Expanding Options for Specialty and Organic Growers (EOSOG), 53822-53847 [2024-13198]

Download as PDF 53822 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations 3875; or email chandra.place@usda.gov. Individuals who require alternative means for communication should contact the USDA Target Center at (202) 720–2600 (voice) or (844) 433–2774 (toll-free nationwide). SUPPLEMENTARY INFORMATION: DEPARTMENT OF AGRICULTURE Federal Crop Insurance Corporation 7 CFR Parts 400, 407, and 457 [Docket ID FCIC–24–0003] RIN 0563–AC85 Expanding Options for Specialty and Organic Growers (EOSOG) Federal Crop Insurance Corporation, U.S. Department of Agriculture (USDA). ACTION: Final rule with request for comments. AGENCY: The Federal Crop Insurance Corporation (FCIC) is amending its regulations to expand the availability of enterprise and optional units. FCIC is also clarifying double cropping requirements when another plan of insurance does not require records of acreage and production. FCIC is removing burdensome written agreement requirements and setting new yield guarantee limits for new breaking acreage. In this rule, FCIC is providing flexibility and clarifying rules regarding assignment of indemnity and streamlining and shortening good farming practice determinations. FCIC is also clarifying the timing and method of yield reductions for several perennial crops, and allowing sunburn damaged walnuts to be eligible for indemnity payments through quality adjustment. The changes to the crop insurance policies resulting from the amendments in this rule are applicable for the 2025 and succeeding crop years for crops with a contract change date on or after June 30, 2024. For all other crops, the changes to the policies made in this rule are applicable for the 2026 and succeeding crop years. DATES: Effective date: This final rule is effective June 30, 2024. Comment date: We will consider comments that we receive by the close of business August 26, 2024. FCIC may consider the comments received and may conduct additional rulemaking based on the comments. ADDRESSES: We invite you to submit comments on this rule. You may submit comments by going through the Federal eRulemaking Portal as follows: • Federal eRulemaking Portal: Go to https://www.regulations.gov and search for Docket ID FCIC–24–0003. Follow the instructions for submitting comments. All comments will be posted without change and will be publicly available on www.regulations.gov. FOR FURTHER INFORMATION CONTACT: Chandra Place; telephone (816) 926– lotter on DSK11XQN23PROD with RULES2 SUMMARY: VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 Background FCIC serves America’s agricultural producers through effective, marketbased risk management tools to strengthen the economic stability of agricultural producers and rural communities. FCIC is committed to increasing the availability and effectiveness of Federal crop insurance as a risk management tool. Approved Insurance Providers (AIPs) sell and service Federal crop insurance policies in every state through a public-private partnership. FCIC reinsures the AIPs who share the risks associated with catastrophic losses due to major weather events. FCIC’s vision is to secure the future of agriculture by providing world class risk management tools to rural America. Federal crop insurance policies typically consist of the Basic Provisions, the Crop Provisions, the Special Provisions, the Commodity Exchange Price Provisions, if applicable, other applicable endorsements or options, the actuarial documents for the insured agricultural commodity, the Catastrophic Risk Protection Endorsement, if applicable, and the applicable regulations published in 7 CFR chapter IV. Throughout this rule, the terms ‘‘Crop Provisions,’’ ‘‘Special Provisions,’’ and ‘‘policy’’ are used as defined in the Common Crop Insurance Policy (CCIP), Basic Provisions in 7 CFR 457.8. Additional information and definitions related to Federal crop insurance policies are in 7 CFR 457.8. FCIC is amending the following regulations: • Subpart J (7 CFR 400.98); • Area Risk Protection Insurance Basic Provisions (7 CFR 407.9); • Common Crop Insurance Policy Basic Provisions (7 CFR 457.8); • Small grains crop insurance provisions (7 CFR 457.101); • Sunflower seed crop insurance provisions (7 CFR 457.108); • Fig crop insurance provisions (7 CFR 457.110); • Coarse grains crop insurance provisions (7 CFR 457.113); • Arizona-California citrus crop insurance provisions (7 CFR 457.121); • Walnut crop insurance provisions (7 CFR 457.122); • Almond crop insurance provisions (7 CFR 457.123); PO 00000 Frm 00002 Fmt 4701 Sfmt 4700 • Macadamia nut crop insurance provisions (7 CFR 457.131); • Prune crop insurance provisions (7 CFR 457.133); • Dry pea crop insurance provisions (7 CFR 457.140); • Northern potato crop insurance provisions (7 CFR 457.142); • Central and Southern potato crop insurance provisions (7 CFR 457.147); • Dry bean crop insurance provisions (7 CFR 457.150); • Processing bean crop insurance provisions (7 CFR 457.155); • Canola and rapeseed crop insurance provisions (7 CFR 457.161); • Blueberry crop insurance provisions (7 CFR 457.166); • Pecan revenue crop insurance provisions (7 CFR 457.167); and • California avocado crop insurance provisions (7 CFR 457.175). The changes to the crop insurance policies resulting from the amendments in this rule are applicable for the 2025 and succeeding crop years for crops with a contract change date on or after June 30, 2024. For all other crops, the changes to the crop insurance policies resulting from the amendments in this rule are applicable for the 2026 and succeeding crop years. Enterprise and Optional Units FCIC is improving crop insurance for specialty crop producers by removing barriers to the adoption of enterprise units (EUs) and organic producers by removing existing restrictions on optional units (OU) availability while also authorizing EUs for organic farming practices in section 34(a) through (c) of the CCIP Basic Provisions. An EU allows a producer to insure all acres of the insured crop in the county together, as opposed to other unit structures that separate the acreage for insurance. EUs are attractive to producers due to lower premium rates offered to recognize the lower risk associated with the geographic diversification. In general, the larger the EU, the lesser the risk, and the greater the EU discount. Prior to this rule, to qualify for an EU, there must be acreage in two or more sections, section equivalents, or Farm Service Agency Farm Numbers (with some exceptions in limited circumstances) which generally follows the primary basis of OUs for the majority of crops. Prior to this rule, many specialty and perennial crop policies established OUs by non-contiguous parcels of land which do not qualify to be aggregated into an EU. This limits the effectiveness of EUs for these policies and creates an additional administrative burden by not following the established OU definition E:\FR\FM\27JNR2.SGM 27JNR2 lotter on DSK11XQN23PROD with RULES2 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations for these crops. FCIC will allow crops that authorize OUs by non-contiguous parcels of land to also qualify for EUs, in section 34(a)(2)(i)(G) of the CCIP Basic Provisions. This will ensure equity in crop insurance availability for all producers because specialty and perennial crop producers will now have access to EUs consistent with row crop producers. Prior to this rule, unlike major row crops, OUs by organic farming practice were not available for most specialty and perennial crops due to language in the Crop Provisions (CP) that superseded the standard OU definition in the CCIP Basic Provisions. FCIC is removing existing OUs by organic limitations from the applicable Crop Provisions while also authorizing EUs by organic farming practice for all crops insured under section 34(a)(2)(i)(G)(vi) of the CCIP Basic Provisions where EUs are available, and the organic farming practice is insurable. These changes are responsive to organic growers and the Climate Smart Initiative. FCIC is also revising section 1 of the CCIP Basic Provisions in the definition of ‘‘enterprise unit’’ to authorize EU for acreage grown under an organic farming practice. In addition to the CCIP Basic Provisions described above, FCIC is making clarifications and edits for consistency with the new EU and OU choices in the following Crop Provisions: • Small grains crop insurance provisions (7 CFR 457.101); • Sunflower seed crop insurance provisions (7 CFR 457.108); • Fig crop insurance provisions (7 CFR 457.110); • Coarse grains crop insurance provisions (7 CFR 457.113); • Arizona-California citrus crop insurance provisions (7 CFR 457.121); • Walnut crop insurance provisions (7 CFR 457.122); • Almond crop insurance provisions (7 CFR 457.123); • Macadamia nut crop insurance provisions (7 CFR 457.131); • Prune crop insurance provisions (7 CFR 457.133); • Dry pea crop insurance provisions (7 CFR 457.140); • Dry bean crop insurance provisions (7 CFR 457.150); • Processing bean crop insurance provisions (7 CFR 457.155); • Canola and rapeseed crop insurance provisions (7 CFR 457.161); and • California avocado crop insurance provisions (7 CFR 457.175). Double Cropping and Annual Forage Double cropping is a farming practice for producing two or more crops for VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 harvest on the same acreage in the same crop year. In order for a producer to receive two full indemnity payments or prevented planting payments, several double cropping requirements must be met. The CCIP Basic Provisions and the Annual Forage Crop Provisions (under the Rainfall Index Plan Common Policy, Basic Provisions) have some differences in their double cropping requirements, which has led to questions on which requirements must be met if the producer is double cropping two crops insured with these different double cropping requirements. FCIC is clarifying section 15(h) of the CCIP Basic Provisions, with a new paragraph (7) to clearly state what double cropping requirements apply for a producer to receive a full indemnity for the crop insured under the CCIP Basic Provisions when the producer is double cropping a crop insured under the CCIP Basic Provisions and another crop insured under another policy authorized under the Federal Crop Insurance Act (for example, the Annual Forage Crop Provisions). Specifically, the producer must meet existing requirements in sections 15(h)(1) through (3) of the CCIP Basic Provisions, but the double cropping history requirements contained in sections 15(h)(5) and (6) of the Basic Provisions do not apply. A producer is unlikely to have production history for the crop that is foraged or grazed under the Annual Forage Crop Provisions, so those requirements do not apply. The revisions reinforce the existing indemnity reductions that will apply if the producer does not meet the double cropping requirements. FCIC is adding a new requirement in section 15(h)(7) of the CCIP Basic Provisions for a producer to receive a full prevented planting payment for a crop insured under the CCIP Basic Provisions when the producer is double cropping and the other crop is insured under another policy authorized under the Federal Crop Insurance Act (for example, the Annual Forage Crop Provisions). To meet the new requirement for a full prevented planting payment, the producer must prove insurance history for the annual forage crop. In addition, FCIC is reinforcing the existing rules that the crop insured under the CCIP Basic Provisions must meet the double cropping requirements in sections 15(h)(1) through (4) and 17(f)(4)(ii) and (iii) of the CCIP Basic Provisions. Adding this new program requirement will ensure that full prevented planting payments are only made to producers with a history of double cropping in their farming operation, without PO 00000 Frm 00003 Fmt 4701 Sfmt 4700 53823 requiring production records to support the annual forage history. FCIC is clarifying double cropping requirements when a single crop is insured for dual use under both the CCIP Basic Provisions and another policy authorized under the Federal Crop Insurance Act (for example, the Annual Forage Crop Provisions) for different end uses, in a new paragraph 15(h)(8) of the CCIP Basic Provisions. The existing policy allows the same wheat crop to be insured for grain under the CCIP Basic Provisions, Small Grains Crop Provisions in addition to being insured as annual forage under the Annual Forage Crop Provisions. Producers and AIPs have questioned which policy’s double cropping requirements must be followed if a subsequent crop is planted following the dual use wheat. Following the dual use insurance of the wheat crop, if a subsequent crop is insured under the CCIP Basic Provisions, all double cropping history requirements under the CCIP Basic Provisions apply for both crops insured under the CCIP Basic Provisions. This clarification is now explicit in the new paragraph 15(h)(8). FCIC is adding similar changes to section 13(c)(6) of the ARPI Basic Provisions, where applicable. The ARPI Basic Provisions do not have prevented planting coverage or a Special Provisions statement that allows for dual use, so those changes are not included in this rule. New Breaking and Native Sod The Risk Management Agency (RMA) reviewed new breaking acreage insurance experience to determine the suitability of existing approved yield limitations. RMA compared historical yields for new breaking acreage, such as acreage emerging from native sod and acreage emerging from USDA programs (such as the Conservation Reserve Program (CRP)), to county transitional yields (T-Yields). RMA found that the approved yield limits of 65 or 80 percent of the county T-Yield result in under-insurance for different types of new breaking acreage. FCIC is revising section 9 of the CCIP Basic Provisions by setting a new approved yield limit for new breaking acreage at 85 percent of the applicable T-Yield, with 2 exceptions: (1) acreage emerging from native sod will remain at 65 percent, as legislated; and (2) acreage emerging from USDA programs (such as CRP) will remain at 100 percent. Prior to this rule, the approved yield limit was in FCIC approved procedure and in the Special Provisions. FCIC is E:\FR\FM\27JNR2.SGM 27JNR2 53824 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations lotter on DSK11XQN23PROD with RULES2 moving the yield limit to section 9 of the CCIP Basic Provisions for clarity. As a result, FCIC expects approved yields that are more in line with how yields have historically performed. FCIC plans to review new breaking yield data every 5 years or at such time that there is meaningful data to analyze. FCIC is removing written agreement (WA) requirements for new breaking and native sod acres which is expected to reduce the number of WAs by 200 annually. FCIC is modifying the new breaking insurability requirement from planted and harvested (or insured) in ‘‘one of the three’’ previous crop years to ‘‘one of the four’’ previous crop years to provide consistency between new breaking and prevented planting acreage. Allowing an extra year before the idle acreage is considered new breaking benefits producers who rotate with idle ground as it reduces soil exposure to wind and water, decreases total soil loss, and allows more acreage to qualify for insurance without incurring a yield reduction. Providing consistency between acreage not planted for rotation purposes and acreage prevented from being planted will streamline the requirements for land returning to production and be easier for producers to understand. Prior to this rule, some perennial and specialty crops did not fit within the definition of new breaking acreage ‘‘planted and harvested (or insured) in one of the three previous crop years’’ due to a longer crop cycle. FCIC is allowing intensively managed perennial crops (for example, forage, tree, vine, bush, or mint) to move to row crop production and be eligible for insurance with a full guarantee. FCIC is also revising section 1 of the CCIP Basic Provisions adding a new definition of ‘‘New breaking acreage’’ to define acreage which has not been planted and harvested, or insured within the 4 previous crop years, in accordance with section 9(a). FCIC is revising sections 1 and 5 of the ARPI Basic Provisions to add similar changes, where applicable. Assignment of Indemnity Section 29(d) of the CCIP Basic Provisions allow a producer to assign their right to an indemnity for the crop year to creditors or other persons to whom they have a financial debt or other pecuniary obligation. Prior to this rule, only one payment could be issued jointly in the names of all assignees and the producer. This has created problems when the parties request payment through an automated clearing house (ACH) to a single account when an VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 assignment of indemnity is in place because this method does not allow for multiple payees. In this rule, FCIC allows for an indemnity to be issued to a single party if all assignees and the producer agree in writing. This addition provides flexibility for the producer, assignees, and the AIP when it is preferable for a payment to be issued by ACH or other electronic means when these methods do not allow for multiple payees. FCIC is incorporating two Final Agency Determinations (FADs) related to assignment of indemnity into section 29(d)(2) of the CCIP Basic Provisions. Prior to this rule, an assignee was allowed to submit all loss notices and forms and submit the claim for indemnity not later than 30 days after the period for filing a claim has expired when the producer failed to take such action and the indemnity was assigned. In a situation where the assignee submits the forms and claims for indemnity because the producer has failed to do so, FAD–243 and FAD–252 clarified, and the FCIC addition explains the assignee steps into the shoes of the producer and assumes the rights and obligations of the producer. Those rights include initiating arbitration as provided by the policy should a dispute or disagreement ensue over the handling or determination of the claim. Since FADs are already legally binding and generally applicable to all program participants, incorporating the FADs is a nonsubstantive change. FCIC is adding similar changes to section 16(d) of the ARPI Basic Provisions to allow for an indemnity to be issued to a single payee if all assignees and the producer agree in writing. Unlike the CCIP Basic Provisions, there are no loss notices under the ARPI Basic Provisions, so the assignee does not assume any additional rights or responsibilities with an assignment of indemnity. Good Farming Practices The Federal Crop Insurance Act, as amended (7 U.S.C. 1508(a)(3)(A)(iii) and (B)) authorizes FCIC to offer crop insurance but also excludes coverage for losses due to ‘‘the failure of the producer to follow good farming practices, including scientifically sound sustainable and organic farming practices.’’ The Federal Crop Insurance Act also provides a producer the right to review a good farming practice (GFP) determination by an ‘‘Informal administrative process to be established by FCIC.’’ The CCIP Basic Provisions provide that AIPs make the initial decision on PO 00000 Frm 00004 Fmt 4701 Sfmt 4700 whether a producer followed a GFP. If the producer disagrees with the AIP’s GFP decision, they can request that FCIC make the GFP determination. If the producer disagrees with the FCIC determination, the producer can request FCIC’s reconsideration in accordance with 7 CFR part 400, subpart J, or file suit against FCIC in district court. If the producer choses FCIC’s reconsideration process and disagrees with FCIC’s reconsideration decision, the producer can then file suit in district court. Prior to this rule, the materials FCIC would review in its reconsideration were vague, which resulted in a more burdensome and overly lengthy reconsideration process than intended. If a producer chose both an FCIC determination and FCIC reconsideration, the process could take 2 years, whereas if the producer chose to file in district court after reconsideration, the process could last about 3 years. The longer reconsideration process was costly to both the producer and FCIC. FCIC is clarifying in subpart J that the GFP reconsideration process is now limited to review of the administrative record compiled during the initial FCIC determination. The administrative record contains all the documents FCIC relied upon to make the GFP determination. Producers are required under section 21 of the CCIP Basic Provisions to retain and provide all records related to the insured crop upon request of the AIP and FCIC. Therefore, all the producer’s pertinent information should have been included during the previous GFP decisions, first by the AIP and then by FCIC. This change will improve equity, efficiency, and effectiveness for producers, while also ensuring program integrity. Streamlining the reconsideration processes will reduce costs for producers who retain legal counsel, especially those who exercise all their appeal rights under the process. In cases where the producer prevails, shortening the process also reduces FCIC costs related to indemnities due with interest. In this rule, FCIC is also updated the mailing address contained in 7 CFR part 400, subpart J, for requesting reconsideration. Timing and Method of Reduction to Insured Acreage, Amount of Insurance, or Yields FCIC is clarifying the timing and method of reductions to insured acreage, amount of insurance, or yields for several perennial crops, if circumstances occur that may reduce gross sales or yield potential, based on E:\FR\FM\27JNR2.SGM 27JNR2 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations lotter on DSK11XQN23PROD with RULES2 when the circumstance occurred. Prior to this rule, provisions stated that the AIP will reduce the insured acreage, amount of insurance, or yield used to establish the production guarantee, but did not state when or how the reductions would apply. FCIC is providing three scenarios that contain specific instructions for reductions based on the timing of when the circumstance occurred that may reduce gross sales or yield potential and whether the producer notified the AIP by the production reporting date. This is necessary for consistency with other perennial crop policies, including revisions to language that removes potential ambiguity regarding the consequences when circumstances occur that will reduce gross sales or yield potential. The applicable changes occur in the following Crop Provisions: • Fig crop insurance provisions (7 CFR 457.110); • Arizona-California citrus crop insurance provisions (7 CFR 457.121); • Walnut crop insurance provisions (7 CFR 457.122); • Almond crop insurance provisions (7 CFR 457.123); • Macadamia nut crop insurance provisions (7 CFR 457.131); • Prune crop insurance provisions (7 CFR 457.133); • Blueberry crop insurance provisions (7 CFR 457.166); • Pecan revenue crop insurance provisions (7 CFR 457.167); and • California avocado crop insurance provisions (7 CFR 457.175). Minimum Acreage, Stand, or Production Requirement for Figs FCIC is clarifying section 7(f)(l) of the Fig crop insurance provisions (7 CFR 457.110) that the minimum acreage, stand, or production requirement is not waived by a written agreement or any other agreement in writing, but rather, if ‘‘otherwise allowed by the Special Provisions.’’ This change will clarify the producer’s requirement and provide consistency in identifying the location of the requirements within their policy. FCIC is also making the following changes in the Fig crop insurance provisions (7 CFR 457.110): • Clarifying the definition for ‘‘manufacturing grade production’’ by specifically referencing the United States Standards for Grades of Dried Figs, Grade B; and • Correcting the paragraph reference from ‘‘paragraph (a)(1) of this section’’ to ‘‘section 9(a)(1)’’ in section 9(b) and making plain language clarifications in sections 4 and 10. For example, replacing ‘‘see the provisions under section 4 (Contract Changes) of the Basic VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 Provisions’’ with ‘‘in accordance with section 4 of the Basic Provisions’’ and replacing the phrase ‘‘not insured against’’ with ‘‘excluded.’’ Walnut Quality Adjustment FCIC is allowing sunburn damaged walnuts to be eligible for indemnity payments through quality adjustment in section 11(d) of the Walnut crop insurance provisions (7 CFR 457.122). Quality adjustment provides an indemnity payment when there is a reduction in the quality of a crop due to an insured cause of loss, but all or a portion of the crop could still be sold. In recent years, California walnut growers have experienced a reduction in the quality of the nuts due to sunburn. Sunburn reduces the quality of the nuts, but they still have use and may be sold at a reduced value. Prior to this rule, Walnut Crop Provisions limited the application of quality adjustment to mold. In this rule, FCIC is moving the quality adjustment factors to the Special Provisions for both mold and sunburn damage. FCIC is also making the following changes in the Walnut crop insurance provisions (7 CFR 457.122): • Correcting the paragraph reference from ‘‘paragraph (a)(1) of this section’’ to ‘‘section 8(a)(1)’’ in section 8(a); and • Making plain language clarifications in section 6. Almond Leaf Year FCIC is clarifying the insurable age requirement for almond trees is the 5th leaf year after being set out in section 6(e) of the Almond crop insurance provisions (7 CFR 457.123). Prior to this rule, the Crop Provisions specified that acreage that had reached at least the 6th growing season after being set out was insurable, but the Special Provisions allowed acreage that had reached the 5th growing season after being set out to be insurable. The intended effect of this action is to incorporate the existing Special Provisions statement allowing the 5th leaf year to be insurable into the policy to improve clarity and transparency for the producer. In addition, FCIC is correcting the phrase ‘‘growing season’’ by replacing it with ‘‘leaf year’’ to match how the information is displayed in the actuarial documents. This change will provide the producer with a phrase that is consistent in both the Crop Provisions and the actuarial documents. Canola and Rapeseed Cancellation and Termination Dates FCIC is revising section 5 of the Canola and rapeseed crop insurance provisions (7 CFR 457.161) by adding a PO 00000 Frm 00005 Fmt 4701 Sfmt 4700 53825 cancellation and termination date of March 15 for South Dakota and August 31 to Michigan. This change is being made to allow expansion of canola into these states where there is actuarially sufficient data to establish premium rates. Clarifications and Corrections FCIC is clarifying the definitions of Production reporting date and Variable T-Yield in section 1 of the CCIP Basic Provisions. FCIC is clarifying that cover crops reported to another USDA agency are not insurable in section 8(b)(7) of the CCIP Basic Provisions and section 4(b)(8) of the ARPI Basic Provisions. If a cover crop is insured, no indemnity will be paid for such acreage, but the producer will still be liable for 60 percent of the premium they would otherwise be required to pay on those acres. FCIC is clarifying in section 22(a) of the CCIP Basic Provisions and section 18(b) of the ARPI Basic Provisions that if duplicate policies are found and one is an additional coverage policy and the other is a Catastrophic Risk Protection policy, whichever policy is kept in force the other policy will be void. FCIC is capitalizing all words, except ‘‘and,’’ in the table heading for cancellation and termination dates. This change will be made in the following Crop Provisions: • Small grains crop insurance provisions (7 CFR 457.101); • Sunflower seed crop insurance provisions (7 CFR 457.108); • Coarse grains crop insurance provisions (7 CFR 457.113); • Dry pea crop insurance provisions (7 CFR 457.140); • Central and Southern potato crop insurance provisions (7 CFR 457.147); • Dry bean crop insurance provisions (7 CFR 457.150); and • Canola and rapeseed crop insurance provisions (7 CFR 457.161). FCIC is correcting the paragraph reference from ‘‘paragraph (d) of this section’’ to ‘‘section 11(d)’’ in section 11(c)(1)(iii) in the Small grains crop insurance provisions (7 CFR 457.101). FCIC is correcting the states and counties associated with the contract change dates, the cancellation and termination dates, and end of insurance period dates to match current coverage areas and dates in the actuarial documents. This change will be made in the following Crop Provisions: • Coarse grains crop insurance provisions (7 CFR 457.113); • Walnut crop insurance provisions (7 CFR 457.122); and • Prune crop insurance provisions (7 CFR 457.133). E:\FR\FM\27JNR2.SGM 27JNR2 lotter on DSK11XQN23PROD with RULES2 53826 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations FCIC is removing the definition of ‘‘crop year’’ that duplicates the same definition in the Basic Provisions and updating years used in examples in the Macadamia nut crop insurance provisions (7 CFR 457.131) to be current. FCIC is correcting the type references in the Prune crop insurance provisions (7 CFR 457.133), in the settlement of claim examples in section 11 to match the way types are displayed in the actuarial documents. This change will provide the producer with type references that are consistent in both the Crop Provisions and the actuarial documents. FCIC is clarifying the definitions for ‘‘Prunes’’ and ‘‘Standard prunes’’ in the Prune crop insurance provisions (7 CFR 457.133) to reference the transferring management of the Marketing Order from Agricultural Marketing Service to the Prune Administrative Committee (89 FR 13587). FCIC is clarifying insurable acreage by adding the phrase ‘‘fall-planted’’ in the Dry pea crop insurance provisions (7 CFR 457.140) to avoid any potential confusion with spring-planted acreage. FCIC is clarifying which Basic Provisions apply by adding an introductory sentence preceding the Crop Provisions and updating the effective year within the introductory sentence to show the year that the changes in the Crop Provision will apply. This change will be made in the following Crop Provisions: • Small grains crop insurance provisions (7 CFR 457.101); • Sunflower seed crop insurance provisions (7 CFR 457.108); • Fig crop insurance provisions (7 CFR 457.110); • Coarse grains crop insurance provisions (7 CFR 457.113); • Arizona-California citrus crop insurance provisions (7 CFR 457.121); • Walnut Crop Insurance Provisions (7 CFR 457.122); • Almond Crop Insurance Provisions (7 CFR 457.123); • Macadamia Nut Crop Insurance Provisions (7 CFR 457.131); • Prune Crop Insurance Provisions (7 CFR 457.133); • Dry pea crop insurance provisions (7 CFR 457.140); • Northern potato crop insurance provisions (7 CFR 457.142); • Central and Southern potato crop insurance provisions (7 CFR 457.147); • Dry bean crop insurance provisions (7 CFR 457.150); • Processing bean crop insurance provisions (7 CFR 457.155); • Canola and rapeseed crop insurance provisions (7 CFR 457.161); VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 • Blueberry crop insurance provisions (7 CFR 457.166); • Pecan revenue crop insurance provisions (7 CFR 457.167); and • California avocado crop insurance provisions (7 CFR 457.175). FCIC is removing the introductory sentence explaining the order of priority in individual Crop Provisions because it is duplicative of the CCIP Basic Provisions which already includes the priority order of policy provisions. This change will be made in the following Crop Provisions: • Fig crop insurance provisions (7 CFR 457.110); • Almond crop insurance provisions (7 CFR 457.123); • Dry bean crop insurance provisions (7 CFR 457.150); and • Processing bean crop insurance provisions (7 CFR 457.155). FCIC is reducing redundancy, eliminating potential conflicts, and clarifying definitions that appear in both the Basic Provisions and individual Crop Provisions. FCIC is adding the phrases ‘‘in addition to’’ or ‘‘in lieu of’’ where applicable. This change is being made in the following Crop Provisions: • Fig crop insurance provisions (7 CFR 457.110); • Arizona-California citrus crop insurance provisions (7 CFR 457.121); • Almond crop insurance provisions (7 CFR 457.123); • Macadamia nut crop insurance provisions (7 CFR 457.131); • Processing bean crop insurance provisions (7 CFR 457.155); • Blueberry crop insurance provisions (7 CFR 457.166); • Pecan revenue crop insurance provisions (7 CFR 457.167); and • California avocado crop insurance provisions (7 CFR 457.175). FCIC is allowing the Special Provisions to change the end of the insurance period because there have been occasions when the end of the insurance period stated in the Crop Provisions may no longer be reflective of the period of risk due to changing technologies, etc. This change is being made in the following Crop Provisions: • Sunflower seed crop insurance provisions (7 CFR 457.108); • Processing bean crop insurance provisions (7 CFR 457.155); and • Canola and rapeseed crop insurance provisions (7 CFR 457.161). FCIC is replacing the phrase ‘‘Special Provisions’’ with ‘‘actuarial documents,’’ and ‘‘actuarial documents’’ with ‘‘Special Provisions’’ to correct the location of certain information (such as harvest costs, price elections, Fresh Fruit Factors). This change is being made in the following Crop Provisions: PO 00000 Frm 00006 Fmt 4701 Sfmt 4700 • Coarse grains crop insurance provisions (7 CFR 457.113); • Almond crop insurance provisions (7 CFR 457.123); • Northern potato crop insurance provisions (7 CFR 457.142); • Central and Southern potato crop insurance provisions (7 CFR 457.147); • Dry bean crop insurance provisions (7 CFR 457.150); and • Blueberry crop insurance provisions (7 CFR 457.166). FCIC is updating prices and yields in the settlement of claim examples to be more reflective of current crop prices and potential indemnities. This change is being made in the following Crop Provisions: • Coarse grains crop insurance provisions (7 CFR 457.113); • Sunflower seed crop insurance provisions (7 CFR 457.108); • Almond crop insurance provisions (7 CFR 457.123); • Blueberry crop insurance provisions (7 CFR 457.166); • Macadamia nut crop insurance provisions (7 CFR 457.131); • Walnut crop insurance provisions (7 CFR 457.122); • Dry pea crop insurance provisions (7 CFR 457.140); • Processing bean crop insurance provisions (7 CFR 457.155); and • Canola and rapeseed crop insurance provisions (7 CFR 457.161). FCIC is replacing the phrase ‘‘growing season’’ with ‘‘leaf year’’ to match the phrase where the information is displayed in the actuarial documents. This change will provide the producer with a phrase that is consistent in both the Crop Provisions and the actuarial documents. This change is being made in the following Crop Provisions: • Almond crop insurance provisions (7 CFR 457.123); and • Fig crop insurance provisions (7 CFR 457.110). FCIC is revising the sub-heading for section 3 to ‘‘Insurance Guarantees, Coverage Levels, and Prices’’ by removing the phrase ‘‘for Determining Indemnities’’ at the end. Removing this phrase will align the sub-heading to match the corresponding section in the CCIP Basic Provisions. It also helps clarify that price is not exclusively used to determine indemnities; price is also used to establish the guarantee and determine the premium due for the producer. This change will be made in the following Crop Provisions: • Sunflower seed crop insurance provisions (7 CFR 457.108); • Fig crop insurance provisions (7 CFR 457.110); • Coarse grains crop insurance provisions (7 CFR 457.113); E:\FR\FM\27JNR2.SGM 27JNR2 lotter on DSK11XQN23PROD with RULES2 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations • Almond crop insurance provisions (7 CFR 457.123); • Dry pea crop insurance provisions (7 CFR 457.140); • Northern potato crop insurance provisions (7 CFR 457.142); • Central and Southern potato crop insurance provisions (7 CFR 457.147); • Dry bean crop insurance provisions (7 CFR 457.150); • Processing bean crop insurance provisions (7 CFR 457.155); and • Canola and rapeseed crop insurance provisions (7 CFR 457.161). FCIC is removing references to ‘‘FCIC,’’ ‘‘reinsured policies,’’ and other redundant or unnecessary language in title headings and correcting any variations of the ‘‘Department of Agriculture’’ to the ‘‘United States Department of Agriculture.’’ These changes will make Crop Provisions more consistent. These changes will be made in the following Crop Provisions: • Sunflower seed crop insurance provisions (7 CFR 457.108); • Walnut crop insurance provisions (7 CFR 457.122); • Almond crop insurance provisions (7 CFR 457.123); • Prune crop insurance provisions (7 CFR 457.133); • Dry pea crop insurance provisions (7 CFR 457.140); • Northern potato crop insurance provisions (7 CFR 457.142); • Central and Southern potato crop insurance provisions (7 CFR 457.147); • Dry bean crop insurance provisions (7 CFR 457.150); • Processing bean crop insurance provisions (7 CFR 457.155); • Canola and rapeseed crop insurance provisions (7 CFR 457.161); • Blueberry crop insurance provisions (7 CFR 457.166); and • Pecan revenue crop insurance provisions (7 CFR 457.167). FCIC is removing repetitive parenthetical titles that reference the CCIP Basic Provisions for consistency. For example, this change deletes the parenthetical title (Insurance Guarantees, Coverage Levels, and Prices for Determining Indemnities) in the sentence ‘‘In addition to the requirements of section 3 (Insurance Guarantees, Coverage Levels, and Prices for Determining Indemnities) of the Basic Provisions.’’ In other Crop Provisions, the parenthetical title does not appear. This change will make Crop Provisions more consistent. This change will be made in the following Crop Provisions: • Fig crop insurance provisions (7 CFR 457.110); and • Almond crop insurance provisions (7 CFR 457.123). VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 FCIC is incorporating grammatical and editorial changes throughout the applicable Crop Provisions. For example, removing all instances of the phrase ‘‘the provisions of’’ where a policy reference follows and removing ending punctuation from section headings. Effective Date, Notice and Comment, and Exemptions The Administrative Procedure Act (APA, 5 U.S.C. 553) provides that the notice and comment and 30-day delay in the effective date provisions do not apply when the rule involves specified actions, including matters relating to contracts. This rule governs contracts for crop insurance policies and therefore falls within that exemption. This rule is exempt from the regulatory analysis requirements of the Regulatory Flexibility Act (5 U.S.C. 601–612), as amended by the Small Business Regulatory Enforcement Fairness Act of 1996. Subtitle E of the Small Business Regulatory Enforcement Fairness Act of 1996, (also known as the Congressional Review Act) requires a delay of the effective date of 60 days after publication to allow for Congressional review. The Office of Information and Regulatory Affairs has determined that this rule does not meet the criteria in 5. U.S.C. 804(2). Therefore, this final rule is effective on June 30, 2024. Although not required by APA or any other law, FCIC has chosen to request comments on this rule. Executive Orders 12866, 13563 and 14094 Executive Order 12866, ‘‘Regulatory Planning and Review,’’ was amended by and Executive Order 13563, ‘‘Improving Regulation and Regulatory Review,’’ and Executive Order 14094, ‘‘Modernizing Regulatory Review.’’ Executive Orders 12866 and 13563 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. The requirements in Executive Orders 12866 and 13563 for the analysis of costs and benefits apply to rules that are determined to be significant. The Office of Management and Budget (OMB) has designated this rule as not significant under Executive Order PO 00000 Frm 00007 Fmt 4701 Sfmt 4700 53827 12866, ‘‘Regulatory Planning and Review,’’ and therefore, OMB has not reviewed this rule and analysis of the costs and benefits is not required under either Executive Order 12866 or 13563. Clarity of the Regulation Executive Order 12866, as supplemented by Executive Order 13563, requires each agency to write all rules in plain language. Executive Order 14094 requires Federal agencies to increase and improve public participation in the regulatory process. The Executive order’s objective is to improve public trust in the regulatory process by reducing the risk or appearance of unequal or unfair influence in regulatory development. Under Executive Order 14904, agencies must, to the extent they can under law, seek out, assist with, and include your input in the regulatory process. We welcome comments from public (State, local, Tribal, and territorial) and private sector regulated entities; members of underserved communities; consumers; workers and labor organizations; businesses; and program beneficiaries, among others. In addition to your substantive comments on this rule, we invite your comments on how to make the rule easier to understand. For example: • Are the requirements in the rule clearly stated? Are the scope and intent of the rule clear? • Does the rule contain technical language or jargon that is not clear? • Is the material logically organized? • Would changing the grouping or order of sections or adding headings make the rule easier to understand? • Could we improve clarity by adding tables, lists, or diagrams? • Would more, but shorter, sections be better? Are there specific sections that are too long or confusing? • What else could we do to make the rule easier to understand? Environmental Review The environmental impacts of this final 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 because USDA will be making the payments to producers, the USDA regulation for compliance with NEPA (7 CFR part 1b). As specified in 7 CFR 1b.4(b)(4), FCIC is categorically excluded from the preparation of an Environmental Analysis or Environmental Impact Statement unless the FCIC Manager (agency head) determines that an action may have a E:\FR\FM\27JNR2.SGM 27JNR2 53828 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations significant environmental effect. The FCIC Manager has determined this rule will not have a significant environmental effect. Therefore, FCIC will not prepare an environmental assessment or environmental impact statement for this action and this rule serves as documentation of the programmatic environmental compliance decision. Executive Order 12988 This rule has been reviewed under Executive Order 12988, ‘‘Civil Justice Reform.’’ This rule will not preempt State or local laws, regulations, or policies unless they represent an irreconcilable conflict with this rule. Before any judicial actions may be brought regarding the provisions of this rule, the administrative appeal provisions of 7 CFR part 11 are to be exhausted. For good farming practice determinations, the administrative appeal provisions under 7 CFR part 11 do not apply. lotter on DSK11XQN23PROD with RULES2 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. RMA 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. The regulation changes do not have Tribal implications that preempt Tribal law and are not expected have a substantial direct effect on one or more Indian Tribes. If a Tribe requests consultation, RMA will work with the USDA Office of Tribal Relations to ensure meaningful consultation is provided where changes, additions and modifications identified in this rule are not expressly mandated by Congress. The Unfunded Mandates Reform Act of 1995 Title II of the Unfunded Mandates Reform Act of 1995 (UMRA, Pub. L. 104–4) requires Federal agencies to assess the effects of their regulatory VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 actions of State, local, and Tribal governments, or the private sector. Agencies generally must prepare a written statement, including cost benefits analysis, for proposed and final rules with Federal mandates that may result in expenditures of $100 million or more in any 1 year for State, local or Tribal governments, in the aggregate, or to the private sector. UMRA generally requires agencies to consider alternatives and adopt the more cost effective or least burdensome alternative that achieves the objectives of the rule. This rule contains no Federal mandates, as defined in Title II of UMRA, for State, local, and Tribal governments, or the private sector. Therefore, this rule is not subject to the requirements of sections 202 and 205 of UMRA. Federal Assistance Program The title and number of the Assistance Listing,1 to which this rule applies is No. 10.450—Crop Insurance. Paperwork Reduction Act of 1995 In accordance with the provisions of the Paperwork Reduction Act of 1995 (44 U.S.C. chapter 35, subchapter I), the rule does not change the information collection approved by OMB under control numbers: 0563–0053 and 0563– 0083. USDA Non-Discrimination Policy In accordance with Federal civil rights law and USDA civil rights regulations and policies, USDA, its Agencies, offices, and employees, and institutions participating in or administering USDA programs are prohibited from discriminating based on race, color, national origin, religion, sex, gender identity (including gender expression), sexual orientation, disability, age, marital status, family or parental status, income derived from a public assistance program, political beliefs, or reprisal or retaliation for prior civil rights activity, in any program or activity conducted or funded by USDA (not all bases apply to all programs). Remedies and complaint filing deadlines vary by program or incident. Individuals who require alternative means of communication for program information (for example, braille, large print, audiotape, American Sign Language, etc.) should contact the responsible Agency or USDA TARGET Center at (202) 720–2600 (voice and text telephone (TTY)) or dial 711 for Telecommunications Relay Service (both voice and text telephone users can initiate this call from any telephone). Additionally, program information may 1 See PO 00000 https://sam.gov/content/assistance-listings. Frm 00008 Fmt 4701 Sfmt 4700 be made available in languages other than English. To file a program discrimination complaint, complete the USDA Program Discrimination Complaint Form, AD–3027, found online at https://www.usda.gov/oascr/ how-to-file-a-program-discriminationcomplaint and at any USDA office or write a letter addressed to USDA and provide in the letter all the information requested in the form. To request a copy of the complaint form, call (866) 632– 9992. Submit your completed form or letter to USDA by: (1) mail to: U.S. Department of Agriculture, Office of the Assistant Secretary for Civil Rights, 1400 Independence Avenue SW, Washington, DC 20250–9410; (2) fax: (202) 690–7442; or (3) email: program.intake@usda.gov. USDA is an equal opportunity provider, employer, and lender. List of Subjects 7 CFR Part 400 Acreage allotments, Administrative practice and procedure, Claims, Crop insurance, Drug traffic control, Fraud, Government employees, Income taxes, Intergovernmental relations, Penalties, Reporting and recordkeeping requirements, Wages. 7 CFR Part 407 Acreage allotments, Administrative practice and procedure, Barley, Corn, Cotton, Crop insurance, Peanuts, Reporting and recordkeeping requirements, Sorghum, Soybeans, Wheat. 7 CFR Part 457 Acreage allotments, Crop insurance, Reporting and recordkeeping requirements. Final Rule For the reasons discussed above, FCIC amends 7 CFR parts 400, 407, and 457, effective for the 2025 and succeeding crop years for crops with a contract change date on or after June 30, 2024, and for the 2026 and succeeding crop years for all other crops, as follows: PART 400—GENERAL ADMINISTRATIVE REGULATIONS Subpart J—Appeal Procedure 1. Revise the authority citation for part 400, subpart J, to read as follows: ■ Authority: 7 U.S.C. 1506(l) and 1506(p). 2. Amend § 400.98 by revising paragraphs (b), (d) introductory text, and (d)(3) to read as follows: ■ § 400.98 * E:\FR\FM\27JNR2.SGM * Reconsideration process. * 27JNR2 * * Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations (b) A determination or reconsideration decision regarding good farming practices is not an adverse action and cannot be appealed to NAD. * * * * * (d) If the insured seeks reconsideration, the insured must file a written request for reconsideration to the following: USDA RMA Deputy Administrator for Insurance Services, Stop 0801, Room 2004-South ATTN: GFP RECONSIDERATION 1400 Independence Avenue SW Washington, DC 20250–0801, by email to rma.rmsd@ usda.gov, or to a successor site or email. * * * * * (3) Reconsideration of a good farming practice (GFP) determination will be limited to a closed review of the existing administrative record. The written request must state the basis upon which the insured relies to show that: (i) The decision was not proper and not made in accordance with applicable program regulations and procedures; or (ii) The previously provided material facts were not properly considered in such decision. * * * * * PART 407—AREA RISK PROTECTION INSURANCE REGULATIONS 3. The authority citation for part 407 continues to read as follows: ■ Authority: 7 U.S.C. 1506(l) and 1506(o). 4. Amend § 407.9 as follows: a. In section 1, add a definition of ‘‘New breaking acreage’’ in alphabetical order; ■ b. In section 4: ■ i. In paragraph (b)(6), remove the word ‘‘or’’ at the end; ■ ii. In paragraph (b)(7), remove the period at the end of the paragraph and add ‘‘; or’’ in its place; and ■ iii. Add paragraph (b)(8); ■ c. Revise section 5; ■ d. In section 13, revise paragraph (c)(6); ■ e. In section 16, revise paragraph (d); and ■ f. In section 18, revise paragraphs (b) and (c). The revisions and additions read as follows: ■ ■ § 407.9 policy. * * Area risk protection insurance * * * lotter on DSK11XQN23PROD with RULES2 1. Definitions * * * * * New breaking acreage. Acreage which has not been planted and harvested, or insured within the 4 previous crop years, in accordance with section 5(a). * * * * * VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 4. Insured Crop * * * * * (b) * * * (8) That is reported as a cover crop to a USDA agency. (i) No indemnity will be paid for such acreage and any indemnity already received must be repaid. (ii) You will still be required to pay 60 percent of the premium you would otherwise be required to pay on those acres. * * * * * 5. Insurable Acreage The insurable acreage is all the acreage planted to the insured crop in the county in which you have a share, except as provided in section 5(d). New breaking acreage may be subject to a reduced protection factor in accordance with section 5(b) and native sod acreage may be subject to reduced premium subsidy and protection factor in accordance with section 5(c). The dollar amount of insurance per acre, amount of premium, and indemnity will be calculated separately for each crop, type, and practice shown on the actuarial documents. (a) New breaking acreage consists of acreage which has not been planted and harvested, or insured, in at least 1 of the 4 previous crop years. (1) For the purposes of determining new breaking acreage: (i) Planted includes annual regrowth of a perennial crop; (ii) Harvested does not include grazing; and (iii) Insured only includes crops eligible for insurance under these Basic Provisions or the Common Crop Insurance Policy, Basic Provisions (7 CFR part 457). (2) Acreage that was not planted in at least 3 of the 4 previous crop years to comply with any other USDA program will not be considered new breaking acreage. (b) New breaking acreage reduction— New breaking acreage is insurable at a protection factor of at most 85 percent, unless that acreage: (1) Is identified as native sod acreage in accordance with section 5(c), for which the native sod provisions in section 5(c) will apply; (2) Is uninsurable acreage in accordance with section 5(d); or (3) Constitutes 5 percent or less of the insured planted acreage in the unit, for which the new breaking limitation to an 85 percent protection factor will not apply. (c) Native sod acreage reductions— Native sod acreage in the states of Iowa, Minnesota, Montana, Nebraska, North PO 00000 Frm 00009 Fmt 4701 Sfmt 4700 53829 Dakota, or South Dakota may receive a reduced premium subsidy and reduced protection factor. These reductions are applicable during the first 4 crop years of planting on native sod acreage that has been tilled beginning on February 8, 2014, and ending on December 20, 2018, and during 4 cumulative crop years of insurance within the first 10 crop years after initial tillage on native sod acreage tilled after December 20, 2018. For such native sod acreage: (1) Additional coverage policies receive a premium subsidy that is 50 percentage points less than would otherwise be provided on acreage not qualifying as native sod. If the premium subsidy applicable to these acres is less than 50 percent before the reduction, you will receive no premium subsidy. (2) The protection factor will be reduced to 65 percent. (3) Cumulative native sod acreage that is 5 acres or less in the county is not subject to the reduced premium subsidy in section 5(c)(1) or the reduced protection factor stated in section 5(c). (d) We will not insure any acreage (and any uninsured acreage and production from uninsured acreage will not be included for the purposes of establishing the final county yield): (1) Where the crop was not planted on or before the final planting date or was not reported by the acreage reporting date; (2) Where the crop was destroyed or put to another use during the crop year for the purpose of conforming with, or obtaining a payment under, any other program administered by the USDA; (3) Where we determine you have failed to follow good farming practices for the insured crop; (4) Where the conditions under which the crop is planted are not generally recognized for the area (for example, where agricultural experts determine that planting a non-irrigated corn crop after a failed small grain crop on the same acreage in the same crop year is not appropriate for the area); (5) Of a second crop, if you elect not to insure such acreage when an indemnity for a first insured crop may be subject to reduction in accordance with the provisions of section 13 and you intend to collect an indemnity payment that is equal to 100 percent of the insurable loss for the first insured crop acreage. This election must be made for all first insured crop acreage that may be subject to an indemnity reduction if the first insured crop is insured under this policy, or on a first insured crop unit basis if the first insured crop is not insured under this policy (for example, if the first insured crop under this policy consists of 40 E:\FR\FM\27JNR2.SGM 27JNR2 lotter on DSK11XQN23PROD with RULES2 53830 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations acres, or the first insured crop unit insured under another policy contains 40 planted acres, then no second crop can be insured on any of the 40 acres). In this case: (i) If the first insured crop is insured under ARPI, you must provide written notice to us of your election not to insure acreage of a second crop by the acreage reporting date for the second crop if it is insured under ARPI, or before planting the second crop if it is insured under any other policy; (ii) If the first insured crop is not insured under ARPI, at the time the first insured crop acreage is released by us or another insurance provider who insures the first insured crop (if no acreage in the first insured crop unit is released, this election must be made by the earlier of acreage reporting date for the second crop or when you sign the claim for the first insured crop); (iii) If you fail to provide a notice as specified in section 5(d)(5)(i) or (ii), the second crop acreage will be insured in accordance with applicable policy provisions, and you must repay any overpaid indemnity for the first insured crop; (iv) In the event a second crop is planted and insured with a different insurance provider, or planted and insured by a different person, you must provide written notice to each insurance provider that a second crop was planted on acreage on which you had a first insured crop; and (v) You must report the crop acreage that will not be insured on the applicable acreage report; and (6) Of a crop planted following a second crop or following an insured crop that is prevented from being planted after a first insured crop, unless it is a practice that is generally recognized by agricultural experts or organic agricultural experts for the area to plant three or more crops for harvest on the same acreage in the same crop year, and additional coverage insurance provided under the authority of the Act is offered for the third or subsequent crop in the same crop year. Insurance will only be provided for a third or subsequent crop as follows: (i) You must provide records acceptable to us that show: (A) You have produced and harvested the insured crop following 2 other crops harvested on the same acreage in the same crop year in at least 2 of the last 4 years in which you produced the insured crop; or (B) The applicable acreage has had 3 or more crops produced and harvested on it in the same crop year in at least 2 of the last 4 years in which the VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 insured crop was grown on the acreage; and (ii) The amount of insurable acreage will not exceed 100 percent of the greatest number of acres for which you provide the records required in section 5(d)(6)(i). * * * * * 13. Indemnity and Premium Limitations * * * * * (c) * * * (6) Coordination of Coverage—For double cropped acreage when one of the crops is insured under this policy and one of the crops is insured under other crop insurance authorized under the Act with less restrictive double crop history records requirements (for example, annual forage insured under the Rainfall Index Plan Common Policy, Basic Provisions, does not require records of acreage and production), the double cropping history requirements in sections 13(c)(4) and (5) do not apply. Instead: (i) For the crop insured under this policy, you may receive a full indemnity if you meet each of the double cropping requirements in sections 13(c)(1) through (3), regardless of which crop was the first insured crop or the second crop; or (ii) If you do not meet each of the double cropping requirements in sections 13(c)(1) through (3), the indemnity reductions in section 13(a)(2) apply. * * * * * 16. Assignment of Indemnity * * * * (d) If we have received the properly executed assignment of indemnity form, only one payment will be issued jointly in the names of all assignees and you, unless all assignees and you agree in writing for the payment to be issued to a single payee. * * * * * 18. Other Insurance * * * * (b) You must demonstrate that you did not intend to have more than one policy in effect (for example, an application to transfer your policy or written notification to an insurance provider that states you want to purchase, or transfer, insurance and you want any other policies for the crop canceled would demonstrate you did not intend to have duplicate policies) and: (1) One is an additional coverage policy, and the other is a CAT policy: (i) If both policies are with the same insurance provider, the additional PO 00000 Frm 00010 Fmt 4701 Sfmt 4700 PART 457—COMMON CROP INSURANCE REGULATIONS 5. Revise the authority citation for part 457 to read as follows: ■ Authority: 7 U.S.C. 1506(l) and 1506(o). 6. Amend § 457.8 in the ‘‘Common Crop Insurance Policy’’ as follows: ■ a. In section 1: ■ i. Revise the definition of ‘‘Enterprise unit’’; ■ ii. Add a definition of ‘‘New breaking acreage’’ in alphabetical order; ■ iii. In the definition of ‘‘Production reporting date’’, remove the words ‘‘date, provided in the actuarial documents, by’’ and add ‘‘date contained in the actuarial documents by’’ in their place; and ■ iv. In the definition of ‘‘Variable TYield’’, remove the words ‘‘in the county’’ and add ‘‘in the county, unless otherwise specified by FCIC approved procedures’’ in their place; ■ b. In section 8: ■ i. In paragraph (b)(5), remove the word ‘‘or’’ at the end; ■ ii. In paragraph (b)(6), remove the period at the end of the paragraph and add ‘‘; or’’ in its place; and ■ iii. Add paragraph (b)(7); ■ c. Revise section 9; ■ d. In section 15: ■ i. Revise paragraph (h)(7); and ■ * * coverage policy will apply and the CAT policy will be void; (ii) If both policies are with different insurance providers and both insurance providers agree, the additional coverage policy will apply and the CAT policy will be void; or (iii) If both policies are with different insurance providers and both insurance providers do not agree, the policy with the earliest application date will be in force and the other policy will be void; or (2) Both are additional coverage policies, or both are CAT policies, the policy with the earliest application date will be in force and the other policy will be void, unless both policies are with: (i) The same insurance provider and the insurance provider agrees to void the policy with the earliest application date; or (ii) Different insurance providers and both insurance providers agree to void the policy with the earliest application date. (c) If you cannot demonstrate that you did not intend to have more than one policy in effect, you may be subject to the consequences authorized under this policy, the Act, or any other applicable statute. * * * * * E:\FR\FM\27JNR2.SGM 27JNR2 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations ii. Add paragraph (h)(8); e. In section 22, revise paragraph (a); f. In section 29, revise paragraphs (d) and (e); ■ g. In section 34: ■ i. In paragraph (a) introductory text, remove the words ‘‘You may’’ and add ‘‘Election of Enterprise Unit and WholeFarm Unit—You may’’ in their place; ■ ii. In paragraph (a)(1) introductory text, remove the words ‘‘You must’’ and add ‘‘Election Date—You must’’ in their place; ■ iii. In paragraph (a)(2) introductory text, remove the words ‘‘For an’’ and add ‘‘Enterprise Units—For an’’ in their place; ■ iv. Revise paragraph (a)(2)(i) introductory text; ■ v. In paragraph (a)(2)(i)(E), remove the word ‘‘or’’ at the end; ■ vi. In paragraph (a)(2)(i)(F), remove the word ‘‘and’’ and add ‘‘or’’ in its place; ■ vii. Add paragraph (a)(2)(i)(G); ■ viii. Revise paragraph (a)(2)(ii); ■ ix. Remove paragraphs (a)(2)(iii) through (vii); ■ x. Add new paragraphs (a)(2)(iii) and (iv); ■ xi. Redesignate paragraph (a)(2)(viii) as paragraph (a)(2)(v); ■ xii. Revise newly redesignated paragraph (a)(2)(v) introductory text; ■ xiii. In newly redesignated paragraph (a)(2)(v)(D)(2), remove the period at the end of the paragraph and add a semicolon in its place; ■ xiv. Add new paragraphs (a)(2)(vi) through (viii); ■ xv. Remove paragraph (a)(2)(ix); ■ xvi. In paragraph (a)(3)(v)(A) introductory text, remove the word ‘‘of’’; and ■ xvii. Revise paragraph (c); and ■ h. In section 37, in paragraph (h), remove the words ‘‘organic practice’’ and add ‘‘organic farming practice’’ in their place. The revisions and additions read as follows: ■ ■ ■ § 457.8 * * The application and policy. * * * Common Crop Insurance Policy * * * * * 1. Definitions lotter on DSK11XQN23PROD with RULES2 * * * * * Enterprise unit. All insurable acreage in the county in which you have a share on the date coverage begins for the crop year, provided you meet the requirements in section 34 of: (1) The same insured crop; (2) Irrigated or non-irrigated acreage of the same insured crop; or (3) Acreage grown under an organic farming practice or acreage not grown VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 under an organic farming practice of the same insured crop. * * * * * New breaking acreage. Acreage which has not been planted and harvested, or insured within the 4 previous crop years, in accordance with section 9(a). * * * * * 8. Insured Crop * * * * * (b) * * * (7) That is reported as a cover crop to a USDA agency. (i) No indemnity will be paid for such acreage and any indemnity already received must be repaid. (ii) You will still be required to pay 60 percent of the premium you would otherwise be required to pay on those acres. * * * * * 9. Insurable Acreage The insurable acreage is all the acreage planted to the insured crop in the county in which you have a share, except as provided in section 9(d). New breaking acreage may be subject to a reduced approved yield in accordance with section 9(b) and native sod acreage may be subject to reduced premium subsidy and approved yield in accordance with section 9(c). (a) New breaking acreage consists of acreage which has not been planted and harvested, or insured, in any 1 of the 4 previous crop years. (1) For the purposes of determining new breaking acreage: (i) Planted includes annual regrowth of a perennial crop; (ii) Harvested does not include grazing; (iii) Insured includes insured prevented planting acreage; and (iv) Only crops eligible for insurance under these Basic Provisions are considered when determining if the acreage has been planted, harvested, or insured. (2) Acreage that was not planted in at least 3 of the 4 previous crop years to comply with any other USDA program will not be considered new breaking acreage. (b) New breaking acreage reduction— New breaking acreage is insurable at 85 percent of the applicable T-Yield, unless that acreage: (1) Is identified as native sod acreage in accordance with section 9(c), for which the native sod provisions in section 9(c) will apply; (2) Is uninsurable acreage in accordance with section 9(d); or (3) Constitutes 5 percent or less of the insured planted acreage in the unit, for PO 00000 Frm 00011 Fmt 4701 Sfmt 4700 53831 which the new breaking reduction to 85 percent of the applicable T-Yield will not apply. (c) Native sod acreage reductions— Native sod acreage in the states of Iowa, Minnesota, Montana, Nebraska, North Dakota, or South Dakota may receive reduced premium subsidy and reduced approved yield. These reductions are applicable during the first 4 crop years of planting on native sod acreage that has been tilled beginning on February 8, 2014, and ending on December 20, 2018, and during 4 cumulative crop years of insurance within the first 10 crop years after initial tillage on native sod acreage tilled after December 20, 2018. For such native sod acreage: (1) Additional coverage policies receive a premium subsidy that is 50 percentage points less than would otherwise be provided on acreage not qualifying as native sod. If the premium subsidy applicable to these acres is less than 50 percent before the reduction, you will receive no premium subsidy. (2) The approved yield is limited to 65 percent of the applicable T-Yield. (3) Cumulative native sod acreage that is 5 acres or less in the county is not subject to the reduced premium subsidy in section 9(c)(1) or the reduced approved yield in section 9(c)(2). (d) The acreage is not insurable if: (1) The acreage has been strip-mined. However, such acreage may be insurable only if: (i) An agricultural commodity, other than a cover, hay (except wheat harvested for hay), or forage crop (except insurable silage) has been harvested from the acreage for at least 5 crop years after the strip-mined land was reclaimed; or (ii) A written agreement specifically allows insurance for such acreage; (2) The actuarial documents do not provide the information necessary to determine the premium rate, unless insurance is allowed by a written agreement; (3) The insured crop is damaged and it is practical to replant the insured crop, but the insured crop is not replanted; (4) The acreage is interplanted, unless insurance is allowed by the Crop Provisions; (5) The acreage is otherwise restricted by the Crop Provisions or Special Provisions; (6) The acreage is planted in any manner other than as specified in the policy provisions for the crop unless a written agreement specifically allows insurance for such planting; (7) The acreage is of a second crop, if you elect not to insure such acreage when an indemnity for a first insured E:\FR\FM\27JNR2.SGM 27JNR2 lotter on DSK11XQN23PROD with RULES2 53832 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations crop may be subject to reduction in accordance with the provisions of section 15 and you intend to collect an indemnity payment that is equal to 100 percent of the insurable loss for the first insured crop acreage. This election must be made on a first insured crop unit basis (for example, if the first insured crop unit contains 40 planted acres that may be subject to an indemnity reduction, then no second crop can be insured on any of the 40 acres). In this case: (i) If the first insured crop is insured under this policy, you must provide written notice to us of your election not to insure acreage of a second crop at the time the first insured crop acreage is released by us (if no acreage in the first insured crop unit is released, this election must be made by the earlier of the acreage reporting date for the second crop or when you sign the claim for indemnity for the first insured crop) or, if the first insured crop is insured under Area Risk Protection Insurance (7 CFR part 407), this election must be made before the second crop insured under this policy is planted, and if you fail to provide such notice, the second crop acreage will be insured in accordance with the applicable policy provisions and you must repay any overpaid indemnity for the first insured crop; (ii) In the event a second crop is planted and insured with a different insurance provider, or planted and insured by a different person, you must provide written notice to each insurance provider that a second crop was planted on acreage on which you had a first insured crop; and (iii) You must report the crop acreage that will not be insured on the applicable acreage report; or (8) The acreage is of a crop planted following a second crop or following an insured crop that is prevented from being planted after a first insured crop, unless it is a practice that is generally recognized by agricultural experts or organic agricultural experts for the area to plant 3 or more crops for harvest on the same acreage in the same crop year, and additional coverage insurance provided under the authority of the Act is offered for the third or subsequent crop in the same crop year. Insurance will only be provided for a third or subsequent crop as follows: (i) You must provide records acceptable to us that show: (A) You have produced and harvested the insured crop following 2 other crops harvested on the same acreage in the same crop year in at least 2 of the last 4 years in which you produced the insured crop; or VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 (B) The applicable acreage has had 3 or more crops produced and harvested on it in the same crop year in at least 2 of the last 4 years in which the insured crop was grown on the acreage; and (ii) The amount of insurable acreage will not exceed 100 percent of the greatest number of acres for which you provide the records required in section 9(d)(8)(i). (e) If insurance is provided for an irrigated practice, you must report as irrigated only that acreage for which you have adequate facilities and adequate water, or the reasonable expectation of receiving adequate water at the time coverage begins, to carry out a good irrigation practice. If you knew or had reason to know that your water may be reduced before coverage begins, no reasonable expectation exists. (f) Notwithstanding the provisions in section 8(b)(2), if acreage is irrigated and a premium rate is not provided for an irrigated practice, you may either report and insure the irrigated acreage as ‘‘nonirrigated,’’ or report the irrigated acreage as not insured. (If you elect to insure such acreage under a non-irrigated practice, your irrigated yield will only be used to determine your approved yield if you continue to use a good irrigation practice. If you do not use a good irrigation practice, you will receive a yield determined in accordance with section 3(h)(3).) (g) We may restrict the amount of acreage that we will insure to the amount allowed under any acreage limitation program established by USDA if we notify you of that restriction prior to the sales closing date. * * * * * 15. Production Included in Determining an Indemnity and Payment Reductions * * * * * (h) * * * (7) Coordination of Coverage—For double cropped acreage when one of the crops is insured under this policy and one of the crops is insured under other crop insurance authorized under the Act with less restrictive double crop history records requirements (for example, annual forage insured under the Rainfall Index Plan Common Policy, Basic Provisions, does not require records of acreage and production), the double cropping history requirements in sections 15(h)(5) and (6) do not apply. Instead: (i) For the crop insured under this policy, you may receive a full indemnity if you meet each of the double cropping requirements in sections 15(h)(1) through (3), regardless of which crop was the first insured crop or the second PO 00000 Frm 00012 Fmt 4701 Sfmt 4700 crop. If you do not meet each of the double cropping requirements in sections 15(h)(1) through (3), the indemnity reductions in section 15(e)(2) apply. (ii) Prevented Planting—For the crop insured under this policy, you may receive a full prevented planting payment if you: (A) Meet the requirements in sections 15(h)(1) through (4) and sections 17(f)(4)(ii) and (iii); and (B) Provide records, acceptable to us, proving that you have a history of insuring the crop under other crop insurance authorized under the Act. (8) Dual Use—For a single crop that is insured both under this policy and under other crop insurance authorized under the Act for different end uses (for example, wheat insured for grain under the Small Grains Crop Provisions and wheat insured as annual forage under the Annual Forage Crop Provisions), that is then followed by a crop insured under this policy, the double cropping history requirements in sections 15(h)(1) through (6) apply to the crops insured under this policy. * * * * * 22. Other Insurance (a) Other Like Insurance—Nothing in this section prevents you from obtaining other insurance not authorized under the Act. However, unless specifically required by policy provisions, you must not obtain any other crop insurance authorized under the Act on your share of the insured crop. (1) You must demonstrate that you did not intend to have more than one policy in effect (for example, an application to transfer your policy or written notification to an insurance provider that states you want to purchase, or transfer insurance and you want any other policies for the crop canceled would demonstrate you did not intend to have duplicate policies), and: (i) One is an additional coverage policy and the other is a Catastrophic Risk Protection policy: (A) If both policies are with the same insurance provider, the additional coverage policy will apply and the Catastrophic Risk Protection policy will be void; (B) If both policies are with different insurance providers and both insurance providers agree, the additional coverage policy will apply and the Catastrophic Risk Protection policy will be void; or (C) If both policies are with different insurance providers and both insurance providers do not agree, the policy with the earliest application date will be in E:\FR\FM\27JNR2.SGM 27JNR2 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations force and the other policy will be void; or (ii) Both are additional coverage policies, or both are Catastrophic Risk Protection policies, the policy with the earliest application date will be in force and the other policy will be void, unless both policies are with: (A) The same insurance provider and the insurance provider agrees to void the policy with the earliest application date; or (B) Different insurance providers and both insurance providers agree to void the policy with the earliest application date. (2) If you cannot demonstrate that you did not intend to have more than one policy in effect, you may be subject to the consequences authorized under this policy, the Act, or any other applicable statute. * * * * * 29. Assignment of Indemnity * * * * (d) If we have received the properly executed assignment of indemnity form: (1) Only one payment will be issued jointly in the names of all assignees and you, unless all assignees and you agree in writing for the payment to be issued to a single payee; and (2) Any assignee will have the right to submit all loss notices and forms as required by the policy if you fail to do so. If you have suffered a loss from an insurable cause and fail to submit a claim for indemnity within the period specified in section 14(e): (i) An assignee may submit the claim for indemnity not later than 30 days after the period for filing a claim has expired. (ii) No indemnity will be paid if we determine that we do not have the ability to accurately adjust the loss for any claim for indemnity. You or any assignee may not dispute the determination. (e) If an assignee submits a notice of loss or claim for indemnity because of your failure to timely do so, the assignee assumes any rights and responsibilities you may have under section 20 to dispute determinations related to the notice of loss or claim for indemnity, except for determinations made in accordance with section 29(d)(2)(ii). * * * * * lotter on DSK11XQN23PROD with RULES2 * 34. Units (a) * * * (2) * * * (i) The acreage in an enterprise unit must be located in: * * * * * (G) Two or more non-contiguous parcels of land, if non-contiguous VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 parcels of land are allowed by the Crop Provisions or Special Provisions as a basis for optional units where the insured acreage is located; (ii) At least two of the sections, section equivalents, FSA farm numbers, units established by written agreement, or non-contiguous parcels of land in section 34(a)(2)(i)(A), (B), (C), (D), (F), or (G) must each have planted acreage that constitutes at least the lesser of 20 acres or 20 percent of the insured crop acreage in the enterprise unit. If there is planted acreage in more than two sections, section equivalents, FSA farm numbers, units established by written agreement, or non-contiguous parcels of land in section 34(a)(2)(i)(A), (B), (C), (D), (F), or (G), these can be aggregated to form at least two parcels to meet this requirement. For example, if sections are the basis for optional units where the insured acreage is located and you have 80 planted acres in section 1, 10 planted acres in section 2, and 10 planted acres in section 3, you may aggregate sections 2 and 3 to meet this requirement; (iii) You must separately designate on the acreage report each section or other basis in section 34(a)(2)(i) you used to qualify for an enterprise unit; (iv) You may elect an enterprise unit that contains all the insurable acreage of the same insured crop if allowed by the actuarial documents. (A) You must meet the requirement in sections 34(a)(2)(i) through (iii) to qualify. (B) If we discover you do not qualify for an enterprise unit and such discovery is made: (1) On or before the acreage reporting date, your unit division will be based on the basic or optional units, whichever you report on your acreage report and qualify for; or (2) At any time after the acreage reporting date, we will assign the basic unit structure; (v) You may elect separate enterprise units for irrigated or non-irrigated practices if allowed by the actuarial documents. If you make this election, you may not elect enterprise units by organic farming practice under section 34(a)(2)(vi). * * * * * (vi) You may elect separate enterprise units for acreage of the insured crop grown and insured under an organic farming practice and acreage of the insured crop not grown under an organic farming practice if allowed by the actuarial documents. If you make this election, you may not elect enterprise units by irrigation practice under section 34(a)(2)(v). Certified PO 00000 Frm 00013 Fmt 4701 Sfmt 4700 53833 organic, transitional, and buffer zone acreages do not individually qualify as separate enterprise units. (See section 37 for additional provisions regarding acreage insured under an organic farming practice.) (A) You may elect one enterprise unit for all acreage of the insured crop grown and insured under an organic farming practice or one enterprise unit for all acreage of the insured crop not grown under an organic farming practice or enterprise units for both. (B) You must separately meet the requirements in section 34(a)(2) for each enterprise unit. (C) If you elected separate enterprise units for both acreage under an organic farming practice and acreage not under an organic farming practice and we discover you do not qualify for an enterprise unit for the acreage under an organic farming practice or acreage not grown under an organic farming practice and such discovery is made: (1) On or before the acreage reporting date, you may elect to insure: (i) One enterprise unit for all acreage under an organic farming practice or all acreage not under an organic farming practice provided you meet the requirements in section 34(a)(2), and basic or optional units for the other acreage, whichever you report on your acreage report and qualify for; (ii) One enterprise unit for all acreage of the crop in the county provided you meet the requirements in section 34(a)(2); or (iii) Basic or optional units for all acreage of the crop in the county, whichever you report on your acreage report and qualify for; or (2) At any time after the acreage reporting date, your unit structure will be one enterprise unit for all acreage of the crop in the county provided you meet the requirements in section 34(a)(2). Otherwise, we will assign the basic unit structure. (D) If you elected an enterprise unit for acreage under an organic farming practice or acreage not under an organic farming practice and a different unit structure on the other acreage and we discover you do not qualify for an enterprise unit for the acreage under an organic farming practice or acreage not grown under an organic farming practice and such discovery is made: (1) On or before the acreage reporting date, your unit division will be based on basic or optional units, whichever you report on your acreage report and qualify for; or (2) At any time after the acreage reporting date, we will assign the basic unit structure; E:\FR\FM\27JNR2.SGM 27JNR2 53834 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations (vii) If you want to change your unit structure from enterprise units to basic or optional units in any subsequent crop year, you must maintain separate records of acreage and production: (A) For each basic unit, to be eligible to use records to establish the production guarantee for the basic unit; or (B) For optional units, to qualify for optional units and to be eligible to use such records to establish the production guarantee for the optional units; and (viii) If you do not comply with the production reporting provisions in section 3(f) for the enterprise unit, your yield for the enterprise unit will be determined in accordance with section 3(f)(1). * * * * * (c) Each optional unit must meet at least one of the following, unless otherwise specified in the Crop Provisions or allowed by written agreement: (1) Land location— (i) Section—Optional units may be established if each optional unit is located in a separate section where the boundaries are readily discernible. (ii) Section equivalent—In the absence of sections, we may consider parcels of land legally identified by other methods of measure, such as Spanish grants, provided the boundaries are readily discernible, if such parcels can be considered as the equivalent of sections for unit purposes in accordance with FCIC procedures; or (iii) FSA farm number—In the absence of sections or section equivalents as described in section 34(c)(1)(i) and (ii), optional units may be established if each optional unit is located in a separate FSA farm number in accordance with FCIC procedures; (2) Irrigation practice—Separate optional units may be based on irrigated and non-irrigated acreage. To qualify as separate irrigated and non-irrigated optional units, the non-irrigated acreage may not continue into the irrigated acreage in the same rows or planting pattern. The irrigated acreage may not extend beyond the point at which the irrigation system can deliver the quantity of water needed to produce the yield on which the guarantee is based, except the corners of a field in which a center-pivot irrigation system is used may be considered as irrigated acreage if the corners of a field in which a center-pivot irrigation system is used do not qualify as a separate non-irrigated optional unit. In this case, production from both practices will be used to determine your approved yield; (3) Organic farming practice— Separate optional units may be established for acreage of the insured crop grown and insured under an organic farming practice and acreage of the insured crop not grown under an organic farming practice. Certified organic, transitional, and buffer zone acreages do not individually qualify as separate optional units. (See section 37 for additional provisions regarding acreage insured under an organic farming practice.); or (4) Combinations—Unless restricted otherwise by the Crop Provisions, each category within sections 34(c)(1), (2), and (3) may be independently applicable. Separate optional units based on combinations of categories between sections 34(c)(1) through (3) may be established if all acreage from the corresponding basic unit has the same optional unit structure. For example, you may choose to divide your entire basic unit into optional units by land location, irrigation practice, and organic farming practice, but you may not choose an optional unit by land location for one section and further divide a second section into optional units by irrigation practice, organic farming practice, or both. * * * * * ■ 7. Amend § 457.101 as follows: ■ a. Revise the introductory text and the undesignated text at the beginning of the ‘‘Small Grains Crop Provisions’’; b. In section 2: i. Revise paragraph (a) introductory text; ■ ii. In paragraph (a)(2), remove the words ‘‘section 34(a)(4)’’ and add ‘‘section 34(a)(2)’’ in their place; and ■ iii. In paragraphs (a)(3)(i)(A) and (B) and (a)(3)(ii), remove the words ‘‘section 34(a)(4)’’ and add ‘‘section 34(a)(2) of the Basic Provisions’’ in their place; ■ c. In section 5, revise the column headings in the table; and ■ d. In section 11, in paragraph (c)(1)(iii), remove the words ‘‘paragraph (d) of this section’’ and add ‘‘section 11(d)’’ in their place. The revisions read as follows: ■ ■ § 457.101 Small grains crop insurance provisions. The Small Grains Crop Insurance Provisions for the 2025 and succeeding crop years are as follows: United States Department of Agriculture Federal Crop Insurance Corporation Small Grains Crop Provisions In return for your payment of premium and administrative fee for coverage, these Small Grains Crop Provisions and corresponding Commodity Exchange Price Provisions will be attached to and made part of the Common Crop Insurance Policy, Basic Provisions (Basic Provisions) subject to the terms and conditions in your policy. * * * * * 2. Unit Division (a) In addition to enterprise units provided in section 34(a)(2) of the Basic Provisions, for wheat only, you may elect separate enterprise units by type, as provided in this section, if allowed by the actuarial documents. If you elect enterprise units by type, you may not elect enterprise or optional units by any other practice or type. * * * * * 5. Cancellation and Termination Dates * Crop, state, and county * * * * * * * * 8. Amend § 457.108 as follows: a. Revise the introductory text and the undesignated text at the beginning of the ‘‘Sunflower Seed Crop Provisions’’; ■ b. In section 2: ■ i. Revise paragraph (a) introductory text; lotter on DSK11XQN23PROD with RULES2 ■ VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 * * ii. In paragraph (a)(1), remove the words ‘‘For example: You’’ and add ‘‘For example, you’’ in their place; ■ iii. In paragraph (a)(2), remove the words ‘‘section 34(a)(4)’’ and add ‘‘section 34(a)(2) of the Basic Provisions’’ in their place; and ■ iv. In paragraphs (a)(3)(i)(A) and (B) and (a)(3)(ii), remove the words ‘‘section PO 00000 Frm 00014 Fmt 4701 * * * Cancellation date ■ ■ * Sfmt 4700 * Termination date * 34(a)(4)’’ and add ‘‘section 34(a)(2) of the Basic Provisions’’ in their place; ■ c. In section 3, revise the section heading; ■ d. In section 5, revise the section heading and column headings in the table; E:\FR\FM\27JNR2.SGM 27JNR2 53835 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations e. In section 7, in the introductory text, remove the words ‘‘the provisions of’’; ■ f. Revise section 8; ■ g. In section 9, in the introductory text, remove the words ‘‘the provisions of’’; and ■ h. In section 12, revise paragraph (b)(6) and the example paragraphs between paragraphs (b)(6) and (c). The revisions read as follows: ■ § 457.108 Sunflower seed crop insurance provisions. The Sunflower Seed Crop Insurance Provisions for the 2025 and succeeding crop years are as follows: United States Department of Agriculture Federal Crop Insurance Corporation Sunflower Seed Crop Provisions In return for your payment of premium and administrative fee for coverage, these Sunflower Seed Crop Provisions and corresponding Commodity Exchange Price Provisions will be attached to and made part of the Common Crop Insurance Policy, Basic Provisions (Basic Provisions) subject to the terms and conditions in your policy. * * * * * Provisions, you may elect separate enterprise units for confectionery or oil types if these types are allowed by the actuarial documents. If you elect enterprise units for these types, you may not elect enterprise or optional units by any other practice or type. * * * * * 2. Unit Division (a) In addition to enterprise units provided in section 34(a)(2) of the Basic 5. Cancellation and Termination Dates 3. Insurance Guarantees, Coverage Levels, and Prices * * * * * * * * * * * * * * * 8. Insurance Period In accordance with section 11 of the Basic Provisions, the calendar date for the end of the insurance period is November 30, immediately following planting, unless otherwise specified in the Special Provisions. * * * * * 12. Settlement of Claim * * * * * (b) * * * (6) Multiplying the result of section 12(b)(5) by your share. lotter on DSK11XQN23PROD with RULES2 Example for Section 12(b) You have 100 percent share in 50 acres of sunflowers in the unit with a production guarantee (per acre) of 1,550 pounds, your projected price is $.28, your harvest price is $.29, and your production to count is 65,000 pounds. If you elected yield protection: (1) 50 acres × (1,550 pound production guarantee × $.28 projected price) = $21,700.00 value of the production guarantee; (2) Not applicable; (3) 65,000 pound production to count × $.28 projected price = $18,200.00 value of production to count; (4) Not applicable; (5) $21,700.00¥$18,200.00 = $3,500.00; (6) $3,500.00 × 1.000 share = $3,500.00 indemnity; or If you elected revenue protection: (1) 50 acres × (1,550 pound production guarantee × $.29 harvest price) = $22,475.00 revenue protection guarantee; (2) Not applicable; VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 * * (3) 65,000 pound production to count × $.29 harvest price = $18,850.00 value of the production to count; (4) Not applicable; (5) $22,475.00¥$18,850.00 = $3,625.00; (6) $3,625.00 × 1.000 share = $3,625.00 indemnity. End of Example. * * * * * ■ 9. Amend § 457.110 as follows: ■ a. Revise the introductory text and the undesignated text at the beginning of the ‘‘Fig Crop Provisions’’; ■ b. In section 1, revise the definitions of ‘‘Interplanted’’ and ‘‘Manufacturing grade production’’; ■ c. Revise section 2; ■ d. In section 3: ■ i. Revise the section heading and paragraph (c)(5); and ■ ii. Add paragraph (d); ■ e. Revise section 4; ■ f. In section 7: ■ i. In paragraph (d), remove the words ‘‘growing season’’ and add ‘‘leaf year’’ in their place; and ■ ii. Revise paragraph (f)(1); ■ g. In section 8, remove the words ‘‘Basic Provisions, that’’ and add ‘‘Basic Provisions that’’ in their place; ■ h. In section 9: ■ i. In paragraph (a) introductory text, remove the words ‘‘the provisions of’’; ■ ii. In paragraph (a)(2), remove the words ‘‘harvested (Exceptions’’ and add ‘‘harvested (exceptions’’ in their place; and ■ iii. In paragraph (b), remove the words ‘‘paragraph (a)(1) of this section’’ and add ‘‘section 9(a)(1)’’ in their place; ■ i. In section 10: ■ i. In paragraph (a) introductory text, remove the words ‘‘the provisions under PO 00000 Frm 00015 Fmt 4701 * Cancellation and termination dates State and county * * Sfmt 4700 * * section 12 (Causes of Loss) of the Basic Provisions (§ 457.8)’’ and add ‘‘section 12 of the Basic Provisions’’ in their place; and ■ ii. Revise paragraph (b) introductory text; and ■ j. In section 11, redesignate paragraph (c)(3)(ii)(c) as paragraph (c)(3)(ii)(C). The revisions and addition read as follows: § 457.110 Fig crop insurance provisions. The Fig Crop Insurance Provisions for the 2025 and succeeding crop years are as follows: United States Department of Agriculture Federal Crop Insurance Corporation Fig Crop Provisions In return for your payment of premium and administrative fee for the coverage, these Fig Crop Provisions will be attached to and made part of the Common Crop Insurance Policy, Basic Provisions (Basic Provisions) subject to the terms and conditions in your policy. * * * * * 1. Definitions * * * * * Interplanted. In lieu of the definition in section 1 of the Basic Provisions, acreage on which two or more crops are planted in any form of alternating or mixed pattern. Manufacturing grade production. Production that meets the United States Standards for Grades of Dried Figs, Grade B, as amended, which is in effect on the date insurance attaches. * * * * * 2. Unit Division (a) A basic unit, as defined in section 1 of the Basic Provisions, will be E:\FR\FM\27JNR2.SGM 27JNR2 53836 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations divided into additional basic units by each fig type designated in the Special Provisions. (b) Optional units may be established by: (1) Organic and non-organic farming practices as provided in section 34(c)(3) of the Basic Provisions; or (2) Non-contiguous land. (c) Optional units by land location as provided in section 34(c)(1) of the Basic Provisions and by irrigation practice as provided in section 34(c)(2) of the Basic Provisions are not applicable. 3. Insurance Guarantees, Coverage Levels, and Prices * * * * * (c) * * * (5) Any other information that we request in order to establish your approved yield. (d) We will reduce the approved yield, as necessary, based on our estimate of the effect of any circumstance listed in section 3(c) that may reduce your yields from previous levels. If you fail to notify us of any circumstance that may reduce your yields from previous levels, we will reduce your approved yield at any time we become aware of the circumstance. If the circumstance occurred: (1) Before the beginning of the insurance period and you notify us by the production reporting date, the approved yield will be reduced for the current crop year regardless of whether the circumstance was due to an insured or uninsured cause of loss; (2) After the beginning of the insurance period and you notify us by the production reporting date, the approved yield will be reduced for the current crop year only if the potential reduction in the approved yield is due to an uninsured cause of loss; or (3) Before or after the beginning of the insurance period and you fail to notify us by the production reporting date, an amount equal to the reduction in the approved yield will be added to the production to count calculated in section 11(c)(3) due to uninsured causes. We will reduce your approved yield for the subsequent crop year to reflect any reduction in the productive capacity of the trees or in the yield potential of the insured acreage. 4. Contract Changes In accordance with section 4 of the Basic Provisions, the contract change date is October 31 preceding the cancellation date. * * * * * 7. Insured Crop * * * * * (f) * * * (1) Grown on acreage with less than 90 percent of a stand based on the original planting pattern, unless otherwise allowed by the Special Provisions; * * * * * 10. Causes of Loss * * * * * (b) In addition to the causes of loss excluded in section 12 of the Basic Provisions, we will not insure against damage or loss of production due to: * * * * * ■ 10. Amend § 457.113 as follows: ■ a. Revise the introductory text and the undesignated text at the beginning of the ‘‘Coarse Grains Crop Provisions’’; ■ b. In section 2: ■ i. Remove the period at the end of the section heading; ■ ii. Revise paragraph (a) introductory text; and ■ iii. In paragraphs (a)(3) introductory text, (a)(4)(i)(A) and (B), and (a)(4)(ii), remove the words ‘‘section 34(a)(4)’’ and add ‘‘section 34(a)(2) of the Basic Provisions’’ in their place; ■ iv. In paragraph (b), remove the words ‘‘FSA FN’’ and add ‘‘FSA farm number’’ in their place; ■ c. In section 3, revise the section heading; ■ d. Revise section 5; ■ e. In section 6, in paragraph (b) introductory text, remove the words ‘‘the provisions of’’; ■ f. In section 7, remove the words ‘‘the provisions of’’; g. Revise section 8; h. In section 9, in the introductory text, remove the words ‘‘the provisions of’’; ■ i. In section 10, in paragraph (a)(1), remove the words ‘‘provisions in’’; and ■ j. In section 12, revise paragraph (b)(6) and the example paragraphs between paragraphs (b)(6) and (c). The revisions read as follows: ■ ■ § 457.113 Coarse grains crop insurance provisions. The Coarse Grains Crop Insurance Provisions for the 2025 and succeeding crop years are as follows: United States Department of Agriculture Federal Crop Insurance Corporation Coarse Grains Crop Provisions In return for your payment of premium and administrative fee for coverage, these Coarse Grains Crop Provisions and corresponding Commodity Exchange Price Provisions will be attached to and made part of the Common Crop Insurance Policy, Basic Provisions (Basic Provisions) subject to the terms and conditions in your policy. * * * * * 2. Unit Division (a) In addition to enterprise units provided in section 34(a)(2) of the Basic Provisions, you may elect separate enterprise units for FAC or NFAC cropping practices if the FAC and NFAC cropping practices are allowed by the actuarial documents. If you elect enterprise units for FAC and NFAC cropping practices, you may not elect enterprise or optional units by any other practice or type. * * * * * 3. Insurance Guarantees, Coverage Levels, and Prices * * * * 5. Cancellation and Termination Dates In accordance with section 2 of the Basic Provisions, the cancellation and termination dates are: Cancellation and termination dates lotter on DSK11XQN23PROD with RULES2 Crop, state, and county (a) For corn and grain sorghum: (1) Kerr, Bexar, Wilson, Karnes, Goliad, Victoria, and Jackson Counties, Texas, and all Texas counties lying south of the named counties .................................................................................................................................... (2) El Paso, Reeves, Loving, Upton, Reagan, Sterling, Coke, Tom Green, Concho, McCulloch, San Saba, Mills, Hamilton, Bosque, Johnson, Tarrant, Wise, Cooke Counties, Texas, and all Texas counties lying south and east of the named counties to and including Sutton, Kimble, Gillespie, Comal, Guadalupe, Gonzales, De Witt, Lavaca, Colorado, Wharton, and Matagorda Counties, Texas ................................................................................ (3) Alabama; Arizona; Arkansas; California; Florida; Georgia; Louisiana; Mississippi; Nevada; North Carolina; and South Carolina .......................................................................................................................................................... (4) All other Texas counties and all other states ......................................................................................................... (b) For soybeans: (1) Jackson, Victoria, Goliad, Bee Counties, Texas, and all Texas counties lying south of the named counties ...... VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 PO 00000 Frm 00016 Fmt 4701 * Sfmt 4700 E:\FR\FM\27JNR2.SGM 27JNR2 January 31. February 15. February 28. March 15. January 31. Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations Cancellation and termination dates Crop, state, and county (2) Alabama; Arkansas; Florida; Georgia; Louisiana; Mississippi; North Carolina; and South Carolina; and, Cooke, Denton, Coryell, Fayette, Lavaca, and Matagorda Counties, Texas, and all Texas counties lying east of the named counties ......................................................................................................................................................... (3) All other Texas counties and all other states ......................................................................................................... * * * * * 8. Insurance Period In accordance with section 11 of the Basic Provisions, unless otherwise specified in the Special Provisions, the End of the insurance period dates (a) For corn insured as grain: (1) Kerr, Bexar, Wilson, Karnes, Goliad, Victoria, and Jackson Counties, Texas, and all Texas counties lying south of the named counties .................................................................................................................................... (2) Clallam, Grays Harbor, Jefferson, King, Kitsap, Pierce, Snohomish, and Thurston Counties, Washington ......... (3) All other counties and states .................................................................................................................................. (b) For corn insured as silage: (1) Connecticut, Delaware, Idaho, Maine, Maryland, Massachusetts, New Hampshire, New Jersey, New York, North Carolina, Oregon, Pennsylvania, Rhode Island, Vermont, Virginia, Washington, and West Virginia ........... (2) All other states ........................................................................................................................................................ (c) For grain sorghum: (1) Bexar, Wilson, Karnes, Goliad, Victoria, and Jackson Counties, Texas, and all Texas counties lying south of the named counties .................................................................................................................................................. (2) All other Texas counties and all other states ......................................................................................................... (d) For soybeans: All states ......................................................................................................................................... * * * * 12. Settlement of Claim * * * * (b) * * * (6) Multiplying the result of section 12(b)(5) by your share. lotter on DSK11XQN23PROD with RULES2 * Example for Section 12(b) You have 100 percent share in 50 acres of corn in the unit with a production guarantee (per acre) of 115 bushels, your projected price is $4.75, your harvest price is $4.68, and your production to count is 5,000 bushels. If you elected yield protection: (1) 50 acres × (115 bushel production guarantee × $4.75 projected price) = $27,312.50 value of the production guarantee; (2) Not applicable; (3) 5,000 bushel production to count × $4.75 projected price = $23,750.00 value of the production to count; (4) Not applicable; (5) $27,312.50¥$23,750.00 = $3,562.50; (6) $3,562.50 × 1.000 share = $3,562.50 indemnity; or If you elected revenue protection: (1) 50 acres × (115 bushel production guarantee × $4.75 projected price) = $27,312.50 revenue protection guarantee; (2) Not applicable; (3) 5,000 bushel production to count × $4.68 harvest price = $23,400.00 value of the production to count; VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 (4) Not applicable; (5) $27,312.50¥$23,400.00 = $3,912.50; (6) $3,912.50 × 1.000 share = $3,912.50 indemnity. End of Example. * * * * * ■ 11. Amend § 457.121 as follows: ■ a. Revise the introductory text and the undesignated text at the beginning of the ‘‘Arizona-California Citrus Crop Provisions’’; ■ b. In section 1, in the definition of ‘‘Crop year’’, remove the words ‘‘The period beginning’’ and add ‘‘In lieu of the definition contained in section 1 of the Basic Provisions, the period beginning’’ in their place; ■ c. Revise section 2; ■ d. In section 3: ■ i. In paragraph (c) introductory text, remove the text ‘‘(§ 457.8)’’; and ■ ii. Revise paragraph (d); ■ e. In sections 4 and 5, remove the text ‘‘(§ 457.8)’’; ■ f. In section 7, remove the words ‘‘the provisions in’’; ■ g. In section 8: ■ i. In paragraph (a) introductory text, remove the words ‘‘the provisions of’’ and ‘‘(§ 457.8)’’; and ■ ii. In paragraph (b) introductory text, remove the words ‘‘the provisions of’’ and ‘‘(§ 457.8)’’; ■ h. In section 9, in paragraph (a), remove the words ‘‘the provisions of’’ and ‘‘(§ 457.8)’’; and PO 00000 Frm 00017 Fmt 4701 February 28. March 15. calendar date for the end of the insurance period is the date immediately following planting as follows: Crop, state, and county * 53837 Sfmt 4700 September 30. October 31. December 10. October 20. September 30. September 30. December 10. December 10. i. In section 10, in paragraph (b) introductory text, remove the words ‘‘(§ 457.8)’’. The revisions read as follows: ■ § 457.121 Arizona-California citrus crop insurance provisions. The Arizona-California Citrus Crop Insurance Provisions for the 2026 and succeeding crop years are as follows: United States Department of Agriculture Federal Crop Insurance Corporation Arizona-California Citrus Crop Provisions In return for your payment of premium and administrative fee for coverage, these Arizona-California Citrus Crop Provisions will be attached to and made part of the Common Crop Insurance Policy, Basic Provisions (Basic Provisions) subject to the terms and conditions in your policy. * * * * * 2. Unit Division (a) Optional units may be established by: (1) Organic and non-organic farming practices as provided in section 34(c)(3) of the Basic Provisions; (2) Non-contiguous land; or (3) In addition to or instead of establishing optional units by noncontiguous land as provided in section 2(a)(2), optional units may be established by commodity type if allowed by the Special Provisions. E:\FR\FM\27JNR2.SGM 27JNR2 53838 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations (b) Optional units by land location as provided in section 34(c)(1) of the Basic Provisions and by irrigation practice as provided in section 34(c)(2) of the Basic Provisions are not applicable. 3. Insurance Guarantees, Coverage Levels, and Prices lotter on DSK11XQN23PROD with RULES2 * * * * * (d) We will reduce the approved yield, as necessary, based on our estimate of the effect of any circumstance listed in section 3(c) that may reduce your yields from previous levels. If you fail to notify us of any circumstance that may reduce your yields from previous levels, we will reduce your approved yield at any time we become aware of the circumstance. If the circumstance occurred: (1) Before the beginning of the insurance period and you notify us by the production reporting date, the approved yield will be reduced for the current crop year regardless of whether the circumstance was due to an insured or uninsured cause of loss; (2) After the beginning of the insurance period and you notify us by the production reporting date, the approved yield will be reduced for the current crop year only if the potential reduction in the approved yield is due to an uninsured cause of loss; or (3) Before or after the beginning of the insurance period and you fail to notify us by the production reporting date, an amount equal to the reduction in the approved yield will be added to the production to count calculated in section 11(c)(1)(ii) due to uninsured causes. We will reduce your approved yield for the subsequent crop year to reflect any reduction in the productive capacity of the trees or in the yield potential of the insured acreage. * * * * * ■ 12. Amend § 457.122 as follows: ■ a. Revise the introductory text and the undesignated text at the beginning of the ‘‘Walnut Crop Provisions’’; ■ b. In section 1, in the definitions of ‘‘Interplanted’’ and ‘‘Production guarantee (per acre)’’, remove the word ‘‘contained’’; ■ c. Revise section 2; ■ d. In section 3: ■ i. In the introductory text and paragraph (b) introductory text, remove the text ‘‘(§ 457.8)’’; ■ ii. Revise paragraph (c); ■ e. In section 4, remove the words ‘‘dates are October 31 for California and August 31 preceding the cancellation date for all other states’’ and add ‘‘date is October 31’’ in their place; ■ f. In section 5, remove the words ‘‘for California and November 20 for all other states’’; VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 g. In section 6: i. In the introductory text, remove the text ‘‘(§ 457.8)’’; and ■ ii. In paragraph (d), remove the words ‘‘provided in’’ and add ‘‘allowed by’’ in their place’’; ■ h. In section 7, remove the text ‘‘(§ 457.8)’’; ■ i. In section 8: ■ i. In paragraph (a)(1), remove the words ‘‘in California and November 21 in all other states’’ and ‘‘in California or after November 11 but prior to November 21 in all other states’’; ■ ii. In paragraph (a)(3), remove the words ‘‘paragraph (a)(1) of this section’’ and add ‘‘section 8(a)(1)’’ in their place; and ■ iii. In paragraph (b) introductory text, remove the text ‘‘(§ 457.8)’’; ■ j. In section 9, in paragraphs (a) introductory text and (b), remove the text ‘‘(§ 457.8)’’; and ■ k. In section 11, revise paragraph (b)(7), the example paragraphs between paragraphs (b)(7) and (c), and paragraph (d). The revisions read as follows: ■ ■ § 457.122 Walnut crop insurance provisions. The Walnut Crop Insurance Provisions for the 2025 and succeeding crop years are as follows: United States Department of Agriculture Federal Crop Insurance Corporation Walnut Crop Provisions In return for your payment of premium and administrative fee for the coverage, these Walnut Crop Provisions will be attached to and made part of the Common Crop Insurance Policy, Basic Provisions (Basic Provisions) subject to the terms and conditions in your policy. * * * * * 2. Unit Division (a) Optional units may be established by: (1) Organic and non-organic farming practices as provided in section 34(c)(3) of the Basic Provisions; or (2) Non-contiguous land. (b) Optional units by land location as provided in section 34(c)(1) of the Basic Provisions and by irrigation practice as provided in section 34(c)(2) of the Basic Provisions are not applicable. * * * * * 3. Insurance Guarantees, Coverage Levels, and Prices * * * * * (c) We will reduce the approved yield, as necessary, based on our estimate of the effect of any circumstance listed in section 3(b) that may reduce your yields from previous levels. If you fail to notify PO 00000 Frm 00018 Fmt 4701 Sfmt 4700 us of any circumstance that may reduce your yields from previous levels, we will reduce your approved yield at any time we become aware of the circumstance. If the circumstance occurred: (1) Before the beginning of the insurance period and you notify us by the production reporting date, the approved yield will be reduced for the current crop year regardless of whether the circumstance was due to an insured or uninsured cause of loss; (2) After the beginning of the insurance period and you notify us by the production reporting date, the approved yield will be reduced for the current crop year only if the potential reduction in the approved yield is due to an uninsured cause of loss; or (3) Before or after the beginning of the insurance period and you fail to notify us by the production reporting date, an amount equal to the reduction in the approved yield will be added to the production to count calculated in section 11(c)(1)(ii) due to uninsured causes. We will reduce the approved yield for the subsequent crop year to reflect any reduction in the productive capacity of the trees or in the yield potential of the insured acreage. * * * * * 11. Settlement of Claim * * * * * (b) * * * (7) Multiplying the result in section 11(b)(6) by your share. Example for Section 11(b) You have a 100 percent share in 100 acres of walnuts in the unit, with a guarantee of 2,500 pounds per acre and a price election of $0.70 per pound. You are only able to harvest 200,000 pounds. Your indemnity would be calculated as follows: (1) 100 acres × 2,500 pounds = 250,000-pound insurance guarantee; (2) 250,000 pounds × $0.70 price election = $175,000 total value of insurance guarantee; (3) Not applicable; (4) 200,000 pounds production to count × $0.70 price election = $140,000 total value of production to count; (5) Not applicable; (6) $175,000 total value guarantee¥$140,000 total value of production to count = $35,000 loss; and (7) $35,000 × 100 percent share = $35,000 indemnity payment. End of Example. * * * * * (d) Mature walnut production damaged due to an insurable cause of loss which occurs within the insurance E:\FR\FM\27JNR2.SGM 27JNR2 lotter on DSK11XQN23PROD with RULES2 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations period may be adjusted by the quality adjustment factors contained in the Special Provisions. * * * * * ■ 13. Amend § 457.123 as follows: ■ a. Revise the introductory text and the undesignated text at the beginning of the ‘‘Almond Crop Provisions’’; ■ b. In section 1, revise the definitions of ‘‘Interplanted’’ and ‘‘Production guarantee (per acre)’’; ■ c. Revise section 2; ■ d. In section 3: ■ i. Revise the section heading; ■ ii. In the introductory text, remove the text ‘‘(§ 457.8)’’; ■ iii. In paragraph (a), remove the words ‘‘Special Provisions provide’’ and add ‘‘actuarial documents provide’’ in their place; ■ iv. In paragraph (b) introductory text, remove the text ‘‘(§ 457.8)’’; ■ v. Redesignate paragraph (c) as paragraph (d); ■ vi. Designate the undesignated paragraph following paragraph (b)(5) as paragraph (c); and ■ vii. Revise newly designated paragraph (c); ■ e. In sections 4 and 5, remove the text ‘‘(§ 457.8)’’; ■ f. In section 6: ■ i. In the introductory text, remove the text ‘‘(§ 457.8)’’; and ■ ii. Revise paragraph (e); ■ g. In section 7, remove the words ‘‘Provisions (§ 457.8), that’’ and add ‘‘Provisions that’’ in their place; ■ h. In section 8: ■ i. In paragraph (a) introductory text, remove the words ‘‘the provisions of’’ and ‘‘(§ 457.8)’’; ■ ii. In paragraph (a)(3), remove the words ‘‘paragraph (a)(1) of this section’’ and add ‘‘section 8(a)(1)’’ in their place; and ■ iii. In paragraph (b) introductory text, remove the words ‘‘the provisions of section 11 (Insurance Period) of the Basic Provisions (§ 457.8)’’ and add ‘‘section 11 of the Basic Provisions’’ in their place; ■ i. In section 9: ■ i. In paragraph (a) introductory text, remove the words ‘‘the provisions of section 12 of the Basic Provisions (§ 457.8)’’ and add ‘‘section 12 of the Basic Provisions’’ in their place; and ■ ii. In paragraph (b), remove the words ‘‘section 12 (Causes of Loss) of the Basic Provisions (§ 457.8)’’ and add ‘‘section 12 of the Basic Provisions’’ in their place; and ■ j. In section 10, remove the text ‘‘(§ 457.8)’’; and ■ k. In section 11, revise paragraph (b)(7) and the example paragraphs between paragraphs (b)(7) and (c). VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 53839 1. Definitions the production reporting date, the approved yield will be reduced for the current crop year only if the potential reduction in the approved yield is due to an uninsured cause of loss; or (3) Before or after the beginning of the insurance period and you fail to notify us by the production reporting date, an amount equal to the reduction in the approved yield will be added to the production to count calculated in section 11(c)(1)(ii) due to uninsured causes. We will reduce your approved yield for the subsequent crop year to reflect any reduction in the productive capacity of the trees or in the yield potential of the insured acreage. * * * * * * 6. Insured Crop The revisions read as follows: § 457.123 Almond crop insurance provisions. The Almond Crop Insurance Provisions for the 2025 and succeeding crop years are as follows: United States Department of Agriculture Federal Crop Insurance Corporation Almond Crop Provisions In return for your payment of premium and administrative fee for the coverage, these Almond Crop Provisions will be attached to and made part of the Common Crop Insurance Policy, Basic Provisions (Basic Provisions) subject to the terms and conditions in your policy. * * * * Interplanted. In lieu of the definition in section 1 of the Basic Provisions, acreage on which two or more crops are planted in any form of alternating or mixed pattern. * * * * * Production guarantee (per acre). In addition to the definition in section 1 of the Basic Provisions, the number of pounds is total meat pounds per acre of almonds. * * * * * 2. Unit Division (a) Optional units may be established by: (1) Organic farming practices as provided in section 34(c)(3) of the Basic Provisions; or (2) Non-contiguous land. (b) Optional units by land location as provided in section 34(c)(1) of the Basic Provisions and by irrigation practice as provided in section 34(c)(2) of the Basic Provisions are not applicable. 3. Insurance Guarantees, Coverage Levels, and Prices * * * * * (c) We will reduce the approved yield, as necessary, based on our estimate of the effect of any circumstance listed in section 3(b) that may reduce your yields from previous levels. If you fail to notify us of any circumstance that may reduce your yields from previous levels, we will reduce your approved yield at any time we become aware of the circumstance. If the circumstance occurred: (1) Before the beginning of the insurance period and you notify us by the production reporting date, the approved yield will be reduced for the current crop year regardless of whether the circumstance was due to an insured or uninsured cause of loss; (2) After the beginning of the insurance period and you notify us by PO 00000 Frm 00019 Fmt 4701 Sfmt 4700 * * * * * (e) On acreage where at least 90 percent of the trees have reached at least the 5th leaf year after being set out, unless otherwise allowed by the Special Provisions. * * * * * 11. Settlement of Claim * * * * * (b) * * * (7) Multiplying the result in section 11(b)(6) by your share. Example for Section 11(b) You have a 100 percent share in 100 acres of almonds in the unit, with a guarantee of 1,200 pounds per acre and a price election of $1.30 per pound. You are only able to harvest 100,000 pounds. Your indemnity would be calculated as follows: (1) 100 acres × 1,200 pounds = 120,000 pound insurance guarantee; (2) 120,000 pounds × $1.30 price election = $156,000 total value of insurance guarantee; (3) Not applicable; (4) 100,000 pounds production to count × $1.30 price election = $130,000 total value of production to count; (5) Not applicable; (6) $156,000 total of value guarantee¥$130,000 total value of production to count = $26,000 loss; and (7) $26,000 × 100 percent share = $26,000 indemnity payment. End of Example. * * * * * ■ 14. Amend § 457.131 as follows: ■ a. Revise the introductory text and the undesignated text at the beginning of the ‘‘Macadamia Nut Crop Provisions’’; ■ b. In section 1: ■ i. In the definition of ‘‘Age’’, remove the word ‘‘thereof’’ and add ‘‘of a unit’’ in its place; ■ ii. Remove the definition of ‘‘Crop year’’; E:\FR\FM\27JNR2.SGM 27JNR2 53840 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations iii. In the definition of ‘‘Interplanted’’, remove the word ‘‘contained’’; and ■ iv. Revise the definition of ‘‘Production guarantee (per acre)’’; ■ c. Revise section 2; ■ d. In section 3: ■ i. In the introductory text and paragraph (b) introductory text, remove the text ‘‘(§ 457.8)’’; ■ ii. Redesignate paragraphs (c) and (d) as paragraphs (d) and (e), respectively; ■ iii. Designate the undesignated paragraph following paragraph (b)(4)(iii) as paragraph (c); and ■ iv. Revise newly designated paragraph (c); and ■ v. In newly redesignated paragraph (e), remove the year ‘‘2023’’ and add ‘‘2024’’ in its place, and remove the year ‘‘2025’’ and add ‘‘2026’’ in its place; ■ e. In sections 4 and 5, remove the text ‘‘(§ 457.8)’’; ■ f. In section 6, in the introductory text, remove the text ‘‘(§ 457.8)’’; ■ g. In section 7, remove the text ‘‘(§ 457.8)’’; ■ h. In section 8, in paragraphs (a) introductory text and (b) introductory text, remove the words ‘‘the provisions of section 11 of the Basic Provisions (§ 457.8)’’ and add ‘‘section 11 of the Basic Provisions’’ in their place; ■ i. In section 9: ■ i. In paragraph (a) introductory text, remove the words ‘‘the provisions of section 12 of the Basic Provisions (§ 457.8)’’ and add ‘‘section 12 of the Basic Provisions’’ in their place; and ■ ii. In paragraph (b) introductory text, remove the text ‘‘(§ 457.8)’’; ■ j. In section 10, in the introductory text, remove the text ‘‘(§ 457.8)’’; and ■ k. In section 11, revise paragraph (b)(7) and the example paragraphs between paragraphs (b)(7) and (c). The revisions read as follows: ■ lotter on DSK11XQN23PROD with RULES2 § 457.131 Macadamia nut crop insurance provisions. The Macadamia Nut Crop Insurance Provisions for the 2026 and succeeding crop years are as follows: United States Department of Agriculture Federal Crop Insurance Corporation Macadamia Nut Crop Provisions In return for your payment of premium and administrative fee for the coverage, these Macadamia Nut Crop Provisions will be attached to and made part of the Common Crop Insurance Policy, Basic Provisions (Basic Provisions) subject to the terms and conditions in your policy. 1. Definitions * * * * * Production guarantee (per acre). In addition to the definition in section 1 of VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 the Basic Provisions, the number of pounds is wet, in-shell macadamia nuts. * * * * * 2. Unit Division (a) Optional units may be established by: (1) Organic and non-organic farming practices as provided in section 34(c)(3) of the Basic Provisions; or (2) Non-contiguous land. (b) Optional units by land location as provided in section 34(c)(1) of the Basic Provisions and by irrigation practice as provided in section 34(c)(2) of the Basic Provisions are not applicable. 3. Insurance Guarantees, Coverage Levels, and Prices * * * * * (c) We will reduce the approved yield, as necessary, based on our estimate of the effect of any circumstance listed in section 3(b) that may reduce your yields from previous levels. If you fail to notify us of any circumstance that may reduce your yields from previous levels, we will reduce your approved yield at any time we become aware of the circumstance. If the circumstance occurred: (1) Before the beginning of the insurance period and you notify us by the production reporting date, the approved yield will be reduced for the current crop year regardless of whether the circumstance was due to an insured or uninsured cause of loss; (2) After the beginning of the insurance period and you notify us by the production reporting date, the approved yield will be reduced for the current crop year only if the potential reduction in the approved yield is due to an uninsured cause of loss; or (3) Before or after the beginning of the insurance period and you fail to notify us by the production reporting date, an amount equal to the reduction in the approved yield will be added to the production to count calculated in section 11(c)(1)(ii) due to uninsured causes. We will reduce your approved yield for the subsequent crop year to reflect any reduction in the productive capacity of the trees or in the yield potential of the insured acreage. * * * * * 11. Settlement of Claim * * * * * (b) * * * (7) Multiplying the result in section 11(b)(6) by your share. Example for Section 11(b) You select the 65 percent coverage level and 100 percent of the price election on 10 acres of macadamia nuts PO 00000 Frm 00020 Fmt 4701 Sfmt 4700 in the unit. Your share is 100 percent. Your production guarantee (per acre) is 4,000 pounds. The price election is $1.00. You are able to harvest 25,000 pounds. Your indemnity would be calculated as follows: (1) 10 acres × 4,000 pounds = 40,000 pounds guarantee; (2) 40,000 pounds × $1.00 price election = $40,000 total value of guarantee; (3) Not applicable; (4) 25,000 pounds production to count × $1.00 price election = $25,000 value of production to count; (5) Not applicable; (6) $40,000 total value of guarantee¥ $25,000 value of production to count = $15,000 loss; and (7) $15,000 loss × 100 percent share = $15,000 indemnity payment. End of Example. * * * * * ■ 15. Amend § 457.133 as follows: ■ a. Revise the introductory text and the undesignated text at the beginning of the ‘‘Prune Crop Provisions’’; ■ b. In section 1: ■ i. In the definition of ‘‘Interplanted’’, remove the word ‘‘contained’’; ■ ii. In the definition of ‘‘Prunes’’, remove the words ‘‘Federal Marketing Agreement Dried Prune Order’’ and add ‘‘Marketing Order for California Prunes’’ in their place; and ■ iii. In the definition of ‘‘Standard prunes’’, in paragraph (b), remove the words ‘‘Federal Marketing Agreement Dried Prune Order’’ and add ‘‘Marketing Order for California Prunes’’ in their place; ■ c. Revise section 2; ■ d. In section 3, revise paragraph (c); ■ e. In section 8: ■ i. In paragraph (a) introductory text, remove the words ‘‘the provisions of’’; ■ ii. Revise paragraph (a)(2); and ■ iii. In paragraph (b) introductory text, remove the words ‘‘the provisions of’’; ■ f. In section 9, in paragraph (a), remove the words ‘‘the provisions of’’; and ■ g. In section 11, revise paragraph (b)(7) and examples 1 and 2 between paragraphs (b)(7) and (c). The revisions read as follows: § 457.133 Prune Crop Insurance Provisions. The Prune Crop Insurance Provisions for the 2025 and succeeding crop years are as follows: United States Department of Agriculture Federal Crop Insurance Corporation Prune Crop Provisions In return for your payment of premium and administrative fee for the coverage, these Prune Crop Provisions E:\FR\FM\27JNR2.SGM 27JNR2 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations will be attached to and made part of the Common Crop Insurance Policy, Basic Provisions (Basic Provisions) subject to the terms and conditions in your policy. * * * * * (2) The calendar date for the end of the insurance period for each crop year is October 1. * * * * * 2. Unit Division * (a) Optional units may be established by: (1) Land location as provided in section 34(c)(1) of the Basic Provisions; (2) Organic or non-organic farming practices as provided in section 34(c)(3) of the Basic Provisions; (3) Combination of land location and organic farming practices as provided in section 34(c)(4) of the Basic Provisions; or (4) Non-contiguous land. (b) Optional units by irrigation practice as provided in section 34(c)(2) of the Basic Provisions are not applicable. 3. Insurance Guarantees, Coverage Levels, and Prices lotter on DSK11XQN23PROD with RULES2 * * * * * (c) We will reduce the approved yield, as necessary, based on our estimate of the effect of any circumstance listed in section 3(b) that may reduce your yields from previous levels. If you fail to notify us of any circumstance that may reduce your yields from previous levels, we will reduce your approved yield at any time we become aware of the circumstance. If the circumstance occurred: (1) Before the beginning of the insurance period and you notify us by the production reporting date, the approved yield will be reduced for the current crop year regardless of whether the circumstance was due to an insured or uninsured cause of loss; (2) After the beginning of the insurance period and you notify us by the production reporting date, the approved yield will be reduced for the current crop year only if the potential reduction in the approved yield is due to an uninsured cause of loss; or (3) Before or after the beginning of the insurance period and you fail to notify us by the production reporting date, an amount equal to the reduction in the approved yield will be added to the production to count calculated in section 11(c)(1)(ii) due to uninsured causes. We will reduce your approved yield for the subsequent crop year to reflect any reduction in the productive capacity of the trees or in the yield potential of the insured acreage. * * * * * 8. Insurance Period (a) * * * VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 11. Settlement of Claim * * * * (b) * * * (7) Multiplying the result of section 11(b)(6) by your share. Examples for Section 11(b) Example 1: You select 75 percent coverage level, 100 percent of the price election, and have a 100 percent share in 50.0 acres of type 1 prunes in the unit. The approved yield is 2.5 tons per acre and your price election is $1,000 per ton. You harvest 10.0 tons. Your indemnity would be calculated as follows: (1) 50.0 acres × 2.5 tons × 0.75 = 93.75-ton production guarantee; (2) 93.75-ton guarantee × $1,000 price election = $93,750 value of production guarantee; (3) Not applicable; (4) 10.0 tons × $1,000 price election = $10,000 value of production to count; (5) Not applicable; (6) $93,750¥ $10,000 = $83,750 loss; and (7) $83,750 × 1.000 share = $83,750 indemnity payment. Example 2: In addition to the information in the first example, you have an additional 50.0 acres of type 2 prunes with 100 percent share in the same unit. The approved yield is 2.0 tons per acre and the price election is $900 per ton. You harvest 5.0 tons. Your total indemnity for both types 1 and 2 would be calculated as follows: (1) 50.0 acres × 2.5 tons × 0.75 = 93.75-ton production guarantee for type 1 and 50.0 acres × 2.0 tons × 0.75 = 75.0ton production guarantee for type 2; (2) 93.75-ton guarantee × $1,000 price election = $93,750 value of production guarantee for type 1 and 75.0-ton guarantee × $900 price election = $67,500 value production guarantee for type 2; (3) $93,750 + $67,500 = $ 161,250 total value of production guarantee; (4) 10.0 tons × $1,000 price election = $10,000 value of production to count for type 1 and 5.0 tons × $900 price election = $4,500 value of production to count for type 2; (5) $10,000 + $4,500 = $14,500 total value of production to count; (6) $161,250¥ $14,500 = $146,750 loss; and (7) $146,750 loss × 1.000 share = $146,750 indemnity payment. End of Examples. * * * * * PO 00000 Frm 00021 Fmt 4701 Sfmt 4700 53841 16. Amend § 457.140 as follows: a. Revise the introductory text and the undesignated text at the beginning of the ‘‘Dry Pea Crop Provisions’’; ■ b. In section 2: ■ i. Revise the section heading and paragraph (a) introductory text; ■ ii. In paragraph (a)(2), remove the words ‘‘section 34(a)(4)’’ and add ‘‘section 34(a)(2)’’ in their place; ■ iii. In paragraph (a)(3)(i)(A), remove the words ‘‘section 34(a)(4)’’ and add ‘‘section 34(a)(2) of the Basic Provisions’’ in their place, and remove the words ‘‘insured as enterprise unit’’ and add ‘‘insured as an enterprise unit’’ in their place; and ■ iv. In paragraphs (a)(3)(i)(B) and (a)(3)(ii), remove the words ‘‘section 34(a)(4)’’ and add ‘‘section 34(a)(2) of the Basic Provisions’’ in their place; ■ c. In section 3, revise the section heading; ■ d. In section 5, revise the table; ■ e. In section 8, in paragraph (e)(2), remove the words ‘‘such acreage’’ and add ‘‘such fall-planted acreage’’ in their place; and ■ f. In section 13, revise paragraph (b)(13) and examples 1 and 2 between paragraphs (b)(13) and (c). The revisions read as follows: ■ ■ § 457.140 Dry pea crop insurance provisions. The Dry Pea Crop Insurance Provisions for the 2025 and succeeding crop years are as follows: United States Department of Agriculture Federal Crop Insurance Corporation Dry Pea Crop Provisions In return for your payment of premium and administrative fee for the coverage, these Dry Pea Crop Provisions will be attached to and made part of the Common Crop Insurance Policy, Basic Provisions (Basic Provisions) subject to the terms and conditions in your policy. * * * * * 2. Unit Division (a) In addition to enterprise units provided in section 34(a)(2) of the Basic Provisions, you may elect separate enterprise units by type, as provided in this section, if allowed by the actuarial documents. If you elect enterprise units by type, you may not elect enterprise or optional units by any other practice or type. * * * * * 3. Insurance Guarantees, Coverage Levels, and Prices * * * * * 5. Cancellation and Termination Dates * E:\FR\FM\27JNR2.SGM * * 27JNR2 * * 53842 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations Cancellation and termination dates State and county All counties in California and Arizona Counties: La Paz, Maricopa, Mohave, Pima, Pinal, and Yuma ................................. All other Arizona counties and all other states ....................................................................................................................... * * * * * 13. Settlement of Claim * * * * * (b) * * * (13) Multiplying the result of section 13(b)(12) by your share. lotter on DSK11XQN23PROD with RULES2 Examples for Section 13(b) Example 1: In this example, you have not elected optional units by type. You have a 100 percent share in 100 acres of springplanted smooth green dry edible peas in the unit, with a production guarantee of 4,000 pounds per acre and a price election of $0.15 per pound. Your selected price election percentage is 100 percent. You are only able to harvest 200,000 pounds. Your indemnity would be calculated as follows: (1) 100 acres × 4,000 pounds = 400,000-pound guarantee; (2) 400,000-pound guarantee × $0.12 price election = $48,000 value of guarantee; (3) Not applicable; (4) Not applicable; (5) Not applicable; (6) Not applicable; (7) Not applicable; (8) Not applicable; (9) 200,000-pound production to count × $0.12 price election = $24,000 value of production to count; (10) Not applicable; (11) Not applicable; (12) $48,000 value of guarantee¥$24,000 value of production to count = $24,000 loss; and (13) $24,000 × 100 percent share = $24,000 indemnity payment. Example 2: Assume the same facts in example 1. Also assume you have a 100 percent share in 100 acres of contract seed types in the same unit, with a production guarantee of 5,000 pounds per acre and a base contract price of $0.40 per pound. Your selected price election percentage is 100 percent. You are only able to harvest 450,000 pounds. Your total indemnity for both spring-planted smooth green dry edible peas and contract seed types would be calculated as follows: (1) 100 acres × 4,000 pounds = 400,000-pound guarantee for the springplanted smooth green dry edible pea type; (2) 400,000-pound guarantee × $0.12 price election = $48,000 value of VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 guarantee for the spring-planted smooth green dry edible pea type; (3) $48,000 (only one spring-planted smooth green dry edible pea type; no other types in this example to total); (4) 100 acres × 5,000 pounds = 500,000-pound guarantee for the contract seed type; (5) 500,000-pound guarantee × $0.40 base contract price = $200,000 gross value of guarantee for the contract seed type; (6) $200,000 × 1.00 price election percentage = $200,000 value of guarantee for the contract seed type; (7) $200,000 (only one contract seed type; no other types in this example to total); (8) $48,000 + $200,000 = $248,000 total value of guarantee; (9) 200,000-pound production to count × $0.12 price election = $24,000 value of production to count for the spring-planted smooth green dry edible pea type; (10) 450,000-pound production to count × $0.40 = $180,000 value of production to count for the contract seed type; (11) $24,000 + $180,000 = $204,000 total value of production to count; (12) $248,000¥$204,000 = $44,000 loss; and (13) $44,000 loss × 100 percent share = $44,000 indemnity payment. End of Examples. * * * * * ■ 17. Amend § 457.142 as follows: ■ a. Revise the introductory text and the undesignated text at the beginning of the ‘‘Northern Potato Crop Provisions’’; ■ b. In section 1, in the definition of ‘‘Grade inspection’’, remove the words ‘‘deficiencies will be: For potatoes’’ and add ‘‘deficiencies will be: for potatoes’’ in their place; ■ c. In section 2: ■ i. Revise the section heading; and ■ ii. In paragraph (a), remove the words ‘‘Special Provisions’’ wherever they appear and add ‘‘actuarial documents’’ in their place each time; ■ d. In section 6, in paragraph (d) introductory text, remove the words ‘‘Special Provision’’ and add ‘‘Special Provisions’’ in their place; ■ e. In section 7, in the introductory text, remove the words ‘‘the provisions of’’; ■ f. In section 8: ■ i. In the introductory text, remove the words ‘‘the provisions of’’; and PO 00000 Frm 00022 Fmt 4701 Sfmt 4700 October 31. March 15. ii. In paragraph (a), remove the words ‘‘October 1, in’’ and add the words ‘‘October 1 in’’ in their place; ■ g. In section 9, in paragraph (a) introductory text, remove the words ‘‘the provisions of’’; and ■ h. In section 11: ■ i. In paragraph (b)(1), remove the words ‘‘guarantee (If’’ and add the words ‘‘guarantee (if’’ in their place; ■ ii. Revise paragraph (b)(2); ■ iii. In paragraph (e)(2), remove the words ‘‘end of the insurance period and quality (grade) determinations must be completed with 21 days of sampling)’’ and add ‘‘end of insurance period and quality (grade) determinations must be completed within 21 days of sampling’’ in their place; ■ iv. In paragraph (g)(1)(i), remove the words ‘‘Special Provisions or addendum thereto’’ and add ’’ actuarial documents’’ in their place; and ■ v. In paragraph (g)(2) introductory text, remove the words ‘‘Northern Storage Coverage Endorsement’’ and add ‘‘Northern Potato Storage Coverage Endorsement’’ in their place. The revisions read as follows: ■ § 457.142 Northern potato crop insurance provisions. The Northern Potato Crop Insurance Provisions for the 2025 and succeeding crop years in counties with a contract change date of June 30, September 30, and November 30, and for the 2026 and succeeding crop years in counties with a contract change date of April 30, are as follows: United States Department of Agriculture Federal Crop Insurance Corporation Northern Potato Crop Provisions In return for your payment of premium and administrative fee for the coverage, these Northern Potato Crop Provisions will be attached to and made part of the Common Crop Insurance Policy, Basic Provisions (Basic Provisions) subject to the terms and conditions in your policy. These provisions will be applicable in: Alaska; Humboldt, Modoc, and Siskiyou Counties, California; Colorado; Connecticut; Idaho; Indiana; Iowa; Kansas; Maine; Massachusetts; Michigan; Minnesota; Montana; Nebraska; Nevada; San Juan County, New Mexico; New York; North Dakota; Ohio; Oregon; Pennsylvania; Rhode Island; South Dakota; Utah; Washington; Wisconsin; and Wyoming; and any E:\FR\FM\27JNR2.SGM 27JNR2 53843 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations other states or counties if allowed by the Special Provisions. * * * * * 2. Insurance Guarantees, Coverage Levels, and Prices * * * * * 11. Settlement of Claim * * * * * (b) * * * (2) Multiplying each result in section 11(b)(1) by the respective price election (the price election may be limited as specified in section 2); * * * * * ■ 18. Amend § 457.147 as follows: ■ a. Revise the introductory text and the undesignated text at the beginning of the ‘‘Central and Southern Potato Crop Provisions’’; ■ b. In section 1, in the definition of ‘‘Grade inspection’’, remove the words ‘‘deficiencies will be: For potatoes’’ and add ‘‘deficiencies will be: for potatoes’’ in their place; ■ c. In section 3: ■ i. Revise the section heading; and ■ ii. In paragraph (a), remove the words ‘‘section 2’’ and add ‘‘section 3’’ in their place and remove the words ‘‘Special Provisions’’ wherever they appear and add ‘‘actuarial documents’’ in their place each time; ■ d. In section 5, revise the column headings in the table; ■ e. In section 8 introductory text and section 9 introductory text, remove the words ‘‘the provisions of’’; ■ f. In section 10, in paragraph (a) introductory text, remove the words ‘‘the provisions of’’; and ■ g. In section 12: ■ i. In paragraph (b)(2), remove the words ‘‘section 3.)’’ and add ‘‘section 3)’’ in their place; and ■ ii. In paragraph (d)(1)(iv), remove the words ‘‘sections 12(e)’’ and add the words ‘‘section 12(e)’’ in their place. The revisions read as follows: § 457.147 Central and Southern potato crop insurance provisions. The Central and Southern Potato Crop Insurance Provisions for the 2025 and succeeding crop years in counties with a contract change date of June 30, September 30, and November 30, and for the 2026 and succeeding crop years in counties with a contract change date of April 30, are as follows: United States Department of Agriculture Federal Crop Insurance Corporation Central and Southern Potato Crop Provisions In return for your payment of premium and administrative fee for the coverage, these Central and Southern Potato Crop Provisions will be attached to and made part of the Common Crop Insurance Policy, Basic Provisions (Basic Provisions) subject to the terms and conditions in your policy. These provisions will be applicable in Alabama; Arizona; all California counties except Humboldt, Modoc, and Siskiyou; Delaware; Florida; Georgia; Maryland; Missouri; New Jersey; all New Mexico counties except San Juan; North Carolina; Oklahoma; Texas; and Virginia; and other states or counties if allowed by the Special Provisions. * * * * * 3. Insurance Guarantees, Coverage Levels, and Prices * * * * 5. Cancellation and Termination Dates * * * * * * * * * * * 19. Amend § 457.150 as follows: a. Revise the introductory text and the undesignated text at the beginning of the ‘‘Dry Bean Crop Provisions’’; ■ b. In section 1, in the definition of ‘‘Practical to replant’’, remove the text ‘‘(§ 457.8)’’; ■ c. In section 2: ■ i. Revise the section heading; ■ ii. In paragraph (a), remove the words ‘‘production based’’ and add the words ‘‘production-based’’ in their place and remove the words ‘‘acreage based’’ and add the words ‘‘acreage-based’’ in their place; ■ iii. Revise paragraph (b) introductory text; ■ iv. In paragraph (b)(2), remove the words ‘‘section 34(a)(4)’’ and add ‘‘section 34(a)(2)’’ in their place; ■ v. In paragraphs (b)(3)(i)(A) and (B) and (b)(3)(ii), remove the words ‘‘section 34(a)(4)’’ and add ‘‘section 34(a)(2) of the Basic Provisions’’ in their place; and ■ vi. In paragraph (c), remove the words ‘‘section 34(c) in the Basic Provisions’’ and add ‘‘section 34(c) of the Basic Provisions’’ in their place; ■ d. In section 3: ■ i. Revise the section heading; and lotter on DSK11XQN23PROD with RULES2 ■ ■ VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 * * ii. In paragraph (a), remove the text ‘‘(§ 457.8)’’ and remove the words ‘‘Special Provisions’’ and add ‘‘actuarial documents’’ in their place; ■ e. Revise section 5; ■ f. In sections 6, remove the text ‘‘(§ 457.8)’’; ■ g. In section 7, in paragraph (a) introductory text, remove the text ‘‘(§ 457.8)’’; ■ h. In section 8 introductory text, section 9 introductory text, and section 10 introductory text, remove the text ‘‘(§ 457.8)’’; ■ i. In section 11, in paragraphs (a) and (d), remove the text ‘‘(§ 457.8)’’; ■ j. In section 12, remove the text ‘‘(§ 457.8)’’; and ■ k. In section 13, in paragraph (e)(4) introductory text, remove the words ‘‘sections 13(e) (2) and (3)’’ and add ‘‘sections 13(e)(2) and (3)’’ in their place. The revisions read as follows: ■ § 457.150 Dry bean crop insurance provisions. The Dry Bean Crop Insurance Provisions for the 2025 and succeeding crop years are as follows: United States Department of Agriculture PO 00000 Frm 00023 Fmt 4701 * Cancellation and termination dates State and county * * Sfmt 4700 * * Federal Crop Insurance Corporation Dry Bean Crop Provisions In return for your payment of premium and administrative fee for the coverage, these Dry Bean Crop Provisions will be attached to and made part of the Common Crop Insurance Policy, Basic Provisions (Basic Provisions) subject to the terms and conditions in your policy. * * * * * 2. Unit Division * * * * * (b) In addition to enterprise units provided in section 34(a)(2) of the Basic Provisions, you may elect separate enterprise units by type, as provided in this section, if allowed by the actuarial documents. If you elect enterprise units by type, you may not elect enterprise or optional units by any other practice or type. * * * * * 3. Insurance Guarantees, Coverage Levels, and Prices * E:\FR\FM\27JNR2.SGM * * 27JNR2 * * 53844 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations 5. Cancellation and Termination Dates In accordance with section 2 of the Basic Provisions, the cancellation and termination dates are: Cancellation and termination dates State and county California .................................................................................................................................................................................. All other States ........................................................................................................................................................................ * * * * * 20. Amend § 457.155 as follows: a. Revise the introductory text and the undesignated text at the beginning of the ‘‘Processing Bean Crop Provisions’’; ■ b. In section 1, revise the definition of ‘‘Good farming practices’’; ■ c. In section 2, revise paragraphs (a)(2) and (b); ■ d. In section 3, revise the section heading; ■ e. In section 9, revise paragraph (d); and ■ f. In section 12, revise paragraph (b)(7) and the example paragraphs between paragraphs (b)(7) and (c). The revisions read as follows: ■ ■ § 457.155 Processing bean crop insurance provisions. The Processing Bean Crop Insurance Provisions for the 2025 and succeeding crop years are as follows: United States Department of Agriculture Federal Crop Insurance Corporation Processing Bean Crop Provisions In return for your payment of premium and administrative fee for the coverage, these Processing Bean Crop Provisions will be attached to and made part of the Common Crop Insurance Policy, Basic Provisions (Basic Provisions) subject to the terms and conditions in your policy. 1. Definitions * * * * * Good farming practices. In addition to the definition contained in the Basic Provisions, good farming practices include those practices required by the processor contract. * * * * * 2. Unit Division lotter on DSK11XQN23PROD with RULES2 * * * * * (a) * * * (2) Optional units as provided in section 34(c) of the Basic Provisions are not applicable. (b) For any processor contract that stipulates the number of acres to be planted, in addition to, or instead of, establishing optional units as provided in section 34(c) of the Basic Provisions, optional units may be established by VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 type if acreage of one type does not continue into acreage of another type in the same rows or planting pattern. 3. Insurance Guarantees, Coverage Levels, and Prices * * * * * 9. Insurance Period * * * * * (d) The calendar date for the end of the insurance period shown in the Special Provisions, unless otherwise modified by written agreement. * * * * * 12. Settlement of Claim * * * * * (b) * * * (7) Multiplying the result of section 12(b)(6) by your share. Example for Section 12(b) You have a 100 percent share in 100 acres of snap type processing beans in the unit, with a guarantee of 3.0 tons per acre and a price election of $210.00 per ton. You are only able to harvest 200 tons. Your indemnity would be calculated as follows: (1) 100 acres × 3.0 tons = 300 tons guarantee; (2) 300 tons × $210.00 price election = $63,000.00 value of guarantee; (3) 200 tons × $210.00 price election = $42,000.00 value of production to count; (4) $63,000.00¥$42,000.00 = $21,000.00 loss; and (5) $21,000.00 × 100 percent = $21,000.00 indemnity payment. You also have a 100 percent share in 100 acres of lima type processing beans in the same unit, with a guarantee of 1.0 ton per acre and a price election of $525.00 per ton. You are only able to harvest 75 tons. Your total indemnity for both snap and lima types processing beans would be calculated as follows: (1) 100 acres × 3.0 tons = 300 tons guarantee for the snap type, and 100 acres × 1.0 ton = 100 tons guarantee for the lima type; (2) 300 tons × $210.00 price election = $63,000.00 value of guarantee for the snap type, and 100 tons × $525.00 price PO 00000 Frm 00024 Fmt 4701 Sfmt 4700 February 28. March 15. election = $52,500.00 value of guarantee for the lima type; (3) $63,000.00 + $52,500.00 = $115,500.00 total value of guarantee; (4) 200 tons × $210.00 price election = $42,000.00 value of production to count for the snap type, and 75 tons × $525.00 price election = $39,375.00 value of production to count for the lima type; (5) $42,000.00 + $39,375.00 = $81,375.00 total value of production to count; (6) $115,500.00¥$81,375.00 = $33,625.00 loss; and (7) $33,625.00 loss × 100 percent = $33,625.00 indemnity payment. End of Example. * * * * * ■ 21. Amend § 457.161 as follows: ■ a. Revise the introductory text and the undesignated text at the beginning of the ‘‘Canola and Rapeseed Crop Provisions’’; ■ b. Revise section 2; ■ c. In section 3, revise the section heading; ■ d. In section 5, revise the section heading and the table; ■ e. In section 7, in the introductory text, remove the words ‘‘the provisions of’’; ■ f. Revise section 8; ■ g. In section 9, in the introductory text, remove the words ‘‘the provisions of’’; ■ h. In section 12, revise paragraph (b)(6) and the example paragraphs between paragraphs (b)(6) and (c); and ■ i. In section 14, remove the period at the end of the section heading. The revisions read as follows: § 457.161 Canola and rapeseed crop insurance provisions. The Canola and Rapeseed Crop Insurance Provisions for the 2025 and succeeding crop years are as follows: United States Department of Agriculture Federal Crop Insurance Corporation Canola and Rapeseed Crop Provisions In return for your payment of premium and administrative fee for the coverage, these Canola and Rapeseed Crop Provisions and corresponding Commodity Exchange Price Provisions E:\FR\FM\27JNR2.SGM 27JNR2 53845 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations will be attached to and made part of the Common Crop Insurance Policy, Basic Provisions (Basic Provisions) subject to the terms and conditions in your policy. * * * * * In addition to section 34(c) of the Basic Provisions, optional units may be established by type if the type is designated in the Special Provisions. 3. Insurance Guarantees, Coverage Levels, and Prices * * * * * 5. Cancellation and Termination Dates * * * * * State and county Cancellation date (a) All counties in Alabama and Georgia ............................................................................................................ (b) Blaine, Bonneville, Fremont, Jefferson, Madison, and Teton counties in Idaho; and all counties in Minnesota, Montana, North Dakota, and South Dakota. (c) All counties in Illinois, Indiana, Kansas, Kentucky, Michigan, North Carolina, Oklahoma, South Carolina, Tennessee, Texas, and Virginia. (d) All other Idaho counties, Oregon, and Washington ...................................................................................... September 30 .. March 15 ......... September 30. March 15. August 31 ........ August 31. August 31 ........ October 31. * * * * * 8. Insurance Period In accordance with section 11 of the Basic Provisions, the calendar date for the end of the insurance period is October 31 of the calendar year in which the crop is normally harvested, unless otherwise specified in the Special Provisions. * * * * * 12. Settlement of Claim * * * * * (b) * * * (6) Multiplying the result of section 12(b)(5) by your share. Example for Section 12(b) lotter on DSK11XQN23PROD with RULES2 2. Unit Division You have 100 percent share in 50 acres of canola in the unit with a production guarantee (per acre) of 1,350 pounds, your projected price is $.26, your harvest price is $.24, and your production to count is 51,000 pounds. If you elected yield protection: (1) 50 acres × (1,350 pound production guarantee × $.26 projected price) = $17,550.00 value of the production guarantee; (2) Not applicable; (3) 51,000 pound production to count × $.26 projected price = $13,260.00 value of the production to count; (4) Not applicable; (5) $17,550.00¥$13,260.00 = $4,290.00; and (6) $4,290.00 × 1.000 share = $4,290.00 indemnity; or If you elected revenue protection: (1) 50 acres × (1,350 pound production guarantee × $.26 projected price) = $17,550.00 revenue protection guarantee; (2) Not applicable; (3) 51,000 pound production to count × $.24 harvest price = $12,240.00 value of the production to count; (4) Not applicable; (5) $17,550.00¥$12,240.00 = $5,310.00; and VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 (6) $5,310.00 × 1.000 share = $5,310.00 indemnity. End of Example. * * * * * ■ 22. Amend § 457.166 as follows: ■ a. Revise the introductory text and the undesignated text at the beginning of the ‘‘Blueberry Crop Insurance Provisions’’; ■ b. In section 1, revise the definition for ‘‘Production guarantee (per acre)’’; ■ c. In section 3, revise paragraph (c); ■ d. In section 7, in paragraphs (a) introductory text and (b) introductory text, remove the words ‘‘the provisions of’’; ■ e. In section 8, in paragraph (a) introductory text, remove the words ‘‘the provisions of’’; and ■ f. In section 10: ■ i. Revise paragraph (b)(7) and the example for section 10(b); and ■ ii. In paragraph (d)(2)(i), remove the words ‘‘Special Provisions’’ and add ‘‘actuarial documents’’ in their place. The revisions read as follows: § 457.166 Blueberry crop insurance provisions. The Blueberry Crop Insurance Provisions for the 2025 and succeeding crop years are as follows: United States Department of Agriculture Federal Crop Insurance Corporation Blueberry Crop Provisions In return for your payment of premium and administrative fee for the coverage, these Blueberry Crop Provisions will be attached to and made part of the Common Crop Insurance Policy, Basic Provisions (Basic Provisions) subject to the terms and conditions in your policy. * * * * * 1. Definitions * * * * * Production guarantee (per acre). In accordance with the definition in the PO 00000 Frm 00025 Fmt 4701 Sfmt 4700 Termination date Basic Provisions, the production guarantee is number of pounds. * * * * * 3. Insurance Guarantees, Coverage Levels, and Prices * * * * * (c) We will reduce the approved yield, as necessary, based on our estimate of the effect of any circumstance listed in section 3(b) that may reduce your yields from previous levels. If you fail to notify us of any circumstance that may reduce your yields from previous levels, we will reduce your approved yield at any time we become aware of the circumstance. If the circumstance occurred: (1) Before the beginning of the insurance period and you notify us by the production reporting date, the approved yield will be reduced for the current crop year regardless of whether the circumstance was due to an insured or uninsured cause of loss; (2) After the beginning of the insurance period and you notify us by the production reporting date, the approved yield will be reduced for the current crop year only if the potential reduction in the approved yield is due to an uninsured cause of loss; or (3) Before or after the beginning of the insurance period and you fail to notify us by the production reporting date, an amount equal to the reduction in the approved yield will be added to the production to count calculated in section 10(c)(1)(ii) due to uninsured causes. We will reduce your approved yield for the subsequent crop year to reflect any reduction in the productive capacity of the bushes or in the yield potential of the insured acreage. * * * * * 10. Settlement of Claim * * * * * (b) * * * (7) Multiplying the result in section 10(b)(6) by your share. E:\FR\FM\27JNR2.SGM 27JNR2 53846 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations Example for Section 10(b) ■ 6. Report of Acreage You have 100 percent share in 25 acres of highbush blueberries with a production guarantee of 4,000 pounds per acre and a price election of $0.85 per pound. You are only able to harvest 62,500 total pounds because adverse weather reduced the yield. Your indemnity would be calculated as follows: (1) 25 acres × 4,000-pound production guarantee per acre = 100,000-pound total production guarantee; (2) 100,000 pounds × $0.85 price election = $85,000 guarantee; (3) Not applicable; (4) 62,500-pound production to count × $0.85 price election = $53,125 value of production to count; (5) Not applicable; (6) $85,000¥$53,125 = $31,875 loss; and (7) $31,875 × 100 percent share = $31,875 indemnity payment. End of Example. * * * * * ■ 23. Amend § 457.167 as follows: ■ a. Revise the introductory text and the undesignated text at the beginning of the ‘‘Pecan Revenue Crop Provisions’’ ■ b. In section 1: ■ i. Revise the definitions of ‘‘Crop year’’ and ‘‘Direct marketing’’; ■ ii. In the definition of ‘‘Interplanted’’, remove the word ‘‘contained’’; ■ c. In section 2: ■ i. In paragraph (a), remove the words ‘‘section 34(a)(4)’’ and add ‘‘section 34(a)(2)’’ in their place; and ■ ii. In paragraph (c) introductory text, remove the word ‘‘contained’’; ■ d. In section 4: ■ i. In the introductory text, remove the words ‘‘the provisions contained in’’; and ■ ii. In paragraph (b), remove the word ‘‘herein’’ and add ‘‘in your policy’’ in its place; ■ * e. In section 6, revise paragraph (c); f. In section 10, in paragraphs (a) introductory text and (b) introductory text, remove the words ‘‘the provisions of’’; ■ g. In the section 13, revise the Pecan Revenue Example; and ■ h. In section 16, remove the words ‘‘the provisions of’’. The revisions read as follows: § 457.167 Pecan revenue crop insurance provisions. The Pecan Revenue Crop Insurance Provisions for the 2025 and succeeding crop years are as follows: United States Department of Agriculture Federal Crop Insurance Corporation Pecan Revenue Crop Provisions In return for your payment of premium and administrative fee for the coverage, these Pecan Revenue Crop Provisions will be attached to and made part of the Common Crop Insurance Policy, Basic Provisions (Basic Provisions) subject to the terms and conditions in your policy. 1. Definitions * * * * * Crop year. In lieu of the definition in section 1 of the Basic Provisions, the period beginning February 1 of the calendar year in which the pecan trees bloom and extending through January 31 of the year following such bloom, and will be designated by the calendar year in which the pecan trees bloom. Direct marketing. In addition to the definition in section 1 of the Basic Provisions, the sale of the insured crop directly to consumers without the intervention of an intermediary, including a sheller. An additional example of direct marketing includes shelling and packing your own pecans. * * * * * * * * * (c) We will reduce your insured acreage or your amount of insurance per acre, as necessary, based on our estimate of the effect of any circumstance listed in sections 6(a) and (b) that may reduce your gross sales from previous levels. If you fail to notify us of any circumstance that may reduce your gross sales from previous levels, we will reduce your insured acreage or your amount of insurance per acre at any time we become aware of the circumstance. If the circumstance occurred: (1) Before the beginning of the insurance period and you notify us by the acreage reporting date, your insured acreage or amount of insurance per acre will be reduced for the current crop year regardless of whether the circumstance was due to an insured or uninsured cause of loss; (2) After the beginning of the insurance period and you notify us by the acreage reporting date, your insured acreage or amount of insurance per acre will be reduced for the current crop year only if the potential reduction in your gross sales is due to an uninsured cause of loss; or (3) Before or after the beginning of the insurance period and you fail to notify us by the acreage reporting date, an amount equal to the reduction in your gross sales will be added to the production to count calculated in section 13(d)(1)(ii) due to uninsured causes. We will reduce your insured acreage or amount of insurance per acre for the subsequent crop year to reflect any reduction in the productive capacity of the trees or in the gross sales potential of the insured acreage. * * * * * 13. Settlement of Claim * * * * * PECAN REVENUE EXAMPLE Year lotter on DSK11XQN23PROD with RULES2 4 3 2 1 ................................................................................................................................................... ................................................................................................................................................... ................................................................................................................................................... ................................................................................................................................................... Total Average Gross Sales per Acre = $2,675. The approved average revenue equals the total average gross sales per acre divided by the number of years ($2,675 ÷ 4 = $669). VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 Average pounds per acre Acres The amount of insurance per acre equals the approved average revenue multiplied by the coverage level percent ($669 × 0.65 = $435). Assume pecan trees in the unit experienced damage to blooms due to a late freeze causing low production. You PO 00000 Frm 00026 Fmt 4701 Sfmt 4700 100 100 100 100 750 625 1,250 200 Average gross sales per acre $1,050 625 750 250 produced, harvested, and sold 300 pounds per acre of pecans from 70 acres and received an actual price of $0.75 per pound. On the other 30 acres, the pecans suffered damage due to drought. You elected not to harvest the other 30 acres of pecans. The 30 acres were E:\FR\FM\27JNR2.SGM 27JNR2 Federal Register / Vol. 89, No. 124 / Thursday, June 27, 2024 / Rules and Regulations appraised at 100 pounds per acre and on the day of the appraisal the average AMS price was $0.65. The total dollar value of production to count is (300 pounds of pecans × 70 net acres × $0.75) + (100 pounds × 30 net acres × $0.65) = $15,750 + $1,950 = $17,700. The indemnity would be: The amount of insurance per acre multiplied by the net acres minus the dollar value of the total production to count equals the dollar amount of indemnity ($435 × 100 = $43,500.00 ¥$17,700.00 = $25,800). * * * * * ■ 24. Amend § 457.175 as follows: ■ a. Revise the introductory text and the undesignated text at the beginning of the ‘‘California Avocado Crop Provisions’’; ■ b. In section 1, in the definition of ‘‘Crop year’’, remove the words ‘‘The period of time’’ and add ‘‘In lieu of the definition contained in section 1 of the Basic Provisions, the period of time’’ in their place; ■ c. Revise section 2; ■ d. In section 3, revise paragraph (c); ■ e. In section 6, in paragraph (b), remove the words ‘‘the provisions of’’; ■ f. In section 8: ■ i. In paragraphs (a) introductory text and (b) introductory text, remove the words ‘‘the provisions of’’; and ■ ii. Revise paragraphs (b)(2) introductory text and (b)(2)(iii); and ■ g. In section 11, in paragraph (c)(1)(iv)(A), remove the word ‘‘Section’’ and add ‘‘section’’ in its place. The revisions read as follows: § 457.175 California avocado crop insurance provisions. lotter on DSK11XQN23PROD with RULES2 The California Avocado Crop Provisions for the 2026 and succeeding crop years are as follows: VerDate Sep<11>2014 21:13 Jun 26, 2024 Jkt 262001 United States Department of Agriculture Federal Crop Insurance Corporation California Avocado Crop Provisions In return for your payment of premium and administrative fee for the coverage, these California Avocado Crop Provisions will be attached to and made part of the Common Crop Insurance Policy, Basic Provisions (Basic Provisions) subject to the terms and conditions in your policy. * * * * * 2. Unit Division (a) Optional units may be established by: (1) Organic and non-organic farming practices as provided in section 34(c)(3) of the Basic Provisions; (2) Non-contiguous land; or (3) Type. (b) Optional units by land location as provided in section 34(c)(1) of the Basic Provisions and by irrigation practice as provided in section 34(c)(2) of the Basic Provisions are not applicable. 3. Insurance Guarantees, Coverage Levels, and Prices * * * * * (c) We will reduce the approved yield, as necessary, based on your estimate of the effect of any circumstance listed in section 3(b) that may reduce your yields from previous levels. If you fail to notify us of any circumstance that may reduce your yields from previous levels, we will reduce your approved yield at any time we become aware of the circumstance. If the circumstance occurred: (1) Before the beginning of the insurance period and you notify us by the production reporting date, the approved yield will be reduced for the current crop year regardless of whether PO 00000 Frm 00027 Fmt 4701 Sfmt 9990 53847 the circumstance was due to an insured or uninsured cause of loss; (2) After the beginning of the insurance period and you notify us by the production reporting date, the approved yield will be reduced for the current crop year only if the potential reduction in the approved yield is due to an uninsured cause of loss; or (3) Before or after the beginning of the insurance period and you fail to notify us by the production reporting date, an amount equal to the reduction in the approved yield will be added to the production to count calculated in section 11(c)(1)(ii) due to uninsured causes. We will reduce your approved yield for the subsequent crop year to reflect any reduction in the productive capacity of the trees or in the yield potential of the insured acreage. * * * * * 8. Insurance Period * * * * * (b) * * * (2) If you relinquish your insurable interest on any acreage of avocados on or before the acreage reporting date of any crop year, insurance will not be considered to have attached to and no premium will be due, and no indemnity paid, for such acreage for that crop year unless: * * * * * (iii) The transferee is eligible for crop insurance. * * * * * Marcia Bunger, Manager, Federal Crop Insurance Corporation. [FR Doc. 2024–13198 Filed 6–26–24; 8:45 am] BILLING CODE 3410–08–P E:\FR\FM\27JNR2.SGM 27JNR2

Agencies

[Federal Register Volume 89, Number 124 (Thursday, June 27, 2024)]
[Rules and Regulations]
[Pages 53822-53847]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2024-13198]



[[Page 53821]]

Vol. 89

Thursday,

No. 124

June 27, 2024

Part III





Department of Agriculture





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 Federal Crop Insurance Corporation





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7 CFR Parts 400, 407, and 457





Expanding Options for Specialty and Organic Growers (EOSOG); Final Rule

Federal Register / Vol. 89 , No. 124 / Thursday, June 27, 2024 / 
Rules and Regulations

[[Page 53822]]


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DEPARTMENT OF AGRICULTURE

Federal Crop Insurance Corporation

7 CFR Parts 400, 407, and 457

[Docket ID FCIC-24-0003]
RIN 0563-AC85


Expanding Options for Specialty and Organic Growers (EOSOG)

AGENCY: Federal Crop Insurance Corporation, U.S. Department of 
Agriculture (USDA).

ACTION: Final rule with request for comments.

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SUMMARY: The Federal Crop Insurance Corporation (FCIC) is amending its 
regulations to expand the availability of enterprise and optional 
units. FCIC is also clarifying double cropping requirements when 
another plan of insurance does not require records of acreage and 
production. FCIC is removing burdensome written agreement requirements 
and setting new yield guarantee limits for new breaking acreage. In 
this rule, FCIC is providing flexibility and clarifying rules regarding 
assignment of indemnity and streamlining and shortening good farming 
practice determinations. FCIC is also clarifying the timing and method 
of yield reductions for several perennial crops, and allowing sunburn 
damaged walnuts to be eligible for indemnity payments through quality 
adjustment. The changes to the crop insurance policies resulting from 
the amendments in this rule are applicable for the 2025 and succeeding 
crop years for crops with a contract change date on or after June 30, 
2024. For all other crops, the changes to the policies made in this 
rule are applicable for the 2026 and succeeding crop years.

DATES: Effective date: This final rule is effective June 30, 2024.
    Comment date: We will consider comments that we receive by the 
close of business August 26, 2024. FCIC may consider the comments 
received and may conduct additional rulemaking based on the comments.

ADDRESSES: We invite you to submit comments on this rule. You may 
submit comments by going through the Federal eRulemaking Portal as 
follows:
     Federal eRulemaking Portal: Go to https://www.regulations.gov and search for Docket ID FCIC-24-0003. Follow the 
instructions for submitting comments.
    All comments will be posted without change and will be publicly 
available on www.regulations.gov.

FOR FURTHER INFORMATION CONTACT: Chandra Place; telephone (816) 926-
3875; or email [email protected]. Individuals who require 
alternative means for communication should contact the USDA Target 
Center at (202) 720-2600 (voice) or (844) 433-2774 (toll-free 
nationwide).

SUPPLEMENTARY INFORMATION: 

Background

    FCIC serves America's agricultural producers through effective, 
market-based risk management tools to strengthen the economic stability 
of agricultural producers and rural communities. FCIC is committed to 
increasing the availability and effectiveness of Federal crop insurance 
as a risk management tool. Approved Insurance Providers (AIPs) sell and 
service Federal crop insurance policies in every state through a 
public-private partnership. FCIC reinsures the AIPs who share the risks 
associated with catastrophic losses due to major weather events. FCIC's 
vision is to secure the future of agriculture by providing world class 
risk management tools to rural America.
    Federal crop insurance policies typically consist of the Basic 
Provisions, the Crop Provisions, the Special Provisions, the Commodity 
Exchange Price Provisions, if applicable, other applicable endorsements 
or options, the actuarial documents for the insured agricultural 
commodity, the Catastrophic Risk Protection Endorsement, if applicable, 
and the applicable regulations published in 7 CFR chapter IV. 
Throughout this rule, the terms ``Crop Provisions,'' ``Special 
Provisions,'' and ``policy'' are used as defined in the Common Crop 
Insurance Policy (CCIP), Basic Provisions in 7 CFR 457.8. Additional 
information and definitions related to Federal crop insurance policies 
are in 7 CFR 457.8.
    FCIC is amending the following regulations:
     Subpart J (7 CFR 400.98);
     Area Risk Protection Insurance Basic Provisions (7 CFR 
407.9);
     Common Crop Insurance Policy Basic Provisions (7 CFR 
457.8);
     Small grains crop insurance provisions (7 CFR 457.101);
     Sunflower seed crop insurance provisions (7 CFR 457.108);
     Fig crop insurance provisions (7 CFR 457.110);
     Coarse grains crop insurance provisions (7 CFR 457.113);
     Arizona-California citrus crop insurance provisions (7 CFR 
457.121);
     Walnut crop insurance provisions (7 CFR 457.122);
     Almond crop insurance provisions (7 CFR 457.123);
     Macadamia nut crop insurance provisions (7 CFR 457.131);
     Prune crop insurance provisions (7 CFR 457.133);
     Dry pea crop insurance provisions (7 CFR 457.140);
     Northern potato crop insurance provisions (7 CFR 457.142);
     Central and Southern potato crop insurance provisions (7 
CFR 457.147);
     Dry bean crop insurance provisions (7 CFR 457.150);
     Processing bean crop insurance provisions (7 CFR 457.155);
     Canola and rapeseed crop insurance provisions (7 CFR 
457.161);
     Blueberry crop insurance provisions (7 CFR 457.166);
     Pecan revenue crop insurance provisions (7 CFR 457.167); 
and
     California avocado crop insurance provisions (7 CFR 
457.175).
    The changes to the crop insurance policies resulting from the 
amendments in this rule are applicable for the 2025 and succeeding crop 
years for crops with a contract change date on or after June 30, 2024. 
For all other crops, the changes to the crop insurance policies 
resulting from the amendments in this rule are applicable for the 2026 
and succeeding crop years.

Enterprise and Optional Units

    FCIC is improving crop insurance for specialty crop producers by 
removing barriers to the adoption of enterprise units (EUs) and organic 
producers by removing existing restrictions on optional units (OU) 
availability while also authorizing EUs for organic farming practices 
in section 34(a) through (c) of the CCIP Basic Provisions.
    An EU allows a producer to insure all acres of the insured crop in 
the county together, as opposed to other unit structures that separate 
the acreage for insurance. EUs are attractive to producers due to lower 
premium rates offered to recognize the lower risk associated with the 
geographic diversification. In general, the larger the EU, the lesser 
the risk, and the greater the EU discount. Prior to this rule, to 
qualify for an EU, there must be acreage in two or more sections, 
section equivalents, or Farm Service Agency Farm Numbers (with some 
exceptions in limited circumstances) which generally follows the 
primary basis of OUs for the majority of crops.
    Prior to this rule, many specialty and perennial crop policies 
established OUs by non-contiguous parcels of land which do not qualify 
to be aggregated into an EU. This limits the effectiveness of EUs for 
these policies and creates an additional administrative burden by not 
following the established OU definition

[[Page 53823]]

for these crops. FCIC will allow crops that authorize OUs by non-
contiguous parcels of land to also qualify for EUs, in section 
34(a)(2)(i)(G) of the CCIP Basic Provisions. This will ensure equity in 
crop insurance availability for all producers because specialty and 
perennial crop producers will now have access to EUs consistent with 
row crop producers.
    Prior to this rule, unlike major row crops, OUs by organic farming 
practice were not available for most specialty and perennial crops due 
to language in the Crop Provisions (CP) that superseded the standard OU 
definition in the CCIP Basic Provisions. FCIC is removing existing OUs 
by organic limitations from the applicable Crop Provisions while also 
authorizing EUs by organic farming practice for all crops insured under 
section 34(a)(2)(i)(G)(vi) of the CCIP Basic Provisions where EUs are 
available, and the organic farming practice is insurable. These changes 
are responsive to organic growers and the Climate Smart Initiative. 
FCIC is also revising section 1 of the CCIP Basic Provisions in the 
definition of ``enterprise unit'' to authorize EU for acreage grown 
under an organic farming practice.
    In addition to the CCIP Basic Provisions described above, FCIC is 
making clarifications and edits for consistency with the new EU and OU 
choices in the following Crop Provisions:
     Small grains crop insurance provisions (7 CFR 457.101);
     Sunflower seed crop insurance provisions (7 CFR 457.108);
     Fig crop insurance provisions (7 CFR 457.110);
     Coarse grains crop insurance provisions (7 CFR 457.113);
     Arizona-California citrus crop insurance provisions (7 CFR 
457.121);
     Walnut crop insurance provisions (7 CFR 457.122);
     Almond crop insurance provisions (7 CFR 457.123);
     Macadamia nut crop insurance provisions (7 CFR 457.131);
     Prune crop insurance provisions (7 CFR 457.133);
     Dry pea crop insurance provisions (7 CFR 457.140);
     Dry bean crop insurance provisions (7 CFR 457.150);
     Processing bean crop insurance provisions (7 CFR 457.155);
     Canola and rapeseed crop insurance provisions (7 CFR 
457.161); and
     California avocado crop insurance provisions (7 CFR 
457.175).

Double Cropping and Annual Forage

    Double cropping is a farming practice for producing two or more 
crops for harvest on the same acreage in the same crop year. In order 
for a producer to receive two full indemnity payments or prevented 
planting payments, several double cropping requirements must be met. 
The CCIP Basic Provisions and the Annual Forage Crop Provisions (under 
the Rainfall Index Plan Common Policy, Basic Provisions) have some 
differences in their double cropping requirements, which has led to 
questions on which requirements must be met if the producer is double 
cropping two crops insured with these different double cropping 
requirements.
    FCIC is clarifying section 15(h) of the CCIP Basic Provisions, with 
a new paragraph (7) to clearly state what double cropping requirements 
apply for a producer to receive a full indemnity for the crop insured 
under the CCIP Basic Provisions when the producer is double cropping a 
crop insured under the CCIP Basic Provisions and another crop insured 
under another policy authorized under the Federal Crop Insurance Act 
(for example, the Annual Forage Crop Provisions). Specifically, the 
producer must meet existing requirements in sections 15(h)(1) through 
(3) of the CCIP Basic Provisions, but the double cropping history 
requirements contained in sections 15(h)(5) and (6) of the Basic 
Provisions do not apply. A producer is unlikely to have production 
history for the crop that is foraged or grazed under the Annual Forage 
Crop Provisions, so those requirements do not apply. The revisions 
reinforce the existing indemnity reductions that will apply if the 
producer does not meet the double cropping requirements.
    FCIC is adding a new requirement in section 15(h)(7) of the CCIP 
Basic Provisions for a producer to receive a full prevented planting 
payment for a crop insured under the CCIP Basic Provisions when the 
producer is double cropping and the other crop is insured under another 
policy authorized under the Federal Crop Insurance Act (for example, 
the Annual Forage Crop Provisions). To meet the new requirement for a 
full prevented planting payment, the producer must prove insurance 
history for the annual forage crop. In addition, FCIC is reinforcing 
the existing rules that the crop insured under the CCIP Basic 
Provisions must meet the double cropping requirements in sections 
15(h)(1) through (4) and 17(f)(4)(ii) and (iii) of the CCIP Basic 
Provisions. Adding this new program requirement will ensure that full 
prevented planting payments are only made to producers with a history 
of double cropping in their farming operation, without requiring 
production records to support the annual forage history.
    FCIC is clarifying double cropping requirements when a single crop 
is insured for dual use under both the CCIP Basic Provisions and 
another policy authorized under the Federal Crop Insurance Act (for 
example, the Annual Forage Crop Provisions) for different end uses, in 
a new paragraph 15(h)(8) of the CCIP Basic Provisions. The existing 
policy allows the same wheat crop to be insured for grain under the 
CCIP Basic Provisions, Small Grains Crop Provisions in addition to 
being insured as annual forage under the Annual Forage Crop Provisions. 
Producers and AIPs have questioned which policy's double cropping 
requirements must be followed if a subsequent crop is planted following 
the dual use wheat. Following the dual use insurance of the wheat crop, 
if a subsequent crop is insured under the CCIP Basic Provisions, all 
double cropping history requirements under the CCIP Basic Provisions 
apply for both crops insured under the CCIP Basic Provisions. This 
clarification is now explicit in the new paragraph 15(h)(8).
    FCIC is adding similar changes to section 13(c)(6) of the ARPI 
Basic Provisions, where applicable. The ARPI Basic Provisions do not 
have prevented planting coverage or a Special Provisions statement that 
allows for dual use, so those changes are not included in this rule.

New Breaking and Native Sod

    The Risk Management Agency (RMA) reviewed new breaking acreage 
insurance experience to determine the suitability of existing approved 
yield limitations. RMA compared historical yields for new breaking 
acreage, such as acreage emerging from native sod and acreage emerging 
from USDA programs (such as the Conservation Reserve Program (CRP)), to 
county transitional yields (T-Yields). RMA found that the approved 
yield limits of 65 or 80 percent of the county T-Yield result in under-
insurance for different types of new breaking acreage.
    FCIC is revising section 9 of the CCIP Basic Provisions by setting 
a new approved yield limit for new breaking acreage at 85 percent of 
the applicable T-Yield, with 2 exceptions:
    (1) acreage emerging from native sod will remain at 65 percent, as 
legislated; and
    (2) acreage emerging from USDA programs (such as CRP) will remain 
at 100 percent.
    Prior to this rule, the approved yield limit was in FCIC approved 
procedure and in the Special Provisions. FCIC is

[[Page 53824]]

moving the yield limit to section 9 of the CCIP Basic Provisions for 
clarity. As a result, FCIC expects approved yields that are more in 
line with how yields have historically performed. FCIC plans to review 
new breaking yield data every 5 years or at such time that there is 
meaningful data to analyze.
    FCIC is removing written agreement (WA) requirements for new 
breaking and native sod acres which is expected to reduce the number of 
WAs by 200 annually.
    FCIC is modifying the new breaking insurability requirement from 
planted and harvested (or insured) in ``one of the three'' previous 
crop years to ``one of the four'' previous crop years to provide 
consistency between new breaking and prevented planting acreage. 
Allowing an extra year before the idle acreage is considered new 
breaking benefits producers who rotate with idle ground as it reduces 
soil exposure to wind and water, decreases total soil loss, and allows 
more acreage to qualify for insurance without incurring a yield 
reduction. Providing consistency between acreage not planted for 
rotation purposes and acreage prevented from being planted will 
streamline the requirements for land returning to production and be 
easier for producers to understand.
    Prior to this rule, some perennial and specialty crops did not fit 
within the definition of new breaking acreage ``planted and harvested 
(or insured) in one of the three previous crop years'' due to a longer 
crop cycle. FCIC is allowing intensively managed perennial crops (for 
example, forage, tree, vine, bush, or mint) to move to row crop 
production and be eligible for insurance with a full guarantee. FCIC is 
also revising section 1 of the CCIP Basic Provisions adding a new 
definition of ``New breaking acreage'' to define acreage which has not 
been planted and harvested, or insured within the 4 previous crop 
years, in accordance with section 9(a).
    FCIC is revising sections 1 and 5 of the ARPI Basic Provisions to 
add similar changes, where applicable.

Assignment of Indemnity

    Section 29(d) of the CCIP Basic Provisions allow a producer to 
assign their right to an indemnity for the crop year to creditors or 
other persons to whom they have a financial debt or other pecuniary 
obligation. Prior to this rule, only one payment could be issued 
jointly in the names of all assignees and the producer. This has 
created problems when the parties request payment through an automated 
clearing house (ACH) to a single account when an assignment of 
indemnity is in place because this method does not allow for multiple 
payees. In this rule, FCIC allows for an indemnity to be issued to a 
single party if all assignees and the producer agree in writing. This 
addition provides flexibility for the producer, assignees, and the AIP 
when it is preferable for a payment to be issued by ACH or other 
electronic means when these methods do not allow for multiple payees.
    FCIC is incorporating two Final Agency Determinations (FADs) 
related to assignment of indemnity into section 29(d)(2) of the CCIP 
Basic Provisions. Prior to this rule, an assignee was allowed to submit 
all loss notices and forms and submit the claim for indemnity not later 
than 30 days after the period for filing a claim has expired when the 
producer failed to take such action and the indemnity was assigned. In 
a situation where the assignee submits the forms and claims for 
indemnity because the producer has failed to do so, FAD-243 and FAD-252 
clarified, and the FCIC addition explains the assignee steps into the 
shoes of the producer and assumes the rights and obligations of the 
producer. Those rights include initiating arbitration as provided by 
the policy should a dispute or disagreement ensue over the handling or 
determination of the claim. Since FADs are already legally binding and 
generally applicable to all program participants, incorporating the 
FADs is a non-substantive change.
    FCIC is adding similar changes to section 16(d) of the ARPI Basic 
Provisions to allow for an indemnity to be issued to a single payee if 
all assignees and the producer agree in writing. Unlike the CCIP Basic 
Provisions, there are no loss notices under the ARPI Basic Provisions, 
so the assignee does not assume any additional rights or 
responsibilities with an assignment of indemnity.

Good Farming Practices

    The Federal Crop Insurance Act, as amended (7 U.S.C. 
1508(a)(3)(A)(iii) and (B)) authorizes FCIC to offer crop insurance but 
also excludes coverage for losses due to ``the failure of the producer 
to follow good farming practices, including scientifically sound 
sustainable and organic farming practices.'' The Federal Crop Insurance 
Act also provides a producer the right to review a good farming 
practice (GFP) determination by an ``Informal administrative process to 
be established by FCIC.''
    The CCIP Basic Provisions provide that AIPs make the initial 
decision on whether a producer followed a GFP. If the producer 
disagrees with the AIP's GFP decision, they can request that FCIC make 
the GFP determination. If the producer disagrees with the FCIC 
determination, the producer can request FCIC's reconsideration in 
accordance with 7 CFR part 400, subpart J, or file suit against FCIC in 
district court. If the producer choses FCIC's reconsideration process 
and disagrees with FCIC's reconsideration decision, the producer can 
then file suit in district court.
    Prior to this rule, the materials FCIC would review in its 
reconsideration were vague, which resulted in a more burdensome and 
overly lengthy reconsideration process than intended. If a producer 
chose both an FCIC determination and FCIC reconsideration, the process 
could take 2 years, whereas if the producer chose to file in district 
court after reconsideration, the process could last about 3 years. The 
longer reconsideration process was costly to both the producer and 
FCIC.
    FCIC is clarifying in subpart J that the GFP reconsideration 
process is now limited to review of the administrative record compiled 
during the initial FCIC determination. The administrative record 
contains all the documents FCIC relied upon to make the GFP 
determination. Producers are required under section 21 of the CCIP 
Basic Provisions to retain and provide all records related to the 
insured crop upon request of the AIP and FCIC. Therefore, all the 
producer's pertinent information should have been included during the 
previous GFP decisions, first by the AIP and then by FCIC.
    This change will improve equity, efficiency, and effectiveness for 
producers, while also ensuring program integrity. Streamlining the 
reconsideration processes will reduce costs for producers who retain 
legal counsel, especially those who exercise all their appeal rights 
under the process. In cases where the producer prevails, shortening the 
process also reduces FCIC costs related to indemnities due with 
interest.
    In this rule, FCIC is also updated the mailing address contained in 
7 CFR part 400, subpart J, for requesting reconsideration.

Timing and Method of Reduction to Insured Acreage, Amount of Insurance, 
or Yields

    FCIC is clarifying the timing and method of reductions to insured 
acreage, amount of insurance, or yields for several perennial crops, if 
circumstances occur that may reduce gross sales or yield potential, 
based on

[[Page 53825]]

when the circumstance occurred. Prior to this rule, provisions stated 
that the AIP will reduce the insured acreage, amount of insurance, or 
yield used to establish the production guarantee, but did not state 
when or how the reductions would apply. FCIC is providing three 
scenarios that contain specific instructions for reductions based on 
the timing of when the circumstance occurred that may reduce gross 
sales or yield potential and whether the producer notified the AIP by 
the production reporting date. This is necessary for consistency with 
other perennial crop policies, including revisions to language that 
removes potential ambiguity regarding the consequences when 
circumstances occur that will reduce gross sales or yield potential. 
The applicable changes occur in the following Crop Provisions:
     Fig crop insurance provisions (7 CFR 457.110);
     Arizona-California citrus crop insurance provisions (7 CFR 
457.121);
     Walnut crop insurance provisions (7 CFR 457.122);
     Almond crop insurance provisions (7 CFR 457.123);
     Macadamia nut crop insurance provisions (7 CFR 457.131);
     Prune crop insurance provisions (7 CFR 457.133);
     Blueberry crop insurance provisions (7 CFR 457.166);
     Pecan revenue crop insurance provisions (7 CFR 457.167); 
and
     California avocado crop insurance provisions (7 CFR 
457.175).

Minimum Acreage, Stand, or Production Requirement for Figs

    FCIC is clarifying section 7(f)(l) of the Fig crop insurance 
provisions (7 CFR 457.110) that the minimum acreage, stand, or 
production requirement is not waived by a written agreement or any 
other agreement in writing, but rather, if ``otherwise allowed by the 
Special Provisions.'' This change will clarify the producer's 
requirement and provide consistency in identifying the location of the 
requirements within their policy.
    FCIC is also making the following changes in the Fig crop insurance 
provisions (7 CFR 457.110):
     Clarifying the definition for ``manufacturing grade 
production'' by specifically referencing the United States Standards 
for Grades of Dried Figs, Grade B; and
     Correcting the paragraph reference from ``paragraph (a)(1) 
of this section'' to ``section 9(a)(1)'' in section 9(b) and making 
plain language clarifications in sections 4 and 10. For example, 
replacing ``see the provisions under section 4 (Contract Changes) of 
the Basic Provisions'' with ``in accordance with section 4 of the Basic 
Provisions'' and replacing the phrase ``not insured against'' with 
``excluded.''

Walnut Quality Adjustment

    FCIC is allowing sunburn damaged walnuts to be eligible for 
indemnity payments through quality adjustment in section 11(d) of the 
Walnut crop insurance provisions (7 CFR 457.122). Quality adjustment 
provides an indemnity payment when there is a reduction in the quality 
of a crop due to an insured cause of loss, but all or a portion of the 
crop could still be sold. In recent years, California walnut growers 
have experienced a reduction in the quality of the nuts due to sunburn. 
Sunburn reduces the quality of the nuts, but they still have use and 
may be sold at a reduced value. Prior to this rule, Walnut Crop 
Provisions limited the application of quality adjustment to mold. In 
this rule, FCIC is moving the quality adjustment factors to the Special 
Provisions for both mold and sunburn damage.
    FCIC is also making the following changes in the Walnut crop 
insurance provisions (7 CFR 457.122):
     Correcting the paragraph reference from ``paragraph (a)(1) 
of this section'' to ``section 8(a)(1)'' in section 8(a); and
     Making plain language clarifications in section 6.

Almond Leaf Year

    FCIC is clarifying the insurable age requirement for almond trees 
is the 5th leaf year after being set out in section 6(e) of the Almond 
crop insurance provisions (7 CFR 457.123). Prior to this rule, the Crop 
Provisions specified that acreage that had reached at least the 6th 
growing season after being set out was insurable, but the Special 
Provisions allowed acreage that had reached the 5th growing season 
after being set out to be insurable. The intended effect of this action 
is to incorporate the existing Special Provisions statement allowing 
the 5th leaf year to be insurable into the policy to improve clarity 
and transparency for the producer. In addition, FCIC is correcting the 
phrase ``growing season'' by replacing it with ``leaf year'' to match 
how the information is displayed in the actuarial documents. This 
change will provide the producer with a phrase that is consistent in 
both the Crop Provisions and the actuarial documents.

Canola and Rapeseed Cancellation and Termination Dates

    FCIC is revising section 5 of the Canola and rapeseed crop 
insurance provisions (7 CFR 457.161) by adding a cancellation and 
termination date of March 15 for South Dakota and August 31 to 
Michigan. This change is being made to allow expansion of canola into 
these states where there is actuarially sufficient data to establish 
premium rates.

Clarifications and Corrections

    FCIC is clarifying the definitions of Production reporting date and 
Variable T-Yield in section 1 of the CCIP Basic Provisions.
    FCIC is clarifying that cover crops reported to another USDA agency 
are not insurable in section 8(b)(7) of the CCIP Basic Provisions and 
section 4(b)(8) of the ARPI Basic Provisions. If a cover crop is 
insured, no indemnity will be paid for such acreage, but the producer 
will still be liable for 60 percent of the premium they would otherwise 
be required to pay on those acres.
    FCIC is clarifying in section 22(a) of the CCIP Basic Provisions 
and section 18(b) of the ARPI Basic Provisions that if duplicate 
policies are found and one is an additional coverage policy and the 
other is a Catastrophic Risk Protection policy, whichever policy is 
kept in force the other policy will be void.
    FCIC is capitalizing all words, except ``and,'' in the table 
heading for cancellation and termination dates. This change will be 
made in the following Crop Provisions:
     Small grains crop insurance provisions (7 CFR 457.101);
     Sunflower seed crop insurance provisions (7 CFR 457.108);
     Coarse grains crop insurance provisions (7 CFR 457.113);
     Dry pea crop insurance provisions (7 CFR 457.140);
     Central and Southern potato crop insurance provisions (7 
CFR 457.147);
     Dry bean crop insurance provisions (7 CFR 457.150); and
     Canola and rapeseed crop insurance provisions (7 CFR 
457.161).
    FCIC is correcting the paragraph reference from ``paragraph (d) of 
this section'' to ``section 11(d)'' in section 11(c)(1)(iii) in the 
Small grains crop insurance provisions (7 CFR 457.101).
    FCIC is correcting the states and counties associated with the 
contract change dates, the cancellation and termination dates, and end 
of insurance period dates to match current coverage areas and dates in 
the actuarial documents. This change will be made in the following Crop 
Provisions:
     Coarse grains crop insurance provisions (7 CFR 457.113);
     Walnut crop insurance provisions (7 CFR 457.122); and
     Prune crop insurance provisions (7 CFR 457.133).

[[Page 53826]]

    FCIC is removing the definition of ``crop year'' that duplicates 
the same definition in the Basic Provisions and updating years used in 
examples in the Macadamia nut crop insurance provisions (7 CFR 457.131) 
to be current.
    FCIC is correcting the type references in the Prune crop insurance 
provisions (7 CFR 457.133), in the settlement of claim examples in 
section 11 to match the way types are displayed in the actuarial 
documents. This change will provide the producer with type references 
that are consistent in both the Crop Provisions and the actuarial 
documents.
    FCIC is clarifying the definitions for ``Prunes'' and ``Standard 
prunes'' in the Prune crop insurance provisions (7 CFR 457.133) to 
reference the transferring management of the Marketing Order from 
Agricultural Marketing Service to the Prune Administrative Committee 
(89 FR 13587).
    FCIC is clarifying insurable acreage by adding the phrase ``fall-
planted'' in the Dry pea crop insurance provisions (7 CFR 457.140) to 
avoid any potential confusion with spring-planted acreage.
    FCIC is clarifying which Basic Provisions apply by adding an 
introductory sentence preceding the Crop Provisions and updating the 
effective year within the introductory sentence to show the year that 
the changes in the Crop Provision will apply. This change will be made 
in the following Crop Provisions:
     Small grains crop insurance provisions (7 CFR 457.101);
     Sunflower seed crop insurance provisions (7 CFR 457.108);
     Fig crop insurance provisions (7 CFR 457.110);
     Coarse grains crop insurance provisions (7 CFR 457.113);
     Arizona-California citrus crop insurance provisions (7 CFR 
457.121);
     Walnut Crop Insurance Provisions (7 CFR 457.122);
     Almond Crop Insurance Provisions (7 CFR 457.123);
     Macadamia Nut Crop Insurance Provisions (7 CFR 457.131);
     Prune Crop Insurance Provisions (7 CFR 457.133);
     Dry pea crop insurance provisions (7 CFR 457.140);
     Northern potato crop insurance provisions (7 CFR 457.142);
     Central and Southern potato crop insurance provisions (7 
CFR 457.147);
     Dry bean crop insurance provisions (7 CFR 457.150);
     Processing bean crop insurance provisions (7 CFR 457.155);
     Canola and rapeseed crop insurance provisions (7 CFR 
457.161);
     Blueberry crop insurance provisions (7 CFR 457.166);
     Pecan revenue crop insurance provisions (7 CFR 457.167); 
and
     California avocado crop insurance provisions (7 CFR 
457.175).
    FCIC is removing the introductory sentence explaining the order of 
priority in individual Crop Provisions because it is duplicative of the 
CCIP Basic Provisions which already includes the priority order of 
policy provisions. This change will be made in the following Crop 
Provisions:
     Fig crop insurance provisions (7 CFR 457.110);
     Almond crop insurance provisions (7 CFR 457.123);
     Dry bean crop insurance provisions (7 CFR 457.150); and
     Processing bean crop insurance provisions (7 CFR 457.155).
    FCIC is reducing redundancy, eliminating potential conflicts, and 
clarifying definitions that appear in both the Basic Provisions and 
individual Crop Provisions. FCIC is adding the phrases ``in addition 
to'' or ``in lieu of'' where applicable. This change is being made in 
the following Crop Provisions:
     Fig crop insurance provisions (7 CFR 457.110);
     Arizona-California citrus crop insurance provisions (7 CFR 
457.121);
     Almond crop insurance provisions (7 CFR 457.123);
     Macadamia nut crop insurance provisions (7 CFR 457.131);
     Processing bean crop insurance provisions (7 CFR 457.155);
     Blueberry crop insurance provisions (7 CFR 457.166);
     Pecan revenue crop insurance provisions (7 CFR 457.167); 
and
     California avocado crop insurance provisions (7 CFR 
457.175).
    FCIC is allowing the Special Provisions to change the end of the 
insurance period because there have been occasions when the end of the 
insurance period stated in the Crop Provisions may no longer be 
reflective of the period of risk due to changing technologies, etc. 
This change is being made in the following Crop Provisions:
     Sunflower seed crop insurance provisions (7 CFR 457.108);
     Processing bean crop insurance provisions (7 CFR 457.155); 
and
     Canola and rapeseed crop insurance provisions (7 CFR 
457.161).
    FCIC is replacing the phrase ``Special Provisions'' with 
``actuarial documents,'' and ``actuarial documents'' with ``Special 
Provisions'' to correct the location of certain information (such as 
harvest costs, price elections, Fresh Fruit Factors). This change is 
being made in the following Crop Provisions:
     Coarse grains crop insurance provisions (7 CFR 457.113);
     Almond crop insurance provisions (7 CFR 457.123);
     Northern potato crop insurance provisions (7 CFR 457.142);
     Central and Southern potato crop insurance provisions (7 
CFR 457.147);
     Dry bean crop insurance provisions (7 CFR 457.150); and
     Blueberry crop insurance provisions (7 CFR 457.166).
    FCIC is updating prices and yields in the settlement of claim 
examples to be more reflective of current crop prices and potential 
indemnities. This change is being made in the following Crop 
Provisions:
     Coarse grains crop insurance provisions (7 CFR 457.113);
     Sunflower seed crop insurance provisions (7 CFR 457.108);
     Almond crop insurance provisions (7 CFR 457.123);
     Blueberry crop insurance provisions (7 CFR 457.166);
     Macadamia nut crop insurance provisions (7 CFR 457.131);
     Walnut crop insurance provisions (7 CFR 457.122);
     Dry pea crop insurance provisions (7 CFR 457.140);
     Processing bean crop insurance provisions (7 CFR 457.155); 
and
     Canola and rapeseed crop insurance provisions (7 CFR 
457.161).
    FCIC is replacing the phrase ``growing season'' with ``leaf year'' 
to match the phrase where the information is displayed in the actuarial 
documents. This change will provide the producer with a phrase that is 
consistent in both the Crop Provisions and the actuarial documents. 
This change is being made in the following Crop Provisions:
     Almond crop insurance provisions (7 CFR 457.123); and
     Fig crop insurance provisions (7 CFR 457.110).
    FCIC is revising the sub-heading for section 3 to ``Insurance 
Guarantees, Coverage Levels, and Prices'' by removing the phrase ``for 
Determining Indemnities'' at the end. Removing this phrase will align 
the sub-heading to match the corresponding section in the CCIP Basic 
Provisions. It also helps clarify that price is not exclusively used to 
determine indemnities; price is also used to establish the guarantee 
and determine the premium due for the producer. This change will be 
made in the following Crop Provisions:
     Sunflower seed crop insurance provisions (7 CFR 457.108);
     Fig crop insurance provisions (7 CFR 457.110);
     Coarse grains crop insurance provisions (7 CFR 457.113);

[[Page 53827]]

     Almond crop insurance provisions (7 CFR 457.123);
     Dry pea crop insurance provisions (7 CFR 457.140);
     Northern potato crop insurance provisions (7 CFR 457.142);
     Central and Southern potato crop insurance provisions (7 
CFR 457.147);
     Dry bean crop insurance provisions (7 CFR 457.150);
     Processing bean crop insurance provisions (7 CFR 457.155); 
and
     Canola and rapeseed crop insurance provisions (7 CFR 
457.161).
    FCIC is removing references to ``FCIC,'' ``reinsured policies,'' 
and other redundant or unnecessary language in title headings and 
correcting any variations of the ``Department of Agriculture'' to the 
``United States Department of Agriculture.'' These changes will make 
Crop Provisions more consistent. These changes will be made in the 
following Crop Provisions:
     Sunflower seed crop insurance provisions (7 CFR 457.108);
     Walnut crop insurance provisions (7 CFR 457.122);
     Almond crop insurance provisions (7 CFR 457.123);
     Prune crop insurance provisions (7 CFR 457.133);
     Dry pea crop insurance provisions (7 CFR 457.140);
     Northern potato crop insurance provisions (7 CFR 457.142);
     Central and Southern potato crop insurance provisions (7 
CFR 457.147);
     Dry bean crop insurance provisions (7 CFR 457.150);
     Processing bean crop insurance provisions (7 CFR 457.155);
     Canola and rapeseed crop insurance provisions (7 CFR 
457.161);
     Blueberry crop insurance provisions (7 CFR 457.166); and
     Pecan revenue crop insurance provisions (7 CFR 457.167).
    FCIC is removing repetitive parenthetical titles that reference the 
CCIP Basic Provisions for consistency. For example, this change deletes 
the parenthetical title (Insurance Guarantees, Coverage Levels, and 
Prices for Determining Indemnities) in the sentence ``In addition to 
the requirements of section 3 (Insurance Guarantees, Coverage Levels, 
and Prices for Determining Indemnities) of the Basic Provisions.'' In 
other Crop Provisions, the parenthetical title does not appear. This 
change will make Crop Provisions more consistent. This change will be 
made in the following Crop Provisions:
     Fig crop insurance provisions (7 CFR 457.110); and
     Almond crop insurance provisions (7 CFR 457.123).
    FCIC is incorporating grammatical and editorial changes throughout 
the applicable Crop Provisions. For example, removing all instances of 
the phrase ``the provisions of'' where a policy reference follows and 
removing ending punctuation from section headings.

Effective Date, Notice and Comment, and Exemptions

    The Administrative Procedure Act (APA, 5 U.S.C. 553) provides that 
the notice and comment and 30-day delay in the effective date 
provisions do not apply when the rule involves specified actions, 
including matters relating to contracts. This rule governs contracts 
for crop insurance policies and therefore falls within that exemption.
    This rule is exempt from the regulatory analysis requirements of 
the Regulatory Flexibility Act (5 U.S.C. 601-612), as amended by the 
Small Business Regulatory Enforcement Fairness Act of 1996.
    Subtitle E of the Small Business Regulatory Enforcement Fairness 
Act of 1996, (also known as the Congressional Review Act) requires a 
delay of the effective date of 60 days after publication to allow for 
Congressional review. The Office of Information and Regulatory Affairs 
has determined that this rule does not meet the criteria in 5. U.S.C. 
804(2). Therefore, this final rule is effective on June 30, 2024.
    Although not required by APA or any other law, FCIC has chosen to 
request comments on this rule.

Executive Orders 12866, 13563 and 14094

    Executive Order 12866, ``Regulatory Planning and Review,'' was 
amended by and Executive Order 13563, ``Improving Regulation and 
Regulatory Review,'' and Executive Order 14094, ``Modernizing 
Regulatory Review.'' Executive Orders 12866 and 13563 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. The requirements in Executive Orders 12866 and 
13563 for the analysis of costs and benefits apply to rules that are 
determined to be significant.
    The Office of Management and Budget (OMB) has designated this rule 
as not significant under Executive Order 12866, ``Regulatory Planning 
and Review,'' and therefore, OMB has not reviewed this rule and 
analysis of the costs and benefits is not required under either 
Executive Order 12866 or 13563.

Clarity of the Regulation

    Executive Order 12866, as supplemented by Executive Order 13563, 
requires each agency to write all rules in plain language. Executive 
Order 14094 requires Federal agencies to increase and improve public 
participation in the regulatory process. The Executive order's 
objective is to improve public trust in the regulatory process by 
reducing the risk or appearance of unequal or unfair influence in 
regulatory development. Under Executive Order 14904, agencies must, to 
the extent they can under law, seek out, assist with, and include your 
input in the regulatory process. We welcome comments from public 
(State, local, Tribal, and territorial) and private sector regulated 
entities; members of underserved communities; consumers; workers and 
labor organizations; businesses; and program beneficiaries, among 
others. In addition to your substantive comments on this rule, we 
invite your comments on how to make the rule easier to understand. For 
example:
     Are the requirements in the rule clearly stated? Are the 
scope and intent of the rule clear?
     Does the rule contain technical language or jargon that is 
not clear?
     Is the material logically organized?
     Would changing the grouping or order of sections or adding 
headings make the rule easier to understand?
     Could we improve clarity by adding tables, lists, or 
diagrams?
     Would more, but shorter, sections be better? Are there 
specific sections that are too long or confusing?
     What else could we do to make the rule easier to 
understand?

Environmental Review

    The environmental impacts of this final 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 
because USDA will be making the payments to producers, the USDA 
regulation for compliance with NEPA (7 CFR part 1b). As specified in 7 
CFR 1b.4(b)(4), FCIC is categorically excluded from the preparation of 
an Environmental Analysis or Environmental Impact Statement unless the 
FCIC Manager (agency head) determines that an action may have a

[[Page 53828]]

significant environmental effect. The FCIC Manager has determined this 
rule will not have a significant environmental effect. Therefore, FCIC 
will not prepare an environmental assessment or environmental impact 
statement for this action and this rule serves as documentation of the 
programmatic environmental compliance decision.

Executive Order 12988

    This rule has been reviewed under Executive Order 12988, ``Civil 
Justice Reform.'' This rule will not preempt State or local laws, 
regulations, or policies unless they represent an irreconcilable 
conflict with this rule. Before any judicial actions may be brought 
regarding the provisions of this rule, the administrative appeal 
provisions of 7 CFR part 11 are to be exhausted. For good farming 
practice determinations, the administrative appeal provisions under 7 
CFR part 11 do not apply.

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.
    RMA 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. The 
regulation changes do not have Tribal implications that preempt Tribal 
law and are not expected have a substantial direct effect on one or 
more Indian Tribes. If a Tribe requests consultation, RMA will work 
with the USDA Office of Tribal Relations to ensure meaningful 
consultation is provided where changes, additions and modifications 
identified in this rule are not expressly mandated by Congress.

The Unfunded Mandates Reform Act of 1995

    Title II of the Unfunded Mandates Reform Act of 1995 (UMRA, Pub. L. 
104-4) requires Federal agencies to assess the effects of their 
regulatory actions of State, local, and Tribal governments, or the 
private sector. Agencies generally must prepare a written statement, 
including cost benefits analysis, for proposed and final rules with 
Federal mandates that may result in expenditures of $100 million or 
more in any 1 year for State, local or Tribal governments, in the 
aggregate, or to the private sector. UMRA generally requires agencies 
to consider alternatives and adopt the more cost effective or least 
burdensome alternative that achieves the objectives of the rule. This 
rule contains no Federal mandates, as defined in Title II of UMRA, for 
State, local, and Tribal governments, or the private sector. Therefore, 
this rule is not subject to the requirements of sections 202 and 205 of 
UMRA.

Federal Assistance Program

    The title and number of the Assistance Listing,\1\ to which this 
rule applies is No. 10.450--Crop Insurance.
---------------------------------------------------------------------------

    \1\ See https://sam.gov/content/assistance-listings.
---------------------------------------------------------------------------

Paperwork Reduction Act of 1995

    In accordance with the provisions of the Paperwork Reduction Act of 
1995 (44 U.S.C. chapter 35, subchapter I), the rule does not change the 
information collection approved by OMB under control numbers: 0563-0053 
and 0563-0083.

USDA Non-Discrimination Policy

    In accordance with Federal civil rights law and USDA civil rights 
regulations and policies, USDA, its Agencies, offices, and employees, 
and institutions participating in or administering USDA programs are 
prohibited from discriminating based on race, color, national origin, 
religion, sex, gender identity (including gender expression), sexual 
orientation, disability, age, marital status, family or parental 
status, income derived from a public assistance program, political 
beliefs, or reprisal or retaliation for prior civil rights activity, in 
any program or activity conducted or funded by USDA (not all bases 
apply to all programs). Remedies and complaint filing deadlines vary by 
program or incident.
    Individuals who require alternative means of communication for 
program information (for example, braille, large print, audiotape, 
American Sign Language, etc.) should contact the responsible Agency or 
USDA TARGET Center at (202) 720-2600 (voice and text telephone (TTY)) 
or dial 711 for Telecommunications Relay Service (both voice and text 
telephone users can initiate this call from any telephone). 
Additionally, program information may be made available in languages 
other than English. To file a program discrimination complaint, 
complete the USDA Program Discrimination Complaint Form, AD-3027, found 
online at https://www.usda.gov/oascr/how-to-file-a-program-discrimination-complaint and at any USDA office or write a letter 
addressed to USDA and provide in the letter all the information 
requested in the form. To request a copy of the complaint form, call 
(866) 632-9992. Submit your completed form or letter to USDA by: (1) 
mail to: U.S. Department of Agriculture, Office of the Assistant 
Secretary for Civil Rights, 1400 Independence Avenue SW, Washington, DC 
20250-9410; (2) fax: (202) 690-7442; or (3) email: 
[email protected].
    USDA is an equal opportunity provider, employer, and lender.

List of Subjects

7 CFR Part 400

    Acreage allotments, Administrative practice and procedure, Claims, 
Crop insurance, Drug traffic control, Fraud, Government employees, 
Income taxes, Intergovernmental relations, Penalties, Reporting and 
recordkeeping requirements, Wages.

7 CFR Part 407

    Acreage allotments, Administrative practice and procedure, Barley, 
Corn, Cotton, Crop insurance, Peanuts, Reporting and recordkeeping 
requirements, Sorghum, Soybeans, Wheat.

7 CFR Part 457

    Acreage allotments, Crop insurance, Reporting and recordkeeping 
requirements.

Final Rule

    For the reasons discussed above, FCIC amends 7 CFR parts 400, 407, 
and 457, effective for the 2025 and succeeding crop years for crops 
with a contract change date on or after June 30, 2024, and for the 2026 
and succeeding crop years for all other crops, as follows:

PART 400--GENERAL ADMINISTRATIVE REGULATIONS

Subpart J--Appeal Procedure

0
1. Revise the authority citation for part 400, subpart J, to read as 
follows:

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


0
2. Amend Sec.  400.98 by revising paragraphs (b), (d) introductory 
text, and (d)(3) to read as follows:


Sec.  400.98  Reconsideration process.

* * * * *

[[Page 53829]]

    (b) A determination or reconsideration decision regarding good 
farming practices is not an adverse action and cannot be appealed to 
NAD.
* * * * *
    (d) If the insured seeks reconsideration, the insured must file a 
written request for reconsideration to the following: USDA RMA Deputy 
Administrator for Insurance Services, Stop 0801, Room 2004-South ATTN: 
GFP RECONSIDERATION 1400 Independence Avenue SW Washington, DC 20250-
0801, by email to [email protected], or to a successor site or email.
* * * * *
    (3) Reconsideration of a good farming practice (GFP) determination 
will be limited to a closed review of the existing administrative 
record. The written request must state the basis upon which the insured 
relies to show that:
    (i) The decision was not proper and not made in accordance with 
applicable program regulations and procedures; or
    (ii) The previously provided material facts were not properly 
considered in such decision.
* * * * *

PART 407--AREA RISK PROTECTION INSURANCE REGULATIONS

0
3. The authority citation for part 407 continues to read as follows:

    Authority:  7 U.S.C. 1506(l) and 1506(o).


0
4. Amend Sec.  407.9 as follows:
0
a. In section 1, add a definition of ``New breaking acreage'' in 
alphabetical order;
0
b. In section 4:
0
i. In paragraph (b)(6), remove the word ``or'' at the end;
0
ii. In paragraph (b)(7), remove the period at the end of the paragraph 
and add ``; or'' in its place; and
0
iii. Add paragraph (b)(8);
0
c. Revise section 5;
0
d. In section 13, revise paragraph (c)(6);
0
e. In section 16, revise paragraph (d); and
0
f. In section 18, revise paragraphs (b) and (c).
    The revisions and additions read as follows:


Sec.  407.9  Area risk protection insurance policy.

* * * * *
1. Definitions
* * * * *
    New breaking acreage. Acreage which has not been planted and 
harvested, or insured within the 4 previous crop years, in accordance 
with section 5(a).
* * * * *
4. Insured Crop
* * * * *
    (b) * * *
    (8) That is reported as a cover crop to a USDA agency.
    (i) No indemnity will be paid for such acreage and any indemnity 
already received must be repaid.
    (ii) You will still be required to pay 60 percent of the premium 
you would otherwise be required to pay on those acres.
* * * * *
5. Insurable Acreage
    The insurable acreage is all the acreage planted to the insured 
crop in the county in which you have a share, except as provided in 
section 5(d). New breaking acreage may be subject to a reduced 
protection factor in accordance with section 5(b) and native sod 
acreage may be subject to reduced premium subsidy and protection factor 
in accordance with section 5(c). The dollar amount of insurance per 
acre, amount of premium, and indemnity will be calculated separately 
for each crop, type, and practice shown on the actuarial documents.
    (a) New breaking acreage consists of acreage which has not been 
planted and harvested, or insured, in at least 1 of the 4 previous crop 
years.
    (1) For the purposes of determining new breaking acreage:
    (i) Planted includes annual regrowth of a perennial crop;
    (ii) Harvested does not include grazing; and
    (iii) Insured only includes crops eligible for insurance under 
these Basic Provisions or the Common Crop Insurance Policy, Basic 
Provisions (7 CFR part 457).
    (2) Acreage that was not planted in at least 3 of the 4 previous 
crop years to comply with any other USDA program will not be considered 
new breaking acreage.
    (b) New breaking acreage reduction--New breaking acreage is 
insurable at a protection factor of at most 85 percent, unless that 
acreage:
    (1) Is identified as native sod acreage in accordance with section 
5(c), for which the native sod provisions in section 5(c) will apply;
    (2) Is uninsurable acreage in accordance with section 5(d); or
    (3) Constitutes 5 percent or less of the insured planted acreage in 
the unit, for which the new breaking limitation to an 85 percent 
protection factor will not apply.
    (c) Native sod acreage reductions--Native sod acreage in the states 
of Iowa, Minnesota, Montana, Nebraska, North Dakota, or South Dakota 
may receive a reduced premium subsidy and reduced protection factor. 
These reductions are applicable during the first 4 crop years of 
planting on native sod acreage that has been tilled beginning on 
February 8, 2014, and ending on December 20, 2018, and during 4 
cumulative crop years of insurance within the first 10 crop years after 
initial tillage on native sod acreage tilled after December 20, 2018. 
For such native sod acreage:
    (1) Additional coverage policies receive a premium subsidy that is 
50 percentage points less than would otherwise be provided on acreage 
not qualifying as native sod. If the premium subsidy applicable to 
these acres is less than 50 percent before the reduction, you will 
receive no premium subsidy.
    (2) The protection factor will be reduced to 65 percent.
    (3) Cumulative native sod acreage that is 5 acres or less in the 
county is not subject to the reduced premium subsidy in section 5(c)(1) 
or the reduced protection factor stated in section 5(c).
    (d) We will not insure any acreage (and any uninsured acreage and 
production from uninsured acreage will not be included for the purposes 
of establishing the final county yield):
    (1) Where the crop was not planted on or before the final planting 
date or was not reported by the acreage reporting date;
    (2) Where the crop was destroyed or put to another use during the 
crop year for the purpose of conforming with, or obtaining a payment 
under, any other program administered by the USDA;
    (3) Where we determine you have failed to follow good farming 
practices for the insured crop;
    (4) Where the conditions under which the crop is planted are not 
generally recognized for the area (for example, where agricultural 
experts determine that planting a non-irrigated corn crop after a 
failed small grain crop on the same acreage in the same crop year is 
not appropriate for the area);
    (5) Of a second crop, if you elect not to insure such acreage when 
an indemnity for a first insured crop may be subject to reduction in 
accordance with the provisions of section 13 and you intend to collect 
an indemnity payment that is equal to 100 percent of the insurable loss 
for the first insured crop acreage. This election must be made for all 
first insured crop acreage that may be subject to an indemnity 
reduction if the first insured crop is insured under this policy, or on 
a first insured crop unit basis if the first insured crop is not 
insured under this policy (for example, if the first insured crop under 
this policy consists of 40

[[Page 53830]]

acres, or the first insured crop unit insured under another policy 
contains 40 planted acres, then no second crop can be insured on any of 
the 40 acres). In this case:
    (i) If the first insured crop is insured under ARPI, you must 
provide written notice to us of your election not to insure acreage of 
a second crop by the acreage reporting date for the second crop if it 
is insured under ARPI, or before planting the second crop if it is 
insured under any other policy;
    (ii) If the first insured crop is not insured under ARPI, at the 
time the first insured crop acreage is released by us or another 
insurance provider who insures the first insured crop (if no acreage in 
the first insured crop unit is released, this election must be made by 
the earlier of acreage reporting date for the second crop or when you 
sign the claim for the first insured crop);
    (iii) If you fail to provide a notice as specified in section 
5(d)(5)(i) or (ii), the second crop acreage will be insured in 
accordance with applicable policy provisions, and you must repay any 
overpaid indemnity for the first insured crop;
    (iv) In the event a second crop is planted and insured with a 
different insurance provider, or planted and insured by a different 
person, you must provide written notice to each insurance provider that 
a second crop was planted on acreage on which you had a first insured 
crop; and
    (v) You must report the crop acreage that will not be insured on 
the applicable acreage report; and
    (6) Of a crop planted following a second crop or following an 
insured crop that is prevented from being planted after a first insured 
crop, unless it is a practice that is generally recognized by 
agricultural experts or organic agricultural experts for the area to 
plant three or more crops for harvest on the same acreage in the same 
crop year, and additional coverage insurance provided under the 
authority of the Act is offered for the third or subsequent crop in the 
same crop year. Insurance will only be provided for a third or 
subsequent crop as follows:
    (i) You must provide records acceptable to us that show:
    (A) You have produced and harvested the insured crop following 2 
other crops harvested on the same acreage in the same crop year in at 
least 2 of the last 4 years in which you produced the insured crop; or
    (B) The applicable acreage has had 3 or more crops produced and 
harvested on it in the same crop year in at least 2 of the last 4 years 
in which the insured crop was grown on the acreage; and
    (ii) The amount of insurable acreage will not exceed 100 percent of 
the greatest number of acres for which you provide the records required 
in section 5(d)(6)(i).
* * * * *
13. Indemnity and Premium Limitations
* * * * *
    (c) * * *
    (6) Coordination of Coverage--For double cropped acreage when one 
of the crops is insured under this policy and one of the crops is 
insured under other crop insurance authorized under the Act with less 
restrictive double crop history records requirements (for example, 
annual forage insured under the Rainfall Index Plan Common Policy, 
Basic Provisions, does not require records of acreage and production), 
the double cropping history requirements in sections 13(c)(4) and (5) 
do not apply. Instead:
    (i) For the crop insured under this policy, you may receive a full 
indemnity if you meet each of the double cropping requirements in 
sections 13(c)(1) through (3), regardless of which crop was the first 
insured crop or the second crop; or
    (ii) If you do not meet each of the double cropping requirements in 
sections 13(c)(1) through (3), the indemnity reductions in section 
13(a)(2) apply.
* * * * *
16. Assignment of Indemnity
* * * * *
    (d) If we have received the properly executed assignment of 
indemnity form, only one payment will be issued jointly in the names of 
all assignees and you, unless all assignees and you agree in writing 
for the payment to be issued to a single payee.
* * * * *
18. Other Insurance
* * * * *
    (b) You must demonstrate that you did not intend to have more than 
one policy in effect (for example, an application to transfer your 
policy or written notification to an insurance provider that states you 
want to purchase, or transfer, insurance and you want any other 
policies for the crop canceled would demonstrate you did not intend to 
have duplicate policies) and:
    (1) One is an additional coverage policy, and the other is a CAT 
policy:
    (i) If both policies are with the same insurance provider, the 
additional coverage policy will apply and the CAT policy will be void;
    (ii) If both policies are with different insurance providers and 
both insurance providers agree, the additional coverage policy will 
apply and the CAT policy will be void; or
    (iii) If both policies are with different insurance providers and 
both insurance providers do not agree, the policy with the earliest 
application date will be in force and the other policy will be void; or
    (2) Both are additional coverage policies, or both are CAT 
policies, the policy with the earliest application date will be in 
force and the other policy will be void, unless both policies are with:
    (i) The same insurance provider and the insurance provider agrees 
to void the policy with the earliest application date; or
    (ii) Different insurance providers and both insurance providers 
agree to void the policy with the earliest application date.
    (c) If you cannot demonstrate that you did not intend to have more 
than one policy in effect, you may be subject to the consequences 
authorized under this policy, the Act, or any other applicable statute.
* * * * *

PART 457--COMMON CROP INSURANCE REGULATIONS

0
5. Revise the authority citation for part 457 to read as follows:

    Authority:  7 U.S.C. 1506(l) and 1506(o).


0
6. Amend Sec.  457.8 in the ``Common Crop Insurance Policy'' as 
follows:
0
a. In section 1:
0
i. Revise the definition of ``Enterprise unit'';
0
ii. Add a definition of ``New breaking acreage'' in alphabetical order;
0
iii. In the definition of ``Production reporting date'', remove the 
words ``date, provided in the actuarial documents, by'' and add ``date 
contained in the actuarial documents by'' in their place; and
0
iv. In the definition of ``Variable T-Yield'', remove the words ``in 
the county'' and add ``in the county, unless otherwise specified by 
FCIC approved procedures'' in their place;
0
b. In section 8:
0
i. In paragraph (b)(5), remove the word ``or'' at the end;
0
ii. In paragraph (b)(6), remove the period at the end of the paragraph 
and add ``; or'' in its place; and
0
iii. Add paragraph (b)(7);
0
c. Revise section 9;
0
d. In section 15:
0
i. Revise paragraph (h)(7); and

[[Page 53831]]

0
ii. Add paragraph (h)(8);
0
e. In section 22, revise paragraph (a);
0
f. In section 29, revise paragraphs (d) and (e);
0
g. In section 34:
0
i. In paragraph (a) introductory text, remove the words ``You may'' and 
add ``Election of Enterprise Unit and Whole-Farm Unit--You may'' in 
their place;
0
ii. In paragraph (a)(1) introductory text, remove the words ``You 
must'' and add ``Election Date--You must'' in their place;
0
iii. In paragraph (a)(2) introductory text, remove the words ``For an'' 
and add ``Enterprise Units--For an'' in their place;
0
iv. Revise paragraph (a)(2)(i) introductory text;
0
v. In paragraph (a)(2)(i)(E), remove the word ``or'' at the end;
0
vi. In paragraph (a)(2)(i)(F), remove the word ``and'' and add ``or'' 
in its place;
0
vii. Add paragraph (a)(2)(i)(G);
0
viii. Revise paragraph (a)(2)(ii);
0
ix. Remove paragraphs (a)(2)(iii) through (vii);
0
x. Add new paragraphs (a)(2)(iii) and (iv);
0
xi. Redesignate paragraph (a)(2)(viii) as paragraph (a)(2)(v);
0
xii. Revise newly redesignated paragraph (a)(2)(v) introductory text;
0
xiii. In newly redesignated paragraph (a)(2)(v)(D)(2), remove the 
period at the end of the paragraph and add a semicolon in its place;
0
xiv. Add new paragraphs (a)(2)(vi) through (viii);
0
xv. Remove paragraph (a)(2)(ix);
0
xvi. In paragraph (a)(3)(v)(A) introductory text, remove the word 
``of''; and
0
xvii. Revise paragraph (c); and
0
h. In section 37, in paragraph (h), remove the words ``organic 
practice'' and add ``organic farming practice'' in their place.
    The revisions and additions read as follows:


Sec.  457.8  The application and policy.

* * * * *
Common Crop Insurance Policy
* * * * *
1. Definitions
* * * * *
    Enterprise unit. All insurable acreage in the county in which you 
have a share on the date coverage begins for the crop year, provided 
you meet the requirements in section 34 of:
    (1) The same insured crop;
    (2) Irrigated or non-irrigated acreage of the same insured crop; or
    (3) Acreage grown under an organic farming practice or acreage not 
grown under an organic farming practice of the same insured crop.
* * * * *
    New breaking acreage. Acreage which has not been planted and 
harvested, or insured within the 4 previous crop years, in accordance 
with section 9(a).
* * * * *
8. Insured Crop
* * * * *
    (b) * * *
    (7) That is reported as a cover crop to a USDA agency.
    (i) No indemnity will be paid for such acreage and any indemnity 
already received must be repaid.
    (ii) You will still be required to pay 60 percent of the premium 
you would otherwise be required to pay on those acres.
* * * * *
9. Insurable Acreage
    The insurable acreage is all the acreage planted to the insured 
crop in the county in which you have a share, except as provided in 
section 9(d). New breaking acreage may be subject to a reduced approved 
yield in accordance with section 9(b) and native sod acreage may be 
subject to reduced premium subsidy and approved yield in accordance 
with section 9(c).
    (a) New breaking acreage consists of acreage which has not been 
planted and harvested, or insured, in any 1 of the 4 previous crop 
years.
    (1) For the purposes of determining new breaking acreage:
    (i) Planted includes annual regrowth of a perennial crop;
    (ii) Harvested does not include grazing;
    (iii) Insured includes insured prevented planting acreage; and
    (iv) Only crops eligible for insurance under these Basic Provisions 
are considered when determining if the acreage has been planted, 
harvested, or insured.
    (2) Acreage that was not planted in at least 3 of the 4 previous 
crop years to comply with any other USDA program will not be considered 
new breaking acreage.
    (b) New breaking acreage reduction--New breaking acreage is 
insurable at 85 percent of the applicable T-Yield, unless that acreage:
    (1) Is identified as native sod acreage in accordance with section 
9(c), for which the native sod provisions in section 9(c) will apply;
    (2) Is uninsurable acreage in accordance with section 9(d); or
    (3) Constitutes 5 percent or less of the insured planted acreage in 
the unit, for which the new breaking reduction to 85 percent of the 
applicable T-Yield will not apply.
    (c) Native sod acreage reductions--Native sod acreage in the states 
of Iowa, Minnesota, Montana, Nebraska, North Dakota, or South Dakota 
may receive reduced premium subsidy and reduced approved yield. These 
reductions are applicable during the first 4 crop years of planting on 
native sod acreage that has been tilled beginning on February 8, 2014, 
and ending on December 20, 2018, and during 4 cumulative crop years of 
insurance within the first 10 crop years after initial tillage on 
native sod acreage tilled after December 20, 2018. For such native sod 
acreage:
    (1) Additional coverage policies receive a premium subsidy that is 
50 percentage points less than would otherwise be provided on acreage 
not qualifying as native sod. If the premium subsidy applicable to 
these acres is less than 50 percent before the reduction, you will 
receive no premium subsidy.
    (2) The approved yield is limited to 65 percent of the applicable 
T-Yield.
    (3) Cumulative native sod acreage that is 5 acres or less in the 
county is not subject to the reduced premium subsidy in section 9(c)(1) 
or the reduced approved yield in section 9(c)(2).
    (d) The acreage is not insurable if:
    (1) The acreage has been strip-mined. However, such acreage may be 
insurable only if:
    (i) An agricultural commodity, other than a cover, hay (except 
wheat harvested for hay), or forage crop (except insurable silage) has 
been harvested from the acreage for at least 5 crop years after the 
strip-mined land was reclaimed; or
    (ii) A written agreement specifically allows insurance for such 
acreage;
    (2) The actuarial documents do not provide the information 
necessary to determine the premium rate, unless insurance is allowed by 
a written agreement;
    (3) The insured crop is damaged and it is practical to replant the 
insured crop, but the insured crop is not replanted;
    (4) The acreage is interplanted, unless insurance is allowed by the 
Crop Provisions;
    (5) The acreage is otherwise restricted by the Crop Provisions or 
Special Provisions;
    (6) The acreage is planted in any manner other than as specified in 
the policy provisions for the crop unless a written agreement 
specifically allows insurance for such planting;
    (7) The acreage is of a second crop, if you elect not to insure 
such acreage when an indemnity for a first insured

[[Page 53832]]

crop may be subject to reduction in accordance with the provisions of 
section 15 and you intend to collect an indemnity payment that is equal 
to 100 percent of the insurable loss for the first insured crop 
acreage. This election must be made on a first insured crop unit basis 
(for example, if the first insured crop unit contains 40 planted acres 
that may be subject to an indemnity reduction, then no second crop can 
be insured on any of the 40 acres). In this case:
    (i) If the first insured crop is insured under this policy, you 
must provide written notice to us of your election not to insure 
acreage of a second crop at the time the first insured crop acreage is 
released by us (if no acreage in the first insured crop unit is 
released, this election must be made by the earlier of the acreage 
reporting date for the second crop or when you sign the claim for 
indemnity for the first insured crop) or, if the first insured crop is 
insured under Area Risk Protection Insurance (7 CFR part 407), this 
election must be made before the second crop insured under this policy 
is planted, and if you fail to provide such notice, the second crop 
acreage will be insured in accordance with the applicable policy 
provisions and you must repay any overpaid indemnity for the first 
insured crop;
    (ii) In the event a second crop is planted and insured with a 
different insurance provider, or planted and insured by a different 
person, you must provide written notice to each insurance provider that 
a second crop was planted on acreage on which you had a first insured 
crop; and
    (iii) You must report the crop acreage that will not be insured on 
the applicable acreage report; or
    (8) The acreage is of a crop planted following a second crop or 
following an insured crop that is prevented from being planted after a 
first insured crop, unless it is a practice that is generally 
recognized by agricultural experts or organic agricultural experts for 
the area to plant 3 or more crops for harvest on the same acreage in 
the same crop year, and additional coverage insurance provided under 
the authority of the Act is offered for the third or subsequent crop in 
the same crop year. Insurance will only be provided for a third or 
subsequent crop as follows:
    (i) You must provide records acceptable to us that show:
    (A) You have produced and harvested the insured crop following 2 
other crops harvested on the same acreage in the same crop year in at 
least 2 of the last 4 years in which you produced the insured crop; or
    (B) The applicable acreage has had 3 or more crops produced and 
harvested on it in the same crop year in at least 2 of the last 4 years 
in which the insured crop was grown on the acreage; and
    (ii) The amount of insurable acreage will not exceed 100 percent of 
the greatest number of acres for which you provide the records required 
in section 9(d)(8)(i).
    (e) If insurance is provided for an irrigated practice, you must 
report as irrigated only that acreage for which you have adequate 
facilities and adequate water, or the reasonable expectation of 
receiving adequate water at the time coverage begins, to carry out a 
good irrigation practice. If you knew or had reason to know that your 
water may be reduced before coverage begins, no reasonable expectation 
exists.
    (f) Notwithstanding the provisions in section 8(b)(2), if acreage 
is irrigated and a premium rate is not provided for an irrigated 
practice, you may either report and insure the irrigated acreage as 
``non-irrigated,'' or report the irrigated acreage as not insured. (If 
you elect to insure such acreage under a non-irrigated practice, your 
irrigated yield will only be used to determine your approved yield if 
you continue to use a good irrigation practice. If you do not use a 
good irrigation practice, you will receive a yield determined in 
accordance with section 3(h)(3).)
    (g) We may restrict the amount of acreage that we will insure to 
the amount allowed under any acreage limitation program established by 
USDA if we notify you of that restriction prior to the sales closing 
date.
* * * * *
15. Production Included in Determining an Indemnity and Payment 
Reductions
* * * * *
    (h) * * *
    (7) Coordination of Coverage--For double cropped acreage when one 
of the crops is insured under this policy and one of the crops is 
insured under other crop insurance authorized under the Act with less 
restrictive double crop history records requirements (for example, 
annual forage insured under the Rainfall Index Plan Common Policy, 
Basic Provisions, does not require records of acreage and production), 
the double cropping history requirements in sections 15(h)(5) and (6) 
do not apply. Instead:
    (i) For the crop insured under this policy, you may receive a full 
indemnity if you meet each of the double cropping requirements in 
sections 15(h)(1) through (3), regardless of which crop was the first 
insured crop or the second crop. If you do not meet each of the double 
cropping requirements in sections 15(h)(1) through (3), the indemnity 
reductions in section 15(e)(2) apply.
    (ii) Prevented Planting--For the crop insured under this policy, 
you may receive a full prevented planting payment if you:
    (A) Meet the requirements in sections 15(h)(1) through (4) and 
sections 17(f)(4)(ii) and (iii); and
    (B) Provide records, acceptable to us, proving that you have a 
history of insuring the crop under other crop insurance authorized 
under the Act.
    (8) Dual Use--For a single crop that is insured both under this 
policy and under other crop insurance authorized under the Act for 
different end uses (for example, wheat insured for grain under the 
Small Grains Crop Provisions and wheat insured as annual forage under 
the Annual Forage Crop Provisions), that is then followed by a crop 
insured under this policy, the double cropping history requirements in 
sections 15(h)(1) through (6) apply to the crops insured under this 
policy.
* * * * *
22. Other Insurance
    (a) Other Like Insurance--Nothing in this section prevents you from 
obtaining other insurance not authorized under the Act. However, unless 
specifically required by policy provisions, you must not obtain any 
other crop insurance authorized under the Act on your share of the 
insured crop.
    (1) You must demonstrate that you did not intend to have more than 
one policy in effect (for example, an application to transfer your 
policy or written notification to an insurance provider that states you 
want to purchase, or transfer insurance and you want any other policies 
for the crop canceled would demonstrate you did not intend to have 
duplicate policies), and:
    (i) One is an additional coverage policy and the other is a 
Catastrophic Risk Protection policy:
    (A) If both policies are with the same insurance provider, the 
additional coverage policy will apply and the Catastrophic Risk 
Protection policy will be void;
    (B) If both policies are with different insurance providers and 
both insurance providers agree, the additional coverage policy will 
apply and the Catastrophic Risk Protection policy will be void; or
    (C) If both policies are with different insurance providers and 
both insurance providers do not agree, the policy with the earliest 
application date will be in

[[Page 53833]]

force and the other policy will be void; or
    (ii) Both are additional coverage policies, or both are 
Catastrophic Risk Protection policies, the policy with the earliest 
application date will be in force and the other policy will be void, 
unless both policies are with:
    (A) The same insurance provider and the insurance provider agrees 
to void the policy with the earliest application date; or
    (B) Different insurance providers and both insurance providers 
agree to void the policy with the earliest application date.
    (2) If you cannot demonstrate that you did not intend to have more 
than one policy in effect, you may be subject to the consequences 
authorized under this policy, the Act, or any other applicable statute.
* * * * *
29. Assignment of Indemnity
* * * * *
    (d) If we have received the properly executed assignment of 
indemnity form:
    (1) Only one payment will be issued jointly in the names of all 
assignees and you, unless all assignees and you agree in writing for 
the payment to be issued to a single payee; and
    (2) Any assignee will have the right to submit all loss notices and 
forms as required by the policy if you fail to do so. If you have 
suffered a loss from an insurable cause and fail to submit a claim for 
indemnity within the period specified in section 14(e):
    (i) An assignee may submit the claim for indemnity not later than 
30 days after the period for filing a claim has expired.
    (ii) No indemnity will be paid if we determine that we do not have 
the ability to accurately adjust the loss for any claim for indemnity. 
You or any assignee may not dispute the determination.
    (e) If an assignee submits a notice of loss or claim for indemnity 
because of your failure to timely do so, the assignee assumes any 
rights and responsibilities you may have under section 20 to dispute 
determinations related to the notice of loss or claim for indemnity, 
except for determinations made in accordance with section 29(d)(2)(ii).
* * * * *
34. Units
    (a) * * *
    (2) * * *
    (i) The acreage in an enterprise unit must be located in:
* * * * *
    (G) Two or more non-contiguous parcels of land, if non-contiguous 
parcels of land are allowed by the Crop Provisions or Special 
Provisions as a basis for optional units where the insured acreage is 
located;
    (ii) At least two of the sections, section equivalents, FSA farm 
numbers, units established by written agreement, or non-contiguous 
parcels of land in section 34(a)(2)(i)(A), (B), (C), (D), (F), or (G) 
must each have planted acreage that constitutes at least the lesser of 
20 acres or 20 percent of the insured crop acreage in the enterprise 
unit. If there is planted acreage in more than two sections, section 
equivalents, FSA farm numbers, units established by written agreement, 
or non-contiguous parcels of land in section 34(a)(2)(i)(A), (B), (C), 
(D), (F), or (G), these can be aggregated to form at least two parcels 
to meet this requirement. For example, if sections are the basis for 
optional units where the insured acreage is located and you have 80 
planted acres in section 1, 10 planted acres in section 2, and 10 
planted acres in section 3, you may aggregate sections 2 and 3 to meet 
this requirement;
    (iii) You must separately designate on the acreage report each 
section or other basis in section 34(a)(2)(i) you used to qualify for 
an enterprise unit;
    (iv) You may elect an enterprise unit that contains all the 
insurable acreage of the same insured crop if allowed by the actuarial 
documents.
    (A) You must meet the requirement in sections 34(a)(2)(i) through 
(iii) to qualify.
    (B) If we discover you do not qualify for an enterprise unit and 
such discovery is made:
    (1) On or before the acreage reporting date, your unit division 
will be based on the basic or optional units, whichever you report on 
your acreage report and qualify for; or
    (2) At any time after the acreage reporting date, we will assign 
the basic unit structure;
    (v) You may elect separate enterprise units for irrigated or non-
irrigated practices if allowed by the actuarial documents. If you make 
this election, you may not elect enterprise units by organic farming 
practice under section 34(a)(2)(vi).
* * * * *
    (vi) You may elect separate enterprise units for acreage of the 
insured crop grown and insured under an organic farming practice and 
acreage of the insured crop not grown under an organic farming practice 
if allowed by the actuarial documents. If you make this election, you 
may not elect enterprise units by irrigation practice under section 
34(a)(2)(v). Certified organic, transitional, and buffer zone acreages 
do not individually qualify as separate enterprise units. (See section 
37 for additional provisions regarding acreage insured under an organic 
farming practice.)
    (A) You may elect one enterprise unit for all acreage of the 
insured crop grown and insured under an organic farming practice or one 
enterprise unit for all acreage of the insured crop not grown under an 
organic farming practice or enterprise units for both.
    (B) You must separately meet the requirements in section 34(a)(2) 
for each enterprise unit.
    (C) If you elected separate enterprise units for both acreage under 
an organic farming practice and acreage not under an organic farming 
practice and we discover you do not qualify for an enterprise unit for 
the acreage under an organic farming practice or acreage not grown 
under an organic farming practice and such discovery is made:
    (1) On or before the acreage reporting date, you may elect to 
insure:
    (i) One enterprise unit for all acreage under an organic farming 
practice or all acreage not under an organic farming practice provided 
you meet the requirements in section 34(a)(2), and basic or optional 
units for the other acreage, whichever you report on your acreage 
report and qualify for;
    (ii) One enterprise unit for all acreage of the crop in the county 
provided you meet the requirements in section 34(a)(2); or
    (iii) Basic or optional units for all acreage of the crop in the 
county, whichever you report on your acreage report and qualify for; or
    (2) At any time after the acreage reporting date, your unit 
structure will be one enterprise unit for all acreage of the crop in 
the county provided you meet the requirements in section 34(a)(2). 
Otherwise, we will assign the basic unit structure.
    (D) If you elected an enterprise unit for acreage under an organic 
farming practice or acreage not under an organic farming practice and a 
different unit structure on the other acreage and we discover you do 
not qualify for an enterprise unit for the acreage under an organic 
farming practice or acreage not grown under an organic farming practice 
and such discovery is made:
    (1) On or before the acreage reporting date, your unit division 
will be based on basic or optional units, whichever you report on your 
acreage report and qualify for; or
    (2) At any time after the acreage reporting date, we will assign 
the basic unit structure;

[[Page 53834]]

    (vii) If you want to change your unit structure from enterprise 
units to basic or optional units in any subsequent crop year, you must 
maintain separate records of acreage and production:
    (A) For each basic unit, to be eligible to use records to establish 
the production guarantee for the basic unit; or
    (B) For optional units, to qualify for optional units and to be 
eligible to use such records to establish the production guarantee for 
the optional units; and
    (viii) If you do not comply with the production reporting 
provisions in section 3(f) for the enterprise unit, your yield for the 
enterprise unit will be determined in accordance with section 3(f)(1).
* * * * *
    (c) Each optional unit must meet at least one of the following, 
unless otherwise specified in the Crop Provisions or allowed by written 
agreement:
    (1) Land location--
    (i) Section--Optional units may be established if each optional 
unit is located in a separate section where the boundaries are readily 
discernible.
    (ii) Section equivalent--In the absence of sections, we may 
consider parcels of land legally identified by other methods of 
measure, such as Spanish grants, provided the boundaries are readily 
discernible, if such parcels can be considered as the equivalent of 
sections for unit purposes in accordance with FCIC procedures; or
    (iii) FSA farm number--In the absence of sections or section 
equivalents as described in section 34(c)(1)(i) and (ii), optional 
units may be established if each optional unit is located in a separate 
FSA farm number in accordance with FCIC procedures;
    (2) Irrigation practice--Separate optional units may be based on 
irrigated and non-irrigated acreage. To qualify as separate irrigated 
and non-irrigated optional units, the non-irrigated acreage may not 
continue into the irrigated acreage in the same rows or planting 
pattern. The irrigated acreage may not extend beyond the point at which 
the irrigation system can deliver the quantity of water needed to 
produce the yield on which the guarantee is based, except the corners 
of a field in which a center-pivot irrigation system is used may be 
considered as irrigated acreage if the corners of a field in which a 
center-pivot irrigation system is used do not qualify as a separate 
non-irrigated optional unit. In this case, production from both 
practices will be used to determine your approved yield;
    (3) Organic farming practice--Separate optional units may be 
established for acreage of the insured crop grown and insured under an 
organic farming practice and acreage of the insured crop not grown 
under an organic farming practice. Certified organic, transitional, and 
buffer zone acreages do not individually qualify as separate optional 
units. (See section 37 for additional provisions regarding acreage 
insured under an organic farming practice.); or
    (4) Combinations--Unless restricted otherwise by the Crop 
Provisions, each category within sections 34(c)(1), (2), and (3) may be 
independently applicable. Separate optional units based on combinations 
of categories between sections 34(c)(1) through (3) may be established 
if all acreage from the corresponding basic unit has the same optional 
unit structure. For example, you may choose to divide your entire basic 
unit into optional units by land location, irrigation practice, and 
organic farming practice, but you may not choose an optional unit by 
land location for one section and further divide a second section into 
optional units by irrigation practice, organic farming practice, or 
both.
* * * * *

0
7. Amend Sec.  457.101 as follows:
0
a. Revise the introductory text and the undesignated text at the 
beginning of the ``Small Grains Crop Provisions'';
0
b. In section 2:
0
i. Revise paragraph (a) introductory text;
0
ii. In paragraph (a)(2), remove the words ``section 34(a)(4)'' and add 
``section 34(a)(2)'' in their place; and
0
iii. In paragraphs (a)(3)(i)(A) and (B) and (a)(3)(ii), remove the 
words ``section 34(a)(4)'' and add ``section 34(a)(2) of the Basic 
Provisions'' in their place;
0
c. In section 5, revise the column headings in the table; and
0
d. In section 11, in paragraph (c)(1)(iii), remove the words 
``paragraph (d) of this section'' and add ``section 11(d)'' in their 
place.
    The revisions read as follows:


Sec.  457.101  Small grains crop insurance provisions.

    The Small Grains Crop Insurance Provisions for the 2025 and 
succeeding crop years are as follows:

United States Department of Agriculture
Federal Crop Insurance Corporation
Small Grains Crop Provisions

    In return for your payment of premium and administrative fee for 
coverage, these Small Grains Crop Provisions and corresponding 
Commodity Exchange Price Provisions will be attached to and made part 
of the Common Crop Insurance Policy, Basic Provisions (Basic 
Provisions) subject to the terms and conditions in your policy.
* * * * *
2. Unit Division
    (a) In addition to enterprise units provided in section 34(a)(2) of 
the Basic Provisions, for wheat only, you may elect separate enterprise 
units by type, as provided in this section, if allowed by the actuarial 
documents. If you elect enterprise units by type, you may not elect 
enterprise or optional units by any other practice or type.
* * * * *
5. Cancellation and Termination Dates
* * * * *

------------------------------------------------------------------------
                                        Cancellation
       Crop, state, and county              date        Termination date
------------------------------------------------------------------------
 
                              * * * * * * *
------------------------------------------------------------------------

* * * * *

0
8. Amend Sec.  457.108 as follows:
0
a. Revise the introductory text and the undesignated text at the 
beginning of the ``Sunflower Seed Crop Provisions'';
0
b. In section 2:
0
i. Revise paragraph (a) introductory text;
0
ii. In paragraph (a)(1), remove the words ``For example: You'' and add 
``For example, you'' in their place;
0
iii. In paragraph (a)(2), remove the words ``section 34(a)(4)'' and add 
``section 34(a)(2) of the Basic Provisions'' in their place; and
0
iv. In paragraphs (a)(3)(i)(A) and (B) and (a)(3)(ii), remove the words 
``section 34(a)(4)'' and add ``section 34(a)(2) of the Basic 
Provisions'' in their place;
0
c. In section 3, revise the section heading;
0
d. In section 5, revise the section heading and column headings in the 
table;

[[Page 53835]]

0
e. In section 7, in the introductory text, remove the words ``the 
provisions of'';
0
f. Revise section 8;
0
g. In section 9, in the introductory text, remove the words ``the 
provisions of''; and
0
h. In section 12, revise paragraph (b)(6) and the example paragraphs 
between paragraphs (b)(6) and (c).
    The revisions read as follows:


Sec.  457.108  Sunflower seed crop insurance provisions.

    The Sunflower Seed Crop Insurance Provisions for the 2025 and 
succeeding crop years are as follows:

United States Department of Agriculture
Federal Crop Insurance Corporation
Sunflower Seed Crop Provisions

    In return for your payment of premium and administrative fee for 
coverage, these Sunflower Seed Crop Provisions and corresponding 
Commodity Exchange Price Provisions will be attached to and made part 
of the Common Crop Insurance Policy, Basic Provisions (Basic 
Provisions) subject to the terms and conditions in your policy.
* * * * *
2. Unit Division
    (a) In addition to enterprise units provided in section 34(a)(2) of 
the Basic Provisions, you may elect separate enterprise units for 
confectionery or oil types if these types are allowed by the actuarial 
documents. If you elect enterprise units for these types, you may not 
elect enterprise or optional units by any other practice or type.
* * * * *
3. Insurance Guarantees, Coverage Levels, and Prices
* * * * *
5. Cancellation and Termination Dates
* * * * *

------------------------------------------------------------------------
                                                     Cancellation and
                State and county                    termination dates
------------------------------------------------------------------------
 
                              * * * * * * *
------------------------------------------------------------------------

* * * * *
8. Insurance Period
In accordance with section 11 of the Basic Provisions, the calendar 
date for the end of the insurance period is November 30, immediately 
following planting, unless otherwise specified in the Special 
Provisions.
* * * * *
12. Settlement of Claim
* * * * *
    (b) * * *
    (6) Multiplying the result of section 12(b)(5) by your share.

Example for Section 12(b)

    You have 100 percent share in 50 acres of sunflowers in the unit 
with a production guarantee (per acre) of 1,550 pounds, your projected 
price is $.28, your harvest price is $.29, and your production to count 
is 65,000 pounds.
    If you elected yield protection:
    (1) 50 acres x (1,550 pound production guarantee x $.28 projected 
price) = $21,700.00 value of the production guarantee;
    (2) Not applicable;
    (3) 65,000 pound production to count x $.28 projected price = 
$18,200.00 value of production to count;
    (4) Not applicable;
    (5) $21,700.00-$18,200.00 = $3,500.00;
    (6) $3,500.00 x 1.000 share = $3,500.00 indemnity; or
    If you elected revenue protection:
    (1) 50 acres x (1,550 pound production guarantee x $.29 harvest 
price) = $22,475.00 revenue protection guarantee;
    (2) Not applicable;
    (3) 65,000 pound production to count x $.29 harvest price = 
$18,850.00 value of the production to count;
    (4) Not applicable;
    (5) $22,475.00-$18,850.00 = $3,625.00;
    (6) $3,625.00 x 1.000 share = $3,625.00 indemnity.
    End of Example.
* * * * *

0
9. Amend Sec.  457.110 as follows:
0
a. Revise the introductory text and the undesignated text at the 
beginning of the ``Fig Crop Provisions'';
0
b. In section 1, revise the definitions of ``Interplanted'' and 
``Manufacturing grade production'';
0
c. Revise section 2;
0
d. In section 3:
0
i. Revise the section heading and paragraph (c)(5); and
0
ii. Add paragraph (d);
0
e. Revise section 4;
0
f. In section 7:
0
i. In paragraph (d), remove the words ``growing season'' and add ``leaf 
year'' in their place; and
0
ii. Revise paragraph (f)(1);
0
g. In section 8, remove the words ``Basic Provisions, that'' and add 
``Basic Provisions that'' in their place;
0
h. In section 9:
0
i. In paragraph (a) introductory text, remove the words ``the 
provisions of'';
0
ii. In paragraph (a)(2), remove the words ``harvested (Exceptions'' and 
add ``harvested (exceptions'' in their place; and
0
iii. In paragraph (b), remove the words ``paragraph (a)(1) of this 
section'' and add ``section 9(a)(1)'' in their place;
0
i. In section 10:
0
i. In paragraph (a) introductory text, remove the words ``the 
provisions under section 12 (Causes of Loss) of the Basic Provisions 
(Sec.  457.8)'' and add ``section 12 of the Basic Provisions'' in their 
place; and
0
ii. Revise paragraph (b) introductory text; and
0
j. In section 11, redesignate paragraph (c)(3)(ii)(c) as paragraph 
(c)(3)(ii)(C).
    The revisions and addition read as follows:


Sec.  457.110  Fig crop insurance provisions.

    The Fig Crop Insurance Provisions for the 2025 and succeeding crop 
years are as follows:

United States Department of Agriculture
Federal Crop Insurance Corporation
Fig Crop Provisions

    In return for your payment of premium and administrative fee for 
the coverage, these Fig Crop Provisions will be attached to and made 
part of the Common Crop Insurance Policy, Basic Provisions (Basic 
Provisions) subject to the terms and conditions in your policy.
* * * * *
1. Definitions
* * * * *
    Interplanted. In lieu of the definition in section 1 of the Basic 
Provisions, acreage on which two or more crops are planted in any form 
of alternating or mixed pattern.
    Manufacturing grade production. Production that meets the United 
States Standards for Grades of Dried Figs, Grade B, as amended, which 
is in effect on the date insurance attaches.
* * * * *
2. Unit Division
    (a) A basic unit, as defined in section 1 of the Basic Provisions, 
will be

[[Page 53836]]

divided into additional basic units by each fig type designated in the 
Special Provisions.
    (b) Optional units may be established by:
    (1) Organic and non-organic farming practices as provided in 
section 34(c)(3) of the Basic Provisions; or
    (2) Non-contiguous land.
    (c) Optional units by land location as provided in section 34(c)(1) 
of the Basic Provisions and by irrigation practice as provided in 
section 34(c)(2) of the Basic Provisions are not applicable.
3. Insurance Guarantees, Coverage Levels, and Prices
* * * * *
    (c) * * *
    (5) Any other information that we request in order to establish 
your approved yield.
    (d) We will reduce the approved yield, as necessary, based on our 
estimate of the effect of any circumstance listed in section 3(c) that 
may reduce your yields from previous levels. If you fail to notify us 
of any circumstance that may reduce your yields from previous levels, 
we will reduce your approved yield at any time we become aware of the 
circumstance. If the circumstance occurred:
    (1) Before the beginning of the insurance period and you notify us 
by the production reporting date, the approved yield will be reduced 
for the current crop year regardless of whether the circumstance was 
due to an insured or uninsured cause of loss;
    (2) After the beginning of the insurance period and you notify us 
by the production reporting date, the approved yield will be reduced 
for the current crop year only if the potential reduction in the 
approved yield is due to an uninsured cause of loss; or
    (3) Before or after the beginning of the insurance period and you 
fail to notify us by the production reporting date, an amount equal to 
the reduction in the approved yield will be added to the production to 
count calculated in section 11(c)(3) due to uninsured causes. We will 
reduce your approved yield for the subsequent crop year to reflect any 
reduction in the productive capacity of the trees or in the yield 
potential of the insured acreage.
4. Contract Changes
    In accordance with section 4 of the Basic Provisions, the contract 
change date is October 31 preceding the cancellation date.
* * * * *
7. Insured Crop
* * * * *
    (f) * * *
    (1) Grown on acreage with less than 90 percent of a stand based on 
the original planting pattern, unless otherwise allowed by the Special 
Provisions;
* * * * *
10. Causes of Loss
* * * * *
    (b) In addition to the causes of loss excluded in section 12 of the 
Basic Provisions, we will not insure against damage or loss of 
production due to:
* * * * *

0
10. Amend Sec.  457.113 as follows:
0
a. Revise the introductory text and the undesignated text at the 
beginning of the ``Coarse Grains Crop Provisions'';
0
b. In section 2:
0
i. Remove the period at the end of the section heading;
0
ii. Revise paragraph (a) introductory text; and
0
iii. In paragraphs (a)(3) introductory text, (a)(4)(i)(A) and (B), and 
(a)(4)(ii), remove the words ``section 34(a)(4)'' and add ``section 
34(a)(2) of the Basic Provisions'' in their place;
0
iv. In paragraph (b), remove the words ``FSA FN'' and add ``FSA farm 
number'' in their place;
0
c. In section 3, revise the section heading;
0
d. Revise section 5;
0
e. In section 6, in paragraph (b) introductory text, remove the words 
``the provisions of'';
0
f. In section 7, remove the words ``the provisions of'';
0
g. Revise section 8;
0
h. In section 9, in the introductory text, remove the words ``the 
provisions of'';
0
i. In section 10, in paragraph (a)(1), remove the words ``provisions 
in''; and
0
j. In section 12, revise paragraph (b)(6) and the example paragraphs 
between paragraphs (b)(6) and (c).
    The revisions read as follows:


Sec.  457.113  Coarse grains crop insurance provisions.

    The Coarse Grains Crop Insurance Provisions for the 2025 and 
succeeding crop years are as follows:

United States Department of Agriculture
Federal Crop Insurance Corporation

    Coarse Grains Crop Provisions In return for your payment of premium 
and administrative fee for coverage, these Coarse Grains Crop 
Provisions and corresponding Commodity Exchange Price Provisions will 
be attached to and made part of the Common Crop Insurance Policy, Basic 
Provisions (Basic Provisions) subject to the terms and conditions in 
your policy.
* * * * *
2. Unit Division
    (a) In addition to enterprise units provided in section 34(a)(2) of 
the Basic Provisions, you may elect separate enterprise units for FAC 
or NFAC cropping practices if the FAC and NFAC cropping practices are 
allowed by the actuarial documents. If you elect enterprise units for 
FAC and NFAC cropping practices, you may not elect enterprise or 
optional units by any other practice or type.
* * * * *
3. Insurance Guarantees, Coverage Levels, and Prices
* * * * *
5. Cancellation and Termination Dates
    In accordance with section 2 of the Basic Provisions, the 
cancellation and termination dates are:

------------------------------------------------------------------------
                                                     Cancellation and
            Crop, state, and county                 termination dates
------------------------------------------------------------------------
(a) For corn and grain sorghum:
    (1) Kerr, Bexar, Wilson, Karnes, Goliad,                 January 31.
     Victoria, and Jackson Counties, Texas, and
     all Texas counties lying south of the
     named counties............................
    (2) El Paso, Reeves, Loving, Upton, Reagan,             February 15.
     Sterling, Coke, Tom Green, Concho,
     McCulloch, San Saba, Mills, Hamilton,
     Bosque, Johnson, Tarrant, Wise, Cooke
     Counties, Texas, and all Texas counties
     lying south and east of the named counties
     to and including Sutton, Kimble,
     Gillespie, Comal, Guadalupe, Gonzales, De
     Witt, Lavaca, Colorado, Wharton, and
     Matagorda Counties, Texas.................
    (3) Alabama; Arizona; Arkansas; California;             February 28.
     Florida; Georgia; Louisiana; Mississippi;
     Nevada; North Carolina; and South Carolina
    (4) All other Texas counties and all other                 March 15.
     states....................................
(b) For soybeans:
    (1) Jackson, Victoria, Goliad, Bee                       January 31.
     Counties, Texas, and all Texas counties
     lying south of the named counties.........

[[Page 53837]]

 
    (2) Alabama; Arkansas; Florida; Georgia;                February 28.
     Louisiana; Mississippi; North Carolina;
     and South Carolina; and, Cooke, Denton,
     Coryell, Fayette, Lavaca, and Matagorda
     Counties, Texas, and all Texas counties
     lying east of the named counties..........
    (3) All other Texas counties and all other                 March 15.
     states....................................
------------------------------------------------------------------------

* * * * *
8. Insurance Period
    In accordance with section 11 of the Basic Provisions, unless 
otherwise specified in the Special Provisions, the calendar date for 
the end of the insurance period is the date immediately following 
planting as follows:

------------------------------------------------------------------------
                                                   End of the insurance
            Crop, state, and county                    period dates
------------------------------------------------------------------------
(a) For corn insured as grain:
    (1) Kerr, Bexar, Wilson, Karnes, Goliad,               September 30.
     Victoria, and Jackson Counties, Texas, and
     all Texas counties lying south of the
     named counties............................
    (2) Clallam, Grays Harbor, Jefferson, King,              October 31.
     Kitsap, Pierce, Snohomish, and Thurston
     Counties, Washington......................
    (3) All other counties and states..........             December 10.
(b) For corn insured as silage:
    (1) Connecticut, Delaware, Idaho, Maine,                 October 20.
     Maryland, Massachusetts, New Hampshire,
     New Jersey, New York, North Carolina,
     Oregon, Pennsylvania, Rhode Island,
     Vermont, Virginia, Washington, and West
     Virginia..................................
    (2) All other states.......................            September 30.
(c) For grain sorghum:
    (1) Bexar, Wilson, Karnes, Goliad,                     September 30.
     Victoria, and Jackson Counties, Texas, and
     all Texas counties lying south of the
     named counties............................
    (2) All other Texas counties and all other              December 10.
     states....................................
    (d) For soybeans: All states...............             December 10.
------------------------------------------------------------------------

* * * * *
12. Settlement of Claim
* * * * *
    (b) * * *
    (6) Multiplying the result of section 12(b)(5) by your share.

Example for Section 12(b)

    You have 100 percent share in 50 acres of corn in the unit with a 
production guarantee (per acre) of 115 bushels, your projected price is 
$4.75, your harvest price is $4.68, and your production to count is 
5,000 bushels.
    If you elected yield protection:
    (1) 50 acres x (115 bushel production guarantee x $4.75 projected 
price) = $27,312.50 value of the production guarantee;
    (2) Not applicable;
    (3) 5,000 bushel production to count x $4.75 projected price = 
$23,750.00 value of the production to count;
    (4) Not applicable;
    (5) $27,312.50-$23,750.00 = $3,562.50;
    (6) $3,562.50 x 1.000 share = $3,562.50 indemnity; or
    If you elected revenue protection:
    (1) 50 acres x (115 bushel production guarantee x $4.75 projected 
price) = $27,312.50 revenue protection guarantee;
    (2) Not applicable;
    (3) 5,000 bushel production to count x $4.68 harvest price = 
$23,400.00 value of the production to count;
    (4) Not applicable;
    (5) $27,312.50-$23,400.00 = $3,912.50;
    (6) $3,912.50 x 1.000 share = $3,912.50 indemnity.
    End of Example.
* * * * *

0
11. Amend Sec.  457.121 as follows:
0
a. Revise the introductory text and the undesignated text at the 
beginning of the ``Arizona-California Citrus Crop Provisions'';
0
b. In section 1, in the definition of ``Crop year'', remove the words 
``The period beginning'' and add ``In lieu of the definition contained 
in section 1 of the Basic Provisions, the period beginning'' in their 
place;
0
c. Revise section 2;
0
d. In section 3:
0
i. In paragraph (c) introductory text, remove the text ``(Sec.  
457.8)''; and
0
ii. Revise paragraph (d);
0
e. In sections 4 and 5, remove the text ``(Sec.  457.8)'';
0
f. In section 7, remove the words ``the provisions in'';
0
g. In section 8:
0
i. In paragraph (a) introductory text, remove the words ``the 
provisions of'' and ``(Sec.  457.8)''; and
0
ii. In paragraph (b) introductory text, remove the words ``the 
provisions of'' and ``(Sec.  457.8)'';
0
h. In section 9, in paragraph (a), remove the words ``the provisions 
of'' and ``(Sec.  457.8)''; and
0
i. In section 10, in paragraph (b) introductory text, remove the words 
``(Sec.  457.8)''.
    The revisions read as follows:


Sec.  457.121  Arizona-California citrus crop insurance provisions.

    The Arizona-California Citrus Crop Insurance Provisions for the 
2026 and succeeding crop years are as follows:

United States Department of Agriculture
Federal Crop Insurance Corporation
Arizona-California Citrus Crop Provisions

    In return for your payment of premium and administrative fee for 
coverage, these Arizona-California Citrus Crop Provisions will be 
attached to and made part of the Common Crop Insurance Policy, Basic 
Provisions (Basic Provisions) subject to the terms and conditions in 
your policy.
* * * * *
2. Unit Division
    (a) Optional units may be established by:
    (1) Organic and non-organic farming practices as provided in 
section 34(c)(3) of the Basic Provisions;
    (2) Non-contiguous land; or
    (3) In addition to or instead of establishing optional units by 
non-contiguous land as provided in section 2(a)(2), optional units may 
be established by commodity type if allowed by the Special Provisions.

[[Page 53838]]

    (b) Optional units by land location as provided in section 34(c)(1) 
of the Basic Provisions and by irrigation practice as provided in 
section 34(c)(2) of the Basic Provisions are not applicable.
3. Insurance Guarantees, Coverage Levels, and Prices
* * * * *
    (d) We will reduce the approved yield, as necessary, based on our 
estimate of the effect of any circumstance listed in section 3(c) that 
may reduce your yields from previous levels. If you fail to notify us 
of any circumstance that may reduce your yields from previous levels, 
we will reduce your approved yield at any time we become aware of the 
circumstance. If the circumstance occurred:
    (1) Before the beginning of the insurance period and you notify us 
by the production reporting date, the approved yield will be reduced 
for the current crop year regardless of whether the circumstance was 
due to an insured or uninsured cause of loss;
    (2) After the beginning of the insurance period and you notify us 
by the production reporting date, the approved yield will be reduced 
for the current crop year only if the potential reduction in the 
approved yield is due to an uninsured cause of loss; or
    (3) Before or after the beginning of the insurance period and you 
fail to notify us by the production reporting date, an amount equal to 
the reduction in the approved yield will be added to the production to 
count calculated in section 11(c)(1)(ii) due to uninsured causes. We 
will reduce your approved yield for the subsequent crop year to reflect 
any reduction in the productive capacity of the trees or in the yield 
potential of the insured acreage.
* * * * *

0
12. Amend Sec.  457.122 as follows:
0
a. Revise the introductory text and the undesignated text at the 
beginning of the ``Walnut Crop Provisions'';
0
b. In section 1, in the definitions of ``Interplanted'' and 
``Production guarantee (per acre)'', remove the word ``contained'';
0
c. Revise section 2;
0
d. In section 3:
0
i. In the introductory text and paragraph (b) introductory text, remove 
the text ``(Sec.  457.8)'';
0
ii. Revise paragraph (c);
0
e. In section 4, remove the words ``dates are October 31 for California 
and August 31 preceding the cancellation date for all other states'' 
and add ``date is October 31'' in their place;
0
f. In section 5, remove the words ``for California and November 20 for 
all other states'';
0
g. In section 6:
0
i. In the introductory text, remove the text ``(Sec.  457.8)''; and
0
ii. In paragraph (d), remove the words ``provided in'' and add 
``allowed by'' in their place'';
0
h. In section 7, remove the text ``(Sec.  457.8)'';
0
i. In section 8:
0
i. In paragraph (a)(1), remove the words ``in California and November 
21 in all other states'' and ``in California or after November 11 but 
prior to November 21 in all other states'';
0
ii. In paragraph (a)(3), remove the words ``paragraph (a)(1) of this 
section'' and add ``section 8(a)(1)'' in their place; and
0
iii. In paragraph (b) introductory text, remove the text ``(Sec.  
457.8)'';
0
j. In section 9, in paragraphs (a) introductory text and (b), remove 
the text ``(Sec.  457.8)''; and
0
k. In section 11, revise paragraph (b)(7), the example paragraphs 
between paragraphs (b)(7) and (c), and paragraph (d).
    The revisions read as follows:


Sec.  457.122  Walnut crop insurance provisions.

    The Walnut Crop Insurance Provisions for the 2025 and succeeding 
crop years are as follows:

United States Department of Agriculture
Federal Crop Insurance Corporation
Walnut Crop Provisions

    In return for your payment of premium and administrative fee for 
the coverage, these Walnut Crop Provisions will be attached to and made 
part of the Common Crop Insurance Policy, Basic Provisions (Basic 
Provisions) subject to the terms and conditions in your policy.
* * * * *
2. Unit Division
    (a) Optional units may be established by:
    (1) Organic and non-organic farming practices as provided in 
section 34(c)(3) of the Basic Provisions; or
    (2) Non-contiguous land.
    (b) Optional units by land location as provided in section 34(c)(1) 
of the Basic Provisions and by irrigation practice as provided in 
section 34(c)(2) of the Basic Provisions are not applicable.
* * * * *
3. Insurance Guarantees, Coverage Levels, and Prices
* * * * *
    (c) We will reduce the approved yield, as necessary, based on our 
estimate of the effect of any circumstance listed in section 3(b) that 
may reduce your yields from previous levels. If you fail to notify us 
of any circumstance that may reduce your yields from previous levels, 
we will reduce your approved yield at any time we become aware of the 
circumstance. If the circumstance occurred:
    (1) Before the beginning of the insurance period and you notify us 
by the production reporting date, the approved yield will be reduced 
for the current crop year regardless of whether the circumstance was 
due to an insured or uninsured cause of loss;
    (2) After the beginning of the insurance period and you notify us 
by the production reporting date, the approved yield will be reduced 
for the current crop year only if the potential reduction in the 
approved yield is due to an uninsured cause of loss; or
    (3) Before or after the beginning of the insurance period and you 
fail to notify us by the production reporting date, an amount equal to 
the reduction in the approved yield will be added to the production to 
count calculated in section 11(c)(1)(ii) due to uninsured causes. We 
will reduce the approved yield for the subsequent crop year to reflect 
any reduction in the productive capacity of the trees or in the yield 
potential of the insured acreage.
* * * * *
11. Settlement of Claim
* * * * *
    (b) * * *
    (7) Multiplying the result in section 11(b)(6) by your share.

Example for Section 11(b)

    You have a 100 percent share in 100 acres of walnuts in the unit, 
with a guarantee of 2,500 pounds per acre and a price election of $0.70 
per pound. You are only able to harvest 200,000 pounds. Your indemnity 
would be calculated as follows:
    (1) 100 acres x 2,500 pounds = 250,000-pound insurance guarantee;
    (2) 250,000 pounds x $0.70 price election = $175,000 total value of 
insurance guarantee;
    (3) Not applicable;
    (4) 200,000 pounds production to count x $0.70 price election = 
$140,000 total value of production to count;
    (5) Not applicable;
    (6) $175,000 total value guarantee-$140,000 total value of 
production to count = $35,000 loss; and
    (7) $35,000 x 100 percent share = $35,000 indemnity payment.
    End of Example.
* * * * *
    (d) Mature walnut production damaged due to an insurable cause of 
loss which occurs within the insurance

[[Page 53839]]

period may be adjusted by the quality adjustment factors contained in 
the Special Provisions.
* * * * *

0
13. Amend Sec.  457.123 as follows:
0
a. Revise the introductory text and the undesignated text at the 
beginning of the ``Almond Crop Provisions'';
0
b. In section 1, revise the definitions of ``Interplanted'' and 
``Production guarantee (per acre)'';
0
c. Revise section 2;
0
d. In section 3:
0
i. Revise the section heading;
0
ii. In the introductory text, remove the text ``(Sec.  457.8)'';
0
iii. In paragraph (a), remove the words ``Special Provisions provide'' 
and add ``actuarial documents provide'' in their place;
0
iv. In paragraph (b) introductory text, remove the text ``(Sec.  
457.8)'';
0
v. Redesignate paragraph (c) as paragraph (d);
0
vi. Designate the undesignated paragraph following paragraph (b)(5) as 
paragraph (c); and
0
vii. Revise newly designated paragraph (c);
0
e. In sections 4 and 5, remove the text ``(Sec.  457.8)'';
0
f. In section 6:
0
i. In the introductory text, remove the text ``(Sec.  457.8)''; and
0
ii. Revise paragraph (e);
0
g. In section 7, remove the words ``Provisions (Sec.  457.8), that'' 
and add ``Provisions that'' in their place;
0
h. In section 8:
0
i. In paragraph (a) introductory text, remove the words ``the 
provisions of'' and ``(Sec.  457.8)'';
0
ii. In paragraph (a)(3), remove the words ``paragraph (a)(1) of this 
section'' and add ``section 8(a)(1)'' in their place; and
0
iii. In paragraph (b) introductory text, remove the words ``the 
provisions of section 11 (Insurance Period) of the Basic Provisions 
(Sec.  457.8)'' and add ``section 11 of the Basic Provisions'' in their 
place;
0
i. In section 9:
0
i. In paragraph (a) introductory text, remove the words ``the 
provisions of section 12 of the Basic Provisions (Sec.  457.8)'' and 
add ``section 12 of the Basic Provisions'' in their place; and
0
ii. In paragraph (b), remove the words ``section 12 (Causes of Loss) of 
the Basic Provisions (Sec.  457.8)'' and add ``section 12 of the Basic 
Provisions'' in their place; and
0
j. In section 10, remove the text ``(Sec.  457.8)''; and
0
k. In section 11, revise paragraph (b)(7) and the example paragraphs 
between paragraphs (b)(7) and (c).
    The revisions read as follows:


Sec.  457.123  Almond crop insurance provisions.

    The Almond Crop Insurance Provisions for the 2025 and succeeding 
crop years are as follows:

United States Department of Agriculture
Federal Crop Insurance Corporation
Almond Crop Provisions

    In return for your payment of premium and administrative fee for 
the coverage, these Almond Crop Provisions will be attached to and made 
part of the Common Crop Insurance Policy, Basic Provisions (Basic 
Provisions) subject to the terms and conditions in your policy.
1. Definitions
* * * * *
    Interplanted. In lieu of the definition in section 1 of the Basic 
Provisions, acreage on which two or more crops are planted in any form 
of alternating or mixed pattern.
* * * * *
    Production guarantee (per acre). In addition to the definition in 
section 1 of the Basic Provisions, the number of pounds is total meat 
pounds per acre of almonds.
* * * * *
2. Unit Division
    (a) Optional units may be established by:
    (1) Organic farming practices as provided in section 34(c)(3) of 
the Basic Provisions; or
    (2) Non-contiguous land.
    (b) Optional units by land location as provided in section 34(c)(1) 
of the Basic Provisions and by irrigation practice as provided in 
section 34(c)(2) of the Basic Provisions are not applicable.
3. Insurance Guarantees, Coverage Levels, and Prices
* * * * *
    (c) We will reduce the approved yield, as necessary, based on our 
estimate of the effect of any circumstance listed in section 3(b) that 
may reduce your yields from previous levels. If you fail to notify us 
of any circumstance that may reduce your yields from previous levels, 
we will reduce your approved yield at any time we become aware of the 
circumstance. If the circumstance occurred:
    (1) Before the beginning of the insurance period and you notify us 
by the production reporting date, the approved yield will be reduced 
for the current crop year regardless of whether the circumstance was 
due to an insured or uninsured cause of loss;
    (2) After the beginning of the insurance period and you notify us 
by the production reporting date, the approved yield will be reduced 
for the current crop year only if the potential reduction in the 
approved yield is due to an uninsured cause of loss; or
    (3) Before or after the beginning of the insurance period and you 
fail to notify us by the production reporting date, an amount equal to 
the reduction in the approved yield will be added to the production to 
count calculated in section 11(c)(1)(ii) due to uninsured causes. We 
will reduce your approved yield for the subsequent crop year to reflect 
any reduction in the productive capacity of the trees or in the yield 
potential of the insured acreage.
* * * * *
6. Insured Crop
* * * * *
    (e) On acreage where at least 90 percent of the trees have reached 
at least the 5th leaf year after being set out, unless otherwise 
allowed by the Special Provisions.
* * * * *
11. Settlement of Claim
* * * * *
    (b) * * *
    (7) Multiplying the result in section 11(b)(6) by your share.

Example for Section 11(b)

    You have a 100 percent share in 100 acres of almonds in the unit, 
with a guarantee of 1,200 pounds per acre and a price election of $1.30 
per pound. You are only able to harvest 100,000 pounds. Your indemnity 
would be calculated as follows:
    (1) 100 acres x 1,200 pounds = 120,000 pound insurance guarantee;
    (2) 120,000 pounds x $1.30 price election = $156,000 total value of 
insurance guarantee;
    (3) Not applicable;
    (4) 100,000 pounds production to count x $1.30 price election = 
$130,000 total value of production to count;
    (5) Not applicable;
    (6) $156,000 total of value guarantee-$130,000 total value of 
production to count = $26,000 loss; and
    (7) $26,000 x 100 percent share = $26,000 indemnity payment.
    End of Example.
* * * * *

0
14. Amend Sec.  457.131 as follows:
0
a. Revise the introductory text and the undesignated text at the 
beginning of the ``Macadamia Nut Crop Provisions'';
0
b. In section 1:
0
i. In the definition of ``Age'', remove the word ``thereof'' and add 
``of a unit'' in its place;
0
ii. Remove the definition of ``Crop year'';

[[Page 53840]]

0
iii. In the definition of ``Interplanted'', remove the word 
``contained''; and
0
iv. Revise the definition of ``Production guarantee (per acre)'';
0
c. Revise section 2;
0
d. In section 3:
0
i. In the introductory text and paragraph (b) introductory text, remove 
the text ``(Sec.  457.8)'';
0
ii. Redesignate paragraphs (c) and (d) as paragraphs (d) and (e), 
respectively;
0
iii. Designate the undesignated paragraph following paragraph 
(b)(4)(iii) as paragraph (c); and
0
iv. Revise newly designated paragraph (c); and
0
v. In newly redesignated paragraph (e), remove the year ``2023'' and 
add ``2024'' in its place, and remove the year ``2025'' and add 
``2026'' in its place;
0
e. In sections 4 and 5, remove the text ``(Sec.  457.8)'';
0
f. In section 6, in the introductory text, remove the text ``(Sec.  
457.8)'';
0
g. In section 7, remove the text ``(Sec.  457.8)'';
0
h. In section 8, in paragraphs (a) introductory text and (b) 
introductory text, remove the words ``the provisions of section 11 of 
the Basic Provisions (Sec.  457.8)'' and add ``section 11 of the Basic 
Provisions'' in their place;
0
i. In section 9:
0
i. In paragraph (a) introductory text, remove the words ``the 
provisions of section 12 of the Basic Provisions (Sec.  457.8)'' and 
add ``section 12 of the Basic Provisions'' in their place; and
0
ii. In paragraph (b) introductory text, remove the text ``(Sec.  
457.8)'';
0
j. In section 10, in the introductory text, remove the text ``(Sec.  
457.8)''; and
0
k. In section 11, revise paragraph (b)(7) and the example paragraphs 
between paragraphs (b)(7) and (c).
    The revisions read as follows:


Sec.  457.131  Macadamia nut crop insurance provisions.

    The Macadamia Nut Crop Insurance Provisions for the 2026 and 
succeeding crop years are as follows:

United States Department of Agriculture
Federal Crop Insurance Corporation
Macadamia Nut Crop Provisions

    In return for your payment of premium and administrative fee for 
the coverage, these Macadamia Nut Crop Provisions will be attached to 
and made part of the Common Crop Insurance Policy, Basic Provisions 
(Basic Provisions) subject to the terms and conditions in your policy.
1. Definitions
* * * * *
    Production guarantee (per acre). In addition to the definition in 
section 1 of the Basic Provisions, the number of pounds is wet, in-
shell macadamia nuts.
* * * * *
2. Unit Division
    (a) Optional units may be established by:
    (1) Organic and non-organic farming practices as provided in 
section 34(c)(3) of the Basic Provisions; or
    (2) Non-contiguous land.
    (b) Optional units by land location as provided in section 34(c)(1) 
of the Basic Provisions and by irrigation practice as provided in 
section 34(c)(2) of the Basic Provisions are not applicable.
3. Insurance Guarantees, Coverage Levels, and Prices
* * * * *
    (c) We will reduce the approved yield, as necessary, based on our 
estimate of the effect of any circumstance listed in section 3(b) that 
may reduce your yields from previous levels. If you fail to notify us 
of any circumstance that may reduce your yields from previous levels, 
we will reduce your approved yield at any time we become aware of the 
circumstance. If the circumstance occurred:
    (1) Before the beginning of the insurance period and you notify us 
by the production reporting date, the approved yield will be reduced 
for the current crop year regardless of whether the circumstance was 
due to an insured or uninsured cause of loss;
    (2) After the beginning of the insurance period and you notify us 
by the production reporting date, the approved yield will be reduced 
for the current crop year only if the potential reduction in the 
approved yield is due to an uninsured cause of loss; or
    (3) Before or after the beginning of the insurance period and you 
fail to notify us by the production reporting date, an amount equal to 
the reduction in the approved yield will be added to the production to 
count calculated in section 11(c)(1)(ii) due to uninsured causes. We 
will reduce your approved yield for the subsequent crop year to reflect 
any reduction in the productive capacity of the trees or in the yield 
potential of the insured acreage.
* * * * *
11. Settlement of Claim
* * * * *
    (b) * * *
    (7) Multiplying the result in section 11(b)(6) by your share.

Example for Section 11(b)

    You select the 65 percent coverage level and 100 percent of the 
price election on 10 acres of macadamia nuts in the unit. Your share is 
100 percent. Your production guarantee (per acre) is 4,000 pounds. The 
price election is $1.00. You are able to harvest 25,000 pounds. Your 
indemnity would be calculated as follows:
    (1) 10 acres x 4,000 pounds = 40,000 pounds guarantee;
    (2) 40,000 pounds x $1.00 price election = $40,000 total value of 
guarantee;
    (3) Not applicable;
    (4) 25,000 pounds production to count x $1.00 price election = 
$25,000 value of production to count;
    (5) Not applicable;
    (6) $40,000 total value of guarantee- $25,000 value of production 
to count = $15,000 loss; and
    (7) $15,000 loss x 100 percent share = $15,000 indemnity payment.
    End of Example.
* * * * *

0
15. Amend Sec.  457.133 as follows:
0
a. Revise the introductory text and the undesignated text at the 
beginning of the ``Prune Crop Provisions'';
0
b. In section 1:
0
i. In the definition of ``Interplanted'', remove the word 
``contained'';
0
ii. In the definition of ``Prunes'', remove the words ``Federal 
Marketing Agreement Dried Prune Order'' and add ``Marketing Order for 
California Prunes'' in their place; and
0
iii. In the definition of ``Standard prunes'', in paragraph (b), remove 
the words ``Federal Marketing Agreement Dried Prune Order'' and add 
``Marketing Order for California Prunes'' in their place;
0
c. Revise section 2;
0
d. In section 3, revise paragraph (c);
0
e. In section 8:
0
i. In paragraph (a) introductory text, remove the words ``the 
provisions of'';
0
ii. Revise paragraph (a)(2); and
0
iii. In paragraph (b) introductory text, remove the words ``the 
provisions of'';
0
f. In section 9, in paragraph (a), remove the words ``the provisions 
of''; and
0
g. In section 11, revise paragraph (b)(7) and examples 1 and 2 between 
paragraphs (b)(7) and (c).
    The revisions read as follows:


Sec.  457.133  Prune Crop Insurance Provisions.

    The Prune Crop Insurance Provisions for the 2025 and succeeding 
crop years are as follows:

United States Department of Agriculture
Federal Crop Insurance Corporation
Prune Crop Provisions

    In return for your payment of premium and administrative fee for 
the coverage, these Prune Crop Provisions

[[Page 53841]]

will be attached to and made part of the Common Crop Insurance Policy, 
Basic Provisions (Basic Provisions) subject to the terms and conditions 
in your policy.
* * * * *
2. Unit Division
    (a) Optional units may be established by:
    (1) Land location as provided in section 34(c)(1) of the Basic 
Provisions;
    (2) Organic or non-organic farming practices as provided in section 
34(c)(3) of the Basic Provisions;
    (3) Combination of land location and organic farming practices as 
provided in section 34(c)(4) of the Basic Provisions; or
    (4) Non-contiguous land.
    (b) Optional units by irrigation practice as provided in section 
34(c)(2) of the Basic Provisions are not applicable.
3. Insurance Guarantees, Coverage Levels, and Prices
* * * * *
    (c) We will reduce the approved yield, as necessary, based on our 
estimate of the effect of any circumstance listed in section 3(b) that 
may reduce your yields from previous levels. If you fail to notify us 
of any circumstance that may reduce your yields from previous levels, 
we will reduce your approved yield at any time we become aware of the 
circumstance. If the circumstance occurred:
    (1) Before the beginning of the insurance period and you notify us 
by the production reporting date, the approved yield will be reduced 
for the current crop year regardless of whether the circumstance was 
due to an insured or uninsured cause of loss;
    (2) After the beginning of the insurance period and you notify us 
by the production reporting date, the approved yield will be reduced 
for the current crop year only if the potential reduction in the 
approved yield is due to an uninsured cause of loss; or
    (3) Before or after the beginning of the insurance period and you 
fail to notify us by the production reporting date, an amount equal to 
the reduction in the approved yield will be added to the production to 
count calculated in section 11(c)(1)(ii) due to uninsured causes. We 
will reduce your approved yield for the subsequent crop year to reflect 
any reduction in the productive capacity of the trees or in the yield 
potential of the insured acreage.
* * * * *
8. Insurance Period
    (a) * * *
    (2) The calendar date for the end of the insurance period for each 
crop year is October 1.
* * * * *
11. Settlement of Claim
* * * * *
    (b) * * *
    (7) Multiplying the result of section 11(b)(6) by your share.

Examples for Section 11(b)

    Example 1:
    You select 75 percent coverage level, 100 percent of the price 
election, and have a 100 percent share in 50.0 acres of type 1 prunes 
in the unit. The approved yield is 2.5 tons per acre and your price 
election is $1,000 per ton. You harvest 10.0 tons. Your indemnity would 
be calculated as follows:
    (1) 50.0 acres x 2.5 tons x 0.75 = 93.75-ton production guarantee;
    (2) 93.75-ton guarantee x $1,000 price election = $93,750 value of 
production guarantee;
    (3) Not applicable;
    (4) 10.0 tons x $1,000 price election = $10,000 value of production 
to count;
    (5) Not applicable;
    (6) $93,750- $10,000 = $83,750 loss; and
    (7) $83,750 x 1.000 share = $83,750 indemnity payment.
    Example 2:
    In addition to the information in the first example, you have an 
additional 50.0 acres of type 2 prunes with 100 percent share in the 
same unit. The approved yield is 2.0 tons per acre and the price 
election is $900 per ton. You harvest 5.0 tons. Your total indemnity 
for both types 1 and 2 would be calculated as follows:
    (1) 50.0 acres x 2.5 tons x 0.75 = 93.75-ton production guarantee 
for type 1 and 50.0 acres x 2.0 tons x 0.75 = 75.0-ton production 
guarantee for type 2;
    (2) 93.75-ton guarantee x $1,000 price election = $93,750 value of 
production guarantee for type 1 and 75.0-ton guarantee x $900 price 
election = $67,500 value production guarantee for type 2;
    (3) $93,750 + $67,500 = $ 161,250 total value of production 
guarantee;
    (4) 10.0 tons x $1,000 price election = $10,000 value of production 
to count for type 1 and 5.0 tons x $900 price election = $4,500 value 
of production to count for type 2;
    (5) $10,000 + $4,500 = $14,500 total value of production to count;
    (6) $161,250- $14,500 = $146,750 loss; and
    (7) $146,750 loss x 1.000 share = $146,750 indemnity payment.
    End of Examples.
* * * * *

0
16. Amend Sec.  457.140 as follows:
0
a. Revise the introductory text and the undesignated text at the 
beginning of the ``Dry Pea Crop Provisions'';
0
b. In section 2:
0
i. Revise the section heading and paragraph (a) introductory text;
0
ii. In paragraph (a)(2), remove the words ``section 34(a)(4)'' and add 
``section 34(a)(2)'' in their place;
0
iii. In paragraph (a)(3)(i)(A), remove the words ``section 34(a)(4)'' 
and add ``section 34(a)(2) of the Basic Provisions'' in their place, 
and remove the words ``insured as enterprise unit'' and add ``insured 
as an enterprise unit'' in their place; and
0
iv. In paragraphs (a)(3)(i)(B) and (a)(3)(ii), remove the words 
``section 34(a)(4)'' and add ``section 34(a)(2) of the Basic 
Provisions'' in their place;
0
c. In section 3, revise the section heading;
0
d. In section 5, revise the table;
0
e. In section 8, in paragraph (e)(2), remove the words ``such acreage'' 
and add ``such fall-planted acreage'' in their place; and
0
f. In section 13, revise paragraph (b)(13) and examples 1 and 2 between 
paragraphs (b)(13) and (c).
    The revisions read as follows:


Sec.  457.140  Dry pea crop insurance provisions.

    The Dry Pea Crop Insurance Provisions for the 2025 and succeeding 
crop years are as follows:

United States Department of Agriculture
Federal Crop Insurance Corporation
Dry Pea Crop Provisions

    In return for your payment of premium and administrative fee for 
the coverage, these Dry Pea Crop Provisions will be attached to and 
made part of the Common Crop Insurance Policy, Basic Provisions (Basic 
Provisions) subject to the terms and conditions in your policy.
* * * * *
2. Unit Division
    (a) In addition to enterprise units provided in section 34(a)(2) of 
the Basic Provisions, you may elect separate enterprise units by type, 
as provided in this section, if allowed by the actuarial documents. If 
you elect enterprise units by type, you may not elect enterprise or 
optional units by any other practice or type.
* * * * *
3. Insurance Guarantees, Coverage Levels, and Prices
* * * * *
5. Cancellation and Termination Dates
* * * * *

[[Page 53842]]



------------------------------------------------------------------------
                                         Cancellation and  termination
           State and county                          dates
------------------------------------------------------------------------
All counties in California and         October 31.
 Arizona Counties: La Paz, Maricopa,
 Mohave, Pima, Pinal, and Yuma.
All other Arizona counties and all     March 15.
 other states.
------------------------------------------------------------------------

* * * * *
13. Settlement of Claim
* * * * *
    (b) * * *
    (13) Multiplying the result of section 13(b)(12) by your share.

Examples for Section 13(b)

    Example 1:
    In this example, you have not elected optional units by type. You 
have a 100 percent share in 100 acres of spring-planted smooth green 
dry edible peas in the unit, with a production guarantee of 4,000 
pounds per acre and a price election of $0.15 per pound. Your selected 
price election percentage is 100 percent. You are only able to harvest 
200,000 pounds. Your indemnity would be calculated as follows:
    (1) 100 acres x 4,000 pounds = 400,000-pound guarantee;
    (2) 400,000-pound guarantee x $0.12 price election = $48,000 value 
of guarantee;
    (3) Not applicable;
    (4) Not applicable;
    (5) Not applicable;
    (6) Not applicable;
    (7) Not applicable;
    (8) Not applicable;
    (9) 200,000-pound production to count x $0.12 price election = 
$24,000 value of production to count;
    (10) Not applicable;
    (11) Not applicable;
    (12) $48,000 value of guarantee-$24,000 value of production to 
count = $24,000 loss; and
    (13) $24,000 x 100 percent share = $24,000 indemnity payment.
    Example 2:
    Assume the same facts in example 1. Also assume you have a 100 
percent share in 100 acres of contract seed types in the same unit, 
with a production guarantee of 5,000 pounds per acre and a base 
contract price of $0.40 per pound. Your selected price election 
percentage is 100 percent. You are only able to harvest 450,000 pounds. 
Your total indemnity for both spring-planted smooth green dry edible 
peas and contract seed types would be calculated as follows:
    (1) 100 acres x 4,000 pounds = 400,000-pound guarantee for the 
spring-planted smooth green dry edible pea type;
    (2) 400,000-pound guarantee x $0.12 price election = $48,000 value 
of guarantee for the spring-planted smooth green dry edible pea type;
    (3) $48,000 (only one spring-planted smooth green dry edible pea 
type; no other types in this example to total);
    (4) 100 acres x 5,000 pounds = 500,000-pound guarantee for the 
contract seed type;
    (5) 500,000-pound guarantee x $0.40 base contract price = $200,000 
gross value of guarantee for the contract seed type;
    (6) $200,000 x 1.00 price election percentage = $200,000 value of 
guarantee for the contract seed type;
    (7) $200,000 (only one contract seed type; no other types in this 
example to total);
    (8) $48,000 + $200,000 = $248,000 total value of guarantee;
    (9) 200,000-pound production to count x $0.12 price election = 
$24,000 value of production to count for the spring-planted smooth 
green dry edible pea type;
    (10) 450,000-pound production to count x $0.40 = $180,000 value of 
production to count for the contract seed type;
    (11) $24,000 + $180,000 = $204,000 total value of production to 
count;
    (12) $248,000-$204,000 = $44,000 loss; and
    (13) $44,000 loss x 100 percent share = $44,000 indemnity payment.
    End of Examples.
* * * * *

0
17. Amend Sec.  457.142 as follows:
0
a. Revise the introductory text and the undesignated text at the 
beginning of the ``Northern Potato Crop Provisions'';
0
b. In section 1, in the definition of ``Grade inspection'', remove the 
words ``deficiencies will be: For potatoes'' and add ``deficiencies 
will be: for potatoes'' in their place;
0
c. In section 2:
0
i. Revise the section heading; and
0
ii. In paragraph (a), remove the words ``Special Provisions'' wherever 
they appear and add ``actuarial documents'' in their place each time;
0
d. In section 6, in paragraph (d) introductory text, remove the words 
``Special Provision'' and add ``Special Provisions'' in their place;
0
e. In section 7, in the introductory text, remove the words ``the 
provisions of'';
0
f. In section 8:
0
i. In the introductory text, remove the words ``the provisions of''; 
and
0
ii. In paragraph (a), remove the words ``October 1, in'' and add the 
words ``October 1 in'' in their place;
0
g. In section 9, in paragraph (a) introductory text, remove the words 
``the provisions of''; and
0
h. In section 11:
0
i. In paragraph (b)(1), remove the words ``guarantee (If'' and add the 
words ``guarantee (if'' in their place;
0
ii. Revise paragraph (b)(2);
0
iii. In paragraph (e)(2), remove the words ``end of the insurance 
period and quality (grade) determinations must be completed with 21 
days of sampling)'' and add ``end of insurance period and quality 
(grade) determinations must be completed within 21 days of sampling'' 
in their place;
0
iv. In paragraph (g)(1)(i), remove the words ``Special Provisions or 
addendum thereto'' and add '' actuarial documents'' in their place; and
0
v. In paragraph (g)(2) introductory text, remove the words ``Northern 
Storage Coverage Endorsement'' and add ``Northern Potato Storage 
Coverage Endorsement'' in their place.
    The revisions read as follows:


Sec.  457.142  Northern potato crop insurance provisions.

    The Northern Potato Crop Insurance Provisions for the 2025 and 
succeeding crop years in counties with a contract change date of June 
30, September 30, and November 30, and for the 2026 and succeeding crop 
years in counties with a contract change date of April 30, are as 
follows:

United States Department of Agriculture
Federal Crop Insurance Corporation
Northern Potato Crop Provisions

    In return for your payment of premium and administrative fee for 
the coverage, these Northern Potato Crop Provisions will be attached to 
and made part of the Common Crop Insurance Policy, Basic Provisions 
(Basic Provisions) subject to the terms and conditions in your policy.
    These provisions will be applicable in: Alaska; Humboldt, Modoc, 
and Siskiyou Counties, California; Colorado; Connecticut; Idaho; 
Indiana; Iowa; Kansas; Maine; Massachusetts; Michigan; Minnesota; 
Montana; Nebraska; Nevada; San Juan County, New Mexico; New York; North 
Dakota; Ohio; Oregon; Pennsylvania; Rhode Island; South Dakota; Utah; 
Washington; Wisconsin; and Wyoming; and any

[[Page 53843]]

other states or counties if allowed by the Special Provisions.
* * * * *
2. Insurance Guarantees, Coverage Levels, and Prices
* * * * *
11. Settlement of Claim
* * * * *
    (b) * * *
    (2) Multiplying each result in section 11(b)(1) by the respective 
price election (the price election may be limited as specified in 
section 2);
* * * * *

0
18. Amend Sec.  457.147 as follows:
0
a. Revise the introductory text and the undesignated text at the 
beginning of the ``Central and Southern Potato Crop Provisions'';
0
b. In section 1, in the definition of ``Grade inspection'', remove the 
words ``deficiencies will be: For potatoes'' and add ``deficiencies 
will be: for potatoes'' in their place;
0
c. In section 3:
0
i. Revise the section heading; and
0
ii. In paragraph (a), remove the words ``section 2'' and add ``section 
3'' in their place and remove the words ``Special Provisions'' wherever 
they appear and add ``actuarial documents'' in their place each time;
0
d. In section 5, revise the column headings in the table;
0
e. In section 8 introductory text and section 9 introductory text, 
remove the words ``the provisions of'';
0
f. In section 10, in paragraph (a) introductory text, remove the words 
``the provisions of''; and
0
g. In section 12:
0
i. In paragraph (b)(2), remove the words ``section 3.)'' and add 
``section 3)'' in their place; and
0
ii. In paragraph (d)(1)(iv), remove the words ``sections 12(e)'' and 
add the words ``section 12(e)'' in their place.
    The revisions read as follows:


Sec.  457.147  Central and Southern potato crop insurance provisions.

    The Central and Southern Potato Crop Insurance Provisions for the 
2025 and succeeding crop years in counties with a contract change date 
of June 30, September 30, and November 30, and for the 2026 and 
succeeding crop years in counties with a contract change date of April 
30, are as follows:

United States Department of Agriculture
Federal Crop Insurance Corporation
Central and Southern Potato Crop Provisions

    In return for your payment of premium and administrative fee for 
the coverage, these Central and Southern Potato Crop Provisions will be 
attached to and made part of the Common Crop Insurance Policy, Basic 
Provisions (Basic Provisions) subject to the terms and conditions in 
your policy.
    These provisions will be applicable in Alabama; Arizona; all 
California counties except Humboldt, Modoc, and Siskiyou; Delaware; 
Florida; Georgia; Maryland; Missouri; New Jersey; all New Mexico 
counties except San Juan; North Carolina; Oklahoma; Texas; and 
Virginia; and other states or counties if allowed by the Special 
Provisions.
* * * * *
3. Insurance Guarantees, Coverage Levels, and Prices
* * * * *
5. Cancellation and Termination Dates
* * * * *

------------------------------------------------------------------------
                                                     Cancellation and
                State and county                    termination dates
------------------------------------------------------------------------
 
                              * * * * * * *
------------------------------------------------------------------------

* * * * *

0
19. Amend Sec.  457.150 as follows:
0
a. Revise the introductory text and the undesignated text at the 
beginning of the ``Dry Bean Crop Provisions'';
0
b. In section 1, in the definition of ``Practical to replant'', remove 
the text ``(Sec.  457.8)'';
0
c. In section 2:
0
i. Revise the section heading;
0
ii. In paragraph (a), remove the words ``production based'' and add the 
words ``production-based'' in their place and remove the words 
``acreage based'' and add the words ``acreage-based'' in their place;
0
iii. Revise paragraph (b) introductory text;
0
iv. In paragraph (b)(2), remove the words ``section 34(a)(4)'' and add 
``section 34(a)(2)'' in their place;
0
v. In paragraphs (b)(3)(i)(A) and (B) and (b)(3)(ii), remove the words 
``section 34(a)(4)'' and add ``section 34(a)(2) of the Basic 
Provisions'' in their place; and
0
vi. In paragraph (c), remove the words ``section 34(c) in the Basic 
Provisions'' and add ``section 34(c) of the Basic Provisions'' in their 
place;
0
d. In section 3:
0
i. Revise the section heading; and
0
ii. In paragraph (a), remove the text ``(Sec.  457.8)'' and remove the 
words ``Special Provisions'' and add ``actuarial documents'' in their 
place;
0
e. Revise section 5;
0
f. In sections 6, remove the text ``(Sec.  457.8)'';
0
g. In section 7, in paragraph (a) introductory text, remove the text 
``(Sec.  457.8)'';
0
h. In section 8 introductory text, section 9 introductory text, and 
section 10 introductory text, remove the text ``(Sec.  457.8)'';
0
i. In section 11, in paragraphs (a) and (d), remove the text ``(Sec.  
457.8)'';
0
j. In section 12, remove the text ``(Sec.  457.8)''; and
0
k. In section 13, in paragraph (e)(4) introductory text, remove the 
words ``sections 13(e) (2) and (3)'' and add ``sections 13(e)(2) and 
(3)'' in their place.
    The revisions read as follows:


Sec.  457.150  Dry bean crop insurance provisions.

    The Dry Bean Crop Insurance Provisions for the 2025 and succeeding 
crop years are as follows:

United States Department of Agriculture
Federal Crop Insurance Corporation
Dry Bean Crop Provisions

    In return for your payment of premium and administrative fee for 
the coverage, these Dry Bean Crop Provisions will be attached to and 
made part of the Common Crop Insurance Policy, Basic Provisions (Basic 
Provisions) subject to the terms and conditions in your policy.
* * * * *
2. Unit Division
* * * * *
    (b) In addition to enterprise units provided in section 34(a)(2) of 
the Basic Provisions, you may elect separate enterprise units by type, 
as provided in this section, if allowed by the actuarial documents. If 
you elect enterprise units by type, you may not elect enterprise or 
optional units by any other practice or type.
* * * * *
3. Insurance Guarantees, Coverage Levels, and Prices
* * * * *

[[Page 53844]]

5. Cancellation and Termination Dates
    In accordance with section 2 of the Basic Provisions, the 
cancellation and termination dates are:

------------------------------------------------------------------------
                                         Cancellation and  termination
           State and county                          dates
------------------------------------------------------------------------
California...........................  February 28.
All other States.....................  March 15.
------------------------------------------------------------------------

* * * * *

0
20. Amend Sec.  457.155 as follows:
0
a. Revise the introductory text and the undesignated text at the 
beginning of the ``Processing Bean Crop Provisions'';
0
b. In section 1, revise the definition of ``Good farming practices'';
0
c. In section 2, revise paragraphs (a)(2) and (b);
0
d. In section 3, revise the section heading;
0
e. In section 9, revise paragraph (d); and
0
f. In section 12, revise paragraph (b)(7) and the example paragraphs 
between paragraphs (b)(7) and (c).
    The revisions read as follows:


Sec.  457.155  Processing bean crop insurance provisions.

    The Processing Bean Crop Insurance Provisions for the 2025 and 
succeeding crop years are as follows:

United States Department of Agriculture
Federal Crop Insurance Corporation
Processing Bean Crop Provisions

    In return for your payment of premium and administrative fee for 
the coverage, these Processing Bean Crop Provisions will be attached to 
and made part of the Common Crop Insurance Policy, Basic Provisions 
(Basic Provisions) subject to the terms and conditions in your policy.
1. Definitions
* * * * *
    Good farming practices. In addition to the definition contained in 
the Basic Provisions, good farming practices include those practices 
required by the processor contract.
* * * * *
2. Unit Division
* * * * *
    (a) * * *
    (2) Optional units as provided in section 34(c) of the Basic 
Provisions are not applicable.
    (b) For any processor contract that stipulates the number of acres 
to be planted, in addition to, or instead of, establishing optional 
units as provided in section 34(c) of the Basic Provisions, optional 
units may be established by type if acreage of one type does not 
continue into acreage of another type in the same rows or planting 
pattern.
3. Insurance Guarantees, Coverage Levels, and Prices
* * * * *
9. Insurance Period
* * * * *
    (d) The calendar date for the end of the insurance period shown in 
the Special Provisions, unless otherwise modified by written agreement.
* * * * *
12. Settlement of Claim
* * * * *
    (b) * * *
    (7) Multiplying the result of section 12(b)(6) by your share.

Example for Section 12(b)

    You have a 100 percent share in 100 acres of snap type processing 
beans in the unit, with a guarantee of 3.0 tons per acre and a price 
election of $210.00 per ton. You are only able to harvest 200 tons. 
Your indemnity would be calculated as follows:
    (1) 100 acres x 3.0 tons = 300 tons guarantee;
    (2) 300 tons x $210.00 price election = $63,000.00 value of 
guarantee;
    (3) 200 tons x $210.00 price election = $42,000.00 value of 
production to count;
    (4) $63,000.00-$42,000.00 = $21,000.00 loss; and
    (5) $21,000.00 x 100 percent = $21,000.00 indemnity payment.
    You also have a 100 percent share in 100 acres of lima type 
processing beans in the same unit, with a guarantee of 1.0 ton per acre 
and a price election of $525.00 per ton. You are only able to harvest 
75 tons. Your total indemnity for both snap and lima types processing 
beans would be calculated as follows:
    (1) 100 acres x 3.0 tons = 300 tons guarantee for the snap type, 
and 100 acres x 1.0 ton = 100 tons guarantee for the lima type;
    (2) 300 tons x $210.00 price election = $63,000.00 value of 
guarantee for the snap type, and 100 tons x $525.00 price election = 
$52,500.00 value of guarantee for the lima type;
    (3) $63,000.00 + $52,500.00 = $115,500.00 total value of guarantee;
    (4) 200 tons x $210.00 price election = $42,000.00 value of 
production to count for the snap type, and 75 tons x $525.00 price 
election = $39,375.00 value of production to count for the lima type;
    (5) $42,000.00 + $39,375.00 = $81,375.00 total value of production 
to count;
    (6) $115,500.00-$81,375.00 = $33,625.00 loss; and
    (7) $33,625.00 loss x 100 percent = $33,625.00 indemnity payment.
    End of Example.
* * * * *

0
21. Amend Sec.  457.161 as follows:
0
a. Revise the introductory text and the undesignated text at the 
beginning of the ``Canola and Rapeseed Crop Provisions'';
0
b. Revise section 2;
0
c. In section 3, revise the section heading;
0
d. In section 5, revise the section heading and the table;
0
e. In section 7, in the introductory text, remove the words ``the 
provisions of'';
0
f. Revise section 8;
0
g. In section 9, in the introductory text, remove the words ``the 
provisions of'';
0
h. In section 12, revise paragraph (b)(6) and the example paragraphs 
between paragraphs (b)(6) and (c); and
0
i. In section 14, remove the period at the end of the section heading.
    The revisions read as follows:


Sec.  457.161  Canola and rapeseed crop insurance provisions.

    The Canola and Rapeseed Crop Insurance Provisions for the 2025 and 
succeeding crop years are as follows:

United States Department of Agriculture
Federal Crop Insurance Corporation
Canola and Rapeseed Crop Provisions

    In return for your payment of premium and administrative fee for 
the coverage, these Canola and Rapeseed Crop Provisions and 
corresponding Commodity Exchange Price Provisions

[[Page 53845]]

will be attached to and made part of the Common Crop Insurance Policy, 
Basic Provisions (Basic Provisions) subject to the terms and conditions 
in your policy.
* * * * *
2. Unit Division
    In addition to section 34(c) of the Basic Provisions, optional 
units may be established by type if the type is designated in the 
Special Provisions.
3. Insurance Guarantees, Coverage Levels, and Prices
* * * * *
5. Cancellation and Termination Dates
* * * * *

------------------------------------------------------------------------
       State and county          Cancellation date     Termination date
------------------------------------------------------------------------
(a) All counties in Alabama     September 30.......  September 30.
 and Georgia.
(b) Blaine, Bonneville,         March 15...........  March 15.
 Fremont, Jefferson, Madison,
 and Teton counties in Idaho;
 and all counties in
 Minnesota, Montana, North
 Dakota, and South Dakota.
(c) All counties in Illinois,   August 31..........  August 31.
 Indiana, Kansas, Kentucky,
 Michigan, North Carolina,
 Oklahoma, South Carolina,
 Tennessee, Texas, and
 Virginia.
(d) All other Idaho counties,   August 31..........  October 31.
 Oregon, and Washington.
------------------------------------------------------------------------

* * * * *
8. Insurance Period
    In accordance with section 11 of the Basic Provisions, the calendar 
date for the end of the insurance period is October 31 of the calendar 
year in which the crop is normally harvested, unless otherwise 
specified in the Special Provisions.
* * * * *
12. Settlement of Claim
* * * * *
    (b) * * *
    (6) Multiplying the result of section 12(b)(5) by your share.

Example for Section 12(b)

    You have 100 percent share in 50 acres of canola in the unit with a 
production guarantee (per acre) of 1,350 pounds, your projected price 
is $.26, your harvest price is $.24, and your production to count is 
51,000 pounds.
    If you elected yield protection:
    (1) 50 acres x (1,350 pound production guarantee x $.26 projected 
price) = $17,550.00 value of the production guarantee;
    (2) Not applicable;
    (3) 51,000 pound production to count x $.26 projected price = 
$13,260.00 value of the production to count;
    (4) Not applicable;
    (5) $17,550.00-$13,260.00 = $4,290.00; and
    (6) $4,290.00 x 1.000 share = $4,290.00 indemnity; or
    If you elected revenue protection:
    (1) 50 acres x (1,350 pound production guarantee x $.26 projected 
price) = $17,550.00 revenue protection guarantee;
    (2) Not applicable;
    (3) 51,000 pound production to count x $.24 harvest price = 
$12,240.00 value of the production to count;
    (4) Not applicable;
    (5) $17,550.00-$12,240.00 = $5,310.00; and
    (6) $5,310.00 x 1.000 share = $5,310.00 indemnity.
    End of Example.
* * * * *

0
22. Amend Sec.  457.166 as follows:
0
a. Revise the introductory text and the undesignated text at the 
beginning of the ``Blueberry Crop Insurance Provisions'';
0
b. In section 1, revise the definition for ``Production guarantee (per 
acre)'';
0
c. In section 3, revise paragraph (c);
0
d. In section 7, in paragraphs (a) introductory text and (b) 
introductory text, remove the words ``the provisions of'';
0
e. In section 8, in paragraph (a) introductory text, remove the words 
``the provisions of''; and
0
f. In section 10:
0
i. Revise paragraph (b)(7) and the example for section 10(b); and
0
ii. In paragraph (d)(2)(i), remove the words ``Special Provisions'' and 
add ``actuarial documents'' in their place.
    The revisions read as follows:


Sec.  457.166  Blueberry crop insurance provisions.

    The Blueberry Crop Insurance Provisions for the 2025 and succeeding 
crop years are as follows:

United States Department of Agriculture
Federal Crop Insurance Corporation
Blueberry Crop Provisions

    In return for your payment of premium and administrative fee for 
the coverage, these Blueberry Crop Provisions will be attached to and 
made part of the Common Crop Insurance Policy, Basic Provisions (Basic 
Provisions) subject to the terms and conditions in your policy.
* * * * *
1. Definitions
* * * * *
    Production guarantee (per acre). In accordance with the definition 
in the Basic Provisions, the production guarantee is number of pounds.
* * * * *
3. Insurance Guarantees, Coverage Levels, and Prices
* * * * *
    (c) We will reduce the approved yield, as necessary, based on our 
estimate of the effect of any circumstance listed in section 3(b) that 
may reduce your yields from previous levels. If you fail to notify us 
of any circumstance that may reduce your yields from previous levels, 
we will reduce your approved yield at any time we become aware of the 
circumstance. If the circumstance occurred:
    (1) Before the beginning of the insurance period and you notify us 
by the production reporting date, the approved yield will be reduced 
for the current crop year regardless of whether the circumstance was 
due to an insured or uninsured cause of loss;
    (2) After the beginning of the insurance period and you notify us 
by the production reporting date, the approved yield will be reduced 
for the current crop year only if the potential reduction in the 
approved yield is due to an uninsured cause of loss; or
    (3) Before or after the beginning of the insurance period and you 
fail to notify us by the production reporting date, an amount equal to 
the reduction in the approved yield will be added to the production to 
count calculated in section 10(c)(1)(ii) due to uninsured causes. We 
will reduce your approved yield for the subsequent crop year to reflect 
any reduction in the productive capacity of the bushes or in the yield 
potential of the insured acreage.
* * * * *
10. Settlement of Claim
* * * * *
    (b) * * *
    (7) Multiplying the result in section 10(b)(6) by your share.

[[Page 53846]]

Example for Section 10(b)

    You have 100 percent share in 25 acres of highbush blueberries with 
a production guarantee of 4,000 pounds per acre and a price election of 
$0.85 per pound. You are only able to harvest 62,500 total pounds 
because adverse weather reduced the yield. Your indemnity would be 
calculated as follows:
    (1) 25 acres x 4,000-pound production guarantee per acre = 100,000-
pound total production guarantee;
    (2) 100,000 pounds x $0.85 price election = $85,000 guarantee;
    (3) Not applicable;
    (4) 62,500-pound production to count x $0.85 price election = 
$53,125 value of production to count;
    (5) Not applicable;
    (6) $85,000-$53,125 = $31,875 loss; and
    (7) $31,875 x 100 percent share = $31,875 indemnity payment.
    End of Example.
* * * * *

0
23. Amend Sec.  457.167 as follows:
0
a. Revise the introductory text and the undesignated text at the 
beginning of the ``Pecan Revenue Crop Provisions''
0
b. In section 1:
0
i. Revise the definitions of ``Crop year'' and ``Direct marketing'';
0
ii. In the definition of ``Interplanted'', remove the word 
``contained'';
0
c. In section 2:
0
i. In paragraph (a), remove the words ``section 34(a)(4)'' and add 
``section 34(a)(2)'' in their place; and
0
ii. In paragraph (c) introductory text, remove the word ``contained'';
0
d. In section 4:
0
i. In the introductory text, remove the words ``the provisions 
contained in''; and
0
ii. In paragraph (b), remove the word ``herein'' and add ``in your 
policy'' in its place;
0
e. In section 6, revise paragraph (c);
0
f. In section 10, in paragraphs (a) introductory text and (b) 
introductory text, remove the words ``the provisions of'';
0
g. In the section 13, revise the Pecan Revenue Example; and
0
h. In section 16, remove the words ``the provisions of''.
    The revisions read as follows:


Sec.  457.167  Pecan revenue crop insurance provisions.

    The Pecan Revenue Crop Insurance Provisions for the 2025 and 
succeeding crop years are as follows:

United States Department of Agriculture
Federal Crop Insurance Corporation
Pecan Revenue Crop Provisions

    In return for your payment of premium and administrative fee for 
the coverage, these Pecan Revenue Crop Provisions will be attached to 
and made part of the Common Crop Insurance Policy, Basic Provisions 
(Basic Provisions) subject to the terms and conditions in your policy.
1. Definitions
* * * * *
    Crop year. In lieu of the definition in section 1 of the Basic 
Provisions, the period beginning February 1 of the calendar year in 
which the pecan trees bloom and extending through January 31 of the 
year following such bloom, and will be designated by the calendar year 
in which the pecan trees bloom.
    Direct marketing. In addition to the definition in section 1 of the 
Basic Provisions, the sale of the insured crop directly to consumers 
without the intervention of an intermediary, including a sheller. An 
additional example of direct marketing includes shelling and packing 
your own pecans.
* * * * *
6. Report of Acreage
* * * * *
    (c) We will reduce your insured acreage or your amount of insurance 
per acre, as necessary, based on our estimate of the effect of any 
circumstance listed in sections 6(a) and (b) that may reduce your gross 
sales from previous levels. If you fail to notify us of any 
circumstance that may reduce your gross sales from previous levels, we 
will reduce your insured acreage or your amount of insurance per acre 
at any time we become aware of the circumstance. If the circumstance 
occurred:
    (1) Before the beginning of the insurance period and you notify us 
by the acreage reporting date, your insured acreage or amount of 
insurance per acre will be reduced for the current crop year regardless 
of whether the circumstance was due to an insured or uninsured cause of 
loss;
    (2) After the beginning of the insurance period and you notify us 
by the acreage reporting date, your insured acreage or amount of 
insurance per acre will be reduced for the current crop year only if 
the potential reduction in your gross sales is due to an uninsured 
cause of loss; or
    (3) Before or after the beginning of the insurance period and you 
fail to notify us by the acreage reporting date, an amount equal to the 
reduction in your gross sales will be added to the production to count 
calculated in section 13(d)(1)(ii) due to uninsured causes. We will 
reduce your insured acreage or amount of insurance per acre for the 
subsequent crop year to reflect any reduction in the productive 
capacity of the trees or in the gross sales potential of the insured 
acreage.
* * * * *
13. Settlement of Claim
* * * * *

                                              Pecan Revenue Example
----------------------------------------------------------------------------------------------------------------
                                                                                  Average pounds   Average gross
                              Year                                     Acres         per acre     sales per acre
----------------------------------------------------------------------------------------------------------------
4...............................................................             100             750          $1,050
3...............................................................             100             625             625
2...............................................................             100           1,250             750
1...............................................................             100             200             250
----------------------------------------------------------------------------------------------------------------

    Total Average Gross Sales per Acre = $2,675.
    The approved average revenue equals the total average gross sales 
per acre divided by the number of years ($2,675 / 4 = $669).
    The amount of insurance per acre equals the approved average 
revenue multiplied by the coverage level percent ($669 x 0.65 = $435).
    Assume pecan trees in the unit experienced damage to blooms due to 
a late freeze causing low production. You produced, harvested, and sold 
300 pounds per acre of pecans from 70 acres and received an actual 
price of $0.75 per pound. On the other 30 acres, the pecans suffered 
damage due to drought. You elected not to harvest the other 30 acres of 
pecans. The 30 acres were

[[Page 53847]]

appraised at 100 pounds per acre and on the day of the appraisal the 
average AMS price was $0.65. The total dollar value of production to 
count is (300 pounds of pecans x 70 net acres x $0.75) + (100 pounds x 
30 net acres x $0.65) = $15,750 + $1,950 = $17,700.
    The indemnity would be:
    The amount of insurance per acre multiplied by the net acres minus 
the dollar value of the total production to count equals the dollar 
amount of indemnity ($435 x 100 = $43,500.00 -$17,700.00 = $25,800).
* * * * *

0
24. Amend Sec.  457.175 as follows:
0
a. Revise the introductory text and the undesignated text at the 
beginning of the ``California Avocado Crop Provisions'';
0
b. In section 1, in the definition of ``Crop year'', remove the words 
``The period of time'' and add ``In lieu of the definition contained in 
section 1 of the Basic Provisions, the period of time'' in their place;
0
c. Revise section 2;
0
d. In section 3, revise paragraph (c);
0
e. In section 6, in paragraph (b), remove the words ``the provisions 
of'';
0
f. In section 8:
0
i. In paragraphs (a) introductory text and (b) introductory text, 
remove the words ``the provisions of''; and
0
ii. Revise paragraphs (b)(2) introductory text and (b)(2)(iii); and
0
g. In section 11, in paragraph (c)(1)(iv)(A), remove the word 
``Section'' and add ``section'' in its place.
    The revisions read as follows:


Sec.  457.175  California avocado crop insurance provisions.

    The California Avocado Crop Provisions for the 2026 and succeeding 
crop years are as follows:

United States Department of Agriculture
Federal Crop Insurance Corporation
California Avocado Crop Provisions

    In return for your payment of premium and administrative fee for 
the coverage, these California Avocado Crop Provisions will be attached 
to and made part of the Common Crop Insurance Policy, Basic Provisions 
(Basic Provisions) subject to the terms and conditions in your policy.
* * * * *
2. Unit Division
    (a) Optional units may be established by:
    (1) Organic and non-organic farming practices as provided in 
section 34(c)(3) of the Basic Provisions;
    (2) Non-contiguous land; or
    (3) Type.
    (b) Optional units by land location as provided in section 34(c)(1) 
of the Basic Provisions and by irrigation practice as provided in 
section 34(c)(2) of the Basic Provisions are not applicable.
3. Insurance Guarantees, Coverage Levels, and Prices
* * * * *
    (c) We will reduce the approved yield, as necessary, based on your 
estimate of the effect of any circumstance listed in section 3(b) that 
may reduce your yields from previous levels. If you fail to notify us 
of any circumstance that may reduce your yields from previous levels, 
we will reduce your approved yield at any time we become aware of the 
circumstance. If the circumstance occurred:
    (1) Before the beginning of the insurance period and you notify us 
by the production reporting date, the approved yield will be reduced 
for the current crop year regardless of whether the circumstance was 
due to an insured or uninsured cause of loss;
    (2) After the beginning of the insurance period and you notify us 
by the production reporting date, the approved yield will be reduced 
for the current crop year only if the potential reduction in the 
approved yield is due to an uninsured cause of loss; or
    (3) Before or after the beginning of the insurance period and you 
fail to notify us by the production reporting date, an amount equal to 
the reduction in the approved yield will be added to the production to 
count calculated in section 11(c)(1)(ii) due to uninsured causes. We 
will reduce your approved yield for the subsequent crop year to reflect 
any reduction in the productive capacity of the trees or in the yield 
potential of the insured acreage.
* * * * *
8. Insurance Period
* * * * *
    (b) * * *
    (2) If you relinquish your insurable interest on any acreage of 
avocados on or before the acreage reporting date of any crop year, 
insurance will not be considered to have attached to and no premium 
will be due, and no indemnity paid, for such acreage for that crop year 
unless:
* * * * *
    (iii) The transferee is eligible for crop insurance.
* * * * *

Marcia Bunger,
Manager, Federal Crop Insurance Corporation.
[FR Doc. 2024-13198 Filed 6-26-24; 8:45 am]
BILLING CODE 3410-08-P

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