Summary
This rule currently identifies an April 1 deadline for annual organic program registrations and has no language to allow for charging late fees for not getting application materials to the organic program manager in a timely manner. The changes move the deadline for annual registrations for the organic program earlier to February 1 each year for both the certifying agencies and producers, processors, and handlers who are being certified. The current time frame of the April 1 deadline is costly to agriculture producers, because March, the time right before the deadline, is when farmers are preparing their fields and planting and cattle producers are often moving animals from one allotment to another. January is a time of year that is less costly to producers, so the cost of doing the paperwork is lower then in March. Moving the deadline to February 1 also provides more time for the producers, processors, and handlers to update applications before the growing season, when producers have less time for paperwork and producers also have more time to make sure they are in compliance before certification inspections, which are conducted in the late spring through harvest. There have also been problems with producers and processors submitting incomplete or inaccurate application materials, then not updating the materials in a timely manner. This problem has led to inefficiencies in the organic program and producers not being able to be certified in the program in time for the growing season. One of the changes to the rule include a 120-day period for the applicant to make required changes to an application, but if the applicant does not effectively make the necessary changes, he has to submit a new application for the next year. A provision was also added to prohibit certifying agencies that fail to register by February 1 from certifying producers, handlers, and processors until the fee is paid. There is also a provision to assess a late fee to certifying agencies to encourage timely registration. There were also changes in 7 CFR Part 205.101 in October 2017 that change terms for exemptions, these updates to the rule require that those who are claiming those exemptions register with the Department. This will allow the Department to allow for exemptions, but still track the production, processing, and handling of organic products of exempted products. There are also nonsubstantive changes to this rule, including citations to new section numbers and updated CFR edition dates.