National Marketing Quotas for Fire-Cured (Type 21), Fire-Cured (Types 22-23), Dark Air-Cured (Types 35-36), Virginia Sun-Cured (Type 37), and Cigar-Filler and Cigar-Binder (Types 42-44 and 53-55) Tobaccos

DEPARTMENT OF AGRICULTURE

Farm Service Agency

7 CFR Part 723

RIN 0560-AF03

National Marketing Quotas for Fire-Cured (Type 21), Fire-Cured

(Types 22-23), Dark Air-Cured (Types 35-36), Virginia Sun-Cured (Type

37), and Cigar-Filler and Cigar-Binder (Types 42-44 and 53-55) Tobaccos

AGENCY: Farm Service Agency, USDA.

ACTION: Proposed rule.

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SUMMARY: The Secretary of Agriculture (the Secretary), is required to

proclaim by March 1, 1997, national marketing quotas for fire-cured

(types 21-23) and dark air-cured (types 35-36) tobaccos for the 1997-

98, 1998-99, and 1999-2000 marketing years (MYs) and to determine and

announce the amounts of the national marketing quotas for fire-cured

(type 21), fire-cured (types 22-23), dark air-cured (types 35-36),

Virginia sun-cured (type 37), and cigar-filler and cigar-binder (types

42-44 and 53-55) kinds of tobacco for the 1997-98 MY. The public is

invited to submit written comments, views, and recommendations

concerning the determination of the national marketing quotas for such

kinds of tobacco and other related matters which are discussed in this

proposed rule.

[[Page 3831]]

DATES: Comments must be received on or before February 12, 1997, in

order to be assured consideration.

ADDRESSES: Send comments to the Director, Tobacco and Peanuts Division,

Farm Service Agency (FSA), United States Department of Agriculture

(USDA), Room 5750, South Building, STOP 0514, P.O. Box 2415,

Washington, DC 20013-2415. All written submissions will be made

available for public inspection from 8:15 a.m. to 4:45 p.m., Monday

through Friday, except holidays, in Room 5750, South Building, 14th and

Independence Avenue, SW., Washington, DC.

FOR FURTHER INFORMATION CONTACT: Robert L. Tarczy, FSA, USDA, Room

5750, South Building, STOP 0514, P.O. Box 2415, Washington, DC 20013-

2415, 202-720-5346.

SUPPLEMENTARY INFORMATION:

Executive Order 12866

This proposed rule has been determined to be significant for

purposes of Executive Order 12866 and, therefore, has been reviewed by

OMB.

Federal Assistance Program

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

the Catalog of Federal Domestic Assistance, to which this notice

applies are: Commodity Loans and Purchases--10.051.

Executive Order 12778

This proposed rule has been reviewed in accordance with Executive

Order 12778, Civil Justice Reform. The provisions of the proposed rule

do not preempt State laws, are not retroactive, and do not involve

administrative appeals.

Regulatory Flexibility Act

It has been determined that the Regulatory Flexibility Act is not

applicable to this proposed rule since FSA is not required by 5 U.S.C.

553 or any provision of law to publish a notice of proposed rulemaking

with respect to the subject matter of this rule.

Paperwork Reduction Act

The amendments to 7 CFR part 723 set forth in this proposed rule do

not contain any information collection requirements that require

clearance through the Office of Management and Budget under the

provisions of the Paperwork Reduction Act of 1995.

Unfunded Federal Mandates

This rule contains no Federal mandates under the regulatory

provisions of Title II of the Unfunded Mandate Reform Act of 1995

(UMBRA), for state, local, and tribal governments or the private

sector. Thus, this rule is not subject to the requirements of sections

202 and 205 of the UMBRA.

Discussion

The proposed rule would amend 7 CFR part 723 to set forth the 1996-

crop marketing quotas for these five kinds of tobacco.

Section 312(b) of the Agricultural Adjustment Act of 1938, as

amended (the Act), provides that the Secretary shall determine and

announce, not later than March 1, 1997, with respect to kinds of

tobacco specified in this proposed rule, the amount of the national

marketing quota which will be in effect for MY 1997 in terms of the

total quantity of tobacco which may be marketed that will allow a

supply of each kind of tobacco equal to the reserve supply level.

Supply and demand for these kinds of tobacco are in balance. Thus,

changes in 1997 marketing quotas, if any, will likely be small.

Section 312(c) of the Act provides that, within 30 days after

proclamation of national marketing quotas for fire-cured (types 21-23)

and dark air-cured (types 35-36) tobaccos, the Secretary shall conduct

referenda of farmers engaged in the 1996 production of each kind of

tobacco to determine whether they favor or oppose marketing quotas for

MY's 1997, 1998, and 1999. These referenda are required because MY 1996

is the last year of the 3 consecutive MYs for which marketing quotas

previously proclaimed will be in effect.

The Secretary shall proclaim the results of any referendum. If more

than one-third of the farmers voting in a referendum for a kind of

tobacco oppose the quota, the national marketing quota previously

proclaimed shall not become effective. The referendum results shall in

no way affect or limit any subsequent quota proclamation and submission

to a future referendum as otherwise authorized in section 312 of the

Act.

Section 313(g) of the Act authorizes the Secretary to convert the

national marketing quota into a national acreage allotment by dividing

the national marketing quota by the national average yield for the 5

years immediately preceding the year in which the national marketing

quota is proclaimed. In addition, the Secretary is authorized to

apportion, through county committees, the national acreage allotment to

tobacco producing farms, less a reserve not to exceed 1 percent thereof

for new farms and to make corrections and adjust inequities in old farm

allotments, through the national factor. The national factor is

determined by dividing the preliminary quota (the sum of quotas for old

farms) into the quota determined for the MY in question (less the

reserve).

Procedures will continue unchanged for (1) converting marketing

quotas into acreage allotments; (2) apportioning allotments among old

farms; (3) apportioning reserves for use in (a) establishing allotments

for new farms, and (b) making corrections and adjusting inequities in

old farm allotments; and (4) holding referenda.

Request for Comments

This rule proposes to amend 7 CFR part 723, subpart A to include

1997-crop national marketing quotas for fire-cured (type 21), fire-

cured (types 22-23), dark air-cured (types 35-36), Virginia sun-cured

(type 37), and cigar-filler and cigar-binder (types 42-44 and 53-55)

tobaccos. These five kinds of tobacco account for about 4 percent of

total U.S. tobacco production.

Accordingly, comments are requested concerning the establishment of

the national marketing quotas for the following:

(1) Fire-Cured (Type 21) Tobacco

The 1997-crop national marketing quota for fire-cured (type 21)

tobacco will range from 2.0 to 2.2 million pounds. This range reflects

the assumption that the national acreage factor will range from 1.0 to

1.1.

(2) Fire-Cured (Types 22-23) Tobacco

The 1997-crop national marketing quota for fire-cured (types 22-23)

tobacco will range from 40.0 to 44.0 million pounds. This range

reflects the assumption that the national acreage factor will range

from 1.0 to 1.1.

(3) Dark Air-Cured (Types 35-36) Tobacco

The 1997-crop national marketing quota for dark air-cured (types

35-36) tobacco will range from 9.0 to 9.9 million pounds. This range

reflects the assumption that the national acreage factor will range

from 1.0 to 1.1.

(4) Virginia Sun-Cured (Type 37) Tobacco

The 1997-crop national marketing quota for Virginia sun-cured (type

37) tobacco will range from 140,000 to 154,000 pounds. This range

reflects the assumption that the national acreage factor will range

from 1.0 to 1.1.

(5) Cigar-Filler and Cigar-Binder (Types 42-44 and 53-55) Tobaccos

The 1997-crop national marketing quota for cigar-filler and cigar-

binder (types 42-44 and 53-55) tobaccos will range from 8.0 to 8.8

million pounds. This range reflects the assumption that the national

acreage factor will range from 1.0 to 1.1.

[[Page 3832]]

List of Subjects in 7 CFR Part 723

Acreage allotments, Marketing quotas, Penalties, Reporting and

recordkeeping requirements, Tobacco.

Accordingly, it is proposed that 7 CFR part 723, subpart A be

amended as follows:

PART 723--TOBACCO

1. The authority citation for 7 CFR part 723 continues to read as

follows:

Authority: 7 U.S.C. 1301, 1311-1314, 1314-1, 1314b, 1314b-1,

1314b-2, 1314c, 1314d, 1314e, 1314f, 1314i, 1315, 1316, 1362, 1363,

1372-75, 1421, 1445-1, and 1445-2.

2. Section 723.113 is amended by adding paragraph (e) to read as

follows:

Sec. 723.113 Fire-cured (type 21) tobacco.

* * * * *

(e) The 1997-crop national marketing quota will range from 2.0

million pounds to 2.2 million pounds.

3. Section 723.114 is amended by adding paragraph (e) to read as

follows:

Sec. 723.114 Fire-cured (types 22 & 23) tobacco.

* * * * *

(e) The 1997-crop national marketing quota will range from 40.0

million pounds to 44.0 million pounds.

4. Section 723.115 is amended by adding paragraph (e) to read as

follows:

Sec. 723.115 Dark air-cured (types 35-36) tobacco.

* * * * *

(e) The 1997-crop national marketing quota will range from 9.0

million pounds to 9.9 million pounds.

5. Section 723.116 is amended by adding paragraph (e) to read as

follows:

* * * * *

Sec. 723.116 Sun-cured (type 37) tobacco.

* * * * *

(e) The 1997-crop national marketing quota will range from 140,000

to 154,000 pounds.

6. Section 723.117 is amended by adding paragraph (e) to read as

follows:

Sec. 723.117 Cigar-filler and Cigar binder (types 42-44 and 53-55)

tobacco.

* * * * *

(e) The 1997-crop national marketing quota will range from 8.0

million pounds to 8.8 million pounds.

* * * * *

Signed at Washington, DC. January 21, 1997.

Grant Buntrock,

Administrator, Farm Service Agency.

[FR Doc. 97-1874 Filed 1-22-97; 2:34 pm]

BILLING CODE 3410-05-P