 Air Quality State Implementation Plans; Revisions: California, Antelope Valley Air Quality Management District, 59840-59841 2013-23247 NOTICES Next Generation Risk Assessments: Incorporation of Recent Advances in Molecular, Computational, and Systems Biology;
External Review Draft, 59927-59929 2013-23679 Federal Aviation Federal Aviation Administration RULES Airworthiness Directives: The Boeing Company Airplanes, 59798-59805 2013-22676 2013-23464 Establishment of Class E Airspace: Cody, WY, 59805-59806 2013-23668 Glasgow, MT, 59807-59808 2013-23669 White Mountain, AK, 59806-59807 2013-23666 Standard Instrument Approach Procedures, and Takeoff Minimums and Obstacle Departure Procedures, 2013-23486 59808-59813 2013-23494 Federal Communications Federal Communications Commission RULES Operation in the 57-64 GHz Band, 59844-59850 2013-23263 PROPOSED RULES Emission Mask Requirements for Digital Technologies, etc.:
Analog FM Capability on Mutual Aid and Interoperability Channels, 59903-59906 2013-23645 NOTICES Meetings; Sunshine Act, 2013-23931 59929-59930 2013-23932 Federal Deposit Federal Deposit Insurance Corporation NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals, 59930 2013-23649 Federal Energy Federal Energy Regulatory Commission NOTICES Applications: Pershing County Water Conservation District, 59919-59920 2013-23708 Combined Filings, 59920-59922 2013-23720 2013-23721 Exempt Wholesale Generators:
Chestnut Flats Lessee, LLC, et al., 59922 2013-23749 Filings: Oncor Electric Delivery Company LLC, 59922-59923 2013-23707 Initial Market-Based Rate Filings Including Requests for Blanket Section 204 Authorization: Buffalo Dunes Wind Project, LLC, 59923 2013-23722 Mammoth Three, LLC, 59923 2013-23723 License Applications: Cave Run Energy, LLC, 59923-59924 2013-23709 Meetings: Centralized Capacity Markets in Regional Transmission Organizations and Independent System Operators; Technical Conference, 59924-59926 2013-23719 Petitions:
Clearwater Paper Corp., 59926 2013-23750 Preliminary Permit Applications: Lock Hydro Friends Fund XIX, LLC, 59926-59927 2013-23751 Requests under Blanket Authorization: ANR Pipeline Co., 59927 2013-23706 Federal Highway Federal Highway Administration NOTICES Environmental Impact Statements; Availability, etc.: Erie and Genesee Counties, NY, 60009-60010 2013-23585 Proposed Policy Guidances: Metropolitan Planning Organization Representation, 60015-60017 2013-23780 Federal Motor Federal Motor Carrier Safety Administration NOTICES Pilot Program:
North American Free Trade Agreement Trucking Provisions, 60010-60014 2013-23760 Qualification of Drivers; Exemption Applications: Diabetes Mellitus, 60014-60015 2013-23766 Federal Register Office Federal Register Office NOTICES Publication Procedures for Federal Register Documents During a Funding Hiatus, 59974-59975 2013-23713 Federal Register Administrative Federal Register, Administrative Committee See Federal Register Office Federal Reserve Federal Reserve System RULES Annual Company-Run Stress Tests at Banking Organizations with Total Consolidated Assets of more than $10 Billion but less than $50 Billion:
One-Year Transition Period to Revised Regulatory Capital Framework for 2013-2014 Stress Test Cycle, 59791-59798 2013-23619 Application of the Revised Capital Framework to the Capital Plan and Stress Test Rules, 59779-59791 2013-23618 NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals, 59930-59938 2013-23694 2013-23727 Formations of, Acquisitions by, and Mergers of Bank Holding Companies, 59938-59939 2013-23705 Federal Transit Federal Transit Administration NOTICES Proposed Policy Guidances:
Metropolitan Planning Organization Representation, 60015-60017 2013-23780 Fish Fish and Wildlife Service PROPOSED RULES Endangered and Threatened Wildlife and Plants: Threatened Status for the Rufa Red Knot (Calidris canutus rufa), 60024-60098 2013-22700 NOTICES Meetings: Advisory Council on Wildlife Trafficking, 59950-59951 2013-23937 Permit Applications: Endangered Species, 59951-59952 2013-23693 Foreign Trade Foreign-Trade Zones Board NOTICES Applications for Reorganization under Alternative Site Framework:
Foreign-Trade Zone 160, Anchorage, AK, 59914-59915 2013-23654 Forest Forest Service NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Land Management Planning, 59911-59913 2013-23767 Land Management Plans: Francis Marion National Forest, 59913-59914 2013-23761 General Services General Services Administration RULES Federal Acquisition Regulations: Allowability of Legal Costs for Whistleblower Proceedings, 60173-60174 2013-23702 Federal Acquisition Circular 2005-70;
Introduction, 60168 2013-23704 Federal Acquisition Circular 2005-70; Small Entity Compliance Guide, 60174-60175 2013-23701 Pilot Program for Enhancement of Contractor Employee Whistleblower Protections, 60169-60173 2013-23703 Health and Human Health and Human Services Department See Centers for Disease Control and Prevention See Health Resources and Services Administration See National Institutes of Health See Substance Abuse and Mental Health Services Administration Health Resources Health Resources and Services Administration NOTICES Agency Information Collection Activities;
Proposals, Submissions, and Approvals, 59941-59943 2013-23772 2013-23774 Homeland Homeland Security Department See Coast Guard See U.S. Customs and Border Protection Housing Housing and Urban Development Department PROPOSED RULES Qualified Mortgage Definition for HUD Insured and Guaranteed Single Family Mortgages, 59890-59902 2013-23472 NOTICES Section 8 Housing Assistance Payments Program: Annual Factors for Determining Public Housing Agency Administrative Fees; Choice Voucher and Moderate Rehabilitation Programs, 59949 2013-23748 Interior Interior Department See Fish and Wildlife Service See Land Management Bureau See National Park Service See Ocean Energy Management Bureau NOTICES Meetings:
Wildland Fire Executive Council, 59949-59950 2013-23765 Internal Revenue Internal Revenue Service NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Entry of Taxable Fuel; Regulations Removal, 60021 2013-23546 International Trade Adm International Trade Administration NOTICES Antidumping Duty New Shipper Reviews; Results, Extensions, Amendments, etc.: Frozen Fish Fillets from the Socialist Republic of Vietnam, 59915-59916 2013-23786 Applications for Duty-Free Entry of Scientific Instruments, 59916 2013-23778 International Trade Com International Trade Commission NOTICES Antidumping and Countervailing Duty Investigations;
Results, Extensions, Amendments, etc.: Drill Pipe and Drill Collars from China, 59972-59973 2013-23747 Complaints: Certain Navigation Products, Including GPS Devices, Navigation and Display Systems, Radar Systems, Navigational Aids, Mapping Systems and Related Software, 59973-59974 2013-23674 Justice Department Justice Department RULES United States Marshals Service Fees for Services, 59817-59819 2013-23692 Land Land Management Bureau NOTICES National Petroleum Reserve—Alaska Oil and Gas Lease Sale 2013:
Detailed Statement of Sale, 59952-59953 2013-23776 Maritime Maritime Administration NOTICES Requested Administrative Waivers of the Coastwise Trade Laws: Vessel GENESIS, 60018-60019 2013-23735 Vessel HOOKED FOR REEL, 60018 2013-23734 NASA National Aeronautics and Space Administration RULES Federal Acquisition Regulations: Allowability of Legal Costs for Whistleblower Proceedings, 60173-60174 2013-23702 Federal Acquisition Circular 2005-70; Introduction, 60168 2013-23704 Federal Acquisition Circular 2005-70;
Small Entity Compliance Guide, 60174-60175 2013-23701 Pilot Program for Enhancement of Contractor Employee Whistleblower Protections, 60169-60173 2013-23703 NOTICES Centennial Challenges 2014 Unmanned Aircraft Systems Airspace Operations Challenge, 59974 2013-23757 National Archives National Archives and Records Administration See Federal Register Office RULES Fees, 59824-59825 2013-23904 National Credit National Credit Union Administration NOTICES Agency Information Collection Activities;
Proposals, Submissions, and Approvals, 59975-59978 2013-23802 2013-23803 2013-23806 National Foundation National Foundation on the Arts and the Humanities NOTICES Meetings: Arts Advisory Panel, 59978 2013-23724 National Highway National Highway Traffic Safety Administration RULES New Car Assessment Program, 59866-59878 2013-23700 NOTICES Petitions for Decisions of Inconsequential Noncompliance: General Motors, LLC, 60019-60020 2013-23663 National Institute National Institutes of Health NOTICES Agency Information Collection Activities;
Proposals, Submissions, and Approvals: Interactive Informed Consent for Pediatric Clinical Trials, 59943-59944 2013-23755 Meetings: National Institute of Arthritis and Musculoskeletal and Skin Diseases Special Emphasis Panel, 59945 2013-23640 National Institute of Diabetes and Digestive and Kidney Diseases, 59945 2013-23641 National Institute of Environmental Health Sciences Special Emphasis Panel Programs in Superfund and Related Sites, 59944-59945 2013-23639 National Institute of Mental Health Special Emphasis Panel, 59944 2013-23638 National Institute of Neurological Disorders and Stroke, 59945-59946 2013-23637 National Oceanic National Oceanic and Atmospheric Administration RULES Atlantic Highly Migratory Species:
Commercial Atlantic Aggregated Large Coastal Shark, Atlantic Hammerhead Shark, etc., Management Groups; Closures, 59878-59879 2013-23741 PROPOSED RULES Endangered and Threatened Species: Designation of Critical Habitat for the Northwest Atlantic Ocean Loggerhead Sea Turtle Distinct Population Segment, etc., 59907-59908 2013-23715 Fisheries of the Exclusive Economic Zone Off Alaska: Bering Sea and Aleutian Islands Management Area; Amendment 99, 59908-59910 2013-23770 NOTICES Meetings:
Caribbean Fishery Management Council, 59917 2013-23763 South Atlantic Fishery Management Council, 59916-59917 2013-23762 National Park National Park Service NOTICES Inventory Completions: Colorado State University, Fort Collins, CO, 59960-59961 2013-23824 Fort Lewis College, Durango, CO; Correction, 59966 2013-23816 Michigan State Police, Jackson Post, Jackson, MI, 59966-59967 2013-23812 Michigan State Police, Mount Pleasant Post, Mount Pleasant, MI, 59954-59955 2013-23814 Michigan State University Museum, East Lansing, MI, 59958 2013-23820 Thomas Burke Memorial Washington State Museum, University of Washington, Seattle, WA, 59955-59956 2013-23817 Thomas Burke Memorial Washington State Museum, University of Washington, Seattle, WA, and Central Washington University, Ellensburg, WA, 59956-59957, 59963-59965 2013-23821 2013-23822 2013-23823 Thomas Burke Memorial Washington State Museum, University of Washington, Seattle, WA;
Correction, 59955 2013-23813 Tumacacori National Historical Park, Tumacacori, AZ; Correction, 2013-23797 59953, 59967-59968 2013-23800 U.S. Department of Agriculture, Forest Service, Coconino National Forest, Flagstaff, AZ, and Sharlot Hall Museum, Prescott, AZ, 59953-59954 2013-23811 U.S. Department of the Interior, Bureau of Land Management, Nevada State Office, Reno, NV, 59958-59960 2013-23818 University of Massachusetts Amherst, Department of Anthropology, Amherst, MA, 59962-59963 2013-23815 Repatriations of Cultural Items:
Bureau of Indian Affairs, Washington, DC, and Arizona State Museum, University of Arizona, Tucson, AZ, 59968 2013-23819 National Science National Science Foundation NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals, 59978-59979 2013-23769 Antarctic Conservation Act Permits, 59979 2013-23718 Nuclear Regulatory Nuclear Regulatory Commission NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals, 59979-59981 2013-23661 2013-23662 Proposed Revision to Physical Security:
Standard Design Certification and Operating Reactors, 59981 2013-23756 Revisions to Radiation Protection, 59982-59983 2013-23758 Ocean Energy Management Ocean Energy Management Bureau NOTICES Commercial Leases: Wind Power on the Outer Continental Shelf Offshore Oregon, 59968-59972 2013-23699 Personnel Personnel Management Office NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Occupational Questionnaire, 59983 2013-23836 Questionnaire for Non-Sensitive Positions, 59983-59984 2013-23833 Standard Form 86 Certification, 59984-59985 2013-23835 Pipeline Pipeline and Hazardous Materials Safety Administration PROPOSED RULES Pipeline Safety:
Class Location Requirements, 59906-59907 2013-23798 Securities Securities and Exchange Commission RULES Registration of Municipal Advisors; Extension, 59814-59817 2013-23519 NOTICES Applications: Variable Insurance Trust, et al., 59985-59991 2013-23687 Charter Renewals: Advisory Committee on Small and Emerging Companies, 59991-59992 2013-23696 Meetings; Sunshine Act, 59992 2013-23954 Self-Regulatory Organizations; Proposed Rule Changes: BOX Options Exchange LLC, 59998-60001 2013-23686 Financial Industry Regulatory Authority, Inc., 59995-59997, 60003-60005 2013-23681 2013-23683 Fixed Income Clearing Corp., 60002-60003 2013-23682 New York Stock Exchange LLC, 59992-59994 2013-23685 Options Clearing Corp., 59994-59995 2013-23684 The NASDAQ Stock Market, LLC, 60005-60008 2013-23729 Small Business Small Business Administration RULES Small Business Subcontracting;
Correction, 59798 2013-23257 NOTICES Disaster Declarations: Colorado; Amendment 1, 60008 2013-23697 Colorado; Amendment 2, 60008 2013-23698 State Department State Department NOTICES Agency Information Collection Activities; Proposals, Submissions, and Approvals: Application for U.S. Passport, 60008-60009 2013-23738 Substance Substance Abuse and Mental Health Services Administration NOTICES Laboratories and Instrumented Initial Testing Facilities Which Meet Minimum Standards to Engage in Urine Drug Testing for Federal Agencies, 59946-59947 2013-23746 Textile Agreements Implementation Committee See Committee for the Implementation of Textile Agreements Transportation Department Transportation Department See Federal Aviation Administration See Federal Highway Administration See Federal Motor Carrier Safety Administration See Federal Transit Administration See Maritime Administration See National Highway Traffic Safety Administration See Pipeline and Hazardous Materials Safety Administration PROPOSED RULES Enhanced Consumer Protections for Charter Air Transportation, 59880-59890 2013-23142 Treasury Treasury Department See Bureau of the Fiscal Service See Internal Revenue Service Customs U.S.
Customs and Border Protection NOTICES Commercial Gaugers and Laboratories: Inspectorate America Corp., 59947-59949 2013-23736 2013-23740 2013-23742 2013-23744 2013-23745 Veteran Affairs Veterans Affairs Department RULES Acquisition Regulations: Service-Disabled Veteran-Owned and Veteran-Owned Small Business Status Protests, 59861-59866 2013-23759 Separate Parts In This Issue Part II Interior Department, Fish and Wildlife Service, 60024-60098 2013-22700 Part III Homeland Security Department, Coast Guard, 60100-60135 2013-22059 Part IV Homeland Security Department, Coast Guard, 60138-60166 2013-22624 Part V Defense Department, 60168-60175 2013-23702 2013-23704 2013-23701 2013-23703 General Services Administration, 60168-60175 2013-23702 2013-23704 2013-23701 2013-23703 National Aeronautics and Space Administration, 60168-60175 2013-23702 2013-23704 2013-23701 2013-23703 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. 78 189 Monday, September 30, 2013 Rules and Regulations DEPARTMENT OF AGRICULTURE Agricultural Marketing Service 7 CFR Part 1218 [Document Number AMS-FV-12-0062] Blueberry Promotion, Research and Information Order; Assessment Rate Increase AGENCY:
Agricultural Marketing Service. ACTION: Final rule. SUMMARY: This rule amends the Blueberry Promotion, Research and Information Order (Order) to increase the assessment rate from $12 to $18 per ton (an increase of $0.003 per pound). The Order is administered by the U.S. Highbush Blueberry Council (USHBC) with oversight by the U.S. Department of Agriculture (USDA). Under the program, assessments are collected from domestic producers and importers and used for research and promotion projects designed to maintain and expand the market for highbush blueberries in the United States and abroad.
Additional funds will allow the USHBC to expand its health research activities and promotional efforts. The USHBC uses its health information in its promotion messaging to help build demand for blueberries. Increasing demand will help move the growing supply of blueberries, which will benefit producers and consumers. DATES: *Effective Date:* January 1, 2014. FOR FURTHER INFORMATION CONTACT: Maureen T. Pello, Marketing Specialist, Research and Promotion Division, Fruit and Vegetable Program, AMS, USDA, P.O.
Box 831, Beavercreek, Oregon, 97004; telephone:
(503)632-8848; facsimile
(503)632-8852; or electronic mail: *Maureen.Pello@ams.usda.gov.* SUPPLEMENTARY INFORMATION: This rule is issued under the Order (7 CFR part 1218). The Order is authorized under the Commodity Promotion, Research, and Information Act of 1996 (1996 Act) (7 U.S.C. 7411-7425). Executive Order 12866 The Office of Management and Budget
(OMB)has waived the review process required by Executive Order 12866 for this action. Executive Order 13175 This action has been reviewed in accordance with the requirements of Executive Order 13175, Consultation and Coordination with Indian Tribal Governments. The review reveals that this regulation will not have substantial and direct effects on Tribal governments and will not have significant Tribal implications. Executive Order 12988 This rule has been reviewed under Executive Order 12988, Civil Justice Reform. It is not intended to have retroactive effect. Section 524 of the 1996 Act (7 U.S.C. 7423) provides that it shall not affect or preempt any other Federal or State law authorizing promotion or research relating to an agricultural commodity. Under section 519 of the 1996 Act (7 U.S.C. 7418), a person subject to an order may file a written petition with USDA stating that an order, any provision of an order, or any obligation imposed in connection with an order, is not established in accordance with the law, and request a modification of an order or an exemption from an order. Any petition filed challenging an order, any provision of an order, or any obligation imposed in connection with an order, shall be filed within two years after the effective date of an order, provision, or obligation subject to challenge in the petition. The petitioner will have the opportunity for a hearing on the petition. Thereafter, USDA will issue a ruling on the petition. The 1996 Act provides that the district court of the United States for any district in which the petitioner resides or conducts business shall have the jurisdiction to review a final ruling on the petition, if the petitioner files a complaint for that purpose not later than 20 days after the date of the entry of USDA's final ruling. Background This rule amends the Order to increase the assessment rate from $12 to $18 per ton (an increase of $0.003 per pound). The Order is administered by the USHBC with oversight by USDA. Under the program, assessments are collected from domestic producers and importers and used for research and promotion projects designed to maintain and expand the market for highbush blueberries in the United States and abroad. Additional funds will enable the USHBC to expand its health research activities and promotional efforts. The USHBC uses its health information in its promotion messaging to help build demand for blueberries. Increasing demand will help move the growing supply of blueberries, which will benefit producers and consumers. This action was unanimously recommended by the USHBC. The Order specifies that the funds to cover the USHBC's expenses shall be paid from assessments on producers and importers, donations from persons not subject to assessments and from other funds available to the USHBC. First handlers are responsible for collecting and submitting reports and producer assessments to the USHBC. Handlers must also maintain records necessary to verify their reports. Importers are responsible for paying assessments to the USHBC on highbush blueberries imported into the United States through U.S. Customs and Border Protection (Customs). The Order also provides for two exemptions. Producers and importers who produce or import less than 2,000 pounds of blueberries annually, and producers and importers of 100 percent organic blueberries are exempt from the payment of assessments. Section 1218.52(c) of the Order specifies that assessments shall be levied at a rate of $12 per ton on all highbush blueberries. The assessment rate may be modified with the approval of the Secretary. The $12 per ton assessment rate has been in effect since the Order's inception in 2000. The USHBC's fiscal year runs from January 1 through December 31. USHBC expenditures have ranged from $1,522,519 in 2004 to $3,931,296 in 2012. Expenditures for health and nutrition research have ranged from $113,880 in 2004 (7.5 percent of total expenses) to $668,059 in 2011/2012 (17.0 percent of total expenses). USHBC expenditures for health messaging and promotion activities have ranged from $920,020 in 2004 (60.4 percent of total expenses) to $2,820,817 in 2012 (71.8 percent of total expenses). Pursuant to section 1218.50(i) of the Order, administrative expenditures have been under 15 percent of total expenses annually. USHBC assessment income has ranged from $1,435,989 in 2004 ($1,080,230 in domestic assessments and $355,759 in import assessments) to $4,051,836 in 2012 ($2,434,646 in domestic assessments and $1,601,966 in import assessments). Additionally, pursuant to section 1218.50(j) of the Order, the USHBC maintains a monetary reserve with funds that do not exceed one fiscal period's budget. USHBC 2012 Recommendation The USHBC met on October 5, 2012, and unanimously recommended increasing its assessment rate from $12 to $18 per ton ($0.006 to $0.009 per pound). This equates to an increase of $6 per ton, or $0.003 per pound. Additional funds would enable the USHBC to expand its health research activities and promotional efforts. Since the program's inception, the USHBC has funded several health and nutrition research projects, many of them laboratory studies. USHBC research has shown possibilities relating to various health issues, including cardiovascular health and cancer. However, most of these preliminary findings have been done under laboratory conditions. Additional funds will allow the USHBC to incorporate specific areas of research into expanded clinical (human) trials. Clinical trials are important for the industry to be able to make health claims according to the Federal Trade Commission
(FTC)and the Food and Drug Administration
(FDA)requirements for the advertising of food. The USHBC uses its health information in its promotion messaging to help build demand for blueberries. Increasing demand will help move the growing supply of blueberries. Worldwide highbush blueberry production has grown from 393 million pounds in 2005 to 753 million pounds in 2010. Production is expected to increase to 1 billion pounds in 2013 and to nearly 1.4 billion pounds by 2015. 1 World highbush blueberry acreage grew from approximately 50,000 acres in 1995 to over 190,000 acres in 2010. 2 North American highbush blueberry acreage increased by over 55 percent from 71,075 acres in 2005 to 110,290 acres in 2010. 3 1 Brazelton, C., World Blueberry Acreage & Production, 2011, Brazelton Ag Consulting, p. 49. 2 Brazelton, World Blueberry Acreage & Production, p. 43. 3 Brazelton, World Blueberry Acreage & Production, p. 42. With highbush blueberry production expected to increase more than 38 percent by 2015, the USHBC hopes to increase consumption among existing blueberry consumers and to attract new blueberry users. Per capita consumption of blueberries increased from 15.7 ounces in 2000 to 31.4 ounces in 2009. 4 According to the North American Blueberry Council, U.S. per capita consumption is now estimated at 36.2 ounces. In order to maintain a balance between supply and demand, a 38 percent increase in per capita consumption would equate to a level of 50 ounces per person by 2015. 4 Kaiser, Henry M., An Economic Analysis of Domestic Market Impacts of the U.S. Highbush Blueberry Council, 2010, Cornell University, p. 3. At the $18 per ton assessment rate and assessable tonnage ranging from 350,000 to 500,000 tons (700 million to 1 billion pounds), assessment income could range from $6.3 million to $9 million annually. As an example, if 15 percent of the budget was allocated to health and nutrition research and 60 percent were allocated to promotion, funds available for health and nutrition research could range from $945,000 to $1.35 million annually and funds available for health messaging and promotion could range from $3.78 million to $5.4 million annually. In light of the need to allocate more funds towards health research activities and continue to build demand for blueberries, the USHBC recommended increasing the assessment rate under the Order from $12 to $18 per ton (or by $0.003 per pound). Section 1218.52(c) of the Order is amended accordingly. Changes are also made to section 1218.52(d)(2) to update the listed Harmonized Tariff Schedule of the United States (HTSUS) numbers; this change is administrative in nature and has no impact on the assessment rate. Final Regulatory Flexibility Act Analysis In accordance with the Regulatory Flexibility Act
(RFA)(5 U.S.C. 601-612), AMS is required to examine the impact of this rule on small entities. Accordingly, 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 businesses subject to such actions so that small businesses will not be disproportionately burdened. The Small Business Administration defines, in 13 CFR Part 121, small agricultural producers as those having annual receipts of no more than $750,000 and small agricultural service firms (first handlers and importers) as those having annual receipts of no more than $7.0 million. There are approximately 2,000 domestic producers, 78 first handlers and 194 importers of highbush blueberries covered under the program. Dividing the highbush blueberry crop value for 2012 reported by the National Agricultural Statistics Service
(NASS)of $781,808,000 5 by the number of producers (2,000) yields an average annual producer revenue estimate of $390,904. It is estimated that in 2012, about 68 percent of the first handlers shipped under $7 million worth of highbush blueberries. Based on 2012 Customs data, it is estimated that 90 percent of the importers shipped under $7 million worth of highbush blueberries. Based on the foregoing, the majority of producers, first handlers and importers may be classified as small entities. 5 Noncitrus Fruits and Nuts 2012 Summary, January 2013, USDA, National Agricultural Statistics Service, p. 10. Regarding value of the commodity, as mentioned above, based on 2012 NASS data, the value of the domestic highbush blueberry crop was about $782 million. According to Customs data, the value of 2012 imports was about $515 million. This rule amends section 1218.52(c) of the Order to increase the assessment rate from $12 to $18 per ton (an increase of $0.003 per pound). The Order is administered by the USHBC with oversight by USDA. Under the program, assessments are collected from domestic producers and importers and used for research and promotion projects designed to maintain and expand the market for highbush blueberries in the United States and abroad. Additional funds will enable the USHBC to expand its health research activities and promotional efforts. The USHBC uses its health information in its promotion messaging to help build demand. Increasing demand will help move the growing supply of blueberries, which will benefit producers and consumers. This rule also updates the HTSUS numbers listed in section 1218.52(d)(2). Authority for this action is provided in section 1218.52(c) of the Order and section 517 of the 1996 Act. Regarding the economic impact of this rule on affected entities, this action increases the assessment obligation on domestic producers and importers. While assessments impose additional costs on producers and importers, the costs are minimal and uniform on all. The costs are also offset by the benefits derived from the operation of the program. It is estimated that 1,857 producers and 173 importers pay assessments under the program. There have been two economic studies conducted since the Order's inception that evaluated the effectiveness of the USHBC's promotion program. The studies were conducted by Dr. Harry M. Kaiser at Cornell University in 2005 and 2010 and are both titled “An Economic Analysis of Domestic Market Implications of the U.S. Highbush Blueberry Council.” These studies may be obtained from Maureen Pello at the previously mentioned address in the FOR FURTHER INFORMATION CONTACT section. The 2005 study evaluated the program from 2001-2004 and the 2010 study evaluated the program from 2001-2009. The purpose of the research was twofold:
(1)To determine the domestic market implications of the USHBC's promotion program and
(2)to complete a benefit-cost ratio (rate of return) for the promotion activities conducted by the USHBC. The impact of the USHBC's export marketing activities was not evaluated because most of the USHBC's marketing budget has been invested in the United States (about 90 percent). To assess the impact of the USHBC's domestic promotion activities on blueberry sales (a measure of demand), an econometric demand model was developed for blueberry sales in the United States. The model allowed the impact of the USHBC's generic promotion activities to be estimated while taking into account the impact of other factors that influence demand. These other factors include the price of blueberries, the price of blueberry substitutes, population, and consumer taste and preferences. 6 The research shows that the USHBC's promotion activities increased total blueberry sales by 441 million pounds in total, or 49 million pounds per year from 2001 through 2009. This represents an annual increase in blueberry sales of 12.3 percent. Thus, the promotional spending by the USHBC has a positive effect on domestic highbush blueberry demand. 6 The econometric model used statistical methods with time series data to measure how strongly the various blueberry demand factors are correlated with sales in the United States. The results also indicate that generic blueberry promotion by the USHBC has had a positive impact on the blueberry producers' price. Specifically, from 2001 to 2009, the average increase in price ranged from 14 cents per pound in the case of the least elastic supply response to 5 cents per pound in the case of the most elastic supply response. 7 The average impact over all supply responses was 8.4 cents per pound. In other words, had there been no generic blueberry promotion by the USHBC, the average producers' price would have been 8.4 cents per pound, or 7.2 percent lower than it was from 2001 through 2009. 7 Price elasticity of supply is a measure used in economics to show the responsiveness, or elasticity, of the quantity supplied/produced of a good or service to a change in price. When the coefficient is less than one, the supply can be described as inelastic. When the coefficient is greater than one, the supply can be described as elastic. The studies also show that USHBC promotion efforts have had a positive impact on producer surplus (i.e., producer profits) from 2001 through 2009. The average increase in producer surplus due to generic blueberry promotion by the USHBC ranged from $5.4 million per year, in the case of the least elastic supply response, to $1.9 million per year, in the case of the most elastic supply response. The average increase in producer surplus over all supply responses was $3.2 million per year. Thus, the studies concluded that the domestic promotion efforts of the USHBC have had a positive impact on producer profits since 2001. An average benefit-cost ratio
(BCR)for the USHBC's generic promotion activities was also computed. The BCR measures the net benefits of the program, which is equal to the gain in producer surplus divided by the cost of the marketing program. The BCR exceeded 1.0 for every supply response considered in Dr. Kaiser's study. 8 For the least elastic supply response, the average BCR was 15.41. This implies that, on average from 2001-2009, the benefits of the USHBC promotion program has been over 15 times greater than the costs. At the opposite end of the spectrum in the supply response, the average BCR was computed to be 5.36, implying that the benefits of the USHBC were over five times greater than the costs. Given the wide range of supply responses considered in the analysis, and the fact that the BCR was above 1.0 in all cases, there is significant evidence that the USHBC's promotion programs have been profitable for the domestic blueberry industry. The average BCR over all supply responses was 9.12 (i.e., the benefits of the promotion activities of the USHBC exceeded the costs by nine-fold). 8 Kaiser, An Economic Analysis, 2010, p. 24. To calculate the percentage of producer revenue represented by the assessment rate, the $18 per ton ($0.009 per pound) assessment rate is divided by the average producer price. According to the NASS, the average producer price ranged from $1.85 per pound in 2011 ($2.14 per pound for fresh and $1.28 per pound for processed) to $1.69 per pound in 2012 ($2.19 per pound for fresh and $0.923 per pound for processed). 9 Thus, the assessment rate as a percentage of producer price could range from 0.486 to 0.532 percent (or from 0.420 to 0.411 percent for fresh and from 0.703 to 0.975 percent for processed). 9 Noncitrus Fruits and Nuts, p. 35. In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C. Chapter 35), the information collection and recordkeeping requirements that are imposed by the Order have been approved previously under OMB control number 0581-0093. This rule does not change the information collection and recordkeeping requirements previously approved and imposes no additional reporting and recordkeeping burden on blueberry producers, first handlers and importers. As with all Federal promotion programs, reports and forms are periodically reviewed to reduce information requirements and duplication by industry and public sector agencies. Finally, USDA has not identified any relevant Federal rules that duplicate, overlap, or conflict with this rule. AMS is committed to complying with the E-Government Act, to promote the use of the Internet and other information technologies to provide increased opportunities for citizen access to Government information and services, and for other purposes. Regarding alternatives, the USHBC has been considering an increase in the assessment rate for the past few years. The USHBC reviewed rates ranging from maintaining the status quo at $12 per ton to doubling the rate to $24 per ton. In 2009, the USHBC recommended increasing the rate to $24 per ton. Two members opposed the increase because a rate of $18 per ton had been discussed at previous meetings and communicated to producers. USDA published a proposed rule for public comment in July 2009 (74 FR 36955; July 27, 2009) and ultimately withdrew the proposed rule in February 2010 based on the comments received (75 FR 7985; February 23, 2010). Since that time, the USHBC and its committees have continued to discuss the need to increase the assessment rate. USHBC representatives have met with various producer associations and discussed this issue with their members as well as with importers. Ultimately the USHBC unanimously recommended increasing the rate to $18 per ton at its October 2012 meeting. A proposed rule concerning this action was published in the **Federal Register** on May 20, 2013 (78 FR 29258). USDA mailed copies of the rule to all known highbush blueberry producers and importers of record. The USHBC included notifications about the proposed rule in its newsletters and also mailed related information to producers and importers. Finally, the proposal was made available through the Internet by USDA and the Office of the Federal Register. A 60-day comment period ending July 19, 2013, was provided to allow interested persons to submit comments. Analysis of Comments One hundred and sixty eight comments were received in response to the proposed rule; 137 supported the increase (119 were a form letter), 29 were opposed and 2 commented without taking a position on the action. The comments are addressed in the following paragraphs. Comments in Support The 137 comments which supported increasing the assessment rate stated that additional funds would allow the USHBC to expand its promotion and health research efforts at a time when supplies are dramatically increasing. According to the commenters, North American highbush blueberry acreage has increased from 71,075 acres in 2005 to about 123,635 acres in 2012, a 74 percent increase in seven years. Newly planted acres and enhancement of existing acres has led to successive records in North American highbush blueberry production, which was about 589 million pounds in 2012, a 93 percent increase over the estimated 305 million pounds produced in 2005. Production could reach 735 million pounds by 2015. The commenters stated that, with the increase in supply, there is a need to significantly increase domestic per capita consumption from its current level of about 36 ounces per person to a projected 50 ounces per person, a 38 percent increase. The commenters stated that additional funds would allow the USHBC to expand its health research efforts and move to more extensive human clinical trials. Funds would also allow for continued education about blueberries and to elevate awareness and maintain consumer confidence. One commenter supported doubling the assessment rate. Comments Opposed Twenty-nine comments received were opposed to increasing the assessment rate. Eleven commenters argued that increasing the assessment rate is not needed because the increase in blueberry supply will automatically bring additional funds to the USHBC to support its activities. USDA concurs that the current assessment rate of $12 per ton on the level of production over the next few years will increase USHBC income. At the $12 per ton rate and assessable tonnage ranging from 350,000 to 500,000 tons (700 million to 1 billion pounds), assessment income would range from $4.2 million to $6 million annually. While higher assessable volumes compute to more USHBC income, maintaining the $12 per assessment rate will not generate the amount of money necessary to fund expensive human clinical trials and conduct promotion activities needed to continue to build demand to move the growing supply of blueberries. Three commenters argued that a better use of assessment funds would be to study challenges like the spotted wing drosophila
(SWD)and other industry problems. While the majority of USHBC funds are used for health research and promotion, the USHBC does invest in other areas. For example, the USHBC's Good Practices Committee is tasked with educating growers and handlers about best practices regarding food production and is reviewing issues like the SWD. In an effort to explore cost savings measures for the industry, the USHBC recently funded a research project related to the mechanical harvesting of blueberries. Thus, the USHBC does address other issues, provided they are within the scope of the Order's authority. Four commenters argued that an assessment rate increase would hurt small growers. One commenter recommended that the rate be increased only for large growers, as an example, the top 10 percent by acreage or something similar. Section 1218.53(a) of the Order in fact provides that small growers who produce less than 2,000 pounds of blueberries annually are exempt from the payment of assessments. USDA reviewed data for the top 10 percent of growers by acreage and concluded that not enough assessment income would be generated for the USHBC to fund expanded human clinical trials and conduct promotion activities needed to build demand and move the growing supply of blueberries. While the increased assessment rate will impose an additional cost on growers, it is estimated to be less than 1 percent of the producer price. Additionally, the two economic studies by Dr. Kaiser cited earlier in this rule have indicated that generic blueberry promotion by the USHBC has had a positive impact on producer prices. Specifically, had there been no generic blueberry promotion by the USHBC, the average producers' price would have been 8.4 cents per pound, or 7.2 percent lower than it was from 2001 through 2009. One commenter expressed concern that the USHBC spends most of its promotion funds on the prepared foods industry, baking, catering, restaurant services where blueberry alternatives are accepted practices due to a lack of demand and education of the consumer. The USHBC allocates funds to several promotion areas. In 2013, the USHBC budgeted $2.505 million for market promotion and publicity. Of that $2.505 million, $1.67 million (or almost 67 percent) is for consumer/food service publicity, $400,000 is for food manufacturing publicity, and $325,000 is for export market promotion. Thus, a significant portion of the USHBC's program targets consumers. Two commenters expressed concern that the USHBC does not actively promote U.S. grown blueberries but rather blueberries in general. Some commenters also argued that U.S. growers are unfairly assessed for the promotion of poor quality imports. Under the Order, U.S. growers as well as importers of highbush blueberries must pay assessments. Over one-third of the USHBC's assessments are derived from imports. Thus, with both U.S. growers and importers paying into the program, promotion campaigns must be designed to benefit all blueberries. One commenter argued that the USHBC is a bureaucracy that should be cut and that it gouges the U.S. tax payer and growers. Another commenter also expressed concern about costs associated with USHBC meetings. Research and promotion programs overseen by USDA are self-help programs funded by their respective industries and do not receive taxpayer funds. While the increased assessment rate will impose an additional cost on growers, it is estimated to be less than 1 percent of the producer price. Regarding USHBC meetings, the USHBC holds two meetings per year, one in a blueberry producing area which allows industry members across the country to attend the meeting and the second whenever possible near an airport hub to limit travel costs. Travel costs are considered administrative and section 1218.50(i) of the Order limits administrative costs to 15 percent of a fiscal year's available income. In 2012, the USHBC's administrative costs were 7.46 percent of available income, much lower than the Order's threshold. No changes have been made to the proposed rule based on these opposing comments. Other Comments Two comments were received that did not take a position on the proposed assessment rate increase. One commenter stated that she supports promoting blueberries. Another commenter asked about the amount of funds used for administration versus promotion, hoping that at least 75 percent of the funds are used for promotion, research and information projects. As previously mentioned, section 1218.50(i) limits the funds that the USHBC can spend for administration to 15 percent of available income for the year. In 2012, the USHBC's administrative costs were 7.46 percent of available income, much lower than the Order's threshold. USHBC 2012 actual program expenses were almost 80 percent of its total expenditures. After consideration of all relevant matters presented, including the information and recommendation submitted by the USHBC and other available information, it is hereby found that this rule, as hereinafter set forth, is consistent with and would effectuate the purposes of the 1996 Act. List of Subjects in 7 CFR Part 1218 Administrative practice and procedure, Advertising, Consumer information, Marketing agreements, Blueberry promotion, Reporting and recordkeeping requirements. For the reasons set forth in the preamble, Part 1218, Chapter XI of Title 7 is amended as follows: PART 1218—BLUEBERRY PROMOTION, RESEARCH, AND INFORMATION ORDER 1. The authority citation for 7 CFR part 1218 continues to read as follows: Authority: 7 U.S.C. 7411-7425; 7 U.S.C. 7401. 2. In § 1218.52, paragraph
(c)and the first sentence of paragraph (d)(2) are revised to read as follows: § 1218.52 Assessments.
(c)Such assessments shall be levied at a rate of $18 per ton (or $0.01984 per kg) on all blueberries. The assessment rate will be reviewed, and may be modified with the approval of the Secretary.
(d)* * *
(2)The import assessment shall be uniformly applied to imported fresh and frozen blueberries that are identified by the numbers 0810.40.0029 and 0811.90.2028, respectively, in the Harmonized Tariff Schedule of the United States or any other numbers used to identify fresh and frozen blueberries. * * * Dated: September 24, 2013. Rex A. Barnes, Associate Administrator. [FR Doc. 2013-23695 Filed 9-27-13; 8:45 am]
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- 7 CFR 1218
- 7 USC 7411-7425
- 5 USC 601-612
- 13 CFR 121
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