Rule2026-09502
Domestic Dates Produced or Packed in Riverside County, California; Decreased Assessment Rate
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 13, 2026
Effective
June 12, 2026
Issuing agencies
Agriculture DepartmentAgricultural Marketing Service
Abstract
This final rule implements a recommendation from the California Date Administrative Committee (Committee) to decrease the assessment rate established for the 2024-2025 crop year and subsequent crop years from $0.15 to $0.05 per hundredweight for domestic dates produced or packed in Riverside County, California. The assessment rate will remain in effect indefinitely unless modified, suspended, or terminated.
Full Text
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<title>Federal Register, Volume 91 Issue 92 (Wednesday, May 13, 2026)</title>
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[Federal Register Volume 91, Number 92 (Wednesday, May 13, 2026)]
[Rules and Regulations]
[Pages 26893-26895]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2026-09502]
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Rules and Regulations
Federal Register
________________________________________________________________________
This section of the FEDERAL REGISTER contains regulatory documents
having general applicability and legal effect, most of which are keyed
to and codified in the Code of Federal Regulations, which is published
under 50 titles pursuant to 44 U.S.C. 1510.
The Code of Federal Regulations is sold by the Superintendent of Documents.
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Federal Register / Vol. 91, No. 92 / Wednesday, May 13, 2026 / Rules
and Regulations
[[Page 26893]]
DEPARTMENT OF AGRICULTURE
Agricultural Marketing Service
7 CFR Part 987
[Doc. No. AMS-SC-24-0049]
Domestic Dates Produced or Packed in Riverside County,
California; Decreased Assessment Rate
AGENCY: Agricultural Marketing Service, USDA.
ACTION: Final rule.
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SUMMARY: This final rule implements a recommendation from the
California Date Administrative Committee (Committee) to decrease the
assessment rate established for the 2024-2025 crop year and subsequent
crop years from $0.15 to $0.05 per hundredweight for domestic dates
produced or packed in Riverside County, California. The assessment rate
will remain in effect indefinitely unless modified, suspended, or
terminated.
DATES: Effective June 12, 2026.
FOR FURTHER INFORMATION CONTACT: Peter Sommers, Marketing Specialist,
or Abigail Maharaj, Chief, West Region Branch, Market Development
Division, Specialty Crops Program, AMS, USDA; telephone: (559) 487-
5901, or email: <a href="/cdn-cgi/l/email-protection#cb9baebfaeb999e598a4a6a6aeb9b88bbeb8afaae5aca4bd"><span class="__cf_email__" data-cfemail="134376677661413d407c7e7e76616053666077723d747c65">[email protected]</span></a> or <a href="/cdn-cgi/l/email-protection#6726050e00060e0b492a060f0615060d271214030649000811"><span class="__cf_email__" data-cfemail="6d2c0f040a0c040143200c050c1f0c072d181e090c430a021b">[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 the Agricultural
Marketing Agreement Act of 1937, as amended (7 U.S.C. 601-674) (the
Act), amending Marketing Order No. 987 (7 CFR part 987; the Order),
regulating the handling of domestic dates produced or packed in
Riverside County, California. The Committee locally administers the
Order and is comprised of producers and handlers of dates operating
within the area of production.
This final action is exempt from the Office of Management and
Budget (OMB) review process required by Executive Order 12866. This
final rule would amend existing Marketing Order No. 987, as amended (7
CFR part 987), ``Domestic Dates Produced or Packed in Riverside
Country, California,'' and is necessary for the continued operation of
Marketing Order No. 987. Additionally, this final action is exempt from
the requirements of Executive Order 14192, ``Unleashing Prosperity
Through Deregulation,'' pursuant to section 5(c).
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. The Agricultural Marketing Service
(AMS) has determined that this final 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, California
date 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 dates for the 2024-2025 crop
year, 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 608c(15)(A) of the
Act, any handler subject to an order may file with the U.S. Department
of Agriculture (USDA) a petition stating that the order, any provision
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 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 decreases the assessment rate for California dates
handled under the Order from $0.15 to $0.05 per hundredweight for the
2024-2025 crop year and subsequent crop years.
Sections 987.71 and 987.72 of the Order authorize the Committee,
with AMS approval, 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 2023-2024 crop year and subsequent crop years, the
Committee recommended, and AMS approved, an assessment rate of $0.15
per hundredweight of California dates. That rate continues in effect
from crop year to crop year 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 June 27, 2024, and unanimously recommended,
with a vote of six in favor and none opposed, 2024-2025 crop year
expenditures of $89,410 and an assessment rate of $0.05 per
hundredweight of California dates handled for the 2024-2025 crop year
and subsequent crop years. In comparison, the 2023-2024 crop year's
budgeted expenditures were $75,800. The $0.05 per hundredweight
assessment rate is $0.10 lower than the rate currently in effect. The
Committee recommended decreasing the assessment rate to reduce its
reserve funds to within a level authorized under the Order. The
Committee projects 300,000 hundredweight of assessable California dates
for the 2024-2025 crop year, down from the 426,000 hundredweight that
the Committee initially projected for the 2023-2024 crop year.
The Committee derived the recommended assessment rate by
considering anticipated crop year
[[Page 26894]]
expenses, an expected 300,000 hundredweight of assessable dates, and
the amount of funds available in the authorized reserve. The expected
300,000 hundredweight of assessable California dates would generate
$15,000 in assessment revenue at the assessment rate (300,000
hundredweight multiplied by $0.05 assessment rate). The Committee
believes income generated from handler assessments, along with
approximately $68,310 in reserve funds and $6,100 of surplus allocation
income from the date cull program will be sufficient to meet the
Committee's estimated program expenditures of $89,410 for the 2024-2025
crop year. Funds available in the financial reserve (currently about
$129,000) will be kept within the maximum permitted by the Order (not
to exceed the average of annual expenses for the preceding five years,
as authorized in Sec. 987.72).
The assessment rate will continue in effect indefinitely until
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
crop year 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 crop year budget,
and those for subsequent crop years, 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 are unique regulations in that they are brought
about through group action of typically small entities acting on their
own behalf.
There are approximately 70 producers of California dates in the
production area and 11 handlers of California dates subject to
regulation under the Order. At the time this analysis was prepared, the
Small Business Association (SBA) defined small agricultural producers
of California dates as those having annual receipts equal to or less
than $3,500,000 (North American Industry Classification System (NAICS)
code 111339, Other Noncitrus Fruit Farming) and small agricultural
service firms as those having annual receipts equal to or less than
$34,000,000 (NAICS code 115114, Postharvest Crop Activities) (13 CFR
121.201).
According to the USDA National Agricultural Statistics Service
(NASS), data for the most-recently completed crop year (2023) shows
that the average price producers received for California dates was
$2,630 per ton, with an estimated production of 35,300 tons. Using the
average price producers received, production information, and the
number of producers, the majority of producers have estimated annual
receipts of less than $3,500,000 ($2,630 multiplied by 35,300 tons
equals $92,839,000, divided by 70 producers equals $1,326,271 per
producer). Thus, the majority of California date producers may be
classified as small entities, according to the SBA definition.
In addition, AMS Market News reported an average terminal market
price of $43.09 per 11-pound carton for the 2023 calendar year
(California origin, Medjool variety, non-organic, all terminal markets,
all grades and sizes). With approximately 70,600,000 pounds handled,
the industry would have shipped an estimated 6,418,182, 11-pound
cartons (70,600,000 pounds divided by 11 pounds) of packaged dates for
a total value of $276,559,462 (6,418,182 multiplied by $43.09). With 11
date handlers within the production area, the 2023 average revenue per
handler is estimated to be $25,141,769 ($276,559,462 divided by 11),
which is below the $34,000,000 SBA size threshold for handlers. Thus,
assuming a normal distribution, most California date handlers may be
classified as small entities.
This final rule decreases the assessment rate collected from
handlers for the 2024-2025 and subsequent crop years from $0.15 to
$0.05 per hundredweight of assessable California dates. The Committee
unanimously recommended 2024-2025 crop year expenditures of $89,410 and
an assessment rate of $0.05 per hundredweight of California dates. The
assessment rate of $0.05 is $0.10 lower than the rate currently in
effect. The Committee expects the industry to handle 300,000
hundredweight of assessable California dates during the 2024-2025 crop
year. Thus, the $0.05 per hundredweight rate should provide $15,000 in
assessment income (300,000 hundredweight multiplied by $0.05 per
hundredweight). The Committee expects income derived from handler
assessments, along with reserve funds and surplus allocation income
from the date cull program, should be sufficient to meet budgeted
expenditures for the 2024-2025 crop year.
The Committee recommended decreasing the assessment rate to utilize
funds from its reserve to meet necessary expenses for the 2024-2025
crop year, and ensure the reserve is maintained at a level in
compliance with order requirements.
Prior to arriving at this budget and assessment rate
recommendation, the Committee discussed various alternatives, including
reducing the assessment rate more and/or less than the rate herein.
However, the Committee determined that the recommended assessment rate
would achieve its goals of both adequately funding Committee operations
and reducing the reserve to an appropriate level. Consequently, those
alternatives were rejected.
A review of historical and preliminary information pertaining to
the upcoming crop year indicates the average producer price for the
2024-2025 crop year should be approximately $2,847 per ton ($142.35 per
hundredweight) of California dates. Therefore, the estimated assessment
revenue for the 2024-2025 crop year as a percentage of total producer
revenue would be about 0.04 percent ($0.05 per hundredweight assessment
rate divided by $142.35 multiplied by 100).
This final rule decreases the assessment obligation imposed on
handlers. Assessments are applied uniformly on all handlers, and some
of the costs may be passed on to producers. However, these costs are
expected to be offset by the benefits derived by the operation of the
Order.
Committee meetings are widely publicized throughout the production
area. The California date industry and all interested persons are
invited to attend the meetings and participate in Committee
deliberations on all issues. Like all Committee meetings, the June 27,
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.
[[Page 26895]]
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. 0581-0178, Vegetable
and Specialty Crops. No changes in those requirements are necessary as
a result of this rule. Should any changes become necessary, they would
be submitted to OMB for approval.
This final rule will not impose any additional reporting or
recordkeeping requirements on either small or large California date
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 final rule.
A proposed rule concerning this action was published in the Federal
Register on September 12, 2025 (90 FR 44151). Copies of the proposed
rule were provided to all California date handlers. In addition, the
proposal was made available through the internet by AMS and the Office
of the Federal Register via <a href="https://www.regulations.gov">https://www.regulations.gov</a>. A 30-day
comment period ending October 14, 2025, was provided to all interested
persons to respond to the proposal. AMS received no comments during the
comment period. Accordingly, AMS made no changes to the rule as
proposed.
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 effectuates the purposes of the Act.
List of Subjects in 7 CFR Part 987
Dates, Marketing agreements, Reporting and recordkeeping
requirements.
For the reasons set forth in the preamble, 7 CFR part 987 is
amended as follows:
PART 987--DOMESTIC DATES PRODUCUED OR PACKED IN RIVERSIDE COUNTY,
CALIFORNIA
0
1. The authority citation for 7 CFR part 987 continues to read as
follows:
Authority: 7 U.S.C. 601-674.
0
2. Revise Sec. 987.339 to read as follows:
Sec. 987.339 Assessment rate.
On and after October 1, 2024, an assessment rate of $0.05 per
hundredweight is established for dates produced or packed in Riverside
County, California.
Erin Morris,
Administrator, Agricultural Marketing Service.
[FR Doc. 2026-09502 Filed 5-12-26; 8:45 am]
BILLING CODE;P
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