[Federal Register Volume 59, Number 214 (Monday, November 7, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-27522]


[[Page Unknown]]

[Federal Register: November 7, 1994]


                                                   VOL. 59, NO. 214

                                           Monday, November 7, 1994

DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

7 CFR Part 1011

[DA-95-02]

 

Milk in the Tennessee Valley Marketing Area; Proposed Temporary 
Revision of Certain Provisions of the Order

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Proposed revision of rule.

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SUMMARY: This document invites comments on a proposal to reduce the 
supply plant shipping requirement of the Tennessee Valley Federal milk 
order (Order 11) for the months of March through July 1995. The 
proposed action was requested by Armour Food Ingredients Company 
(Armour), which operates a proprietary supply plant pooled under Order 
11. Armour contends the action is necessary to prevent the uneconomical 
movement of milk and to ensure that producer milk associated with the 
market in the fall will continue to be pooled in the spring and summer 
months.

DATES: Comments are due no later than December 7, 1994.

ADDRESSES: Comments (two copies) should be filed with the USDA/AMS/
Dairy Division, Order Formulation Branch, Room 2971, 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 2971, 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 proposed 
rule would not have a significant economic impact on a substantial 
number of small entities. This rule 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 rule in conformance with 
Executive Order 12866.
    This proposed rule has been reviewed under Executive Order 12778, 
Civil Justice Reform. This rule is not intended to have a retroactive 
effect. If adopted, this proposed rule 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 
608c(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 the 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 and the provisions of 
Sec. 1011.7(b) of the order, the proposed revision of certain 
provisions of the order regulating the handling of milk in the 
Tennessee Valley marketing area is being considered for the period of 
March 1, 1995, through July 31, 1995.
    All persons who desire to submit written data, views or arguments 
about the proposed revision should send two copies of their views to 
USDA/AMS/Dairy Division, Order Formulation Branch, Room 2971, South 
Building, P.O. Box 96456, Washington, DC 20090-6456, by the 30th day 
after publication of this notice in the Federal Register.
    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 revision would reduce the supply plant shipping 
requirement from 40 to 30 percent for the period of March through July 
1995. The Tennessee Valley order requires that a supply plant ship a 
minimum of 60 percent of the total quantity of milk physically received 
at the supply plant during the months of August through November, 
January, and February, and 40 percent in each of the other months. The 
order also provides authority for the Director of the Dairy Division to 
increase or decrease this supply plant shipping requirement by up to 10 
percentage points if such a revision is necessary to obtain needed 
shipments of milk or to prevent uneconomic shipments.
    Armour states that it would have to make uneconomical shipments of 
milk to meet the 40 percent supply plant shipping requirement to 
continue its pool status. Additionally, the proponent states that the 
40 percent requirement could jeopardize the continued association of 
producers who have supplied the Order 11 market in the fall.
    Armour anticipates that marketing conditions in 1995 will mirror 
those in 1993 and 1994, when the shipping percentage was also reduced. 
It expects milk supplies to be adequate to meet the Class I needs of 
the market.
    In view of the current supply and demand relationship, it may be 
necessary to reduce the supply plant shipping percentage as proposed to 
provide for the efficient and economic marketing of milk during the 
months of March 1 through July 31, 1995.

List of Subjects in 7 CFR Part 1011

    Milk marketing orders.

    The authority citation for 7 CFR Part 1011 continues to read as 
follows:

    Authority: Secs. 1-19, 48 Stat. 31, as amended; 7 U.S.C. 601-
674.

    Dated: November 1, 1994.
Richard M. McKee,
Director, Dairy Division.
[FR Doc. 94-27522 Filed 11-4-94; 8:45 am]
BILLING CODE 3410-02-P