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Federal Register / Vol. 86, No. 138 / Thursday, July 22, 2021 / Proposed Rules
into the U.S., a voice on the Council.
This would realign the Councils membership to better reflect the distribution of domestic production and the quantity of imports into the U.S.
The Council conducts nominations two out of every three years. The Council is currently conducting nominations for seven member and alternate positions year-one cycle whose three-year term of office begins January 1, 2022, ending December 31, 2024. These include the four regional producer members, one exporter member, one importer member, the public member, and respective alternates. The Council will conduct nominations in 2022 for 13 member and alternate positions year-two cycle whose three-year term of office begins January 1, 2023, ending December 31, 2025. This would include one member from each of the top eight producing states, three importer members, one exporter member, the first-handler member, and respective alternates. To help ensure a smooth transition, while aligning with the Councils nomination schedule, the term of office for the recommended additional exporter member positions would begin January 1, 2023. Therefore, solicitation for the two additional exporter position nominees would be included in the nominations scheduled to be conducted in 2022. Since the first-handler member position is being replaced by one of the exporter positions, nominations for this position would not be conducted during the 2022 solicitation period. The firsthandler member and alternate member positions would terminate December 31, 2022.
USDA has recommended that the initial term of office for the two additional exporter positions would be two years, instead of the prescribed three-year term of office for all Council member and alternate positions. The additional two exporter member and alternate term of office would begin January 1, 2023, ending December 31, 2024. As noted above, the Council conducts nominations two out of every three years, with seven positions to be filled in year one, and thirteen in year two. With including the nominations for the exporter positions in the year-two cycle, total positions to be filled would be 14 of the 21-member Council. Having an initial two-year term would align these two additional exporter positions with the year-one nomination cycle, reestablishing the distribution between the two nomination cycles. Year-one nomination cycle would include solicitation for nine positions: Four regional producer member positions, one importer member position, three
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exporter member positions, one public member position, and respective alternates. The year-two nomination cycle would include solicitation for 12
positions: One member from each of the top eight producing states, three importer members, one exporter member, and respective alternates.
The 2022, 20-member Council would consist of one producer member from each of the four regions Western, Midwest, Northeast, Southern, one producer member from each of the top eight producing states, four importer members, two exporter members, firsthandler member, public member, and respective alternates.
The 2023 and subsequent 21-member Council would consist of one producer member from each of the four regions Western, Midwest, Northeast, Southern, one producer member from each of the top eight producing states, four importer members, four exporter members, one public member, and respective alternates. 7 CRF 1218.40
would be revised accordingly.
Nomination Procedures Section 1218.41 establishes the procedures for nominations to obtain Council nominees for appointment by the Secretary. Section 1218.41c provides for the nomination process for importer, exporter, first-handler, and public member and alternate positions.
Section 1218.41d requires producer, handlers, and importer nominees to be compliant with the order provisions regarding payment of assessments and filing of reports. With the replacement of the first-handler position with two exporter positions, references to firsthandler member would be removed from these sections.
Term of Office Section 1218.42 provides that Council nominations and appointments will take place in two out of every three years, with each term of office ending on December 31, and new terms of office beginning January 1. The Council recommended allowing members and their alternates to remain in office until a successor is appointed. Currently, if successors are not appointed by the January 1 date, those positions remain vacant until the successors are named.
The Order requires a minimum of 11
members to hold a Council meeting. For the nomination year with 12 positions expiring, if not appointed by the January 1 start date, the Council would be unable to meet until such appointments were made. This could cause a lapse in the Councils ability to properly administer the provisions of the Order.
Allowing members to serve until their
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successor is appointed would allow the Council to continue administration should appointments be delayed beyond the specified term of office. This change is similar to authority provided for in other research and promotion orders.
Initial 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 the proposed rule on small entities. Accordingly, AMS has considered the economic impact of this action on such 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 $1,000,000 and small agricultural service firms first handlers and importers as those having annual receipts of no more than $30
million.
There are approximately 1,547
domestic producers, 71 first handlers and 271 importers of highbush blueberries covered under the program.
Dividing the highbush blueberry crop value for 2019, $919 million,1 by the number of producers 1,547 yields an average annual producer revenue estimate of $594,053. It is estimated that in 2019, about 99 percent of the first handlers shipped under $30 million worth of highbush blueberries. Based on 2019 U.S. Border and Customs Customs data, it is estimated that over 99 percent of the importers shipped under $30 million worth of highbush blueberries. Based on the foregoing, the majority of producers, first handlers and importers may be classified as small entities. We do not have information concerning the number of exporters and their size. Comments providing any information or data concerning exporters are requested.
Regarding value of the commodity, as mentioned above, based on 2019 NASS
data, the value of the domestic highbush blueberry crop was about $919 million.
According to Customs data, the value of 2019 imports was about $1.04 billion.
It is not anticipated that this action would impose additional costs on industry members. Eligible producers, importers and exporters interested in serving on the Council would have to complete a background questionnaire.
Those requirements are addressed later in this proposal.
1 Noncitrus
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Fruits and Nuts 2019 Summary.

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