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Proposed Rules
Federal Register Vol. 86, No. 42
Friday, March 5, 2021

This section of the FEDERAL REGISTER
contains notices to the public of the proposed issuance of rules and regulations. The purpose of these notices is to give interested persons an opportunity to participate in the rule making prior to the adoption of the final rules.

DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service 7 CFR Part 984
Doc. No. AMSSC200075; SC209842
PR

Walnuts Grown in California;
Decreased Assessment Rate Agricultural Marketing Service, USDA.
ACTION: Proposed rule.
AGENCY:

This proposed rule would implement a recommendation from the California Walnut Board Board to decrease the assessment rate established for the 202021 and subsequent marketing years. The proposed assessment rate would remain in effect indefinitely unless modified, suspended, or terminated.
DATES: Comments must be received by April 5, 2021.
ADDRESSES: Interested persons are invited to submit written comments concerning this proposed rule.
Comments must be sent to the Docket Clerk, Marketing Order and Agreement Division, Specialty Crops Program, AMS, USDA, 1400 Independence Avenue SW, Stop 0237, Washington, DC
202500237; Fax: 202 7208938; or internet: https www.regulations.gov.
Comments should reference the document number and the date and page number of this issue of the Federal Register and will be available for public inspection in the Office of the Docket Clerk during regular business hours, or can be viewed at: https
www.regulations.gov. All comments submitted in response to this proposed rule will be included in the record and will be made available to the public.
Please be advised that the identity of the individuals or entities submitting the comments will be made public on the internet at the address provided above.
FOR FURTHER INFORMATION CONTACT:
Bianca Bertrand, Management and Program Analyst, or Jeffery Rymer,
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SUMMARY:

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Marketing Specialist, California Marketing Field Office, Marketing Order and Agreement Division, Specialty Crops Program, AMS, USDA;
Telephone: 559 4875901, Fax: 559
4875906, or Email: Biancam.Bertrand@
usda.gov or JefferyM.Rymer@usda.gov.
Small businesses may request information on complying with this regulation by contacting Richard Lower, Marketing Order and Agreement Division, Specialty Crops Program, AMS, USDA, 1400 Independence Avenue SW, Stop 0237, Washington, DC
202500237; Telephone: 202 720
2491, Fax: 202 7208938, or Email:
Richard.Lower@usda.gov.
SUPPLEMENTARY INFORMATION: This action, pursuant to 5 U.S.C. 553, proposes an amendment to regulations issued to carry out a marketing order as defined in 7 CFR 900.2j. This proposed rule is issued under Marketing Order No. 984, as amended 7 CFR part 984, regulating the handling of walnuts grown in California. Part 984, referred to as the Order is effective under the Agricultural Marketing Agreement Act of 1937, as amended 7 U.S.C. 601674, hereinafter referred to as the Act. The Board locally administers the Order and is comprised of growers and handlers operating within the area of production, and a public member.
The Department of Agriculture USDA is issuing this proposed rule in conformance with Executive Orders 13563 and 13175. This proposed rule falls within a category of regulatory actions that the Office of Management and Budget OMB exempted from Executive Order 12866 review.
This proposed rule has been reviewed under Executive Order 12988, Civil Justice Reform. Under the Order now in effect, California walnut handlers are subject to assessments. Funds to administer the Order are derived from such assessments. It is intended that the assessment rate would be applicable to all assessable walnuts for the 202021
marketing year, and continue until amended, suspended, or terminated.
The Act provides that administrative proceedings must be exhausted before parties may file suit in court. Under section 608c15A of the Act, any handler subject to an order may file with USDA a petition stating that the order, any provision of the order, or any obligation imposed in connection with the order is not in accordance with law
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and request a modification of the order or to be exempted therefrom. Such handler is afforded the opportunity for a hearing on the petition. After the hearing, USDA would rule on the petition. The Act provides that the district court of the United States in any district in which the handler is an inhabitant, or has his or her principal place of business, has jurisdiction to review USDAs ruling on the petition, provided an action is filed not later than 20 days after the date of the entry of the ruling.
This proposed rule would decrease the assessment rate from $0.0400 per kernelweight pound assessable walnuts, the rate that was established for the 201718 and subsequent marketing years, to $0.0250 per kernelweight pound of assessable walnuts handled for the 202021 and subsequent marketing years.
The Order provides authority for the Board, with the approval of USDA, to formulate an annual budget of expenses and collect assessments from handlers to administer the program. The members are familiar with the Boards needs and with the costs of goods and services in their local area and are thus in a position to formulate an appropriate budget and assessment rate. The assessment rate is formulated and discussed in a public meeting. Thus, all directly affected persons have an opportunity to participate and provide input.
For the 201718 and subsequent marketing periods, the Board recommended, and USDA approved, an assessment rate of $0.0400 per kernelweight pound of assessable walnuts handled. That assessment rate would continue in effect from marketing year to marketing year unless modified, suspended, or terminated by USDA
upon recommendation and information submitted by the Board or other information available to USDA.
On September 11, 2020, the Board unanimously recommended 202021
expenditures of $17,990,000 and an assessment rate of $0.0250 per kernelweight pound of assessable walnuts. In comparison, last years budgeted expenditures were $25,760,000. The proposed assessment rate of $0.0250 is $0.0150 lower than the rate currently in effect. The Board recommended decreasing the assessment rate to reduce the
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