Common Crop Insurance Regulations; Sugar Beet Crop Insurance Provisions, 45535-45539 [2018-19152]
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45535
Rules and Regulations
Federal Register
Vol. 83, No. 175
Monday, September 10, 2018
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.
DEPARTMENT OF AGRICULTURE
Federal Crop Insurance Corporation
7 CFR part 457
[Docket No. FCIC–18–0001]
RIN 0563–AC55
Common Crop Insurance Regulations;
Sugar Beet Crop Insurance Provisions
Federal Crop Insurance
Corporation, USDA.
ACTION: Final rule with request for
comments.
AGENCY:
The Federal Crop Insurance
Corporation (FCIC) amends the
Common Crop Insurance Regulations,
Sugar Beet Crop Insurance Provisions
(Crop Provisions). The intended effect of
this action is to update existing policy
provisions and definitions to better
reflect current agricultural practices.
The changes will be effective for the
2019 and succeeding crop years in states
with a November 30 contract change
date and for the 2020 and succeeding
crop years in all other states.
DATES: This final rule is effective
November 30, 2018. However, FCIC will
accept written comments on this final
rule until close of business October 10,
2018. FCIC will consider these
comments and make changes to the rule
if warranted.
ADDRESSES: FCIC prefers that interested
persons submit comments electronically
through the Federal eRulemaking Portal.
Interested persons may submit
comments, identified by Docket ID No.
FCIC–18–0001, by any of the following
methods:
• Federal eRulemaking Portal: https://
www.regulations.gov. Follow the
instructions for submitting comments.
• Mail: Director, Product
Administration and Standards Division,
Risk Management Agency, United States
Department of Agriculture, P.O. Box
419205, Kansas City, MO 64133–6205.
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SUMMARY:
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All comments received, including those
received by mail, will be posted without
change to https://www.regulations.gov,
including any personal information
provided. Once these comments are
posted to this website, the public can
access all comments at its convenience
from this website. All comments must
include the agency name and docket
number or Regulatory Information
Number (RIN) for this rule. For detailed
instructions on submitting comments
and additional information, see https://
www.regulations.gov. If interested
persons are submitting comments
electronically through the Federal
eRulemaking Portal and want to attach
a document, FCIC requests use of a textbased format. If interested persons wish
to attach a document that is a scanned
Adobe PDF file, it must be scanned as
text and not as an image, thus allowing
FCIC to search and copy certain
portions of the submissions. For
questions regarding attaching a
document that is a scanned Adobe PDF
file, please contact the Risk
Management Agency (RMA) Web
Content Team at (816) 823–4694 or by
email at rmaweb.content@rma.usda.gov.
Privacy Act: Anyone is able to search
the electronic form of all comments
received for any dockets by the name of
the person submitting the comment (or
signing the comment, if submitted on
behalf of an association, business, labor
union, etc.). Interested persons may
review the complete User Notice and
Privacy Notice for Regulations.gov at
https://www.regulations.gov/
#!privacyNotice.
FOR FURTHER INFORMATION CONTACT:
Chandra Mason, Chief, Policy
Administration Branch, Product
Administration and Standards Division,
Risk Management Agency, United States
Department of Agriculture, Beacon
Facility, Stop 0812, Room 421, P.O. Box
419205, Kansas City, MO 64141–6205,
telephone (816) 926–7730.
SUPPLEMENTARY INFORMATION:
Background
FCIC amends the Common Crop
Insurance Regulations (7 CFR part 457)
by revising 7 CFR 457.109 Sugar Beet
Crop Insurance Provisions (Crop
Provisions), to be effective for the 2019
and succeeding crop years in states with
a November 30 contract change date and
for the 2020 and succeeding crop years
in all other states. The intended effect
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of this action is to update existing
policy provisions and definitions to
better reflect current agricultural
practices.
The changes are as follows:
1. FCIC is removing the paragraph
immediately preceding section 1, which
refers to the order of priority if a conflict
exists among the policy provisions. This
same provision is contained in the Basic
Provisions. Therefore, the appearance
here is duplicative and should be
removed from the Crop Provisions.
2. FCIC is removing parentheticals
identifying the titles of sections of the
Basic Provisions throughout the Crop
Provisions as the parenthetical section
name is unnecessary and removing
these titles will prevent FCIC from
having to revise the Crop Provisions
should these section titles change in the
Basic Provisions.
3. Section 1—FCIC is revising the
definition of ‘‘Crop Year.’’ The previous
definition required a reference to
specific counties, as the crop year was
defined differently for several California
counties. In 2013, the actuarial
information that made insurance
available was removed from all
California counties except Imperial
County, which has the same definition
of ‘‘crop year’’ as used in all remaining
insurable states and counties.
Consequently, the revised definition
removes references to specific counties
such that all insurable counties have the
same definition of ‘‘crop year.’’
FCIC is removing the definition of
‘‘Local Market Price’’ as this term is no
longer used in the Crop Provisions.
FCIC is revising the definition of
‘‘Practical to Replant.’’ FCIC is removing
those provisions that are duplicative of
the definition in the Basic Provisions
and leaves the requirement that it is
practical to replant if the terms of the
processor contract can be met.
FCIC is adding a definition of
‘‘Processor Contract’’ and removing the
definition of ‘‘Sugar Beet Processor
Contract.’’ FCIC has identified several
different Crop Provisions contain a
variation of a definition for a ‘‘processor
contract,’’ which has created ambiguity
across Crop Provisions, and poses
challenges for insurance providers to
administer the program consistently
across different crops. The definition of
‘‘processor contract’’ matches the
definition found in other Crop
Provisions, in order to improve
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standardization of language regarding
use of contracts across crop insurance
programs. References throughout the
Crop Provisions will be revised
accordingly. The new definition also
requires that contracts be executed by
the acreage reporting date, which is
consistent with all other crop insurance
policies that insure contract crops.
Contracts must be executed by the
acreage reporting date so that liabilities
and prices can be established for the
purpose of determining guarantees and
premium.
FCIC is removing the definition of
‘‘Production Guarantee (per acre).’’ The
definition is contained in the Basic
Provisions. This definition was
previously necessary due to inclusion of
stage guarantees, which, as stated
below, have been removed from the
policy. Further, as stated below, section
3 specifies that the production
guarantee is expressed in pounds of raw
sugar.
FCIC is removing the definitions of
‘‘Standardized Ton’’ and ‘‘Ton.’’ The
definitions are no longer necessary,
since, as stated below, FCIC is changing
the basis of insurance from ‘‘tons’’ to
‘‘pounds of raw sugar’’ in section 3(c).
FCIC is removing the definition of
‘‘Thinning’’ as this term is no longer
used in the Crop Provisions.
4. Section 3—FCIC is revising the
basis of insurance from ‘‘standardized
tons’’ to ‘‘pounds of raw sugar.’’ This
change is made to align the policy with
the current sugar beet industry standard
for payment. All references to the basis
of insurance throughout the Crop
Provisions will consequently be revised.
FCIC is removing stage guarantees
from the policy. FCIC had previously
offered an option to obtain coverage
without the stage guarantees for an
additional premium. FCIC has observed
an increasing number of sugar beet
producers electing the stage removal
option, such that very few producers
have coverage with stage guarantees.
Removal of stage guarantees from the
policy will better reflect the risk
management needs of producers and
simplify their existing coverage options.
Premiums will be revised to reflect the
removal of the stage guarantees from the
policy.
5. Section 4—FCIC is removing
references to a July 15 contract change
date because, since 2013, this date was
removed from the actuarial information
for all counties. Additionally, FCIC
proposes to edit the remaining date
references to apply to states instead of
counties. The edit does not change any
county dates, merely provides
consistency in reference to states or
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counties within the Crop Provisions and
actuarial documents.
6. Section 5—FCIC is removing the
table of county-specific cancellation and
termination dates since many of the
counties with differing cancellation and
termination dates no longer have
insurance for sugar beets. With the
removal of insurance from these
counties, there are only two remaining
cancellation and termination dates, so
the provisions have been revised to only
refer to these dates. The revision will
not result in any changed dates for
counties where insurance for sugar beets
is currently available.
7. Section 6—FCIC is removing and
reserving this section. With the removal
of stage guarantees, this section is no
longer necessary. The premium
computation method appears in the
Basic Provisions and will reflect this
removal.
8. Section 7—In section 7(b)(2), FCIC
is replacing ‘‘duly promulgated’’ with
‘‘executed and adopted’’ and ‘‘sets
forth’’ with ‘‘contains.’’ FCIC is also
adding the modifier ‘‘corporate’’ to
‘‘resolution.’’ This revised terminology
uses more common language, makes
clear the connection to later uses of the
term ‘‘corporate resolution,’’ and
provides consistency with other Crop
Provisions.
9. Section 8—FCIC is removing the
parenthetical in 8(b) referring to
counties without a final planting date
because all insurable counties now have
a specified final planting date.
10. Section 9—FCIC is removing the
list of end of insurance dates by
geographic region and instead referring
to the calendar date shown in the
actuarial documents for the end of the
insurance period. This change will
simplify the provision and allow FCIC
to timely provide area-specific dates,
allow for future program expansion, and
provide greater flexibility to adjust end
of insurance period dates to new or
evolving regional conditions as needed
in the future.
11. Section 11—In section 11(b), FCIC
is removing the formula for calculating
a replanting payment and replacing it
with the phrase ‘‘dollar amount of the
replant payment is specified in the
Special Provisions’’ because the costs
for replanting the crop may vary by
county or region and this change gives
FCIC the flexibility to ensure that the
costs of replanting are reflected in the
actuarial documents and adjusted as
needed.
12. Section 12—FCIC is decapitalizing
the words ‘‘in the’’ in the section
heading for consistency throughout
these Crop Provisions. In section 12(b),
FCIC is adding a comma after
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‘‘processor contract’’ to separate the two
requirements. This change provides
clarity on the issue of provision of
contracts or corporate resolutions for
specific entity types: For nonprocessors, a processor contract is
required. For insureds who are also
processors, a corporate resolution is
required.
13. Section 13—In section 13(c)(1)(iii)
FCIC is removing the parenthetical
following the term ‘‘unharvested
production,’’ which is no longer
necessary due to the use of pounds of
raw sugar as the basis of insurance,
removal of stage guarantees, and the
inclusion of an early harvest factor.
FCIC is removing section 13(c)(1)(iv),
which is unnecessary due to the
removal of stage guarantees. This also
results in the redesignation of section
13(c)(1)(v) as section 13(c)(1)(iv).
In section 13(d) and (e), FCIC is
revising the language to clarify the
determination of production to count by
referring to pounds of raw sugar and
including the use of the raw sugar
percentage specified in the Special
Provisions only if a sugar test is not
performed or is not deemed acceptable.
FCIC is adding a new subsection (f) to
allow for an ‘‘early harvest factor.’’ The
addition of this factor comes in response
to a lack of clarity in the event of the
periodic decisions by sugar beet
processors to request a portion of their
contracted acres be harvested early. In
these events, the actual harvested beets
are often lower in weight and sugar
content, resulting in what could appear
to be a production loss. This provision
provides more clear guidance for
insurance providers in the event of early
harvested acres and eliminates the
unnecessary reduction in grower APH.
The adjustment for early harvest will
not be made if the sugar beets are
damaged by an insurable cause of loss
and leaving the crop in the field would
reduce production, and cannot result in
a production to count in excess of the
insured’s actual production history.
Further, the adjustment will only be
made in the event that the portion of a
unit harvested early exceeds a
percentage of acreage threshold
specified in the actuarial documents.
14. Section 14—FCIC is removing and
reserving this section. This section was
necessary because of the distinction
between certain counties in California.
Now that insurance is no longer
available in those counties, the
provision is no longer necessary and the
late planting provisions in the Basic
Provisions will apply.
15. Section 15—FCIC is removing
section 15(a), because insurance is no
longer available for those counties that
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previously had a July 15 contract change
date.
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Effective Date
The FCIC is issuing this final rule
without opportunity for prior notice and
comment. The Administrative
Procedure Act (APA) exempts rules
‘‘relating to agency management or
personnel or to public property, loans,
grants, benefits, or contracts’’ from the
statutory requirement for prior notice
and opportunity for public comment (5
U.S.C. 553(a)(2)). A Federal crop
insurance policy is a contract and is
thus exempt from APA notice-andcomment procedures. Previously,
changes made to the Federal crop
insurance policies codified in the Code
of Federal Regulations were required to
be implemented through the notice-andcomment rulemaking process. Such
action was not required by the APA,
which exempts contracts. Rather, the
requirement originated with a notice
USDA published in the Federal Register
on July 24, 1971 (36 FR 13804), stating
that the Department of Agriculture
would, to the maximum extent
practicable, use the notice-and-comment
rulemaking process when making
program changes, including those
involving contracts. FCIC complied with
this notice over the subsequent years.
On October 28, 2013, USDA published
a notice in the Federal Register (78 FR
64194) rescinding the prior notice,
thereby making contracts again exempt
from the notice-and-comment
rulemaking process. This exemption
applies to the 30-day notice prior to
implementation of a rule. Therefore, the
policy changes made by this final rule
are effective upon publication in the
Federal Register.
However, FCIC is providing a 30-day
comment period and invites interested
persons to participate in this rulemaking
by submitting written comments. FCIC
will consider the comments received
and may conduct additional rulemaking
based on the comments.
The changes will be effective for the
2019 and succeeding crop years in states
with a November 30 contract change
date and for the 2020 and succeeding
crop years in all other states.
Executive Orders 12866, 13563, 13771
and 13777
Executive Order 12866, ‘‘Regulatory
Planning and Review,’’ and Executive
Order 13563, ‘‘Improving Regulation
and Regulatory Review,’’ direct agencies
to assess all costs and benefits of
available regulatory alternatives and, if
regulation is necessary, to select
regulatory approaches that maximize
net benefits (including potential
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economic, environmental, public health
and safety effects, distributive impacts,
and equity). Executive Order 13563
emphasized the importance of
quantifying both costs and benefits, of
reducing costs, of harmonizing rules,
and of promoting flexibility. Executive
Order 13777, ‘‘Enforcing the Regulatory
Reform Agenda,’’ established a federal
policy to alleviate unnecessary
regulatory burdens on the American
people. The Office of Management and
Budget (OMB) designated this rule as
not significant under Executive Order
12866, ‘‘Regulatory Planning and
Review,’’ and, therefore, OMB has not
reviewed this rule. The rule is not
subject to Executive Order 13771,
‘‘Reducing Regulation and Controlling
Regulatory Costs.’’
Paperwork Reduction Act of 1995
Pursuant to the provisions of the
Paperwork Reduction Act of 1995 (44
U.S.C. chapter 35, subchapter I), the
collections of information in this rule
have been approved by OMB under
control number 0563–0053.
E-Government Act Compliance
FCIC is committed to complying with
the E-Government Act of 2002, to
promote the use of the internet and
other information technologies to
provide increased opportunities for
citizen access to Government
information and services, and for other
purposes.
Unfunded Mandates Reform Act of
1995
Title II of the Unfunded Mandates
Reform Act of 1995 (UMRA), establishes
requirements for Federal agencies to
assess the effects of their regulatory
actions on State, local, and tribal
governments and the private sector.
This rule contains no Federal mandates
(under the regulatory provisions of title
II of the UMRA) for State, local, and
tribal governments or the private sector.
Therefore, this rule is not subject to the
requirements of sections 202 and 205 of
UMRA.
Executive Order 13132
It has been determined under section
1(a) of Executive Order 13132,
Federalism, that this rule does not have
sufficient implications to warrant
consultation with the States. The
provisions contained in this rule will
not have a substantial direct effect on
States, or on the relationship between
the national government and the States,
or on the distribution of power and
responsibilities among the various
levels of government.
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45537
Executive Order 13175
This rule has been reviewed in
accordance with the requirements of
Executive Order 13175, ‘‘Consultation
and Coordination with Indian Tribal
Governments.’’ Executive Order 13175
requires Federal agencies to consult and
coordinate with tribes on a governmentto-government basis on policies that
have tribal implications, including
regulations, legislative comments or
proposed legislation, and other policy
statements or actions that have
substantial direct effects on one or more
Indian tribes, on the relationship
between the Federal Government and
Indian tribes or on the distribution of
power and responsibilities between the
Federal Government and Indian tribes.
FCIC has assessed the impact of this
rule on Indian tribes and determined
that this rule does not, to our
knowledge, have tribal implications that
require tribal consultation under E.O.
13175. If a Tribe requests consultation,
FCIC will work with the Office of Tribal
Relations to ensure meaningful
consultation is provided where changes,
additions and modifications identified
herein are not expressly mandated by
Congress.
Regulatory Flexibility Act
FCIC certifies that this regulation will
not have a significant economic impact
on a substantial number of small
entities. Program requirements for the
Federal crop insurance program are the
same for all producers regardless of the
size of their farming operation. For
instance, all producers are required to
submit an application and acreage
report to establish their insurance
guarantees and compute premium
amounts, and all producers are required
to submit a notice of loss and
production information to determine the
indemnity amount for an insured cause
of crop loss. Whether a producer has 10
acres or 1000 acres, there is no
difference in the kind of information
collected. To ensure crop insurance is
available to small entities, the Federal
Crop Insurance Act (FCIA) authorizes
FCIC to waive collection of
administrative fees from limited
resource farmers. FCIC believes this
waiver helps to ensure that small
entities are given the same opportunities
as large entities to manage their risks
through the use of crop insurance. A
Regulatory Flexibility Analysis has not
been prepared since this regulation does
not have a significant impact on a
substantial number of small entities,
and, therefore, this regulation is exempt
from the provisions of the Regulatory
Flexibility Act (5 U.S.C. 605).
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Federal Assistance Program
This program is listed in the Catalog
of Federal Domestic Assistance under
No. 10.450.
Executive Order 12372
This program is not subject to the
provisions of Executive Order 12372,
which requires intergovernmental
consultation with State and local
officials. See 2 CFR part 415, subpart C.
Executive Order 12988
This rule has been reviewed in
accordance with Executive Order 12988
on civil justice reform. The provisions
of this rule will not have a retroactive
effect. The provisions of this rule will
preempt State and local laws to the
extent such State and local laws are
inconsistent herewith. With respect to
any direct action taken by FCIC or
action by FCIC directing the insurance
provider to take specific action under
the terms of the crop insurance policy,
the administrative appeal provisions
published at 7 CFR part 11 must be
exhausted before any action against
FCIC for judicial review may be brought.
Environmental Evaluation
This action is not expected to have a
significant economic impact on the
quality of the human environment,
health, or safety. Therefore, neither an
Environmental Assessment nor an
Environmental Impact Statement is
needed.
List of Subjects in 7 CFR Part 457
Crop insurance, Sugar Beet, Reporting
and recordkeeping requirements.
Final Rule
Accordingly, as set forth in the
preamble, FCIC amends 7 CFR part 457
effective for the 2019 and succeeding
crop years in states with a November 30
contract change date and for the 2020
and succeeding crop years in all other
states as follows:
PART 457—COMMON CROP
INSURANCE REGULATIONS
1. The authority citation for part 457
continues to read as follows:
■
Authority: 7 U.S.C. 1506(l), 1506(o).
2. Amend § 457.109 as follows:
a. In the introductory text remove the
phrase ‘‘for the 2017 and succeeding
crop years in counties with a contract
change date of November 30, and for the
2018 and succeeding crop years in
counties with a contract change date of
April 30’’ and add the phrase ‘‘for
effective for the 2019 and succeeding
crop years in states with a November 30
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■
■
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contract change date and for the 2020
and succeeding crop years in all other
states.’’ in its place;
■ b. Remove the undesignated
paragraph immediately following the
heading ‘‘Sugar Beet Crop Provisions’’;
■ c. In section 1:
■ i. Revise the definition of ‘‘crop year’’;
■ ii. Remove the definition of ‘‘local
market price’’;
■ iii. Revise definition of ‘‘practical to
replant’’;
■ iv. Add a definition of ‘‘processor
contract’’ in alphabetical order; and
■ v. Remove the definitions of
‘‘production guarantee (per acre)’’,
‘‘standardized ton’’, ‘‘sugar beet
processor contract’’, ‘‘thinning’’, and
‘‘ton’’;
■ d. In section 2 remove the term ‘‘sugar
beet’’ in all three instances;
■ e. Revise sections 3 through 5:
■ f. Remove and reserve section 6;
■ g. In section 7:
■ i. In paragraph (a) introductory text,
remove the parenthetical ‘‘(Insured
Crop)’’; and
■ ii. Revise paragraphs (a)(3) and (b)(2);
■ h. In section 8:
■ i. In the introductory text, remove the
parenthetical ‘‘(Insurable Acreage)’’; and
■ ii. In paragraph (b) remove the
parenthetical ‘‘(or within 30 days of
initial planting for those counties
without a final planting date)’’;
■ i. Revise section 9;
■ j. In section 10 introductory text,
remove the parenthetical ‘‘(Causes of
Loss)’’;
■ k. In section 11:
■ i. In paragraph (a), remove the
parenthetical ‘‘(Replanting Payment)’’
and the term ‘‘final stage’’; and
■ ii. Revise paragraph (b);
■ l. In section 12:
■ i. In the introductory text, remove
parenthetical ‘‘(Duties in the Event of
Damage or Loss)’’; and
■ ii. Revise paragraph (b);
■ m. In section 13:
■ i. In paragraph (c) introductory text,
remove the parenthetical ‘‘(in
standardized tons)’’;
■ ii. In paragraph (c)(1)(iii), remove the
parenthetical ‘‘(unharvested production
that is appraised prior to the earliest
delivery date that the processor accepts
harvested production will not be
eligible for a conversion to standardized
tons in accordance with section 13 (d)
and (e))’’;
■ iii. Remove paragraph (c)(1)(iv);
■ iv. Redesignate paragraph (c)(1)(v) as
(c)(1)(iv);
■ v. Revise paragraphs (d) and (e); and
■ vi. Add paragraph (f);
■ n. Remove and reserve section 14; and
■ o. Revise section 15.
The revisions and additions read as
follows:
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§ 457.109 Sugar Beet Crop Insurance
Provisions.
*
*
*
*
*
1. Definitions
Crop year. The period within which
the sugar beets are normally grown,
which is designated by the calendar
year in which the sugar beets are
normally harvested.
*
*
*
*
*
Practical to replant. In addition to the
definition in section 1 of the Basic
Provisions, it will not be considered
practical to replant if production from
the replanted acreage cannot be
delivered under the terms of the
processor contract, or 30 days after the
initial planting date for all counties
where a late planting period is not
applicable, unless replanting is
generally occurring in the area.
*
*
*
*
*
Processor contract. A written
agreement between you and the
processor, executed on or before the
acreage reporting date, which is in effect
for the crop year, containing at a
minimum:
(1) Your commitment to plant, grow,
and deliver the sugar beet production to
the processor;
(2) The processor’s commitment to
purchase the production stated in the
contract; and
(3) A price or formula for a price
based on third party data that will be
paid to you for the production stated in
the contract.
*
*
*
*
*
3. Insurance Guarantees, Coverage
Levels, and Prices for Determining
Indemnities.
(a) In addition to the requirements of
section 3 of the Basic Provisions, you
may select only one price election for all
the sugar beets in the county insured
under this policy.
(b) The production guarantee will be
expressed in pounds of raw sugar.
4. Contract Changes
In accordance with the provisions of
section 4 of the Basic Provisions, the
contract change date is April 30
preceding the cancellation date for
California and November 30 preceding
the cancellation date for all other states.
5. Cancellation and Termination Dates
In accordance with section 2 of the
Basic Provisions, the cancellation and
termination dates are August 31 for
California and March 15 for all other
states.
*
*
*
*
*
7. Insured Crop
*
*
*
*
*
(a) * * *
(3) That are grown under a contract
and are not excluded from the processor
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contract at any time during the crop
year; and
*
*
*
*
*
(b) * * *
(2) The Board of Directors or officers
of the processor must have adopted and
executed a corporate resolution that
contains essentially the same terms as a
processor contract. Such corporate
resolution will be considered a
processor contract under the terms of
the sugar beet crop insurance policy;
*
*
*
*
*
9. Insurance Period
In accordance with section 11 of the
Basic Provisions, the dates for the end
of insurance period are contained in the
actuarial documents.
*
*
*
*
*
11. Replanting Payments
*
*
*
*
*
(b) The dollar amount of the replant
payment is specified in the Special
Provisions.
*
*
*
*
*
12. Duties in the Event of Damage or
Loss
*
*
*
*
*
(b) You must provide a copy of your
processor contract, or corporate
resolution if you are the processor.
13. Settlement of Claim
*
*
*
*
*
(d) Harvested production or
unharvested production that is
appraised after the earliest delivery date
that the processor accepts harvested
production and that meets the minimum
acceptable standards contained in the
processor contract or corporate
resolution will be converted to pounds
of raw sugar by multiplying the tons of
such production by 2,000 and by the
average percentage of raw sugar to
determine the production to count. The
average percentage of raw sugar will be
determined from tests performed by the
processor at the time of delivery.
(1) If individual tests of raw sugar
content are not made at the time of
delivery, the average percent of raw
sugar may be based on the results of
previous tests performed by the
processor during the crop year if it is
determined that such results are
representative of the total production.
(2) If not representative, the average
percent of raw sugar will equal the raw
sugar content percent shown in the
Special Provisions.
(e) Harvested production or
unharvested production that is
appraised after the earliest delivery date
that the processor accepts harvested
production and that does not meet the
minimum acceptable standards
contained in the processor contract or
VerDate Sep<11>2014
16:01 Sep 07, 2018
Jkt 244001
corporate resolution due to an insured
peril will be converted to pounds of raw
sugar by multiplying the tons of such
damaged production by 2,000 and by
the average percent of raw sugar
contained in such production.
(1) If individual tests of raw sugar
content are not made at the time of
delivery, the average percent of raw
sugar may be based on the results of
previous tests performed by the
processor during the crop year if it is
determined that such results are
representative of the total production.
(2) If not representative, the average
percent of raw sugar will equal the raw
sugar content percent shown in the
Special Provisions.
(f) Production lost due to harvest prior
to full maturity. If the percentage of
insured acreage in the unit harvested
prior to full maturity exceeds the
threshold specified in the actuarial
documents, production to count from
such acreage will be determined by
increasing the amount of harvested
production by 1 percent per day for
each day the sugar beets were harvested
prior to the date the sugar beets would
have reached full maturity.
(1) The date the sugar beets would
have reached full maturity will be
considered to be 45 days prior to the
calendar date for the end of the
insurance period, unless otherwise
specified in the Special Provisions.
(2) This adjustment will not be made
if the sugar beets are damaged by an
insurable cause of loss and leaving the
crop in the field would reduce
production.
(3) The adjustment cannot result in
production to count in excess of the
insured’s actual production history;
*
*
*
*
*
15. Prevented Planting
Your prevented planting coverage will
be a percentage specified in the
actuarial documents of your production
guarantee for timely planted acreage. If
you have additional levels of coverage
and pay an additional premium, you
may increase your prevented planting
coverage if such additional coverage is
specified in the actuarial documents.
Martin R. Barbre,
Manager, Federal Crop Insurance
Corporation.
[FR Doc. 2018–19152 Filed 9–7–18; 8:45 am]
BILLING CODE 3410–08–P
PO 00000
Frm 00005
Fmt 4700
Sfmt 4700
45539
DEPARTMENT OF TRANSPORTATION
Federal Aviation Administration
14 CFR Part 39
[Docket No. FAA–2018–0454; Product
Identifier 2017–NM–056–AD; Amendment
39–19387; AD 2018–18–08]
RIN 2120–AA64
Airworthiness Directives; Airbus SAS
Airplanes
Federal Aviation
Administration (FAA), Department of
Transportation (DOT).
ACTION: Final rule.
AGENCY:
We are adopting a new
airworthiness directive (AD) for all
Airbus SAS Model A330–200 Freighter
series airplanes, Model A330–200 and
–300 series airplanes, and Model A340–
200 and –300 series airplanes. This AD
was prompted by reports of cracked slat
tracks at the location of the front stop
attachment to the track. This AD
requires a detailed inspection, repetitive
special detailed inspections, and
corrective actions if necessary. We are
issuing this AD to address the unsafe
condition on these products.
DATES: This AD is effective October 15,
2018.
The Director of the Federal Register
approved the incorporation by reference
of certain publications listed in this AD
as of October 15, 2018.
ADDRESSES: For service information
identified in this final rule, contact
Airbus SAS, Airworthiness Office—
EAL, Rond-Point Emile Dewoitine No:
2, 31700 Blagnac Cedex, France; phone:
+33 5 61 93 36 96; fax: +33 5 61 93 45
80; email: airworthiness.A330-A340@
airbus.com; internet: https://
www.airbus.com. You may view this
service information at the FAA,
Transport Standards Branch, 2200
South 216th St., Des Moines, WA. For
information on the availability of this
material at the FAA, call 206–231–3195.
It is also available on the internet at
https://www.regulations.gov by searching
for and locating Docket No. FAA–2018–
0454.
SUMMARY:
Examining the AD Docket
You may examine the AD docket on
the internet at https://
www.regulations.gov by searching for
and locating Docket No. FAA–2018–
0454; or in person at Docket Operations
between 9 a.m. and 5 p.m., Monday
through Friday, except Federal holidays.
The AD docket contains this final rule,
the regulatory evaluation, any
comments received, and other
E:\FR\FM\10SER1.SGM
10SER1
Agencies
[Federal Register Volume 83, Number 175 (Monday, September 10, 2018)]
[Rules and Regulations]
[Pages 45535-45539]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2018-19152]
========================================================================
Rules and Regulations
Federal Register
________________________________________________________________________
This section of the FEDERAL REGISTER contains regulatory documents
having general applicability and legal effect, most of which are keyed
to and codified in the Code of Federal Regulations, which is published
under 50 titles pursuant to 44 U.S.C. 1510.
The Code of Federal Regulations is sold by the Superintendent of Documents.
========================================================================
Federal Register / Vol. 83, No. 175 / Monday, September 10, 2018 /
Rules and Regulations
[[Page 45535]]
DEPARTMENT OF AGRICULTURE
Federal Crop Insurance Corporation
7 CFR part 457
[Docket No. FCIC-18-0001]
RIN 0563-AC55
Common Crop Insurance Regulations; Sugar Beet Crop Insurance
Provisions
AGENCY: Federal Crop Insurance Corporation, USDA.
ACTION: Final rule with request for comments.
-----------------------------------------------------------------------
SUMMARY: The Federal Crop Insurance Corporation (FCIC) amends the
Common Crop Insurance Regulations, Sugar Beet Crop Insurance Provisions
(Crop Provisions). The intended effect of this action is to update
existing policy provisions and definitions to better reflect current
agricultural practices. The changes will be effective for the 2019 and
succeeding crop years in states with a November 30 contract change date
and for the 2020 and succeeding crop years in all other states.
DATES: This final rule is effective November 30, 2018. However, FCIC
will accept written comments on this final rule until close of business
October 10, 2018. FCIC will consider these comments and make changes to
the rule if warranted.
ADDRESSES: FCIC prefers that interested persons submit comments
electronically through the Federal eRulemaking Portal. Interested
persons may submit comments, identified by Docket ID No. FCIC-18-0001,
by any of the following methods:
Federal eRulemaking Portal: https://www.regulations.gov.
Follow the instructions for submitting comments.
Mail: Director, Product Administration and Standards
Division, Risk Management Agency, United States Department of
Agriculture, P.O. Box 419205, Kansas City, MO 64133-6205.
All comments received, including those received by mail, will be posted
without change to https://www.regulations.gov, including any personal
information provided. Once these comments are posted to this website,
the public can access all comments at its convenience from this
website. All comments must include the agency name and docket number or
Regulatory Information Number (RIN) for this rule. For detailed
instructions on submitting comments and additional information, see
https://www.regulations.gov. If interested persons are submitting
comments electronically through the Federal eRulemaking Portal and want
to attach a document, FCIC requests use of a text-based format. If
interested persons wish to attach a document that is a scanned Adobe
PDF file, it must be scanned as text and not as an image, thus allowing
FCIC to search and copy certain portions of the submissions. For
questions regarding attaching a document that is a scanned Adobe PDF
file, please contact the Risk Management Agency (RMA) Web Content Team
at (816) 823-4694 or by email at [email protected].
Privacy Act: Anyone is able to search the electronic form of all
comments received for any dockets by the name of the person submitting
the comment (or signing the comment, if submitted on behalf of an
association, business, labor union, etc.). Interested persons may
review the complete User Notice and Privacy Notice for Regulations.gov
at https://www.regulations.gov/#!privacyNotice.
FOR FURTHER INFORMATION CONTACT: Chandra Mason, Chief, Policy
Administration Branch, Product Administration and Standards Division,
Risk Management Agency, United States Department of Agriculture, Beacon
Facility, Stop 0812, Room 421, P.O. Box 419205, Kansas City, MO 64141-
6205, telephone (816) 926-7730.
SUPPLEMENTARY INFORMATION:
Background
FCIC amends the Common Crop Insurance Regulations (7 CFR part 457)
by revising 7 CFR 457.109 Sugar Beet Crop Insurance Provisions (Crop
Provisions), to be effective for the 2019 and succeeding crop years in
states with a November 30 contract change date and for the 2020 and
succeeding crop years in all other states. The intended effect of this
action is to update existing policy provisions and definitions to
better reflect current agricultural practices.
The changes are as follows:
1. FCIC is removing the paragraph immediately preceding section 1,
which refers to the order of priority if a conflict exists among the
policy provisions. This same provision is contained in the Basic
Provisions. Therefore, the appearance here is duplicative and should be
removed from the Crop Provisions.
2. FCIC is removing parentheticals identifying the titles of
sections of the Basic Provisions throughout the Crop Provisions as the
parenthetical section name is unnecessary and removing these titles
will prevent FCIC from having to revise the Crop Provisions should
these section titles change in the Basic Provisions.
3. Section 1--FCIC is revising the definition of ``Crop Year.'' The
previous definition required a reference to specific counties, as the
crop year was defined differently for several California counties. In
2013, the actuarial information that made insurance available was
removed from all California counties except Imperial County, which has
the same definition of ``crop year'' as used in all remaining insurable
states and counties. Consequently, the revised definition removes
references to specific counties such that all insurable counties have
the same definition of ``crop year.''
FCIC is removing the definition of ``Local Market Price'' as this
term is no longer used in the Crop Provisions.
FCIC is revising the definition of ``Practical to Replant.'' FCIC
is removing those provisions that are duplicative of the definition in
the Basic Provisions and leaves the requirement that it is practical to
replant if the terms of the processor contract can be met.
FCIC is adding a definition of ``Processor Contract'' and removing
the definition of ``Sugar Beet Processor Contract.'' FCIC has
identified several different Crop Provisions contain a variation of a
definition for a ``processor contract,'' which has created ambiguity
across Crop Provisions, and poses challenges for insurance providers to
administer the program consistently across different crops. The
definition of ``processor contract'' matches the definition found in
other Crop Provisions, in order to improve
[[Page 45536]]
standardization of language regarding use of contracts across crop
insurance programs. References throughout the Crop Provisions will be
revised accordingly. The new definition also requires that contracts be
executed by the acreage reporting date, which is consistent with all
other crop insurance policies that insure contract crops. Contracts
must be executed by the acreage reporting date so that liabilities and
prices can be established for the purpose of determining guarantees and
premium.
FCIC is removing the definition of ``Production Guarantee (per
acre).'' The definition is contained in the Basic Provisions. This
definition was previously necessary due to inclusion of stage
guarantees, which, as stated below, have been removed from the policy.
Further, as stated below, section 3 specifies that the production
guarantee is expressed in pounds of raw sugar.
FCIC is removing the definitions of ``Standardized Ton'' and
``Ton.'' The definitions are no longer necessary, since, as stated
below, FCIC is changing the basis of insurance from ``tons'' to
``pounds of raw sugar'' in section 3(c).
FCIC is removing the definition of ``Thinning'' as this term is no
longer used in the Crop Provisions.
4. Section 3--FCIC is revising the basis of insurance from
``standardized tons'' to ``pounds of raw sugar.'' This change is made
to align the policy with the current sugar beet industry standard for
payment. All references to the basis of insurance throughout the Crop
Provisions will consequently be revised.
FCIC is removing stage guarantees from the policy. FCIC had
previously offered an option to obtain coverage without the stage
guarantees for an additional premium. FCIC has observed an increasing
number of sugar beet producers electing the stage removal option, such
that very few producers have coverage with stage guarantees. Removal of
stage guarantees from the policy will better reflect the risk
management needs of producers and simplify their existing coverage
options. Premiums will be revised to reflect the removal of the stage
guarantees from the policy.
5. Section 4--FCIC is removing references to a July 15 contract
change date because, since 2013, this date was removed from the
actuarial information for all counties. Additionally, FCIC proposes to
edit the remaining date references to apply to states instead of
counties. The edit does not change any county dates, merely provides
consistency in reference to states or counties within the Crop
Provisions and actuarial documents.
6. Section 5--FCIC is removing the table of county-specific
cancellation and termination dates since many of the counties with
differing cancellation and termination dates no longer have insurance
for sugar beets. With the removal of insurance from these counties,
there are only two remaining cancellation and termination dates, so the
provisions have been revised to only refer to these dates. The revision
will not result in any changed dates for counties where insurance for
sugar beets is currently available.
7. Section 6--FCIC is removing and reserving this section. With the
removal of stage guarantees, this section is no longer necessary. The
premium computation method appears in the Basic Provisions and will
reflect this removal.
8. Section 7--In section 7(b)(2), FCIC is replacing ``duly
promulgated'' with ``executed and adopted'' and ``sets forth'' with
``contains.'' FCIC is also adding the modifier ``corporate'' to
``resolution.'' This revised terminology uses more common language,
makes clear the connection to later uses of the term ``corporate
resolution,'' and provides consistency with other Crop Provisions.
9. Section 8--FCIC is removing the parenthetical in 8(b) referring
to counties without a final planting date because all insurable
counties now have a specified final planting date.
10. Section 9--FCIC is removing the list of end of insurance dates
by geographic region and instead referring to the calendar date shown
in the actuarial documents for the end of the insurance period. This
change will simplify the provision and allow FCIC to timely provide
area-specific dates, allow for future program expansion, and provide
greater flexibility to adjust end of insurance period dates to new or
evolving regional conditions as needed in the future.
11. Section 11--In section 11(b), FCIC is removing the formula for
calculating a replanting payment and replacing it with the phrase
``dollar amount of the replant payment is specified in the Special
Provisions'' because the costs for replanting the crop may vary by
county or region and this change gives FCIC the flexibility to ensure
that the costs of replanting are reflected in the actuarial documents
and adjusted as needed.
12. Section 12--FCIC is decapitalizing the words ``in the'' in the
section heading for consistency throughout these Crop Provisions. In
section 12(b), FCIC is adding a comma after ``processor contract'' to
separate the two requirements. This change provides clarity on the
issue of provision of contracts or corporate resolutions for specific
entity types: For non-processors, a processor contract is required. For
insureds who are also processors, a corporate resolution is required.
13. Section 13--In section 13(c)(1)(iii) FCIC is removing the
parenthetical following the term ``unharvested production,'' which is
no longer necessary due to the use of pounds of raw sugar as the basis
of insurance, removal of stage guarantees, and the inclusion of an
early harvest factor.
FCIC is removing section 13(c)(1)(iv), which is unnecessary due to
the removal of stage guarantees. This also results in the redesignation
of section 13(c)(1)(v) as section 13(c)(1)(iv).
In section 13(d) and (e), FCIC is revising the language to clarify
the determination of production to count by referring to pounds of raw
sugar and including the use of the raw sugar percentage specified in
the Special Provisions only if a sugar test is not performed or is not
deemed acceptable.
FCIC is adding a new subsection (f) to allow for an ``early harvest
factor.'' The addition of this factor comes in response to a lack of
clarity in the event of the periodic decisions by sugar beet processors
to request a portion of their contracted acres be harvested early. In
these events, the actual harvested beets are often lower in weight and
sugar content, resulting in what could appear to be a production loss.
This provision provides more clear guidance for insurance providers in
the event of early harvested acres and eliminates the unnecessary
reduction in grower APH. The adjustment for early harvest will not be
made if the sugar beets are damaged by an insurable cause of loss and
leaving the crop in the field would reduce production, and cannot
result in a production to count in excess of the insured's actual
production history. Further, the adjustment will only be made in the
event that the portion of a unit harvested early exceeds a percentage
of acreage threshold specified in the actuarial documents.
14. Section 14--FCIC is removing and reserving this section. This
section was necessary because of the distinction between certain
counties in California. Now that insurance is no longer available in
those counties, the provision is no longer necessary and the late
planting provisions in the Basic Provisions will apply.
15. Section 15--FCIC is removing section 15(a), because insurance
is no longer available for those counties that
[[Page 45537]]
previously had a July 15 contract change date.
Effective Date
The FCIC is issuing this final rule without opportunity for prior
notice and comment. The Administrative Procedure Act (APA) exempts
rules ``relating to agency management or personnel or to public
property, loans, grants, benefits, or contracts'' from the statutory
requirement for prior notice and opportunity for public comment (5
U.S.C. 553(a)(2)). A Federal crop insurance policy is a contract and is
thus exempt from APA notice-and-comment procedures. Previously, changes
made to the Federal crop insurance policies codified in the Code of
Federal Regulations were required to be implemented through the notice-
and-comment rulemaking process. Such action was not required by the
APA, which exempts contracts. Rather, the requirement originated with a
notice USDA published in the Federal Register on July 24, 1971 (36 FR
13804), stating that the Department of Agriculture would, to the
maximum extent practicable, use the notice-and-comment rulemaking
process when making program changes, including those involving
contracts. FCIC complied with this notice over the subsequent years. On
October 28, 2013, USDA published a notice in the Federal Register (78
FR 64194) rescinding the prior notice, thereby making contracts again
exempt from the notice-and-comment rulemaking process. This exemption
applies to the 30-day notice prior to implementation of a rule.
Therefore, the policy changes made by this final rule are effective
upon publication in the Federal Register.
However, FCIC is providing a 30-day comment period and invites
interested persons to participate in this rulemaking by submitting
written comments. FCIC will consider the comments received and may
conduct additional rulemaking based on the comments.
The changes will be effective for the 2019 and succeeding crop
years in states with a November 30 contract change date and for the
2020 and succeeding crop years in all other states.
Executive Orders 12866, 13563, 13771 and 13777
Executive Order 12866, ``Regulatory Planning and Review,'' and
Executive Order 13563, ``Improving Regulation and Regulatory Review,''
direct agencies to assess all costs and benefits of available
regulatory alternatives and, if regulation is necessary, to select
regulatory approaches that maximize net benefits (including potential
economic, environmental, public health and safety effects, distributive
impacts, and equity). Executive Order 13563 emphasized the importance
of quantifying both costs and benefits, of reducing costs, of
harmonizing rules, and of promoting flexibility. Executive Order 13777,
``Enforcing the Regulatory Reform Agenda,'' established a federal
policy to alleviate unnecessary regulatory burdens on the American
people. The Office of Management and Budget (OMB) designated this rule
as not significant under Executive Order 12866, ``Regulatory Planning
and Review,'' and, therefore, OMB has not reviewed this rule. The rule
is not subject to Executive Order 13771, ``Reducing Regulation and
Controlling Regulatory Costs.''
Paperwork Reduction Act of 1995
Pursuant to the provisions of the Paperwork Reduction Act of 1995
(44 U.S.C. chapter 35, subchapter I), the collections of information in
this rule have been approved by OMB under control number 0563-0053.
E-Government Act Compliance
FCIC is committed to complying with the E-Government Act of 2002,
to promote the use of the internet and other information technologies
to provide increased opportunities for citizen access to Government
information and services, and for other purposes.
Unfunded Mandates Reform Act of 1995
Title II of the Unfunded Mandates Reform Act of 1995 (UMRA),
establishes requirements for Federal agencies to assess the effects of
their regulatory actions on State, local, and tribal governments and
the private sector. This rule contains no Federal mandates (under the
regulatory provisions of title II of the UMRA) for State, local, and
tribal governments or the private sector. Therefore, this rule is not
subject to the requirements of sections 202 and 205 of UMRA.
Executive Order 13132
It has been determined under section 1(a) of Executive Order 13132,
Federalism, that this rule does not have sufficient implications to
warrant consultation with the States. The provisions contained in this
rule will not have a substantial direct effect on States, or on the
relationship between the national government and the States, or on the
distribution of power and responsibilities among the various levels of
government.
Executive Order 13175
This rule has been reviewed in accordance with the requirements of
Executive Order 13175, ``Consultation and Coordination with Indian
Tribal Governments.'' Executive Order 13175 requires Federal agencies
to consult and coordinate with tribes on a government-to-government
basis on policies that have tribal implications, including regulations,
legislative comments or proposed legislation, and other policy
statements or actions that have substantial direct effects on one or
more Indian tribes, on the relationship between the Federal Government
and Indian tribes or on the distribution of power and responsibilities
between the Federal Government and Indian tribes. FCIC has assessed the
impact of this rule on Indian tribes and determined that this rule does
not, to our knowledge, have tribal implications that require tribal
consultation under E.O. 13175. If a Tribe requests consultation, FCIC
will work with the Office of Tribal Relations to ensure meaningful
consultation is provided where changes, additions and modifications
identified herein are not expressly mandated by Congress.
Regulatory Flexibility Act
FCIC certifies that this regulation will not have a significant
economic impact on a substantial number of small entities. Program
requirements for the Federal crop insurance program are the same for
all producers regardless of the size of their farming operation. For
instance, all producers are required to submit an application and
acreage report to establish their insurance guarantees and compute
premium amounts, and all producers are required to submit a notice of
loss and production information to determine the indemnity amount for
an insured cause of crop loss. Whether a producer has 10 acres or 1000
acres, there is no difference in the kind of information collected. To
ensure crop insurance is available to small entities, the Federal Crop
Insurance Act (FCIA) authorizes FCIC to waive collection of
administrative fees from limited resource farmers. FCIC believes this
waiver helps to ensure that small entities are given the same
opportunities as large entities to manage their risks through the use
of crop insurance. A Regulatory Flexibility Analysis has not been
prepared since this regulation does not have a significant impact on a
substantial number of small entities, and, therefore, this regulation
is exempt from the provisions of the Regulatory Flexibility Act (5
U.S.C. 605).
[[Page 45538]]
Federal Assistance Program
This program is listed in the Catalog of Federal Domestic
Assistance under No. 10.450.
Executive Order 12372
This program is not subject to the provisions of Executive Order
12372, which requires intergovernmental consultation with State and
local officials. See 2 CFR part 415, subpart C.
Executive Order 12988
This rule has been reviewed in accordance with Executive Order
12988 on civil justice reform. The provisions of this rule will not
have a retroactive effect. The provisions of this rule will preempt
State and local laws to the extent such State and local laws are
inconsistent herewith. With respect to any direct action taken by FCIC
or action by FCIC directing the insurance provider to take specific
action under the terms of the crop insurance policy, the administrative
appeal provisions published at 7 CFR part 11 must be exhausted before
any action against FCIC for judicial review may be brought.
Environmental Evaluation
This action is not expected to have a significant economic impact
on the quality of the human environment, health, or safety. Therefore,
neither an Environmental Assessment nor an Environmental Impact
Statement is needed.
List of Subjects in 7 CFR Part 457
Crop insurance, Sugar Beet, Reporting and recordkeeping
requirements.
Final Rule
Accordingly, as set forth in the preamble, FCIC amends 7 CFR part
457 effective for the 2019 and succeeding crop years in states with a
November 30 contract change date and for the 2020 and succeeding crop
years in all other states as follows:
PART 457--COMMON CROP INSURANCE REGULATIONS
0
1. The authority citation for part 457 continues to read as follows:
Authority: 7 U.S.C. 1506(l), 1506(o).
0
2. Amend Sec. 457.109 as follows:
0
a. In the introductory text remove the phrase ``for the 2017 and
succeeding crop years in counties with a contract change date of
November 30, and for the 2018 and succeeding crop years in counties
with a contract change date of April 30'' and add the phrase ``for
effective for the 2019 and succeeding crop years in states with a
November 30 contract change date and for the 2020 and succeeding crop
years in all other states.'' in its place;
0
b. Remove the undesignated paragraph immediately following the heading
``Sugar Beet Crop Provisions'';
0
c. In section 1:
0
i. Revise the definition of ``crop year'';
0
ii. Remove the definition of ``local market price'';
0
iii. Revise definition of ``practical to replant'';
0
iv. Add a definition of ``processor contract'' in alphabetical order;
and
0
v. Remove the definitions of ``production guarantee (per acre)'',
``standardized ton'', ``sugar beet processor contract'', ``thinning'',
and ``ton'';
0
d. In section 2 remove the term ``sugar beet'' in all three instances;
0
e. Revise sections 3 through 5:
0
f. Remove and reserve section 6;
0
g. In section 7:
0
i. In paragraph (a) introductory text, remove the parenthetical
``(Insured Crop)''; and
0
ii. Revise paragraphs (a)(3) and (b)(2);
0
h. In section 8:
0
i. In the introductory text, remove the parenthetical ``(Insurable
Acreage)''; and
0
ii. In paragraph (b) remove the parenthetical ``(or within 30 days of
initial planting for those counties without a final planting date)'';
0
i. Revise section 9;
0
j. In section 10 introductory text, remove the parenthetical ``(Causes
of Loss)'';
0
k. In section 11:
0
i. In paragraph (a), remove the parenthetical ``(Replanting Payment)''
and the term ``final stage''; and
0
ii. Revise paragraph (b);
0
l. In section 12:
0
i. In the introductory text, remove parenthetical ``(Duties in the
Event of Damage or Loss)''; and
0
ii. Revise paragraph (b);
0
m. In section 13:
0
i. In paragraph (c) introductory text, remove the parenthetical ``(in
standardized tons)'';
0
ii. In paragraph (c)(1)(iii), remove the parenthetical ``(unharvested
production that is appraised prior to the earliest delivery date that
the processor accepts harvested production will not be eligible for a
conversion to standardized tons in accordance with section 13 (d) and
(e))'';
0
iii. Remove paragraph (c)(1)(iv);
0
iv. Redesignate paragraph (c)(1)(v) as (c)(1)(iv);
0
v. Revise paragraphs (d) and (e); and
0
vi. Add paragraph (f);
0
n. Remove and reserve section 14; and
0
o. Revise section 15.
The revisions and additions read as follows:
Sec. 457.109 Sugar Beet Crop Insurance Provisions.
* * * * *
1. Definitions
Crop year. The period within which the sugar beets are normally
grown, which is designated by the calendar year in which the sugar
beets are normally harvested.
* * * * *
Practical to replant. In addition to the definition in section 1 of
the Basic Provisions, it will not be considered practical to replant if
production from the replanted acreage cannot be delivered under the
terms of the processor contract, or 30 days after the initial planting
date for all counties where a late planting period is not applicable,
unless replanting is generally occurring in the area.
* * * * *
Processor contract. A written agreement between you and the
processor, executed on or before the acreage reporting date, which is
in effect for the crop year, containing at a minimum:
(1) Your commitment to plant, grow, and deliver the sugar beet
production to the processor;
(2) The processor's commitment to purchase the production stated in
the contract; and
(3) A price or formula for a price based on third party data that
will be paid to you for the production stated in the contract.
* * * * *
3. Insurance Guarantees, Coverage Levels, and Prices for
Determining Indemnities.
(a) In addition to the requirements of section 3 of the Basic
Provisions, you may select only one price election for all the sugar
beets in the county insured under this policy.
(b) The production guarantee will be expressed in pounds of raw
sugar.
4. Contract Changes
In accordance with the provisions of section 4 of the Basic
Provisions, the contract change date is April 30 preceding the
cancellation date for California and November 30 preceding the
cancellation date for all other states.
5. Cancellation and Termination Dates
In accordance with section 2 of the Basic Provisions, the
cancellation and termination dates are August 31 for California and
March 15 for all other states.
* * * * *
7. Insured Crop
* * * * *
(a) * * *
(3) That are grown under a contract and are not excluded from the
processor
[[Page 45539]]
contract at any time during the crop year; and
* * * * *
(b) * * *
(2) The Board of Directors or officers of the processor must have
adopted and executed a corporate resolution that contains essentially
the same terms as a processor contract. Such corporate resolution will
be considered a processor contract under the terms of the sugar beet
crop insurance policy;
* * * * *
9. Insurance Period
In accordance with section 11 of the Basic Provisions, the dates
for the end of insurance period are contained in the actuarial
documents.
* * * * *
11. Replanting Payments
* * * * *
(b) The dollar amount of the replant payment is specified in the
Special Provisions.
* * * * *
12. Duties in the Event of Damage or Loss
* * * * *
(b) You must provide a copy of your processor contract, or
corporate resolution if you are the processor.
13. Settlement of Claim
* * * * *
(d) Harvested production or unharvested production that is
appraised after the earliest delivery date that the processor accepts
harvested production and that meets the minimum acceptable standards
contained in the processor contract or corporate resolution will be
converted to pounds of raw sugar by multiplying the tons of such
production by 2,000 and by the average percentage of raw sugar to
determine the production to count. The average percentage of raw sugar
will be determined from tests performed by the processor at the time of
delivery.
(1) If individual tests of raw sugar content are not made at the
time of delivery, the average percent of raw sugar may be based on the
results of previous tests performed by the processor during the crop
year if it is determined that such results are representative of the
total production.
(2) If not representative, the average percent of raw sugar will
equal the raw sugar content percent shown in the Special Provisions.
(e) Harvested production or unharvested production that is
appraised after the earliest delivery date that the processor accepts
harvested production and that does not meet the minimum acceptable
standards contained in the processor contract or corporate resolution
due to an insured peril will be converted to pounds of raw sugar by
multiplying the tons of such damaged production by 2,000 and by the
average percent of raw sugar contained in such production.
(1) If individual tests of raw sugar content are not made at the
time of delivery, the average percent of raw sugar may be based on the
results of previous tests performed by the processor during the crop
year if it is determined that such results are representative of the
total production.
(2) If not representative, the average percent of raw sugar will
equal the raw sugar content percent shown in the Special Provisions.
(f) Production lost due to harvest prior to full maturity. If the
percentage of insured acreage in the unit harvested prior to full
maturity exceeds the threshold specified in the actuarial documents,
production to count from such acreage will be determined by increasing
the amount of harvested production by 1 percent per day for each day
the sugar beets were harvested prior to the date the sugar beets would
have reached full maturity.
(1) The date the sugar beets would have reached full maturity will
be considered to be 45 days prior to the calendar date for the end of
the insurance period, unless otherwise specified in the Special
Provisions.
(2) This adjustment will not be made if the sugar beets are damaged
by an insurable cause of loss and leaving the crop in the field would
reduce production.
(3) The adjustment cannot result in production to count in excess
of the insured's actual production history;
* * * * *
15. Prevented Planting
Your prevented planting coverage will be a percentage specified in
the actuarial documents of your production guarantee for timely planted
acreage. If you have additional levels of coverage and pay an
additional premium, you may increase your prevented planting coverage
if such additional coverage is specified in the actuarial documents.
Martin R. Barbre,
Manager, Federal Crop Insurance Corporation.
[FR Doc. 2018-19152 Filed 9-7-18; 8:45 am]
BILLING CODE 3410-08-P