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.

Rules and Regulations Federal Register

4877 

Vol. 86, No. 11 

Tuesday, January 19, 2021 

1Other changes to CFAP included in the 

Consolidated Appropriations Act, 2021, not made 

in this final rule will be addressed in a subsequent 

rulemaking. 2Certain producers in Louisiana, Oregon, and 

Texas had through October 9 to apply due to 

natural disasters. 

DEPARTMENT OF AGRICULTURE 

Office of the Secretary 

7 CFR Part 9 

[Docket ID: FSA–2020–0006] 

RIN 0503–AA65 

Coronavirus Food Assistance 

Program; Additional Assistance 

AGENCY: Office of the Secretary, 

Department of Agriculture (USDA). 

ACTION: Final rule. 

SUMMARY: The Coronavirus Food 

Assistance Program (CFAP) provides 

assistance to agricultural producers 

impacted by the effects of the COVID– 

19 outbreak. The Secretary of 

Agriculture implemented CFAP through 

two rounds of payments (CFAP 1 and 

CFAP 2). This rule amends the CFAP 1 

provisions to provide additional 

assistance for swine producers who 

previously applied for assistance during 

the CFAP 1 application period. This 

rule also amends the CFAP 2 provisions 

to provide assistance for certain swine 

and poultry contract producers, clarify 

eligible sales-based commodities, add 

additional commodities that are eligible 

for payment, change the payment 

calculation for sales-based commodities, 

and change the yield used to calculate 

payment for price-trigger crops for 

certain applicants. The change to the 

payment calculation for sales-based 

commodities is being made to 

implement a change required by the 

recently enacted Consolidated 

Appropriations Act, 2021. Other 

changes to CFAP in this rule are 

discretionary changes being made in 

response to ongoing evaluation of CFAP 

and the need to provide additional 

assistance. 

DATES: Effective January 19, 2021. 

FOR FURTHER INFORMATION CONTACT: 

Kimberly Graham; telephone: (202) 720– 

6825; email: Kimberly.Graham@

usda.gov. Persons with disabilities who 

require alternative means for 

communication should contact the 

USDA Target Center at (202) 720–2600 

(voice). 

SUPPLEMENTARY INFORMATION: 

Background 

USDA established CFAP to assist 

producers of agricultural commodities 

marketed in 2020 who face continuing 

market disruptions, reduced farm-level 

prices, and increased production and 

marketing costs due to COVID–19 under 

authority provided by the Coronavirus 

Aid, Relief, and Economic Security Act 

(CARES Act; Pub. L. 116–136) and 

sections 5(b), (d), and (e) of the 

Commodity Credit Corporation Charter 

Act (15 U.S.C. 714c(b), (d), and (e)). 

USDA implemented CFAP through two 

rounds of payments (CFAP 1 and CFAP 

2). CFAP 1 was implemented through a 

final rule published in the Federal 

Register on May 21, 2020 (85 FR 30825– 

30835), with corrections published in 

the Federal Register on June 12, 2020 

(85 FR 35799–35800), July 10, 2020 (85 

FR 41328–41330), August 14, 2020 (85 

FR 49593–49594), and September 21, 

2020 (85 FR 59174–59175), and 

documents published in the Federal 

Register on May 22, 2020 (85 FR 31062– 

31065), June 12, 2020 (85 FR 35812), 

July 10, 2020 (85 FR 41321–41323), and 

August 14, 2020 (85 FR 49589–49593). 

USDA implemented CFAP 2 through a 

final rule published in the Federal 

Register on September 22, 2020 (85 FR 

59380–59388). 

The Consolidated Appropriations Act, 

2021 (Pub. L. 116–260), signed on 

December 27, 2020, provided additional 

funding and made several changes to 

CFAP. This rule implements a provision 

of the Consolidated Appropriations Act, 

2021, to amend the payment calculation 

for sales commodities as described 

below.1 Other changes to CFAP in this 

rule are discretionary changes being 

made in response to ongoing evaluation 

of CFAP and the need to provide 

additional assistance. 

CFAP is administered by USDA’s 

Farm Service Agency (FSA). FSA 

accepted CFAP 1 applications from May 

26, 2020, through September 11, 2020,2

and CFAP 2 applications from 

September 21, 2020, through December 

11, 2020. This rule amends the 

provisions for CFAP 1 and CFAP 2 as 

described below. 

CFAP 1 

For eligible producers of hogs and 

pigs, CFAP 1 provided financial 

assistance in an amount equal to the 

sum of the following two calculations: 

• Unpriced livestock sold between 

January 15, 2020, to April 15, 2020, 

multiplied by the applicable 

Coronavirus Aid, Relief, and Economic 

Stability Act (CARES Act) payment rate 

in 7 CFR 9.102; and 

• Livestock inventory owned between 

April 16, 2020, to May 14, 2020, 

multiplied by the applicable 

Commodity Credit Corporation (CCC) 

payment rate in § 9.102. 

This rule provides additional CFAP 1 

payments for hog and pig inventory 

owned between April 16, 2020, and May 

14, 2020, based on a rate of $17 per head 

(which results in a total CFAP 1 

payment rate of $34 per head for that 

inventory including the prior $17 per 

head payment for CFAP 1). For the 

swine (hog and pig) sector, the 

inventory payment rates were 

determined to be insufficient to alleviate 

ongoing market price losses in the 

sector. 

This additional assistance is also 

intended to help swine producers who 

face continuing market disruptions from 

changes in U.S. meat consumption due 

to the pandemic. These disruptions are 

reflected in futures prices. Generic lean 

hog futures prices at the end of 

November 2020 were 5.4 percent lower 

than on January 2, 2020. In contrast, 

futures prices for commodities such as 

soybeans and corn have been increasing 

in the second half of 2020 to levels 

above those in early January of 2020. 

FSA is not reopening the CFAP 1 

application period. Only producers who 

previously applied for CFAP 1 are 

eligible to receive this additional 

assistance. Eligible producers do not 

need to submit a new CFAP 1 

application form or take any action to 

receive the additional payment. 

Producers are subject to a payment 

limitation of $250,000 for all CFAP 1 


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4878 Federal Register / Vol. 86, No. 11 / Tuesday, January 19, 2021 / Rules and Regulations 

3Corporations, limited liability companies, 

limited partnerships, trusts, and estates may qualify 

for an increased CFAP 1 payment limitation. See 7 

CFR 9.7(e). 

4Corporations, limited liability companies, 

limited partnerships, trusts, and estates may qualify 

for an increased CFAP 2 payment limitation. See 7 

CFR 9.7(e). 

payments,3 including this additional 

assistance, as provided in § 9.7(e). 

CFAP 2 

In this final rule, USDA is also 

including certain producers that raise 

swine and poultry (including broilers, 

pullets, layers, chicken eggs, and 

turkeys) under a production contract 

that sustained revenue losses due to 

market disruptions and reduced 

harvesting facility output resulting from 

the COVID–19 outbreak. A swine or 

poultry contract producer is one who 

produces swine or poultry owned by 

someone else under a production 

contract. Not all production contracts 

operate the same way, so not all contract 

producers will be eligible. Only those 

producers who grow or produce an 

eligible commodity under contract for or 

on behalf of another person or entity 

and are not entitled to a share from sales 

proceeds of the commodity are eligible. 

For example, a farmer who raises 

chickens pursuant to a production 

contract where such chickens are owned 

by a company that produces chicken 

products could be an eligible contract 

grower if such farmer does not receive 

payment for chickens that die before 

reaching maturity or when young 

animals are not supplied to the farmer 

by the company, or whose income is 

reduced when fewer young animals 

than normal are provided by the 

company. 

USDA did not include swine and 

poultry contract producers in CFAP 1 

because the impacts to these producers 

from COVID–19 was not known at the 

time the rule was published in the 

Federal Register on May 21, 2020. The 

impacts from COVID–19 on contract 

producers such as delayed delivery of 

young poultry and hogs to contract 

producers, decreased housing densities, 

additional costs for keeping animals 

longer than typical durations, and 

damage caused by animals too large for 

housing, were known when USDA 

published the rule implementing CFAP 

2 in the Federal Register on September 

22, 2020. However, those producers 

could not be included since CFAP 2 

payments were issued using funds 

authorized under CCC Charter Act (15 

U.S.C. 714c(b), (d), and (e)) to assist 

with the transition to a more orderly 

marketing system, and swine and 

poultry contract producers do not 

ordinarily market the animals they raise. 

CARES funding, as authorized, remains 

available until expended to support 

agricultural producers impacted by 

COVID–19, including producers of 

specialty crops, producers that supply 

local food systems (including farmers 

markets, restaurants, and schools), and 

livestock producers. This remaining 

CARES Act funding will assist contract 

producers facing reduced revenue due 

to the impacts noted above. 

Certain contract producers have been 

eligible for assistance under the 

Livestock Indemnity Program (LIP); 

Emergency Assistance for Livestock, 

Honeybees, and Farm-Raised Fish 

Program (ELAP); and the Livestock 

Forage Disaster Program (LFP) since 

these permanent supplemental disaster 

programs were authorized in the 2008 

Farm Bill (Pub. L. 110–234; 7 U.S.C. 

9081, see also 7 CFR parts 760 and 

1416). These programs provide financial 

assistance to contract producers who are 

impacted by adverse weather events 

such as hurricane, flood, blizzard, 

disease, drought, or extreme cold or 

heat. Including certain swine and 

poultry contract producers in CFAP 2 

parallels their inclusion in these 

permanent supplemental disaster 

programs that provide financial 

assistance to contract producers due to 

weather events that are not expected. 

The impacts of a global pandemic are 

beyond normal production conditions 

and have had a negative financial 

impact on swine and poultry producers 

including those raising animals under a 

production contract. 

USDA is including this subset of 

contract producers because the COVID– 

19 global pandemic not only disrupted 

protein markets as consumer 

consumption abruptly shifted from food 

service to home preparation, but also 

reduced harvesting facility output 

because of COVID–19 outbreaks among 

the workforce and when facilities 

reduced processing capacity to ensure 

worker health. Swine and poultry 

contract producers provided data and 

other information to USDA to illustrate 

the impact of these coronavirus 

disruptions on their operations. The 

impacts of slowdowns and shutdowns 

at processing facilities in late spring and 

early summer are still being felt in the 

poultry and swine industry. In some 

instances, companies managed and 

continue to manage the lack of harvest 

capacity by reducing or eliminating new 

production, which means that contract 

producers had fewer animals to produce 

under contract per cycle or did not have 

young animals delivered by the 

company for some periods. In other 

situations, companies required some 

contract producers to keep animals 

longer than they typically keep them 

before shipping them to the harvesting 

facility, which actions increased costs 

such as producer labor, and for 

additional wear and tear and water use 

associated with larger animals. In 

addition, swine and poultry contract 

producers cannot use their specialized 

growing facilities for other purposes to 

generate revenue as the sector works 

through the supply chain bottlenecks. 

Contract producers are eligible for 

payments if they produced swine or 

poultry (including broilers, pullets, 

layers, chicken eggs, turkeys) under a 

contract in both the 2019 and 2020 

calendar years, suffered a loss in eligible 

revenue for the period from January 1, 

2020, through December 27, 2020, as 

compared to the period from January 1, 

2019, through December 27, 2019, and 

meet all other requirements for CFAP 

eligibility. Eligible revenue is the 

revenue received by a contract producer 

for contract production of the eligible 

commodity, as reported on Internal 

Revenue Service Form 1099. Payments 

to eligible contract producers will be 

calculated by subtracting the contract 

producer’s eligible revenue for the 

period from January 1, 2020, through 

December 27, 2020, from their eligible 

revenue for the period from January 1, 

2019, through December 27, 2019, and 

multiplying the result by 80 percent. 

This calculation is subject to the 

availability of funds and will be 

factored, if needed. Contract producers 

must submit a complete CFAP 2 

application between January 19, 2021, 

and February 26, 2021. Contract 

producers are subject to a payment 

limitation of $250,000 for all CFAP 2 

payments,4 including any CFAP 2 

payments received for other 

commodities not grown under a 

contract, as provided in § 9.7(e). 

USDA has determined that producers 

of pullets, water buffalo, yak, and 

turfgrass sod face continuing market 

disruptions, low farm-level prices, and 

significant marketing costs associated 

with the COVID–19 outbreak, similar to 

producers of commodities that were 

previously determined to be eligible for 

CFAP 2 assistance. As a result, USDA is 

amending the definitions of ‘‘Other 

livestock’’ and ‘‘Sales-based 

commodities’’ in § 9.201 to include 

those commodities. USDA will reopen 

signup specifically for pullets, turfgrass 

sod, and contract growers on January 19, 

2021. through February 26, 2021. The 

change to accept applications for water 

buffalo and yak was previously 

implemented by USDA; therefore, the 


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Federal Register / Vol. 86, No. 11 / Tuesday, January 19, 2021 / Rules and Regulations 4879 

deadline is not extended for those 

livestock types. USDA is also amending 

the definition of ‘‘Other livestock’’ to 

clarify that reptiles and bees are 

ineligible. 

This rule also amends the definition 

of ‘‘Other livestock’’ in § 9.201 to clarify 

that by-products of live animals 

included as ‘‘Other livestock’’ are 

eligible for CFAP 2. As provided in 

§ 9.203(i)(1), the payment calculation for 

sales-based commodities is based on 

sales of raw commodities; the portion of 

sales derived from adding value to the 

commodity, such as processing and 

packaging, is not included when 

calculating a payment. For example, 

sales of alpaca fleece would be included 

for payment calculation; however, if the 

alpaca fleece is further processed into 

alpaca yarn prior to sale, the portion of 

the sale price derived from that 

processing is not included. Eligible byproducts of other livestock do not 

include eggs that are sold to be hatched 

for breeding stock. This change was 

previously implemented by USDA; 

therefore, the deadline is not extended 

for by-products of ‘‘Other livestock.’’ 

USDA is amending the payment 

calculation for sales-based commodities 

to include the amount of crop insurance 

indemnities received and payments 

made under the Noninsured Crop 

Disaster Assistance Program (NAP) and 

the Wildfires and Hurricanes Indemnity 

Program Plus (WHIP+) payments for 

crop year 2019 in addition to the 

amount of the producer’s 2019 sales, as 

required by the Consolidated 

Appropriations Act, 2021. CFAP 2 uses 

a producer’s 2019 sales as an 

approximation of the amount of what 

the producer would expect to market in 

2020. This change is intended to more 

accurately represent what a producer 

would expect to have marketed in 2020 

by taking into account commodities that 

would have been marketed in 2019 if 

not for losses covered by crop 

insurance, NAP or WHIP+. For 

producers who began farming in 2020 

and had no sales in 2019, CFAP 2 

payments will continue to be based on 

the farmer’s actual 2020 sales, without 

inclusion of crop insurance indemnities 

or NAP or WHIP+ payments, since 

payments are based on the actual crop 

that incurred marketing costs and was 

impacted by market disruptions and low 

farm-level prices. Producers of eligible 

sales-based commodities who applied 

for CFAP 2 before the December 11, 

2020, application deadline and received 

crop insurance indemnities or NAP or 

WHIP+ payments for the 2019 crop year 

may amend their CFAP 2 applications 

from January 19, 2021, through February 

26, 2021, to include those amounts. This 

rule is not extending the CFAP 2 

deadline for producers of sales-based 

commodities who did not previously 

apply for CFAP 2, except for producers 

of pullets and turfgrass sod as described 

above. 

USDA is also amending the 

calculation for price-trigger 

commodities. As published on 

September 22, 2020, payments are 

calculated using the 2019 Agriculture 

Risk Coverage-County Option (ARC–CO) 

benchmark yield multiplied by 85 

percent when FSA is unable to obtain a 

2020 actual production history (APH) 

approved yield. This rule amends the 

calculation to use 100 percent of the 

ARC–CO benchmark yield when the 

applicant: 

• Has coverage for the crop under an 

Area Risk Protection Insurance Plan, 

Margin Protection Plan, Stacked Income 

Protection Plan, Supplemental Coverage 

Option, or Whole-Farm Revenue 

Protection Plan under the Federal Crop 

Insurance Act (7 U.S.C. 1501–1524); 

• Is a landlord of the applicable 

acreage and their share of the crop is 

insured by the tenant under a policy or 

plan of insurance under the Federal 

Crop Insurance Act; 

• Is a tenant of the applicable acreage 

and their share of the crop is insured by 

the landlord under a policy or plan of 

insurance under the Federal Crop 

Insurance Act; or 

• Is a joint venture and the crop is 

insured by one of the members under a 

policy or plan of insurance under the 

Federal Crop Insurance Act. 

In these situations, FSA does not have 

2020 APH approved yield for the CFAP 

2 applicant because the insurance plan 

does not require calculation of an APH 

approved yield or because the record of 

the APH approved yield would not be 

associated with the CFAP 2 applicant. 

However, the crop was insured in these 

situations and using 100 percent of the 

ARC–CO benchmark yield is intended 

to treat producers with crop insurance 

coverage but without an available 2020 

APH approved yield in a more favorable 

way to other producers who had crop 

insurance. All applicants affected by 

this change were previously eligible 

under the original rule; therefore, this 

rule is not extending the CFAP 2 

deadline for those producers who did 

not previously apply for CFAP 2. 

Applicants affected by this change must 

contact FSA to have their payment 

recalculated using 100 percent of the 

ARC–CO benchmark yield. 

This document also makes minor 

corrections to the definitions of ‘‘fruits’’ 

and ‘‘tree nuts’’ in § 9.201 and to the 

calculation in § 9.202(c). In § 9.1, it adds 

the applicable date that livestock must 

have been physically located in the 

United States for CFAP 2, which was 

inadvertently omitted from the previous 

final rule. These corrections do not 

affect administration of CFAP 2. 

The changes in this document are 

consistent with our original intent in 

creating and administering CFAP 2 and 

are not expected to increase expected 

costs beyond the original approved 

amount. 

Notice and Comment and Effective Date 

The Administrative Procedure Act 

(APA, 5 U.S.C. 553(a)(2)) 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 benefits. This rule governs 

CFAP for payments to certain 

commodity producers and therefore 

falls within the benefits exemption. 

The Office of Management and Budget 

(OMB) designated this rule as major 

under the Congressional Review Act 

(CRA), as defined by 5 U.S.C. 804(2). 

Section 808 of the CRA allows an 

agency to make a major regulation 

effective immediately if the agency finds 

there is good cause to do so. The 

beneficiaries of this rule have been 

significantly impacted by the COVID–19 

outbreak, which has resulted in 

significant declines in demand and 

market disruptions. USDA finds that 

notice and public procedure are 

contrary to the public interest. 

Therefore, even though this rule is a 

major rule for purposes of the 

Congressional Review Act, USDA is not 

required to delay the effective date for 

60 days from the date of publication to 

allow for Congressional review. 

Accordingly, this rule is effective upon 

publication in the Federal Register. 

Executive Orders 12866, 13563, and 

13777 

Executive Order 12866, ‘‘Regulatory 

Planning and Review,’’ and Executive 

Order 13563, ‘‘Improving Regulation 

and Regulatory Review,’’ direct agencies 

to assess all costs and benefits of 

available regulatory alternatives and, if 

regulation is necessary, to select 

regulatory approaches that maximize 

net benefits (including potential 

economic, environmental, public health 

and safety effects, distributive impacts, 

and equity). Executive Order 13563 

emphasized the importance of 

quantifying both costs and benefits, of 

reducing costs, of harmonizing rules, 

and of promoting flexibility. The 

requirements in Executive Orders 12866 

and 13573 for the analysis of costs and 

benefits apply to rules that are 

determined to be significant. Executive 


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4880 Federal Register / Vol. 86, No. 11 / Tuesday, January 19, 2021 / Rules and Regulations 

Order 13777, ‘‘Enforcing the Regulatory 

Reform Agenda,’’ established a federal 

policy to alleviate unnecessary 

regulatory burdens on the American 

people. 

The Office of Management and Budget 

(OMB) designated this rule as 

economically significant under 

Executive Order 12866 and therefore, 

OMB has reviewed this rule. 

In general response to the 

requirements of Executive Order 13777, 

USDA created a Regulatory Reform Task 

Forces, and USDA agencies were 

directed to remove barriers, reduce 

burdens, and provide better customer 

service both as part of the regulatory 

reform of existing regulations and as an 

on-going approach. USDA reviewed this 

regulation and made changes to provide 

better customer service. The costs and 

benefits of this rule are summarized 

below. The full cost benefit analysis is 

available on regulations.gov. 

Cost Benefit Analysis Summary 

CFAP 1 and CFAP 2 assist producers 

of agricultural commodities marketed in 

2020 who face continuing market 

disruptions, reduced farm-level prices, 

and increased production and marketing 

costs due to COVID–19. These 

additional costs are associated with 

declines in demand, surplus 

production, or disruptions to shipping 

patterns and marketing channels. 

As mentioned above, in implementing 

the CFAP 1 and CFAP 2, FSA received 

feedback from local office staff and the 

agricultural industry. As a result, 

additional CFAP assistance and other 

changes are being made to provide 

assistance to additional growers that 

suffered COVID-related revenue losses, 

to ensure that calculations most 

accurately reflect sales, to provide 

equitable producer treatment, and to 

clarify certain provisions appearing in 

CFAP 2. 

These changes (referred to as ‘‘CFAP 

Additional Assistance’’), along with the 

associated gross and net estimated 

outlays, are shown in Table 1 (at the end 

of this section). Payments for item 1 (the 

‘‘top up’’ for swine producers) and item 

2 (payments to contract livestock 

producers) will draw on CARES 

funding. Payments for items 3, 4, and 5 

in Table 1 (all payments referenced as 

CFAP 2 payments or modified CFAP 2 

payments) draw on CCC funding that 

remains given CFAP 1 and CFAP 2 

payments. These payments are 

authorized by the CCC Charter Act 

(section 5 (b), (d) and (e)). 

Estimated gross outlays for CFAP 

Additional Assistance are estimated at 

$3.10 billion (see Table 1). After taking 

into account payment limitations, net 

outlays are estimated at $2.28 billion. 

Payments to contract swine, chicken, 

egg, and turkey producers account for 

87 percent of the total. 

FSA, which implemented CFAP 1 and 

2, will start accepting CFAP Additional 

Assistance applications for contract 

producers and turfgrass sod and pullet 

producers on January 19, 2021. 

Producers who did not apply by the 

CFAP 1 deadline (September 11, 2020) 

are not eligible for the swine top-up 

payment. 

Net payments represent benefits to 

producers, which is the government cost 

of the program. Outlays shown in Table 

1 are estimated at expected maximum 

levels. Some producers must take 

additional actions under this rule if they 

are interested in receiving benefits. 

These producers realize administrative 

costs associated with participation, 

which are estimated at $4.15 million. 

TABLE 1—SUMMARY OF CFAP ADDITIONAL ASSISTANCE REGULATORY CHANGES AND ESTIMATED COSTS

Item 

Gross estimated 

outlays 

(in billion $) 

Net estimated outlays 

(in billion $) 

Item 1—Provide a ‘‘top up’’ inventory payment to swine producers eligible for CFAP 1 ............ $0.81 ........................... $0.15. 

Item 2—Assist contract producers of swine, chickens, eggs, and turkeys .................................. $1.98 ........................... $1.98. 

Item 3—Include turfgrass sod, pullets, and by-products of live animals as ‘‘sales-based commodities’’ for CFAP 2 eligibility.$0.21 ........................... $0.10. 

Item 4—Include 2019 crop insurance indemnities and 2019 NAP WHIP+ payments to the producer’s 2019 sales to compute CFAP 2 payments.$0.08 ........................... $0.03. 

Item 5—Change the calculation for price-trigger commodities with respect to ARC–CO ........... $0.02 ........................... $0.02. 

Item 6—Clarify that reptiles and bees are ineligible for CFAP 2 ................................................. No change in outlays .. No change in outlays. 

Item 7—Make minor corrections to the definitions of ‘‘fruits’’ and ‘‘tree nuts’’ in §§ 9.201 and 

9.202(c).

No change in outlays .. No change in outlays. 

Total ....................................................................................................................................... $3.10 ........................... $2.28. 

Regulatory Flexibility Act 

The Regulatory Flexibility Act (5 

U.S.C. 601–612), as amended by the 

Small Business Regulatory Enforcement 

Fairness Act of 1996 (SBREFA), 

generally requires an agency to prepare 

a regulatory analysis of any rule 

whenever an agency is required by APA 

or any other law to publish a proposed 

rule, unless the agency certifies that the 

rule will not have a significant 

economic impact on a substantial 

number of small entities. This rule is 

not subject to the Regulatory Flexibility 

Act because as noted above, this rule is 

exempt from notice and comment 

rulemaking requirements of the APA 

and no other law requires that a 

proposed rule be published for this 

rulemaking initiative. 

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 regulations for compliance with 

NEPA (7 CFR part 1b). 

Although OMB has designated this 

rule as ‘‘economically significant’’ 

under Executive Order 12866, ‘‘. . . 

economic or social effects are not 

intended by themselves to require 

preparation of an environmental impact 

statement’’ when not interrelated to 

natural or physical environmental 

effects (see 40 CFR 1502.16(b)). CFAP 

was designed to avoid skewing planting 

decisions. Producers continue to make 

their planting and production decisions 

with the market signals in mind, rather 

than any expectation of what a new 

USDA program might look like. The 

discretionary aspects of CFAP (for 

example, determining AGI and payment 

limitations) were designed to be 

consistent with established USDA and 

the CCC programs and are not expected 

to have any impact on the human 


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Federal Register / Vol. 86, No. 11 / Tuesday, January 19, 2021 / Rules and Regulations 4881 

environment, as CFAP payments will 

only be made after the commodity has 

been produced. Accordingly, the 

following Categorical Exclusion in 7 

CFR part 1b applies: § 1b.3(a)(2), which 

applies to activities that deal solely with 

the funding of programs, such as 

program budget proposals, 

disbursements, and the transfer or 

reprogramming of funds. As such, the 

implementation of and participation in 

CFAP do not constitute major Federal 

actions that would significantly affect 

the quality of the human environment. 

Therefore, an environmental assessment 

or environmental impact statement for 

this regulatory action, will not be 

prepared; this rule serves as 

documentation of the programmatic 

environmental compliance decision for 

this Federal action. 

Executive Order 12372 

Executive Order 12372, 

‘‘Intergovernmental Review of Federal 

Programs,’’ requires consultation with 

State and local officials that would be 

directly affected by proposed Federal 

financial assistance. The objectives of 

the Executive order are to foster an 

intergovernmental partnership and a 

strengthened federalism, by relying on 

State and local processes for State and 

local government coordination and 

review of proposed Federal financial 

assistance and direct Federal 

development. For reasons specified in 

the final rule related notice regarding 7 

CFR part 3015, subpart V (48 FR 29115, 

June 24, 1983), the programs and 

activities in this rule are excluded from 

the scope of Executive Order 12372. 

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 parts 11 and 780 are 

to be exhausted. 

Executive Order 13132 

This rule has been reviewed under 

Executive Order 13132, ‘‘Federalism.’’ 

The policies contained in this rule do 

not have any substantial direct effect on 

States, on the relationship between the 

Federal Government and the States, or 

on the distribution of power and 

responsibilities among the various 

levels of government, except as required 

by law. Nor does this rule impose 

substantial direct compliance costs on 

State and local governments. Therefore, 

consultation with the States is not 

required. 

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. 

USDA has assessed the impact of this 

rule on Indian Tribes and determined 

that this rule does not, to our 

knowledge, have Tribal implications 

that required Tribal consultation under 

Executive Order 13175 at this time. If a 

Tribe requests consultation, the USDA 

Office of Tribal Relations (OTR) will 

ensure meaningful consultation is 

provided where changes, additions, and 

modifications are not expressly 

mandated by law. Outside of Tribal 

consultation, USDA is working with 

Tribes to provide information about 

CFAP additional assistance and other 

issues. 

Unfunded Mandates 

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 Programs 

The titles and numbers of the Federal 

Domestic Assistance Programs found in 

the Catalog of Federal Domestic 

Assistance to which this rule applies 

are: 

10.130—Coronavirus Food Assistance 

Program 1 

10.132—Coronavirus Food Assistance 

Program 2 

Paperwork Reduction Act 

FSA is requesting emergency approval 

on the additional information collection 

required for this rule for CFAP to 

provide assistance for contract 

producers of chickens, eggs, turkeys, 

and swine and to provide additional 

assistance for other commodities as 

clarified in this rule. The additional 

assistance for swine producers who 

previously applied for assistance under 

0560–0297 does not require any new 

information collection. All of the 

information collection uses forms 

currently approved under 0560–0297. 

E-Government Act Compliance 

USDA is committed to complying 

with the E-Government Act 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. 

List of Subjects in 7 CFR Part 9 

Agricultural commodities, 

Agriculture, Disaster assistance, 

Indemnity payments. 

For the reasons discussed above, this 

final rule amends 7 CFR part 9 as 

follows: 

PART 9—CORONAVIRUS FOOD 

ASSISTANCE PROGRAM 

■ 1. Revise the authority citation for part 

9 to read as follows: 

Authority: 15 U.S.C. 714b and 714c; 

Division B, Title I, Pub. L. 116–136, 134 Stat. 

505; and Division N, Title VII, Subtitle B, 

Chapter 1, Pub. L. 116–260. 

Subpart A—General Provisions 

■ 2. In § 9.1, revise paragraphs (a)(1) and 

(2) to read as follows: 

§ 9.1 Applicability and administration. 

(a) * * * 

(1) For assistance under subpart B of 

this part: 

(i) On January 15, 2020, and 

remaining in the United States until 

sold, for livestock sold between January 

15, 2020, and April 15, 2020; or 

(ii) On the applicable date selected for 

livestock in inventory between April 16, 

2020, and May 14, 2020; and 

(2) For assistance under subpart C of 

this part, on the applicable date selected 


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4882 Federal Register / Vol. 86, No. 11 / Tuesday, January 19, 2021 / Rules and Regulations 

for livestock in inventory between April 

16, 2020, and August 31, 2020. 

* * * * * 

■ 3. Amend § 9.4 as follows: 

■ a. In paragraph (a)(1), remove ‘‘of this 

part; and’’ and add a semicolon in its 

place; 

■ b. Revise paragraph (a)(2); 

■ c. Add paragraph (a)(3); and 

■ d. In paragraph (d), remove the 

reference to ‘‘§ 9.202(a) or (b)’’ and add 

‘‘§ 9.203(a) or (b)’’ in its place. 

The revision and addition read as 

follows: 

§ 9.4 Time and method of application. 

(a) * * * 

(2) December 11, 2020, for payments 

issued under § 9.203, except for 

applications for pullets, turfgrass sod, 

and contract producers; and 

(3) February 26, 2021, for payments 

issued under § 9.203 for applications for 

pullets, turfgrass sod, and contract 

producers. 

* * * * * 

Subpart C—CFAP 1 

■ 4. Amend § 9.102 as follows: 

■ a. In paragraph (d) introductory text, 

remove the word ‘‘two’’ and add the 

word ‘‘three’’ in its place; 

■ b. In paragraph (d)(1), remove the 

word ‘‘and’’; 

■ c. In paragraph (d)(2), remove the 

period and add ‘‘; and’’ in its place; 

■ d. Add paragraph (d)(3). 

The addition reads as follows: 

§ 9.102 Calculation of payments. 

* * * * * 

(d) * * * 

(3) Hog and pig inventory owned 

between April 16, 2020, to May 14, 

2020, multiplied by a payment rate of 

$17 per head. 

* * * * * 

Subpart C—CFAP 2 

■ 5. Amend § 9.201 as follows: 

■ a. Add the definitions of ‘‘Contract 

producer’’, ‘‘Crop insurance’’, and 

‘‘Eligible revenue’’ in alphabetical order; 

■ b. Revise the definition of ‘‘Fruits’’; 

■ c. Add the definitions of ‘‘Layer’’ and 

‘‘NAP’’ in alphabetical order; 

■ d. Revise the definition of ‘‘Other 

livestock’’; 

■ e. In the definition of ‘‘Producer’’, 

remove the second sentence; 

■ f. Add the definition of ‘‘Pullet’’ in 

alphabetical order; 

■ g. In the definition of ‘‘Sales-based 

commodities’’, remove the words ‘‘and 

wool’’ and add the words ‘‘wool, and 

turfgrass sod’’ in their place; 

■ h. Revise the definition of ‘‘Tree 

nuts’’; and 

■ i. Add the definition of ‘‘WHIP+’’ in 

alphabetical order. 

The additions and revisions read as 

follows. 

§ 9.201 Definitions. 

* * * * * 

Contract producer means a producer 

who grows or produces an eligible 

commodity under contract for or on 

behalf of another person or entity. The 

contract producer does not have 

ownership in the commodity and is not 

entitled to a share from sales proceeds 

of the commodity. 

Crop insurance means an insurance 

policy reinsured by Federal Crop 

Insurance Corporation under the 

provisions of the Federal Crop 

Insurance Act, as amended. It does not 

include private plans of insurance. 

* * * * * 

Eligible revenue means the revenue 

received by a contract producer for 

contract production of broilers, pullets, 

layers, chicken eggs, turkeys, hogs, or 

pigs, as reported on Internal Revenue 

Service Form 1099. 

* * * * * 

Fruits means any of the following 

fruits: Abiu, acerola (Barbados cherry), 

achachairu, antidesma, apples, apricots, 

aronia (chokeberry), atemoya (custard 

apple), avocados, bananas, blueberries, 

breadfruit, cacao, caimito, calabaza 

melon, canary melon, canary seed, 

caneberries, canistel, cantaloupes, 

carambola (star fruit), casaba melon, 

cherimoya (sugar apple), cherries, 

Chinese bitter melon, citron, citron 

melon, coconuts, cranberries, crenshaw 

melon, dates, donaqua (winter melon), 

durian, elderberries, figs, genip, 

gooseberries, grapefruit, grapes, ground 

cherry, guamabana (soursop), guava, 

guavaberry, honeyberries, honeydew, 

huckleberries, Israel melons, jack fruit, 

jujube, juneberries, kiwiberry, kiwifruit, 

Korean golden melon, kumquats, 

langsat, lemons, limequats, limes, 

longan, loquats, lychee, mangos, 

mangosteen, mayhaw berries, mesple, 

mulberries, nectarines, noni, olives, 

oranges, papaya, passion fruits, 

pawpaw, peaches, pears, persimmons, 

pineapple, pitaya (dragon fruit), 

plantain, plumcots, plums, 

pomegranates, prunes, pummelo, 

quinces, raisins, rambutan, sapodilla, 

sapote, schizandra berries, sprite melon, 

star gooseberry, strawberries, tangelos, 

tangerines, tangors, wampee, 

watermelon, wax jamboo fruit, and 

wolfberry (goji). 

* * * * * 

Layer means a chicken producing 

table or commercial type shell eggs. 

NAP means the Noninsured Crop 

Disaster Assistance Program under 

section 196 of the Federal Agriculture 

Improvement and Reform Act of 1996 (7 

U.S.C. 7333) and part 1437 of this title. 

* * * * * 

Other livestock means any of the 

following livestock: Animals 

commercially raised for food, fur, fiber, 

or feathers, including alpacas, bison, 

buffalo, beefalo, deer, ducks, elk, emus, 

geese, goats, guinea pigs, llamas, mink, 

ostrich, pheasants, pullets, quail, 

rabbits, reindeer, turkey, water buffalo, 

and yak. It includes by-products of 

those live animals (such as fleece). It 

excludes all equine, reptiles, bees, 

breeding stock (including eggs to be 

hatched for breeding stock), companion 

or comfort animals, pets, and animals 

raised for hunting or game purposes. 

* * * * * 

Pullet means a young female chicken 

that has not laid an egg. 

* * * * * 

Tree nuts means any of the following 

tree nuts: Almonds, carob, cashew, 

chestnuts, coffee, hazel nuts, jojoba, 

macadamia nuts, pecans, pine nuts, 

pistachios, and walnuts. 

* * * * * 

WHIP+ means the Wildfires and 

Hurricanes Indemnity Program Plus 

(WHIP+) under part 760, subpart O, of 

this title. 

§ 9.202 [Redesignated as § 9.203] 

■ 6. Redesignate § 9.202 as § 9.203. 

■ 7. Add new § 9.202 to read as follows: 

§ 9.202 Eligibility. 

(a) Producers, excluding contract 

producers, are eligible for payment 

under § 9.203(a) through (i) if they meet 

all other requirements for eligibility 

under this part. 

(b) Contract producers are not eligible 

for payment under § 9.203(a) through (i). 

Contract producers are eligible for 

payment under § 9.203(l) if they: 

(1) Produced broilers, pullets, layers, 

chicken eggs, turkeys, hogs, or pigs 

under a contract in both the 2019 and 

2020 calendar years and received 

revenue under such a contract during 

the period from January 1, 2020, 

through December 27, 2020; 

(2) Had a loss in eligible revenue for 

the period from January 1, 2020, 

through December 27, 2020, as 

compared to the period from January 1, 

2019, through December 27, 2019; and 

(3) Meet all other requirements for 

eligibility under this part. 

(c) Contract producers must provide a 

copy of their contract pursuant to which 

they raised an eligible commodity as 

specified in paragraph (b)(1) of this 

section and provide documentation to 


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Federal Register / Vol. 86, No. 11 / Tuesday, January 19, 2021 / Rules and Regulations 4883 

support the information provided on 

their application if requested by FSA. 

■ 8. Amend newly redesignated § 9.203 

as follows: 

■ a. Revise paragraph (a)(3); 

■ b. Add paragraph (a)(4); 

■ c. In paragraph (c), remove the words 

‘‘producer multiplied’’ and add the 

words ‘‘producer, multiplied’’ in their 

place; 

■ d. Revise paragraph (i)(1); 

■ e. In paragraph (i)(2), remove the 

words ‘‘sales as’’ and add the words 

‘‘sales, without crop insurance 

indemnities and NAP and WHIP+ 

payments, as’’ in their place; 

■ f. In the heading of the first column 

of Table 2 to paragraph (j), add 

‘‘(including crop insurance indemnities 

and NAP and WHIP+ payments)’’ 

immediately after ‘‘2019 Sales range’’; 

and 

■ g. Add paragraph (l). 

The additions and revision read as 

follows: 

§ 9.203 Calculation of payments. 

(a) * * * 

(3) Under paragraph (a) of this 

section, eligible acres include the 

producer’s share of the determined 

acres, or reported acres if determined 

acres are not present, of the crop 

planted for the 2020 crop year, 

excluding prevented planted and 

experimental acres. For producers who 

insured acres of the crop under a policy 

or plan of insurance under the Federal 

Crop Insurance Act (7 U.S.C. 1501– 

1524), the yield will be the average of 

the producer’s 2020 actual production 

history (APH) approved yield from all of 

the producer’s insured acres 

nationwide. For producers for whom 

FSA is unable to obtain a 2020 APH 

approved yield, the yield will be: 

(i) The 2019 Agriculture Risk 

Coverage-County Option (ARC–CO) 

benchmark yield if the applicant: 

(A) Has coverage for the crop under 

an Area Risk Protection Insurance Plan, 

Margin Protection Plan, Stacked Income 

Protection Plan, Supplemental Coverage 

Option, or Whole-Farm Revenue 

Protection Plan under the Federal Crop 

Insurance Act; 

(B) Is a landlord of the applicable 

acreage and their share is insured by the 

tenant under a policy or plan of 

insurance under the Federal Crop 

Insurance Act; 

(C) Is a tenant of the applicable 

acreage and their share is insured by the 

landlord under a policy or plan of 

insurance under the Federal Crop 

Insurance Act; or 

(D) Is a joint venture and the crop is 

insured by one of the members under a 

policy or plan of insurance under the 

Federal Crop Insurance Act; or 

(ii) The 2019 Agriculture Risk 

Coverage-County Option (ARC–CO) 

benchmark yield multiplied by 85 

percent for all other applicants. 

(4) ARC–CO yields in paragraph (a)(3) 

of this section for producers growing a 

crop in multiple counties will be 

weighted based on the producer’s crop 

acreage physically located in each 

county. 

* * * * * 

(i)(1) Payments for sales commodities 

will be equal to the sum of the results 

for the following calculation for each 

2019 sales range in Table 2 of paragraph 

(j) of this section: The sum of the 

amount of the producer’s eligible sales 

for the sales commodities in calendar 

year 2019 and the producer’s crop 

insurance indemnities and NAP and 

WHIP+ payments for the sales 

commodities for the 2019 crop year 

within the specified range, multiplied 

by the payment rate for that range in 

Table 2 of paragraph (j) of this section. 

Eligible sales only includes sales of raw 

commodities grown by the producer; the 

portion of sales derived from adding 

value to the commodity, such as 

processing and packaging, and from 

sales of products purchased for resale is 

not included in the payment calculation 

unless determined eligible by the 

Secretary. 

* * * * * 

(l) For eligible contract producers of 

broilers, pullets, layers, chicken eggs, 

turkeys, hogs, or pigs, if eligible revenue 

for the period from January 1, 2020, 

through December 27, 2020, decreased 

compared to eligible revenue for the 

period from January 1, 2019, through 

December 27, 2019, then payments will 

be equal to: 

(1) Eligible revenue received from 

January 1, 2019, through December 27, 

2019, minus eligible revenue received 

from January 1, 2020, through December 

27, 2020; multiplied by 

(2) 80 percent. 

(3) This calculation is subject to the 

availability of funds and will be 

factored, if needed. 

William Northey, 

Under Secretary, U.S. Department of 

Agriculture. 

[FR Doc. 2021–01077 Filed 1–15–21; 8:45 am] 

BILLING CODE 3410–05–P 

DEPARTMENT OF ENERGY 

10 CFR Part 430 

[EERE–2020–BT–STD–0001] 

RIN 1904–AE86 

Energy Conservation Program: 

Establishment of New Product Classes 

for Residential Clothes Washers and 

Consumer Clothes Dryers; Correction 

AGENCY: Office of Energy Efficiency and 

Renewable Energy, Department of 

Energy. 

ACTION: Final rule; correction. 

SUMMARY: On December 16, 2020, the 

U.S. Department of Energy (‘‘DOE’’) 

published a final rule establishing 

separate product classes for top-loading 

consumer clothes washers and 

consumer clothes dryers that offer cycle 

times for a normal cycle of less than 30 

minutes, and for front-loading 

residential clothes washers that offer 

cycle times for a normal cycle of less 

than 45 minutes. This correction 

responds to specific comments 

submitted by the Pacific Gas and 

Electric Company (‘‘PG&E’’), San Diego 

Gas and Electric (‘‘SDG&E’’), and 

Southern California Edison (‘‘SCE’’) in 

response to DOE’s notice of proposed 

rulemaking (‘‘NOPR’’), which were 

inadvertently omitted from the final 

rule. DOE has considered the comments 

and determined that in most instances, 

these comments raise issues 

substantially similar to those raised by 

other commenters that DOE previously 

considered and addressed in the final 

rule. To the extent these comments raise 

issues not explicitly addressed in the 

preamble of the final rule, DOE 

determined that the comments 

submitted by PG&E, SDG&E, and SCE do 

not alter any of the conclusions reached 

in support of the final rule and would 

not have resulted in an outcome 

different than as set forth in the final 

rule. 

DATES: Effective January 15, 2021. 

FOR FURTHER INFORMATION CONTACT: Ms. 

Kathryn McIntosh, U.S. Department of 

Energy, Office of the General Counsel, 

GC–33, 1000 Independence Avenue SW, 

Washington, DC 20585. Telephone: 

(202) 586–2002. Email: 

Kathryn.McIntosh@hq.doe.gov. 

SUPPLEMENTARY INFORMATION: DOE 

published a final rule in the Federal 

Register on December 16, 2020 (the 

‘‘December 2020 final rule’’), 

establishing separate product classes for 

top-loading consumer clothes washers 

and consumer clothes dryers that offer 

cycle times for a normal cycle of less 


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