Rule2021-20061
Cotton Research and Promotion Program: Procedures for Conduct of Sign-Up Period
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
September 21, 2021
Effective
October 18, 2021
Issuing agencies
Agriculture DepartmentAgricultural Marketing Service
Abstract
This direct final rule reopens the voting period and amends rules and regulations regarding dates for a sign-up period for eligible cotton producers and importers to request a continuance referendum on the 1991 amendments to the Cotton Research and Promotion Order (Order) provided for in the Cotton Research and Promotion Act (Act) amendments of 1990.
Full Text
<html>
<head>
<title>Federal Register, Volume 86 Issue 180 (Tuesday, September 21, 2021)</title>
</head>
<body><pre>
[Federal Register Volume 86, Number 180 (Tuesday, September 21, 2021)]
[Rules and Regulations]
[Pages 52397-52399]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2021-20061]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 1205
[Doc. No. AMS-CN-20-0097A]
Cotton Research and Promotion Program: Procedures for Conduct of
Sign-Up Period
AGENCY: Agricultural Marketing Service (AMS), Department of Agriculture
(USDA).
ACTION: Direct final rule.
-----------------------------------------------------------------------
SUMMARY: This direct final rule reopens the voting period and amends
rules and regulations regarding dates for a sign-up period for eligible
cotton producers and importers to request a continuance referendum on
the 1991 amendments to the Cotton Research and Promotion Order (Order)
provided for in the Cotton Research and Promotion Act (Act) amendments
of 1990.
DATES: This direct rule is effective October 18, 2021, without further
action or notice, unless significant adverse comment is received by
October 6, 2021. If significant adverse comment is received, AMS will
publish a timely withdrawal of the amendment in the Federal Register.
ADDRESSES: Written comments may be submitted to the addresses specified
below. All comments will be made available to the public. Please do not
include personally identifiable information (such as name, address, or
other contact information) or confidential business information that
you do not want publicly disclosed. All comments may be posted on the
internet and can be retrieved by most internet search engines. Comments
may be submitted anonymously.
Comments, identified by AMS-CN-20-0097A, may be submitted
electronically through the Federal eRulemaking Portal at <a href="http://www.regulations.gov">http://www.regulations.gov</a>. Please follow instructions for submitting
comments. In addition, comments may be submitted by mail or hand
delivery to Cotton Research and Promotion, Cotton and Tobacco Program,
AMS, USDA, 100 Riverside Parkway, Suite 101, Fredericksburg, Virginia
22406. Comments should be submitted in triplicate. All comments
received will be made available for public inspection at Cotton and
Tobacco Program, AMS, USDA, 100 Riverside Parkway, Suite 101,
Fredericksburg, Virginia 22406. A copy of this document may be found
at: <a href="http://www.regulations.gov">www.regulations.gov</a>.
FOR FURTHER INFORMATION CONTACT: Shethir M. Riva, Director, Research
and Promotion, Cotton and Tobacco Program, AMS, USDA, 100 Riverside
Parkway, Suite 101, Fredericksburg, Virginia 22406; telephone (540)
361-2726, facsimile (540) 361-1199, or email at <a href="/cdn-cgi/l/email-protection#8ac9e5fefee5e4d8dacafff9eeeba4ede5fc"><span class="__cf_email__" data-cfemail="c98aa6bdbda6a79b9989bcbaada8e7aea6bf">[email protected]</span></a>.
SUPPLEMENTARY INFORMATION:
A. Background
The Cotton Research and Promotion Order (7 CFR part 1205) was
amended in 1991, following a referendum that July. These amendments
provided for: (1) Importer representation on the Cotton Board by an
appropriate number of persons, to be determined by USDA, who import
cotton or cotton products into the U.S. and who USDA selects from
nominations submitted by importer organizations certified by USDA; (2)
assessments levied on imported cotton and cotton products at a rate
determined in the same manner as for U.S. cotton; (3) increased amount
USDA can be reimbursed for conducting a referendum from $200,000 to
$300,000; (4) reimbursement of government agencies that assist in
administering the collection of assessments on imported cotton and
cotton products; and (5) termination of producers' right to demand a
refund of assessments.
On December 18, 2020, USDA issued a determination based on its
review (85 FR 82426) not to conduct a referendum regarding the 1991
amendments to the Order; however, the Act provides that USDA shall
nevertheless conduct a referendum at the request of 10 percent or more
of the total number of eligible producers and importers that voted in
the most recent referendum. Furthermore, the Act provides for a sign-up
period during which eligible cotton producers and importers may request
that USDA conduct a referendum on continuation of the 1991 amendments
to the Order.
Pursuant to section 8(c) of the Act, USDA provided all eligible
Upland cotton producers and importers of cotton and cotton-containing
products an opportunity to sign up and request a continuance referendum
regarding the 1991 amendments to the Order from June 21, 2021, until
July 2, 2021 (86 FR 20255). During the counting and verification of
sign-up requests, the AMS learned that the United States Postal Service
(USPS) erroneously closed the Post Office Box AMS used to receive sign-
up requests, and USPS returned mail contained within the box. Given
this error by the USPS and not knowing how many pieces of mail were
contained in the box, the AMS determined it is necessary to reopen the
sign-up period to allow for any eligible
[[Page 52398]]
importers and producers to submit a request in the event any sign-ups
submitted during the original sign-up were not received by AMS. Sign-up
requests from both sign-up periods will be considered.
Section 8(c)(2) of the Act provides that if USDA determines, based
on results of the sign-up, that 10 percent (i.e., 4,622) or more of the
total number of eligible producers and importers that voted in the most
recent 1991 referendum request a continuance referendum on the 1991
amendments, a referendum will be held within 12 months after the end of
the sign-up period. In counting such requests, however, not more than
20 percent may be from producers from any one state or from importers
of cotton. For example, when counting requests, AMS Cotton and Tobacco
Program would determine the total number of valid requests from all
cotton-producing states and from importers. Not more than 20 percent of
the total requests will be counted from any one state or from importers
toward reaching the 10 percent or 4,622 total signatures required to
call for a referendum. If USDA determines that 10 percent or more of
the number of producers and importers who voted in the most recent
referendum favor a continuance referendum, a referendum will be held.
This direct final rule amends dates to conduct of the current sign-
up period. In Sec. Sec. 1205.27, 1205.28, and 1205.29 sign-up period
dates and Farm Service Agency (FSA) reporting dates have been updated.
A 15-day comment period is determined to be appropriate because
these eligibility and participation requirements are substantially the
same as the eligibility and participation requirements that were used
in previous referenda and sign-up periods; participation is voluntary;
and this rule, if adopted, should be made effective as soon as possible
in order to conduct the sign-up at the earliest possible dates.
B. Regulatory Analyses
Executive Order 13175
This action has been reviewed in accordance with requirements of
Executive Order 13175, Consultation and Coordination with Indian Tribal
Governments. The review reveals that this regulation would not have
substantial and direct effects on Tribal governments and would not have
significant Tribal implications.
Executive Orders 12866 and 13563
Executive Orders 12866 and 13563 direct agencies to assess all
costs and benefits of available regulatory alternatives and, if
regulation is necessary, to select regulatory approaches that maximize
net benefits (including potential economic, environmental, public
health, and safety effects; distributive impacts; and equity).
Executive Order 13563 emphasizes the importance of quantifying both
costs and benefits, reducing costs, harmonizing rules, and promoting
flexibility. This action falls within a category of regulatory actions
that the Office of Management and Budget (OMB) exempted from Executive
Order 12866 review.
Executive Order 12988
This rule has been reviewed under Executive Order 12988, Civil
Justice Reform. It is not intended to have retroactive effect.
The Act provides that administrative proceedings must be exhausted
before parties may file suit in court. Under section 12 of the Act, any
person subject to an order may file with the Secretary of Agriculture
(Secretary) a petition stating that the order, any provision of the
plan, or any obligation imposed in connection with the order is not in
accordance with law and requesting a modification of the order or to be
exempted therefrom. Such person is afforded the opportunity for a
hearing on the petition. After the 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 person is an inhabitant, or has his
principal place of business, has jurisdiction to review the Secretary's
ruling, provided a complaint is filed within 20 days from the date of
the entry of the Secretary's ruling.
Regulatory Flexibility Act and Paperwork Reduction Act
In accordance with the Regulatory Flexibility Act (RFA) (5 U.S.C.
601-612), AMS has examined the economic impact of this rule on small
entities. The purpose of the RFA is to fit regulatory actions to the
scale of businesses subject to such action so that small businesses
will not be unduly or disproportionately burdened. The Small Business
Administration (SBA) defines, in 13 CFR 121.201, small agricultural
producers as those having annual receipts of no more than $1,000,000,
and small ``Other Farm Product Raw Material Merchant Wholesalers''
(cotton merchants/importers) as having no more than 100 employees. The
Cotton Board estimates 12,000 producers and 40,000 importers are
subject to the rules and regulations issued pursuant to the Cotton
Research and Promotion Order. According to the United States Census
Bureau's ``2016 Survey of SUSB Annual Data Tables by Establishment
Industry,'' most importers are considered small entities as defined by
the SBA. The majority of these producers and importers are small
businesses under the criteria established by the SBA.
There are no Federal rules that duplicate, overlap, or conflict
with this rule.
This rule is voluntary and only affects producers and importers
wishing to participate in the sign-up under the Cotton Research and
Promotion Order. Only those eligible persons who are in favor of
conducting a referendum would need to participate in the sign-up
period. Of the 46,220 total valid ballots received in the 1991
referendum, 27,879, or 60 percent, favored the amendments to the Order,
and 18,341, or 40 percent, opposed the amendments to the Order. This
rule provides those persons who are not in favor of the continuance of
the Order amendments an opportunity to request a continuance
referendum.
The eligibility and participation requirements for producers and
importers are substantially the same as the rules that established the
eligibility and participation requirements for previous sign-up
periods. Amendments in this action update dates to reopen the sign-up.
Sign-up procedures do not impose a substantial burden or have a
significant impact on persons subject to the Order because
participation is not mandatory, not all persons subject to the Order
are expected to participate, and USDA will determine producer and
importer eligibility. Information collection requirements under the
Paperwork Reduction Act are minimal.
Paperwork Reduction Act
Information collections in this rule will be carried out under the
OMB Control Number 0581-0093. This rule does not add to the overall
burden currently approved by OMB and assigned OMB Control Number 0581-
0093 under provisions of the Paperwork Reduction Act of 1995 (44 U.S.C.
Chapter 35). This OMB Control Number is referenced in Sec. 1205.541 of
the regulations.
A 15-day comment period is provided to comment on date changes to
the Cotton Board Rules and Regulations herein.
List of Subjects in 7 CFR Part 1205
Advertising, Agricultural research, Cotton, Marketing agreements,
Reporting and recordkeeping requirements.
[[Page 52399]]
For reasons stated in the preamble, AMS amends 7 CFR part 1205 as
follows:
PART 1205--COTTON RESEARCH AND PROMOTION
0
1. The authority citation for part 1205 continues to read as follows:
Authority: 7 U.S.C. 2101-2118; 7 U.S.C 7401.
0
2. Section 1205.27 is revised to read as follows:
Sec. 1205.27 Participation in the sign-up period.
The sign-up period will be from June 21, 2021, until July 2, 2021,
and October 18, 2021, until October 29, 2021. Those persons who favor
the conduct of a continuance referendum and who wish to request that
Department of Agriculture (USDA) conduct such a referendum may do so by
submitting such request in accordance with this section. All requests
must be received by the appropriate USDA office by October 29, 2021.
(a) Before the sign-up period begins, FSA shall establish a list of
known, eligible, Upland cotton producers in the county that it serves
during the representative period, and AMS shall also establish a list
of known, eligible Upland cotton importers.
(b) Before the start of the sign-up period, Agricultural Marketing
Service (AMS) will post sign-up information, including sign-up forms,
on its website: <a href="http://www.ams.usda.gov/Cotton">http://www.ams.usda.gov/Cotton</a>. Importers who favor the
conduct of a continuance referendum can download a form from the
website, or request a sign-up form by contacting <a href="/cdn-cgi/l/email-protection#165579626279784446566365727738717960"><span class="__cf_email__" data-cfemail="5b18342f2f3435090b1b2e283f3a753c342d">[email protected]</span></a> or
(540) 361-2726 and one will be provided to them. Importers may
participate in the sign-up period by submitting a signed, written
request for a continuance referendum, along with a copy of a U.S.
Customs and Border Protection form 7501 showing payment of a cotton
assessment for calendar year 2020. The USDA, AMS, Cotton and Tobacco
Program, Attention: Cotton Sign-Up, P.O. Box 23181, Washington, DC
20077-8249 shall be considered the polling place for all cotton
importers. All requests and supporting documents must be received by
October 29, 2021.
(c) Each person on the county FSA office lists may participate in
the sign-up period. Eligible producers must date and sign their name on
the ``County FSA Office Sign-up Sheet.'' A person whose name does not
appear on the county FSA office list may participate in the sign-up
period. Such person must be identified on FSA-578 during the
representative period or provide documentation that demonstrates that
the person was a cotton producer during the representative period.
Cotton producers not listed on the FSA-578 shall submit at least one
sales receipt for cotton they planted during the representative period.
Cotton producers must make requests to the county FSA office where the
producer's farm is located. If the producer's land is in more than one
county, the producer shall make request at the county office where FSA
administratively maintains and processes the producer's farm records.
It is the responsibility of the person to provide the information
needed by the county FSA office to determine eligibility. It is not the
responsibility of the county FSA office to obtain this information. If
any person whose name does not appear on the county FSA office list
fails to provide at least one sales receipt for the cotton they
produced during the representative period, the county FSA office shall
determine that such person is ineligible to participate in the sign-up
period, and shall note ``ineligible'' in the remarks section next to
the person's name on the county FSA office sign-up sheet. In lieu of
personally appearing at a county FSA office, eligible producers may
request a sign-up form from the county FSA office where the producer's
farm is located. If the producer's land is in more than one county, the
producer shall make the request for the sign-up form at the county
office where FSA administratively maintains and processes the
producer's farm records. Such request must be accompanied by a copy of
at least one sales receipt for cotton they produced during the
representative period. The appropriate FSA office must receive all
completed forms and supporting documentation by October 29, 2021.
0
3. In Sec. 1205.28, the first sentence is revised to read as follows:
Sec. 1205.28 Counting.
County FSA offices and FSA, Deputy Administrator for Field
Operations (DAFO), shall begin counting requests no later than October
29, 2021. * *
0
4. Section 1205.29 is revised to read as follows:
Sec. 1205.29 Reporting results.
(a) Each county FSA office shall prepare and transmit to the state
FSA office, by November 5, 2021, a written report of the number of
eligible producers who requested the conduct of a referendum and the
number of ineligible persons who made requests.
(b) DAFO shall prepare, by November 5, 2021, a written report of
the number of eligible importers who requested the conduct of a
referendum and the number of ineligible persons who made requests.
(c) Each state FSA office shall, by November 5, 2021, forward all
county reports to DAFO. By November 12, 2021, DAFO shall forward its
report of the total number of eligible producers and importers that
requested a continuance referendum, through the sign-up period, to the
Deputy Administrator, Cotton and Tobacco Program, Agricultural
Marketing Service, USDA, 100 Riverside Parkway, Suite 101,
Fredericksburg, Virginia 22406.
Erin Morris,
Associate Administrator, Agricultural Marketing Service.
[FR Doc. 2021-20061 Filed 9-20-21; 8:45 am]
BILLING CODE P
</pre><script data-cfasync="false" src="/cdn-cgi/scripts/5c5dd728/cloudflare-static/email-decode.min.js"></script></body>
</html>Indexed from Federal Register on September 21, 2021.
This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.