Rule2025-09697
Rescinding Natural Grass Sod Promotion, Research, and Information Order; Referendum Procedures
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
May 29, 2025
Effective
July 28, 2025
Issuing agencies
Agriculture DepartmentAgricultural Marketing Service
Abstract
This direct final rule rescinds the referendum procedures for the proposed Natural Grass Sod Promotion, Research, and Information Order (Sod Proposed Order), issued on December 10, 2024. The referendum failed and the Sod Proposed Order was not approved, therefore it is being withdrawn through a Notice which will also be published in the Federal Register. Therefore, the referendum procedures for the Sod Proposed Order are no longer necessary and AMS is rescinding the part in its entirety.
Full Text
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<title>Federal Register, Volume 90 Issue 102 (Thursday, May 29, 2025)</title>
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[Federal Register Volume 90, Number 102 (Thursday, May 29, 2025)]
[Rules and Regulations]
[Pages 22625-22627]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-09697]
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DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 1240
[Doc. No. AMS-LP-21-0028]
RIN 0581-AE07
Rescinding Natural Grass Sod Promotion, Research, and Information
Order; Referendum Procedures
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Direct final rule.
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SUMMARY: This direct final rule rescinds the referendum procedures for
the proposed Natural Grass Sod Promotion, Research, and Information
Order (Sod Proposed Order), issued on December 10, 2024. The referendum
failed and the Sod Proposed Order was not approved, therefore it is
being withdrawn through a Notice which will also be published in the
Federal Register. Therefore, the referendum procedures for the Sod
Proposed Order are no longer necessary and AMS is rescinding the part
in its entirety.
DATES: This direct final rule is effective July 28, 2025, without
further action or notice, unless a significant adverse comment is
received by June 30, 2025. If a significant adverse comment is
received, AMS will publish in the Federal Register a withdrawal of this
direct final rule prior to the effective date.
ADDRESSES: Interested persons are invited to submit comments concerning
this document by using the electronic process available at <a href="https://www.regulations.gov">https://www.regulations.gov</a>. Written comments may also be submitted to Maribel
Reyna, Director, Research and Promotion Division; Telephone: (202) 302-
1139; or Email: <a href="/cdn-cgi/l/email-protection#f2bf93809b90979edca0978b9c93b287819693dc959d84"><span class="__cf_email__" data-cfemail="b0fdd1c2d9d2d5dc9ee2d5c9ded1f0c5c3d4d19ed7dfc6">[email protected]</span></a>. All comments should reference
the document number and the date and page number of this issue of the
Federal Register. All comments received will be posted without change,
including any personal information provided, at <a href="https://www.regulations.gov">https://www.regulations.gov</a> and will be included in the record and made
available to the public.
FOR FURTHER INFORMATION CONTACT: Maribel Reyna, Director, Research and
Promotion Division; Telephone: (202) 302-1139; or Email:
<a href="/cdn-cgi/l/email-protection#6924081b000b0c05473b0c100708291c1a0d08470e061f"><span class="__cf_email__" data-cfemail="276a46554e45424b0975425e4946675254434609404851">[email protected]</span></a>.
SUPPLEMENTARY INFORMATION: AMS is rescinding the referendum procedures
at 7 CFR part 1240 for the Sod Proposed Order issued December 10, 2024,
(89 FR 99059). The Sod Proposed Order was authorized by the Commodity
Promotion, Research, and Information Act of 1996 (1996 Act or Act) (7
U.S.C. 7411-7425). AMS initiated regulatory action upon receipt and
review of a proposal from Turfgrass Producers International (TPI) on
June 18, 2021, requesting the establishment of a natural grass sod
research and promotion program (Program). The purpose of the Program
was to maintain and expand markets for natural grass sod products. The
Program would have been financed by an assessment on domestic sod
producers.
As part of this rulemaking process, AMS initially published two
proposed rulemakings in the Federal Register on October 16, 2023. The
first rulemaking contained the Sod Proposed Order (88 FR 71306), and
the second rulemaking proposed referendum procedures for the Sod
Proposed Order (88 FR 71302). In both, AMS provided additional
background on the industry and the need for the Program. On December
10, 2024, AMS issued a final rule, codifying the referendum procedures
at part 1240 of title 7 of the CFR (89 FR 99059). On the same day, AMS
published a proposed rulemaking and referendum announcing that it would
be conducting an initial referendum among eligible producers to
determine whether they favored establishing the Program (89 FR 99149).
The proposed rulemaking stated that the Program would be established if
it was favored by a majority of industry producers voting in the
referendum.
AMS conducted the initial referendum from January 13, 2025, through
February 11, 2025. To be eligible to vote, current natural grass sod
producers must have sold natural grass sod products in the United
States during the representative period from January 1, 2024, through
December 31, 2024. The Sod Proposed Order would have been implemented
if approved by a simple majority of producers voting in the referendum
that had been engaged in the production and sale of natural grass sod
products in the United States. In the referendum, 36.49 percent of
those who voted favored
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implementation of the Sod Proposed Order. Therefore, the Sod Proposed
Order failed the referendum vote. Accordingly, based upon the
referendum results, AMS is rescinding 7 CFR part 1240, ``Natural Grass
Sod Promotion, Research, And Information Order; Referendum Procedures''
because it is no longer needed.
Procedural Matters
Executive Orders 12866 and 13563
The proposed rule codifying 7 CFR part 1240 did not meet the
criteria of a ``significant regulatory action'' under Executive Order
(E.O.) 12866, as amended by E.O. 13563, and this direct final rule to
rescind that rule does not either. Therefore, the Office of Management
and Budget (OMB) has not reviewed this rulemaking under those EOs.
Executive Order 14192
On January 31, 2025, President Trump issued E.O. 14192,
``Unleashing Prosperity Through Deregulation'' (90 FR 9065). The E.O.
states the policy of the executive branch is to be prudent and
financially responsible in the expenditure of funds, from both public
and private sources, and to alleviate unnecessary regulatory burdens
placed on the American people. This action is considered an E.O. 14192
deregulatory action because it removes part 1240 from title 7 of the
agency's regulations in the CFR.
Regulatory Flexibility Act
In accordance with the Regulatory Flexibility Act (RFA) (5 U.S.C.
601-612), AMS is required to examine the impact of this rulemaking 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 disproportionately burdened. The affected industry falls
under the North American Industry Classification System (NAICS) code:
111421--Nursery and Tree Production. The Small Business Administration
(SBA) defines, in 13 CFR part 121, small agricultural producers in this
industry as those having annual receipts of no more than $3,250,000.
Using these criteria, under the Sod Proposed Order, most producers and
handlers would be considered small businesses. However, pursuant to the
requirements set forth in the RFA, it has been determined that this
rulemaking will not have a significant economic impact on a substantial
number of small entities. The Sod Proposed Order was never implemented.
No additional cost or burden is expected to result from this action.
Good Cause Justification
Section 553(b)(3)(B) of the Administrative Procedure Act (APA) (5
U.S.C. 551 et seq.) authorizes agencies to dispense with prior notice
and comment for rules when the agency for ``good cause'' finds that
those procedures are ``impracticable, unnecessary, or contrary to the
public interest.'' Under this section, an agency, upon finding good
cause, may issue a final rule without first publishing a proposed rule.
Removing regulations at 7 CFR part 1240 will provide transparency and
may reduce confusion among sod producers and other industry
stakeholders. Further, AMS views this action as noncontroversial and
anticipates no adverse public comment. This rule will become effective,
as published in this document, July 28, 2025 without further action,
unless adverse comments are received on or before June 30, 2025.
Adverse comments are considered to be those comments that suggest the
rule should not be adopted or suggest the rule should be changed.
If AMS receives adverse comments, we will publish a document in the
Federal Register, withdrawing this rule before the effective date. AMS
will then publish a proposed rule for public comment. Following the
close of that comment period, the comments will be considered, and a
final rule addressing the comments will be published.
Paperwork Reduction Act
In accordance with the Paperwork Reduction Act of 1995 (44 U.S.C.
chapter 35), the information collection requirements being terminated
were approved previously by the Office of Management and Budget (OMB)
and assigned OMB No. 0581-0348. This direct final rule is deregulatory
and so would not impose any additional information collection
requirements; rather, it would reduce future collection requirements by
removing reporting burdens.
E-Government Act Compliance
The Department is committed to complying with the E-Government Act,
2002 to promote the use of the internet and other information
technologies to provide increased opportunities for citizen access to
Government information and services, and for other purposes.
Executive Order 13132
This direct final rule is deregulatory and has little effect on
States and local governments, so AMS anticipates that this rule will
not have implications for federalism. Therefore, under E.O. 13132,
section 6(b), a federalism summary is not required. States and local
governments are invited to comment if they believe a federalism summary
is necessary.
Executive Order 12988
This direct final rulemaking has been reviewed and meets the
applicable standards set forth in sections 3(a) and 3(b)(2) of
Executive Order 12988, ``Civil Justice Reform.'' It is not intended to
have a retroactive effect. The Commodity Promotion, Research, and
Information Act of 1996 (1996 Act or Act) (7 U.S.C. 7411-7425) provides
that the Act shall not affect or preempt any other Federal or State law
authorizing promotion or research relating to an agricultural
commodity.
Under section 519 of the Act, a person subject to an order may file
a petition with USDA stating that an order, any provision of an order,
or any obligation imposed in connection with an order, is not
established in accordance with the law, and requesting a modification
of an order or an exemption from an order. Any petition filed
challenging an order, any provision of an order, or any obligation
imposed in connection with an order, shall be filed within two years
after the effective date of an order, provision or obligation subject
to challenge in the petition. The petitioner will have the opportunity
for a hearing on the petition. Thereafter, USDA will issue a ruling on
the petition. The Act provides that the district court of the United
States for any district in which the petitioner resides or conducts
business shall be the jurisdiction to review a final ruling on the
petition, if the petitioner files a complaint for that purpose not
later than 20 days after the date of entry of USDA's final ruling.
Executive Order 13175
This direct final rule has been reviewed under E.O. 13175,
``Consultation and Coordination with Indian Tribal Governments,'' which
requires Federal agencies to consult and coordinate with Tribes on a
government-to-government basis on: (1) policies that have Tribal
implications, including regulations, legislative comments, or proposed
legislation; and (2) other policy statements or actions that have
substantial direct effects on one or more Indian Tribes, on the
relationship between the Federal Government and Indian Tribes, or on
the distribution of power and responsibilities between the Federal
Government and Indian Tribes.
AMS has assessed the impact of this direct final rule on Indian
Tribes and determined that this rulemaking would
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not have Tribal implications that require consultation under E.O.
13175. AMS hosts a quarterly teleconference with Tribal leaders where
matters of mutual interest regarding the marketing of agricultural
products are discussed. Information about the proposed regulation will
be shared during an upcoming quarterly call, and Tribal leaders will be
informed about the proposed regulation and referendum procedures. AMS
will work with the USDA Office of Tribal Relations to ensure meaningful
consultation is provided as needed with regards to the regulations.
List of Subjects in 7 CFR Part 1240
Administrative practice and procedure, Advertising, Consumer
information, Marketing agreements, Natural grass sod, Reporting and
recordkeeping requirements.
0
Accordingly, under the authority of 7 U.S.C. 7411-7425, AMS removes 7
CFR part 1240.
PART 1240--[Removed]
Erin Morris,
Associate Administrator, Agricultural Marketing Service.
[FR Doc. 2025-09697 Filed 5-28-25; 8:45 am]
BILLING CODE P
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