[Federal Register Volume 59, Number 6 (Monday, January 10, 1994)] [Proposed Rules] [Pages 1307-1308] From the Federal Register Online via the Government Publishing Office [www.gpo.gov] [FR Doc No: 94-427] [[Page Unknown]] [Federal Register: January 10, 1994] ----------------------------------------------------------------------- DEPARTMENT OF AGRICULTURE 7 CFR Part 1094 [DA-94-06] Milk in the New Orleans-Mississippi Marketing Area; Proposed Suspension of a Provision of the Order AGENCY: Agricultural Marketing Service, USDA. ACTION: Proposed suspension of rule. ----------------------------------------------------------------------- SUMMARY: This document invites written comments on a proposal to suspend, for 23 months, the 45 percent delivery requirement for a plant operated by a cooperative association that is located within the New Orleans-Mississippi marketing area. The suspension was requested by Gulf Dairy Association, Inc., which operates a manufacturing plant at Kentwood, Louisiana. The association states that without the suspension, it will be forced to make inefficient qualifying shipments of milk merely to keep the milk of its producers qualified for pooling under the order. DATES: Comments are due no later than January 20, 1994. ADDRESSES: Comments (two copies) should be sent to USDA/AMS/Dairy Division, Order Formulation Branch, room 2968, South Building, P.O. Box 96456, Washington, DC 20090-6456. FOR FURTHER INFORMATION CONTACT: Nicholas Memoli, Marketing Specialist, USDA/AMS/Dairy Division, Order Formulation Branch, room 2968, South Building, P.O. Box 96456, Washington, DC 20090-6456, (202) 690-1932. SUPPLEMENTARY INFORMATION: The Regulatory Flexibility Act (5 U.S.C. 601-612) requires the Agency to examine the impact of a proposed rule on small entities. Pursuant to 5 U.S.C. 605(b), the Administrator of the Agricultural Marketing Service has certified that this action would not have a significant economic impact on a substantial number of small entities. Such action would lessen the regulatory impact of the order on certain milk handlers and would tend to ensure that dairy farmers would continue to have their milk priced under the order and thereby receive the benefits that accrue from such pricing. The Department is issuing this proposed action in conformance with Executive Order 12866. This proposed action has been reviewed under Executive Order 12778, Civil Justice Reform. This action is not intended to have a retroactive effect. If adopted, this proposed action will not preempt any state or local laws, regulations, or policies, unless they present an irreconcilable conflict with the rule. The Agricultural Marketing Agreement Act of 1937, as amended (7 U.S.C. 601-674), provides that administrative proceedings must be exhausted before parties may file suit in court. Under section 8c(15)(A) of the Act, any handler subject to an order may file with the Secretary a petition stating that the order, any provisions of the order, or any obligation imposed in connection with the order is not in accordance with law and request a modification of an order or to be exempted from the order. A handler is afforded the opportunity for a hearing on the petition. After a hearing the Secretary would rule on the petition. The Act provides that the district court of the United States in any district in which the handler is an inhabitant, or has its principal place of business, has jurisdiction in equity to review the Secretary's ruling on the petition, provided a bill in equity is filed not later than 20 days after the date of the entry of the ruling. Notice is hereby given that, pursuant to the provisions of the Agricultural Marketing Agreement Act, suspension of the following provision of the order regulating the handling of milk in the New Orleans-Mississippi marketing area is being considered for the period from February 1, 1994 through December 31, 1995: In Sec. 1094.7(c), the words ``45 percent or more of the''. All persons wishing to submit written data, views or arguments about the proposed suspension should send two copies of their views to USDA/AMS/Dairy Division, Order Formulation Branch, room 2968, South Building, P.O. Box 96456, Washington, DC 20090-6456 by the 10th day after publication of this notice in the Federal Register. The filing period is limited to ten days because a longer period would not provide the time needed to complete the required procedures before the requested suspension is to be effective. All written submissions made pursuant to this notice will be made available for public inspection in the Dairy Division during regular business hours (7 CFR 1.27 (b)). Statement of Consideration The proposed action would suspend for the months of February 1994 through December 1995 the 45 percent delivery requirement for a cooperative association plant that is located in the New Orleans- Mississippi marketing area. Gulf Dairy Association, Inc., which operates a manufacturing plant at Kentwood, Louisiana, that is regulated under Order 94 submitted the suspension request. The cooperative stated that because of the present 45 percent delivery requirement applicable to a cooperative association that wishes to qualify a manufacturing plant for pooling, it has had to shift some of its producers to neighboring Greater Louisiana (Order 96) pool plants to keep its Kentwood plant qualified as a pool plant under Order 94. It indicated that Order 96 requires that six days' production of a producer must be received at pool plants each month in order to qualify the milk for pooling by diversion to a nonpool plant. Accordingly, it has had to move the milk of selected producers to Order 96 pool plants six days per month. Since this milk is not actually needed by these pool plants, the cooperative has then had to back-haul the milk to its Kentwood manufacturing plant for processing. The problem is now particularly acute, according to the cooperative, because two Order 94 pool plants have notified Gulf Dairy Association that they will no longer purchase milk from them after February 1, 1994. Gulf Dairy Association noted that the problem it is experiencing will be resolved through the proposed merger of milk orders that is now under consideration by the Department. It urged that the proposed suspension be effective pending the completion of that proceeding. List of Subjects in 7 CFR Part 1094 Milk marketing orders. Authority: Secs. 1-19, 48 Stat. 31, as amended; 7 U.S.C. 601- 674. Dated: January 3, 1994. Lon Hatamiya, Administrator. [FR Doc. 94-427 Filed 1-7-94; 8:45 am] BILLING CODE 3410-02-P