45057

Rules and Regulations Federal Register Vol. 85, No. 144

Monday, July 27, 2020

This section of the FEDERAL REGISTER effects, distributive impacts and equity). the petitioner resides or conducts contains regulatory documents having general 13563 emphasizes the business shall have the jurisdiction to applicability and legal effect, most of which importance of quantifying both costs review a final ruling on the petition, if are keyed to and codified in the Code of and benefits, reducing costs, the petitioner files a complaint for that Federal Regulations, which is published under harmonizing rules and promoting purpose not later than 20 days after the 50 titles pursuant to 44 U.S.C. 1510. flexibility. This action falls within a date of the entry of USDA’s final ruling. category of regulatory actions that the The Code of Federal Regulations is sold by Background the Superintendent of Documents. Office of Management and Budget (OMB) exempted from Executive Order This rule changes the eligibility 12866 review. Additionally, because requirements for nominees representing DEPARTMENT OF AGRICULTURE this rule does not meet the definition of domestic manufacturers on the Board. a significant regulatory action it does The Board administers the Softwood Agricultural Marketing Service not trigger the requirements contained Lumber Research, Promotion, Consumer in Executive Order 13771. See OMB’s Education and Industry Information 7 CFR Part 1217 Memorandum titled ‘‘Interim Guidance Order (Order) with oversight by the [Document Number AMS–SC–20–0031] Implementing Section 2 of the Executive USDA. Pursuant to the Order, Order of January 30, 2017, titled assessments are collected from domestic Softwood Lumber Research, ‘Reducing Regulation and Controlling manufacturers and importers, and are Promotion, Consumer Education and Regulatory Costs’ ’’ (February 2, 2017). used for research and promotion Industry Information Order; Change to Executive Order 13175 projects designed to strengthen the the Board Membership Eligibility position of softwood lumber in the Requirements This action has been reviewed in marketplace. This change was accordance with the requirements of recommended to the Secretary by the AGENCY: Agricultural Marketing Service, Executive Order 13175, Consultation Board at its February 26, 2020, meeting, USDA. and Coordination with Indian Tribal and will contribute to the effective ACTION: Final rule. Governments. The review reveals that administration of the program. this regulation would not have Section 1217.40 provides for the SUMMARY: This rule changes the substantial and direct effects on Tribal eligibility requirements for nominees establishment of the Board. The Board governments and would not have is comprised of manufacturers for the representing domestic manufacturers on significant Tribal implications. the Softwood Lumber Board (Board) U.S. market who manufacture and under the Agricultural Marketing Executive Order 12988 domestically ship or import 15 million Service’s (AMS) regulations regarding a This rule has been reviewed under board feet or more of softwood lumber national research and promotion Executive Order 12988, Civil Justice in the United States during a fiscal program for softwood lumber. This Reform. It is not intended to have period. In November 2018, the Board change will help facilitate program retroactive effect. Section 524 of the recommended revising the Board operations. 1996 Act (7 U.S.C. 7423) provides that composition from 19 to 14 members it shall not affect or preempt any other over a three-year period. The Board took DATES: Effective August 26, 2020. Federal or State law authorizing into consideration the consolidation of FOR FURTHER INFORMATION CONTACT: promotion or research relating to an the softwood lumber industry since the Andrea Ricci, Marketing Specialist, agricultural commodity. inception of the program, along with the Promotion and Economics Division, Section 519 of the 1996 Act (7 U.S.C. number of companies eligible to be Specialty Crops Program, AMS, USDA, 7418) provides that a person subject to represented on the Board. Additionally, 755 E Nees Avenue #25985, Fresno, CA an order may file a written petition with the Board recommended that U.S. Board 93720; telephone: (202) 572–1442; or U.S. Department of Agriculture (USDA) members reside in the region they electronic mail: [email protected]. stating that an order, any provision of an represent. This was intended to ensure SUPPLEMENTARY INFORMATION: This rule order, or any obligation imposed in that entities from outside the U.S. that affecting 7 CFR part 1217 (herein the connection with an order, is not own softwood lumber entities within ‘‘Order’’) is authorized by the established in accordance with the law, the U.S. could only represent a U.S. Commodity Promotion, Research, and and request a modification of an order region on the Board if the individual Information Act of 1996 (1996 Act) (7 or an exemption from an order. Any seeking nomination resided in the U.S.C. 7411–7425). petition filed challenging an order, any respective region. The recommendation provision of an order, or any obligation was finalized in a rule that was Executive Orders 12866, 13563, and imposed in connection with an order, published in the Federal Register on 13771 must be filed within two years after the September 25, 2019 (84 FR 50294). The Executive Orders 12866 and 13563 effective date of an order, provision, or 2021 Board and each subsequent Board direct agencies to assess all costs and obligation subject to challenge in the shall be comprised of 14 members, 10 of benefits of available regulatory petition. The petitioner will have the whom shall represent domestic alternatives and, if regulation is opportunity for a hearing on the manufacturers and four of whom shall necessary, to select regulatory petition. Thereafter, USDA will issue a represent importers. Domestic approaches that maximize net benefits ruling on the petition. The 1996 Act manufacturer Board members represent (including potential economic, provides that the district court of the three regions: U.S. South Region; U.S. environmental, public health and safety United States for any district in which West Region; and Northeast and Lake

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States Region. The Order prescribes that seek nomination in one of the regions small businesses will not be domestic manufacturer representatives where the manufacturer they represent disproportionately burdened. The Small reside in the region they represent. has operations will provide flexibility to Business Administration (SBA) defines, the Order, while maintaining the intent in 13 CFR part 121, small agricultural Board Recommendation that Board members representing service firms (domestic softwood The Board met on February 26, 2020, domestic manufacturers reside in the lumber manufacturers and importers) as and recommended the Order be revised U.S. This change will help facilitate those having annual receipts of no more to allow a domestic manufacturer’s program operations. Therefore, than $8 million.1 representative to seek nomination in § 1217.40 (b)(1), (b)(1)(i), (b)(1)(ii), and The Random Lengths Publications, any of the regions where the (b)(1)(iii) will be revised accordingly. Inc.’s yearly average framing lumber manufacturer they represent has composite price was $356 per thousand Final Regulatory Flexibility Act manufacturing operations. The current board feet (mbf) in 2019. Dividing the $8 Analysis Order limits manufacturer million threshold that defines an representatives to seek nomination only In accordance with the Regulatory agricultural service firm as small by this in the region where he or she resides. Flexibility Act (RFA) (5 U.S.C. 601– price results in a maximum threshold of The Board conducted nominations 612), the Agricultural Marketing Service 22.5 million board feet (mmbf) of under the newly implemented (AMS) is required to examine the softwood lumber per year that a provisions and found that clarification impact of the action on small entities. domestic manufacturer or importer may in the Order was needed to reflect the Accordingly, AMS has considered the ship to be considered a small entity for multi-regional nature of manufacturers economic impact of this action on such purposes of the RFA. Table 1 shows the rather than the individual nominee. entities. number of entities and the amount of Several domestic manufacturers have The purpose of the RFA is to fit volume they represent that may be operations in multiple U.S. regions. regulatory actions to the scale of categorized as small or large based on Revising the Order to allow a person to businesses subject to the actions so that the SBA definition.

TABLE 1—DOMESTIC MANUFACTURERS AND IMPORTERS BY SBA SIZE STANDARDS [2019]

Domestic manufacturers Importers Totals Volume Volume Volume Entities (MMBF) Entities (MMBF) Entities (MMBF)

Small ...... 226 1,991 774 1,257 1,000 3,248 Large ...... 290 32,229 106 32,582 396 64,811

Total ...... 516 34,220 880 33,839 1,396 68,059 Sources: Forest Economic Advisors; Customs and Border Protection.

As shown in Table 1, there are a total with the program requirements, 2020, and at the Board meeting on of 1,396 domestic manufacturers and assessments are collected from domestic February 26, 2020. importers of softwood lumber based on manufacturers and importers, and are In accordance with the Paperwork 2019 data. Of these, 1,000 entities, or 72 used for research and promotion Reduction Act of 1995 (44 U.S.C. percent, shipped or imported less than projects designed to strengthen the Chapter 35), the information collection 22.5 mmbf and would be considered position of softwood lumber in the and recordkeeping requirements that are small based on the SBA definition. marketplace. Revising the Order to imposed by the Order have been These 1,000 entities domestically allow a person to seek nomination in approved previously under OMB manufactured or imported 3.25 billion one of the regions where the softwood board feet (bbf) in 2019, less than 5 lumber manufacturer has operations control number 0581–0093. This rule percent of total volume. The revision to will provide flexibility to the Order, will not result in a change to the the Board eligibility requirements will while maintaining the intent that Board information collection and not disproportionately burden small members representing domestic recordkeeping requirements previously domestic manufacturers and importers manufacturers reside in the U.S. approved and will impose no additional reporting and recordkeeping burden on of softwood lumber. Regarding alternatives, the Board domestic manufacturers and importers This rule revises § 1217.40 (b)(1), considered not changing the nominee of softwood lumber. (b)(1)(i), (b)(1)(ii), and (b)(1)(iii) to allow eligibility requirements; however, the domestic softwood lumber manufacturer entire Board determined that making As with all Federal promotion representatives to seek nomination in this change will better align the Order programs, reports and forms are any of the regions where the provisions with industry practices and periodically reviewed to reduce manufacturer they represent has will help facilitate Board operations. information requirements and manufacturing operations. The Order is This change was discussed at the duplication by industry and public administered by the Board with Industry Relations and Governance sector agencies. USDA has not oversight by the USDA. In accordance Committee meeting on February 18, identified any relevant Federal rules

1 SBA does have a small business size standard Based on USDA’s understanding of the lumber reality, a large business. Therefore, USDA used for ‘‘Sawmills’’ of 500 employees (see https:// industry, using this criterion would be impractical ‘‘agricultural service firm’’ as a more appropriate www.sba.gov/sites/default/files/2019-08/ as sawmills often use contractors rather than criterion for this analysis. SBA%20Table%20of%20Size%20Standards_ employees to operate and, therefore, many mills Effective%20Aug%2019%2C%202019_Rev.pdf). would fall under this criterion while being, in

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that duplicate, overlap, or conflict with (i) Five members shall represent DEPARTMENT OF TRANSPORTATION this rule. manufacturers of softwood lumber in AMS is committed to complying with the U.S. South Region, which consists of Federal Aviation Administration the E-Government Act, to promote the the states of , , use of the internet and other Florida, , , Mississippi, 14 CFR Part 39 information technologies to provide North Carolina, , South [Docket No. FAA–2018–0753; Product increased opportunities for citizen Carolina, Tennessee, , Virginia, Identifier 2018–SW–033–AD; Amendment access to Government information and and . For the 2020 Board, 39–21169; AD 2020–15–06] services, and for other purposes. of these five members, two must A proposed rule concerning this RIN 2120–AA64 represent large and three must represent action was published in the Federal Airworthiness Directives; PZL Swidnik Register on May 11, 2020 (85 FR 27690). small domestic manufacturers. For the S.A. Helicopters A 30-day comment period ending June 2021 Board and each subsequent Board of these five members, two must 10, 2020, was provided to allow AGENCY: Federal Aviation interested persons to submit comments. represent large, two must represent Administration (FAA), DOT. small, and one may represent domestic ACTION: Analysis of Comments manufacturers of any size; Final rule; request for comments. Two comments were received in (ii) Five members shall represent response to the proposed rule. One manufacturers of softwood lumber in SUMMARY: The FAA is adopting a new commenter supported the change stating the U.S. West Region for the 2020 airworthiness directive (AD) for certain that it will give the board more Board, and for the 2021 Board and each PZL Swidnik S.A. (PZL) Model W–3A flexibility in seeking the best qualified subsequent Board, four members shall helicopters. This AD requires repetitive people to serve on the Board. The other manufacture softwood lumber in the inspections of the main transmission comment was outside the scope of this U.S. West Region, which consists of the (Main XSMN) case for a crack, and action. depending on the inspection outcome, After consideration of all relevant states of Alaska, , California, Colorado, Hawaii, Idaho, Montana, removing the WR–3 Main XSMN from material presented, including the service before further flight. This AD information and recommendations , New Mexico, North Dakota, Oregon, South Dakota, Utah, was prompted by a report of cracks in submitted by the Board, the comment a Main XSMN case. The actions of this Washington, and . For the received, and other available AD are intended to address an unsafe 2020 Board, of these five members, four information, it is hereby found that this condition on these products. rule, as hereinafter set forth, is must represent large and one must DATES: This AD becomes effective consistent with and will effectuate the represent small domestic manufacturers. August 11, 2020. purposes of the 1996 Act. For the 2021 Board and each subsequent The Director of the Federal Register Board, of the four members, two must List of Subjects in 7 CFR Part 1217 approved the incorporation by reference represent large, one must represent Administrative practice and of a certain document listed in this AD small, and one may represent domestic as of August 11, 2020. procedure, Advertising, Consumer manufacturers of any size; and information, Marketing agreements, The FAA must receive comments on Softwood Lumber promotion, Reporting (iii) One member shall represent a this AD by September 25, 2020. and recordkeeping requirements. manufacturer of softwood lumber in the ADDRESSES: You may send comments by For the reasons set forth in the Northeast and Lake States Region, any of the following methods: preamble, 7 CFR part 1217, is amended which consists of the states of • Federal eRulemaking Docket: Go to as follows: Connecticut, Delaware, Illinois, Indiana, https://www.regulations.gov. Follow the Iowa, , Kentucky, Maine, online instructions for sending your PART 1217—SOFTWOOD LUMBER Maryland, Massachusetts, , comments electronically. RESEARCH, PROMOTION, Minnesota, Missouri, Nebraska, New • Fax: 202–493–2251. CONSUMER EDUCATION AND Hampshire, New Jersey, New York, • Mail: Send comments to the U.S. INDUSTRY INFORMATION ORDER Ohio, Pennsylvania, Rhode Island, Department of Transportation, Docket Vermont, and all other parts Operations, M–30, West Building ■ 1. The authority citation for 7 CFR of the United States not listed in Ground Floor, Room W12–140, 1200 part 1217 continues to read as follows: paragraph (b)(1)(i), (ii), or (iii) of this New Jersey Avenue SE, Washington, DC Authority: 7 U.S.C. 7411–7425; 7 U.S.C. section. This member may represent 20590–0001. • 7401. domestic manufacturers of any size. Hand Delivery: Deliver to the ‘‘Mail’’ address between 9 a.m. and 5 ■ 2. In § 1217.40, paragraphs (b)(1), * * * * * (b)(1)(i), (b)(1)(ii), and (b)(1)(iii), are p.m., Monday through Friday, except revised to read as follows: Erin Morris, Federal holidays. Associate Administrator, Agricultural § 1217.40 Establishment and membership. Examining the AD Docket Marketing Service. You may examine the AD docket on * * * * * [FR Doc. 2020–15715 Filed 7–24–20; 8:45 am] (b) * * * the internet at https:// (1) Domestic manufacturers. Domestic BILLING CODE 3410–02–P www.regulations.gov by searching for manufacturers must reside in the United and locating Docket No. FAA–2018– States. For the 2020 Board, 11 members 0753; or in person at Docket Operations shall represent domestic manufacturers between 9 a.m. and 5 p.m., Monday and for the 2021 Board and each through Friday, except Federal holidays. subsequent Board, ten members shall The AD docket contains this AD, the represent domestic manufacturers who European Aviation Safety Agency (now reside in the following three regions: European Union Aviation Safety

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