WASHINGTON, D.C. The U.S. Department of Agriculture has announced that it has termi nated, as of Jan. 1, the base-excess plan for the Federal Order 4 milk marketing area. According to Rex Lothrop, market administrator, “The termi nation was due to the expiration of legislative authority to incorporate base-excess plans in federal milk marketing orders on Dec. 31, 1996. The termination notice that fol lows was issued by Michael Dunn, assistant secretary of marketing and regulatory programs in the USDA Agricultural Marketing Service. For more information, call (703) 549-7000, or (800) 336-0232; or Green Dragon Livestock (Continued from Pago Alt) remain, along with, as slated ear lier, the small animal sale. All the other Green Dragon auctions — which include the hay straw and grain sale at 10 a.m.; the outdoor flea and tool sale also at 10 a.m.; the produce and household sale at 2 p.m.—will remain as they are. • Disease Resistance North and south • o Talk to your Pioneer Representative. Ask about: 9363 W 36 RELATIVE MATURITY MID-GROUP 111 What a combination! SCN resis tance and the Roundup Ready 1 gene. Exceptional yield potential, excellent emergence and shattering resistance. Roundup' resistance and resistance to soybean cyst nematode Races 3 and 14 make this variety one you'll want to try. Plant on well-drained soils as Phytophthora tolerance is moderate. 9364 36 RELATIVE MATURITY ~ MID-GROUP 111 Exciting, new STS 2 bean. 9364 offers top-end yield potential for growers wishing to use the STS 2 method of weed control Strong standability Very good Phytophthora root rot field tolerance but no genet ic resistance This variety is widely adapted and well suited for no-till. Very good emergence Tall plant with a bushy canopy 9392 39 RELATIVE MATURITY LATE GROUP 111 Record-setting yield potential. Very good Phytophthora root rot tolerance. Excellent field emer gence and shattering resistance Outstanding standabihty. 9396 39 RELATIVE MATURITY LATE GROUP 111 A widely adapted variety with the Roundup Ready 1 gene. 9396 features the Roundup Ready' gene and superior yield potential. Excellent standabihty and field emer gence. This is a very attractive vari ety with outstanding shattering resis- ' tance. USDA Terminates F.O. 4 Base-Excess Plan write to Federal Milk Market Administrator, 333 N. Fairfax Street - Suite 200, P.O. Box 25828, Alexandria, Va.. 22313. DEPARTMENT OF AGRICULTURE Agricultural Marketing Service 7 CFR Part* 1004.1005,1007,1011, and 1040 (DA-M-IS] Milk in the Middle Atlantic, Carolina, Southeast, Tennessee Valley and Louisville- Lexmgton-Evensville Marketing Areas; Termination of Certain Provisions of the Order AGENCY; Agricultural Marketing Service, USDA ACTION: Final rule SUMMARY: This document terminates the base excess payment plan provisions of the Muddle Atlantic, Carolina. Southeast. Tennessee Valley, and Louisville Lexington-Evansvtlle Federal milk marketing orders due to the expiration of legislative authority to incorporate base-excess plans in Federal milk marketing orders on December 31,1006 “We’re sorry to see it go but we feel the Green Dragon will go on without it,” Rohrbach said. “We want our farm friends to keep,com ing. We are rural-oriented and'that is why it is a fanner’s market and we want it to stay that way.” Green Dragon is open every Fri day from 9 a.m.-lO p.m. ‘I S. a. ia I 3* EFFECTIVE DATE: January 1.1007 FOR FURTHER INFORMATION CONTACT: Nicholas Memolt, Marketing Specialist. USDA/AMS/Datry Division, Order Formulation Branch. Room 2971, South Building. P O Box 96456, Washington, DC 20090-6456, (202)600- 1932, e-mail address Nichol9S'_X_MemofiQusd9 gov SUPPLEMENTARY INFORMATION; The Department is issuing this final rule in conformance with Executive Order 12666 This final rule has been reviewed under Executive Order 12988, Civil Justice Reform This rule Is not intended to have a retroactyp effect This rule will not preempt any state or local laws, regulations, or policies, unless they present an irreconcilable conflict with this rule The Agricultural Marketing Agreement Act of 1937, as amended (7 U S C 601*674). provides that administrative proceedings must be exhausted before partes may file suit in court Under section 608c(15)(A) of the Act, any handler subject to an order may request modification or exemption from such order by filing with the Secretary 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 the law 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 m equity is filed not later than 20 days after the date of the entry of the ruling Small Business Consideration In accordance with the Regulatory Flexibility Act (5 US C 601 et seq) as amended the Agricultural Marketing Service has considered the economic Impact of this action on small enures and believes (het this rule could have a significant economic impact on a substantial number of small entitles For the purpose of the Regulatory Flexibility Act. a dairy farm is considered a ‘small business' if It has an annual gross revenue of less than $500,000 and a dairy products manufacturer Is a ‘small business’ if it has fewer than 500 employees For the purposes of determining which dairy farms are 'small businesses,' the 5500,000 per year criterion was used to establish a production guideline of 326,000 pounds per month Although this guideline does not factor in additional monies that may be received by daily produceis, It should be an inclusive standard for most 'small' dairy farmers For purposes of determining a handler's size, If the plant is part of a larger company operating multiple plants that collectively exceed lha 500 employee limit, the plant will be considered a large business even if the local plant has fewer than 500 employees this rule terminates the base-excess plan provisions of llva Federal milk orders Produceis with earned base will no longer receive bdta prices as in the past, but will be paid at least the uniform price throughout the year for their hundredweight of milk. Under a base-excess payment plan, a producer la paid a ‘base price' for 'base milk' and an 'axcesa price" for production In excess of base milk. During the base-paying period of a base-excess plan, base prices are higher than the uniform prices computed for those months while the cxcesa prices an below the uniform price: Using a mprssantative period of May 1896, the drill ranee between the base and uniform prico* in tha Ova ordora WH not graitor than 50.28/cwt., whlla Hit difference belwean tha uniform and exeats prices ranged from SO 45 to 52 81/cwl The economic impact of the termination of bate-excess plans Is likely to be threefold First, for those producers who have been most successful in shifting their herd’s production from the spring to the fail, there will be a reduction in total revenue The loss In revenue would be determined by multiplying the producer's total hundredweight of milk by the uniform price and subtracting that figure from the producer's base imlk at the estimated base price plus the excess milk at the estimated excess price This calculation would have to be computed for each month of the base-paying period On the other hand, for those producers who have mads no effort to shut production from the spring to the fall, there is likely to be an economic windfall at the difference between the uniform price multiplied by their total production and what the producer's milk would have earned using base and excess prices A second economic impact for producers under Orders 5,7,11, and 48 will be experienced by those producers who were planning to go out of business and sell their bass at the end of the base-building period, but before the start of the base-paying penod These producers will lose the amount of money that they could have realized by selling their base For example, dunng the 1895 base-building period, 5500 producers earned base in the Southeast market The average dally base for a single producer was 2 933 lbs Based on the average price per pound for base in 1995 (51 62/lb based on figures obtained from the Market Administrator's office), an average producer in the Southeast could have obtained 54,751 46 from tha aale of such base in 1997 The final effect of the base-excess plen terminebon le impossible to measure in advance of the facts Under the base and excess plans in Orders 5,7,11 and 46, dairy farmers who were not on a market during the baaa-building period are discouraged from pooling their milk on the market during the baae-payhig period because they would only receive the excess price for their milk Without a base and excess p|pn, however, there would be no such disincentive Theoretically, therefore, It is possible that producers who are not normally associated with these markets will became associated with them during the flush production months to take advantage of a price difference between these generally deficit, high Class I utilization markets and the producers' norms), lower utilization. lower-priced market To whet extent the attachment of this additional milk will lower the uniform price in the 5 base-excess plan markets cannot ba dstermined at this time Regardless of the possible economic effects which may result from termination of seasonal base plana upon small entities there Is no alternative to this termination action since the underlying statutory authority expires on December 31, IBM In considering the hnpect of this action on small businesses, the termination of seasonal base plans wW also cause a reduction hi lncMter Fanning, Srtuntoy, January 4, 1»7-A« paperwork Base-excess plans generate a large volume of paperwork for the Market Administrator's office, as well as for cooperative associations and handlers' with non-member supplies Termination of such plans will place less of a regulatory burden on those responsible for recordkeeping, administration, and compliance with these provisions Statement of Consideration This order of termination is issued pursuant to the provisions of the Agricultural Marketing Agreement Act and of the orders regulating the handling of milk in the Middle Atlantic, Carolina, Southeast. Tennessee Valley and Louisville-Lexmgton-Evansvflle marketing areas It is determined that notice of proposed rulemaking and public procedure thereon is impracticable, unnecessary and contrary to the public interest The expiration of authority to incorporate seasonal base plans in Federal milk marketing orders on December 31.1996 necessitates the termination of base-excess plan provisions The Department received several letters requesting that seasonal base plans be suspended, rather than rerminated While (he Department considered suspending the provisions, we concluded that an order provision cannbt be suspended once the underlying legislative authority for that provision has expired Nevertheless, should Congress pass future legislation authorizing seasonal base plans, it could provide for an expedited procedure to reinstate the order provisions Altar consideration of all relevant material, and other available information, it is hereby found and determined that effective January 1,1997, the provisions of each of the orders specified below do not tend to effectuate the declared policy of the Act List of Subjects in 7 CFR Parts 1004,1005, 1007,1011, and 1046 MHk marketing orders For the reasons set forth in the preamble, 7 CFR Parts 1004,1005,1007.1011, and 1046 are amended as follows 1 The authority dlalion tor 7 CFR Parts 1004,1005,1007,1011, and 1046contmuasto read as follows Authority 7USC 601-674 PART 1004 - MILK IN THE MIDDLE ATLANTIC MARKETING AREA {1004.61 [Amandad] 2 In $ 1004 61, paragraph (b) is removed and reserved, and the section heading and Introductory text are revised to read as follows {1004.61 Compulation of weighted average differential price and producer nonfat milk solids price. For each month the market adminMrator shall compute a ‘weighted average differential price' end a ‘producer nonfat mlk solids price', as follows {1004.03 [Amandad] 3 In $ 1004 63, the words The weighted average differential price for base mlk and' are removed, and the section heading ■ revised to read as fallows f 1004.55 Announcement of weighted average differential price, nonfat milk aolids price and producer nonfat milk aolids price. 11004.73'[Amended] 4 In 11004 73. paragraph (a) is amended by removing the word "base" paragraph (a)(1) la amended by removing the phrase 'for base mHk computed pursuant to $ 1004 81(b)’ and the word 'bass', and paragraph (b) Is removed $1004.75 (Amended] 5 In $ 1004 75 paragraph (a) the words ‘for base milk computed pursuant to §lOO4 61(b)* are removed H 1004.90,1004.01,1004.02,1004.03,1004.04 and 1004.05 (Removed) 6 § 1004 90 and the undesignated cenlerheading preceding X. and §§ 1004 91 through 1004 95 are removed PART 1005 - MILK IN THE CAROLINA MARKETING AREA § 1005.32 (Amended] 7 In $lOO5 32. paragraph (a) is removed and reserved § 1006.51 {Amended] 8 In § 1005 61. paragraph (a) is amended by removing the words ‘of June through January*, paragraph (a)(6) is amended by removing the words 'for the months of June through January', paragraph (b) Is removed and the section heading is revised to read as follows f 1005.01 Computation of uniform pnea (including weighted average price). § 1005.52 [Amended] 9 In $ 1005 62 paragraph (b) is revised to read as follows 11005.52 Announcement of unriorm price and buttorfat differential. • • • • • (b) The 11th day alter the end ol each month the uniform price pursuant to § 1005 81 for such month § 1005.71 [Amended] 10 In $lOO5 71 paragraph(a)(2)(i). the latter ‘(s)' at the end of the word 'price(s)' la removed - §1005.73 [Amended] 11 In §lOO5 73, paragraph (a)(2) is amended by removing the latter '(a)’ at the end of the word 'price(s)’ and the words ‘or base milk and excess mlk‘, paragraph (c)(2) Is amended by removing the word 'appropriate' and the letter *(s)‘ at the end of the word *price(s)‘, paregrephs(d)(4) and (5) are amended by removing the letter *(s)‘ at the end of the word ‘rate(s)‘ everywhere it appears, and paragraph (d)(3) is removad and reserved §1005.74 (Amended] 12 § 1005 74 is amended by removing the letter *(s)‘ at the end of the word ‘price(s)‘ §1005.75 [Amended] 13 In § 1005 75, paragraph (a) is amended by removing the words ‘and the uniform price for base imlk‘ §§ 1005.00,1005.01,1005.02,1005.03, and 1005.04 [Removed] 14 §1005.00 and the undesignoted centerheading preceding it, and §§ 1005 01 through 1005 04 are removed PART 1007 - MILK IN THE SOUTHEAST MARKETING AREA § 1007.32 [Amended] 15 In § 1007 32. paragraph (a) la removed and reserved § 1007.51 [Amended] 16 In $ 1007 61 paragraph (a) it amended by removing the words ‘of June through January*, paragraph (a)<s) is amended by removing the words “for tne months of June through January', paragraph (b) is removed, and the section heading is revised to read as follows § 1007.61 Computation of uniform price (including weighted average pnce). § 1007.62 (Amended] 17 In § 1007 62. paragraph (b) is amended by removing the word ‘applicable" and the letter *(s)‘ at the end of the word *pnce(s}‘ § 1007.71 [Amended] 1S In § 1007 71. paragraph (a)(2)(i) is amended by removing the letter *(s)* at the end of the word *price(s)‘ § 1007.73 (Amended] 19 In §lOO7 73 paragraph (a)(1) is amended by removing the phrase 'or if the* producer had no established base upon which to receive payments dunng the base paying months of February through May.", paragraph (a)(2) is amended by removing the letter *(s)‘ at the end of the word ”pnce(s)‘ and the words ‘or base milk and excess milk", paragraph (d)(2) is amended by removing the word ‘appropriate* and the letter '(s)‘ at the end of the word *pnce(s)' paragraphs (0(4) and (5) are amended by removing the letter *(s)‘ at the endof the word ”rate(s)* and the word "(are)” wherever they appear and paragraph (f)(3) is removed and reserved f 1007.74 (Amended] 20 In § 1007 74 the letter “s' at the end of the word ‘prices’ and the words ‘for base and excess milk" are removed f 1007.75 (Amended] 21 In § 1007 75 paragraph (a) is amended by removing the phrase "and the uniform price for bate milk' $f 1007.00.1007.01,1007.02,1007.03, and 1007.04 (Removed] 22 $ 1007 00 and the undesignated centerheading preceding it. and §§ 1007 01 through 1007 94 are removed PART 1011 ■ MILK »N THE TENNESSEE VALLEY MARKETING AREA § 1011.32 (Amended) 23 In f 1011 32 paragraph (a) is removed and reserved fi 1011.01 (Amended] 24 In $ 1011 61. paragraph (a) It amended by removing the words 'of July through February', paragraph (b) it removed, and the section heading it revised to read as follows {lOll.Ol Computation of uniform price (including weighted average price) f 1011.02 (Amended) 25 In $ 1011 62 peragraph (b) is * amended by removing the word 'applicable” and the letter 's' at the end of the word 'prices* 11011,71 (Amended) 26 In $ 1011 71 paragraph (a)(2)(i) is amended by removing the letter 's' at the end of the word 'pnees* 11011.73 (Amended] 27 In 1101173. peragraph (a)(2) is amended by removing the phrase 'or base mHk and excess milk* and the letter "(s)” at the end of the word a price(s)'. peragraph (c)(2) is amended by removing the word 'appropriate' and the letter '(«)' at the end of the word 'price(s)' paragraphs (d)(4) and (5) are amended by removing the letter '(s)' at the end of the word ‘rate(s)* wherever it appears, and paragraph (d)(3) is removed and reserved § 1011.74 (Amended] 28 ln§ 1011 74. the letter'(s)'atthe end of the word *price(s)' is removed f 1011.75 (Amended] 29 In § 1011 75. paragraph (a) is amended by removing the words 'and the uniform price for base mdk" H 1011.10,1011.91,1011.92,1011.93, and 1011.94 (Removed] 30 § 1011 90 and the undesignated centerheading preceding it. and §§ 1011 91 through 1011 94 are removed PART 1046 - MILK IN THE LOUKVILLE LEXINOTON-EVANSVILLE MARKETMO AREA 11046.32 [Amended] 31 In § 1048 32, paragraph (d) ra removed and reserved {1044.11 [Amended] 32 In § 1046 61, paragraph (a) la amend ad by removing the words 'of July through February', paragraph (b)■removed, and the ' taction heading la reviaad to read aa fottowr 11046.61 Computation o* uniform price (including weighted average price), f 1046.62 (Amended] 33 In $ 1046 62 paragraph (b) Is amended by removing the word ‘applicable' and the letter ‘(a)* al the end of the word 'price(s)' «1046.71 (Amended] 34 In $ 1046 71 paragraph (a)(2)(i) is amended by removing the word 'applicable’ and the letter '(a)' at the end of the word *price(s)’ 11046.73 (Amended] 35 In $ 1046 73 the last sentence in paragraph (a) is removed paragraph (b) Is amended by removing the letter ‘(s)‘ at the end of the word *price(t)' and the words 'or base milk and excess milk*, paragraphs (d)(4) and (5) are amended by removing the letter '(s)‘ al the end of the word *rale(s)' everywhere it appears and paragraph (d)(3) is removed and resented 11046.74 (Amended] 36 In i 1046 74, the letter ‘(s)' at the end of the word 'pnce(s)" is removed 11046.76 (Amended] 37 In $ 1046 75. paragraph (a) is amended by removing the phrase 'and the undorm price for base milk' H 1046.60,1046.61,1046.62,1046.63, pnd 1046.64 (Removed] 38 11046 90 and Vie undesignated cenlerhcadmg preceding H, and $S 1046 91 through 1048 94 are removed Dated December 23, IBM eMarit Secretary irk.toj-end Regulatory Programs NOT L10N... fflf CUSSKXD LIVESTOCK SttTMK HAS KASTIV SELECTIONS!
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