[Federal Register Volume 64, Number 68 (Friday, April 9, 1999)]
[Rules and Regulations]
[Pages 17271-17272]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-8763]



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 Rules and Regulations
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  Federal Register / Vol. 64, No. 68 / Friday, April 9, 1999 / Rules 
and Regulations  

[[Page 17271]]


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DEPARTMENT OF AGRICULTURE

Commodity Credit Corporation

7 CFR Part 1437

RIN 0560-AF46


Noninsured Crop Disaster Assistance Program

AGENCY: Commodity Credit Corporation, USDA.

ACTION: Interim rule with request for comments.

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SUMMARY: This interim rule amends the regulations with respect to the 
Noninsured Crop Disaster Assistance Program (NAP) which is conducted by 
the Commodity Credit Corporation (CCC) in accordance with section 196 
of the Federal Agriculture Improvement and Reform Act of 1996 (1996 
Act). Currently, the regulations specify that the Executive Vice 
President, CCC, or designee determines areas, prices, and yields for 
NAP. The regulations are being revised to inform the public that the 
Deputy Administrator for Farm Programs (DAFP) has been delegated the 
authority to determine areas, prices, and yields for NAP. The 
regulation has also been revised to specify that DAFP may at his 
discretion delegate to selected Farm Service Agency (FSA) State 
committees (STC's) and other FSA officials, authority to determine 
areas, prices, and yields for NAP. Additionally, amendments made by the 
interim rule specify that seed crops may be considered separate 
eligible crops under NAP if certain criteria is met, and provide a 
definition for industrial crops.

DATES: The interim rule is effective on April 9, 1999. Comments on this 
rule must be received on or before June 8, 1999 to be assured of 
consideration.

ADDRESSES: Submit comments regarding this rule to G. Sean O'Neill, 
Chief, Noninsured Assistance Programs Branch (NAPB), Production, 
Emergencies, and Compliance Division (PECD), Farm Service Agency (FSA), 
United States Department of Agriculture, STOP 0517, 1400 Independence 
Avenue, SW, Washington, DC 20250-0517; telephone (202) 720-9003; e-mail 
Sean__O[email protected].

FOR FURTHER INFORMATION CONTACT: G. Sean O'Neill, telephone (202) 720-
9003; e-mail Sean__O[email protected].

SUPPLEMENTARY INFORMATION:

Executive Order 12866

    This interim rule is issued in conformance with Executive Order 
12866 and has been determined to be significant and therefore has been 
reviewed by OMB.

Regulatory Flexibility Act

    It has been determined that the Regulatory Flexibility Act is not 
applicable to this rule because neither FSA nor the CCC is required by 
5 U.S.C. 553 or any other provision of law to publish a notice of 
proposed rulemaking with respect to the subject matter of this rule.

Environmental Evaluation

    It has been determined by an environmental evaluation that this 
action will have no significant impact on the quality of the human 
environment. Therefore, neither an environmental assessment nor an 
environmental impact statement is needed.

Executive Order 12988

    The interim rule has been reviewed in accordance with Executive 
Order 12988. The provisions of this interim rule preempt State laws to 
the extent such laws are inconsistent with the provisions of this rule. 
Before any judicial action may be brought concerning the provisions of 
this rule, the administrative remedies must be exhausted.

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).

Unfunded Mandates Reform Act of 1995 (UMRA)

    This rule contains no Federal mandates under the regulatory 
provisions of Title II of the UMRA for State, local, and tribal 
governments or the private sector. Thus, this rule is not subject to 
the requirements of sections 202 and 205 of the UMRA.

Paperwork Reduction Act

    This interim rule does not include any new or additional 
information collection requirements. The information relative to the 
criteria stated in the interim rule was previously collected during the 
1996/1997 growing period under approved OMB control numbers 0560-0175 
and 0560-0004.

Executive Order 12612

    It has been determined 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.

Federal Assistance Programs

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

Background

    The regulation reflects changes in existing definitions, additional 
definitions, and acreage reporting requirements. Changes include:
    (1) Section 1437.2 is amended to specify that the Deputy 
Administrator for Farm Programs (DAFP) shall make determinations 
regarding NAP area and price and yield approvals and at DAFP's 
discretion, DAFP may further delegate authority to selected FSA State 
committees and other FSA officials to make determinations regarding NAP 
area and price and yield approvals.
    (2) Section 1437.3 is amended to: (a) revise the definition of 
eligible crop to include the criteria for defining a crop intended for 
use as commercial seed; and (b) include a definition of industrial 
crops.
    (3) Section 1437.4 is amended to specify that in the case of 
commercial seed, the seed intended use may be treated as a separate 
eligible crop if the criteria in Sec. 1437.3 is met.

[[Page 17272]]

List of Subjects in 7 CFR Part 1437

    Agricultural commodities, Disaster assistance, Reporting and 
recordkeeping requirements.
    For the reasons set out in the Preamble, 7 CFR Chapter XIV is 
amended as set forth below.

PART 1437--NONINSURED CROP DISASTER ASSISTANCE PROGRAM REGULATIONS 
FOR THE 1998 AND SUCCEEDING CROP YEARS

    1. The authority citation continues to read as follows:

    Authority: 15 U.S.C. 714b and 714c and 7 U.S.C. 7333.

    2. Revise the heading for part 1437 to read as set forth above.
    3. In Sec. 1437.2 paragraphs (f) and (g) are revised and paragraph 
(h) is added to read as follows:


Sec. 1437.2  Administration.

* * * * *
    (f) The State committee will, in accordance with this part, 
recommend the geographical size and shape of the area where a natural 
disaster has occurred, and whether the area eligibility requirement has 
been satisfied. The recommendations must be approved by the Deputy 
Administrator for Farm Programs unless the State committee has been 
specifically delegated authority under paragraph (h) of this section.
    (g) Except when a State committee has been authorized to approve 
NAP prices and yields according to paragraph (h) of this section, the 
Deputy Administrator for Farm Programs shall approve all yields and 
prices under this part.
    (h) The Deputy Administrator for Farm Programs, may delegate to 
State committees authority to make area, price, and yield 
determinations specified in paragraphs (f) and (g) of this section. The 
delegation shall be in writing. State committees authorized and 
delegated to make area determinations referenced in paragraph (f) may 
do so only if the entire proposed NAP area resides entirely within the 
State or geographical region for which the State committee is 
responsible. If an area delineated according to Sec. 1437.6 is both 
within and outside the region governed by the State committee, the 
Deputy Administrator for Farm Programs must approve the area. This 
decision to delegate or revoke delegated authority to any State 
committee or other FSA official to make any determination referenced in 
either paragraph (f) or (g) of this section is solely at the discretion 
of the Deputy Administrator for Farm Program and is not subject to 
administrative review.
    4. In Sec. 1437.3 the definition of eligible crop is revised and a 
new definition for industrial crops is added in proper alphabetical 
order and to read as follows:


Sec. 1437.3  Definitions.

* * * * *
    Eligible crop means an agricultural commodity for which 
catastrophic coverage is not available and which is commercially 
produced for food or fiber as specified in this part. Eligible crop 
will also include floriculture, ornamental nursery, and Christmas tree 
crops, turfgrass sod, seed crops, aquaculture (including ornamental 
fish), and industrial crops. In the case of a crop that historically 
has multiple plantings in the same crop year that are planted or are 
prevented from being planted, each planting may be considered a 
different crop for determining payments under this part as determined 
by CCC. In the case of a crop, except for forage determined by CCC to 
be predominantly grazed, that has different varieties or types, each 
variety or type may be considered a separate crop for determining 
payments under this part, if CCC determines there is a significant 
difference in price or yield between the varieties or types. For the 
1996 and subsequent crop years, a seed crop may be viewed as a separate 
crop, as determined by CCC, if all the following apply: The specific 
crop acreage is seeded, or intended to be seeded, with an intent of 
producing commercial seed as its primary intended use; there is no 
possibility of other commercial uses of production from the seed crop 
acreage without regard to market conditions; and the crop acreage 
planted, or intended to be planted, with an intended use of seed must 
have a growing period uniquely conducive to the production of 
commercial seed and such growing period is not conducive to the 
production of any other intended use. The unique growing period 
necessary for successful commercial seed production must be something 
that is physiologically required for the production of commercial seed 
(i.e. vernalization in a biennial crop such as carrots and onions) and 
where such physiological event renders the possibility of production of 
any other use of the crop acreage improbable. Commercial seed intended 
uses not meeting the aforementioned criteria shall be viewed as an 
intended use and a single crop together with all other intended uses of 
the crop type or variety.
* * * * *
    Industrial crop means castor beans, chia, crambe, crotalaria, 
cuphea, guar, guayule, hesperaloe, kenaf, lesquerella, meadowfoam, 
milkweed, plantago, ovato, sesame, and other crops specifically 
designated by CCC that are either food or fiber or are used in food or 
fiber applications.
* * * * *
    5. In Sec. 1437.4 paragraph (a) is revised to read as follows:


Sec. 1437.4  Eligibility.

    (a) Crops that are eligible for NAP benefits are any commercial 
agricultural crop (excluding livestock and their by-products), 
commodity, or acreage of a commodity grown for food or fiber for which 
catastrophic coverage is not available. Except for ornamental nursery 
and species or type or variety of a species of forage determined by CCC 
to be predominantly grazed, different types or varieties of a crop or 
commodity, may be treated as a separate eligible crop, if CCC 
determines there is a significant difference in price or yield. For the 
1996 and subsequent crop years, as seed crop may be viewed as a 
separate crop if CCC determines the crop meets the definition of an 
``eligible crop'' pursuant to Sec. 1437.3.
* * * * *
    Signed at Washington, DC, on April 5, 1999.
Keith Kelly,
Executive Vice President, Commodity Credit Corporation.
[FR Doc. 99-8763 Filed 4-8-99; 8:45 am]
BILLING CODE 3410-05-P