Notice of Request for Emergency Approval of a New Information

From: GPO_OnLine_USDA
Date: 2002/11/21


[Federal Register: November 21, 2002 (Volume 67, Number 225)]
[Notices]
[Page 70205-70206]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr21no02-43]

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[[Page 70205]]

DEPARTMENT OF AGRICULTURE

Agricultural Marketing Service

[Doc. No. LS-02-16]

Notice of Request for Emergency Approval of a New Information
Collection

AGENCY: Agricultural Marketing Service, USDA.

ACTION: Notice and request for comment.

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SUMMARY: In accordance with the Paperwork Reduction Act of 1995 (44
U.S.C. chapter 35), this notice announces that the Agricultural
Marketing Service is requesting emergency approval from the Office of
Management and Budget for the new information collection, ``Interim
Voluntary Country of Origin Labeling of Beef, Lamb, Pork, Fish,
Perishable Agricultural Commodities, and Peanuts Under the Agricultural
Marketing Act of 1946.''

DATES: Comments must be received by January 21, 2003, to be considered.

ADDRESSES: Send written comments to: (1) Country of Origin Labeling
Program, Agricultural Marketing Service, USDA STOP 0249, Room 2092-S,
1400 Independence Avenue, SW., Washington, DC 20250-0249, or fax to
(202) 720-3499 or send by E-mail to cool@usda.gov; (2) Office of
Management and Budget, New Executive Office Building, 725 17th Street,
NW., Room 725, Washington, DC 20503, Attention: Desk Officer; and to
(3) Clearance Officer, USDA-OCIO, Room 404-W, Jamie L. Whitten
Building, STOP 7602, 1400 Independence Avenue, SW., Washington, DC
20250-7602.
    All comments will become a matter of public record. Comments will
be available for public inspection from the Agricultural Marketing
Service (AMS) at the above address and over the Agency's Web site at:
http://www.ams.usda.gov/cool/.

FOR FURTHER INFORMATION CONTACT: Eric Forman, Associate Deputy
Administrator, Fruit and Vegetable Programs, AMS, USDA, at:
eric.forman@usda.gov, or William Sessions, Associate Deputy
Administrator, Livestock and Seed Program, AMS, USDA, at:
william.sessions@usda.gov.

SUPPLEMENTARY INFORMATION: Title: Interim Voluntary Country of Origin
Labeling of Beef, Lamb, Pork, Fish, Perishable Agricultural
Commodities, and Peanuts Under the Authority of the Agricultural
Marketing Act of 1946.
    OMB Number: 0581-XXXX.
    Type of Request: New Collection.
    Abstract: Section 10816 of the Farm Security and Rural Investment
Act of 2002 (Pub. L. 107-171) amended the Agricultural Marketing Act of
1946 (7 U.S.C. 1621 et seq.) to require the Department of Agriculture
(USDA) to issue country of origin labeling guidelines for use by
retailers who wish to notify their customers voluntarily of the country
of origin of beef (including veal), lamb, pork, fish, perishable
agricultural commodities, and peanuts. These guidelines for the interim
voluntary country of origin labeling of beef, lamb, pork, fish,
perishable agricultural commodities, and peanuts were published in the
September 11, 2002, Federal Register (67 FR 63367). Public Law 107-171
also requires the Secretary to promulgate requirements for mandatory
labeling by September 30, 2004. It is the intent of the Agency that
these guidelines, and experience gained through their voluntary
adoption by the industry, will serve as the basis of the requirements
that will be developed to implement the mandatory labeling program.
    The voluntary guidelines prescribe minimum requirements for a
recordkeeping system and refer to the enforcement provisions that will
be a part of the mandatory program. Recordkeeping is essential to the
integrity of any country of origin labeling program, whether it be a
voluntary program or a mandatory program. Recordkeeping creates a paper
trail that is a critical element in carrying out any internal reviews
of a system conducted by industry representatives under a voluntary
program or in enforcement audits that will be necessary for the Agency
to conduct under the mandatory program. Additionally, the establishment
of minimum recordkeeping requirements for the voluntary program serves
the industry by providing a basis for the evaluation of compliance with
the guidelines, for administering the program, for management decisions
and planning, and for establishing the cost of the program. In
addition, under the mandatory program, it supports administrative and
regulatory actions the Agency may have to take in response to findings
of noncompliance.
    In general, under the voluntary program, the information collected
will be used by industry personnel. It will be created, maintained,
and/or submitted by producers, importers, handlers, and retailers.
Additionally, it will necessitate that all of these entities have
recordkeeping procedures in place.
    The burden on each industry sector is discussed below. One major
estimate made about each entity is the number of entities likely to
participate in this voluntary program. Because the Agency has no basis
to determine the level of participation in this program, it has
estimated that all industry members that could be affected by the
mandatory program will participate in the voluntary program. In
estimating the burden hours associated with the recordkeeping
requirements imposed on each industry sector, AMS drew upon its
experience with the oversight of auditable and verifiable origin-based
documented marketing programs already administered by the Agency.
    Producers (commercial farms, ranches, and fishermen). USDA
estimates that there are approximately 2 million commercial farms,
ranches, and fishermen in the United States. Although a number of these
farms, ranches, and fishermen may not produce products that are covered
by these guidelines, or sell to outlets that would require their
suppliers to adopt these guidelines, this analysis assumes that all of
these farms, ranches, and fishermen will implement a system for the
voluntary labeling of the country of origin for the products these
farms, ranches, and fishermen produce. AMS estimates that the time
required for a producer to develop a recordkeeping system that would
meet the requirements of these guidelines to be 1 day. AMS estimates
that the ongoing

[[Page 70206]]

time required generating and maintaining the required records to be
approximately 1 hour per month. Although AMS recognizes that many
large-scale producers, such as large cattle feedlots, will require
substantial more time than these estimates, AMS believes that the
overall averages presented here to be accurate. For the purposes of
this program, AMS also estimates the hourly rate, or value of time for
a producer to be $25 per hour.
    Accordingly, AMS estimates that the total burden for producers to
develop a recordkeeping system that would comply with these guidelines
to be 2 million producers x $25 per hour x 8 hours, or $400 million. In
addition, AMS estimates that the total annual burden for producers to
generate and maintain the records required to comply with these
voluntary guidelines to be 2 million producers x $25 per hour x 12
hours, or $600 million. Therefore, the total potential burden of this
program on producers in the first year could be $400 million + $600
million, or $1 billion.
    Food Handlers (including packers, processors, importers,
wholesalers, and distributors): AMS estimates that there are 100,000
food handlers. Although a number of these food handlers may not process
or handle products that are covered by these guidelines or sell to
outlets that would require their suppliers to adopt these guidelines,
this analysis assumes that all of these food handlers will implement a
system for the voluntary labeling of the country of origin for the
products they process or handle. AMS estimates that the time required
for a food handler to develop a recordkeeping system that would meet
the requirements of these guidelines to be 2 days. AMS estimates that
the ongoing time required generating and maintaining the required
records to be approximately 1 hour per week. Although AMS recognizes
that many large facilities, such as large-scale meatpackers, will
require substantially more time than these estimates, AMS believes that
the overall averages presented here to be accurate. For the purposes of
this program, AMS also estimates the hourly rate, or value of time for
a food handler to be $50 per hour.
    Accordingly, AMS estimates that the total burden for food handlers
to develop a recordkeeping system that would comply with these
guidelines to be 100,000 food handlers x $50 per hour x 16 hours, or
$80 million. In addition, AMS estimates that the total annual burden
for food handlers to generate and maintain the records required to
comply with these voluntary guidelines to be 100,000 food handlers x
$50 per hour x 52 hours, or $260 million. Therefore, the total
potential burden of this program on food handlers in the first year
could be $80 million + $260 million, or $340 million.
    Retailers: There are currently approximately 31,000 Perishable
Agricultural Commodities Act licensee outlets that would be considered
retailers and covered by these voluntary guidelines. Although a number
of these retailers may choose not to adopt these guidelines, this
analysis assumes that all of these retailers will implement a system
for the voluntary labeling of the country of origin for the products
they sell. AMS estimates that the time required for a retailer to
develop a recordkeeping system that would meet the requirements of
these guidelines to be 5 days. AMS estimates that the ongoing time
required generating and maintaining the required records to be
approximately 1 hour per day. Although AMS recognizes that many large
retailers, such as supermarkets, will require substantially more time
than these estimates, AMS believes that the overall averages presented
here to be accurate. For the purposes of this program, AMS also
estimates the hourly rate, or value of time for the employee of a
retailer to be $50 per hour and that a retailer will work 7 days a
week.
    Accordingly, AMS estimates that the total burden for retailers to
develop a recordkeeping system that would comply with these guidelines
to be 31,000 retailers x $50 per hour x 40 hours, or $62 million. In
addition, AMS estimates that the total annual burden for retailers to
generate and maintain the records required to comply with these
voluntary guidelines to be 31,000 retailers x $50 per hour x 365 hours,
or $565.75 million. Therefore, the total potential burden of this
program on retailers in the first year could be $62 million + $565.75
million, or $627.75 million.
    Annual Reporting and Recordkeeping Burden for the First Year:
    Estimated Number of Respondents: 2,131,000.
    Total Annual Hours: 59,355,000.
    Total Cost: $1,967,750,000.
    Comments. Comments are requested on these recordkeeping
requirements. Comments are specifically invited on: (1) Whether the
recordkeeping is necessary for the proper operation of this voluntary
program, including whether the information would have practical
utility; (2) the accuracy of USDA's estimate of the burden of the
recordkeeping requirements, including the validity of the methodology
and assumptions used; (3) ways to enhance the quality, utility, and
clarity of the records to be maintained; and (4) ways to minimize the
burden of the recordkeeping on those who are to maintain and/or make
the records available, including the use of appropriate automated,
electronic, mechanical, or other technological recordkeeping techniques
or other forms of information technology.

    Dated: November 14, 2002.
A.J. Yates,
Administrator, Agricultural Marketing Service.
[FR Doc. 02-29602 Filed 11-20-02; 8:45 am]

BILLING CODE 3410-02-P



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