1995 Extra Long Staple Cotton Program

DEPARTMENT OF AGRICULTURE

Commodity Credit Corporation

7 CFR Parts 1413 and 1427

RIN 0560-AD42

1995 Extra Long Staple Cotton Program

AGENCY: Commodity Credit Corporation, USDA.

ACTION: Final rule.

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SUMMARY: On November 7, 1994, the Commodity Credit Corporation (CCC)

issued a proposed rule (58 FR 55378) with respect to the 1995

Production Adjustment Program for Extra Long Staple (ELS) Cotton, which

is conducted by the CCC in accordance with the Agricultural Act of

1949, as amended (1949 Act). The 1995 ELS Cotton Acreage Reduction

Program (ARP) percentage has been determined to be 10 percent. This

final rule amends the regulations to set forth the ARP percentage, the

established (target) price, and the price support rate. No paid land

diversion (PLD) program will be implemented for the 1995 crop of ELS

cotton.

EFFECTIVE DATE: April 10, 1995.

FOR FURTHER INFORMATION CONTACT: Kathryn A. Broussard, Consolidated

Farm Service Agency, United States Department of Agriculture, room

3758-S, P.O. Box 2415, Washington, DC 20013-2415 or call 202-720-9222.

SUPPLEMENTARY INFORMATION:

Executive Order 12866

This rule has been determined to be significant and was reviewed by

the Office of Management and Budget (OMB) under Executive Order 12866.

Regulatory Flexibility Act

It has been determined that the Regulatory Flexibility Act is not

applicable to this final rule since the CCC is not required by 5 U.S.C.

553 or any other provision of law to publish a notice of final

rulemaking with respect to the subject matter of these determinations.

Environmental Evaluation

It has been determined by an environmental evaluation that this

action will not have a significant impact on the quality of the human

environment. Therefore, neither an Environmental Assessment nor an

Environmental Impact Statement is needed. [[Page 17985]]

Federal Assistance Program

The title and number of the Federal Assistance Program, as found in

the catalog of Federal Domestic Assistance, to which this rule applies

are: Cotton Production Stabilization--10.052.

Executive Order 12778

This final rule has been reviewed in accordance with Executive

Order 12778. The provisions of the final rule do not preempt State

laws, are not retroactive, and do not involve administrative appeals.

Executive Order 12372

This program/activity is not subject to the provisions of Executive

Order 12372, which requires intergovernmental consultation with State

and local officials. See notice related to 7 CFR part 3015, subpart V,

published at 48 FR 29115 (June 24, 1983).

Paperwork Reduction Act

The amendments to 7 CFR parts 1413 and 1427 set forth in this final

rule do not contain information collections that require clearance by

the Office of Management and Budget under the provisions of 44 U.S.C.

35.

Background

This final rule amends 7 CFR part 1413 to set forth determinations

on the 1995 ARP and the PLD Program and 7 CFR part 1427 to set forth

the determinations on the 1995 price support level. General

descriptions of the statutory basis for the 1995 ELS ARP percentage

determination in this final rule were set forth in the proposed rule at

59 FR 55378 (November 7, 1994).

Three comments were received during the comment period. Two

respondents recommended that an ARP level not higher than 10-percent

would be sufficient to maintain a stable level of supplies. One

respondent recommended a 15-percent ARP, but recognized that a 10-

percent ARP would be acceptable.

In accordance with statutory requirements, the Secretary of

Agriculture (Secretary) announced: a 10-percent ARP; a price support

level of 79.65 cents per pound; and a target price of 95.6 cents per

pound, for the 1995 ELS cotton program on December 1, 1994. The

Secretary determined that a 10-percent ARP would maintain U.S.

competitiveness in world markets while balancing the risks of excessive

supplies and possible shortages. A 10-percent ARP reflects the current

supply situation while signaling to domestic and foreign customers that

the U.S. will be a reliable supplier.

Acreage Reduction

In accordance with section 103(h)(5) of the 1949 Act, an ARP has

been established for the 1995 crop of ELS cotton at 10 percent.

Accordingly, producers will be required to reduce their 1995 acreage of

ELS cotton for harvest from the crop acreage base established for ELS

cotton by at least this established percentage in order to be eligible

for price support loans, purchase, and payments.

Paid Land Diversion

In accordance with section 103(h)(5)(B) of the 1949 Act, a PLD

Program will not be implemented for the 1995 crop of ELS cotton.

Price Support Rate

In accordance with section 103(h)(2) of the 1949 Act, the price

support rate has been established with respect to the 1995 crop of ELS

cotton at 79.65 cents per pound.

Established (Target) Price

In accordance with section 103(h)(3)(B) of the 1949 Act, the

established (target) price has been established with respect to the

1995 crop of ELS cotton at 95.6 cents per pound.

List of Subjects

7 CFR Part 1413

Acreage allotments, Cotton, Disaster assistance, Feed grains, Price

support programs, Reporting and recordkeeping requirements, Rice, Soil

conservation, Wheat.

7 CFR Part 1427

Cotton, Loan programs/agriculture, Packaging and containers, Price

support programs, Reporting and recordkeeping requirements, Surety

bonds, Warehouses.

Accordingly, 7 CFR parts 1413 and 1427 are amended as follows:

PART 1413--FEED GRAIN, RICE, UPLAND AND EXTRA LONG STAPLE COTTON,

WHEAT AND RELATED PROGRAMS

1. The authority citation for 7 CFR part 1413 continues to read as

follows:

Authority: 7 U.S.C. 1308, 1308a, 1309, 1441-2, 1444-2, 1444f,

1445b-3a, 1461-1469; 15 U.S.C. 714b and 714c.

2. Section 1413.54 is amended as follows by:

A. Revising paragraphs (a)(5)(iii) and (a)(5)(iv), and

B. Adding paragraphs (a)(5)(v),

C. Adding paragraph (d)(5):

Sec. 1413.54 Acreage reduction program provisions.

(a) * * *

(5) * * *

(iii) 1993 ELS cotton, 20 percent;

(iv) 1994 ELS cotton, 15 percent; and

(v) 1995 ELS cotton, 10 percent.

* * * * *

(d) * * *

(5) For the 1995 crop:

(i)-(iii) [Reserved]

(iv) Shall not be made available to producers of ELS cotton.

* * * * *

3. Section 1413.103 is amended by adding paragraph (a)(8)(v) and

revising paragraph (b) to read as follows:

Sec. 1413.103 Established (target) prices.

(a) * * *

(8) * * *

(v) 1995 ELS cotton--$.95.6/lb.

(b) ELS cotton target price for the 1996 crop will be established

as 120 percent of the loan rate for ELS cotton.

PART 1427--COTTON

4. The authority citation for 7 CFR part 1427 continues to read as

follows:

Authority: 7 U.S.C. 1421, 1423, 1425, and 1444-2; 15 U.S.C.

7114b and 714c.

5. Section 1427.8 is amended as follows by:

A. Revising paragraphs (a)(2)(iii) and (a)(2)(iv), and

B. Adding paragraph (a)(2)(v):

Sec. 1427.8 Amount of loan.

(a) * * *

(2) * * *

(iii) 1993 ELS cotton, 88.12 cents per pound;

(iv) 1994 ELS cotton, 85.03 cents per pound; and

(v) 1995 ELS cotton, 79.65 cents per pound.

* * * * *

Signed at Washington, DC on March 31, 1995.

Grant Buntrock,

Acting Executive Vice President, Commodity Credit Corporation.

[FR Doc. 95-8743 Filed 4-7-95; 8:45 am]

BILLING CODE 3410-05-P