Livestock Forage Disaster Program and Emergency Assistance for Livestock, Honeybees, and Farm-Raised Fish; Supplemental Agricultural Disaster Assistance, 46665-46683 [E9-21906]
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46665
Rules and Regulations
Federal Register
Vol. 74, No. 175
Friday, September 11, 2009
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. Prices of
new books are listed in the first FEDERAL
REGISTER issue of each week.
DEPARTMENT OF AGRICULTURE
Food and Nutrition Service
7 CFR Part 248
[FNS–2007–0008]
RIN 0584–AD74
WIC Farmers’ Market Nutrition
Program (FMNP): Nondiscretionary
Provisions of Public Law 108–265, the
Child Nutrition and WIC
Reauthorization Act of 2004
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AGENCY: Food and Nutrition Service,
USDA.
ACTION: Final rule.
SUMMARY: This is an affirmation by the
Department of an interim rule as a final
rule, without change amending the WIC
Farmers’ Market Nutrition Program
(FMNP) regulations to codify three
FMNP nondiscretionary provisions
mandated in the Child Nutrition and
WIC Reauthorization Act of 2004. The
three nondiscretionary provisions
include the option to authorize roadside
stands, a reduction in the required
amount of State matching funds, and an
increase in the maximum Federal
benefit level. These changes are
intended to increase State agency
flexibility in managing the Program. The
first two provisions became effective on
October 1, 2004, while the increased
maximum Federal FMNP benefit level
was effective as of June 30, 2004.
DATES: Effective on October 13, 2009 the
Department is adopting as a final rule
the interim rule published at 73 FR
65246 on November 3, 2008.
FOR FURTHER INFORMATION CONTACT:
Debra R. Whitford, Director,
Supplemental Food Programs Division,
Food and Nutrition Service, USDA,
3101 Park Center Drive, Room 528,
Alexandria, VA 22302, (703) 305–2746,
or Debbie.Whitford@fns.usda.gov.
SUPPLEMENTARY INFORMATION:
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Background
The WIC Farmers’ Market Nutrition
Program: Nondiscretionary Provisions of
Public Law 108–265, the Child
Nutrition and WIC Reauthorization Act
of 2004, was published on November 3,
2008, as an interim rule in the Federal
Register (73 FR 65246). The rule
provided a 60 day comment period that
ended on January 2, 2009. No comment
letters were submitted during the
comment period. This interim rule
amended the FMNP regulations to
codify the three FMNP nondiscretionary
provisions exactly as set forth in the
Child Nutrition and WIC
Reauthorization Act of 2004. The three
nondiscretionary provisions include the
option to authorize roadside stands, a
reduction in the required amount of
State matching funds, and an increase in
the maximum Federal benefit level.
These changes are intended to increase
State agency flexibility in managing the
Program.
Because the nondiscretionary
provisions have been implemented as
set forth in the law, they are retained as
written in this final rule.
For reasons given in the interim rule,
the Department is adopting the interim
rule as a final rule without change.
This action also affirms information
contained in the interim rule concerning
Executive Order 12866, the Regulatory
Flexibility Act, Executive Order 12988,
and the Paperwork Reduction Act.
Further, for this action, the Office of
Management and Budget has waived its
review under Executive Order 12866.
List of Subjects in 7 CFR Part 248
Food assistance programs, Food
donations, Grant programs—Social
programs, Indians, Infants and children,
Maternal and child health,
Nondiscrimination, Nutrition education,
Public assistance programs, WIC,
Women.
PART 248—WIC FARMERS’ MARKET
NUTRITION PROGRAM (FMNP)
Accordingly, the Department is
adopting as a final rule, without change,
the interim rule that amended 7 CFR
part 248 and was published at 73 FR
65246 on November 3, 2008.
■
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Dated: August 25, 2009.
Julia Paradis,
Administrator, Food and Nutrition Service.
[FR Doc. E9–21468 Filed 9–10–09; 8:45 am]
BILLING CODE 3410–30–P
DEPARTMENT OF AGRICULTURE
Farm Service Agency
7 CFR Part 760
RIN 0560–AH94
Livestock Forage Disaster Program
and Emergency Assistance for
Livestock, Honeybees, and FarmRaised Fish; Supplemental Agricultural
Disaster Assistance
Farm Service Agency, USDA.
Final rule.
AGENCY:
ACTION:
SUMMARY: This rule implements specific
requirements for the Emergency
Assistance for Livestock, Honeybees,
and Farm-Raised Fish Program (ELAP)
and the Livestock Forage Disaster
Program (LFP) authorized by the Food,
Conservation, and Energy Act of 2008
(2008 Farm Bill). LFP provides
payments to eligible livestock producers
that have suffered livestock grazing
losses due to qualifying drought or fire.
For drought, the losses must have
occurred on land that is native or
improved pastureland with permanent
vegetative cover or is planted to a crop
planted specifically for grazing for
covered livestock due to a qualifying
drought during the normal grazing
period for the county. For fire, LFP
provides payments to eligible livestock
producers that have suffered grazing
losses on rangeland managed by a
Federal agency if the eligible livestock
producer is prohibited by the Federal
agency from grazing the normal
permitted livestock on the managed
rangeland due to a qualifying fire. ELAP
provides emergency assistance to
eligible producers of livestock,
honeybees, and farm-raised fish that
have losses due to disease, adverse
weather, or other conditions, including
losses due to blizzards and wildfires, as
determined by the Secretary. ELAP
assistance is for losses not covered
under other Supplemental Agricultural
Disaster Assistance Payment programs
established by the 2008 Farm Bill,
specifically LFP, Livestock Indemnity
Program (LIP), and Supplemental
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Revenue Assistance Program (SURE).
Eligible LFP and ELAP losses must have
occurred on or after January 1, 2008,
and before October 1, 2011. This rule
specifies how LFP and ELAP payments
are calculated, what losses are eligible,
and when producers may apply for
payments.
DATES: Effective Date: September 9,
2009.
FOR FURTHER INFORMATION CONTACT:
Scotty Abbott, Production, Emergencies,
and Compliance Division, Farm Service
Agency, United States Department of
Agriculture, STOP 0517, 1400
Independence Avenue, SW.,
Washington, DC 20250–0517; telephone
(202) 720–7997; e-mail
Scotty.Abbott@wdc.usda.gov.
SUPPLEMENTARY INFORMATION:
Background
This final rule implements specific
requirements for LFP and ELAP
authorized by the 2008 Farm Bill (Pub.
L. 110–246). Sections 12033 and 15101
of the 2008 Farm Bill authorize the
Secretary of Agriculture (Secretary) to
provide eligible livestock producers
with payment for grazing losses during
a calendar year for covered livestock
due to a drought or due to fire on
Federally managed lands, which is the
scope of LFP. Sections 12033 and 15101
of the Farm Bill also authorize the
Secretary to provide payments to
producers of livestock, honeybees, and
farm-raised fish to aid in the reduction
of losses due to disease, adverse
weather, or other conditions such as
blizzards and wildfires. That is the
scope of ELAP. ELAP covers some
species, loss conditions, and losses that
are not eligible for other disaster
assistance programs, including colony
collapse disorder and wildfires on nonFederal land. This preamble first
discusses the background and general
requirements that apply to both ELAP
and LFP, then the specific requirements
for each program.
The 2008 Farm Bill establishes a
collection of permanent standing
disaster assistance programs, ELAP and
LFP among them, referred to as
Supplemental Agricultural Disaster
Assistance. These supplemental
agricultural disaster assistance programs
will be administered by FSA using
funds from the Agricultural Disaster
Relief Trust Fund (Trust Fund)
established under section 902 of the
Trade Act of 1974 (19 U.S.C. 2497a).
The disaster assistance programs
authorized by the 2008 Farm Bill are
permanent or ‘‘standing’’ programs, that
is, they are continuing programs not
subject to annual appropriations that are
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similar in scope to the previous ad hoc
programs.
The Supplemental Agricultural
Disaster Assistance permanent disaster
programs authorized by the 2008 Farm
Bill include in addition to ELAP and
LFP, LIP, SURE, and the Tree Assistance
Program (TAP). This rule implements
ELAP and LFP. LIP, SURE, and TAP are
being implemented through separate
rulemakings. The LIP final rule was
published in the Federal Register on
July 2, 2009 (74 FR 31567–31578). This
final rule establishes the regulations for
ELAP in 7 CFR part 760 subpart C and
for LFP in subpart D.
These disaster programs that will be
conducted under regulations in 7 CFR
part 760 are provided for in two
separate places in the 2008 Farm Bill.
First, section 12033 adds, to cover these
programs, a new section, 531, to the
Federal Crop Insurance Act (7 U.S.C.
1531). Second, Section 15101 of the
Farm Bill does the same by adding
Section 902 of the 1974 Trade Act (7
U.S.C. 2497). The provisions of the two
sections as enacted are identical except
that the Trade Act of 1974 provisions
contains the trust fund provisions. Since
the Farm Bill, there have been some
amendments to the programs and in
some cases the amendments have been
to one of the two relevant Farm Bill
sections but not the other, but the two
sections of the 2008 Farm Bill are
considered to be interchangeable for the
purposes of this rule and an amendment
to one is, as a practical matter, an
amendment to the other.
In the past, legislation provided
disaster assistance through ad hoc
programs to address the needs of
specific areas or the results of specific
disasters. Previous ad hoc disaster
assistance programs included the
Livestock Compensation Programs
(LCP), which were implemented in the
regulations in 7 CFR part 760, subparts
K and L, and part 1416, subparts B and
C, and were administered by FSA and
the Commodity Credit Corporation
(CCC), respectively, depending on the
funding source. LCP provided payments
to livestock owners and cash lessees for
certain livestock feed losses, including
grazing losses and feed costs. There was
no ad hoc program that covered the full
scope of the losses now potentially
covered by ELAP; some losses now
potentially covered by ELAP were
covered by the previous Feed Indemnity
Program.
Terms Used in this Rule
This final rule uses the words
‘‘producers’’ and ‘‘participants’’ in
substantive ways. ‘‘Producers’’ may
apply for ELAP and LFP. ‘‘Participants’’
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are those ‘‘producers’’ that meet the
requirements to be eligible producers to
receive ELAP or LFP payments.
Sections 12033 and 15101 of the 2008
Farm Bill use the words ‘‘assistance,’’
‘‘benefits,’’ ‘‘compensation,’’ ‘‘relief,’’
and ‘‘payments’’. The form of ELAP or
LFP assistance, benefit, relief, or
compensation for eligible producers is a
payment calculated as specified in this
rule.
For LFP, sections 12033 and 15101 of
the 2008 Farm Bill and this rule include
the terms ‘‘eligible livestock producer,’’
‘‘covered livestock,’’ and ‘‘qualifying
drought or fire.’’ This rule also uses the
terms ‘‘qualifying grazing loss’’ and
‘‘qualifying grazing land.’’
General Eligibility Requirements That
Apply to Both ELAP and LFP
This rule specifies the eligibility
requirements for ELAP and LFP in part
760, subparts C and D. The LIP final
rule revised subpart B of part 760 to
provide the general eligibility
requirements for all of the Supplemental
Agricultural Disaster Assistance
programs including ELAP, LFP, LIP,
SURE, and TAP. Subpart B specifies
administration of the programs, general
requirements to be an eligible producer,
risk management purchase
requirements, buy-in waivers, equitable
relief, payment limitations, and other
generally applicable requirements.
These general requirements that apply
to all the standing disaster programs are
described below.
Payment Limits
The 2008 Farm Bill limits how much
a producer may receive from FSA
disaster assistance programs.
In applying payment limitation for
2008, no person, as defined and
determined by the regulations in 7 CFR
part 1400 in effect for 2008, may receive
more than $100,000 total per crop year
under ELAP, LFP, LIP, and SURE.
For 2009 through 2011, no person or
legal entity (excluding a joint venture or
general partnership), as defined and
determined by the rules provided for in
7 CFR part 1400, may receive, directly
or indirectly, more than $100,000 total
per crop year under ELAP, LFP, LIP,
and SURE.
For the payment limits, both indirect
and direct benefits are counted by
attribution. In the case of a legal entity,
the same payment is attributed to the
direct payee in the full amount and
those that have an indirect interest to
the amount of the interest. For example,
under the attribution rules that applies
to these programs, assume:
• Corporation A is in line to receive
a $100,000 LFP payment,
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• Corporation A is owned 50 percent
by Individual A and 50 percent by
Corporation B, and
• Corporation B is owned by
Individual B with a 30 percent interest
and by Individual C with a 70 percent
interest.
If so, Corporation A, for payment
limitation purposes would be
considered to have received $100,000
and Individual C (who owns 70 percent
of Corporation B, which owns half of
Corporation A) would be considered to
have indirectly benefitted by the
amount of $35,000 (50 percent times 70
percent of the $100,000). Even though
no part of the $100,000 was actually
paid to Individual C, the amount of
$35,000 would count against individual
C’s overall payment limitation from all
sources and farms. Assume Individual C
was already at the maximum payment
limit, then Individual C would not have
been eligible to receive $35,000; as a
result, the payment to Corporation A
would be reduced by $35,000.
The amount of any payment for which
a participant may be eligible under any
of these programs may be reduced by
any amount received by the participant
for the same or any similar loss from
any Federal disaster assistance program.
Producers can receive LFP payments for
drought or fire, but not both for the
same loss. In addition, a producer who
receives SURE payments cannot receive
payments for the same loss under LFP.
A producer who receives LFP, LIP, or
SURE payments cannot receive
payments for the same loss under ELAP.
As reflected in the general provisions
issued with LIP, there are certain
average adjusted gross income
limitations that apply. In applying the
limitation on average adjusted gross
income (AGI) for 2008, an individual or
entity is ineligible for payment under
ELAP or LFP if the individual’s or
entity’s average AGI exceeds $2.5
million for 2005, 2006, and 2007 under
the provisions in 7 CFR part 1400 in
effect for 2008. For 2009 through 2011,
the average AGI limitation provisions in
7 CFR part 1400 applicable to CCC
commodity programs also apply to
ELAP and LFP. Specifically, as specified
in the 2008 Farm Bill, for 2009 through
2011, a person or legal entity with an
average adjusted gross nonfarm income,
as defined in 7 CFR 1400.3, that exceeds
$500,000 for the relevant period will be
not be eligible to receive payments
under these programs. Likewise, if a
person with an indirect interest in a
legal entity has an average nonfarm AGI
over $500,000, then the payment to the
legal entity will be reduced as
calculated based on the percent of
interest in the legal entity receiving the
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payment. For example, continuing with
the assumptions in the example above,
if Individual B had an average AGI that
was over the limit, then the payment to
Corporation A will be reduced by 15
percent (Individual B’s 30 percent
interest in Corporation B times
Corporation B’s 50 percent interest in
Corporation A).
The relevant AGI period for these
programs is the 3 calendar years that
precede the program year involved. For
livestock losses, the program year is the
calendar year of the loss of the livestock.
The regulations in 7 CFR 1400.105
specify how payments will be attributed
and how far the attribution will go.
Attribution will be tracked through four
levels of ownership in legal entities. The
2008 Farm Bill removed the previous ‘‘3
entity rule,’’ so a person can now
receive benefits attributed through an
unlimited number of entities, subject to
the payment limits and the rules of
attribution described in this final rule
and in 7 CFR part 1400. In addition to
these limits, the 2008 Farm Bill imposes
limitations of payments to foreign
persons. Those limits are specified in
the regulations in § 760.103 as issued
with the LIP rules.
Risk Management Purchase
Requirement
To be eligible for program payments
under ELAP, eligible producers on a
farm, as specified by the 2008 Farm Bill,
must have purchased insurance for each
insurable commodity, excluding grazing
land; a few exceptions allowed by the
2008 Farm Bill are discussed later in
this section. ‘‘Insurable commodities’’
are those for which a plan of insurance
can be obtained from the USDA’s Risk
Management Agency (RMA) that makes
coverage for crops available under the
Federal Crop Insurance Act (FCIA).
Benefits for ‘‘noninsurable’’
commodities are generally available
through the Noninsured Crop Disaster
Assistance Program (NAP) run by FSA.
Except for grazing land, producers for
ELAP must have obtained an RMA
policy or plan of insurance or NAP
coverage for all of their crops. For LFP,
producers must have obtained an RMA
policy or plan of insurance or NAP
coverage for those grazing lands for
which they seek benefits.
Producers who did not purchase
required coverage are not eligible for
benefits unless an exception applies.
‘‘Socially disadvantaged farmers and
ranchers,’’ as well as ‘‘limited resource
farmers and ranchers,’’ or ‘‘beginning
farmers or ranchers,’’ are exempt. For
the 2008 crop, persons who paid a
certain buy-in fee were exempt from the
purchase requirement if the buy-in fee
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was paid by September 16, 2008. By an
amendment to the 2008 Farm Bill,
Congress allowed a second buy-in
enabling producers to buy in from
February 17, 2009, up to May 18, 2009;
however, if the buy-in occurred after the
first deadline, or the waiver was not
granted administratively through some
form of equitable relief, the producer
had to agree to buy crop insurance or
NAP for the next year for the crops to
which the buy-in applied. Also, there
were special benefit calculation
provisions for producers who made use
of the second deadline. The buy-in fee
was equal to the cost of the insurance
or NAP coverage, but did not entitle the
producer to insurance or NAP coverage.
Further, an amendment allowed a 2009
crop buy-in for crops if the 2009 Federal
Crop Insurance Corporation (FCIC) sales
closing date was prior to August 14,
2008. The deadline for the 2009 crop
buy-in was January 12, 2009. In addition
to these provisions, section 531(g)(5) of
the FCIA (and the corresponding
provisions of the Trade Act of 1974)
have some more general provisions
allowing the Secretary discretion to
grant equitable relief to persons with a
lack of coverage. The buy-in fees were
different for 2008 and 2009.
Equitable Relief
The Secretary may provide equitable
relief on a case-by-case basis to eligible
participants that are otherwise ineligible
or unintentionally fail to meet the risk
management purchase requirements
specified in § 760.104 for one or more
covered crops or livestock on the farm.
The equitable relief provisions are
specified in § 760.106, as issued with
the LIP rule, and apply to all the
Supplemental Agricultural Disaster
Assistance programs. The granting of
equitable relief is at the discretion of the
Secretary and is not appealable.
Miscellaneous
As specified in 7 CFR part 760
subpart B, participants receiving ELAP
and LFP payments must keep records
and supporting documentation for 3
years following the end of the year in
which the application for payment was
filed. This discretionary recordkeeping
requirement is consistent with other
FSA rules and programs, as well as with
previous similar disaster assistance
programs.
As specified in 7 CFR part 760
subpart B, other restrictions apply to
ELAP and LFP including, but not
limited to, those pertaining to highly
erodible land and wetland conservation
provisions specified in 7 CFR part 12
(which limit eligibility for payments in
cases where highly erodible land is
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converted to cropland or is used
without a conservation plan or where
wetlands have been converted after the
1986 Farm Bill to crop use).
All livestock owners, contract
growers, producers, livestock,
honeybees, farm-raised fish, and losses
must meet the eligibility requirements
provided in this rule; false certifications
can carry serious consequences. FSA
will validate applications with random
spot-checks.
Specific Provisions for ELAP
Overview
Sections 12033 and 15101 of the 2008
Farm Bill direct the Secretary to use up
to $50 million per year from the Trust
Fund to provide emergency relief to
eligible producers of livestock,
honeybees, and farm-raised fish. The
emergency relief is intended to provide
financial assistance to reduce the
amount of losses due to disease, adverse
weather, or other conditions, such as
blizzards and wildfires as determined
by the Secretary. ELAP covers losses
that are not covered under LFP, LIP, or
SURE. These provisions are statutory.
The ELAP details in this rule on what
kinds of livestock and other species are
eligible, what types of losses are
covered, acceptable documentation of
loss, and the application process for
payment, are discretionary provisions in
the sense of not being specified in the
statutory provisions enacted in the Farm
Bill. FSA is implementing many of the
‘‘discretionary’’ provisions of ELAP in a
manner consistent with the rules and
polices used in implementing LFP or
LIP and those used for previous ad hoc
disaster assistance programs because
those rules and policies are known to
the public and to Congress and because
they have worked well to apportion
benefits for the types of losses involved
in ELAP.
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Eligibility Requirements for ELAP
The 2008 Farm Bill specified that
ELAP is for losses due to ‘‘disease,
adverse weather, or other conditions,
such as blizzards and wildfires, as
determined by the Secretary.’’ Under the
rule, eligible adverse weather and
eligible loss conditions include disease,
adverse weather, and other conditions
and will be determined by FSA’s
Deputy Administrator for Farm
Programs (Deputy Administrator) on
behalf of the Secretary. Determination of
ELAP payment eligibility will be based
on actual losses as determined by the
Deputy Administrator due to eligible
adverse weather or eligible loss
conditions. These determinations are all
subject to the availability of funds. In
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general, adverse weather includes, but is
not limited to, events such as
hurricanes, floods, blizzards, wildfires,
extreme heat, and extreme cold.
Adverse weather is a factor in eligibility
for other disaster assistance programs;
however, there are other conditions that
result in significant losses to
agricultural producers. ELAP is being
implemented to fill in the gap and
provide assistance under other
conditions as the Deputy Administrator
determines are appropriate. FSA will
determine eligibility of livestock,
honeybee, and farm-raised fish losses
caused by eligible adverse weather or
eligible loss conditions, for example,
disease caused by adverse weather.
Additional eligible adverse weather and
other qualifying loss conditions will be
specified, as needed, by the Deputy
Administrator. Specific examples of
currently known qualifying loss
conditions are described below.
The eligibility requirements for ELAP
include limits that go to: the type of
producer, the type of loss, the cause of
the loss, and the location of the loss. In
general, adverse weather or other
qualifying conditions, as determined by
the Deputy Administrator, are
conditions that cause damage that result
in a financial loss to the producer or
require the producer to incur additional
expenses. ELAP is intended to provide
broad coverage for losses not covered by
other programs; at this time, nine
different types of losses have been
identified as examples and are
explained in this section.
The location requirement for the loss
is that the loss must have occurred in
the county for which assistance is being
provided; examples are included below.
To distribute payments to participants,
funds are first allocated to the counties
and the loss must have occurred in the
county that is providing the payment.
As stated above, producers of
livestock, honeybees, and farm-raised
fish are eligible for ELAP if they have
losses due to adverse weather and other
conditions such as blizzards and
wildfires that are not covered under
LFP, LIP, and SURE.
Livestock producers are eligible for
ELAP if they have eligible grazing losses
due to eligible adverse weather or
eligible loss conditions, on eligible
grazing lands that are physically located
in a county that experienced such
eligible adverse weather or eligible loss
conditions. Eligible adverse weather and
eligible loss conditions may include, but
are not limited to, blizzards, floods,
hurricanes, wildfires on non-Federal
grazing lands, and tidal surges. Losses
resulting from drought or wildfire on
rangeland managed by a Federal agency
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are not eligible losses for ELAP because
those losses will be covered by LFP.
Livestock producers of forage or
feedstuffs intended as feed for the
producer’s livestock are eligible for
ELAP if the feed was damaged or
destroyed due to an eligible adverse
weather or eligible loss condition and if
the feed that was damaged or destroyed
was physically located in a county that
experienced the eligible adverse
weather or eligible loss condition.
Livestock producers are eligible for
ELAP to cover a portion of the loss
related to additional costs incurred for
providing or transporting livestock feed
to eligible livestock that is needed due
to an eligible adverse weather or eligible
loss condition. Specific examples of
eligible losses for the additional costs of
providing or transporting feed include,
but are not limited to, costs associated
with equipment costs for hay lifts or
snow removal.
Livestock producers are eligible for
ELAP to cover a portion of the loss
related to the cost of purchasing
additional livestock feed above normal
quantities to maintain the eligible
livestock due to an eligible adverse
weather or eligible loss condition until
additional livestock feed becomes
available. To be eligible, the additional
feed purchased above normal quantities
must be feed that is fed to maintain the
livestock in the county where the
eligible adverse weather or eligible loss
condition occurred. Eligible livestock
for grazing and feed losses will be the
same kinds and types of livestock that
will be eligible for LFP.
Livestock producers are eligible for
ELAP if they have losses due to
livestock death in excess of normal
mortality due to an eligible loss
condition that is not an eligible adverse
weather event under LIP. LIP covers
livestock death losses due to adverse
weather; therefore, ELAP covers
livestock death losses due to other
eligible loss conditions. For example,
based on conditions at the time, the
Deputy Administrator may determine
that livestock deaths due to a specific
catastrophic disease outbreak would be
an eligible loss condition for ELAP, but
those livestock deaths would not be
eligible for LIP. Eligible livestock for
death losses will be the same kinds and
types of livestock eligible under LIP.
Although the list of livestock eligible for
LIP appears to be the same as the list for
ELAP, the definitions are different. For
example, for ELAP, the age of certain
animals for losses other than death is
relative to the beginning date of the
eligible adverse weather or eligible loss
condition and there are differences in
the weights of certain animals if the loss
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is for a death as opposed to another type
of loss. Unlike some previous livestockrelated programs, ELAP does not cover
catfish or crawfish death losses because
losses of that kind are covered by SURE,
the Farm Bill prohibits duplicative
payments and there is not a loss if it has
been paid for under another program.
Honeybee or farm-raised fish
producers are eligible for ELAP if they
have losses of feed that was intended as
feed for the honeybees or farm-raised
fish. The feed must have been damaged
or destroyed due to eligible adverse
weather or eligible loss conditions
including, but not limited to, an
earthquake, flood, hurricane, tidal surge,
tornado, volcanic eruption, or wildfires.
To be eligible, the honeybee or farmraised fish feed loss must have occurred
in the county where the eligible adverse
weather or loss condition occurred.
Honeybee producers are eligible for
ELAP if they have honeybee colony or
honeybee hive losses due to eligible
adverse weather or eligible loss
conditions including, but not limited to,
colony collapse disorder, earthquakes,
floods, hurricanes, tornadoes, and
volcanic eruptions. To be eligible, the
honeybee colony or honeybee hive loss
must have occurred in the county where
the eligible adverse weather or eligible
loss condition occurred. In the case of
colony collapse, the collapse must be
certified or otherwise documented by a
third party such as a registered
entomologist, Cooperative Extension
specialist, or Land Grant University.
Producers of farm-raised bait fish and
game fish are eligible for ELAP if they
have fish death losses due to eligible
adverse weather or eligible loss
conditions including, but not limited to,
earthquake, floods, hurricanes, tidal
surges, tornadoes, and volcanic
eruptions. To be eligible, the farm-raised
fish deaths must occur in the county
where the eligible adverse weather or
eligible loss condition occurs.
Livestock, honeybee, and farm-raised
fish losses that are not related to eligible
adverse weather or eligible loss
conditions as determined by the Deputy
Administrator are not covered by this
rule.
Applying for ELAP Payment
There are two basic steps for a
producer to obtain ELAP payments. One
step is to file a notice of loss when there
is a condition that does or could
generate a claim because of a loss in
grazing, feed, animal, or an eligible
additional expense is incurred, as
applicable, for eligible livestock, honey
bees, and farm-raised fish due to eligible
weather or loss conditions. The second
part of the process is to file the
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application for benefits. Both steps can
be performed simultaneously. As to the
first step, producers must provide a
notice of loss to the FSA county office
within 30 days of when the loss was
apparent, or within 30 days after the
end of the calendar year in which the
loss occurred, whichever comes first.
Due to the timing of the implementation
of this rule and the losses to which it
will apply, producers who potentially
had suffered an eligible loss during
calendar year 2008 and in calendar year
2009 prior to this rule being published
in the Federal Register must provide a
notice of loss within 90 calendar days
after this rule is published. As
indicated, however, a notice of loss is
one part of the application process;
other documentation is required for a
complete application for payment as
described in this rule. The completed
application and required documents
must be submitted to the FSA county
office no later than 30 calendar days
after the end of the calendar year in
which the loss occurred or, for 2008
losses, 90 calendar days after
publication of this rule in the Federal
Register.
The statute allows up to $50 million
per year for the ELAP program. Since
the funding level has a cap, FSA plans
to accept applications on a calendar
year basis, and issue payments by
calendar year. If approval of all eligible
applications in a calendar year would
result in expenditures in excess of the
amount available for that calendar year,
FSA plans to prorate the available funds
by a national factor to reduce the total
expected payments to the amount
available for the calendar year. The
funding level cap for ELAP is $50
million ‘‘per year,’’ with a provision for
carryover of funds, which is understood
to allow unused cap authority in a
particular year that was otherwise
approved by the Secretary to be ‘‘carried
over’’ and effectively increase the cap
for a later year. However, payments will,
by this rule, be accounted for by year
and if a proration is needed because of
the cap or because the Secretary has not
approved the full cap amount or if
payments go unpaid for whatever
reason, the unpaid applications will not
be carried forward. Otherwise,
payments for one year could be so great
as to reduce the availability of funds for
future payments.
ELAP Payment Calculations
Payments for eligible livestock feed
losses, not to exceed 90 days of costs for
feed losses, that the producer incurred
during the calendar year will be based
on 60 percent of the producer’s actual
cost for:
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(1) Replacing livestock feed that was
intended for feed for the producer’s
eligible livestock that was damaged or
destroyed due to an eligible adverse
weather or eligible loss condition;
(2) The additional cost incurred for
providing or transporting livestock feed
to eligible livestock due to an eligible
adverse weather or eligible loss
condition; or
(3) The additional cost of purchasing
additional livestock feed above normal
quantities to maintain the eligible
livestock during an eligible adverse
weather or eligible loss condition until
additional feed becomes available.
Payments for grazing losses due to an
eligible adverse weather or eligible loss
condition other than drought or
wildfires will be based on the lesser of
60 percent of:
(1) The total value of the feed cost for
all covered livestock owned by the
eligible livestock producer based on the
number of days grazing was lost, not to
exceed 90 days of daily feed cost for all
eligible livestock or
(2) The total value of grazing lost for
all eligible livestock based on the
carrying capacity of the eligible grazing
land for the number of grazing days lost,
not to exceed 90 days of lost grazing.
Payments for grazing losses due to
wildfires on non-Federal grazing lands
will be based on 50 percent of the value
of lost grazing based on the carrying
capacity of the eligible grazing land, not
to exceed 180 days of lost grazing.
Payments for livestock death losses
due to eligible loss conditions will be
based on 75 percent of the market value
of the eligible livestock lost in excess of
normal mortality. This is consistent
with the payment calculation for LIP.
Payments for honeybee or farm-raised
fish feed losses will be based on 60
percent of the producer’s actual costs for
feed that was intended as feed for the
honeybees or farm-raised fish that was
damaged or destroyed due to an eligible
adverse weather or eligible loss
condition.
Payments for honeybee colony or
honeybee hive losses will be based on
60 percent of the producer’s actual
replacement cost for honeybee colonies
or honeybee hives that were lost due to
an eligible adverse weather or eligible
loss condition.
Payments for producers of farm-raised
game or sport fish who have losses due
to fish death will be based on 60 percent
of the producer’s actual replacement
cost of the game or sport fish that died
as a direct result of an eligible adverse
weather or eligible loss condition.
As stated above, any payments for
these losses are limited so a producer
will not receive duplicate payments
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under any Federal disaster assistance
program. However, other Federal
payments, such as NAP payments, may
be made in addition to the disaster
assistance payments. Therefore, to
ensure that a producer is not paid for
more than the amount of losses, the
ELAP program will cap assistance at 95
percent of maximum losses.
Specifically, total ELAP assistance
provided to a participant in any given
year, together with any amount
provided to the same participant for the
same loss as a result of any Federal crop
insurance program, NAP, or any other
Federal disaster program, plus the value
of the commodity that was not lost, will
not exceed 95 percent of the value of the
commodity in the absence of a loss, as
estimated by FSA. This rule amends
§ 760.108(c) to specify the 95 percent
cap for ELAP payments.
Specific Provisions for LFP
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Overview
The 2008 Farm Bill directs the
Secretary to use such sums as are
necessary from the Trust Fund to
compensate eligible livestock producers
for eligible grazing losses on eligible
grazing land for covered livestock due to
a qualifying drought during the normal
grazing period for the county, or grazing
losses on rangeland managed by a
Federal agency if the eligible livestock
producer is prohibited by the Federal
agency from grazing the normal
permitted livestock on the managed
rangeland due to a qualifying fire, as
determined by the Secretary, during the
calendar year. The qualifying drought or
fire must occur on or after January 1,
2008, but before October 1, 2011. All the
provisions described in this paragraph,
which are implemented in this rule, are
statutory provisions. The payment rate,
the minimum risk purchase
requirement, the definition of ‘‘covered
livestock,’’ and the definitions of
‘‘qualifying drought’’ or ‘‘fire,’’ are also
statutory provisions.
The details in this rule on what kinds
of additional livestock and other species
are covered, acceptable documentation
of loss, and the application process for
payment, are discretionary provisions.
Generally, FSA is implementing many
of the discretionary provisions of LFP to
be consistent with the rules and polices
used in implementing ELAP and LIP
and those used for previous ad hoc
disaster assistance programs because
those rules and policies are known to
the public and to Congress and because
they have worked well in the past to
apportion payments for the type of loss
involved in this program.
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Eligibility Requirements
LFP payments and eligibilities will be
calculated based on the type of covered
livestock and grazing losses and the
calculations will be made by FSAapproved categories. Covered livestock
are specified in § 760.304 and include
beef cattle, alpacas, buffalo, beefalo,
dairy cattle, deer, elk, emus, equine,
goats, llamas, poultry, reindeer, sheep,
and swine for which the eligible
livestock producer suffered a grazing
loss due to a qualifying drought, or was
prohibited from grazing on Federally
managed rangeland due to a fire. The
livestock must also be:
• During the 60 days prior to the
beginning date of the qualifying drought
or fire:
Æ Owned, leased, purchased, the
subject of a contract to purchase, or in
the possession of an eligible contract
grower and
Æ Maintained for commercial use as
part of a farming operation of the
participant or
• During the current production year
or one or both of the production years
immediately preceding the current
production year:
Æ Sold or otherwise disposed of due
to a qualifying drought and
Æ Maintained for commercial use as
part of a farming operation of the
participant.
The definitions of the covered
livestock in this rule are similar to those
used in the previous LCP program, and
those used in the ELAP program. Based
on input from affected producers,
alpacas, emus, and llamas were added
to the list of previously covered
livestock. Reduced payments are
available for producers who sold or
otherwise disposed of covered livestock
due to qualifying drought in 1 or both
of the 2 production years immediately
preceding the current production year.
Where the livestock is in the possession
of a contract grower at the time of loss,
only the contract grower will be eligible
for payment. ‘‘Contract growers’’ under
ELAP and LFP will only include
producers, other than feedlots, whose
income is dependent on the actual
weight gain and survival of the
livestock. The actual ‘‘owner’’ of the
livestock will not be eligible.
Livestock used for recreational use,
such as animals used for roping or pets,
are not covered. Animals that were or
would have been on a feedlot on the
beginning date of the drought or fire are
not covered. Yaks and ostriches are not
covered. Cattle (including buffalo and
beefalo) under 500 pounds on the
beginning date of the qualifying drought
or fire are not covered.
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LFP is different from past ad hoc
disaster programs that required a county
to have had a Secretarial designation or
Presidential declaration for producers in
that county to receive payments.
Qualifying drought ratings are
specified in this rule using the U.S.
Drought Monitor (https://
www.drought.unl.edu/dm/monitor.html)
ratings of drought intensity. The U.S.
Drought Monitor is the only such rating
tool available; it is a widely recognized
and objective source of drought
information. It is specified in the 2008
Farm Bill as one of the eligibility
‘‘triggers’’ for LFP. A livestock producer
may receive LFP payments for grazing
losses due to drought on owned or
leased grazing land or pastureland that
is physically located in a county that is,
during the normal grazing period for the
specific type of grazing land or
pastureland for the county, rated by the
U.S. Drought Monitor as having a
drought rating of D2 (severe drought),
D3 (extreme drought), or D4
(exceptional drought) for a specified
period. The payment amount an eligible
producer may receive depends on the
length and intensity of the qualifying
drought as follows:
• For an amount equal to one
monthly payment, the drought length
and intensity must be at least a D2
(severe drought) intensity in any area of
the county for 8 consecutive weeks
during the normal grazing period for the
specific type of grazing land or
pastureland for the county.
• For an amount equal to two
monthly payments, the drought length
and intensity must be at least a D3
(extreme drought) intensity in any area
of the county at any time during the
normal grazing period for the specific
type of grazing land or pastureland.
• For an amount equal to three
monthly payments, the drought length
and intensity must be:
Æ At least D3 (extreme drought)
intensity in any area of the county for
at least four weeks during the normal
grazing period for the specific type of
grazing land or pastureland for the
county or
Æ D4 (exceptional drought) intensity
in any area of the county at any time
during the normal grazing period for the
specific grazing land or pastureland for
the county.
Total LFP payments to an eligible
livestock producer in a calendar year for
eligible grazing losses due to qualifying
drought will not exceed an amount
equal to three monthly payments for the
same livestock.
A livestock producer may receive LFP
payments for a qualifying fire if the
grazing loss occurs on rangeland
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managed by a Federal agency and the
eligible livestock producer is prohibited
from grazing the normal permitted
livestock on the rangeland due to fire.
The payments will cover up to 180 days
of grazing losses due to fire.
Any owner, cash or share lessee, or
contract grower of livestock that rents or
leases pastureland or grazing land
owned by another person on a rate-ofgain basis is not considered an eligible
livestock producer.
Grazing losses that are not related to
qualifying drought or fire, as determined
by the Secretary, are not eligible for
LFP, but may be eligible for ELAP,
which covers other adverse weather
conditions. An eligible livestock
producer may not receive LFP payments
for grazing losses due to drought that
occur on land used for haying or grazing
under the Conservation Reserve
Program (CRP).
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Applying for LFP Payment
In general, the producer must provide
a completed application for payment
and required supporting documentation
to the administrative FSA county office
within 30 calendar days after the end of
the calendar year in which the grazing
loss occurred. Due to the timing of the
implementation of this rule and the
losses to which it will apply, producers
who potentially had an eligible loss in
calendar year 2008 will have 90
calendar days after this rule is
published to provide the required
documents for calendar year 2008 to the
FSA county office.
LFP Payment Calculation
Producers are eligible for up to three
monthly payments for grazing losses
due to qualifying drought, depending on
the intensity and duration of the
drought, as described earlier. Each
monthly payment for eligible grazing
losses under LFP due to drought may
not exceed 60 percent of the lesser of:
• The monthly feed cost for all
covered livestock owned or leased by
the eligible livestock producer as
calculated in § 760.308(g) or
• The monthly feed cost calculated
using the normal carrying capacity of
the eligible grazing land of the eligible
livestock producer as determined in
§ 760.308(j).
In the case of livestock that were sold
or otherwise disposed of due to
qualifying drought in 1 or both of the 2
production years immediately preceding
the current production year, the
payment rate is 80 percent of the
monthly rate just described.
Producers are eligible for LFP
payments for grazing losses due to
qualifying fire for up to 180 days per
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calendar year of such losses. Payments
for eligible grazing losses due to
qualifying fire under LFP may not
exceed 50 percent of the monthly feed
cost, determined as specified in
§ 760.308(g), for the total number of
livestock covered by the Federal lease of
the eligible livestock producer for
grazing losses that occur for not more
than 180 days per calendar year.
Payment for fire losses is calculated on
a daily basis.
Notice and Comment
The 2008 Consolidated Security,
Disaster Assistance, and Continuing
Appropriations Act (Pub. L. 110–329)
made section 1601(c)(2) of the 2008
Farm Bill applicable in implementing
section 12033 of the 2008 Farm Bill. To
the extent relevant, the exemption
applies to the corresponding provision
enacted in section 15101 since they are
identical except for the provision for
funding in section 15101 that does not
appear at all in section 12033.
Otherwise, the provisions of Public Law
110–329 would have no meaning.
Therefore, these regulations are exempt
from the notice and comment
requirements of the Administrative
Procedures Act (5 U.S.C. 553), as
specified in section 1601(c)(2) of the
2008 Farm Bill, which requires that the
regulations be promulgated and
administered without regard to the
notice and comment provisions of
section 553 of Title 5 of the United
States Code 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.
Effective Date
In making this final rule exempt from
notice and comment through section
1601(c)(2) of the 2008 Farm Bill, using
the administrative procedure provisions
in 5 U.S.C. 553, FSA finds that there is
good cause for making this rule effective
less than 30 days after publication in the
Federal Register. This rule allows FSA
to provide benefits to producers who
suffered grazing, feed and livestock
death losses caused by drought, fire,
disease, adverse weather and other
conditions. Therefore, to begin
providing benefits to producers as soon
as possible, this final rule is effective
when filed for public inspection by the
Office of the Federal Register.
Executive Order 12866
The Office of Management and Budget
designated this rule as economically
significant under Executive Order 12866
and has reviewed this rule. A cost
benefit analysis was completed, is
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46671
summarized below, and is available
from the contact person listed above.
Summary of Economic Impacts
The ELAP program is likely to result
in costs of the entire authorized $50
million per year each year, providing
benefits of $50 million each year to
producers of livestock, honeybees, and
farm-raised fish. The benefits of the
honeybee loss compensation aspect of
the program could also include
substantial indirect benefits to the
agricultural sector as a whole, because
honeybees pollinate more than $14
billion worth of fruits, vegetables, and
other crops in the United States.
The honeybee portion of the program
is expected to be the most expensive
part of ELAP, due to losses resulting
from colony collapse disorder.
According to the USDA Agricultural
Research Service, honeybee colony
losses from colony collapse disorder
were reported to be 31 percent in 2007,
with surveys in 2008 indicating losses
of about 36 percent. Those losses
represent about twice the percentage of
losses sustained during a typical winter.
In other words, honeybee hives suffer
about 18 percent depopulation in a
normal winter, but losses of twice that
percentage have occurred since colony
collapse disorder was identified. The
cost of honeybee hive rental has risen by
$22 per honeybee hive in some East
Coast states, and risen $80 per honeybee
hive in California, due to a shortage of
honeybees caused by colony collapse
disorder. Assuming an average ELAP
payment of $22 per honeybee hive for
the 2.4 million honeybee hives in the
United States in 2007 to compensate for
the costs caused by colony collapse
disorder implies additional costs of
$52.8 million. This suggests that
estimates for honeybee losses alone due
to colony collapse disorder could easily
exceed $50 million per year,
particularly if losses in some states are
significantly above $22 per honeybee
hive.
The aquaculture portion of ELAP is
expected to have average costs of about
$6 million per year, based on costs of
previous ad hoc hurricane relief
programs, with significant variation in
costs per year because adverse weather
events that impact aquaculture are
relatively infrequent.
The cost of the livestock portion of
ELAP is likely to be of similar
magnitude to the aquaculture portion,
and will depend on relatively infrequent
events such as floods and blizzards.
LFP is expected to cost about $409
million per year, providing the same
amount in benefits to livestock
producers. The indirect benefit of the
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program is to reduce income variability
of livestock producers due to drought
and fire losses beyond their control.
The annual average expected costs for
LFP were calculated using the payment
amounts from the previous ad hoc LCP
that covered the three years from 2005
to 2007, adjusted for the differences in
the conditions under which LFP will
operate. The projected costs were
adjusted to reflect that the cost of feed
corn differs significantly from 2005 to
2007, and that the previous program
allowed eligible livestock producers to
select the worst of three years to use as
the basis for payment calculation. The
higher cost of corn required an upward
adjustment; not including the worst year
provision required a downward
adjustment.
Higher corn costs are expected to
result in a payment rate 212 percent
above the payment rate used in LCP.
Multiplying the approved LCP
payments of just under $340 million by
212 percent would imply a maximum
expected annual cost for LFP of $720.8
million. However, annual average
expected costs for LFP are likely to be
significantly less than $720.8 million
because $720.8 million is based on
participants choosing the worst year as
the basis for payment calculations.
Inspection of total emergency
payments for all livestock-related
disasters (including a small amount for
tree assistance) since fiscal year 1999
indicates substantial variability in
payments over time, ranging from as
low as $3 million in 2007 to as high as
$1.384 billion in 2008. The average
amount of livestock-related disaster
assistance from 1999 to 2006 was 13.55
percent of the amount expected to be
paid in 2008 and provides a lower
bound on the expected costs of LFP.
As a permanent disaster program, LFP
is likely to generate costs substantially
above 13.55 percent of the expected
2008 emergency assistance on average.
Since past ad hoc programs required a
threshold disaster loss before legislation
was passed, some producers who had
disasters may not have received
assistance, which they would under
permanent disaster legislation.
Therefore, the estimated cost for LFP
was calculated by multiplying the
maximum expected cost of $720.8
million by the midpoint of the range
extending from 13.55 percent to 100
percent, or by 57 percent. Annual
average expected costs are therefore
determined to be $409 million ($720.8
million multiplied by 56.8 percent). Not
including the worst year provision will
reduce some of the variability in
program payments for LFP as compared
to previous programs.
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The only alternatives for
implementation of LFP were on what
kinds of additional livestock and other
species are covered, acceptable
documentation of loss, and the
application process for payment, which
are discretionary provisions. Generally,
FSA is implementing many of the
discretionary provisions of LFP to be
consistent with the rules and polices
used in implementing ELAP and LIP
and those used for previous ad hoc
disaster assistance programs because
those rules and policies are known to
the public and to Congress and because
they have worked well in the past to
apportion payments for the type of loss
involved in LFP.
Similarly, the only alternatives for
implementation of ELAP were on what
kinds of livestock and other species are
eligible, what types of losses are
covered, acceptable documentation of
loss, and the application process for
payment, which are discretionary
provisions. FSA is implementing many
of the discretionary provisions of ELAP
to be consistent with the rules and
polices used in implementing LFP or
LIP and those used for previous ad hoc
disaster assistance programs because
those rules and policies are known to
the public and to Congress and because
they have worked well to apportion
benefits for the types of losses involved
in ELAP.
part 3015, subpart V, published in the
Federal Register on June 24, 1983 (48
FR 29115).
Regulatory Flexibility Act
This rule is not subject to the
Regulatory Flexibility Act since FSA is
not required to publish a notice of
proposed rulemaking for this rule.
Unfunded Mandates
Environmental Review
The environmental impacts of this
rule have been considered in a manner
consistent with the provisions of the
National Environmental Policy Act
(NEPA, 42 U.S.C. 4321–4347), the
regulations of the Council on
Environmental Quality (40 CFR parts
1500–1508), and FSA regulations for
compliance with NEPA (7 CFR part
799). The LFP provisions required by
the 2008 Farm Bill that are identified in
this rule are non-discretionary in nature,
solely providing financial assistance.
Therefore, FSA has determined that
provisions for further NEPA review do
not apply to this rule. Therefore, no
environmental assessment or
environmental impact statement will be
prepared.
Executive Order 12372
This program is not subject to
Executive Order 12372, which requires
consultation with State and local
officials. See the notice related to 7 CFR
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Executive Order 12988
This rule has been reviewed under
Executive Order 12988. This final rule
is not retroactive and it does not
preempt State or local laws, regulations,
or policies unless they present an
irreconcilable conflict with this rule.
Before any judicial action may be
brought regarding the provisions of this
rule the administrative appeal
provisions of 7 CFR parts 11 and 780
must be exhausted.
Executive Order 13132
The policies contained in this rule do
not have any substantial direct effect on
States, on the relationship between the
national government and States, or on
the distribution of power and
responsibilities among various levels of
government. Nor does this rule impose
substantial direct compliance costs on
State and local governments. Therefore,
consultation with States was not
required.
Executive Order 13175
The policies contained in this rule do
not impose substantial unreimbursed
direct compliance costs on Indian tribal
governments or have tribal implications
that preempt tribal law.
This rule contains no Federal
mandates under the regulatory
provisions of Title II of the UMRA for
State, local, and tribal government or
the private sector. In addition, FSA was
not required to publish a notice of
proposed rulemaking for this rule.
Therefore, this rule is not subject to the
requirements of sections 202 and 205 of
the UMRA.
Federal Assistance Programs
This rule applies to the following
Federal assistance programs that are not
in the Catalog of Federal Domestic
Assistance: ELAP and LFP.
Paperwork Reduction Act
The regulations in this rule are
exempt from the requirements of the
Paperwork Reduction Act (44 U.S.C.
Chapter 35), as specified in section
1601(c)(2) of the 2008 Farm Bill, which
provides that these regulations be
promulgated and administered without
regard to the Paperwork Reduction Act.
E-Government Act Compliance
FSA is committed to complying with
the E-Government Act, to promote the
use of the Internet and other
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information technologies to provide
increased opportunities for citizen
access to Government information and
services, and for other purposes.
Small Business Regulatory Enforcement
Fairness Act of 1996
This rule has been determined to be
Major under the Small Business
Regulatory Enforcement Fairness Act of
1996, (Pub. L. 104–121) (SBREFA).
SBREFA normally requires that an
agency delay the effective date of a
major rule for 60 days from the date of
publication to allow for Congressional
review. Section 808 of SBREFA allows
an agency to make a major regulation
effective immediately if the agency finds
there is good cause to do so. FSA finds
that it would be contrary to the public
interest to delay implementation of this
rule because it would significantly delay
assistance to the many people affected
by the disasters addressed by this rule.
Therefore, this rule is effective
immediately.
List of Subjects in 7 CFR Part 760
Dairy products, Indemnity payments,
Pesticide and pests, Reporting and
recordkeeping requirements.
■ Accordingly, 7 CFR part 760 is
amended as follows:
PART 760—INDEMNITY PAYMENT
PROGRAMS
1. The authority citation for part 760
continues to read as follows:
■
Authority: 7 U.S.C. 4501, 7 U.S.C. 1531, 16
U.S.C. 3801, note, and 19 U.S.C. 2497; Title
III, Pub. L. 109–234, 120 Stat. 474; and Title
IX, Pub. L. 110–28, 121 Stat. 211.
§ 760.104
[Amended]
2. Amend § 760.104(a)(1)(i) by
removing the words ‘‘forage crops’’ and
by adding, in their place, the words
‘‘forage crops intended for grazing’’.
■ 3. In § 760.108, add paragraphs (c)(1)
and (c)(2) to read as follows:
■
§ 760.108
Payment limitation.
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*
*
*
*
*
(c) * * *
(1) FSA will review ELAP payments
after the funding factor as specified in
§ 760.208 is determined to be 100
percent. FSA will ensure that total
ELAP payments provided to a
participant in a year, together with any
amount provided to the same
participant for the same loss as a result
of any Federal crop insurance program,
the Noninsured Crop Disaster
Assistance Program, or any other
Federal disaster program, plus the value
of the commodity that was not lost, is
not more than 95 percent of the value
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of the commodity in the absence of the
loss, as estimated by FSA.
(2) [Reserved]
■ 4. Add subpart C to part 760 to read
as follows:
Subpart C—Emergency Assistance for
Livestock, Honeybees, and Farm-Raised
Fish Program
Sec.
760.201 Applicability.
760.202 Definitions.
760.203 Eligible losses, adverse weather,
and other loss conditions.
760.204 Eligible livestock, honeybees, and
farm-raised fish.
760.205 Eligible producers, owners, and
contract growers.
760.206 Notice of loss and application
process.
760.207 Notice of loss and application
period.
760.208 Availability of funds.
760.209 Livestock payment calculations.
760.210 Honeybee payment calculations.
760.211 Farm-raised fish payment
calculations.
Subpart C—Emergency Assistance for
Livestock, Honeybees, and FarmRaised Fish Program
§ 760.201
Applicability.
(a) This subpart establishes the terms
and conditions under which the
Emergency Assistance for Livestock,
Honeybees, and Farm-Raised Fish
Program (ELAP) will be administered.
(b) Eligible producers of livestock,
honeybees, and farm-raised fish will be
compensated to reduce eligible losses
that occurred in the calendar year for
which the producer requests benefits.
The eligible loss must have been a direct
result of eligible adverse weather or
eligible loss conditions as determined
by the Deputy Administrator, including,
but not limited to, blizzards, wildfires,
disease, and insect infestation. ELAP
does not cover losses that are covered
under LFP, LIP, or SURE.
§ 760.202
Definitions.
The following definitions apply to
this subpart and to the administration of
ELAP. The definitions in parts 718 and
1400 of this title also apply, except
where they conflict with the definitions
in this section.
Adult beef bull means a male beef
breed bovine animal that was used for
breeding purposes that was at least 2
years old before the beginning date of
the eligible adverse weather or eligible
loss condition.
Adult beef cow means a female beef
breed bovine animal that had delivered
one or more offspring before the
beginning date of the eligible adverse
weather or eligible loss condition. A
first-time bred beef heifer is also
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considered an adult beef cow if it was
pregnant on or by the beginning date of
the eligible adverse weather or eligible
loss condition.
Adult buffalo and beefalo bull means
a male animal of those breeds that was
used for breeding purposes and was at
least 2 years old before the beginning
date of the eligible adverse weather or
eligible loss condition.
Adult buffalo and beefalo cow means
a female animal of those breeds that had
delivered one or more offspring before
the beginning date of the eligible
adverse weather or eligible loss
condition. A first-time bred buffalo or
beefalo heifer is also considered an
adult buffalo or beefalo cow if it was
pregnant by the beginning date of the
eligible adverse weather or eligible loss
condition.
Adult dairy bull means a male dairy
breed bovine animal that was used
primarily for breeding dairy cows and
was at least 2 years old by the beginning
date of the eligible adverse weather or
eligible loss condition.
Adult dairy cow means a female
bovine dairy breed animal used for the
purpose of providing milk for human
consumption that had delivered one or
more offspring by the beginning date of
the eligible adverse weather or eligible
loss condition. A first-time bred dairy
heifer is also considered an adult dairy
cow if it was pregnant by the beginning
date of the eligible adverse weather or
eligible loss condition.
Agricultural operation means a
farming operation.
Application means FSA form used to
apply for either the emergency loss
assistance for livestock or emergency
loss assistance for farm-raised fish or
honeybees.
Aquatic species means any species of
aquatic organism grown as food for
human consumption, fish raised as feed
for fish that are consumed by humans,
or ornamental fish propagated and
reared in an aquatic medium by a
commercial operator on private property
in water in a controlled environment.
Catfish and crawfish are both defined as
aquatic species for ELAP. However,
aquatic species do not include reptiles
or amphibians.
Bait fish means small fish caught for
use as bait to attract large predatory fish.
For ELAP, it also must meet the
definition of aquatic species and not be
raised as food for fish; provided,
however, that only bait fish produced in
a controlled environment can generate
claims under ELAP.
Buck means a male goat.
Commercial use means used in the
operation of a business activity engaged
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in as a means of livelihood for profit by
the eligible producer.
Contract means, with respect to
contracts for the handling of livestock,
a written agreement between a livestock
owner and another individual or entity
setting the specific terms, conditions,
and obligations of the parties involved
regarding the production of livestock or
livestock products.
Controlled environment means an
environment in which everything that
can practicably be controlled by the
participant with structures, facilities,
and growing media (including, but not
limited to, water and nutrients) was in
fact controlled by the participant at the
time of the eligible adverse weather or
eligible loss condition.
County committee or county office
means the respective FSA committee or
office.
Deputy Administrator or DAFP means
the Deputy Administrator for Farm
Programs, Farm Service Agency, U.S.
Department of Agriculture or the
designee.
Eligible adverse weather or eligible
loss condition means any disease,
adverse weather, or other loss condition
as determined by the Deputy
Administrator. The eligible adverse
weather or eligible loss condition would
have resulted in agricultural losses not
covered by other programs in this part
for which the Deputy Administrator
determines financial assistance needs to
be provided to producers. The disease,
adverse weather, or other conditions
may include, but are not limited to,
blizzards, wildfires, water shortages,
and other factors. Specific eligible
adverse weather and eligible loss
conditions may vary based on the type
of loss. Identification of eligible adverse
weather and eligible loss conditions will
include locations (National, State, or
county-level) and start and end dates.
Equine animal means a domesticated
horse, mule, or donkey.
Ewe means a female sheep.
Farming operation means a business
enterprise engaged in producing
agricultural products.
Farm-raised fish means any aquatic
species that is propagated and reared in
a controlled environment.
FSA means the Farm Service Agency.
Game or sport fish means fish
pursued for sport by recreational
anglers; provided, however, that only
game or sport fish produced in a
controlled environment can generate
claims under ELAP.
Goat means a domesticated, ruminant
mammal of the genus Capra, including
Angora goats. Goats are further
delineated into categories by sex (bucks
and nannies) and age (kids).
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Kid means a goat less than 1 year old.
Lamb means a sheep less than 1 year
old.
Livestock owner, for death loss
purposes, means one having legal
ownership of the livestock for which
benefits are being requested on the day
such livestock died due to an eligible
adverse weather or eligible loss
condition. For all other purposes of loss
under ELAP, ‘‘livestock owner’’ means
one having legal ownership of the
livestock for which benefits are being
requested during the 60 days prior to
the beginning date of the eligible
adverse weather or eligible loss
condition.
Nanny means a female goat.
Non-adult beef cattle means a beef
breed bovine animal that does not meet
the definition of adult beef cow or bull.
Non-adult beef cattle are further
delineated by weight categories of either
less than 400 pounds or 400 pounds or
more at the time they died. For a loss
other than death, means a bovine animal
less than 2 years old that that weighed
500 pounds or more on or before the
beginning date of the eligible adverse
weather or eligible loss condition.
Non-adult buffalo or beefalo means an
animal of those breeds that does not
meet the definition of adult buffalo or
beefalo cow or bull. Non-adult buffalo
or beefalo are further delineated by
weight categories of either less than 400
pounds or 400 pounds or more at the
time of death. For a loss other than
death, means an animal of those breeds
that is less than 2 years old that weighed
500 pounds or more on or before the
beginning date of the eligible adverse
weather or eligible loss condition.
Non-adult dairy cattle means a bovine
dairy breed animal used for the purpose
of providing milk for human
consumption that does not meet the
definition of adult dairy cow or bull.
Non-adult dairy cattle are further
delineated by weight categories of either
less than 400 pounds or 400 pounds or
more at the time they died. For a loss
other than death, means a bovine dairy
breed animal used for the purpose of
providing milk for human consumption
that is less than 2 years old that weighed
500 pounds or more on or before the
beginning date of the eligible adverse
weather or eligible loss condition.
Normal grazing period, with respect
to a county, means the normal grazing
period during the calendar year with
respect to each specific type of grazing
land or pastureland in the county.
Normal mortality means the
numerical amount, computed by a
percentage, as established for the area
by the FSA State Committee, of
expected livestock deaths, by category,
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that normally occur during a calendar
year for a producer.
Poultry means domesticated chickens,
turkeys, ducks, and geese. Poultry are
further delineated into categories by sex,
age, and purpose of production as
determined by FSA.
Ram means a male sheep.
Secretary means the Secretary of
Agriculture or a designee of the
Secretary.
Sheep means a domesticated,
ruminant mammal of the genus Ovis.
Sheep are further defined by sex (rams
and ewes) and age (lambs) for purposes
of dividing into categories for loss
calculations.
State committee, State office, county
committee, or county office means the
respective FSA committee or office.
Swine means a domesticated
omnivorous pig, hog, or boar. Swine for
purposes of dividing into categories for
loss calculations are further delineated
into categories by sex and weight as
determined by FSA.
United States means all 50 States of
the United States, the Commonwealth of
Puerto Rico, the Virgin Islands of the
United States, Guam, and the District of
Columbia.
§ 760.203 Eligible losses, adverse weather,
and other loss conditions.
(a) An eligible loss covered under this
subpart is a loss that an eligible
producer or contract grower of livestock,
honeybees, or farm-raised fish incurs
due to an eligible adverse weather or
eligible loss condition, as determined by
the Deputy Administrator, (including,
but not limited to, blizzards and
wildfires).
(b) A loss covered under LFP, LIP, or
SURE is not eligible for ELAP.
(c) To be eligible, the loss must have
occurred:
(1) During the calendar year for which
payment is being requested and
(2) On or after January 1, 2008, and
before October 1, 2011.
(d) For a livestock feed loss to be
considered an eligible loss, the livestock
feed loss must be one of the following:
(1) Loss of purchased forage or
feedstuffs that was intended for use as
feed for the participant’s eligible
livestock that was physically located in
the county where the eligible adverse
weather or eligible loss condition
occurred on the beginning date of the
eligible adverse weather or eligible loss
condition. The loss must be due to an
eligible adverse weather or eligible loss
condition, as determined by the Deputy
Administrator, including, but not
limited to, blizzard, flood, hurricane,
tidal surge, tornado, volcanic eruption,
wildfire on non-Federal land, or
lightning;
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(2) Loss of mechanically harvested
forage or feedstuffs intended for use as
feed for the participant’s eligible
livestock that was physically located in
the county where the eligible adverse
weather or eligible loss condition
occurred on the beginning date of the
eligible adverse weather or eligible loss
condition. The loss must have occurred
after harvest due to an eligible adverse
weather or eligible loss condition, as
determined by the Deputy
Administrator, including, but not
limited to, blizzard, flood, hurricane,
tidal surge, tornado, volcanic eruption,
wildfire on non-Federal land, or
lightning;
(3) A loss resulting from the
additional cost incurred for providing or
transporting livestock feed to eligible
livestock due to an eligible adverse
weather or eligible loss condition as
determined by the Deputy
Administrator, including, but not
limited to, costs associated with
equipment rental fees for hay lifts and
snow removal. The additional costs
incurred must have been incurred for
losses suffered in the county where the
eligible adverse weather or eligible loss
condition occurred;
(4) A loss resulting from the
additional cost of purchasing additional
livestock feed, above normal quantities,
required to maintain the eligible
livestock during an eligible adverse
weather or eligible loss condition, until
additional livestock feed becomes
available, as determined by the Deputy
Administrator. To be eligible, the
additional feed purchased above normal
quantities must be feed that is fed to
maintain livestock in the county where
the eligible adverse weather or eligible
loss condition occurred.
(e) For a grazing loss to be considered
eligible, the grazing loss must have been
incurred on eligible grazing lands
physically located in the county where
the eligible adverse weather or eligible
loss condition occurred. The grazing
loss must be due to an eligible adverse
weather or eligible loss condition, as
determined by the Deputy
Administrator, including, but not
limited to, flood, freeze, hurricane, hail,
tidal surge, volcanic eruption, and
wildfire on non-Federal land. The
grazing loss will not be eligible if it is
due to an adverse weather condition
covered by LFP as specified in subpart
D, such as drought or wildfire on
federally managed land where the
producer is prohibited by the Federal
agency from grazing the normally
permitted livestock on the managed
rangeland due to a fire.
(f) For a loss due to livestock death to
be considered eligible, the livestock
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death must have occurred in the county
where the eligible loss condition
occurred. The livestock death must be
due to an eligible loss condition
determined as eligible by the Deputy
Administrator and not related to an
eligible adverse weather event as
specified in Subpart E for LIP.
(g) For honeybee or farm-raised fish
feed losses to be considered eligible, the
honeybee or farm-raised fish feed
producer must have incurred the loss in
the county where the eligible adverse
weather or eligible loss condition
occurred. The honeybee or farm-raised
fish feed losses must be for feed that
was intended as feed for the honeybees
or farm-raised fish that was damaged or
destroyed due to an eligible adverse
weather or eligible loss condition, as
determined by the Deputy
Administrator, including, but not
limited to, earthquake, excessive wind,
flood, hurricane, tidal surge, tornado,
volcanic eruption, and wildfire.
(h) For honeybee colony or honeybee
hive losses to be considered eligible, the
honeybee colony or honeybee hive
producer must have incurred the loss in
the county where the eligible adverse
weather or eligible loss condition
occurred. The honeybee colony or
honeybee hive losses must be due to an
eligible adverse weather or eligible loss
condition, as determined by the Deputy
Administrator, including, but not
limited to, earthquake, excessive wind,
flood, hurricane, tornado, volcanic
eruption, and wildfire. To be eligible for
a loss of honeybees due to colony
collapse disorder, the eligible honeybee
producer must provide documentation
to support that the loss was due to
colony collapse disorder. Acceptable
documentation includes, but is not
limited to, a colony collapse
certification by a registered
entomologist, Cooperative Extension
specialist, or Land Grant University.
(i) For a death loss for bait fish or
game fish to be considered eligible, the
producer must have incurred the loss in
the county where the eligible adverse
weather or eligible loss condition
occurred. The bait fish or game fish
death must be due to an eligible adverse
weather or eligible loss condition as
determined by the Deputy
Administrator including, but not limited
to, an earthquake, flood, hurricane, tidal
surge, tornado, and volcanic eruption.
§ 760.204 Eligible livestock, honeybees,
and farm-raised fish.
(a) To be considered eligible livestock
for livestock feed losses and grazing
losses, livestock must meet all the
following conditions:
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(1) Be alpacas, adult or non-adult
dairy cattle, adult or non-adult beef
cattle, adult or non-adult buffalo, adult
or non-adult beefalo, deer, elk, emus,
equine, goats, llamas, poultry, reindeer,
sheep, or swine;
(2) Be livestock that would normally
have been grazing the eligible grazing
land or pastureland during the normal
grazing period for the specific type of
grazing land or pastureland for the
county;
(3) Be livestock that is owned, cashleased, purchased, under contract for
purchase, or been raised by a contract
grower or an eligible livestock producer,
during the 60 days prior to the
beginning date of the eligible adverse
weather or eligible loss condition;
(4) Be livestock that has been
maintained for commercial use as part
of the producer’s farming operation on
the beginning date of the eligible
adverse weather or eligible loss
condition;
(5) Be livestock that has not been
produced and maintained for reasons
other than commercial use as part of a
farming operation; and
(6) Be livestock that was not in a
feedlot, on the beginning date of the
eligible adverse weather or eligible loss
condition, as a part of the normal
business operation of the producer, as
determined by the Deputy
Administrator.
(b) The eligible livestock types for
feed losses and grazing losses are:
(1) Adult beef cows or bulls,
(2) Adult buffalo or beefalo cows or
bulls,
(3) Adult dairy cows or bulls,
(4) Alpacas,
(5) Deer,
(6) Elk,
(7) Emus,
(8) Equine,
(9) Goats,
(10) Llamas,
(11) Non-adult beef cattle,
(12) Non-adult buffalo or beefalo,
(13) Non-adult dairy cattle,
(14) Poultry,
(15) Reindeer,
(16) Sheep, and
(17) Swine;
(c) Ineligible livestock for feed losses
and grazing losses include, but are not
limited to:
(1) Livestock that were or would have
been in a feedlot, on the beginning date
of the eligible adverse weather or
eligible loss condition, as a part of the
normal business operation of the
producer, as determined by FSA;
(2) Yaks;
(3) Ostriches;
(4) All beef and dairy cattle, and
buffalo and beefalo that weighed less
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than 500 pounds on the beginning date
of the eligible adverse weather or
eligible loss condition;
(5) Any wild free roaming livestock,
including horses and deer;
(6) Livestock produced or maintained
for reasons other than commercial use
as part of a farming operation,
including, but not limited to, livestock
produced or maintained exclusively for
recreational purposes, such as:
(i) Roping,
(ii) Hunting,
(iii) Show,
(iv) Pleasure,
(v) Use as pets, or
(vi) Consumption by owner.
(d) For death losses for livestock
owners to be eligible, the livestock must
meet all of the following conditions:
(1) Be alpacas, adult or non-adult
dairy cattle, beef cattle, beefalo, buffalo,
deer, elk, emus, equine, goats, llamas,
poultry, reindeer, sheep, or swine, and
meet all the conditions in paragraph (f)
of this section.
(2) Be one of the following categories
of animals for which calculations of
eligibility for payments will be
calculated separately for each producer
with respect to each category:
(i) Adult beef bulls;
(ii) Adult beef cows;
(iii) Adult buffalo or beefalo bulls;
(iv) Adult buffalo or beefalo cows;
(v) Adult dairy bulls;
(vi) Adult dairy cows;
(vii) Alpacas;
(viii) Chickens, broilers, pullets;
(ix) Chickens, chicks;
(x) Chickens, layers, roasters;
(xi) Deer;
(xii) Ducks;
(xiii) Ducks, ducklings;
(xiv) Elk;
(xv) Emus;
(xvi) Equine;
(xvii) Geese, goose;
(xviii) Geese, gosling;
(xix) Goats, bucks;
(xx) Goats, nannies;
(xxi) Goats, kids;
(xxii) Llamas;
(xxiii) Non-adult beef cattle;
(xxiv) Non-adult buffalo or beefalo;
(xxv) Non-adult dairy cattle;
(xxvi) Reindeer;
(xxvii) Sheep, ewes;
(xxviii) Sheep, lambs;
(xxix) Sheep, rams;
(xxx) Swine, feeder pigs under 50
pounds;
(xxxi) Swine, sows, boars, barrows,
gilts 50 to 150 pounds;
(xxxii) Swine, sows, boars, barrows,
gilts over 150 pounds;
(xxxiii) Turkeys, poults; and
(xxxiv) Turkeys, toms, fryers, and
roasters.
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(e) Under ELAP, ‘‘contract growers’’
will only be deemed to include
producers of livestock, other than
feedlots, whose income is dependent on
the actual weight gain and survival of
the livestock. For death losses for
contract growers to be eligible, the
livestock must meet all of the following
conditions:
(1) Be poultry or swine, as defined in
§ 760.202, and meet all the conditions in
paragraph (f) of this section.
(2) Be one of the following categories
of animals for which calculations of
eligibility for payments will be
calculated separately for each contract
grower with respect to each category:
(i) Chickens, broilers, pullets;
(ii) Chickens, layers, roasters;
(iii) Geese, goose;
(iv) Swine, boars, sows;
(v) Swine, feeder pigs;
(vi) Swine, lightweight barrows, gilts;
(vii) Swine, sows, boars, barrows,
gilts; and
(viii) Turkeys, toms, fryers, and
roasters.
(f) For livestock death losses to be
considered eligible livestock for the
purpose of generating payments under
this subpart, livestock must meet all of
the following conditions:
(1) They must have died as a direct
result of an eligible loss condition:
(i) On or after the beginning date of
the eligible loss condition; and
(ii) No later than 60 calendar days
from the ending date of the eligible loss
condition; and
(iii) On or after January 1, 2008, and
before October 1, 2011; and
(iv) In the calendar year for which
payment is being requested; and
(2) Been maintained for commercial
use as part of a farming operation on the
day the livestock died; and
(3) Before dying, not have been
produced or maintained for reasons
other than commercial use as part of a
farming operation, such non-eligible
uses being understood to include, but
not be limited to, any uses of wild free
roaming animals or use of the animals
for recreational purposes, such as
pleasure, hunting, roping, pets, or for
show.
(g) For honeybee losses to be eligible,
the honeybee colony must meet the
following conditions:
(1) Been maintained for the purpose
of producing honey or pollination for
commercial use in a farming operation
on the beginning date of the eligible
adverse weather or eligible loss
condition;
(2) Been physically located in the
county where the eligible adverse
weather or eligible loss condition
occurred on the beginning date of the
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eligible adverse weather or eligible loss
condition;
(3) Been a honeybee colony in which
the participant has a risk in the honey
production or pollination farming
operation on the beginning date of the
eligible adverse weather or eligible loss
condition;
(4) Been a honeybee colony for which
the producer had an eligible loss of a
honeybee colony, honeybee hive, or
honeybee feed; the feed must have been
intended as feed for honeybees.
(h) For fish to be eligible to generate
payments under ELAP, the fish must be
produced in a controlled environment
so to be considered ‘‘farm raised fish’’
as defined in this subpart, and the farmraised fish must:
(1) For feed losses:
(i) Be an aquatic species that is
propagated and reared in a controlled
environment;
(ii) Be maintained and harvested for
commercial use as part of a farming
operation; and
(iii) Be physically located in the
county where the eligible adverse
weather or eligible loss condition
occurred on the beginning date of the
eligible adverse weather or eligible loss
condition.
(2) For death losses:
(i) Be bait fish or game fish that are
propagated and reared in a controlled
environment;
(ii) Been maintained for commercial
use as part of a farming operation; and
(iii) Been physically located in the
county where the eligible loss adverse
weather or eligible loss condition
occurred on the beginning date of the
eligible adverse weather or eligible loss
condition.
§ 760.205 Eligible producers, owners, and
contract growers.
(a) To be considered an eligible
livestock producer for livestock feed
losses and to receive payments, the
participant must have owned, cashleased, purchased, entered into a
contract to purchase, or been a contract
grower of eligible livestock during the
60 days prior to the beginning date of
the eligible adverse weather or eligible
loss condition and must have had a loss
that is determined to be eligible as
specified in § 760.203(d), and the
producer’s eligible livestock must have
been livestock that would normally
have been grazing the eligible grazing
land or pastureland during the normal
grazing period for the specific type of
grazing land or pastureland for the
county as specified in paragraph (b)(1)(i)
or (ii) of this section.
(b) To be considered an eligible
livestock producer for grazing losses
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and to receive payments, the participant
must have:
(1) Owned, cash-leased, purchased,
entered into a contract to purchase, or
been a contract grower of eligible
livestock during the 60 days prior to the
beginning date of the eligible adverse
weather or eligible loss condition, must
have had a loss that is determined to be
eligible as specified in § 760.203(e), and
the loss must have occurred on land that
is:
(i) Native or improved pastureland
with permanent vegetative cover or
(ii) Planted to a crop planted
specifically for the purpose of providing
grazing for covered livestock;
(2) Have had eligible livestock that
would normally have been grazing the
eligible grazing land or pastureland
during the normal grazing period for the
specific type of grazing land or
pastureland for the county as specified
in paragraph (b)(1)(i) or (ii) of this
section;
(3) Provided for the eligible livestock
pastureland or grazing land, including
cash leased pastureland or grazing land
for covered livestock that is physically
located in the county where the eligible
adverse weather or loss condition
occurred during the normal grazing
period for the county.
(c) For livestock death losses to be
eligible the producer must have had a
loss that is determined to be eligible as
specified in § 760.203(f) and in addition
to other eligibility rules that may apply
to be eligible as a:
(1) Livestock owner for the payment
with respect to the death of an animal
under this subpart, the applicant must
have had legal ownership of the
livestock on the day the livestock died
and under conditions in which no
contract grower could have been eligible
for ELAP payment with respect to the
animal. Eligible types of animal
categories for which losses can be
calculated for an owner are specified in
§ 760.204(d).
(2) Contract grower for ELAP payment
with respect to the death of an animal,
the animal must be in one of the
categories specified in § 760.204(e), and
the contract grower must have had:
(i) A written agreement with the
owner of eligible livestock setting the
specific terms, conditions, and
obligations of the parties involved
regarding the production of livestock;
(ii) Control of the eligible livestock on
the day the livestock died; and
(iii) A risk of loss in the animal.
(d) To be considered an eligible
honeybee producer, a participant must
have an interest and risk in an eligible
honeybee colony, as specified in
§ 760.204(g), for the purpose of
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producing honey or pollination for
commercial use as part of a farming
operation and must have had a loss that
is determined to be eligible as specified
in § 760.203(g) or (h).
(e) To be considered an eligible farmraised fish producer for feed loss
purposes, the participant must have
produced eligible farm-raised fish, as
specified in § 760.204(h)(1), with the
intent to harvest for commercial use as
part of a farming operation and must
have had a loss that is determined to be
eligible as specified in § 760.203(g);
(f) A producer seeking payments must
not be ineligible under the restrictions
applicable to foreign persons contained
in § 760.103(b) and must meet all other
requirements of subpart B and other
applicable USDA regulations.
§ 760.206
process.
Notice of loss and application
(a) To apply for ELAP, the participant
that suffered eligible livestock,
honeybee, or farm-raised fish losses
must submit, to the FSA administrative
county office that maintains the
participant’s farm records for the
agricultural operation, the following:
(1) A notice of loss to FSA as
specified in § 760.207(a),
(2) A completed application as
specified in § 760.207(b) for one or both
of the following:
(i) For livestock feed, grazing and
death losses, the participant must
submit a completed Emergency Loss
Assistance for Livestock Application;
(ii) For honeybee feed, honeybee
colony, honeybee hive, or farm-raised
fish feed or death losses, the participant
must submit a completed Emergency
Loss Assistance for Farm-Raised Fish or
Honeybees Application;
(3) A report of acreage;
(4) A copy of the participant’s grower
contract, if the participant is a contract
grower; and
(5) Other supporting documents
required for FSA to determine eligibility
of the participant, livestock, and loss.
(b) For livestock, honeybee, or farmraised fish feed losses, participant must
provide verifiable documentation of:
(1) Purchased feed intended as feed
for livestock, honeybees, or farm-raised
fish that was lost, or additional feed
purchased above normal quantities to
sustain livestock, honeybees, and farmraised fish for a short period of time
until additional feed becomes available,
due to an eligible adverse weather or
eligible loss condition. To be considered
acceptable documentation, the
participant must provide original feed
receipts and each feed receipt must
include the date of feed purchase, name,
address, and telephone number of feed
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vendor, type and quantity of feed
purchased, cost of feed purchased, and
signature of feed vendor if the vendor
does not have a license to conduct this
type of transaction.
(2) Harvested feed intended as feed
for livestock, honeybees, or farm-raised
fish that was lost due to an eligible
adverse weather or eligible loss
condition. Documentation may include,
but is not limited to, weight tickets,
truck scale tickets, contemporaneous
diaries used to verify that the crop was
stored with the intent to feed the crop
to livestock, honeybees, or farm-raised
fish, and custom harvest documents that
clearly identify the amount of feed
produced from the applicable acreage.
Documentation must clearly identify the
acreage from which the feed was
produced.
(c) For eligible honeybee colony and
honeybee hive losses and eligible farmraised fish losses, the participant must
also provide documentation of
inventory on the beginning date of the
eligible adverse weather or loss
condition and the ending inventory.
Documentation may include, but is not
limited to, any combination of the
following:
(1) A report of acreage,
(2) Loan records,
(3) Private insurance documents,
(4) Property tax records,
(5) Sales and purchase receipts,
(6) State colony registration
documentation, and
(7) Chattel inspections.
(d) For the loss of honeybee colonies
and honeybee hives due to colony
collapse disorder, the participant must
also provide documentation or
certification that the loss of the
honeybee colony or honeybee hive was
due to colony collapse disorder from an
appropriate third party, as determined
by the Deputy Administrator, such as
from a registered entomologist,
Cooperative Extension specialist, or
Land Grant University.
(e) For livestock death losses, the
participant must provide evidence of
loss, current physical location of
livestock in inventory, and physical
location of claimed livestock at the time
of death. The participant must provide:
(1) Documentation listing the quantity
and kind of livestock that died as a
direct result of the eligible loss
condition during the calendar year for
which payment is being requested,
which must include: Purchase records,
veterinarian records, bank or other loan
papers, rendering truck receipts, Federal
Emergency Management Agency
records, National Guard records, written
contracts, production records, Internal
Revenue Service records, property tax
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records, private insurance documents,
or other similar verifiable documents as
determined by FSA.
(2) Adequate proof that the death of
the eligible livestock occurred as a
direct result of an eligible loss condition
in the calendar year for which payment
is requested.
(3) If adequate verifiable proof of
death documentation is not available,
the participant must provide reliable
records, in conjunction with verifiable
beginning and ending inventory records,
as proof of death. Reliable records may
include: Contemporaneous producer
records, dairy herd improvement
records, brand inspection records,
vaccination records, pictures, and other
similar reliable documents, as
determined by FSA.
(4) Certification of livestock deaths by
third parties will be acceptable for
eligibility determination only if
verifiable proof of death records or
reliable proof of death records in
conjunction with verifiable beginning
and ending inventory records are not
available and both of the following
conditions are met:
(i) The livestock owner or livestock
contract grower, as applicable, certifies
in writing:
(A) That there is no other verifiable or
reliable documentation of death
available;
(B) The number of livestock, by
category as determined by FSA, was in
inventory at the time the applicable loss
condition occurred;
(C) The physical location of the
livestock, by category, in inventory
when the deaths occurred; and
(D) Any other details required for FSA
to determine the certification
acceptable; and
(ii) The third party is an independent
source who is not affiliated with the
farming operation such as a hired hand
and is not a ‘‘family member,’’ defined
as a person to whom a member in the
farming operation or their spouse is
related as a lineal ancestor, lineal
descendant, sibling, spouse, or
otherwise by marriage, and provides
their telephone number, address, and a
written statement containing specific
details about:
(A) Their knowledge of the livestock
deaths;
(B) Their affiliation with the livestock
owner;
(C) The accuracy of the deaths
claimed by the livestock owner or
contract grower including, but not
limited to, the number and kind or type
of the participant’s livestock that died
because of the eligible loss condition;
and
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(D) Any other information required
for FSA to determine the certification
acceptable.
(f) FSA will use the data furnished by
the participant and the third party to
determine eligibility for program
payment. Furnishing the data is
voluntary; however, without all
required data program, payment will not
be approved or provided.
§ 760.207
period.
Notice of loss and application
(a) In addition to submitting an
application for payment at the
appropriate time, the participant that
suffered eligible livestock, honeybee, or
farm-raised fish losses that create or
could create a claim for benefits must:
(1) For losses during calendar year
2008 and in calendar year 2009 prior to
September 11, 2009, provide a notice of
loss to FSA no later than December 10,
2009;
(2) For losses on or after September
11, 2009, the participant must provide
a notice of loss to FSA within the earlier
of:
(i) 30 calendar days of when the loss
is apparent to the participant or
(ii) 30 calendar days after the end of
the calendar year in which the loss
occurred.
(3) The participant must submit the
notice of loss required in paragraphs
(a)(1) and (a)(2) of this section to the
administrative FSA county office
(b) In addition to the notices of loss
required in paragraph (a) of this section,
a participant must also submit a
completed application for payment no
later than:
(1) 30 calendar days after the end of
the calendar year in which the loss
occurred or
(2) December 10, 2009 for losses that
occurred during 2008.
§ 760.208
Availability of funds.
By law, ‘‘up to’’ $50 million per year
for the years in question may be
approved for use by the Secretary and
accordingly, within that cap, the only
funds that will be considered available
to pay claims will be that amount
approved by the Secretary. Nothing in
these regulations will limit the ability of
the Secretary to restrict the availability
of funds for the program as permitted by
the relevant legislation. Payments will
not be made for claims arising out of a
particular year until, for all claims for
that year, the time for applying for a
payment has passed. In the event that,
within the limits of the funding made
available by the Secretary within the
statutory cap, approval of eligible
applications would result in
expenditures in excess of the amount
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available, FSA will prorate the available
funds by a national factor to reduce the
total expected payments to the amount
made available by the Secretary. FSA
will make payments based on the factor
for the national rate determined by FSA.
FSA will prorate the payments in such
manner as it determines appropriate and
reasonable. Claims that are unpaid or
prorated for a calendar year for any
reason will not be carried forward for
payment under other funds for later
years or otherwise, but will be
considered, as to any unpaid amount,
void and nonpayable.
§ 760.209
Livestock payment calculations.
(a) Payments for an eligible livestock
producer will be calculated based on
losses for no more than 90 days during
the calendar year. Payment calculations
for feed losses will be based on 60
percent of the producer’s actual cost for:
(1) Livestock feed that was purchased
forage or feedstuffs intended for use as
feed for the participant’s eligible
livestock that was physically damaged
or destroyed due to the direct result of
an eligible adverse weather or eligible
loss condition, as provided in
§ 760.203(d)(1);
(2) Livestock feed that was
mechanically harvested forage or
feedstuffs intended for use as feed for
the participant’s eligible livestock that
was physically damaged or destroyed
after harvest due to the direct result of
an eligible adverse weather or eligible
loss condition, as provided in
§ 760.203(d)(2);
(3) The additional cost incurred for
providing or transporting livestock feed
to eligible livestock due to an eligible
adverse weather or eligible loss
condition, as provided in
§ 760.203(d)(3); or
(4) The additional cost of purchasing
additional livestock feed above normal,
to maintain the eligible livestock during
an eligible adverse weather or eligible
loss condition until additional livestock
feed becomes available, as provided in
§ 760.203(d)(4).
(b) Payments for an eligible livestock
producer for grazing losses, except for
losses due to wildfires on non-Federal
land, will be calculated based on 60
percent of the lesser of:
(1) The total value of the feed cost for
all covered livestock owned by the
eligible livestock producer based on the
number of days grazing was lost, not to
exceed 90 days of daily feed cost for all
covered livestock, or
(2) The total value of grazing lost for
all eligible livestock based on the
normal carrying capacity, as determined
by the Secretary, of the eligible grazing
land of the eligible livestock producer
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for the number of grazing days lost, not
to exceed 90 days of lost grazing.
(c) The total value of feed cost to be
used in the calculation for paragraph
(b)(1) of this section is based on the
number of days grazing was lost and
equals the product obtained by
multiplying:
(1) A payment quantity equal to the
feed grain equivalent, as determined in
paragraph (d) of this section;
(2) A payment rate equal to the corn
price per pound, as determined in
paragraph (e) of this section;
(3) The number of all covered
livestock owned by the eligible
producer converted to an animal unit
basis;
(4) The number of days grazing was
lost, not to exceed 90 calendar days
during the normal grazing period for the
specific type of grazing land; and
(5) The producer’s ownership share in
the livestock.
(d) The feed grain equivalent to be
used in the calculation for paragraph
(c)(1) of this section equals, in the case
of:
(1) An adult beef cow, 15.7 pounds of
corn per day or
(2) Any other type or weight of
livestock, an amount determined by the
Secretary that represents the average
number of pounds of corn per day
necessary to feed that specific type of
livestock.
(e) The corn price per pound to be
used in the calculation for paragraph
(c)(2) of this section equals the quotient
obtained by dividing:
(1) The higher of:
(i) The national average corn price per
bushel of corn for the 12-month period
immediately preceding March 1 of the
calendar year for which payments are
calculated; or
(ii) The national average corn price
per bushel of corn for the 24-month
period immediately preceding March 1
of the calendar year for which payments
are calculated; by
(2) 56.
(f) The total value of grazing lost to be
used in the calculation for paragraph
(b)(2) of this section equals the product
obtained by multiplying:
(1) A payment quantity equal to the
feed grain equivalent of 15.7 pounds of
corn per day;
(2) A payment rate equal to the corn
price per pound, as determined in
paragraph (e) of this section;
(3) The number of animal units the
eligible livestock producer’s grazing
land or pastureland can sustain during
the normal grazing period in the county
for the specific type of grazing land or
pastureland, in the absence of an
eligible adverse weather or eligible loss
condition, determined by dividing the:
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(i) Number of eligible grazing land or
pastureland acres of the specific type of
grazing land or pastureland by
(ii) The normal carrying capacity of
the specific type of eligible grazing land
or pastureland; and
(4) The number of days grazing was
lost, not to exceed 90 calendar days
during the normal grazing period for the
specific type of grazing land.
(g) Payments for an eligible livestock
producer for grazing losses due to a
wildfire on non-Federal land will be
calculated by multiplying:
(1) The result of dividing:
(i) The number of acres of grazing
land or pastureland acres affected by the
fire by
(ii) The normal carrying capacity of
the specific type of eligible grazing land
or pastureland; times
(2) The daily value of grazing as
calculated by FSA under this section;
times
(3) The number of days grazing was
lost due to fire, not to exceed 180
calendar days; times
(4) 50 percent.
(h) Payments for an eligible livestock
producer for eligible livestock death
losses due to an eligible loss condition
will be based on the following:
(1) Payments will be calculated by
multiplying:
(i) The national payment rate for each
livestock category times
(ii) The number of eligible livestock
that died in each category as a result of
an eligible loss condition in excess of
normal mortality, as determined in
paragraph (d)(2) of this section;
(2) Normal mortality for each
livestock category as determined by FSA
on a statewide basis using local data
sources including, but not limited to,
State livestock organizations and the
Cooperative Extension Service for the
State.
(3) National payment rates to be used
in the calculation for paragraph (b)(1) of
this section for eligible livestock owners
and eligible livestock contract growers
are:
(i) A national payment rate for eligible
livestock owners that is based on 75
percent of the average fair market value
of the applicable livestock as computed
using nationwide prices for the previous
calendar year unless some other price is
approved by the Deputy Administrator.
(ii) A national payment rate for
eligible livestock contract growers that
is based on 75 percent of the relevant
average income loss sustained by the
contract grower, with respect to the
dead livestock.
(i) Payments calculated in this section
are subject to the adjustments and limits
provided for in this part.
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§ 760.210
46679
Honeybee payment calculations.
(a) An eligible honeybee producer
may receive payments for honeybee feed
losses due to an eligible adverse weather
or loss condition, as provided in
§ 760.203(g), based on 60 percent of the
producer’s actual cost for honeybee feed
that was:
(1) Damaged or destroyed due to an
eligible adverse weather or eligible loss
condition and
(2) Intended as feed for an eligible
honeybee colony, as provided in
§ 760.204(g);
(b) An eligible honeybee producer
may receive payments for honeybee
colony losses due to an eligible adverse
weather or eligible loss condition, as
provided in § 760.203(h), based on 60
percent of the producer’s actual
replacement cost for a honeybee colony
that was damaged or destroyed due to
an eligible adverse weather or eligible
loss condition.
(c) An eligible honeybee producer
may receive payments for honeybee
hive losses due to an eligible adverse
weather or eligible loss condition, as
provided in § 760.203(h), based on 60
percent of the producer’s actual
replacement cost for a honeybee colony
that was damaged or destroyed due to
an eligible adverse weather or eligible
loss condition.
(d) Payments calculated in this
section are subject to the adjustments
and limits provided for in this part.
§ 760.211 Farm-raised fish payment
calculations.
(a) An eligible farm-raised fish
producer may receive payments for fish
feed losses due to an eligible adverse
weather or eligible loss condition, as
provided in § 760.203(g), based on 60
percent of the producer’s actual
replacement cost for the fish feed that
was:
(1) Damaged or destroyed due to an
eligible adverse weather or eligible loss
condition and
(2) Intended as feed for the eligible
farm-raised fish, as provided in
§ 760.204(h)(1).
(b) An eligible producer of farm-raised
game or sport fish may receive
payments for death losses of farm-raised
fish due to an eligible adverse weather
or eligible loss condition, as provided in
§ 760.203(i), based on 60 percent of the
producer’s actual replacement cost of
the game or sport fish that died as a
direct result of an eligible adverse
weather or eligible loss condition.
(c) Payments calculated in this section
or elsewhere with respect to ELAP are
subject to the adjustments and limits
provided for in this part and are also
subject to the payment limitations and
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average adjusted gross income
limitations that are contained in subpart
B.
■ 5. Add subpart D to part 760 to read
as follows:
Subpart D—Livestock Forage Disaster
Program
Sec.
760.301 Applicability.
760.302 Definitions.
760.303 Eligible livestock producer.
760.304 Covered livestock.
760.305 Eligible grazing losses.
760.306 Application for payment.
760.307 Payment calculation.
Subpart D—Livestock Forage Disaster
Program
§ 760.301
Applicability.
(a) This subpart establishes the terms
and conditions under which the
Livestock Forage Disaster Program (LFP)
will be administered.
(b) Eligible livestock producers will
be compensated for eligible grazing
losses for covered livestock that occur
due to a qualifying drought or fire that
occurs:
(1) On or after January 1, 2008, and
before October 1, 2011, and
(2) In the calendar year for which
benefits are being requested.
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§ 760.302
Definitions.
The following definitions apply to
this subpart and to the administration of
LFP. The definitions in parts 718 and
1400 of this title also apply, except
where they conflict with the definitions
in this section.
Adult beef bull means a male beef
breed bovine animal that was at least 2
years old and used for breeding
purposes on or before the beginning
date of a qualifying drought or fire.
Adult beef cow means a female beef
breed bovine animal that had delivered
one or more offspring. A first-time bred
beef heifer is also considered an adult
beef cow if it was pregnant on or before
the beginning date of a qualifying
drought or fire.
Adult buffalo and beefalo bull means
a male animal of those breeds that was
at least 2 years old and used for
breeding purposes on or before the
beginning date of a qualifying drought
or fire.
Adult buffalo and beefalo cow means
a female animal of those breeds that had
delivered one or more offspring. A firsttime bred buffalo or beefalo heifer is
also considered an adult buffalo or
beefalo cow if it was pregnant on or
before the beginning date of a qualifying
drought or fire.
Adult dairy bull means a male dairy
breed bovine animal at least 2 years old
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used primarily for breeding dairy cows
on or before the beginning date of a
qualifying drought or fire.
Adult dairy cow means a female dairy
breed bovine animal used for the
purpose of providing milk for human
consumption that had delivered one or
more offspring. A first-time bred dairy
heifer is also considered an adult dairy
cow if it was pregnant on or before the
beginning date of a qualifying drought
or fire.
Agricultural operation means a
farming operation.
Application means the ‘‘Livestock
Forage Disaster Program’’ form.
Commercial use means used in the
operation of a business activity engaged
in as a means of livelihood for profit by
the eligible livestock producer.
Contract means, with respect to
contracts for the handling of livestock,
a written agreement between a livestock
owner and another individual or entity
setting the specific terms, conditions,
and obligations of the parties involved
regarding the production of livestock or
livestock products.
Covered livestock means livestock of
an eligible livestock producer that,
during the 60 days prior to the
beginning date of a qualifying drought
or fire, the eligible livestock producer
owned, leased, purchased, entered into
a contract to purchase, was a contract
grower of, or sold or otherwise disposed
of due to a qualifying drought during
the current production year. It includes
livestock that the producer otherwise
disposed of due to drought in one or
both of the two production years
immediately preceding the current
production year as determined by the
Secretary. Notwithstanding the
foregoing portions of this definition,
covered livestock for ‘‘contract growers’’
will not include livestock in feedlots.
‘‘Contract growers’’ under LFP will only
include producers of livestock not in
feedlots whose income is dependent on
the actual weight gain and survival of
the livestock.
Equine animal means a domesticated
horse, mule, or donkey.
Farming operation means a business
enterprise engaged in producing
agricultural products.
Federal Agency means, with respect
to the control of grazing land, an agency
of the Federal government that manages
rangeland on which livestock is
generally permitted to graze. For the
purposes of this section, it includes, but
is not limited to, the U.S. Department of
the Interior (DOI) Bureau of Indian
Affairs (BIA), DOI Bureau of Land
Management (BLM), and USDA Forest
Service (FS).
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Goat means a domesticated, ruminant
mammal of the genus Capra, including
Angora goats.
Non-adult beef cattle means a beef
breed bovine animal that weighed 500
pounds or more on or before the
beginning date of a qualifying drought
or fire but that does not meet the
definition of adult beef cow or bull.
Non-adult buffalo or beefalo means an
animal of those breeds that weighed 500
pounds or more on or before the
beginning date of a qualifying drought
or fire, but does not meet the definition
of adult buffalo or beefalo cow or bull.
Non-adult dairy cattle means a bovine
animal, of a breed used for the purpose
of providing milk for human
consumption, that weighed 500 pounds
or more on or before the beginning date
of a qualifying drought or fire, but that
does not meet the definition of adult
dairy cow or bull.
Normal carrying capacity means, with
respect to each type of grazing land or
pastureland in a county, the normal
carrying capacity that would be
expected from the grazing land or
pastureland for livestock during the
normal grazing period in the county, in
the absence of a drought or fire that
diminishes the production of the
grazing land or pastureland.
Normal grazing period means, with
respect to a county, the normal grazing
period during the calendar year with
respect to each specific type of grazing
land or pastureland in the county served
by the applicable county committee.
Owner means one who had legal
ownership of the livestock for which
benefits are being requested during the
60 days prior to the beginning of a
qualifying drought or fire.
Poultry means a domesticated
chicken, turkey, duck, or goose. Poultry
are further delineated by sex, age, and
purpose of production, as determined
by FSA.
Sheep means a domesticated,
ruminant mammal of the genus Ovis.
Swine means a domesticated
omnivorous pig, hog, or boar. Swine are
further delineated by sex and weight, as
determined by FSA.
U.S. Drought Monitor is a system for
classifying drought severity according to
a range of abnormally dry to exceptional
drought. It is a collaborative effort
between Federal and academic partners,
produced on a weekly basis, to
synthesize multiple indices, outlooks,
and drought impacts on a map and in
narrative form. This synthesis of indices
is reported by the National Drought
Mitigation Center at https://
www.drought.unl.edu/dm/monitor.html.
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§ 760.303
Eligible livestock producer.
(a) To be considered an eligible
livestock producer, the eligible producer
on a farm must:
(1) During the 60 days prior to the
beginning date of a qualifying drought
or fire, own, cash or share lease, or be
a contract grower of covered livestock or
(2) Provide pastureland or grazing
land for covered livestock, including
cash-leased pastureland or grazing land,
that is:
(i) Physically located in a county
affected by a qualifying drought during
the normal grazing period for the county
or
(ii) Rangeland managed by a Federal
agency for which the otherwise eligible
livestock producer is prohibited by the
Federal agency from grazing the normal
permitted livestock due to a qualifying
fire.
(b) The eligible livestock producer
must have certified that the livestock
producer has suffered a grazing loss due
to a qualifying drought or fire to be
eligible for LFP payments.
(c) An eligible livestock producer
does not include any owner, cash or
share lessee, or contract grower of
livestock that rents or leases pastureland
or grazing land owned by another
person on a rate-of-gain basis. (That is,
where the lease or rental agreement calls
for payment based in whole or in part
on the amount of weight gained by the
animals that use the pastureland or
grazing land.)
(d) A producer seeking payment must
not be ineligible for payments under the
restrictions applicable to foreign
persons contained in § 760.103(b) and
must meet all other requirements of
subpart B and other applicable USDA
regulations.
(e) If a contract grower is an eligible
livestock producer for covered livestock,
the owner of that livestock is not
eligible for payment.
cprice-sewell on DSKGBLS3C1PROD with RULES
§ 760.304
Covered livestock.
(a) To be considered covered livestock
for LFP payments, livestock must meet
all the following conditions:
(1) Be adult or non-adult beef cattle,
adult or non-adult beefalo, adult or nonadult buffalo, adult or non-adult dairy
cattle, alpacas, deer, elk, emus, equine,
goats, llamas, poultry, reindeer, sheep,
or swine;
(2) Be livestock that would normally
have been grazing the eligible grazing
land or pastureland on the beginning
date:
(i) Of the qualifying drought during
the normal grazing period for the
specific type of grazing land or
pastureland for the county or
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14:33 Sep 10, 2009
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(ii) When the Federal agency
prohibited the eligible livestock
producer from using the managed
rangeland for grazing due to a fire;
(3) Be livestock that the eligible
livestock producer:
(i) During the 60 days prior to the
beginning date of a qualifying drought
or fire:
(A) Owned,
(B) Leased,
(C) Purchased,
(D) Entered into a contract to
purchase, or
(E) Was a contract grower of; or
(ii) Sold or otherwise disposed of due
to qualifying drought during:
(A) The current production year or
(B) 1 or both of the 2 production years
immediately preceding the current
production year;
(4) Been maintained for commercial
use as part of the producer’s farming
operation on the beginning date of the
qualifying drought or fire;
(5) Not have been produced and
maintained for reasons other than
commercial use as part of a farming
operation. Such excluded uses include,
but are not limited to, any uses of wild
free roaming animals or use of the
animals for recreational purposes, such
as pleasure, roping, hunting, pets, or for
show; and
(6) Not have been livestock that were
or would have been in a feedlot, on the
beginning date of the qualifying drought
or fire, as a part of the normal business
operation of the eligible livestock
producer, as determined by the
Secretary.
(b) The covered livestock categories
are:
(1) Adult beef cows or bulls,
(2) Adult buffalo or beefalo cows or
bulls,
(3) Adult dairy cows or bulls,
(4) Alpacas,
(5) Deer,
(6) Elk,
(7) Emu,
(8) Equine,
(9) Goats,
(10) Llamas,
(11) Non-adult beef cattle,
(12) Non-adult buffalo or beefalo,
(13) Non-adult dairy cattle,
(14) Poultry,
(15) Reindeer,
(16) Sheep, and
(17) Swine.
(c) Livestock that are not covered
include, but are not limited to:
(1) Livestock that were or would have
been in a feedlot, on the beginning date
of the qualifying drought or fire, as a
part of the normal business operation of
the eligible livestock producer, as
determined by the Secretary;
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(2) Yaks;
(3) Ostriches;
(4) All beef and dairy cattle, and
buffalo and beefalo that weighed less
than 500 pounds on the beginning date
of the qualifying drought or fire;
(5) Any wild free roaming livestock,
including horses and deer; and
(6) Livestock produced or maintained
for reasons other than commercial use
as part of a farming operation,
including, but not limited to, livestock
produced or maintained for recreational
purposes, such as:
(i) Roping,
(ii) Hunting,
(iii) Show,
(iv) Pleasure,
(v) Use as pets, or
(vi) Consumption by owner.
§ 760.305
Eligible grazing losses.
(a) A grazing loss due to drought is
eligible for LFP only if the grazing loss
for the covered livestock occurs on land
that:
(1) Is native or improved pastureland
with permanent vegetative cover or
(2) Is planted to a crop planted
specifically for the purpose of providing
grazing for covered livestock; and
(3) Is grazing land or pastureland that
is owned or leased by the eligible
livestock producer that is physically
located in a county that is, during the
normal grazing period for the specific
type of grazing land or pastureland for
the county, rated by the U.S. Drought
Monitor as having a:
(i) D2 (severe drought) intensity in
any area of the county for at least 8
consecutive weeks during the normal
grazing period for the specific type of
grazing land or pastureland for the
county, as determined by the Secretary,
or
(ii) D3 (extreme drought) or D4
(exceptional drought) intensity in any
area of the county at any time during the
normal grazing period for the specific
type of grazing land or pastureland for
the county, as determined by the
Secretary. (As specified elsewhere in
this subpart, the amount of potential
payment eligibility will be higher than
under (a)(3)(i) of this section where the
D4 trigger applies or where the D3
condition as determined by the
Secretary lasts at least 4 weeks during
the normal grazing period for the
specific type of grazing land or
pastureland for the county.)
(b) A grazing loss is not eligible for
LFP if the grazing loss due to drought
on land used for haying or grazing
under the Conservation Reserve
Program established under subchapter B
of chapter 1 of subtitle D of title XII of
the Food Security Act of 1985 (16 U.S.C.
3831–3835a).
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(c) A fire qualifies for LFP only if:
(1) The grazing loss occurs on
rangeland that is managed by a Federal
agency and
(2) The eligible livestock producer is
prohibited by the Federal agency from
grazing the normal permitted livestock
on the managed rangeland due to a fire.
(d) An eligible livestock producer may
be eligible for LFP payments only on
those grazing lands incurring losses for
which the livestock producer:
(1) Meets the risk management
purchase requirements specified in
§ 760.104; or
(2) Does not meet the risk
management purchase requirements
specified in § 760.104 because the risk
management purchase requirement is
waived according to §§ 760.105,
760.106, or 760.107.
cprice-sewell on DSKGBLS3C1PROD with RULES
§ 760.306
Application for payment.
(a) To apply for LFP, the participant
that suffered eligible grazing losses:
(1) During 2008, must submit a
completed application for payment and
required supporting documentation to
the administrative FSA county office no
later than December 10, 2009 or
(2) During 2009 and later years, must
submit a completed application for
payment and required supporting
documentation to the administrative
FSA county office no later than 30
calendar days after the end of the
calendar year in which the grazing loss
occurred.
(b) A participant must also provide a
copy of the grower contract, if a contract
grower, and other supporting
documents required for determining
eligibility as an applicant at the time the
participant submits the completed
application for payment. Supporting
documents must include:
(1) Evidence of loss,
(2) Current physical location of
livestock in inventory,
(3) Evidence of meeting risk
management purchase requirements as
specified in subpart B,
(4) Evidence that grazing land or
pastureland is owned or leased,
(5) A report of acreage according to
part 718 of this chapter for the grazing
lands incurring losses for which
assistance is being requested under this
subpart;
(6) Adequate proof, as determined by
FSA that the grazing loss:
(i) Was for the covered livestock;
(ii) If the loss of grazing occurred as
the result of a fire that the:
(A) Loss was due to a fire and
(B) Participant was prohibited by the
Federal agency from grazing the normal
permitted livestock on the managed
rangeland due to a fire;
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14:33 Sep 10, 2009
Jkt 217001
(iii) Occurred on or after January 1,
2008, and before October 1, 2011; and
(iv) Occurred in the calendar year for
which payments are being requested;
(7) Adequate proof, absent an
appropriate waiver (if there is a waiver,
it itself must be documented by the
producer), as determined by FSA, that
the participant had obtained, for the
grazing land incurring the losses for
which assistance is being requested, one
or both of the following:
(i) A policy or plan of insurance
under the Federal Crop Insurance Act (7
U.S.C. 1501–1524); or
(ii) Filed the required paperwork, and
paid the administrative fee by the
applicable State filing deadline, for the
noninsured crop disaster assistance
program;
(8) Any other supporting
documentation as determined by FSA to
be necessary to make a determination of
eligibility of the participant. Supporting
documents include, but are not limited
to: Verifiable purchase and sales
records; grower contracts; veterinarian
records; bank or other loan papers;
rendering truck receipts; Federal
Emergency Management Records;
National Guard records; written
contracts; production records; private
insurance documents; sales records; and
similar documents determined
acceptable to FSA.
(c) Data furnished by the participant
will be used to determine eligibility for
program benefits. Furnishing the data is
voluntary; however, without all
required data, program benefits will not
be approved or provided.
§ 760.307
Payment calculation.
(a) An eligible livestock producer will
be eligible to receive payments for
grazing losses for qualifying drought as
specified in § 760.305(a) equal to one,
two, or three times the monthly
payment rate specified in paragraphs (e)
or (f) of this section. Total LFP
payments to an eligible livestock
producer in a calendar year for grazing
losses due to qualifying drought will not
exceed three monthly payments for the
same livestock. Payments calculated in
this section or elsewhere with respect to
LFP are subject to the adjustments and
limits provided for in this part and are
also subject to the payment limitations
and average adjusted gross income
provisions that are contained in subpart
B. Payment may only be made to the
extent that eligibility is specifically
provided for in this subpart. Hence,
with respect to drought, payments will
be made only as a ‘‘one month’’
payment, a ‘‘two month’’ payment, or a
‘‘three month’’ payment based on the
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provisions of paragraphs (b), (c), and (d)
of this section.
(b) To be eligible to receive a one
month payment, that is a payment equal
to the monthly feed cost as determined
under paragraph (g) of this section, the
eligible livestock producer must own or
lease grazing land or pastureland that is
physically located in a county that is
rated by the U.S. Drought Monitor as
having at least a D2 severe drought
(intensity) in any area of the county for
at least 8 consecutive weeks during the
normal grazing period for the specific
type of grazing land or pastureland in
the county.
(c) To be eligible to receive a two
month payment, that is a payment equal
to twice the monthly feed cost as
determined under paragraph (g) of this
section, the eligible livestock producer
must own or lease grazing land or
pastureland that is physically located in
a county that is rated by the U.S.
Drought Monitor as having at least a D3
(extreme drought) intensity in any area
of the county at any time during the
normal grazing period for the specific
type of grazing land or pastureland for
the county.
(d) To be eligible to receive a three
month payment, that is a payment equal
to three times the monthly feed cost as
determined under paragraph (g) of this
section, the eligible livestock producer
must own or lease grazing land or
pastureland that is physically located in
a county that is rated by the U.S.
Drought Monitor as having at least a D3
(extreme drought) intensity in any area
of the county for at least 4 weeks during
the normal grazing period for the
specific type of grazing land or
pastureland for the county, or is rated as
having a D4 (exceptional drought)
intensity in any area of the county at
any time during the normal grazing
period for the specific type of grazing
land or pastureland for the county.
(e) The monthly payment rate for LFP
for grazing losses due to a qualifying
drought, except as provided in
paragraph (f) of this section, will be
equal to 60 percent of the lesser of:
(1) The monthly feed cost for all
covered livestock owned or leased by
the eligible livestock producer, as
determined in paragraph (g) of this
section or
(2) The monthly feed cost calculated
by using the normal carrying capacity of
the eligible grazing land of the eligible
livestock producer, as determined in
paragraph (j) of this section.
(f) In the case of an eligible livestock
producer that sold or otherwise
disposed of covered livestock due to a
qualifying drought in 1 or both of the 2
production years immediately preceding
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Federal Register / Vol. 74, No. 175 / Friday, September 11, 2009 / Rules and Regulations
the current production year, the
payment rate is 80 percent of the
monthly payment rate calculated in
paragraph (e) of this section.
(g) The monthly feed cost for covered
livestock equals the product obtained by
multiplying:
(1) 30 days;
(2) A payment quantity equal to the
amount referred to in paragraph (h) of
this section as the ‘‘feed grain
equivalent’’, as determined under
paragraph (h) of this section; and
(3) A payment rate equal to the corn
price per pound, as determined in
paragraph (i) of this section.
(h) The feed grain equivalent equals,
in the case of:
(1) An adult beef cow, 15.7 pounds of
corn per day or
(2) In the case of any other type or
weight of covered livestock, an amount
determined by the Secretary that
represents the average number of
pounds of corn per day necessary to
feed that specific type of livestock.
(i) The corn price per pound equals
the quotient obtained by dividing:
(1) The higher of:
(i) The national average corn price per
bushel for the 12-month period
immediately preceding March 1 of the
calendar year for which LFP payment is
calculated or
(ii) The national average corn price
per bushel for the 24-month period
immediately preceding March 1 of the
calendar year for which LFP payment is
calculated
(2) By 56.
(j) The monthly feed cost using the
normal carrying capacity of the eligible
grazing land equals the product
obtained by multiplying:
(1) 30 days;
(2) A payment quantity equal to the
feed grain equivalent of 15.7 pounds of
corn per day;
(3) A payment rate equal to the corn
price per pound, as determined in
paragraph (i) of this section; and
(4) The number of animal units the
eligible livestock producer’s grazing
land or pastureland can sustain during
the normal grazing period in the county
for the specific type of grazing land or
pastureland, in the absence of a drought
or fire, determined by dividing the:
(i) Number of eligible grazing land or
pastureland acres of the specific type of
grazing land or pastureland by
(ii) The normal carrying capacity of
the specific type of eligible grazing land
or pastureland as determined under this
subpart.
(k) An eligible livestock producer will
be eligible to receive payments for
grazing losses due to a fire as specified
in § 760.305(c):
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14:33 Sep 10, 2009
Jkt 217001
(1) For the period, subject to
paragraph (l)(2) of this section:
(i) Beginning on the date on which the
Federal Agency prohibits the eligible
livestock producer from using the
managed rangeland for grazing and
(ii) Ending on the earlier of the last
day of the Federal lease of the eligible
livestock producer or the day that
would make the period a 180 day period
and
(2) For grazing losses that occur on
not more than 180 days per calendar
year.
(3) For 50 percent of the monthly feed
cost, as determined under § 760.308(g),
pro-rated to a daily rate, for the total
number of livestock covered by the
Federal lease of the eligible livestock
producer.
Signed in Washington, DC, September 4,
2009.
Jonathan W. Coppess,
Administrator, Farm Service Agency.
[FR Doc. E9–21906 Filed 9–9–09; 11:15 am]
BILLING CODE 3410–05–P
ENVIRONMENTAL PROTECTION
AGENCY
40 CFR Part 180
[EPA–HQ–OPP–2008–0352; FRL–8430–4]
Saflufenacil; Pesticide Tolerances
AGENCY: Environmental Protection
Agency (EPA).
ACTION: Final rule.
SUMMARY: This regulation establishes
tolerances for combined residues of
saflufenacil and its metabolites and
degradates in or on various plant and
livestock commodities. BASF
Corporation requested these tolerances
under the Federal Food, Drug, and
Cosmetic Act (FFDCA).
DATES: This regulation is effective
September 11, 2009. Objections and
requests for hearings must be received
on or before November 10, 2009, and
must be filed in accordance with the
instructions provided in 40 CFR part
178 (see also Unit I.C. of the
SUPPLEMENTARY INFORMATION).
ADDRESSES: EPA has established a
docket for this action under docket
identification (ID) number EPA–HQ–
OPP–2008–0352. All documents in the
docket are listed in the docket index
available at https://www.regulations.gov.
Although listed in the index, some
information is not publicly available,
e.g., Confidential Business Information
(CBI) or other information whose
disclosure is restricted by statute.
Certain other material, such as
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46683
copyrighted material, is not placed on
the Internet and will be publicly
available only in hard copy form.
Publicly available docket materials are
available in the electronic docket at
https://www.regulations.gov, or, if only
available in hard copy, at the OPP
Regulatory Public Docket in Rm. S–
4400, One Potomac Yard (South Bldg.),
2777 S. Crystal Dr., Arlington, VA. The
Docket Facility is open from 8:30 a.m.
to 4 p.m., Monday through Friday,
excluding legal holidays. The Docket
Facility telephone number is (703) 305–
5805.
FOR FURTHER INFORMATION CONTACT:
Kathryn Montague, Registration
Division (7505P), Office of Pesticide
Programs, Environmental Protection
Agency, 1200 Pennsylvania Ave., NW.,
Washington, DC 20460–0001; telephone
number: (703) 305–1243; e-mail address:
montague.kathryn@epa.gov.
SUPPLEMENTARY INFORMATION:
I. General Information
A. Does this Action Apply to Me?
You may be potentially affected by
this action if you are an agricultural
producer, food manufacturer, or
pesticide manufacturer. Potentially
affected entities may include, but are
not limited to those engaged in the
following activities:
• Crop production (NAICS code 111).
• Animal production (NAICS code
112).
• Food manufacturing (NAICS code
311).
• Pesticide manufacturing (NAICS
code 32532).
This listing is not intended to be
exhaustive, but rather to provide a guide
for readers regarding entities likely to be
affected by this action. Other types of
entities not listed in this unit could also
be affected. The North American
Industrial Classification System
(NAICS) codes have been provided to
assist you and others in determining
whether this action might apply to
certain entities. If you have any
questions regarding the applicability of
this action to a particular entity, consult
the person listed under FOR FURTHER
INFORMATION CONTACT.
B. How Can I Access Electronic Copies
of this Document?
In addition to accessing electronically
available documents at https://
www.regulations.gov, you may access
this Federal Register document
electronically through the EPA Internet
under the ‘‘Federal Register’’ listings at
https://www.epa.gov/fedrgstr. You may
also access a frequently updated
electronic version of EPA’s tolerance
E:\FR\FM\11SER1.SGM
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Agencies
[Federal Register Volume 74, Number 175 (Friday, September 11, 2009)]
[Rules and Regulations]
[Pages 46665-46683]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E9-21906]
-----------------------------------------------------------------------
DEPARTMENT OF AGRICULTURE
Farm Service Agency
7 CFR Part 760
RIN 0560-AH94
Livestock Forage Disaster Program and Emergency Assistance for
Livestock, Honeybees, and Farm-Raised Fish; Supplemental Agricultural
Disaster Assistance
AGENCY: Farm Service Agency, USDA.
ACTION: Final rule.
-----------------------------------------------------------------------
SUMMARY: This rule implements specific requirements for the Emergency
Assistance for Livestock, Honeybees, and Farm-Raised Fish Program
(ELAP) and the Livestock Forage Disaster Program (LFP) authorized by
the Food, Conservation, and Energy Act of 2008 (2008 Farm Bill). LFP
provides payments to eligible livestock producers that have suffered
livestock grazing losses due to qualifying drought or fire. For
drought, the losses must have occurred on land that is native or
improved pastureland with permanent vegetative cover or is planted to a
crop planted specifically for grazing for covered livestock due to a
qualifying drought during the normal grazing period for the county. For
fire, LFP provides payments to eligible livestock producers that have
suffered grazing losses on rangeland managed by a Federal agency if the
eligible livestock producer is prohibited by the Federal agency from
grazing the normal permitted livestock on the managed rangeland due to
a qualifying fire. ELAP provides emergency assistance to eligible
producers of livestock, honeybees, and farm-raised fish that have
losses due to disease, adverse weather, or other conditions, including
losses due to blizzards and wildfires, as determined by the Secretary.
ELAP assistance is for losses not covered under other Supplemental
Agricultural Disaster Assistance Payment programs established by the
2008 Farm Bill, specifically LFP, Livestock Indemnity Program (LIP),
and Supplemental
[[Page 46666]]
Revenue Assistance Program (SURE). Eligible LFP and ELAP losses must
have occurred on or after January 1, 2008, and before October 1, 2011.
This rule specifies how LFP and ELAP payments are calculated, what
losses are eligible, and when producers may apply for payments.
DATES: Effective Date: September 9, 2009.
FOR FURTHER INFORMATION CONTACT: Scotty Abbott, Production,
Emergencies, and Compliance Division, Farm Service Agency, United
States Department of Agriculture, STOP 0517, 1400 Independence Avenue,
SW., Washington, DC 20250-0517; telephone (202) 720-7997; e-mail
Scotty.Abbott@wdc.usda.gov.
SUPPLEMENTARY INFORMATION:
Background
This final rule implements specific requirements for LFP and ELAP
authorized by the 2008 Farm Bill (Pub. L. 110-246). Sections 12033 and
15101 of the 2008 Farm Bill authorize the Secretary of Agriculture
(Secretary) to provide eligible livestock producers with payment for
grazing losses during a calendar year for covered livestock due to a
drought or due to fire on Federally managed lands, which is the scope
of LFP. Sections 12033 and 15101 of the Farm Bill also authorize the
Secretary to provide payments to producers of livestock, honeybees, and
farm-raised fish to aid in the reduction of losses due to disease,
adverse weather, or other conditions such as blizzards and wildfires.
That is the scope of ELAP. ELAP covers some species, loss conditions,
and losses that are not eligible for other disaster assistance
programs, including colony collapse disorder and wildfires on non-
Federal land. This preamble first discusses the background and general
requirements that apply to both ELAP and LFP, then the specific
requirements for each program.
The 2008 Farm Bill establishes a collection of permanent standing
disaster assistance programs, ELAP and LFP among them, referred to as
Supplemental Agricultural Disaster Assistance. These supplemental
agricultural disaster assistance programs will be administered by FSA
using funds from the Agricultural Disaster Relief Trust Fund (Trust
Fund) established under section 902 of the Trade Act of 1974 (19 U.S.C.
2497a). The disaster assistance programs authorized by the 2008 Farm
Bill are permanent or ``standing'' programs, that is, they are
continuing programs not subject to annual appropriations that are
similar in scope to the previous ad hoc programs.
The Supplemental Agricultural Disaster Assistance permanent
disaster programs authorized by the 2008 Farm Bill include in addition
to ELAP and LFP, LIP, SURE, and the Tree Assistance Program (TAP). This
rule implements ELAP and LFP. LIP, SURE, and TAP are being implemented
through separate rulemakings. The LIP final rule was published in the
Federal Register on July 2, 2009 (74 FR 31567-31578). This final rule
establishes the regulations for ELAP in 7 CFR part 760 subpart C and
for LFP in subpart D.
These disaster programs that will be conducted under regulations in
7 CFR part 760 are provided for in two separate places in the 2008 Farm
Bill. First, section 12033 adds, to cover these programs, a new
section, 531, to the Federal Crop Insurance Act (7 U.S.C. 1531).
Second, Section 15101 of the Farm Bill does the same by adding Section
902 of the 1974 Trade Act (7 U.S.C. 2497). The provisions of the two
sections as enacted are identical except that the Trade Act of 1974
provisions contains the trust fund provisions. Since the Farm Bill,
there have been some amendments to the programs and in some cases the
amendments have been to one of the two relevant Farm Bill sections but
not the other, but the two sections of the 2008 Farm Bill are
considered to be interchangeable for the purposes of this rule and an
amendment to one is, as a practical matter, an amendment to the other.
In the past, legislation provided disaster assistance through ad
hoc programs to address the needs of specific areas or the results of
specific disasters. Previous ad hoc disaster assistance programs
included the Livestock Compensation Programs (LCP), which were
implemented in the regulations in 7 CFR part 760, subparts K and L, and
part 1416, subparts B and C, and were administered by FSA and the
Commodity Credit Corporation (CCC), respectively, depending on the
funding source. LCP provided payments to livestock owners and cash
lessees for certain livestock feed losses, including grazing losses and
feed costs. There was no ad hoc program that covered the full scope of
the losses now potentially covered by ELAP; some losses now potentially
covered by ELAP were covered by the previous Feed Indemnity Program.
Terms Used in this Rule
This final rule uses the words ``producers'' and ``participants''
in substantive ways. ``Producers'' may apply for ELAP and LFP.
``Participants'' are those ``producers'' that meet the requirements to
be eligible producers to receive ELAP or LFP payments.
Sections 12033 and 15101 of the 2008 Farm Bill use the words
``assistance,'' ``benefits,'' ``compensation,'' ``relief,'' and
``payments''. The form of ELAP or LFP assistance, benefit, relief, or
compensation for eligible producers is a payment calculated as
specified in this rule.
For LFP, sections 12033 and 15101 of the 2008 Farm Bill and this
rule include the terms ``eligible livestock producer,'' ``covered
livestock,'' and ``qualifying drought or fire.'' This rule also uses
the terms ``qualifying grazing loss'' and ``qualifying grazing land.''
General Eligibility Requirements That Apply to Both ELAP and LFP
This rule specifies the eligibility requirements for ELAP and LFP
in part 760, subparts C and D. The LIP final rule revised subpart B of
part 760 to provide the general eligibility requirements for all of the
Supplemental Agricultural Disaster Assistance programs including ELAP,
LFP, LIP, SURE, and TAP. Subpart B specifies administration of the
programs, general requirements to be an eligible producer, risk
management purchase requirements, buy-in waivers, equitable relief,
payment limitations, and other generally applicable requirements. These
general requirements that apply to all the standing disaster programs
are described below.
Payment Limits
The 2008 Farm Bill limits how much a producer may receive from FSA
disaster assistance programs.
In applying payment limitation for 2008, no person, as defined and
determined by the regulations in 7 CFR part 1400 in effect for 2008,
may receive more than $100,000 total per crop year under ELAP, LFP,
LIP, and SURE.
For 2009 through 2011, no person or legal entity (excluding a joint
venture or general partnership), as defined and determined by the rules
provided for in 7 CFR part 1400, may receive, directly or indirectly,
more than $100,000 total per crop year under ELAP, LFP, LIP, and SURE.
For the payment limits, both indirect and direct benefits are
counted by attribution. In the case of a legal entity, the same payment
is attributed to the direct payee in the full amount and those that
have an indirect interest to the amount of the interest. For example,
under the attribution rules that applies to these programs, assume:
Corporation A is in line to receive a $100,000 LFP
payment,
[[Page 46667]]
Corporation A is owned 50 percent by Individual A and 50
percent by Corporation B, and
Corporation B is owned by Individual B with a 30 percent
interest and by Individual C with a 70 percent interest.
If so, Corporation A, for payment limitation purposes would be
considered to have received $100,000 and Individual C (who owns 70
percent of Corporation B, which owns half of Corporation A) would be
considered to have indirectly benefitted by the amount of $35,000 (50
percent times 70 percent of the $100,000). Even though no part of the
$100,000 was actually paid to Individual C, the amount of $35,000 would
count against individual C's overall payment limitation from all
sources and farms. Assume Individual C was already at the maximum
payment limit, then Individual C would not have been eligible to
receive $35,000; as a result, the payment to Corporation A would be
reduced by $35,000.
The amount of any payment for which a participant may be eligible
under any of these programs may be reduced by any amount received by
the participant for the same or any similar loss from any Federal
disaster assistance program. Producers can receive LFP payments for
drought or fire, but not both for the same loss. In addition, a
producer who receives SURE payments cannot receive payments for the
same loss under LFP. A producer who receives LFP, LIP, or SURE payments
cannot receive payments for the same loss under ELAP.
As reflected in the general provisions issued with LIP, there are
certain average adjusted gross income limitations that apply. In
applying the limitation on average adjusted gross income (AGI) for
2008, an individual or entity is ineligible for payment under ELAP or
LFP if the individual's or entity's average AGI exceeds $2.5 million
for 2005, 2006, and 2007 under the provisions in 7 CFR part 1400 in
effect for 2008. For 2009 through 2011, the average AGI limitation
provisions in 7 CFR part 1400 applicable to CCC commodity programs also
apply to ELAP and LFP. Specifically, as specified in the 2008 Farm
Bill, for 2009 through 2011, a person or legal entity with an average
adjusted gross nonfarm income, as defined in 7 CFR 1400.3, that exceeds
$500,000 for the relevant period will be not be eligible to receive
payments under these programs. Likewise, if a person with an indirect
interest in a legal entity has an average nonfarm AGI over $500,000,
then the payment to the legal entity will be reduced as calculated
based on the percent of interest in the legal entity receiving the
payment. For example, continuing with the assumptions in the example
above, if Individual B had an average AGI that was over the limit, then
the payment to Corporation A will be reduced by 15 percent (Individual
B's 30 percent interest in Corporation B times Corporation B's 50
percent interest in Corporation A).
The relevant AGI period for these programs is the 3 calendar years
that precede the program year involved. For livestock losses, the
program year is the calendar year of the loss of the livestock.
The regulations in 7 CFR 1400.105 specify how payments will be
attributed and how far the attribution will go. Attribution will be
tracked through four levels of ownership in legal entities. The 2008
Farm Bill removed the previous ``3 entity rule,'' so a person can now
receive benefits attributed through an unlimited number of entities,
subject to the payment limits and the rules of attribution described in
this final rule and in 7 CFR part 1400. In addition to these limits,
the 2008 Farm Bill imposes limitations of payments to foreign persons.
Those limits are specified in the regulations in Sec. 760.103 as
issued with the LIP rules.
Risk Management Purchase Requirement
To be eligible for program payments under ELAP, eligible producers
on a farm, as specified by the 2008 Farm Bill, must have purchased
insurance for each insurable commodity, excluding grazing land; a few
exceptions allowed by the 2008 Farm Bill are discussed later in this
section. ``Insurable commodities'' are those for which a plan of
insurance can be obtained from the USDA's Risk Management Agency (RMA)
that makes coverage for crops available under the Federal Crop
Insurance Act (FCIA). Benefits for ``noninsurable'' commodities are
generally available through the Noninsured Crop Disaster Assistance
Program (NAP) run by FSA. Except for grazing land, producers for ELAP
must have obtained an RMA policy or plan of insurance or NAP coverage
for all of their crops. For LFP, producers must have obtained an RMA
policy or plan of insurance or NAP coverage for those grazing lands for
which they seek benefits.
Producers who did not purchase required coverage are not eligible
for benefits unless an exception applies. ``Socially disadvantaged
farmers and ranchers,'' as well as ``limited resource farmers and
ranchers,'' or ``beginning farmers or ranchers,'' are exempt. For the
2008 crop, persons who paid a certain buy-in fee were exempt from the
purchase requirement if the buy-in fee was paid by September 16, 2008.
By an amendment to the 2008 Farm Bill, Congress allowed a second buy-in
enabling producers to buy in from February 17, 2009, up to May 18,
2009; however, if the buy-in occurred after the first deadline, or the
waiver was not granted administratively through some form of equitable
relief, the producer had to agree to buy crop insurance or NAP for the
next year for the crops to which the buy-in applied. Also, there were
special benefit calculation provisions for producers who made use of
the second deadline. The buy-in fee was equal to the cost of the
insurance or NAP coverage, but did not entitle the producer to
insurance or NAP coverage. Further, an amendment allowed a 2009 crop
buy-in for crops if the 2009 Federal Crop Insurance Corporation (FCIC)
sales closing date was prior to August 14, 2008. The deadline for the
2009 crop buy-in was January 12, 2009. In addition to these provisions,
section 531(g)(5) of the FCIA (and the corresponding provisions of the
Trade Act of 1974) have some more general provisions allowing the
Secretary discretion to grant equitable relief to persons with a lack
of coverage. The buy-in fees were different for 2008 and 2009.
Equitable Relief
The Secretary may provide equitable relief on a case-by-case basis
to eligible participants that are otherwise ineligible or
unintentionally fail to meet the risk management purchase requirements
specified in Sec. 760.104 for one or more covered crops or livestock
on the farm. The equitable relief provisions are specified in Sec.
760.106, as issued with the LIP rule, and apply to all the Supplemental
Agricultural Disaster Assistance programs. The granting of equitable
relief is at the discretion of the Secretary and is not appealable.
Miscellaneous
As specified in 7 CFR part 760 subpart B, participants receiving
ELAP and LFP payments must keep records and supporting documentation
for 3 years following the end of the year in which the application for
payment was filed. This discretionary recordkeeping requirement is
consistent with other FSA rules and programs, as well as with previous
similar disaster assistance programs.
As specified in 7 CFR part 760 subpart B, other restrictions apply
to ELAP and LFP including, but not limited to, those pertaining to
highly erodible land and wetland conservation provisions specified in 7
CFR part 12 (which limit eligibility for payments in cases where highly
erodible land is
[[Page 46668]]
converted to cropland or is used without a conservation plan or where
wetlands have been converted after the 1986 Farm Bill to crop use).
All livestock owners, contract growers, producers, livestock,
honeybees, farm-raised fish, and losses must meet the eligibility
requirements provided in this rule; false certifications can carry
serious consequences. FSA will validate applications with random spot-
checks.
Specific Provisions for ELAP
Overview
Sections 12033 and 15101 of the 2008 Farm Bill direct the Secretary
to use up to $50 million per year from the Trust Fund to provide
emergency relief to eligible producers of livestock, honeybees, and
farm-raised fish. The emergency relief is intended to provide financial
assistance to reduce the amount of losses due to disease, adverse
weather, or other conditions, such as blizzards and wildfires as
determined by the Secretary. ELAP covers losses that are not covered
under LFP, LIP, or SURE. These provisions are statutory. The ELAP
details in this rule on what kinds of livestock and other species are
eligible, what types of losses are covered, acceptable documentation of
loss, and the application process for payment, are discretionary
provisions in the sense of not being specified in the statutory
provisions enacted in the Farm Bill. FSA is implementing many of the
``discretionary'' provisions of ELAP in a manner consistent with the
rules and polices used in implementing LFP or LIP and those used for
previous ad hoc disaster assistance programs because those rules and
policies are known to the public and to Congress and because they have
worked well to apportion benefits for the types of losses involved in
ELAP.
Eligibility Requirements for ELAP
The 2008 Farm Bill specified that ELAP is for losses due to
``disease, adverse weather, or other conditions, such as blizzards and
wildfires, as determined by the Secretary.'' Under the rule, eligible
adverse weather and eligible loss conditions include disease, adverse
weather, and other conditions and will be determined by FSA's Deputy
Administrator for Farm Programs (Deputy Administrator) on behalf of the
Secretary. Determination of ELAP payment eligibility will be based on
actual losses as determined by the Deputy Administrator due to eligible
adverse weather or eligible loss conditions. These determinations are
all subject to the availability of funds. In general, adverse weather
includes, but is not limited to, events such as hurricanes, floods,
blizzards, wildfires, extreme heat, and extreme cold. Adverse weather
is a factor in eligibility for other disaster assistance programs;
however, there are other conditions that result in significant losses
to agricultural producers. ELAP is being implemented to fill in the gap
and provide assistance under other conditions as the Deputy
Administrator determines are appropriate. FSA will determine
eligibility of livestock, honeybee, and farm-raised fish losses caused
by eligible adverse weather or eligible loss conditions, for example,
disease caused by adverse weather. Additional eligible adverse weather
and other qualifying loss conditions will be specified, as needed, by
the Deputy Administrator. Specific examples of currently known
qualifying loss conditions are described below.
The eligibility requirements for ELAP include limits that go to:
the type of producer, the type of loss, the cause of the loss, and the
location of the loss. In general, adverse weather or other qualifying
conditions, as determined by the Deputy Administrator, are conditions
that cause damage that result in a financial loss to the producer or
require the producer to incur additional expenses. ELAP is intended to
provide broad coverage for losses not covered by other programs; at
this time, nine different types of losses have been identified as
examples and are explained in this section.
The location requirement for the loss is that the loss must have
occurred in the county for which assistance is being provided; examples
are included below. To distribute payments to participants, funds are
first allocated to the counties and the loss must have occurred in the
county that is providing the payment.
As stated above, producers of livestock, honeybees, and farm-raised
fish are eligible for ELAP if they have losses due to adverse weather
and other conditions such as blizzards and wildfires that are not
covered under LFP, LIP, and SURE.
Livestock producers are eligible for ELAP if they have eligible
grazing losses due to eligible adverse weather or eligible loss
conditions, on eligible grazing lands that are physically located in a
county that experienced such eligible adverse weather or eligible loss
conditions. Eligible adverse weather and eligible loss conditions may
include, but are not limited to, blizzards, floods, hurricanes,
wildfires on non-Federal grazing lands, and tidal surges. Losses
resulting from drought or wildfire on rangeland managed by a Federal
agency are not eligible losses for ELAP because those losses will be
covered by LFP.
Livestock producers of forage or feedstuffs intended as feed for
the producer's livestock are eligible for ELAP if the feed was damaged
or destroyed due to an eligible adverse weather or eligible loss
condition and if the feed that was damaged or destroyed was physically
located in a county that experienced the eligible adverse weather or
eligible loss condition. Livestock producers are eligible for ELAP to
cover a portion of the loss related to additional costs incurred for
providing or transporting livestock feed to eligible livestock that is
needed due to an eligible adverse weather or eligible loss condition.
Specific examples of eligible losses for the additional costs of
providing or transporting feed include, but are not limited to, costs
associated with equipment costs for hay lifts or snow removal.
Livestock producers are eligible for ELAP to cover a portion of the
loss related to the cost of purchasing additional livestock feed above
normal quantities to maintain the eligible livestock due to an eligible
adverse weather or eligible loss condition until additional livestock
feed becomes available. To be eligible, the additional feed purchased
above normal quantities must be feed that is fed to maintain the
livestock in the county where the eligible adverse weather or eligible
loss condition occurred. Eligible livestock for grazing and feed losses
will be the same kinds and types of livestock that will be eligible for
LFP.
Livestock producers are eligible for ELAP if they have losses due
to livestock death in excess of normal mortality due to an eligible
loss condition that is not an eligible adverse weather event under LIP.
LIP covers livestock death losses due to adverse weather; therefore,
ELAP covers livestock death losses due to other eligible loss
conditions. For example, based on conditions at the time, the Deputy
Administrator may determine that livestock deaths due to a specific
catastrophic disease outbreak would be an eligible loss condition for
ELAP, but those livestock deaths would not be eligible for LIP.
Eligible livestock for death losses will be the same kinds and types of
livestock eligible under LIP. Although the list of livestock eligible
for LIP appears to be the same as the list for ELAP, the definitions
are different. For example, for ELAP, the age of certain animals for
losses other than death is relative to the beginning date of the
eligible adverse weather or eligible loss condition and there are
differences in the weights of certain animals if the loss
[[Page 46669]]
is for a death as opposed to another type of loss. Unlike some previous
livestock-related programs, ELAP does not cover catfish or crawfish
death losses because losses of that kind are covered by SURE, the Farm
Bill prohibits duplicative payments and there is not a loss if it has
been paid for under another program.
Honeybee or farm-raised fish producers are eligible for ELAP if
they have losses of feed that was intended as feed for the honeybees or
farm-raised fish. The feed must have been damaged or destroyed due to
eligible adverse weather or eligible loss conditions including, but not
limited to, an earthquake, flood, hurricane, tidal surge, tornado,
volcanic eruption, or wildfires. To be eligible, the honeybee or farm-
raised fish feed loss must have occurred in the county where the
eligible adverse weather or loss condition occurred.
Honeybee producers are eligible for ELAP if they have honeybee
colony or honeybee hive losses due to eligible adverse weather or
eligible loss conditions including, but not limited to, colony collapse
disorder, earthquakes, floods, hurricanes, tornadoes, and volcanic
eruptions. To be eligible, the honeybee colony or honeybee hive loss
must have occurred in the county where the eligible adverse weather or
eligible loss condition occurred. In the case of colony collapse, the
collapse must be certified or otherwise documented by a third party
such as a registered entomologist, Cooperative Extension specialist, or
Land Grant University.
Producers of farm-raised bait fish and game fish are eligible for
ELAP if they have fish death losses due to eligible adverse weather or
eligible loss conditions including, but not limited to, earthquake,
floods, hurricanes, tidal surges, tornadoes, and volcanic eruptions. To
be eligible, the farm-raised fish deaths must occur in the county where
the eligible adverse weather or eligible loss condition occurs.
Livestock, honeybee, and farm-raised fish losses that are not
related to eligible adverse weather or eligible loss conditions as
determined by the Deputy Administrator are not covered by this rule.
Applying for ELAP Payment
There are two basic steps for a producer to obtain ELAP payments.
One step is to file a notice of loss when there is a condition that
does or could generate a claim because of a loss in grazing, feed,
animal, or an eligible additional expense is incurred, as applicable,
for eligible livestock, honey bees, and farm-raised fish due to
eligible weather or loss conditions. The second part of the process is
to file the application for benefits. Both steps can be performed
simultaneously. As to the first step, producers must provide a notice
of loss to the FSA county office within 30 days of when the loss was
apparent, or within 30 days after the end of the calendar year in which
the loss occurred, whichever comes first. Due to the timing of the
implementation of this rule and the losses to which it will apply,
producers who potentially had suffered an eligible loss during calendar
year 2008 and in calendar year 2009 prior to this rule being published
in the Federal Register must provide a notice of loss within 90
calendar days after this rule is published. As indicated, however, a
notice of loss is one part of the application process; other
documentation is required for a complete application for payment as
described in this rule. The completed application and required
documents must be submitted to the FSA county office no later than 30
calendar days after the end of the calendar year in which the loss
occurred or, for 2008 losses, 90 calendar days after publication of
this rule in the Federal Register.
The statute allows up to $50 million per year for the ELAP program.
Since the funding level has a cap, FSA plans to accept applications on
a calendar year basis, and issue payments by calendar year. If approval
of all eligible applications in a calendar year would result in
expenditures in excess of the amount available for that calendar year,
FSA plans to prorate the available funds by a national factor to reduce
the total expected payments to the amount available for the calendar
year. The funding level cap for ELAP is $50 million ``per year,'' with
a provision for carryover of funds, which is understood to allow unused
cap authority in a particular year that was otherwise approved by the
Secretary to be ``carried over'' and effectively increase the cap for a
later year. However, payments will, by this rule, be accounted for by
year and if a proration is needed because of the cap or because the
Secretary has not approved the full cap amount or if payments go unpaid
for whatever reason, the unpaid applications will not be carried
forward. Otherwise, payments for one year could be so great as to
reduce the availability of funds for future payments.
ELAP Payment Calculations
Payments for eligible livestock feed losses, not to exceed 90 days
of costs for feed losses, that the producer incurred during the
calendar year will be based on 60 percent of the producer's actual cost
for:
(1) Replacing livestock feed that was intended for feed for the
producer's eligible livestock that was damaged or destroyed due to an
eligible adverse weather or eligible loss condition;
(2) The additional cost incurred for providing or transporting
livestock feed to eligible livestock due to an eligible adverse weather
or eligible loss condition; or
(3) The additional cost of purchasing additional livestock feed
above normal quantities to maintain the eligible livestock during an
eligible adverse weather or eligible loss condition until additional
feed becomes available.
Payments for grazing losses due to an eligible adverse weather or
eligible loss condition other than drought or wildfires will be based
on the lesser of 60 percent of:
(1) The total value of the feed cost for all covered livestock
owned by the eligible livestock producer based on the number of days
grazing was lost, not to exceed 90 days of daily feed cost for all
eligible livestock or
(2) The total value of grazing lost for all eligible livestock
based on the carrying capacity of the eligible grazing land for the
number of grazing days lost, not to exceed 90 days of lost grazing.
Payments for grazing losses due to wildfires on non-Federal grazing
lands will be based on 50 percent of the value of lost grazing based on
the carrying capacity of the eligible grazing land, not to exceed 180
days of lost grazing.
Payments for livestock death losses due to eligible loss conditions
will be based on 75 percent of the market value of the eligible
livestock lost in excess of normal mortality. This is consistent with
the payment calculation for LIP.
Payments for honeybee or farm-raised fish feed losses will be based
on 60 percent of the producer's actual costs for feed that was intended
as feed for the honeybees or farm-raised fish that was damaged or
destroyed due to an eligible adverse weather or eligible loss
condition.
Payments for honeybee colony or honeybee hive losses will be based
on 60 percent of the producer's actual replacement cost for honeybee
colonies or honeybee hives that were lost due to an eligible adverse
weather or eligible loss condition.
Payments for producers of farm-raised game or sport fish who have
losses due to fish death will be based on 60 percent of the producer's
actual replacement cost of the game or sport fish that died as a direct
result of an eligible adverse weather or eligible loss condition.
As stated above, any payments for these losses are limited so a
producer will not receive duplicate payments
[[Page 46670]]
under any Federal disaster assistance program. However, other Federal
payments, such as NAP payments, may be made in addition to the disaster
assistance payments. Therefore, to ensure that a producer is not paid
for more than the amount of losses, the ELAP program will cap
assistance at 95 percent of maximum losses. Specifically, total ELAP
assistance provided to a participant in any given year, together with
any amount provided to the same participant for the same loss as a
result of any Federal crop insurance program, NAP, or any other Federal
disaster program, plus the value of the commodity that was not lost,
will not exceed 95 percent of the value of the commodity in the absence
of a loss, as estimated by FSA. This rule amends Sec. 760.108(c) to
specify the 95 percent cap for ELAP payments.
Specific Provisions for LFP
Overview
The 2008 Farm Bill directs the Secretary to use such sums as are
necessary from the Trust Fund to compensate eligible livestock
producers for eligible grazing losses on eligible grazing land for
covered livestock due to a qualifying drought during the normal grazing
period for the county, or grazing losses on rangeland managed by a
Federal agency if the eligible livestock producer is prohibited by the
Federal agency from grazing the normal permitted livestock on the
managed rangeland due to a qualifying fire, as determined by the
Secretary, during the calendar year. The qualifying drought or fire
must occur on or after January 1, 2008, but before October 1, 2011. All
the provisions described in this paragraph, which are implemented in
this rule, are statutory provisions. The payment rate, the minimum risk
purchase requirement, the definition of ``covered livestock,'' and the
definitions of ``qualifying drought'' or ``fire,'' are also statutory
provisions.
The details in this rule on what kinds of additional livestock and
other species are covered, acceptable documentation of loss, and the
application process for payment, are discretionary provisions.
Generally, FSA is implementing many of the discretionary provisions of
LFP to be consistent with the rules and polices used in implementing
ELAP and LIP and those used for previous ad hoc disaster assistance
programs because those rules and policies are known to the public and
to Congress and because they have worked well in the past to apportion
payments for the type of loss involved in this program.
Eligibility Requirements
LFP payments and eligibilities will be calculated based on the type
of covered livestock and grazing losses and the calculations will be
made by FSA-approved categories. Covered livestock are specified in
Sec. 760.304 and include beef cattle, alpacas, buffalo, beefalo, dairy
cattle, deer, elk, emus, equine, goats, llamas, poultry, reindeer,
sheep, and swine for which the eligible livestock producer suffered a
grazing loss due to a qualifying drought, or was prohibited from
grazing on Federally managed rangeland due to a fire. The livestock
must also be:
During the 60 days prior to the beginning date of the
qualifying drought or fire:
[cir] Owned, leased, purchased, the subject of a contract to
purchase, or in the possession of an eligible contract grower and
[cir] Maintained for commercial use as part of a farming operation
of the participant or
During the current production year or one or both of the
production years immediately preceding the current production year:
[cir] Sold or otherwise disposed of due to a qualifying drought and
[cir] Maintained for commercial use as part of a farming operation
of the participant.
The definitions of the covered livestock in this rule are similar
to those used in the previous LCP program, and those used in the ELAP
program. Based on input from affected producers, alpacas, emus, and
llamas were added to the list of previously covered livestock. Reduced
payments are available for producers who sold or otherwise disposed of
covered livestock due to qualifying drought in 1 or both of the 2
production years immediately preceding the current production year.
Where the livestock is in the possession of a contract grower at the
time of loss, only the contract grower will be eligible for payment.
``Contract growers'' under ELAP and LFP will only include producers,
other than feedlots, whose income is dependent on the actual weight
gain and survival of the livestock. The actual ``owner'' of the
livestock will not be eligible.
Livestock used for recreational use, such as animals used for
roping or pets, are not covered. Animals that were or would have been
on a feedlot on the beginning date of the drought or fire are not
covered. Yaks and ostriches are not covered. Cattle (including buffalo
and beefalo) under 500 pounds on the beginning date of the qualifying
drought or fire are not covered.
LFP is different from past ad hoc disaster programs that required a
county to have had a Secretarial designation or Presidential
declaration for producers in that county to receive payments.
Qualifying drought ratings are specified in this rule using the
U.S. Drought Monitor (https://www.drought.unl.edu/dm/monitor.html)
ratings of drought intensity. The U.S. Drought Monitor is the only such
rating tool available; it is a widely recognized and objective source
of drought information. It is specified in the 2008 Farm Bill as one of
the eligibility ``triggers'' for LFP. A livestock producer may receive
LFP payments for grazing losses due to drought on owned or leased
grazing land or pastureland that is physically located in a county that
is, during the normal grazing period for the specific type of grazing
land or pastureland for the county, rated by the U.S. Drought Monitor
as having a drought rating of D2 (severe drought), D3 (extreme
drought), or D4 (exceptional drought) for a specified period. The
payment amount an eligible producer may receive depends on the length
and intensity of the qualifying drought as follows:
For an amount equal to one monthly payment, the drought
length and intensity must be at least a D2 (severe drought) intensity
in any area of the county for 8 consecutive weeks during the normal
grazing period for the specific type of grazing land or pastureland for
the county.
For an amount equal to two monthly payments, the drought
length and intensity must be at least a D3 (extreme drought) intensity
in any area of the county at any time during the normal grazing period
for the specific type of grazing land or pastureland.
For an amount equal to three monthly payments, the drought
length and intensity must be:
[cir] At least D3 (extreme drought) intensity in any area of the
county for at least four weeks during the normal grazing period for the
specific type of grazing land or pastureland for the county or
[cir] D4 (exceptional drought) intensity in any area of the county
at any time during the normal grazing period for the specific grazing
land or pastureland for the county.
Total LFP payments to an eligible livestock producer in a calendar
year for eligible grazing losses due to qualifying drought will not
exceed an amount equal to three monthly payments for the same
livestock.
A livestock producer may receive LFP payments for a qualifying fire
if the grazing loss occurs on rangeland
[[Page 46671]]
managed by a Federal agency and the eligible livestock producer is
prohibited from grazing the normal permitted livestock on the rangeland
due to fire. The payments will cover up to 180 days of grazing losses
due to fire.
Any owner, cash or share lessee, or contract grower of livestock
that rents or leases pastureland or grazing land owned by another
person on a rate-of-gain basis is not considered an eligible livestock
producer.
Grazing losses that are not related to qualifying drought or fire,
as determined by the Secretary, are not eligible for LFP, but may be
eligible for ELAP, which covers other adverse weather conditions. An
eligible livestock producer may not receive LFP payments for grazing
losses due to drought that occur on land used for haying or grazing
under the Conservation Reserve Program (CRP).
Applying for LFP Payment
In general, the producer must provide a completed application for
payment and required supporting documentation to the administrative FSA
county office within 30 calendar days after the end of the calendar
year in which the grazing loss occurred. Due to the timing of the
implementation of this rule and the losses to which it will apply,
producers who potentially had an eligible loss in calendar year 2008
will have 90 calendar days after this rule is published to provide the
required documents for calendar year 2008 to the FSA county office.
LFP Payment Calculation
Producers are eligible for up to three monthly payments for grazing
losses due to qualifying drought, depending on the intensity and
duration of the drought, as described earlier. Each monthly payment for
eligible grazing losses under LFP due to drought may not exceed 60
percent of the lesser of:
The monthly feed cost for all covered livestock owned or
leased by the eligible livestock producer as calculated in Sec.
760.308(g) or
The monthly feed cost calculated using the normal carrying
capacity of the eligible grazing land of the eligible livestock
producer as determined in Sec. 760.308(j).
In the case of livestock that were sold or otherwise disposed of
due to qualifying drought in 1 or both of the 2 production years
immediately preceding the current production year, the payment rate is
80 percent of the monthly rate just described.
Producers are eligible for LFP payments for grazing losses due to
qualifying fire for up to 180 days per calendar year of such losses.
Payments for eligible grazing losses due to qualifying fire under LFP
may not exceed 50 percent of the monthly feed cost, determined as
specified in Sec. 760.308(g), for the total number of livestock
covered by the Federal lease of the eligible livestock producer for
grazing losses that occur for not more than 180 days per calendar year.
Payment for fire losses is calculated on a daily basis.
Notice and Comment
The 2008 Consolidated Security, Disaster Assistance, and Continuing
Appropriations Act (Pub. L. 110-329) made section 1601(c)(2) of the
2008 Farm Bill applicable in implementing section 12033 of the 2008
Farm Bill. To the extent relevant, the exemption applies to the
corresponding provision enacted in section 15101 since they are
identical except for the provision for funding in section 15101 that
does not appear at all in section 12033. Otherwise, the provisions of
Public Law 110-329 would have no meaning. Therefore, these regulations
are exempt from the notice and comment requirements of the
Administrative Procedures Act (5 U.S.C. 553), as specified in section
1601(c)(2) of the 2008 Farm Bill, which requires that the regulations
be promulgated and administered without regard to the notice and
comment provisions of section 553 of Title 5 of the United States Code
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.
Effective Date
In making this final rule exempt from notice and comment through
section 1601(c)(2) of the 2008 Farm Bill, using the administrative
procedure provisions in 5 U.S.C. 553, FSA finds that there is good
cause for making this rule effective less than 30 days after
publication in the Federal Register. This rule allows FSA to provide
benefits to producers who suffered grazing, feed and livestock death
losses caused by drought, fire, disease, adverse weather and other
conditions. Therefore, to begin providing benefits to producers as soon
as possible, this final rule is effective when filed for public
inspection by the Office of the Federal Register.
Executive Order 12866
The Office of Management and Budget designated this rule as
economically significant under Executive Order 12866 and has reviewed
this rule. A cost benefit analysis was completed, is summarized below,
and is available from the contact person listed above.
Summary of Economic Impacts
The ELAP program is likely to result in costs of the entire
authorized $50 million per year each year, providing benefits of $50
million each year to producers of livestock, honeybees, and farm-raised
fish. The benefits of the honeybee loss compensation aspect of the
program could also include substantial indirect benefits to the
agricultural sector as a whole, because honeybees pollinate more than
$14 billion worth of fruits, vegetables, and other crops in the United
States.
The honeybee portion of the program is expected to be the most
expensive part of ELAP, due to losses resulting from colony collapse
disorder. According to the USDA Agricultural Research Service, honeybee
colony losses from colony collapse disorder were reported to be 31
percent in 2007, with surveys in 2008 indicating losses of about 36
percent. Those losses represent about twice the percentage of losses
sustained during a typical winter. In other words, honeybee hives
suffer about 18 percent depopulation in a normal winter, but losses of
twice that percentage have occurred since colony collapse disorder was
identified. The cost of honeybee hive rental has risen by $22 per
honeybee hive in some East Coast states, and risen $80 per honeybee
hive in California, due to a shortage of honeybees caused by colony
collapse disorder. Assuming an average ELAP payment of $22 per honeybee
hive for the 2.4 million honeybee hives in the United States in 2007 to
compensate for the costs caused by colony collapse disorder implies
additional costs of $52.8 million. This suggests that estimates for
honeybee losses alone due to colony collapse disorder could easily
exceed $50 million per year, particularly if losses in some states are
significantly above $22 per honeybee hive.
The aquaculture portion of ELAP is expected to have average costs
of about $6 million per year, based on costs of previous ad hoc
hurricane relief programs, with significant variation in costs per year
because adverse weather events that impact aquaculture are relatively
infrequent.
The cost of the livestock portion of ELAP is likely to be of
similar magnitude to the aquaculture portion, and will depend on
relatively infrequent events such as floods and blizzards.
LFP is expected to cost about $409 million per year, providing the
same amount in benefits to livestock producers. The indirect benefit of
the
[[Page 46672]]
program is to reduce income variability of livestock producers due to
drought and fire losses beyond their control.
The annual average expected costs for LFP were calculated using the
payment amounts from the previous ad hoc LCP that covered the three
years from 2005 to 2007, adjusted for the differences in the conditions
under which LFP will operate. The projected costs were adjusted to
reflect that the cost of feed corn differs significantly from 2005 to
2007, and that the previous program allowed eligible livestock
producers to select the worst of three years to use as the basis for
payment calculation. The higher cost of corn required an upward
adjustment; not including the worst year provision required a downward
adjustment.
Higher corn costs are expected to result in a payment rate 212
percent above the payment rate used in LCP. Multiplying the approved
LCP payments of just under $340 million by 212 percent would imply a
maximum expected annual cost for LFP of $720.8 million. However, annual
average expected costs for LFP are likely to be significantly less than
$720.8 million because $720.8 million is based on participants choosing
the worst year as the basis for payment calculations.
Inspection of total emergency payments for all livestock-related
disasters (including a small amount for tree assistance) since fiscal
year 1999 indicates substantial variability in payments over time,
ranging from as low as $3 million in 2007 to as high as $1.384 billion
in 2008. The average amount of livestock-related disaster assistance
from 1999 to 2006 was 13.55 percent of the amount expected to be paid
in 2008 and provides a lower bound on the expected costs of LFP.
As a permanent disaster program, LFP is likely to generate costs
substantially above 13.55 percent of the expected 2008 emergency
assistance on average. Since past ad hoc programs required a threshold
disaster loss before legislation was passed, some producers who had
disasters may not have received assistance, which they would under
permanent disaster legislation.
Therefore, the estimated cost for LFP was calculated by multiplying
the maximum expected cost of $720.8 million by the midpoint of the
range extending from 13.55 percent to 100 percent, or by 57 percent.
Annual average expected costs are therefore determined to be $409
million ($720.8 million multiplied by 56.8 percent). Not including the
worst year provision will reduce some of the variability in program
payments for LFP as compared to previous programs.
The only alternatives for implementation of LFP were on what kinds
of additional livestock and other species are covered, acceptable
documentation of loss, and the application process for payment, which
are discretionary provisions. Generally, FSA is implementing many of
the discretionary provisions of LFP to be consistent with the rules and
polices used in implementing ELAP and LIP and those used for previous
ad hoc disaster assistance programs because those rules and policies
are known to the public and to Congress and because they have worked
well in the past to apportion payments for the type of loss involved in
LFP.
Similarly, the only alternatives for implementation of ELAP were on
what kinds of livestock and other species are eligible, what types of
losses are covered, acceptable documentation of loss, and the
application process for payment, which are discretionary provisions.
FSA is implementing many of the discretionary provisions of ELAP to be
consistent with the rules and polices used in implementing LFP or LIP
and those used for previous ad hoc disaster assistance programs because
those rules and policies are known to the public and to Congress and
because they have worked well to apportion benefits for the types of
losses involved in ELAP.
Regulatory Flexibility Act
This rule is not subject to the Regulatory Flexibility Act since
FSA is not required to publish a notice of proposed rulemaking for this
rule.
Environmental Review
The environmental impacts of this rule have been considered in a
manner consistent with the provisions of the National Environmental
Policy Act (NEPA, 42 U.S.C. 4321-4347), the regulations of the Council
on Environmental Quality (40 CFR parts 1500-1508), and FSA regulations
for compliance with NEPA (7 CFR part 799). The LFP provisions required
by the 2008 Farm Bill that are identified in this rule are non-
discretionary in nature, solely providing financial assistance.
Therefore, FSA has determined that provisions for further NEPA review
do not apply to this rule. Therefore, no environmental assessment or
environmental impact statement will be prepared.
Executive Order 12372
This program is not subject to Executive Order 12372, which
requires consultation with State and local officials. See the notice
related to 7 CFR part 3015, subpart V, published in the Federal
Register on June 24, 1983 (48 FR 29115).
Executive Order 12988
This rule has been reviewed under Executive Order 12988. This final
rule is not retroactive and it does not preempt State or local laws,
regulations, or policies unless they present an irreconcilable conflict
with this rule. Before any judicial action may be brought regarding the
provisions of this rule the administrative appeal provisions of 7 CFR
parts 11 and 780 must be exhausted.
Executive Order 13132
The policies contained in this rule do not have any substantial
direct effect on States, on the relationship between the national
government and States, or on the distribution of power and
responsibilities among various levels of government. Nor does this rule
impose substantial direct compliance costs on State and local
governments. Therefore, consultation with States was not required.
Executive Order 13175
The policies contained in this rule do not impose substantial
unreimbursed direct compliance costs on Indian tribal governments or
have tribal implications that preempt tribal law.
Unfunded Mandates
This rule contains no Federal mandates under the regulatory
provisions of Title II of the UMRA for State, local, and tribal
government or the private sector. In addition, FSA was not required to
publish a notice of proposed rulemaking for this rule. Therefore, this
rule is not subject to the requirements of sections 202 and 205 of the
UMRA.
Federal Assistance Programs
This rule applies to the following Federal assistance programs that
are not in the Catalog of Federal Domestic Assistance: ELAP and LFP.
Paperwork Reduction Act
The regulations in this rule are exempt from the requirements of
the Paperwork Reduction Act (44 U.S.C. Chapter 35), as specified in
section 1601(c)(2) of the 2008 Farm Bill, which provides that these
regulations be promulgated and administered without regard to the
Paperwork Reduction Act.
E-Government Act Compliance
FSA is committed to complying with the E-Government Act, to promote
the use of the Internet and other
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information technologies to provide increased opportunities for citizen
access to Government information and services, and for other purposes.
Small Business Regulatory Enforcement Fairness Act of 1996
This rule has been determined to be Major under the Small Business
Regulatory Enforcement Fairness Act of 1996, (Pub. L. 104-121)
(SBREFA). SBREFA normally requires that an agency delay the effective
date of a major rule for 60 days from the date of publication to allow
for Congressional review. Section 808 of SBREFA allows an agency to
make a major regulation effective immediately if the agency finds there
is good cause to do so. FSA finds that it would be contrary to the
public interest to delay implementation of this rule because it would
significantly delay assistance to the many people affected by the
disasters addressed by this rule. Therefore, this rule is effective
immediately.
List of Subjects in 7 CFR Part 760
Dairy products, Indemnity payments, Pesticide and pests, Reporting
and recordkeeping requirements.
0
Accordingly, 7 CFR part 760 is amended as follows:
PART 760--INDEMNITY PAYMENT PROGRAMS
0
1. The authority citation for part 760 continues to read as follows:
Authority: 7 U.S.C. 4501, 7 U.S.C. 1531, 16 U.S.C. 3801, note,
and 19 U.S.C. 2497; Title III, Pub. L. 109-234, 120 Stat. 474; and
Title IX, Pub. L. 110-28, 121 Stat. 211.
Sec. 760.104 [Amended]
0
2. Amend Sec. 760.104(a)(1)(i) by removing the words ``forage crops''
and by adding, in their place, the words ``forage crops intended for
grazing''.
0
3. In Sec. 760.108, add paragraphs (c)(1) and (c)(2) to read as
follows:
Sec. 760.108 Payment limitation.
* * * * *
(c) * * *
(1) FSA will review ELAP payments after the funding factor as
specified in Sec. 760.208 is determined to be 100 percent. FSA will
ensure that total ELAP payments provided to a participant in a year,
together with any amount provided to the same participant for the same
loss as a result of any Federal crop insurance program, the Noninsured
Crop Disaster Assistance Program, or any other Federal disaster
program, plus the value of the commodity that was not lost, is not more
than 95 percent of the value of the commodity in the absence of the
loss, as estimated by FSA.
(2) [Reserved]
0
4. Add subpart C to part 760 to read as follows:
Subpart C--Emergency Assistance for Livestock, Honeybees, and Farm-
Raised Fish Program
Sec.
760.201 Applicability.
760.202 Definitions.
760.203 Eligible losses, adverse weather, and other loss conditions.
760.204 Eligible livestock, honeybees, and farm-raised fish.
760.205 Eligible producers, owners, and contract growers.
760.206 Notice of loss and application process.
760.207 Notice of loss and application period.
760.208 Availability of funds.
760.209 Livestock payment calculations.
760.210 Honeybee payment calculations.
760.211 Farm-raised fish payment calculations.
Subpart C--Emergency Assistance for Livestock, Honeybees, and Farm-
Raised Fish Program
Sec. 760.201 Applicability.
(a) This subpart establishes the terms and conditions under which
the Emergency Assistance for Livestock, Honeybees, and Farm-Raised Fish
Program (ELAP) will be administered.
(b) Eligible producers of livestock, honeybees, and farm-raised
fish will be compensated to reduce eligible losses that occurred in the
calendar year for which the producer requests benefits. The eligible
loss must have been a direct result of eligible adverse weather or
eligible loss conditions as determined by the Deputy Administrator,
including, but not limited to, blizzards, wildfires, disease, and
insect infestation. ELAP does not cover losses that are covered under
LFP, LIP, or SURE.
Sec. 760.202 Definitions.
The following definitions apply to this subpart and to the
administration of ELAP. The definitions in parts 718 and 1400 of this
title also apply, except where they conflict with the definitions in
this section.
Adult beef bull means a male beef breed bovine animal that was used
for breeding purposes that was at least 2 years old before the
beginning date of the eligible adverse weather or eligible loss
condition.
Adult beef cow means a female beef breed bovine animal that had
delivered one or more offspring before the beginning date of the
eligible adverse weather or eligible loss condition. A first-time bred
beef heifer is also considered an adult beef cow if it was pregnant on
or by the beginning date of the eligible adverse weather or eligible
loss condition.
Adult buffalo and beefalo bull means a male animal of those breeds
that was used for breeding purposes and was at least 2 years old before
the beginning date of the eligible adverse weather or eligible loss
condition.
Adult buffalo and beefalo cow means a female animal of those breeds
that had delivered one or more offspring before the beginning date of
the eligible adverse weather or eligible loss condition. A first-time
bred buffalo or beefalo heifer is also considered an adult buffalo or
beefalo cow if it was pregnant by the beginning date of the eligible
adverse weather or eligible loss condition.
Adult dairy bull means a male dairy breed bovine animal that was
used primarily for breeding dairy cows and was at least 2 years old by
the beginning date of the eligible adverse weather or eligible loss
condition.
Adult dairy cow means a female bovine dairy breed animal used for
the purpose of providing milk for human consumption that had delivered
one or more offspring by the beginning date of the eligible adverse
weather or eligible loss condition. A first-time bred dairy heifer is
also considered an adult dairy cow if it was pregnant by the beginning
date of the eligible adverse weather or eligible loss condition.
Agricultural operation means a farming operation.
Application means FSA form used to apply for either the emergency
loss assistance for livestock or emergency loss assistance for farm-
raised fish or honeybees.
Aquatic species means any species of aquatic organism grown as food
for human consumption, fish raised as feed for fish that are consumed
by humans, or ornamental fish propagated and reared in an aquatic
medium by a commercial operator on private property in water in a
controlled environment. Catfish and crawfish are both defined as
aquatic species for ELAP. However, aquatic species do not include
reptiles or amphibians.
Bait fish means small fish caught for use as bait to attract large
predatory fish. For ELAP, it also must meet the definition of aquatic
species and not be raised as food for fish; provided, however, that
only bait fish produced in a controlled environment can generate claims
under ELAP.
Buck means a male goat.
Commercial use means used in the operation of a business activity
engaged
[[Page 46674]]
in as a means of livelihood for profit by the eligible producer.
Contract means, with respect to contracts for the handling of
livestock, a written agreement between a livestock owner and another
individual or entity setting the specific terms, conditions, and
obligations of the parties involved regarding the production of
livestock or livestock products.
Controlled environment means an environment in which everything
that can practicably be controlled by the participant with structures,
facilities, and growing media (including, but not limited to, water and
nutrients) was in fact controlled by the participant at the time of the
eligible adverse weather or eligible loss condition.
County committee or county office means the respective FSA
committee or office.
Deputy Administrator or DAFP means the Deputy Administrator for
Farm Programs, Farm Service Agency, U.S. Department of Agriculture or
the designee.
Eligible adverse weather or eligible loss condition means any
disease, adverse weather, or other loss condition as determined by the
Deputy Administrator. The eligible adverse weather or eligible loss
condition would have resulted in agricultural losses not covered by
other programs in this part for which the Deputy Administrator
determines financial assistance needs to be provided to producers. The
disease, adverse weather, or other conditions may include, but are not
limited to, blizzards, wildfires, water shortages, and other factors.
Specific eligible adverse weather and eligible loss conditions may vary
based on the type of loss. Identification of eligible adverse weather
and eligible loss conditions will include locations (National, State,
or county-level) and start and end dates.
Equine animal means a domesticated horse, mule, or donkey.
Ewe means a female sheep.
Farming operation means a business enterprise engaged in producing
agricultural products.
Farm-raised fish means any aquatic species that is propagated and
reared in a controlled environment.
FSA means the Farm Service Agency.
Game or sport fish means fish pursued for sport by recreational
anglers; provided, however, that only game or sport fish produced in a
controlled environment can generate claims under ELAP.
Goat means a domesticated, ruminant mammal of the genus Capra,
including Angora goats. Goats are further delineated into categories by
sex (bucks and nannies) and age (kids).
Kid means a goat less than 1 year old.
Lamb means a sheep less than 1 year old.
Livestock owner, for death loss purposes, means one having legal
ownership of the livestock for which benefits are being requested on
the day such livestock died due to an eligible adverse weather or
eligible loss condition. For all other purposes of loss under ELAP,
``livestock owner'' means one having legal ownership of the livestock
for which benefits are being requested during the 60 days prior to the
beginning date of the eligible adverse weather or eligible loss
condition.
Nanny means a female goat.
Non-adult beef cattle means a beef breed bovine animal that does
not meet the definition of adult beef cow or bull. Non-adult beef
cattle are further delineated by weight categories of either less than
400 pounds or 400 pounds or more at the time they died. For a loss
other than death, means a bovine animal less than 2 years old that that
weighed 500 pounds or more on or before the beginning date of the
eligible adverse weather or eligible loss condition.
Non-adult buffalo or beefalo means an animal of those breeds that
does not meet the definition of adult buffalo or beefalo cow or bull.
Non-adul