[Federal Register Volume 63, Number 244 (Monday, December 21, 1998)]
[Rules and Regulations]
[Pages 70312-70313]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-33746]



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DEPARTMENT OF AGRICULTURE

Federal Crop Insurance Corporation

7 CFR Part 400


General Administrative Regulations; Interpretations of Statutory 
and Regulatory Provisions

AGENCY: Federal Crop Insurance Corporation, USDA.

ACTION: Interim rule with Emergency Agency Information Collection Under 
Review by the Office of Management and Budget (OMB).

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SUMMARY: The Federal Crop Insurance Corporation (FCIC) amends the 
General Administrative Regulations, by adding a new subpart X to 
implement the statutory mandates of section 533 of the Agricultural 
Research, Extension, and Education Reform Act of 1998 (1998 Research 
Act). The intended effect of this interim rule is to provide procedures 
for responding to requests for final agency interpretations regarding 
any provision of the Federal Crop Insurance Act (Act) or any regulation 
promulgated thereunder.

DATES: This rule is effective December 21, 1998. Written comments and 
opinions on this rule will be accepted until the close of business 
February 19, 1999 and will be considered when the rule is to be made 
final.

ADDRESSES: Interested persons are invited to submit written comments to 
Marian Jenkins, Assistant Deputy Administrator for Regional Service 
Offices, Federal Crop Insurance Corporation, United States Department 
of Agriculture, Stop Code 0805, 1400 Independence Avenue, SW, 
Washington, D.C. 20250-0805. A copy of each response will be available 
for public inspection and copying from 8:00 a.m. to 4:30 p.m., EST, 
Monday through Friday, except holidays, at the above address.

FOR FURTHER INFORMATION CONTACT: Marian Jenkins, at the above stated 
address, telephone (202) 720-5290.

SUPPLEMENTARY INFORMATION:

Executive Order 12866

    This rule has been determined to be not significant for the 
purposes of Executive Order 12866 and, therefore, has not been reviewed 
by the Office of Management and Budget (OMB).

Paperwork Reduction Act of 1995

    In accordance with section 3507 (j) of the Paperwork Reduction Act 
of 1995 (44 U.S.C. 3501 et. seq.), the information collection and 
recordkeeping requirements included in this interim rule have been 
submitted for emergency approval to the Office of Management and Budget 
(OMB). OMB has assigned control number 0563-____ to the information 
collection and recordkeeping requirements. Notwithstanding any other 
provision of the law, no person is required to comply with a collection 
of information, subject to the requirements of the Paperwork Reduction 
Act, unless that collection information displays a currently valid OMB 
Control Number. Please send your written comments to the Office of 
Information and Regulatory Affairs, OMB, Attention: Desk Officer for 
FCIC, Washington, DC 20503. Please state your comments refer to Subpart 
X--Interpretations of Statutory and Regulatory Provisions. Please send 
a copy of your comments to (1) USDA-RMA, 702 West Pitt Street, Suite 5, 
Bedford, PA 15522 and (2) Clearance Officer, OIRM, USDA, room 404-w, 
14th Street and Independence Avenue SW., Washington, DC 20250.
    The paperwork associated with the subpart x--Interpretations of 
Statutory and Regulatory Provisions will be a request for final agency 
determination under this subpart. We are soliciting comments from the 
public concerning our proposed information collection and recordkeeping 
requirements. We need this outside input to help us accomplish the 
following:
    (1) Evaluate whether the proposed collection of information is 
necessary for the proper performance of our agency's functions, 
including whether the information will have practical utility;
    (2) Evaluate the accuracy of our estimate of the burden of the 
proposed collection of information, including the validity of the 
methodology and assumptions used;
    (3) Enhance the quality, utility, and clarity of the information to 
be collected; and
    (4) Minimize the burden of the information collection on those who 
are to respond (such as through the use of appropriate automated, 
electronic, mechanical, or other technological collection techniques or 
other forms of information technology, e.g., permitting electronic 
submission responses).
    Title: Subpart X--Interpretations of Statutory and Regulatory 
Provisions.
    OMB Number: 0563--New.
    Estimate of Burden: Public reporting burden for this collection of 
information is estimated to average 30 minutes per response.
    Respondents: Insurance providers, trade associations, grower groups 
and agricultural producers.
    Estimated Number of Respondents: 156.
    Estimated Number of Responses per Respondent: 3.5.
    Estimated Total Annual Burden on Respondents: 78.

Unfunded Mandates Reform Act of 1995

    Title II of the Unfunded Mandates Reform Act of 1995 (UMRA), Public 
Law 104-4, establishes requirements for Federal agencies to assess the 
effects of their regulatory actions on State, local, and tribal 
governments and the private sector. This rule contains no Federal 
mandates (under the regulatory provisions of 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.

Executive Order 12612

    It has been determined under section 6(a) of Executive Order 12612, 
Federalism, that this rule does not have sufficient federalism 
implications to warrant the preparation of a Federalism Assessment. The 
provisions contained in this rule will not have a substantial direct 
effect on States or their political subdivisions or on the distribution 
of power and responsibilities among the various levels of government.

Regulatory Flexibility Act

    This regulation will not have a significant economic impact on a 
substantial number of small entities. The regulation does not require 
any more action on the part of the small entities than is required on 
the part of large entities. Therefore, this action is determined to be 
exempt from the provisions of the Regulatory Flexibility Act (5 U.S.C. 
605), and no Regulatory Flexibility Analysis was prepared.

Federal Assistance Program

    This program is listed in the Catalog of Federal Domestic 
Assistance under No. 10.450.

Executive Order 12372

    This program is not subject to the provisions of Executive Order 
12372 which require intergovernmental consultation with State and local 
officials. See the Notice related to 7 CFR part 3015, subpart V, 
published at 48 FR 29115, June 24, 1983.

Executive Order 12988

    This rule has been reviewed in accordance with Executive Order 
12988 on civil justice reform. The provisions of this rule will not 
have a retroactive effect. The provisions of this rule will

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preempt State and local laws to the extent such State and local laws 
are inconsistent herewith. The administrative appeal provisions 
published at 7 CFR part 11 must be exhausted before any action for 
judicial review of any determination made by FCIC may be brought.

Environmental Evaluation

    This action is not expected to have a significant economic impact 
on the quality of the human environment, health, and safety. Therefore, 
neither an Environmental Assessment nor an Environmental Impact 
Statement is needed.

Background

    The 1998 Research Act, enacted June 23, 1998, amended the Act to 
require FCIC to establish procedures under which FCIC will provide a 
final agency determination in response to an inquiry regarding the 
interpretation of any provision of the Act or any regulation 
promulgated thereunder. Since these procedures are required by statute, 
it is impractical and contrary to the public interest to publish this 
rule for notice and comment prior to making the rule effective. 
However, comments are solicited for 60 days after the date of 
publication in the Federal Register and will be considered by FCIC 
before this rule is made final.

List of Subjects in 7 CFR Part 400

    Administrative practice and procedure

Interim Rule

    Accordingly, as set forth in the preamble, the Federal Crop 
Insurance Corporation hereby adds a new subpart X to 7 CFR part 400 to 
read as follows:

PART 400--GENERAL ADMINISTRATIVE REGULATIONS

Subpart X--Interpretations of Statutory and Regulatory Provisions

Sec.
400.765  Basis and applicability.
400.766  Definitions.
400.767  Requester obligations.
400.768  FCIC obligations.

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

Subpart X--Interpretations of Statutory and Regulatory Provisions


Sec. 400.765  Basis and applicability.

    (a) The regulations contained in this subpart prescribe the rules 
and criteria for obtaining a final agency determination of the 
interpretation of any provision of the Act or the regulations 
promulgated thereunder.
    (b) This subpart is applicable to all regulations that were in 
effect for the 1995 and subsequent crop years.
    (c) All final agency determinations issued by FCIC, and published 
in accordance with Sec. 400.768(f ), will be binding on all 
participants in the Federal crop insurance program.


Sec. 400.766  Definitions.

    Act. The Federal Crop Insurance Act, 7 U.S.C. 1501 et seq.
    FCIC. The Federal Crop Insurance Corporation, a wholly owned 
government corporation within the United States Department of 
Agriculture.
    Participant. Any applicant for crop insurance, a producer with a 
valid crop insurance policy, or a private insurance company with a 
reinsurance agreement with FCIC or their agents, loss adjusters, 
employees or contractors.
    Regulations. All provisions contained in 7 CFR chapter IV.


Sec. 400.767  Requester obligations.

    (a) All requests for a final agency determination under this 
subpart must:
    (1) Be submitted, in writing by certified mail to the Associate 
Administrator, Risk Management Agency, United States Department of 
Agriculture, Stop Code 0801, 1400 Independence Avenue, SW, Washington, 
DC 20250-0801, faximile at (202) 690-5879 or by electronic mail at 
RMA[email protected];
    (2) State that it is being submitted under section 506(s) of the 
Act;
    (3) Identify and quote the specific provision in the Act or 
regulations for which a final agency determination is requested;
    (4) State the crop year for which the interpretation is sought;
    (5) State the name, address, and telephone number of a contact 
person affiliated with the request; and
    (6) Contain the requester's detailed interpretation of the 
regulation.
    (b) The requestor must advise FCIC if the request for a final 
agency determination will be used in a lawsuit or the settlement of a 
claim.
    (c) Each request for final agency determination under this subpart 
must contain no more than one request for an agency interpretation.


Sec. 400.768  FCIC obligations.

    (a) FCIC will not interpret any specific factual situation or case, 
such as actions of any participant under the terms of a policy or any 
reinsurance agreement.
    (b) If, in the sole judgement of FCIC, the request is unclear, 
ambiguous, or incomplete, FCIC will not provide an interpretation, but 
will notify the requester that the request is unclear, ambiguous or 
incomplete, within 30 days of such request.
    (c) FCIC will provide a final determination of the interpretation 
to a request that meets all the conditions stated herein to the 
requester in writing, and at FCIC's discretion in the format in which 
it was received, within 90 days of the date of receipt by FCIC.
    (d) If a requestor is notified that a request is unclear, ambiguous 
or incomplete under section 400.768(b), the time to respond will be 
tolled from the date FCIC notifies the requestor until the date that 
FCIC receives a clear, complete, and unambiguous request.
    (e) If a response is not provided within 90 days, the requestor may 
assume the interpretation provided is correct for the applicable crop 
year.
    (f) All agency final determinations will be published by FCIC as 
specially numbered documents on the RMA Internet website.
    (g) All final agency determinations are considered matters of 
general applicability that are not appealable to the National Appeals 
Division. Before obtaining judicial review of any final agency 
determination, the person must obtain an administratively final 
determination from the Director of the National Appeals division on the 
issue of whether the final agency determination is a matter of general 
applicability.

    Signed in Washington, D.C., on December 15, 1998.
Kenneth D. Ackerman,
Manager, Federal Crop Insurance Corporation.
[FR Doc. 98-33746 Filed 12-16-98; 4:19 pm]
BILLING CODE 3410-08-P