Rule2025-17773
Pears Grown in Oregon and Washington; Increased Assessment Rate for Fresh Pears
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 15, 2025
Effective
October 15, 2025
Issuing agencies
Agriculture DepartmentAgricultural Marketing Service
Abstract
This final rule implements a recommendation from the Fresh Pear Committee (Committee) to increase the assessment rate established for the 2024-2025 and subsequent fiscal periods from $0.468 to $0.516 per 44-pound standard box or equivalent for fresh "summer/fall" pears and fresh "winter" pears grown in Oregon and Washington. The assessment rate will remain in effect indefinitely unless modified, suspended, or terminated.
Full Text
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<title>Federal Register, Volume 90 Issue 176 (Monday, September 15, 2025)</title>
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[Federal Register Volume 90, Number 176 (Monday, September 15, 2025)]
[Rules and Regulations]
[Pages 44313-44316]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2025-17773]
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DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 927
[Doc. No. AMS-SC-24-0045]
Pears Grown in Oregon and Washington; Increased Assessment Rate
for Fresh Pears
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Final rule.
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SUMMARY: This final rule implements a recommendation from the Fresh
Pear Committee (Committee) to increase the assessment rate established
for the 2024-2025 and subsequent fiscal periods from $0.468 to $0.516
per 44-pound standard box or equivalent for fresh ``summer/fall'' pears
and fresh ``winter'' pears grown in Oregon and Washington. The
assessment rate will remain in effect indefinitely unless modified,
suspended, or terminated.
DATES: Effective October 15, 2025.
FOR FURTHER INFORMATION CONTACT: Joshua R. Wilde, Marketing Specialist,
or Barry Broadbent, Chief, Northwest Region Branch, Market Development
Division, Specialty Crops Program, AMS, USDA; Telephone: (503) 326-
2724, or Email: <a href="/cdn-cgi/l/email-protection#85cfeaf6edf0e4abd7abd2ece9e1e0c5f0f6e1e4abe2eaf3"><span class="__cf_email__" data-cfemail="3f75504c574a5e116d116856535b5a7f4a4c5b5e11585049">[email protected]</span></a> or <a href="/cdn-cgi/l/email-protection#ce8cafbcbcb7e08cbca1afaaacaba0ba8ebbbdaaafe0a9a1b8"><span class="__cf_email__" data-cfemail="8fcdeefdfdf6a1cdfde0eeebedeae1fbcffafcebeea1e8e0f9">[email protected]</span></a>.
Small businesses may request information on complying with this
regulation by contacting Antoinette Carter, Market Development
Division, Specialty Crops Program, AMS, USDA, 1400 Independence Avenue
SW, STOP 0237, Washington, DC 20250-0237; Telephone: (202) 720-8085, or
Email: <a href="/cdn-cgi/l/email-protection#7e3f100a1117101b0a0a1b503d1f0c0a1b0c3e0b0d1a1f50191108"><span class="__cf_email__" data-cfemail="fcbd928893959299888899d2bf9d8e88998ebc898f989dd29b938a">[email protected]</span></a>.
SUPPLEMENTARY INFORMATION: This action, pursuant to 5 U.S.C. 553,
amends regulations issued to carry out a marketing order as defined in
7 CFR 900.2(j). This final rule is issued under Marketing Order No.
927, as amended (7 CFR part 927), regulating the handling of pears
grown in Oregon and Washington. Part 927 (referred to as the ``Order'')
is effective under the Agricultural Marketing Agreement Act of 1937, as
amended (7 U.S.C. 601-674), hereinafter referred to as the ``Act.'' The
Committee locally administers the Order and is comprised of growers and
handlers of pears operating within the area of production, and a public
member.
The Agricultural Marketing Service (AMS) is issuing this final rule
in conformance with Executive Order 12866, as amended by Executive
Order 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.
This final rule has been reviewed under Executive Order 13175--
Consultation and Coordination with Indian Tribal Governments, which
requires federal agencies to consider whether their rulemaking actions
would have tribal implications. AMS has determined that this rule is
unlikely to 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.
This final rule has been reviewed under Executive Order 12988--
Civil Justice Reform. Under the Order now in effect, Oregon and
Washington pear handlers are subject to assessments. Funds to
administer the Order are derived from such assessments. It is intended
that the assessment rate will be applicable to all assessable Oregon
and Washington fresh pears for the 2024-2025 fiscal period, 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 8c(15)(A) of the
Act (7 U.S.C 608c(15)(A)), 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
[[Page 44314]]
accordance with law 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 USDA's
ruling on the petition, provided an action is filed not later than 20
days after the date of the entry of the ruling.
This final rule increases the assessment rate for Oregon and
Washington fresh ``summer/fall'' pears and ``winter'' pears handled
under the Order from $0.468 per 44-pound standard box or equivalent,
the rate that was established for the 2021-2022 and subsequent fiscal
periods, to $0.516 per 44-pound standard box or equivalent for the
2024-2025 and subsequent fiscal periods.
Sections 927.40 and 927.41 of the Order authorize the Committee,
with the approval of AMS, to formulate an annual budget of expenses and
collect assessments from handlers to administer the program. The
members of the Committee are familiar with the Committee's needs and
with the costs of goods and services in their local area and are able
to formulate an appropriate budget and assessment rate. The assessment
rate is formulated and discussed in a public meeting, and all directly
affected persons have an opportunity to participate and provide input.
For the 2021-2022 and subsequent fiscal periods, the Committee
recommended, and AMS approved, an assessment rate of $0.468 per 44-
pound standard box or equivalent of assessable fresh ``summer/fall''
pears and ``winter'' pears within the production area. That rate
continues in effect from fiscal period to fiscal period until modified,
suspended, or terminated by AMS upon recommendation and information
submitted by the Committee or other information available to AMS.
The Committee met on May 29, 2024, and recommended, with a vote of
10 in favor, with 1 opposed, and 1 abstention, 2024-2025 fiscal period
expenditures of $8,167,642 and an assessment rate of $0.516 per 44-
pound standard box or equivalent of fresh ``summer/fall'' and
``winter'' pears for the 2024-2025 fiscal period. In comparison, last
year's budgeted expenditures were $8,364,570. The member voting in
opposition did not support any increase to the assessment rate. The
member who abstained did not provide a justification. The new
assessment rate of $0.516 per 44-pound standard box or equivalent is
$0.048 higher than the rate currently in effect. The Committee
recommended increasing the assessment rate due to a smaller estimated
2024 crop and to provide adequate income to cover the Committee's
budgeted expenses for the 2024-2025 fiscal period without needing to
draw from the Committee's financial reserves. The Committee projects
handler receipts of 16,000,000 44-pound standard boxes or equivalent of
assessable fresh pears for the 2024-2025 fiscal period, down from the
approximately 18,000,000 44-pound standard boxes or equivalent that the
Committee initially projected for the 2023-2024 fiscal period.
The major expenditures recommended by the Committee for the 2024-
2025 fiscal period include $6,928,000 for promotion and paid
advertising, $621,148 for production research and market development,
$435,321 for contracted administration and Committee expenses, and
$183,173 for industry development. For comparison, budgeted expenses
for these items during the 2023-2024 fiscal period were $6,930,000,
$843,373, $415,238, and $175,959, respectively.
The Committee derived the recommended assessment rate by
considering anticipated expenses, the estimated volume of assessable
fresh pears, and the amount of funds available in the authorized
reserve. The estimated 16,000,000 44-pound standard boxes or equivalent
of assessable fresh ``summer/fall'' and ``winter'' pears is expected to
generate $8,256,000 in assessment revenue (16,000,000 44-pound standard
boxes or equivalent multiplied by the $0.516 assessment rate). The
income generated from handler assessments, along with $3,000 expected
in interest income, is expected to be sufficient to meet the
Committee's estimated program expenditures of $8,167,642 without
needing to draw from the Committee's financial reserves. Funds
available in the financial reserve (currently about $716,365) will be
kept below the maximum permitted by the Order (approximately one fiscal
period's expenses as authorized in Sec. 927.42).
The assessment rate established herein will continue in effect
indefinitely unless modified, suspended, or terminated by AMS upon
recommendation and information submitted by the Committee or other
available information. Although this assessment rate will be in effect
for an indefinite period, the Committee will continue to meet prior to
or during each fiscal period to recommend a budget of expenses and
consider recommendations for modification of the assessment rate. The
dates and times of Committee meetings are available from the Committee
or AMS. Committee meetings are open to the public and interested
persons may express their views at these meetings. AMS will evaluate
Committee recommendations and other available information to determine
whether modification of the assessment rate is needed. Further
rulemaking would be undertaken as necessary. The Committee's 2024-2025
fiscal period budget, and those for subsequent fiscal periods, will be
reviewed and, as appropriate, approved by AMS.
Final Regulatory Flexibility Analysis
Pursuant to requirements set forth in the Regulatory Flexibility
Act (RFA) (5 U.S.C. 601-612), AMS has considered the economic impact of
this final rule on small entities. Accordingly, AMS has prepared this
final regulatory flexibility analysis.
The purpose of the RFA is to fit regulatory actions to the scale of
businesses subject to such actions in order that small businesses will
not be unduly or disproportionately burdened. Marketing orders issued
pursuant to the Act, and the rules issued thereunder, are unique in
that they are brought about through group action of essentially small
entities acting on their own behalf.
There are approximately 27 handlers subject to regulation under the
Order and approximately 700 growers of fresh pears in the production
area. At the time this analysis was prepared, the Small Business
Administration (SBA) defined small agricultural service firms as those
having annual receipts of equal to or less than $34,000,000 (North
American Industry Classification System (NAICS) code 115114,
Postharvest Crop Activities), and small agricultural producers of fresh
pears as those having annual receipts of equal to or less than
$3,500,000 (NAICS code 111339, Other Noncitrus Fruit Farming) (13 CFR
121.201).
Data from USDA's National Agricultural Statistics Service (NASS),
indicates a three-year average grower price for Oregon and Washington
fresh pears of approximately $11.92 per 44-pound standard box or
equivalent for the most recent seasons for which data is available
(2020-2021 through 2022-2023 fiscal periods). Committee records
indicate average annual fresh pear shipments of 15,246,095 44-pound
standard boxes or equivalent over the same period. Based on these data,
the average total annual value of assessable fresh pears over this
period would have been approximately $181,733,452
[[Page 44315]]
(15,246,095 44-pound standard boxes or equivalent multiplied by $11.92
per box). Dividing that figure by the number of fresh pear growers
(700) yields an average annual crop value per grower of approximately
$259,619. This figure is well below the SBA small agricultural producer
threshold of $3,500,000 in annual sales. This provides evidence that a
large majority of pear growers would likely be considered small
agricultural producers according to the SBA definition.
According to USDA Market News data, the most recent shipping point
price for fresh pears out of the Yakima Valley and Wenatchee District
ranged between $36.25 and $45.05 per 44-pound standard box or
equivalent. Using this data to assume an average shipping point price
of $40.65 for all Oregon and Washington fresh pears yields a total crop
value of approximately $619,753,762 (15,246,095 44-pound standard boxes
multiplied by $40.65 per box). Dividing this figure by 27 regulated
handlers yields estimated average annual handler receipts of
approximately $22,953,843. Therefore, according to the above data and
assuming a normal distribution of receipts among handlers, the majority
of growers and handlers of Oregon and Washington fresh pears may be
classified as small entities.
As noted above, the average price received by growers in the
previous three crop years was $11.92 per 44-pound standard box or
equivalent of assessable fresh ``summer/fall'' pears and ``winter''
pears. Given the Committee-estimated production of 16,000,000 44-pound
standard boxes or equivalent of assessable fresh pears for the 2024-
2025 crop year, total grower revenue is estimated to be $190,720,000.
Total assessment revenue is expected to be $8,256,000 (16,000,000 boxes
multiplied by $0.516 per box). Therefore, estimated assessment revenue
as a percentage of total grower revenue is expected to be about 4.3
percent ($8,256,000 divided by $190,720,000 multiplied by 100).
This final rule increases the assessment rate collected from
handlers for the 2024-2025 and subsequent fiscal periods from $0.468 to
$0.516 per 44-pound standard box or equivalent of fresh ``summer/fall''
and ``winter'' pears. The Committee recommended 2024-2025 fiscal period
expenditures of $8,167,642 and an assessment rate of $0.516 per 44-
pound standard box or equivalent of assessable fresh ``summer/fall''
and ``winter'' pears handled. The assessment rate of $0.516 is $0.048
higher than the rate currently in effect. The Committee expects the
industry to handle 16,000,000 44-pound standard boxes or equivalent of
assessable fresh ``summer/fall'' pears and ``winter'' pears during the
2024-2025 fiscal period. Thus, the $0.516 per 44-pound standard box or
equivalent assessment rate is expected to provide $8,256,000 in
assessment income (16,000,000 44-pound standard boxes or equivalent
multiplied by the $0.516 assessment rate). The income generated from
handler assessments, along with $3,000 expected in interest income,
should be sufficient to meet budgeted expenditures for the 2024-2025
fiscal period.
The major expenditures recommended by the Committee for the 2024-
2025 fiscal period include $6,928,000 for promotion and paid
advertising, $621,148 for production research and market development,
$435,321 for contracted administration and Committee expenses, and
$183,173 for industry development. For comparison, budgeted expenses
for these items during the 2023-2024 fiscal period were $6,930,000,
$843,373, $415,238, and $175,959, respectively.
The Committee recommended increasing the assessment rate to provide
adequate income to cover the Committee's budgeted expenses for the
2024-2025 fiscal period without needing to draw from the Committee's
financial reserves. The Committee projects handler receipts of
16,000,000 44-pound standard boxes or equivalent of assessable fresh
pears for the 2024-2025 fiscal period, down from the estimated
18,000,000 44-pound standard boxes or equivalent that the Committee
initially projected for the 2023-2024 fiscal period.
Prior to arriving at this budget and assessment rate
recommendation, the Committee discussed various alternatives, including
maintaining the current assessment rate of $0.468 per 44-pound standard
box or equivalent of assessable fresh pears and increasing the
assessment rate by a different amount. However, the Committee
determined that the recommended assessment rate would be necessary to
adequately fund budgeted expenses for the 2024-2025 fiscal period
without needing to draw from the Committee's financial reserves.
Consequently, those alternatives were rejected.
This action increases the assessment obligation imposed on
handlers. Assessments are applied uniformly on all handlers, and some
of the costs may be passed on to growers. However, these costs are
expected to be offset by the benefits derived by the operation of the
Order.
The Committee's meetings are widely publicized throughout the
Oregon and Washington pear industry and all interested persons are
invited to attend the meetings and participate in Committee
deliberations on all issues. Like all Committee meetings, the May 29,
2024, meeting was a public meeting and all entities, both large and
small, were able to express views on this issue. Finally, interested
persons were invited to submit comments on this rule, including the
regulatory and information collection impacts of this action on small
businesses.
In accordance with the Paperwork Reduction Act of 1995, (44 U.S.C.
Chapter 35), the Order's information collection requirements have been
previously approved by OMB and assigned OMB No. 0581-0189, Fruit Crops.
No changes in those requirements will be necessary as a result of this
action. Should any changes become necessary, they would be submitted to
OMB for approval.
This rule will not impose any additional reporting or recordkeeping
requirements on either small or large Oregon and Washington pear
handlers. As with all Federal marketing order programs, reports and
forms are periodically reviewed to reduce information requirements and
duplication by industry and public sector agencies.
AMS is committed to complying with the E-Government Act, 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.
AMS has not identified any relevant Federal rules that duplicate,
overlap, or conflict with this rule.
A proposed rule concerning this action was published in the Federal
Register on October 24, 2024 (89 FR 84828). A 30-day comment period
ending November 25, 2024, was provided for interested persons to
respond to the proposal. AMS received two comments during the comment
period. One commenter supported the increased assessment rate, and the
other commenter did not address the merits of the proposed rule.
Accordingly, AMS made no changes to the rule, as proposed.
A small business guide on complying with fruit, vegetable, and
specialty crop marketing agreements and orders may be viewed at:
<a href="https://www.ams.usda.gov/rules-regulations/moa/small-businesses">https://www.ams.usda.gov/rules-regulations/moa/small-businesses</a>. Any
questions about the compliance guide should be sent to Antoinette
Carter at the previously mentioned address in the
[[Page 44316]]
FOR FURTHER INFORMATION CONTACT section.
After consideration of all relevant material presented, including
the information and recommendations submitted by the Committee and
other available information, AMS has determined that this rule is
consistent with and will effectuate the declared policy of the Act.
List of Subjects in 7 CFR Part 927
Marketing agreements, Pears, Reporting and recordkeeping
requirements.
For the reasons set forth in the preamble, the Agricultural
Marketing Service amends 7 CFR part 927 as follows:
PART 927--PEARS GROWN IN OREGON AND WASHINGTON
0
1. The authority citation for 7 CFR part 927 continues to read as
follows:
Authority: 7 U.S.C. 601-674.
0
2. Amend Sec. 927.236 by revising the introductory text and paragraphs
(a) and (b) to read as follows:
Sec. 927.236 Fresh pear assessment rate.
On and after July 1, 2024, the following base rates of assessment
for fresh pears are established for the Fresh Pear Committee:
(a) $0.516 per 44-pound net weight standard box or container
equivalent for any or all varieties or subvarieties of fresh pears
classified as ``summer/fall'';
(b) $0.516 per 44-pound net weight standard box or container
equivalent for any or all varieties or subvarieties of fresh pears
classified as ``winter''; and
* * * * *
Erin Morris,
Administrator, Agricultural Marketing Service.
[FR Doc. 2025-17773 Filed 9-12-25; 8:45 am]
BILLING CODE P
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