81_FR_40597 81 FR 40477 - Common Crop Insurance Regulations, Basic Provisions

81 FR 40477 - Common Crop Insurance Regulations, Basic Provisions

DEPARTMENT OF AGRICULTURE
Federal Crop Insurance Corporation

Federal Register Volume 81, Issue 120 (June 22, 2016)

Page Range40477-40480
FR Document2016-14735

The Federal Crop Insurance Corporation (FCIC) amends the Common Crop Insurance Regulations, Basic Provisions. The intended effect of this action is to provide policy changes and to clarify existing policy provisions to better meet the needs of policyholders. Issues have arisen regarding: The qualifications for double cropping; and when it is practical to replant. This rule addresses those issues.

Federal Register, Volume 81 Issue 120 (Wednesday, June 22, 2016)
[Federal Register Volume 81, Number 120 (Wednesday, June 22, 2016)]
[Rules and Regulations]
[Pages 40477-40480]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-14735]



========================================================================
Rules and Regulations
                                                Federal Register
________________________________________________________________________

This section of the FEDERAL REGISTER contains regulatory documents 
having general applicability and legal effect, most of which are keyed 
to and codified in the Code of Federal Regulations, which is published 
under 50 titles pursuant to 44 U.S.C. 1510.

The Code of Federal Regulations is sold by the Superintendent of Documents. 
Prices of new books are listed in the first FEDERAL REGISTER issue of each 
week.

========================================================================


Federal Register / Vol. 81, No. 120 / Wednesday, June 22, 2016 / 
Rules and Regulations

[[Page 40477]]



DEPARTMENT OF AGRICULTURE

Federal Crop Insurance Corporation

7 CFR Part 457

[Docket No. FCIC-16-0002]
RIN 0563-AC50


Common Crop Insurance Regulations, Basic Provisions

AGENCY: Federal Crop Insurance Corporation, USDA.

ACTION: Final rule with request for comments.

-----------------------------------------------------------------------

SUMMARY: The Federal Crop Insurance Corporation (FCIC) amends the 
Common Crop Insurance Regulations, Basic Provisions. The intended 
effect of this action is to provide policy changes and to clarify 
existing policy provisions to better meet the needs of policyholders. 
Issues have arisen regarding: The qualifications for double cropping; 
and when it is practical to replant. This rule addresses those issues.

DATES: Effective date: This final rule is effective June 22, 2016.
    Applicability date: The changes are applicable for the 2017 and 
succeeding crop years for all crops with a contract change date on or 
after June 22, 2016, and for the 2018 and succeeding crop years for all 
crops with a contract change date prior to June 22, 2016.
    Comment due date: FCIC will accept written comments on this final 
rule until close of business August 22, 2016. FCIC may consider the 
comments received and may conduct additional rulemaking based on the 
comments.

ADDRESSES: FCIC prefers interested persons submit their comments 
electronically through the Federal eRulemaking Portal. Interested 
persons may submit comments, identified by Docket ID No. FCIC-16-0002, 
by any of the following methods:
     Federal eRulemaking Portal: http://www.regulations.gov. 
Follow the instructions for submitting comments.
     Mail: Director, Product Administration and Standards 
Division, Risk Management Agency, United States Department of 
Agriculture, P.O. Box 419205, Kansas City, MO 64133-6205.
    FCIC will post all comments received, including those received by 
mail, without change to http://www.regulations.gov, including any 
personal information provided. Once these comments are posted to this 
Web site, the public can access all comments at its convenience from 
this Web site. All comments must include the agency name and docket 
number or Regulatory Information Number (RIN) for this rule. For 
detailed instructions on submitting comments and additional 
information, see http://www.regulations.gov. If interested persons are 
submitting comments electronically through the Federal eRulemaking 
Portal and want to attach a document, FCIC requests that the document 
attachment be in a text-based format. If interested persons want to 
attach a document that is a scanned Adobe PDF file, it must be scanned 
as text and not as an image, thus allowing FCIC to search and copy 
certain portions of the submissions. For questions regarding attaching 
a document that is a scanned Adobe PDF file, please contact the Risk 
Management Agency (RMA) Web Content Team at (816) 823-4694 or by email 
at [email protected].
    Privacy Act: Anyone is able to search the electronic form of all 
comments received for any dockets by the name of the person submitting 
the comment (or signing the comment, if submitted on behalf of an 
entity, such as an association, business, labor union, etc.). 
Interested persons may review the complete User Notice and Privacy 
Notice for Regulations.gov at http://www.regulations.gov/#!privacyNotice.

FOR FURTHER INFORMATION CONTACT: Tim Hoffmann, Product Management, 
Product Administration and Standards Division, Risk Management Agency, 
United States Department of Agriculture, Beacon Facility, Stop 0812, 
Room 421, P.O. Box 419205, Kansas City, MO 64141-6205, telephone (816) 
926-7730.

SUPPLEMENTARY INFORMATION: 

Background

    FCIC amends the Common Crop Insurance Regulations (7 CFR part 457) 
by revising 7 CFR 457.8 Common Crop Insurance Regulations, Basic 
Provisions. The changes to the policy made in this rule are applicable 
for the 2017 and succeeding crop years for all crops with a contract 
change date on or after June 22, 2016, and for the 2018 and succeeding 
crop years for all crops with a contract change date prior to June 22, 
2016.
    FCIC is issuing this final rule without opportunity for prior 
notice and comment. The Administrative Procedure Act exempts rules 
``relating to agency management or personnel or to public property, 
loans, grants, benefits, or contracts'' from the statutory requirement 
for prior notice and opportunity for public comment (5 U.S.C. 
553(a)(2)). However, FCIC is providing a 60-day comment period and 
invites interested persons to participate in this rulemaking by 
submitting written comments. FCIC may consider the comments received 
and may conduct additional rulemaking based on the comments.
    The changes to the Common Crop Insurance Regulations, Basic 
Provisions (7 CFR part 457) are as follows:
    (a) Section 1--FCIC is revising the definition of ``practical to 
replant.'' Concerns have been raised regarding the definition of 
``practical to replant'' and the difficulty and inconsistency that can 
occur in administering the practical to replant provisions of the crop 
insurance policy. Approved insurance providers have stated the 
provisions, as written, regarding ``practical to replant'' lead to 
different approved insurance providers reaching differing 
determinations as to whether it is practical to replant in the same 
area. FCIC is revising the definition to provide a clear, known 
deadline for when replanting of the crop is considered to be practical 
and if not replanted, coverage will not be provided for the initial 
crop. The definition provides an exception for adverse weather 
conditions that would either prohibit the physical replanting of the 
crop, or impact seed germination, emergence, and formation of a healthy 
plant.
    (b) Section 15--FCIC is revising section 15 to allow the allocation 
of comingled first and second crop production to the associated crop

[[Page 40478]]

acreage in proportion to the liability for the acreage that was and was 
not double cropped. Some producers have found challenges keeping 
separate records of acreage and production that was and was not double 
cropped because often times the acreage is in the very same field and 
they harvest both first and second crop production at the same time. 
For example, if a producer has two fields in the same unit, or one 
field half of which was first crop acreage and half that was double 
crop acreage, next to each other and on one field they plant wheat, 
harvest the wheat, and plant soybeans while the other field was a 
single crop of soybeans only, they may harvest both soybean fields at 
the same time making it difficult to keep the production separate. This 
change has previously been implemented administratively through MGR-11-
003.
    FCIC is also revising section 15 to allow eligible double cropping 
acres to be based on either, (1) the greatest number of acres double 
cropped in two of the last four crop years in which the first insured 
crop was planted; or (2) the percentage of acres historically double 
cropped in two of the last four crop years in which the first insured 
crop was planted. Current double cropping requirements do not 
adequately recognize changes in growing farm operations or for added 
land. This change will address both land added to an operation, and 
account for multiple crop rotations. For example, if a producer has a 
100-acre farm and has historically double cropped 50 acres planted to 
wheat followed by soybeans (50 percent of acres historically double 
cropped), and the producer purchases and plants an additional 200 acres 
of wheat for a total of 300 acres of planted wheat, the number of acres 
eligible for double cropping would be based on 50 percent, or 150 
acres. If the producer has historically double cropped wheat followed 
by soybeans on some or even all of the acreage, there is a reasonable 
presumption they may continue to do so in the future.
    Previously, changes made to the Federal crop insurance policies 
codified in the Code of Federal Regulations were required to be 
implemented through the rulemaking process. Such action was not 
required by the Administrative Procedures Act because contracts were 
exempt from notice and comment rulemaking and the crop insurance policy 
is a contract. However, a prior Secretary of Agriculture published a 
notice in the Federal Register stating that the Department of 
Agriculture would, to the maximum extent practicable, use the notice 
and comment rulemaking process when making program changes, including 
those involving contracts. FCIC has complied with this notice over the 
subsequent years. Recently, the current Secretary of Agriculture has 
published a notice in the Federal Register rescinding the prior notice, 
thereby making contracts again exempt from the notice and comment 
rulemaking process. This exemption applies to the 30 day notice prior 
to implementation of a rule. Therefore, the policy changes made by this 
final rule are effective upon publication in the Federal Register.

Executive Order 12866

    This rule has been determined to be not significant for the 
purposes of Executive Order 12866 and, therefore, it has not been 
reviewed by the OMB.

Paperwork Reduction Act of 1995

    Pursuant to the provisions of the Paperwork Reduction Act of 1995 
(44 U.S.C. chapter 35, subchapter I), the collections of information in 
this rule have been approved by OMB under control number 0563-0053.

E-Government Act Compliance

    FCIC is committed to complying with the E-Government Act of 2002, 
to promote the use of the Internet and other information technologies 
to provide increased opportunities for citizen access to Government 
information and services, and for other purposes.

Unfunded Mandates Reform Act of 1995

    Title II of the Unfunded Mandates Reform Act of 1995 (UMRA), 
establishes requirements for Federal agencies to assess the effects of 
their regulatory actions on State, local, and tribal governments and 
the private sector. This rule contains no Federal mandates (under the 
regulatory provisions of title II of the UMRA) for State, local, and 
tribal governments or the private sector. Therefore, this rule is not 
subject to the requirements of sections 202 and 205 of UMRA.

Executive Order 13132

    It has been determined under section 1(a) of Executive Order 13132, 
Federalism, that this rule does not have sufficient implications to 
warrant consultation with the States. The provisions contained in this 
rule will not have a substantial direct effect on States, or on the 
relationship between the national government and the States, or on the 
distribution of power and responsibilities among the various levels of 
government.

Executive Order 13175

    This rule has been reviewed in accordance with the requirements of 
Executive Order 13175, ``Consultation and Coordination with Indian 
Tribal Governments.'' Executive Order 13175 requires Federal agencies 
to consult and coordinate with tribes on a government-to-government 
basis on policies that have tribal implications, including regulations, 
legislative comments or proposed legislation, and other policy 
statements or actions that have substantial direct effects on one or 
more Indian tribes, on the relationship between the Federal Government 
and Indian tribes or on the distribution of power and responsibilities 
between the Federal Government and Indian tribes.
    The Federal Crop Insurance Corporation has assessed the impact of 
this rule on Indian tribes and determined that this rule does not, to 
our knowledge, have tribal implications that require tribal 
consultation under E.O. 13175. If a Tribe requests consultation, the 
Federal Crop Insurance Corporation will work with the Office of Tribal 
Relations to ensure meaningful consultation is provided where changes, 
additions and modifications identified herein are not expressly 
mandated by Congress.

Regulatory Flexibility Act

    FCIC certifies that this regulation will not have a significant 
economic impact on a substantial number of small entities. Program 
requirements for the Federal crop insurance program are the same for 
all producers regardless of the size of their farming operation. For 
instance, all producers are required to submit an application and 
acreage report to establish their insurance guarantees and compute 
premium amounts, and all producers are required to submit a notice of 
loss and production information to determine the indemnity amount for 
an insured cause of crop loss. Whether a producer has 10 acres or 1000 
acres, there is no difference in the kind of information collected. To 
ensure crop insurance is available to small entities, the Federal Crop 
Insurance Act (FCIA) authorizes FCIC to waive collection of 
administrative fees from limited resource farmers. FCIC believes this 
waiver helps to ensure that small entities are given the same 
opportunities as large entities to manage their risks through the use 
of crop insurance. A Regulatory Flexibility Analysis has not been 
prepared since this regulation does not have a significant impact on a 
substantial number of small entities, and, therefore, this regulation 
is exempt

[[Page 40479]]

from the provisions of the Regulatory Flexibility Act (5 U.S.C. 605).

Federal Assistance Program

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

Executive Order 12372

    This program is not subject to the provisions of Executive Order 
12372, which require intergovernmental consultation with State and 
local officials. See 2 CFR part 415, subpart C.

Executive Order 12988

    This rule has been reviewed in accordance with Executive Order 
12988 on civil justice reform. The provisions of this rule will not 
have a retroactive effect. The provisions of this rule will preempt 
State and local laws to the extent such State and local laws are 
inconsistent herewith. With respect to any direct action taken by FCIC 
or action by FCIC directing the insurance provider to take specific 
action under the terms of the crop insurance policy, the administrative 
appeal provisions published at 7 CFR part 11 must be exhausted before 
any action against FCIC for judicial review may be brought.

Environmental Evaluation

    This action is not expected to have a significant economic impact 
on the quality of the human environment, health, or safety. Therefore, 
neither an Environmental Assessment nor an Environmental Impact 
Statement is needed.

List of Subjects in 7 CFR Part 457

    Crop insurance, Reporting and recordkeeping requirements.

Final Rule

    Accordingly, as set forth in the preamble, the Federal Crop 
Insurance Corporation amends 7 CFR part 457 as follows:

PART 457--COMMON CROP INSURANCE REGULATIONS

0
1. The authority citation for 7 CFR part 457 continues to read as 
follows:

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

0
2. Amend Sec.  457.8, in the Common Crop Insurance Policy, as follows:
0
a. In section 1 by revising the definition of ``practical to replant;'' 
and
0
b. In section 15 by revising paragraphs (h) and (i).
    The revisions and additions reads as follows:


Sec.  457.8  The application and policy.

* * * * *

Common Crop Insurance Policy

* * * * *
    1. Definitions.
* * * * *
    Practical to replant. Our determination, after loss or damage to 
the insured crop, based on all factors, including, but not limited to 
moisture availability, marketing window, condition of the field, and 
time to crop maturity, that replanting the insured crop will allow it 
to attain maturity prior to the calendar date for the end of the 
insurance period. It will be considered practical to replant within or 
prior to the late planting period, or on or prior to the final planting 
date if no late planting period is applicable, unless we determine it 
is physically impossible to replant the acreage or there is no chance 
of seed germination, emergence, and formation of a healthy plant.
* * * * *
    15. Production Included in Determining an Indemnity and Payment 
Reductions.
* * * * *
    (h) You may receive a full indemnity, or a full prevented planting 
payment for a first insured crop when a second crop is planted on the 
same acreage in the same crop year, if each of the following conditions 
are met, regardless of whether or not the second crop is insured or 
sustains an insurable loss:
    (1) Planting two or more crops for harvest in the same crop year in 
the area is generally recognized by agricultural experts or organic 
agricultural experts;
    (2) The second or more crops are customarily planted after the 
first insured crop for harvest on the same acreage in the same crop 
year in the area;
    (3) Additional coverage insurance offered under the authority of 
the Act is available in the county on the two or more crops that are 
double cropped;
    (4) In the case of prevented planting, the second crop is not 
planted on or prior to the final planting date or, if applicable, prior 
to the end of the late planting period for the first insured crop;
    (5) You provide records, acceptable to us, of acreage and 
production specific to the double cropped acreage proving that:
    (i) You have double cropped acreage in at least two of the last 
four crop years in which the first insured crop was planted; if you 
acquired additional acreage, you may apply the percentage of acres that 
you have previously double cropped to the total acreage now in your 
operation using the following calculation:
    (A) Determine the number of acres of the first insured crop that 
were double cropped in each of the years for which records are provided 
(For example, records are provided showing: 100 acres of wheat planted 
in 2015 and 50 of those acres were double cropped with soybeans; and 
100 acres of wheat planted in 2016 and 70 of those acres were double 
cropped with soybeans);
    (B) Divide each result of section 15(h)(5)(i)(A) by the number of 
acres of the first insured crop that were planted in each respective 
year (In the example above, 50 divided by 100 equals 50 percent of the 
first insured crop acres were double cropped in 2015 and 70 divided by 
100 equals 70 percent were double cropped in 2016);
    (C) Add the results of section 15(h)(5)(i)(B) and divide by the 
number of years the first insured crop was double cropped (In the 
example above, 50 plus 70 equals 120 divided by 2 equals 60 percent); 
and
    (D) Multiply the result of 15(h)(5)(i)(C) by the number of insured 
acres of the first insured crop (In the example above, 60 percent of 
the wheat acres insured in 2017 and 60 percent of the second crop acres 
insured in 2017 are eligible for double cropping history);


or

    (ii) The applicable acreage was double cropped (by one or more 
other producers, and the producer(s) will allow you to use their 
records) for at least two of the last four crop years in which the 
first insured crop was grown on it; and
    (6) If you do not have records of acreage and production specific 
to the double cropped acreage, as required in section 15(h)(5), but 
instead have records that combine production from acreage you double 
cropped with records of production you did not double crop, we will 
allocate the first and second crop production to the specific acreage 
in proportion to the liability for the acreage that was and was not 
double cropped.
    (i) If you provided acceptable records in accordance with section 
15(h), your double cropping history is based on the acres historically 
cropped:
    (1) If the records you provided are from acreage you double cropped 
in at least two of the last four crop years, you may apply your history 
of double cropping to any acreage of the insured crop in the county 
(e.g., if you have double cropped 100 acres of wheat and soybeans in 
the county and you acquire an additional 100 acres in the county, you 
can apply that history of double cropped acreage to any of the 200 
acres

[[Page 40480]]

in the county as long as it does not exceed 100 acres); or
    (2) If the records you provided are from acreage that one or more 
other producers double cropped in at least two of the last four crop 
years, you may only use the history of double cropping for the same 
physical acres from which double cropping records were provided (e.g., 
if a neighbor has double cropped 100 acres of wheat and soybeans in the 
county and you acquire your neighbor's 100 double cropped acres and an 
additional 100 acres in the county, you can only apply your neighbor's 
history of double cropped acreage to the same 100 acres that your 
neighbor double cropped).
* * * * *

    Signed in Washington, DC, on June 16, 2016.
Brandon Willis,
Manager, Federal Crop Insurance Corporation.
[FR Doc. 2016-14735 Filed 6-21-16; 8:45 am]
 BILLING CODE 3410-08-P



                                                                                                                                                                                                40477

                                              Rules and Regulations                                                                                          Federal Register
                                                                                                                                                             Vol. 81, No. 120

                                                                                                                                                             Wednesday, June 22, 2016



                                              This section of the FEDERAL REGISTER                       • Federal eRulemaking Portal: http://               Background
                                              contains regulatory documents having general            www.regulations.gov. Follow the                           FCIC amends the Common Crop
                                              applicability and legal effect, most of which           instructions for submitting comments.
                                              are keyed to and codified in the Code of                                                                       Insurance Regulations (7 CFR part 457)
                                              Federal Regulations, which is published under              • Mail: Director, Product                           by revising 7 CFR 457.8 Common Crop
                                              50 titles pursuant to 44 U.S.C. 1510.                   Administration and Standards Division,                 Insurance Regulations, Basic Provisions.
                                                                                                      Risk Management Agency, United States                  The changes to the policy made in this
                                              The Code of Federal Regulations is sold by              Department of Agriculture, P.O. Box                    rule are applicable for the 2017 and
                                              the Superintendent of Documents. Prices of              419205, Kansas City, MO 64133–6205.                    succeeding crop years for all crops with
                                              new books are listed in the first FEDERAL                                                                      a contract change date on or after June
                                              REGISTER issue of each week.                               FCIC will post all comments received,
                                                                                                      including those received by mail,                      22, 2016, and for the 2018 and
                                                                                                      without change to http://                              succeeding crop years for all crops with
                                                                                                      www.regulations.gov, including any                     a contract change date prior to June 22,
                                              DEPARTMENT OF AGRICULTURE
                                                                                                      personal information provided. Once                    2016.
                                              Federal Crop Insurance Corporation                      these comments are posted to this Web                     FCIC is issuing this final rule without
                                                                                                      site, the public can access all comments               opportunity for prior notice and
                                              7 CFR Part 457                                          at its convenience from this Web site.                 comment. The Administrative
                                                                                                      All comments must include the agency                   Procedure Act exempts rules ‘‘relating
                                              [Docket No. FCIC–16–0002]                                                                                      to agency management or personnel or
                                                                                                      name and docket number or Regulatory
                                              RIN 0563–AC50                                           Information Number (RIN) for this rule.                to public property, loans, grants,
                                                                                                      For detailed instructions on submitting                benefits, or contracts’’ from the statutory
                                              Common Crop Insurance Regulations,                      comments and additional information,                   requirement for prior notice and
                                              Basic Provisions                                        see http://www.regulations.gov. If                     opportunity for public comment (5
                                                                                                      interested persons are submitting                      U.S.C. 553(a)(2)). However, FCIC is
                                              AGENCY:  Federal Crop Insurance                                                                                providing a 60-day comment period and
                                              Corporation, USDA.                                      comments electronically through the
                                                                                                      Federal eRulemaking Portal and want to                 invites interested persons to participate
                                              ACTION: Final rule with request for                                                                            in this rulemaking by submitting written
                                              comments.                                               attach a document, FCIC requests that
                                                                                                      the document attachment be in a text-                  comments. FCIC may consider the
                                              SUMMARY:   The Federal Crop Insurance                   based format. If interested persons want               comments received and may conduct
                                              Corporation (FCIC) amends the                           to attach a document that is a scanned                 additional rulemaking based on the
                                              Common Crop Insurance Regulations,                      Adobe PDF file, it must be scanned as                  comments.
                                                                                                                                                                The changes to the Common Crop
                                              Basic Provisions. The intended effect of                text and not as an image, thus allowing
                                                                                                                                                             Insurance Regulations, Basic Provisions
                                              this action is to provide policy changes                FCIC to search and copy certain
                                                                                                                                                             (7 CFR part 457) are as follows:
                                              and to clarify existing policy provisions               portions of the submissions. For                          (a) Section 1—FCIC is revising the
                                              to better meet the needs of                             questions regarding attaching a                        definition of ‘‘practical to replant.’’
                                              policyholders. Issues have arisen                       document that is a scanned Adobe PDF                   Concerns have been raised regarding the
                                              regarding: The qualifications for double                file, please contact the Risk                          definition of ‘‘practical to replant’’ and
                                              cropping; and when it is practical to                   Management Agency (RMA) Web                            the difficulty and inconsistency that can
                                              replant. This rule addresses those                      Content Team at (816) 823–4694 or by                   occur in administering the practical to
                                              issues.                                                 email at rmaweb.content@rma.usda.gov.                  replant provisions of the crop insurance
                                              DATES: Effective date: This final rule is                  Privacy Act: Anyone is able to search               policy. Approved insurance providers
                                              effective June 22, 2016.                                the electronic form of all comments                    have stated the provisions, as written,
                                                 Applicability date: The changes are                  received for any dockets by the name of                regarding ‘‘practical to replant’’ lead to
                                              applicable for the 2017 and succeeding                  the person submitting the comment (or                  different approved insurance providers
                                              crop years for all crops with a contract                signing the comment, if submitted on                   reaching differing determinations as to
                                              change date on or after June 22, 2016,                  behalf of an entity, such as an                        whether it is practical to replant in the
                                              and for the 2018 and succeeding crop                    association, business, labor union, etc.).             same area. FCIC is revising the
                                              years for all crops with a contract                     Interested persons may review the                      definition to provide a clear, known
                                              change date prior to June 22, 2016.                     complete User Notice and Privacy                       deadline for when replanting of the crop
                                                 Comment due date: FCIC will accept                   Notice for Regulations.gov at http://                  is considered to be practical and if not
                                              written comments on this final rule                     www.regulations.gov/#!privacyNotice.                   replanted, coverage will not be provided
                                              until close of business August 22, 2016.                                                                       for the initial crop. The definition
                                              FCIC may consider the comments                          FOR FURTHER INFORMATION CONTACT:    Tim
                                                                                                      Hoffmann, Product Management,                          provides an exception for adverse
                                              received and may conduct additional                                                                            weather conditions that would either
                                              rulemaking based on the comments.                       Product Administration and Standards
                                                                                                      Division, Risk Management Agency,                      prohibit the physical replanting of the
sradovich on DSK3TPTVN1PROD with RULES




                                              ADDRESSES: FCIC prefers interested                                                                             crop, or impact seed germination,
                                                                                                      United States Department of
                                              persons submit their comments                                                                                  emergence, and formation of a healthy
                                                                                                      Agriculture, Beacon Facility, Stop 0812,
                                              electronically through the Federal                                                                             plant.
                                                                                                      Room 421, P.O. Box 419205, Kansas
                                              eRulemaking Portal. Interested persons                                                                            (b) Section 15—FCIC is revising
                                                                                                      City, MO 64141–6205, telephone (816)
                                              may submit comments, identified by                                                                             section 15 to allow the allocation of
                                                                                                      926–7730.
                                              Docket ID No. FCIC–16–0002, by any of                                                                          comingled first and second crop
                                              the following methods:                                  SUPPLEMENTARY INFORMATION:                             production to the associated crop


                                         VerDate Sep<11>2014   16:06 Jun 21, 2016   Jkt 238001   PO 00000   Frm 00001   Fmt 4700   Sfmt 4700   E:\FR\FM\22JNR1.SGM   22JNR1


                                              40478            Federal Register / Vol. 81, No. 120 / Wednesday, June 22, 2016 / Rules and Regulations

                                              acreage in proportion to the liability for              program changes, including those                       Executive Order 13175
                                              the acreage that was and was not double                 involving contracts. FCIC has complied                   This rule has been reviewed in
                                              cropped. Some producers have found                      with this notice over the subsequent                   accordance with the requirements of
                                              challenges keeping separate records of                  years. Recently, the current Secretary of              Executive Order 13175, ‘‘Consultation
                                              acreage and production that was and                     Agriculture has published a notice in                  and Coordination with Indian Tribal
                                              was not double cropped because often                    the Federal Register rescinding the                    Governments.’’ Executive Order 13175
                                              times the acreage is in the very same                   prior notice, thereby making contracts                 requires Federal agencies to consult and
                                              field and they harvest both first and                   again exempt from the notice and                       coordinate with tribes on a government-
                                              second crop production at the same                      comment rulemaking process. This                       to-government basis on policies that
                                              time. For example, if a producer has two                exemption applies to the 30 day notice                 have tribal implications, including
                                              fields in the same unit, or one field half              prior to implementation of a rule.                     regulations, legislative comments or
                                              of which was first crop acreage and half                Therefore, the policy changes made by                  proposed legislation, and other policy
                                              that was double crop acreage, next to                   this final rule are effective upon                     statements or actions that have
                                              each other and on one field they plant                  publication in the Federal Register.                   substantial direct effects on one or more
                                              wheat, harvest the wheat, and plant
                                                                                                      Executive Order 12866                                  Indian tribes, on the relationship
                                              soybeans while the other field was a
                                                                                                                                                             between the Federal Government and
                                              single crop of soybeans only, they may                    This rule has been determined to be                  Indian tribes or on the distribution of
                                              harvest both soybean fields at the same                 not significant for the purposes of                    power and responsibilities between the
                                              time making it difficult to keep the                    Executive Order 12866 and, therefore, it               Federal Government and Indian tribes.
                                              production separate. This change has                    has not been reviewed by the OMB.                        The Federal Crop Insurance
                                              previously been implemented
                                                                                                      Paperwork Reduction Act of 1995                        Corporation has assessed the impact of
                                              administratively through MGR–11–003.
                                                 FCIC is also revising section 15 to                                                                         this rule on Indian tribes and
                                                                                                        Pursuant to the provisions of the                    determined that this rule does not, to
                                              allow eligible double cropping acres to                 Paperwork Reduction Act of 1995 (44
                                              be based on either, (1) the greatest                                                                           our knowledge, have tribal implications
                                                                                                      U.S.C. chapter 35, subchapter I), the                  that require tribal consultation under
                                              number of acres double cropped in two                   collections of information in this rule
                                              of the last four crop years in which the                                                                       E.O. 13175. If a Tribe requests
                                                                                                      have been approved by OMB under                        consultation, the Federal Crop
                                              first insured crop was planted; or (2) the              control number 0563–0053.
                                              percentage of acres historically double                                                                        Insurance Corporation will work with
                                              cropped in two of the last four crop                    E-Government Act Compliance                            the Office of Tribal Relations to ensure
                                              years in which the first insured crop                                                                          meaningful consultation is provided
                                                                                                         FCIC is committed to complying with                 where changes, additions and
                                              was planted. Current double cropping
                                                                                                      the E-Government Act of 2002, to                       modifications identified herein are not
                                              requirements do not adequately
                                                                                                      promote the use of the Internet and                    expressly mandated by Congress.
                                              recognize changes in growing farm
                                                                                                      other information technologies to
                                              operations or for added land. This                                                                             Regulatory Flexibility Act
                                                                                                      provide increased opportunities for
                                              change will address both land added to
                                                                                                      citizen access to Government                             FCIC certifies that this regulation will
                                              an operation, and account for multiple
                                              crop rotations. For example, if a                       information and services, and for other                not have a significant economic impact
                                              producer has a 100-acre farm and has                    purposes.                                              on a substantial number of small
                                              historically double cropped 50 acres                    Unfunded Mandates Reform Act of                        entities. Program requirements for the
                                              planted to wheat followed by soybeans                   1995                                                   Federal crop insurance program are the
                                              (50 percent of acres historically double                                                                       same for all producers regardless of the
                                              cropped), and the producer purchases                       Title II of the Unfunded Mandates                   size of their farming operation. For
                                              and plants an additional 200 acres of                   Reform Act of 1995 (UMRA), establishes                 instance, all producers are required to
                                              wheat for a total of 300 acres of planted               requirements for Federal agencies to                   submit an application and acreage
                                              wheat, the number of acres eligible for                 assess the effects of their regulatory                 report to establish their insurance
                                              double cropping would be based on 50                    actions on State, local, and tribal                    guarantees and compute premium
                                              percent, or 150 acres. If the producer                  governments and the private sector.                    amounts, and all producers are required
                                              has historically double cropped wheat                   This rule contains no Federal mandates                 to submit a notice of loss and
                                              followed by soybeans on some or even                    (under the regulatory provisions of title              production information to determine the
                                              all of the acreage, there is a reasonable               II of the UMRA) for State, local, and                  indemnity amount for an insured cause
                                              presumption they may continue to do so                  tribal governments or the private sector.              of crop loss. Whether a producer has 10
                                              in the future.                                          Therefore, this rule is not subject to the             acres or 1000 acres, there is no
                                                 Previously, changes made to the                      requirements of sections 202 and 205 of                difference in the kind of information
                                              Federal crop insurance policies codified                UMRA.                                                  collected. To ensure crop insurance is
                                              in the Code of Federal Regulations were                                                                        available to small entities, the Federal
                                                                                                      Executive Order 13132
                                              required to be implemented through the                                                                         Crop Insurance Act (FCIA) authorizes
                                              rulemaking process. Such action was                       It has been determined under section                 FCIC to waive collection of
                                              not required by the Administrative                      1(a) of Executive Order 13132,                         administrative fees from limited
                                              Procedures Act because contracts were                   Federalism, that this rule does not have               resource farmers. FCIC believes this
                                              exempt from notice and comment                          sufficient implications to warrant                     waiver helps to ensure that small
                                              rulemaking and the crop insurance                       consultation with the States. The                      entities are given the same opportunities
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                                              policy is a contract. However, a prior                  provisions contained in this rule will                 as large entities to manage their risks
                                              Secretary of Agriculture published a                    not have a substantial direct effect on                through the use of crop insurance. A
                                              notice in the Federal Register stating                  States, or on the relationship between                 Regulatory Flexibility Analysis has not
                                              that the Department of Agriculture                      the national government and the States,                been prepared since this regulation does
                                              would, to the maximum extent                            or on the distribution of power and                    not have a significant impact on a
                                              practicable, use the notice and comment                 responsibilities among the various                     substantial number of small entities,
                                              rulemaking process when making                          levels of government.                                  and, therefore, this regulation is exempt


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                                                                 Federal Register / Vol. 81, No. 120 / Wednesday, June 22, 2016 / Rules and Regulations                                          40479

                                              from the provisions of the Regulatory                     Common Crop Insurance Policy                             (A) Determine the number of acres of
                                              Flexibility Act (5 U.S.C. 605).                           *      *     *     *     *                             the first insured crop that were double
                                                                                                           1. Definitions.                                     cropped in each of the years for which
                                              Federal Assistance Program
                                                                                                                                                               records are provided (For example,
                                                This program is listed in the Catalog                   *      *     *     *     *                             records are provided showing: 100 acres
                                              of Federal Domestic Assistance under                         Practical to replant. Our                           of wheat planted in 2015 and 50 of
                                              No. 10.450.                                               determination, after loss or damage to                 those acres were double cropped with
                                                                                                        the insured crop, based on all factors,                soybeans; and 100 acres of wheat
                                              Executive Order 12372                                     including, but not limited to moisture                 planted in 2016 and 70 of those acres
                                                This program is not subject to the                      availability, marketing window,                        were double cropped with soybeans);
                                              provisions of Executive Order 12372,                      condition of the field, and time to crop                 (B) Divide each result of section
                                              which require intergovernmental                           maturity, that replanting the insured                  15(h)(5)(i)(A) by the number of acres of
                                              consultation with State and local                         crop will allow it to attain maturity                  the first insured crop that were planted
                                              officials. See 2 CFR part 415, subpart C.                 prior to the calendar date for the end of              in each respective year (In the example
                                                                                                        the insurance period. It will be                       above, 50 divided by 100 equals 50
                                              Executive Order 12988                                     considered practical to replant within or              percent of the first insured crop acres
                                                 This rule has been reviewed in                         prior to the late planting period, or on               were double cropped in 2015 and 70
                                              accordance with Executive Order 12988                     or prior to the final planting date if no              divided by 100 equals 70 percent were
                                              on civil justice reform. The provisions                   late planting period is applicable, unless             double cropped in 2016);
                                              of this rule will not have a retroactive                  we determine it is physically impossible
                                                                                                                                                                 (C) Add the results of section
                                              effect. The provisions of this rule will                  to replant the acreage or there is no
                                                                                                                                                               15(h)(5)(i)(B) and divide by the number
                                              preempt State and local laws to the                       chance of seed germination, emergence,
                                                                                                                                                               of years the first insured crop was
                                              extent such State and local laws are                      and formation of a healthy plant.
                                                                                                                                                               double cropped (In the example above,
                                              inconsistent herewith. With respect to                    *      *     *     *     *                             50 plus 70 equals 120 divided by 2
                                              any direct action taken by FCIC or                           15. Production Included in                          equals 60 percent); and
                                              action by FCIC directing the insurance                    Determining an Indemnity and Payment
                                              provider to take specific action under                                                                             (D) Multiply the result of
                                                                                                        Reductions.                                            15(h)(5)(i)(C) by the number of insured
                                              the terms of the crop insurance policy,                   *      *     *     *     *
                                              the administrative appeal provisions                                                                             acres of the first insured crop (In the
                                                                                                           (h) You may receive a full indemnity,               example above, 60 percent of the wheat
                                              published at 7 CFR part 11 must be                        or a full prevented planting payment for
                                              exhausted before any action against                                                                              acres insured in 2017 and 60 percent of
                                                                                                        a first insured crop when a second crop                the second crop acres insured in 2017
                                              FCIC for judicial review may be brought.                  is planted on the same acreage in the                  are eligible for double cropping history);
                                              Environmental Evaluation                                  same crop year, if each of the following
                                                                                                        conditions are met, regardless of                      or
                                                This action is not expected to have a                                                                             (ii) The applicable acreage was double
                                                                                                        whether or not the second crop is
                                              significant economic impact on the                                                                               cropped (by one or more other
                                                                                                        insured or sustains an insurable loss:
                                              quality of the human environment,                                                                                producers, and the producer(s) will
                                                                                                           (1) Planting two or more crops for
                                              health, or safety. Therefore, neither an                                                                         allow you to use their records) for at
                                                                                                        harvest in the same crop year in the area
                                              Environmental Assessment nor an                                                                                  least two of the last four crop years in
                                                                                                        is generally recognized by agricultural
                                              Environmental Impact Statement is                                                                                which the first insured crop was grown
                                                                                                        experts or organic agricultural experts;
                                              needed.                                                                                                          on it; and
                                                                                                           (2) The second or more crops are
                                              List of Subjects in 7 CFR Part 457                        customarily planted after the first                       (6) If you do not have records of
                                                Crop insurance, Reporting and                           insured crop for harvest on the same                   acreage and production specific to the
                                              recordkeeping requirements.                               acreage in the same crop year in the                   double cropped acreage, as required in
                                                                                                        area;                                                  section 15(h)(5), but instead have
                                              Final Rule                                                   (3) Additional coverage insurance                   records that combine production from
                                                Accordingly, as set forth in the                        offered under the authority of the Act is              acreage you double cropped with
                                              preamble, the Federal Crop Insurance                      available in the county on the two or                  records of production you did not
                                              Corporation amends 7 CFR part 457 as                      more crops that are double cropped;                    double crop, we will allocate the first
                                              follows:                                                     (4) In the case of prevented planting,              and second crop production to the
                                                                                                        the second crop is not planted on or                   specific acreage in proportion to the
                                              PART 457—COMMON CROP                                      prior to the final planting date or, if                liability for the acreage that was and
                                              INSURANCE REGULATIONS                                     applicable, prior to the end of the late               was not double cropped.
                                                                                                        planting period for the first insured                     (i) If you provided acceptable records
                                              ■ 1. The authority citation for 7 CFR                     crop;                                                  in accordance with section 15(h), your
                                              part 457 continues to read as follows:                       (5) You provide records, acceptable to              double cropping history is based on the
                                                  Authority: 7 U.S.C. 1506(l) and 1506(o).              us, of acreage and production specific to              acres historically cropped:
                                              ■ 2. Amend § 457.8, in the Common                         the double cropped acreage proving                        (1) If the records you provided are
                                              Crop Insurance Policy, as follows:                        that:                                                  from acreage you double cropped in at
                                              ■ a. In section 1 by revising the                            (i) You have double cropped acreage                 least two of the last four crop years, you
                                              definition of ‘‘practical to replant;’’ and               in at least two of the last four crop years            may apply your history of double
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                                              ■ b. In section 15 by revising paragraphs                 in which the first insured crop was                    cropping to any acreage of the insured
                                              (h) and (i).                                              planted; if you acquired additional                    crop in the county (e.g., if you have
                                                The revisions and additions reads as                    acreage, you may apply the percentage                  double cropped 100 acres of wheat and
                                              follows:                                                  of acres that you have previously double               soybeans in the county and you acquire
                                                                                                        cropped to the total acreage now in your               an additional 100 acres in the county,
                                              § 457.8     The application and policy.                   operation using the following                          you can apply that history of double
                                              *       *      *       *      *                           calculation:                                           cropped acreage to any of the 200 acres


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                                              40480            Federal Register / Vol. 81, No. 120 / Wednesday, June 22, 2016 / Rules and Regulations

                                              in the county as long as it does not                      The Director of the Federal Register                 effective March 6, 2015 (referred to after
                                              exceed 100 acres); or                                   approved the incorporation by reference                this as the Mandatory Continuing
                                                 (2) If the records you provided are                  of certain publications listed in this AD              Airworthiness Information, or ‘‘the
                                              from acreage that one or more other                     as of July 27, 2016.                                   MCAI’’), to correct an unsafe condition
                                              producers double cropped in at least                    ADDRESSES: For service information                     for all Embraer S.A. Model ERJ 170
                                              two of the last four crop years, you may                identified in this final rule, contact                 airplanes; and all Embraer S.A. Model
                                              only use the history of double cropping                 Embraer S.A., Technical Publications                   ERJ 190–100 STD, –100 LR, –100 IGW,
                                              for the same physical acres from which                  Section (PC 060), Av. Brigadeiro Faria                 –200 STD, –200 LR, and –200 IGW
                                              double cropping records were provided                   Lima, 2170—Putim—12227–901 São                        airplanes. The MCAI states:
                                              (e.g., if a neighbor has double cropped                 Jose dos Campos—SP—Brasil; telephone                      This [Brazilian] AD was prompted by
                                              100 acres of wheat and soybeans in the                  +55 12 3927–5852 or +55 12 3309–0732;                  reports of cracks in some engine low-stage
                                              county and you acquire your neighbor’s                  fax +55 12 3927–7546; email distrib@                   bleed check valves having part number (P[/
                                              100 double cropped acres and an                         embraer.com.br; Internet http://                       ]N) 1001447–6. Further analysis has
                                              additional 100 acres in the county, you                                                                        determined that if a new (zero hour) low-
                                                                                                      www.flyembraer.com. You may view                       stage bleed check valve P/N 1001447–6 is
                                              can only apply your neighbor’s history                  this referenced service information at
                                              of double cropped acreage to the same                                                                          installed in an airplane already equipped
                                                                                                      the FAA, Transport Airplane                            with the Air Management System (AMS)
                                              100 acres that your neighbor double                     Directorate, 1601 Lind Avenue SW.,                     controller processor boards containing the
                                              cropped).                                               Renton, WA. For information on the                     AMS Controller Operational Program version
                                              *      *      *    *    *                               availability of this material at the FAA,              Black Label 13, or a later version, premature
                                                Signed in Washington, DC, on June 16,                 call 425–227–1221. It is also available                cracking on the petals of the low-stage bleed
                                              2016.                                                   on the Internet at http://                             check valve is not expected to occur. We are
                                                                                                                                                             issuing this [Brazilian] AD to prevent the
                                              Brandon Willis,                                         www.regulations.gov by searching for                   possibility of a dual engine in-flight
                                              Manager, Federal Crop Insurance                         and locating Docket No. FAA–2015–                      shutdown due to low-stage bleed check valve
                                              Corporation.                                            6542.                                                  failure.
                                              [FR Doc. 2016–14735 Filed 6–21–16; 8:45 am]                                                                      The unsafe condition is failure of the
                                                                                                      Examining the AD Docket
                                              BILLING CODE 3410–08–P                                                                                         low-stage bleed check valve;
                                                                                                        You may examine the AD docket on
                                                                                                      the Internet at http://                                simultaneous failures of both low-stage
                                                                                                      www.regulations.gov by searching for                   bleed check valves could result in a
                                              DEPARTMENT OF TRANSPORTATION                                                                                   dual engine in-flight shutdown. The
                                                                                                      and locating Docket No. FAA–2015–
                                                                                                      6542; or in person at the Docket                       required action is replacement of the
                                              Federal Aviation Administration                                                                                AMS controller operation program of
                                                                                                      Management Facility between 9 a.m.
                                                                                                      and 5 p.m., Monday through Friday,                     the AMS controller processor boards,
                                              14 CFR Part 39                                                                                                 and replacement of the low-stage bleed
                                                                                                      except Federal holidays. The AD docket
                                              [Docket No. FAA–2015–6542; Directorate                  contains this AD, the regulatory                       check valves and associated seals. You
                                              Identifier 2015–NM–038–AD; Amendment
                                                                                                      evaluation, any comments received, and                 may examine the MCAI in the AD
                                              39–18563; AD 2016–12–14]                                                                                       docket on the Internet at http://
                                                                                                      other information. The street address for
                                              RIN 2120–AA64                                           the Docket Office (telephone 800–647–                  www.regulations.gov by searching for
                                                                                                      5527) is Docket Management Facility,                   and locating Docket No. FAA–2015–
                                              Airworthiness Directives; Embraer S.A.                  U.S. Department of Transportation,                     6542.
                                              Airplanes                                               Docket Operations, M–30, West                          Comments
                                              AGENCY:  Federal Aviation                               Building Ground Floor, Room W12–140,                     We gave the public the opportunity to
                                              Administration (FAA), Department of                     1200 New Jersey Avenue SE.,                            participate in developing this AD. The
                                              Transportation (DOT).                                   Washington, DC 20590.                                  following presents the comments
                                              ACTION: Final rule.                                     FOR FURTHER INFORMATION CONTACT: Ana                   received on the NPRM and the FAA’s
                                                                                                      Martinez Hueto, Aerospace Engineer,                    response to each comment.
                                              SUMMARY:    We are adopting a new                       International Branch, ANM–116,
                                              airworthiness directive (AD) for all                    Transport Airplane Directorate, FAA,                   Request To Authorize Operators To
                                              Embraer S.A. Model ERJ 170 airplanes;                   1601 Lind Avenue SW., Renton, WA                       Install Used Overhauled Valves
                                              and all Embraer S.A. Model ERJ 190–                     98057–3356; telephone 425–227–1622;                      An anonymous commenter requested
                                              100 STD, –100 LR, –100 IGW, –200                        fax 425–227–1149.                                      that we revise the NPRM to authorize
                                              STD, –200 LR, and –200 IGW airplanes.                                                                          operators to install used valves that
                                                                                                      SUPPLEMENTARY INFORMATION:
                                              This AD was prompted by reports of                                                                             have been overhauled by the
                                              cracks in certain engine low-stage bleed                Discussion                                             manufacturer or other authorized 14
                                              check valves. This AD requires                            We issued a notice of proposed                       CFR part 145 repair station. The
                                              replacing the air management system                     rulemaking (NPRM) to amend 14 CFR                      commenter stated that the historical
                                              (AMS) controller operation program of                   part 39 by adding an AD that would                     service records required to determine
                                              the AMS controller processor boards,                    apply to all Embraer S.A. Model ERJ 170                the serviceability of used valves
                                              and replacing the current low-stage                     airplanes; and all Embraer S.A. Model                  installed on airplanes are not required
                                              bleed check valve and associated seals.                 ERJ 190–100 STD, –100 LR, –100 IGW,                    by 14 CFR 91.417 and are generally not
                                              We are issuing this AD to prevent                       –200 STD, –200 LR, and –200 IGW                        available. According to the commenter,
                                              failure of the low-stage bleed check
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                                                                                                      airplanes. The NPRM published in the                   this limits the ability of operators of
                                              valve; simultaneous failures of both                    Federal Register on November 30, 2015                  Embraer Model ERJ 170 airplanes to
                                              low-stage bleed check valves could                      (80 FR 74720) (‘‘the NPRM’’).                          adequately determine the service history
                                              result in a dual engine in-flight                         The Agência Nacional de Aviação                   of valves that were previously installed
                                              shutdown.                                               Civil (ANAC), which is the aviation                    on Embraer Model ERJ 190 airplanes,
                                              DATES: This AD is effective July 27,                    authority for Brazil, has issued Brazilian             and whether the installation of a used
                                              2016.                                                   Airworthiness Directive 2015–02–02,                    valve will meet compliance with the


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Document Created: 2016-06-22 01:06:22
Document Modified: 2016-06-22 01:06:22
CategoryRegulatory Information
CollectionFederal Register
sudoc ClassAE 2.7:
GS 4.107:
AE 2.106:
PublisherOffice of the Federal Register, National Archives and Records Administration
SectionRules and Regulations
ActionFinal rule with request for comments.
ContactTim Hoffmann, Product Management, Product Administration and Standards Division, Risk Management Agency, United States Department of Agriculture, Beacon Facility, Stop 0812, Room 421, P.O. Box 419205, Kansas City, MO 64141-6205, telephone (816) 926-7730.
FR Citation81 FR 40477 
RIN Number0563-AC50
CFR AssociatedCrop Insurance and Reporting and Recordkeeping Requirements

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