Rule2021-25925

General Administrative Regulations, Administrative Remedies for Non-Compliance; Area Risk Protection Insurance Regulations; Common Crop Insurance Policy, Basic Provisions; Common Crop Insurance Regulations, Sunflower Seed Crop Insurance Provisions; Common Crop Insurance Regulations, Coarse Grains Crop Insurance Provisions; and Common Crop Insurance Regulations, Dry Bean Crop Insurance Provisions

Primary source

Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.

Published
November 30, 2021
Effective
November 30, 2021

Issuing agencies

Agriculture DepartmentFederal Crop Insurance Corporation

Abstract

The Federal Crop Insurance Corporation (FCIC) is amending its regulations to revise organic terminology to be consistent with USDA's National Organic Program, provide cover crop relief for prevented planting situations, add flexibility to the prevented planting provisions, provide an option for rice producers to delay measurement of farm-stored production, allow enterprise units by type for sunflowers, add earlage and snaplage as an acceptable method of harvest for corn, clarify that in a loss situation when a producer changes their planned method of harvest they must notify insurance providers before harvest begins, and clarify enterprise and optional unit insurance choices for contract seed bean producers. The changes to the policy made in this rule are applicable for the 2022 and succeeding crop years for crops with a contract change date on or after November 30, 2021. For all other crops, the changes to the policy made in this rule are applicable for the 2023 and succeeding crop years.

Full Text

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<title>Federal Register, Volume 86 Issue 227 (Tuesday, November 30, 2021)</title>
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[Federal Register Volume 86, Number 227 (Tuesday, November 30, 2021)]
[Rules and Regulations]
[Pages 67831-67839]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2021-25925]



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Rules and Regulations
                                                Federal Register
________________________________________________________________________

This section of the FEDERAL REGISTER contains regulatory documents 
having general applicability and legal effect, most of which are keyed 
to and codified in the Code of Federal Regulations, which is published 
under 50 titles pursuant to 44 U.S.C. 1510.

The Code of Federal Regulations is sold by the Superintendent of Documents. 

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Federal Register / Vol. 86, No. 227 / Tuesday, November 30, 2021 / 
Rules and Regulations

[[Page 67831]]



DEPARTMENT OF AGRICULTURE

Federal Crop Insurance Corporation

7 CFR Parts 400, 407, and 457

[Docket ID FCIC-21-0008]
RIN 0563-AC76


General Administrative Regulations, Administrative Remedies for 
Non-Compliance; Area Risk Protection Insurance Regulations; Common Crop 
Insurance Policy, Basic Provisions; Common Crop Insurance Regulations, 
Sunflower Seed Crop Insurance Provisions; Common Crop Insurance 
Regulations, Coarse Grains Crop Insurance Provisions; and Common Crop 
Insurance Regulations, Dry Bean Crop Insurance Provisions

AGENCY: Federal Crop Insurance Corporation, U.S. Department of 
Agriculture (USDA).

ACTION: Final rule with request for comments.

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SUMMARY: The Federal Crop Insurance Corporation (FCIC) is amending its 
regulations to revise organic terminology to be consistent with USDA's 
National Organic Program, provide cover crop relief for prevented 
planting situations, add flexibility to the prevented planting 
provisions, provide an option for rice producers to delay measurement 
of farm-stored production, allow enterprise units by type for 
sunflowers, add earlage and snaplage as an acceptable method of harvest 
for corn, clarify that in a loss situation when a producer changes 
their planned method of harvest they must notify insurance providers 
before harvest begins, and clarify enterprise and optional unit 
insurance choices for contract seed bean producers. The changes to the 
policy made in this rule are applicable for the 2022 and succeeding 
crop years for crops with a contract change date on or after November 
30, 2021. For all other crops, the changes to the policy made in this 
rule are applicable for the 2023 and succeeding crop years.

DATES: 
    Effective date: This final rule is effective November 30, 2021.
    Comment date: We will consider comments that we receive by the 
close of business January 31, 2022. FCIC may consider the comments 
received and may conduct additional rulemaking based on the comments.

ADDRESSES: We invite you to submit comments on this rule. You may 
submit comments by either of the following methods, although FCIC 
prefers that you submit comments electronically through the Federal 
eRulemaking Portal:
    <bullet> Federal eRulemaking Portal: Go to <a href="http://www.regulations.gov">http://www.regulations.gov</a> and search for Docket ID FCIC-21-0008. Follow the 
instructions for submitting comments.
    <bullet> Mail: Director, Product Administration and Standards 
Division, Risk Management Agency (RMA), US Department of Agriculture, 
P.O. Box 419205, Kansas City, MO 64133-6205. In your comment, specify 
docket ID FCIC-21-0008.
    <bullet> Comments will be available for viewing online at 
<a href="http://www.regulations.gov">www.regulations.gov</a>.

FOR FURTHER INFORMATION CONTACT: Francie Tolle; telephone (816) 926-
7829; or email <a href="/cdn-cgi/l/email-protection#afc9ddcec1ccc6ca81dbc0c3c3caefdadccbce81c8c0d9"><span class="__cf_email__" data-cfemail="abcdd9cac5c8c2ce85dfc4c7c7ceebded8cfca85ccc4dd">[email&#160;protected]</span></a>. Persons with disabilities who 
require alternative means for communication should contact the USDA 
Target Center at (202) 720-2600 (voice).

SUPPLEMENTARY INFORMATION:

Background

    The FCIC serves America's agricultural producers through effective, 
market-based risk management tools to strengthen the economic stability 
of agricultural producers and rural communities. FCIC is committed to 
increasing the availability and effectiveness of Federal crop insurance 
as a risk management tool. Approved Insurance Providers (AIPs) sell and 
service Federal crop insurance policies in every state through a 
public-private partnership. FCIC reinsures the AIPs who share the risks 
associated with catastrophic losses due to major weather events. FCIC's 
vision is to secure the future of agriculture by providing world class 
risk management tools to rural America.
    Federal crop insurance policies typically consist of the Basic 
Provisions, the Crop Provisions, the Special Provisions, the Commodity 
Exchange Price Provisions, if applicable, other applicable endorsements 
or options, the actuarial documents for the insured agricultural 
commodity, the Catastrophic Risk Protection Endorsement, if applicable, 
and the applicable regulations published in 7 CFR chapter IV.
    FCIC amends the Subpart R (7 CFR part 400), ARPI Basic Provisions 
(7 CFR part 407), CCIP Basic Provisions (7 CFR 457.8), Sunflower Seed 
Crop Provisions (7 CFR 457.108), Coarse Grains Crop Provisions (7 CFR 
457.113); and Dry Bean Crop Provisions (7 CFR 457.150). The changes to 
the policy made in this rule are applicable for the 2022 and succeeding 
crop years for crops with a contract change date on or after November 
30, 2021. For all other crops, the changes to the policy made in this 
rule are applicable for the 2023 and succeeding crop years.

Comments Related to 85 FR 38749-38760 Published June 29, 2020

    The first final rule with request for comment was published in the 
Federal Register on June 29, 2020, (85 FR 38749-38760) amending the 
ARPI Regulations; CCIP Basic Provisions; and the Common Crop Insurance 
Regulations, Coarse Grains Crop Insurance Provisions (Coarse Grains 
Crop Provisions). Comments were received from five commenters. Three 
comments were from individuals, whose comments were unrelated to the 
rule. One comment was from an insurance company. The last comment was 
from a trade association. FCIC addressed editorial comments in the 
final rule with request for comment published in the Federal Register 
on November 30, 2020, (85 FR 76420-76428). FCIC addressed the non-
editorial public comments related to the ARPI Basic Provisions and CCIP 
Basic Provisions in a final rule with request for comment published in 
the Federal Register on June 30, 2021, (86 FR 34606-34611). The 
comments received regarding the June 29, 2020, final rule with request 
for comment regarding the Coarse Grains Crop Provisions and FCIC's 
responses are as follows:

Following Another Crop (FAC) and Not Following Another Crop (NFAC)

    Comment: A commenter recommended replacing the term

[[Page 67832]]

``defined'' with ``specified'' in the definition of ``Following another 
crop (FAC)'' and ``Not following another crop (NFAC)'' Unless the 
Special Provisions actually contain ``definitions'' of the FAC and NFAC 
cropping practices (the same or different from these in the Crop 
Provisions?), it would be more accurate to change ``defined'' to 
``specified.'' This phrasing is commonly used in policies and 
procedures.
    Response: FCIC agrees and is replacing the term ``defined'' with 
``specified'' in the definition of ``Following another crop (FAC)'' and 
``Not following another crop (NFAC).''
    Comment: A commenter recommended adding the phrase, ``in the same 
crop year'' at the end of the definition of ``Following another crop 
(FAC)'' and ``Not following another crop (NFAC)'' as a clarification. 
While the reference to ``. . . in the same crop year'' might not be 
strictly necessary, it might a helpful clarification. For example, if a 
2021 crop year spring crop is planted in spring of 2021, followed by a 
2022 crop year fall crop planted on the same acreage in fall 2021, that 
fall crop is not considered ``FAC'' because those are two different 
crop years even though in the same calendar year.
    Response: The FAC and NFAC Special Provisions (SP) statements refer 
to calendar year and adding the reference to crop year in the Crop 
Provisions is conflicting and may cause even more confusion. No change 
will be made.

Earlage

    Comment: A commenter stated that FCIC has expanded the term silage 
to include various usages such as earlage. It would provide clarity to 
either include reference to earlage, etc., usages in the definition of 
``Silage'' or revise the definition of ``Harvest'' to state: 
``Combining, threshing, or picking the insured crop for grain, or 
cutting for hay, silage (including earlage, etc.), or fodder.''
    Response: FCIC is revising the definition of ``harvest'' to include 
earlage and snaplage to treat earlage and snaplage consistent with 
grain, hay, or fodder.

Appraisals When Crop Is Harvested in a Manner Other Than Reported

    Comment: A commenter suggested adding the bolded language in 
section 11(c), Duties in the Event of Damage or Loss: ``(c) If you will 
harvest any acreage in a manner other than as you reported it for 
coverage (e.g., you reported planting it to harvest as grain but will 
harvest the acreage for silage, hay or fodder; or you reported planting 
it to harvest as silage but will harvest the acreage for grain), you 
must notify us before harvest begins so the acreage can be appraised as 
the type insured. Failure to timely provide notice will result in 
production to count determined in accordance with section 
12(c)(1)(i)(E).''
    Response: FCIC agrees and will clarify in section 11(c) that notice 
is required before harvest begins if a producer decides to harvest in a 
manner other than reported on their acreage report (such as harvesting 
grain as silage or vice versa) so the adjuster can appraise the acreage 
to determine production to count used for claim purposes.

Minor Editorial and Clarification Suggestions

    Comment: A commenter noted in section 2, Unit Division, if the 
producer elects separate ``EC,'' enterprise units by cropping practice 
for both FAC and NFAC cropping practices but then does not qualify for 
EC on one of the cropping practices (and that is discovered on or 
before the acreage reporting date), the new option allows the insured 
to keep EC on the one that qualifies and have Basic Unit and/or 
Optional Unit on the other. With three options for unit structure in 
this situation, it is not necessary to have ``or'' at the end of 
2(a)(4)(i)(A).
    Response: FCIC agrees and is removing the ``or'' from the end of 
the phrase in section 2(a)(4)(i)(A).
    Comment: A commenter noted in section 6(e), Insured Crop, that this 
provision states, in part, that ``. . . the soybean crop insured will 
be all of the soybeans in the county that are planted for harvest as 
beans.'' [emphasis added]. Since the term ``beans'' is not included in 
the definition of ``harvest'' nor elsewhere in the provisions, the 
commenter suggested either changing ``beans'' to ``soybeans,'' or by 
adding a definition of ``beans'' in section 1 to provide useful 
clarity.
    Response: FCIC agrees and is replacing the term ``beans'' with 
``soybeans'' for clarity.
    In addition to the changes described above, FCIC has made the 
following changes:

Subpart R

    In the General Administrative Regulations Subpart R--Administrative 
Remedies for Non-Compliance, FCIC is revising the cap on civil fines to 
reference the maximum amount specified in 7 CFR 3.91(b)(7). Prior to 
this rule, the provisions list a fixed dollar amount of $10,000; 
however, this fine should be updated in accordance with 7 CFR 
3.91(b)(7) which is routinely adjusted for inflation.

ARPI Basic Provisions and CCIP Basic Provisions

    For both ARPI Basic Provisions (7 CFR part 407) and CCIP Basic 
Provisions (7 CFR 457.8), in section 1, FCIC is:
    Revising the definitions of ``buffer zone,'' ``certified organic 
acreage,'' ``organic farming practice,'' and ``transitional acreage'' 
to be consistent with the National Organic Program definitions. This 
will ensure terms are clear, descriptive, and consistent across USDA.
    Revising the definition of ``cover crop'' to add a reference to the 
Special Provisions. A Special Provisions statement prohibits corn from 
being considered a cover crop if it was planted on acreage that has 
been prevented from being planted. Potential abuse was reported for the 
2019 crop year regarding corn being planted on the same acreage after a 
prevented planting payment has been made and claimed as a cover crop 
when the corn was not planted for conservation purposes but rather the 
benefit of corn cut for silage.
    Adding a definition of ``NAP'' for Non-Insured Crop Disaster 
Assistance Program. The term is used more than once throughout the 
policy.
    Revising the definition of ``Second crop'' to remove the reference 
to a cover crop covered by FSA's Noninsured Crop Disaster Assistance 
Program (NAP) because cover crops are not insurable under NAP.
    Adding a definition of ``volunteer crop'' to define the term used 
in the policy and Crop Provisions. Throughout the policy the terms 
cover crop and volunteer crop are often in the same phrase. Cover crop 
is defined in the policy and it is appropriate to also define volunteer 
crop.

ARPI Basic Provisions

    A change applicable only to the ARPI Basic Provisions (7 CFR part 
407) is the removal of the Preamble language which references the crop 
year insurance is in effect. The crop year in effect for the crops 
covered under the ARPI Basic Provisions varies depending on the 
contract change date. The changes to the policy made in this rule are 
applicable for the 2022 and succeeding crop years for crops with a 
contract change date on or after November 30, 2021. For all other 
crops, the changes to the policy made in this rule are applicable for 
the 2023 and succeeding crop years. Therefore, FCIC is removing the 
sentence in the Preamble.

CCIP Basic Provisions

    Other changes applicable only to the CCIP Basic Provisions (7 CFR 
457.8) are:

[[Page 67833]]

    Section 14, Duties in the Event of Damage, Loss, Abandonment, 
Destruction, or Alternative Use of Crop or Acreage, of the CCIP Basic 
Provisions, revise section 14(e)(1)(ii) to allow the option to delay 
measurement of farm-stored production (180-day extension) if allowed by 
the Special Provisions. Previously, the option was only allowed for 
grain crops. A Special Provisions statement will be created, and the 
extension will apply on a crop basis for crops that can easily and 
safely be stored and do not naturally deteriorate easily during farm 
storage, and therefore, are low risk for delaying measurements for loss 
adjustment.
    Section 15, Production Included in Determining an Indemnity and 
Payment Reductions, discontinue reducing prevented planting payments on 
acreage that has been prevented from planting that is later cash 
rented. Prior to this rule, policy and procedure stated that if a 
producer receives cash rent for acreage that had been prevented from 
planting a first insured crop, the producer was limited to 35 percent 
of the prevented planting payment on the acreage regardless of the 
subsequent person's use of the rented acreage. With the removal of the 
November 1 date, as mentioned in the section 17 changes below, a 
producer with acreage claimed as prevented planting could plant a cover 
crop and hay, graze, or cut the cover crop for silage, haylage, or 
baleage without a reduction in their prevented planting payment. FCIC 
considers the benefits of using a cover crop as animal feed similar to 
the benefit of cash renting the acreage. Therefore, FCIC will no longer 
reduce prevented planting payments when acreage that has been prevented 
from planting is cash rented as long as it is not harvested for grain 
or seed.
    Section 17, Prevented Planting, of the CCIP Basic Provisions, 
revise the policy provisions in response to a Prevented Planting 
Workgroup that included RMA and industry representatives. Prevented 
planting is a feature of many crop insurance plans that provides a 
partial payment to cover certain pre-plant costs for a crop that was 
prevented from being planted due to an insurable cause of loss. The 
workgroup reviewed the current policy related to cover crops, volunteer 
crops, discussed impacts to the prevented planting program, and 
explored policy improvements. The workgroup also reviewed the 
requirement that acreage must be physically available for planting to 
be eligible for a prevented planting payment (added November 30, 2020). 
The ``1 in 4'' requirement is a part of the requirement that the 
acreage must be physically available for planting. The ``1 in 4'' 
requirement states that the acreage must have been planted to a crop, 
insured, and harvested (or adjusted for a loss excluding flood, excess 
moisture, or drought or other cause of loss specified in the Special 
Provisions) in at least 1 out of the previous 4 crop years. The 
following lists the changes to section 17(f):
    Incorporate RMA Manager's Bulletin MGR-21-004 by revising section 
17(f)(5) to allow a cover crop planted on acreage claimed as prevented 
from being planted to be hayed, grazed, or cut for silage, haylage, or 
baleage at any time without a reduction to the prevented planting 
payment, provided the producer meets all other policy provisions. Prior 
to this rule, throughout FCIC-approved procedures for cover crops and 
prevented planting, November 1 is used as a reference point for when a 
cover crop may be hayed, grazed, or cut for silage, haylage, or 
baleage. For example, a cover crop planted after the late planting 
period for a crop that was prevented from being planted may be hayed, 
grazed, or cut for silage, haylage, or baleage on or after November 1, 
and the producer could still receive a full prevented planting payment. 
If the cover crop was hayed, grazed, or cut for silage, haylage, or 
baleage before November 1, or harvested for grain or seed at any time, 
the cover crop was considered a second crop and the producer's 
prevented planting payment was reduced by 65 percent.
    As defined in the CCIP Basic Provisions, a cover crop is a crop 
generally recognized by agricultural experts as agronomically sound for 
the area for erosion control or other purposes related to conservation 
or soil improvement. FCIC rescinded the November 1 standard, as it 
relates to haying, grazing, or cutting for silage, haylage, or baleage 
of a cover crop from procedure for the 2021 and succeeding crop years. 
However, a cover crop harvested for grain or seed at any time will 
continue to result in a prevented planting payment reduction in 
accordance with section 15(f)(2) of the CCIP Basic Provisions. Similar 
revisions were made for language consistency regarding double cropping 
eligibility determination in section 15(g), Production Included in 
Determining an Indemnity and Payment Reductions, of the CCIP Basic 
Provisions.
    Add language in section 17(f)(8) to incorporate RMA Manager's 
Bulletin MGR-21-002 which allows the annual regrowth for the crop year 
of an insured perennial Category B crop, such as alfalfa, red clover, 
or mint, to be considered planted when determining if the land is 
available for planting. In addition, the annual regrowth for the crop 
year of a perennial planted forage insured under Pasture, Rangeland, 
and Forage (PRF) reported with the intended use of haying is considered 
planted for the purpose of determining if the land is available for 
planting. Provided the land was planted (including the clarifications 
stated above), insured, and harvested (or adjusted for a loss excluding 
flood, excess moisture, or drought or other cause of loss specified in 
the Special Provisions) within the same crop year in 1 of the last 4 
crop years, the land would meet the current prevented planting 
available for planting ``1 in 4'' requirement.
    Add language in section 17(f)(8) to include another test to 
determine if the land was available for planting if it was not 
previously insured. If the land does not meet the current ``1 in 4'' 
requirement because crop insurance for a single crop or NAP coverage 
was not available, the land may qualify for prevented planting if the 
producer can prove the land was planted and harvested using good 
farming practices for the crop in at least 2 consecutive years out of 
the 4 previous crop years.
    Add language in section 17(f)(8) that will allow changes to the 
eligible for planting language through the Special Provisions, for the 
``1 in 4'' requirement.
    Add language in section 17(f)(8) to allow for NAP coverage to 
qualify as ``insured'' for the ``1 in 4'' requirement.

Sunflower Seed Crop Provisions

    Add a new section 2, Unit Division, to allow enterprise and 
optional units by type for sunflower seed. Allowing separate enterprise 
and optional units enables producers to be indemnified separately by 
type. The benefit for producers is that a gain on one type (e.g., 
confectionery type) does not offset the loss payment on another type 
(e.g., oil type). Enterprise units are attractive to producers because 
additional premium discounts are available as the risk is diversified 
across the county. Since FCIC is adding a new section 2, all subsequent 
sections and references to subsequent sections will be renumbered 
accordingly.
    FCIC is also updating the example in redesignated section 12 to 
reflect current market prices for a more accurate portrayal of the 
prices that producers are experiencing.

Coarse Grains Crop Provisions

    The Coarse Grains Crop Provisions were revised on June 29, 2020, 
with a final rule with request for comment. FCIC is making the 
following revisions in response to comments received:

[[Page 67834]]

    Section 1, Definitions, of the Coarse Grains Crop Provisions, 
revise the definition of ``harvest'' to include earlage and snaplage as 
a harvested crop. FCIC received questions in the past to identify 
earlage and snaplage in the policy. Questions were raised in response 
to the 2020 Derecho on whether FCIC considers earlage as harvested. 
FCIC will revise the definition of ``harvest'' to include earlage and 
snaplage to treat earlage and snaplage consistent with grain, hay, or 
fodder. This change is in response to a comment made to the June 29, 
2020, final rule.
    Section 11, Duties in the Event of Damage or Loss, of the Coarse 
Grains Crop Provisions, revise section 11(c) to include ``hay or 
fodder'' to be consistent with the definition of ``harvest.'' FCIC is 
clarifying that notice is required before harvest begins if a producer 
decides to harvest in a manner other than reported on the producer's 
acreage report (such as harvesting grain for silage or vice versa) so 
the adjuster can appraise the acreage to determine production to count 
that is used for claim purposes. This change is in response to a 
comment made to the June 29, 2020, final rule.
    Section 12(e)(2), Settlement of Claim, remove the word ``may'' and 
replace with ``will.'' Prior to this rule, the policy stated for silage 
appraisals made after the normal harvest period, the insurance 
companies ``may'' increase production to count to a 65 percent moisture 
equivalent. The word ``may'' is misleading because procedure requires 
this adjustment; there is no other option for increasing production to 
count in these situations. Changing the language to state, ``will'' is 
more transparent and consistent with existing FCIC issued procedures.
    FCIC is also making non-substantive changes to the regulation. 
Examples include making stylistic changes, making grammatical 
corrections, updating prices, and clarifying word changes. These 
revisions are editorial in nature and are intended to provide clarity 
to the regulation.

Dry Bean Crop Provisions

    The Dry Bean Crop Provisions were revised June 24, 2021, with a 
final rule with request for comment. FCIC is making the following 
clarifications in response to questions received after the close of the 
comment period about how to implement the new provisions.
    Section 2, Unit Division, of the Dry Bean Crop Provisions, 
clarifies that a separate enterprise or optional unit for contract seed 
beans is allowed where contract seed beans are listed as an insurable 
type in the county actuarial documents. This clarifies a change issued 
as a Final Rule in June 2021, allowing separate enterprise units by 
type. Some dry bean varieties (e.g., Pinto, Navy) are listed as 
insurable types but could also be produced under a contract as seed. 
This has caused confusion because ``Contract Seed Beans'' are also an 
insurable type in some counties. Insurance providers have questioned 
how to interpret the June Final Rule allowing separate enterprise units 
by type for these varieties.
    FCIC will also be removing language in section 2 that restricts 
seed bean contracts based on both acreage and production from being 
eligible for a separate enterprise or optional unit. Many seed bean 
contracts include an estimated or typical yield that is in addition to 
actual production. These yields have often been included in seed bean 
contracts so the seed company can track production inventory estimates 
and help the grower with expected crop value when lending institutions 
are involved. The withdrawal of these combination style contracts from 
this section will avoid making them ineligible for optional or 
enterprise units and move the focus on whether the seed bean contracts 
meet the requirements stated in the Special Provisions.
    FCIC is also making a grammatical change to the introductory text 
for subject-verb agreement.

Effective Date, Notice and Comment, and Exemptions

    The Administrative Procedure Act (APA, 5 U.S.C. 553) provides that 
the notice and comment and 30-day delay in the effective date 
provisions do not apply when the rule involves specified actions, 
including matters relating to contracts. This rule governs contracts 
for crop insurance policies and therefore falls within that exemption.
    This rule is exempt from the regulatory analysis requirements of 
the Regulatory Flexibility Act (5 U.S.C. 601-612), as amended by the 
Small Business Regulatory Enforcement Fairness Act of 1996.
    For major rules, the Congressional Review Act requires a delay the 
effective date of 60 days after publication to allow for Congressional 
review. This rule is not a major rule under the Congressional Review 
Act, as defined by 5 U.S.C. 804(2). Therefore, this final rule is 
effective on the date of publication in the Federal Register. Although 
not required by APA or any other law, FCIC has chosen to request 
comments on this rule.

Executive Orders 12866 and 13563

    Executive Order 12866, ``Regulatory Planning and Review,'' and 
Executive Order 13563, ``Improving Regulation and Regulatory Review,'' 
direct agencies to assess all costs and benefits of available 
regulatory alternatives and, if regulation is necessary, to select 
regulatory approaches that maximize net benefits (including potential 
economic, environmental, public health and safety effects, distributive 
impacts, and equity). Executive Order 13563 emphasized the importance 
of quantifying both costs and benefits, of reducing costs, of 
harmonizing rules, and of promoting flexibility. The requirements in 
Executive Orders 12866 and 13563 for the analysis of costs and benefits 
apply to rules that are determined to be significant.
    The Office of Management and Budget (OMB) designated this rule as 
not significant under Executive Order 12866, ``Regulatory Planning and 
Review,'' and therefore, OMB has not reviewed this rule and analysis of 
the costs and benefits is not required under either Executive Order 
12866 or 13563.

Clarity of the Regulation

    Executive Order 12866, as supplemented by Executive Order 13563, 
requires each agency to write all rules in plain language. In addition 
to your substantive comments on this rule, we invite your comments on 
how to make the rule easier to understand. For example:
    <bullet> Are the requirements in the rule clearly stated? Are the 
scope and intent of the rule clear?
    <bullet> Does the rule contain technical language or jargon that is 
not clear?
    <bullet> Is the material logically organized?
    <bullet> Would changing the grouping or order of sections or adding 
headings make the rule easier to understand?
    <bullet> Could we improve clarity by adding tables, lists, or 
diagrams?
    <bullet> Would more, but shorter, sections be better? Are there 
specific sections that are too long or confusing?
    <bullet> What else could we do to make the rule easier to 
understand?

Environmental Review

    In general, the environmental impacts of rules are to be considered 
in a manner consistent with the provisions of the National 
Environmental Policy Act (NEPA, 42 U.S.C. 4321-4347) and the 
regulations of the Council on Environmental Quality (40 CFR parts 1500-
1508). FCIC conducts programs and activities that have been determined 
to have no individual or cumulative effect on the human environment. As

[[Page 67835]]

specified in 7 CFR 1b.4, FCIC is categorically excluded from the 
preparation of an Environmental Analysis or Environmental Impact 
Statement unless the FCIC Manager (agency head) determines that an 
action may have a significant environmental effect. The FCIC Manager 
has determined this rule will not have a significant environmental 
effect. Therefore, FCIC will not prepare an environmental assessment or 
environmental impact statement for this action and this rule serves as 
documentation of the programmatic environmental compliance decision.

Executive Order 12988

    This rule has been reviewed under Executive Order 12988, ``Civil 
Justice Reform.'' This rule will not preempt State or local laws, 
regulations, or policies unless they represent an irreconcilable 
conflict with this rule. Before any judicial actions may be brought 
regarding the provisions of this rule, the administrative appeal 
provisions of 7 CFR part 11 are to be exhausted.

Executive Order 13175

    This rule has been reviewed in accordance with the requirements of 
Executive Order 13175, ``Consultation and Coordination with Indian 
Tribal Governments.'' Executive Order 13175 requires Federal agencies 
to consult and coordinate with Tribes on a government-to-government 
basis on policies that have Tribal implications, including regulations, 
legislative comments or proposed legislation, and other policy 
statements or actions that have substantial direct effects on one or 
more Indian Tribes, on the relationship between the Federal Government 
and Indian Tribes or on the distribution of power and responsibilities 
between the Federal Government and Indian Tribes.
    RMA has assessed the impact of this rule on Indian Tribes and 
determined that this rule does not, to our knowledge, have Tribal 
implications that require Tribal consultation under E.O. 13175. The 
regulation changes do not have Tribal implications that preempt Tribal 
law and are not expected have a substantial direct effect on one or 
more Indian Tribes. If a Tribe requests consultation, RMA will work 
with the USDA Office of Tribal Relations to ensure meaningful 
consultation is provided where changes, additions and modifications 
identified in this rule are not expressly mandated by Congress.

The Unfunded Mandates Reform Act of 1995

    Title II of the Unfunded Mandates Reform Act of 1995 (UMRA, Pub. L. 
104-4) requires Federal agencies to assess the effects of their 
regulatory actions of State, local, and Tribal governments, or the 
private sector. Agencies generally must prepare a written statement, 
including cost benefits analysis, for proposed and final rules with 
Federal mandates that may result in expenditures of $100 million or 
more in any 1 year for State, local or Tribal governments, in the 
aggregate, or to the private sector. UMRA generally requires agencies 
to consider alternatives and adopt the more cost effective or least 
burdensome alternative that achieves the objectives of the rule. This 
rule contains no Federal mandates, as defined in Title II of UMRA, for 
State, local, and Tribal governments, or the private sector. Therefore, 
this rule is not subject to the requirements of sections 202 and 205 of 
UMRA.

Federal Assistance Program

    The title and number of the Federal Domestic Assistance Program 
listed in the Catalog of Federal Domestic Assistance to which this rule 
applies is No. 10.450--Crop Insurance.

Paperwork Reduction Act of 1995

    In accordance with the provisions of the Paperwork Reduction Act of 
1995 (44 U.S.C. chapter 35, subchapter I), the rule does not change the 
information collection approved by OMB under control numbers 0563-0053.

USDA Non-Discrimination Policy

    In accordance with Federal civil rights law and USDA civil rights 
regulations and policies, USDA, its Agencies, offices, and employees, 
and institutions participating in or administering USDA programs are 
prohibited from discriminating based on race, color, national origin, 
religion, sex, gender identity (including gender expression), sexual 
orientation, disability, age, marital status, family or parental 
status, income derived from a public assistance program, political 
beliefs, or reprisal or retaliation for prior civil rights activity, in 
any program or activity conducted or funded by USDA (not all bases 
apply to all programs). Remedies and complaint filing deadlines vary by 
program or incident.
    Persons with disabilities who require alternative means of 
communication for program information (for example, braille, large 
print, audiotape, American Sign Language, etc.) should contact the 
responsible Agency or USDA TARGET Center at (202) 720-2600 or 844-433-
2774 (toll-free nationwide). Additionally, program information may be 
made available in languages other than English. To file a program 
discrimination complaint, complete the USDA Program Discrimination 
Complaint Form, AD-3027, found online at <a href="https://www.usda.gov/oascr/how-to-file-a-program-discrimination-complaint">https://www.usda.gov/oascr/how-to-file-a-program-discrimination-complaint</a> and at any USDA office 
or write a letter addressed to USDA and provide in the letter all the 
information requested in the form. To request a copy of the complaint 
form, call (866) 632-9992. Submit your completed form or letter to USDA 
by mail to: U.S. Department of Agriculture, Office of the Assistant 
Secretary for Civil Rights, 1400 Independence Avenue SW, Washington, DC 
20250-9410 or email: <a href="/cdn-cgi/l/email-protection#e3aca2a0a396908782cd848c95"><span class="__cf_email__" data-cfemail="d19e909291a4a2b5b0ffb6bea7">[email&#160;protected]</span></a>.
    USDA is an equal opportunity provider, employer, and lender.

List of Subjects

7 CFR Part 400

    Acreage allotments, Administrative practice and procedure, Claims, 
Crop insurance, Drug traffic control, Fraud, Government employees, 
Income taxes, Intergovernmental relations, Penalties, Reporting and 
recordkeeping requirements, Wages.

7 CFR Part 407

    Acreage allotments, Administrative practice and procedure, Barley, 
Corn, Cotton, Crop insurance, Peanuts, Reporting and recordkeeping 
requirements, Sorghum, Soybeans, Wheat.

7 CFR Part 457

    Acreage allotments, Crop insurance, Reporting and recordkeeping 
requirements.

Final Rule

    For the reasons discussed above, FCIC amends 7 CFR parts 400, 407, 
and 457, effective for the 2022 and succeeding crop years for crops 
with a contract change date on or after November 30, 2021, and for the 
2023 and succeeding crop years for all other crops, as follows:

PART 400--GENERAL ADMINISTRATIVE REGULATIONS

0
1. The authority citation for part 400 continues to read as follows:

    Authority: 7 U.S.C. 1506(l), 1506(o), and 7 U.S.C. 1515(h).


0
2. Amend Sec.  400.545 by revising paragraph (f)(2) to read as follows:


Sec.  400.454  Disqualification and civil fines.

* * * * *
    (f) * * *

[[Page 67836]]

    (2) The amount of such civil fine shall not exceed the maximum 
amount specified in 7 CFR 3.91 (b)(7).
* * * * *

PART 407--AREA RISK PROTECTION INSURANCE REGULATIONS

0
3. The authority citation for part 407 continues to read as follows:

    Authority: 7 U.S.C. 1506(l) and 1506(o).


0
4. Amend Sec.  407.9 as follows:
0
a. In the introductory text, remove the sentence ``This insurance is 
available for the 2022 and succeeding years.'';
0
b. In section 1:
0
i. Revise the definitions of ``buffer zone'', ``certified organic 
acreage'', and ``cover crop'';
0
ii. Add a definition for ``NAP'' in alphabetical order;
0
iii. Revise the definitions of ``organic farming practice'', ``second 
crop'', and ``transitional acreage''; and
0
iv. Add a definition for ``volunteer crop'' in alphabetical order.
    The revisions and additions read as follows:


Sec.  407.9  Area risk protection insurance policy.

* * * * *
    1. Definitions
* * * * *
    Buffer zone. Acreage designated in your organic plan that separates 
agricultural commodities grown under organic farming practices from 
those grown under non-organic farming practices. A buffer zone must be 
sufficient in size or other features, as stated in the National Organic 
Program published in 7 CFR part 205, to prevent or minimize the 
possibility of unintended contact by prohibited substances or organisms 
applied to adjacent land acres with an area that is part of the 
certified organic farming operation.
* * * * *
    Certified organic acreage. Acreage in the certified organic farming 
operation that has been certified by a certifying agent as conforming 
to organic standards in accordance with the Organic Foods Production 
Act of 1990 (7 U.S.C. 6501 et seq.) and 7 CFR part 205.
* * * * *
    Cover crop. A crop generally recognized by agricultural experts as 
agronomically sound for the area for erosion control or other purposes 
related to conservation or soil improvement, unless otherwise specified 
in the Special Provisions. A cover crop may be considered a second crop 
(see the definition of ``second crop'').
* * * * *
    NAP. Noninsured Crop Disaster Assistance Program published in 7 CFR 
part 1437, administered by FSA.
* * * * *
    Organic farming practice. A system of plant production practices 
used on organic acreage and transitional acreage to produce an organic 
crop that is approved by a certifying agent in accordance with 7 CFR 
part 205.
* * * * *
    Second crop. With respect to a single crop year, the next 
occurrence of planting any agricultural commodity for harvest following 
a first insured crop on the same acreage. The second crop may be the 
same or a different agricultural commodity as the first insured crop, 
except the term does not include a replanted crop. If following a first 
insured crop, a cover crop that is planted on the same acreage and 
harvested for grain or seed, is considered a second crop. A crop that 
is covered by NAP or receives other USDA benefits associated with 
forage crops is considered a second crop. A crop meeting the conditions 
in this definition is considered a second crop regardless of whether it 
is insured.
* * * * *
    Transitional acreage. Acreage in transition to organic where 
organic farming practices are being followed, but the acreage does not 
yet qualify as certified organic acreage.
* * * * *
    Volunteer crop. A crop that was planted in a previous crop year on 
the applicable acreage or drifted from other acreage, successfully 
self-seeded, and is growing this crop year on the applicable acreage 
without being intentionally sown or managed.
* * * * *

PART 457--COMMON CROP INSURANCE REGULATIONS

0
5. The authority citation for part 457 continues to read as follows:

    Authority: 7 U.S.C. 1506(l), 1506(o).


0
6. Amend Sec.  457.8 in the ``Common Crop Insurance Policy'' as 
follows:
0
a. In section 1:
0
i. Revise the definitions of ``buffer zone'', ``certified organic 
acreage'', and ``cover crop'';
0
ii. Add a definition for ``NAP'' in alphabetical order;
0
iii. Revise the definitions of ``organic farming practice'', ``second 
crop'', and ``transitional acreage''; and
0
iv. Add a definition for ``volunteer crop'' in alphabetical order.
0
b. In section 14, revise paragraph (e)(1)(ii) introductory text;
0
c. In section 15, revise paragraph (g)(3);
0
d. In section 17:
0
i. In paragraph (f)(5)(i)(C), remove the word ``or'' at the end;
0
ii. Revise paragraphs (f)(5)(ii) and (iii);
0
iii. Add paragraph (f)(5)(iv);
0
iv. In paragraph (f)(8) introductory text, remove the semicolon at the 
end of the paragraph and add a period in its place;
0
v. Revise paragraphs (f)(8)(i)(E) and (f)(8)(ii); and
0
vi. Add paragraph (f)(8)(iii);
    The revisions and additions read as follows:


Sec.  457.8  The application and policy.

* * * * *

Common Crop Insurance Policy

* * * * *
1. Definitions
* * * * *
    Buffer zone. Acreage designated in your organic plan that separates 
agricultural commodities grown under organic farming practices from 
those grown under non-organic farming practices. A buffer zone must be 
sufficient in size or other features, as stated in the National Organic 
Program published in 7 CFR part 205, to prevent or minimize the 
possibility of unintended contact by prohibited substances or organisms 
applied to adjacent land acres with an area that is part of the 
certified organic farming operation.
* * * * *
    Certified organic acreage. Acreage in the certified organic farming 
operation that has been certified by a certifying agent as conforming 
to organic standards in accordance with the Organic Foods Production 
Act of 1990 (7 U.S.C. 6501 et seq.) and 7 CFR part 205.
* * * * *
    Cover crop. A crop generally recognized by agricultural experts as 
agronomically sound for the area for erosion control or other purposes 
related to conservation or soil improvement, unless otherwise specified 
in the Special Provisions. A cover crop may be considered a second crop 
(see the definition of ``second crop'').
* * * * *
    NAP. Noninsured Crop Disaster Assistance Program published in 7 CFR 
part 1437, administered by FSA.
* * * * *
    Organic farming practice. A system of plant production practices 
used on

[[Page 67837]]

organic acreage and transitional acreage to produce an organic crop 
that is approved by a certifying agent in accordance with 7 CFR part 
205.
* * * * *
    Second crop. With respect to a single crop year, the next 
occurrence of planting any agricultural commodity for harvest following 
a first insured crop on the same acreage. The second crop may be the 
same or a different agricultural commodity as the first insured crop, 
except the term does not include a replanted crop. If following a first 
insured crop, a cover crop that is planted on the same acreage and 
harvested for grain or seed is considered a second crop. A crop that is 
covered by NAP or receives other USDA benefits associated with forage 
crops is considered a second crop. A crop meeting the conditions stated 
in this definition is considered a second crop regardless of whether it 
is insured.
* * * * *
    Transitional acreage. Acreage in transition to organic where 
organic farming practices are being followed, but the acreage does not 
yet qualify as certified organic acreage.
* * * * *
    Volunteer crop. A crop that was planted in a previous crop year on 
the applicable acreage or drifted from other acreage, successfully 
self-seeded, and is growing this crop year on the applicable acreage 
without being intentionally sown or managed.
* * * * *
14. Duties in the Event of Damage, Loss, Abandonment, Destruction, or 
Alternative Use of Crop or Acreage
* * * * *
    (e) * * *
    (1) * * *
    (ii) Have harvested farm-stored production and elect, in writing, 
to delay measurement of your farm-stored production and settlement of 
any potential associated claim for indemnity as allowed by the Special 
Provisions (Extensions will be granted for this purpose up to 180 days 
after the end of the insurance period).
* * * * *
15. Production Included in Determining an Indemnity and Payment 
Reductions
* * * * *
    (g) * * *
    (3) To a prevented planting payment if a cover crop that is planted 
after the late planting period (or after the final planting date if a 
late planting period is not applicable) is harvested for grain or seed 
by you or another person, at any time.
* * * * *
17. Prevented Planting
* * * * *
    (f) * * *
    (5) * * *
    (ii) Any volunteer crop is harvested for grain or seed at any time;
    (iii) The act of haying, grazing, or cutting for silage, haylage, 
or baleage a cover crop or volunteer crop contributed to the acreage 
being prevented from being planted;
    (iv) A cover crop is planted within or prior to the late planting 
period or on or prior to the final planting date if no late planting 
period is applicable and is harvested for grain or seed at any time.
* * * * *
    (8) * * *
    (i) * * *
    (E) Unless otherwise allowed in the Special Provisions, in at least 
1 of the 4 most recent crop years immediately preceding the current 
crop year, have been planted to a crop (planted includes annual 
regrowth of a perennial forage or mint crop):
    (1) Using recognized good farming practices;
    (2) Insured under the authority of the Act or NAP; and
    (3) That was harvested, or if not harvested, was adjusted for claim 
purposes under the authority of the Act or NAP due to an insured cause 
of loss (other than a cause of loss related to flood, excess moisture, 
drought, or other cause of loss specified in the Special Provisions).
    (ii) If you do not meet the requirements of section 17(f)(8)(i)(E) 
because a crop specific plan of insurance offered under the authority 
of the Act or NAP was not available for the crops planted on the 
acreage in the 4 most recent crop years, the acreage may be considered 
physically available for planting if you can prove the acreage was 
planted and harvested using good farming practices in at least 2 
consecutive years out of the 4 most recent crop years immediately 
preceding the current crop year.
    (iii) Once any acreage does not satisfy the requirements in section 
17(f)(8)(i)(E) or 17(f)(8)(ii), such acreage will be considered 
physically unavailable for planting until the acreage has been planted 
to a crop in accordance with 17(f)(8)(i)(E) for 2 consecutive crop 
years, or until such acreage meets the requirements of 17(f)(8)(ii).
* * * * *

0
7. Amend Sec.  457.108 as follows:
0
a. In the introductory text, remove the year ``2021'' and add ``2022'' 
in its place;
0
b. Redesignate sections 2 through 12 as sections 3 through 13;
0
c. Add a new section 2;
0
d. In newly redesignated section 9, in paragraph (h), remove the phrase 
``sections 8(a) through (g)'' and add the phrase ``sections 9(a) 
through (g)'' in its place;
0
e. In newly redesignated section 10, in paragraph (a)(2), remove the 
phrase ``section 9(a)(1)'' and add the phrase ``section 10(a)(1)'' in 
its place; and
0
f. In newly redesignated section 12:
0
i. In paragraph (b)(2), remove the phrase ``section 11(b)(1)(i) or 
11(b)(1)(ii)'' and add the phrase ``section 12(b)(1)(i) or 
12(b)(1)(ii)'' in its place;
0
ii. In paragraph (b)(4), remove the phrase ``section 11(b)(3)(i) or 
11(b)(3)(ii)'' and add the phrase ``section 12(b)(3)(i) or 
12(b)(3)(ii)'' in its place;
0
iii. In paragraph (b)(5), remove the phrase ``section 11(b)(4) from the 
result of section 11(b)(2)'' and add the phrase ``section 12(b)(4) from 
the result of section 12(b)(2)'' in its place;
0
iv. In paragraph (b)(6), remove the phrase ``section 11(b)(5)'' and add 
the phrase ``section 12(b)(5)'' in its place;
0
v. Revise the example immediately following paragraph (b)(6);
0
vi. In paragraph (c)(1)(iii), remove the phrase ``subsection 11(d)'' 
and add the phrase ``section 12(d)'' in its place; and
0
vii. In paragraph (d)(4), remove the phrase ``sections 11(d)(2) and 
(3)'' and add the phrase ``sections 12(d)(2) and (3)'' in its place.
    The revisions and additions reads as follows:


Sec.  457.108  Sunflower seed crop insurance provisions.

* * * * *
2. Unit Division
    (a) In addition to the requirements of section 34(a) of the Basic 
Provisions, you may elect separate enterprise units for confectionery 
or oil types if these types are allowed by the actuarial documents. If 
you elect enterprise units for these types, you may not elect 
enterprise or optional units by irrigation practices.
    (1) You may elect one enterprise unit for the confectionery type or 
one enterprise unit for the oil type, or separate enterprise units for 
both types, unless otherwise specified in the Special Provisions. For 
example: You may choose one enterprise unit for the confectionery type 
acreage and basic or optional units for the oil type acreage.
    (2) You must separately meet the requirements in section 34(a)(4) 
for each enterprise unit.

[[Page 67838]]

    (3) If you elected separate enterprise units for both types and we 
discover you do not qualify for an enterprise unit for one or the other 
type and such discovery is made:
    (i) On or before the acreage reporting date, you may elect to 
insure:
    (A) One enterprise unit for the confectionery type or oil type 
provided you meet the requirements in section 34(a)(4), and basic or 
optional units for the other type, whichever you report on your acreage 
report and qualify for;
    (B) One enterprise unit for all acreage of the crop in the county 
provided you meet the requirements in section 34(a)(4); or
    (C) Basic or optional units for all acreage of the crop in the 
county, whichever you report on your acreage report and qualify for; or
    (ii) At any time after the acreage reporting date, your unit 
structure will be one enterprise unit for all acreage of the crop in 
the county provided you meet the requirements in section 34(a)(4). 
Otherwise, we will assign the basic unit structure.
    (4) If you elected an enterprise unit for one type and a different 
unit structure on the other type and we discover you do not qualify for 
an enterprise unit for the type and such discovery is made:
    (i) On or before the acreage reporting date, your unit division 
will be based on basic or optional units, whichever you report on your 
acreage report and qualify for; or
    (ii) At any time after the acreage reporting date, we will assign 
the basic unit structure.
    (b) In addition to, or instead of, establishing optional units as 
provided in section 34(c) in the Basic Provisions, a separate optional 
unit may be established for each sunflower type (designated in the 
actuarial documents and including any type insured by written 
agreement).
* * * * *
12. Settlement of Claim
* * * * *
    (b) * * *
    For example:
    You have 100 percent share in 50 acres of sunflowers in the unit 
with a production guarantee (per acre) of 1,250 pounds, your projected 
price is $.23, your harvest price is $.24, and your production to count 
is 54,000 pounds.
    If you elected yield protection:
    (1) 50 acres x (1,250 pound production guarantee x $.23 projected 
price) = $14,375.00 value of the production guarantee;
    (3) 54,000 pound production to count x $.23 projected price = 
$12,420.00 value of production to count;
    (5) $14,375.00-$12,420.00 = $1,955.00;
    (6) $1,955.00 x 1.000 share = $1,955.00 indemnity; or
    If you elected revenue protection:
    (1) 50 acres x (1,250 pound production guarantee x $.24 harvest 
price) = $15,000.00 revenue protection guarantee;
    (3) 54,000 pound production to count x $.24 harvest price = 
$12,960.00 value of the production to count;
    (5) $15,000.00-$12,960.00 = $2,040.00;
    (6) $2,040.00 x 1.000 share = $2,040.00 indemnity.
* * * * *

0
8. Amend Sec.  457.113 as follows:
0
a. In the introductory text, remove the year ``2021'' and add ``2022'' 
in its place;
0
b. In section 1:
0
i. In the definition of ``Following another crop (FAC)'', remove 
``defined'' and add ``specified'' in its place;
0
ii. Revise the definition of ``Harvest'';
0
iii. In the definition of ``Not following another crop (NFAC)'', remove 
``defined'' and add ``specified'' in its place;
0
c. In section 2, in paragraph (a)(4)(i)(A), remove the word ``or'' at 
the end;
0
d. In section 6:
0
i. In paragraph (b)(1), remove the phrase ``twenty percent (20%)'' and 
add ``20 percent'' in its place;
0
ii. Revise paragraph (b)(2)(i);
0
iii. In paragraph (e), remove the word ``beans'' and add ``soybeans'' 
in its place;
0
e. In section 11, revise paragraph (c); and
0
f. In section 12:
0
i. Revise the example immediately following paragraph (b)(6);
0
ii. In paragraph (c)(1)(iv)(A), remove the phrase ``production to 
count); or'' and add ``production to count.); or'' in its place;
0
iii. Revise paragraph (d)(1);
0
iv. In paragraph (d)(4), remove the phrase ``contained in'' and add 
``calculated in accordance with'' in its place;
0
v. In paragraph (e)(1), remove ``(1/10)'' after ``0.1''; and
0
vi. In paragraph (e)(2), remove ``may'' and add ``will'' in its place.
    The revisions read as follows:


Sec.  457.113  Coarse grains crop insurance provisions.

* * * * *
1. Definitions
* * * * *
    Harvest. Combining, threshing, or picking the insured crop for 
grain, or cutting for hay, silage, earlage, snaplage, or fodder.
* * * * *
6. Insured Crop
* * * * *
    (b) * * *
    (2) * * *
    (i) High-amylose, high-oil, or high-protein (except as authorized 
in section 6(b)(2)), flint, flour, Indian, blue corn, a variety 
genetically adapted to provide forage for wildlife, or any other open 
pollinated corn, unless the Special Provisions or a written agreement 
allows insurance of such excluded crops.
* * * * *
11. Duties in the Event of Damage or Loss
* * * * *
    (c) If you will harvest any acreage in a manner other than as you 
reported on your acreage report (e.g., you reported planting it to 
harvest as grain but will harvest the acreage for hay, silage, earlage, 
snaplage, or fodder, or you reported planting it to harvest as silage 
but will harvest the acreage for grain, hay, earlage, snaplage, or 
fodder), you must notify us before harvest begins so the acreage can be 
appraised as the type reported on your acreage report to determine 
production to count that is used for claim purposes. Failure to timely 
provide notice will result in production to count determined in 
accordance with section 12(c)(1)(i)(E).
* * * * *
12. Settlement of Claim
* * * * *
    (b) * * *
    (6) * * *
    For example:
    You have 100 percent share in 50 acres of corn in the unit with a 
production guarantee (per acre) of 115 bushels, your projected price is 
$4.58, your harvest price is $4.53, and your production to count is 
5,000 bushels.
    If you elected yield protection:
    (1) 50 acres x (115 bushel production guarantee x $4.58 projected 
price) = $26,335.00 value of the production guarantee
    (3) 5,000 bushel production to count x $4.58 projected price = 
$22,900.00 value of the production to count
    (5) $26,335.00-$22,900.00 = $3,435.00
    (6) $3,435.00 x 1.000 share = $3,435.00 indemnity; or
    If you elected revenue protection:

[[Page 67839]]

    (1) 50 acres x (115 bushel production guarantee x $4.58 projected 
price) = $26,335.00 revenue protection guarantee
    (3) 5,000 bushel production to count x $4.53 harvest price = 
$22,650.00 value of the production to count
    (5) $26,335.00-$22,650.00 = $3,685.00
    (6) $3,685.00 x 1.000 share = $3,685.00 indemnity.
* * * * *
    (d) * * *
    (1) Production will be reduced by 0.12 percent for each 0.1 
percentage point of moisture in excess of:
    (i) 15 percent for corn (If moisture exceeds 30 percent, production 
will be reduced 0.2 percent for each 0.1 percentage point above 30 
percent);
    (ii) 14 percent for grain sorghum; and
    (iii) 13 percent for soybeans.
    We may obtain samples of the production to determine the moisture 
content.
* * * * *

0
9. Amend Sec.  457.150 as follows:
0
a. In the introductory text, remove the word ``follow'' and add 
``follows:'' in its place; and
0
b. In section 2, revise paragraph (d).
    The revision reads as follows:


Sec.  457.150  Dry bean crop insurance provisions.

* * * * *
2. Unit Division
* * * * *
    (d) Contract seed beans may qualify for a separate enterprise or 
optional unit only if the seed bean processor contract specifies the 
number of acres under contract and contract seed beans are listed as a 
separate type in the actuarial documents. Contract seed beans produced 
under a seed bean processor contract that specifies only an amount of 
production are not eligible for a separate enterprise or optional unit.
* * * * *

Richard H. Flournoy,
Acting Manager, Federal Crop Insurance Corporation.
[FR Doc. 2021-25925 Filed 11-29-21; 8:45 am]
BILLING CODE 3410-08-P


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Indexed from Federal Register on November 30, 2021.

This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.