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GAO-07-440R 1 (2007-02-06)

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   im

T M   WAccountability * Integrity * Reliability
United States Government Accountability Office
Washington, DC 20548

          B-299403


          February 6, 2007

          The Honorable Tom Harkin
          Chairman
          The Honorable Saxby Chambliss
          Ranking Minority Member
          Committee on Agriculture, Nutrition, and Forestry
          United States Senate

          The Honorable Collin Peterson
          Chairman
          The Honorable Robert Goodlatte
          Ranking Minority Member
          Committee on Agriculture
          House of Representatives

          Subject: Department ofAgriculture, Agricultural Marketing Service: Milk in the
                  Northeast and Other Marketing Areas; Interim Order Amending the Orders

          Pursuant to section 801(a)(2)(A) of title 5, United States Code, this is our report on a
          major rule promulgated by the Department of Agriculture (USDA), Agricultural
          Marketing Service, entitled Milk in the Northeast and Other Marketing Areas;
          Interim Order Amending the Orders (Docket No. AO-14-A74, et al.; DA-06-01). We
          received the rule on January 24, 2007. It was published in the Federal Register as an
          interim final rule on December 29, 2006. 71 Fed. Reg. 78333.

          The interim final rule amends the manufacturing allowances in the Class III and
          Class IV product price formulas applicable to all federal milk marketing orders.
          Specifically, the rule sets the allowances for cheese, butter, nonfat dry milk, and dry
          whey.

          Enclosed is our assessment of the USDA's compliance with the procedural steps
          required by section 801(a)(1)(B)(i) through (iv) of title 5 with respect to the rule.
          Our review indicates that USDA complied with the applicable requirements.

          If you have any questions about this report, please contact, Michael R. Volpe,
          Assistant General Counsel, at (202) 512-8236. The official responsible for GAO


GAO-07-440R

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