[Federal Register Volume 65, Number 251 (Friday, December 29, 2000)]
[Rules and Regulations]
[Pages 82892-82894]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 00-33382]


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DEPARTMENT OF AGRICULTURE

Commodity Credit Corporation

7 CFR Part 1439

RIN 0560-AG33


Livestock Indemnity Program for Contract Growers

AGENCIES: Commodity Credit Corporation, USDA.

ACTION: Final rule.

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SUMMARY: This rule implements provisions of the Agriculture, Rural 
Development, Food and Drug Administration, and Related Agencies 
Appropriations Act, 2001 (the 2001 Act) related to the Livestock 
Indemnity Program for Contract Growers (LIP-CG). That statute amended 
the time period during which eligible losses could have occurred and 
the Commodity Credit Corporation (CCC) is publishing this rule to 
extend the availability of benefits under LIP-CG to include benefits 
for livestock losses incurred during the period January 1, 2000 through 
February 7, 2000. Other provisions of the Act will be implemented under 
separate rules.

DATES: Effective December 27, 2000.

ADDRESSES: Comments should be mailed to: Sharon Biastock, Production, 
Emergencies, and Compliance Division, Farm Service Agency (FSA), U.S. 
Department of Agriculture, 1400 Independence Ave., SW., Washington, DC 
20250-0540, telephone (202) 720-6336, Stop 0517; e-mail address: 
[email protected]. Comments can be inspected in Room 
4093, South Building, U.S. Department of Agriculture, 1400 Independence 
Ave., SW., Washington, DC, between 7:30 a.m. and 4:30 p.m., Monday 
through Friday, except holidays.

FOR FURTHER INFORMATION CONTACT: Sharon Biastock, Price Support 
Division, Farm Service Agency (FSA), U.S. Department of Agriculture, 
1400 Independence Ave., SW., Washington, DC 20250-0540, telephone (202) 
720-6336, Stop 0517; e-mail address: [email protected].

SUPPLEMENTARY INFORMATION:

Notice and Comment

    CCC published a final rule implementing the LIP-CG on June 8, 2000 
at 65 FR 36550, as provided by the Omnibus Consolidated Appropriations 
Act, 2000 (Pub. L. 106-113), which added funding to the emergency 
livestock assistance provided by section 802 of the Agriculture, Rural 
Development, Food and Drug Administration, and Related Agencies 
Appropriations Act, 2000 (Pub. L. 106-78) and authorized its use for 
emergency assistance to contract growers during 1999. Section 824 of 
Public Law 106-78 required that the regulations necessary to implement 
the livestock assistance provisions be issued as soon as practicable 
and without regard to the notice and comment provisions of 5 U.S.C. 553 
or the Statement of Policy of the Secretary of Agriculture (the 
Secretary) effective July 24, 1971 (36 FR 13804) relating to notices of 
proposed rulemaking and public participation in rulemaking. The 2001 
Act amended Public Law 106-113 to extend the time frame for losses 
compensable under LIP-CG, and thus supercedes the existing regulations. 
Because this rule merely amends the regulations previously published as 
a final rule exempt from notice and comment, Congress intended for the 
statutory amendment to the program and the necessary regulatory 
amendments to be similarly exempt. These provisions are thus issued as 
final.

Executive Order 12866

    This rule is issued in conformance with Executive Order 12866 and 
has been determined to be significant and has been reviewed by the 
Office of Management and Budget.

Regulatory Flexibility Act

    It has been determined that the Regulatory Flexibility Act is not 
applicable to this rule because USDA is not 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 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. The provisions of this 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.

Unfunded Mandates Reform Act of 1995

    The provisions of Title II of the Unfunded Mandates Reform Act of 
1995 are not applicable to this rule because USDA is not 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. 
Further, in any case, these provisions do not impose any mandates on 
state, local or tribal governments, or the private sector.

Small Business Regulatory Enforcement Fairness Act of 1996

    As discussed in the earlier section on Notice and Comment, section 
824 of Public Law 106-78 required that the regulations necessary to 
implement the emergency livestock assistance provisions be issued as 
soon as practicable and without regard to the notice and comment 
provisions of 5 U.S.C. 553 or the Statement of Policy of the Secretary 
of Agriculture effective July 24, 1971 (36 FR 13804) relating to 
notices of proposed rulemaking and public participation in rulemaking. 
Section 824 also required that the Secretary use the provisions of 
section 808 of the Small Business Regulatory Enforcement Fairness Act 
(SBREFA) (5 U.S.C. 808), which provides that a rule may take effect at 
such time as the agency may determine if the agency finds for good 
cause that public notice is impracticable, unnecessary, or contrary to 
the public purpose, and thus

[[Page 82893]]

does not have to meet SBREFA's normal requirement for a 60-day delay 
for Congressional review of a major rule before it can go into effect. 
The 2001 Act amended the LIP-CG provisions of Public Law 106-113, which 
authorized the program under the general emergency livestock assistance 
provisions of Public Law 106-78, and therefore this rule merely amends 
regulations previously published as a final rule for which the 
Secretary was required to use the ``good cause'' provision provided in 
Sec. 801 of SBREFA. Congress intended for the ``good cause'' provision 
to be used for the statutory amendment to the program and the necessary 
regulations as well. Additionally, this rule is not considered a major 
rule under SBREFA. Accordingly, because the rule affects the incomes of 
agricultural producers who have been hit hard by natural disasters, it 
would be contrary to the public interest to delay this rule and they 
are issued as final and are effective immediately.

Paperwork Reduction Act

    Section 824 of Public Law 106-78 required that the regulations 
necessary to implement livestock assistance be promulgated without 
regard to 44 U.S.C. chapter 35 (the Paperwork Reduction Act (PRA)). 
This means that the normal 60-day public comment period and OMB 
approval of the information collections required by this rule are not 
required before the regulations may be made effective. The 2001 Act 
amended the LIP-CG provisions of Public Law 106-113, which authorized 
the program under the general emergency livestock assistance provisions 
of Public Law 106-78, and therefore this rule merely amends regulations 
previously published as a final rule that were exempt from the PRA. 
Congress intended for these regulations to be exempt as well. However, 
the 60-day public comment period and OMB approval under the provisions 
of the PRA are still required after the rule is published.

Background

    Section 805 of the Agriculture, Rural Development, Food and Drug 
Administration, and Related Agencies Appropriations Act, 2000 (Pub. L. 
106-78) gave the Secretary the authority to spend $325 million of CCC 
funds to compensate livestock producers for losses incurred during 
1999. Subsequently, the Omnibus Consolidated Appropriations Act, 2000 
(Pub. L. 106-113) gave the Secretary the authority to spend an 
additional $10 million of CCC funds to compensate ``persons who raise 
livestock owned by other persons for income losses sustained with 
respect to livestock during 1999. * * *'' CCC thus published a final 
rule implementing the LIP-CG on June 8, 2000 at 65 FR 36550. 
Subsequently, because the entire $10 million authorized by Public Law 
106-113 was not spent, and because there were additional losses that 
occurred in January of 2000, the 2001 Act amended Public Law 106-113 by 
striking ``during 1999'' and inserting ``from January 1, 1999, to 
February 7, 2000.'' This final rule announces and carries out that 
statutory amendment.
    For losses that occurred during 1999 the prior rule required 
producers to apply for benefits before May 1, 2000, and this amended 
rule does not affect the deadline that existed for losses that occurred 
during 1999. However, this rule announces a new sign-up period for the 
producers who suffered losses that occurred during the period of 
January 1, 2000, through February 7, 2000. Producers so affected will 
have to apply at their local USDA Service Center prior to January 26, 
2001. All other program requirements remain unchanged. Accordingly, 
this rule announces the new loss period and the application period for 
those producers. This final rule also corrects the statutory authority 
for Part 1439.

List of Subjects in 7 CFR Part 1439

    Animal feeds, Disaster assistance, Livestock, Pasture, Reporting 
and record keeping requirements.

    For the reasons set out in the preamble, 7 CFR part 1439 is amended 
as set forth below.

PART 1439--EMERGENCY LIVESTOCK ASSISTANCE

    1. The authority citation is revised to read as follows:

    Authority: 7 U.S.C. 1427a; 15 U.S.C. 714 et seq.; Sec 1103 Pub. 
L. 105-277, 112 Stat. 2681-42-44; Pub. L. 106-31, 113 Stat. 57; Pub. 
L. 106-78, 113 Stat. 1135; Pub. L. 106-113, 113 Stat. 1501; Sec. 257 
Pub. L. 106-224, 114. Stat. 358; Secs. 802, 806, & 813 Pub. L. 106-
387, 114 Stat. 1549.

Subpart E--Livestock Indemnity Program for Contract Growers

    2. Revise Sec. 1439.401 to read as follows:


Sec. 1439.401  Applicability.

    This subpart sets forth the terms and conditions of the Livestock 
Indemnity Program for Contract Growers. Under Title I of the Omnibus 
Consolidated Appropriations Act, 2000 (Pub. L. 106-113; 113 Stat. 
1501), the Secretary is specifically authorized to use $10 million to 
provide assistance to persons who raise livestock owned by other 
persons for income losses sustained with respect to livestock during 
1999 if the Secretary finds that such losses are the result of natural 
disasters. Section 802 of the Agriculture, Rural Development, Food and 
Drug Administration, and Related Agencies Appropriations Act, 2001 
(Pub. L. 106-387; 114 Stat. 1549) amended the Omnibus Consolidated 
Appropriations Act, 2000, to cover losses that occurred during the 
period January 1, 2000 through February 7, 2000. Accordingly, this 
subpart provides for benefits to be paid to eligible producers who 
sustained a loss of income directly attributed to a reduction in the 
production of livestock and livestock products from livestock that were 
entirely owned by others, due to or as a result of natural disasters 
that occurred from January 1 through February 7, 2000 in areas for 
which a Presidential or Secretarial Declaration was approved. Producers 
in contiguous counties that were not designated as a disaster area in 
their own right are not eligible for benefits under this part. Benefits 
will be provided with respect to eligible livestock where the death 
occurred in the disaster area during January 1 through February 7, 2000 
where the death was reasonably related to the disaster that prompted 
the disaster declaration as determined by the Deputy Administrator for 
Farm Programs, or designee. The livestock had to be in possession of 
the applicant during the time in which the disaster occurred.

    3. Revise Sec. 1439.404 to read as follows:


Sec. 1439.404  Application period.

    (a) For losses that occurred during 1999, a request for benefits 
under this subpart must be submitted to CCC at the county FSA office 
serving the county where the loss occurred. All requests for benefits 
and supporting documentation must be filed in the county FSA office by 
May 1, 2000, or such other date as established by CCC.
    (b) For losses that occurred during the period January 1, 2000 
through February 7, 2000, a request for benefits under this subpart 
must be submitted to CCC at the county FSA office serving the county 
where the loss occurred. All requests for benefits and supporting 
documentation must be filed in the county FSA office by January 26, 
2001, or such other date as established by CCC.
    (c) Data furnished by the applicants will be used to determine 
eligibility for program benefits. Furnishing the data is

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voluntary; however, without such data, program benefits will not be 
approved or provided.

    Dated: December 22, 2000.
Keith Kelly,
Executive Vice President, Commodity Credit Corporation.
[FR Doc. 00-33382 Filed 12-27-00; 11:05 am]
BILLING CODE 3410-05-P