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.

Rules and Regulations Federal Register

13289

Vol. 62, No. 54

Thursday, March 20, 1997

DEPARTMENT OF AGRICULTURE

Federal Crop Insurance Corporation

7 CFR Parts 414 and 457

General Crop Insurance Regulations;

Forage Seeding Crop Insurance

Regulations and Common Crop

Insurance Regulations; Forage

Seeding Crop Insurance Provisions

AGENCY: Federal Crop Insurance

Corporation, USDA.

ACTION: Final rule.

SUMMARY: The Federal Crop Insurance

Corporation (FCIC) finalizes specific

crop provisions for the insurance of

forage seeding. The provisions will be

used in conjunction with the Common

Crop Insurance Policy Basic Provisions,

which contain standard terms and

conditions common to most crops. The

intended effect of this action is to

provide policy changes to better meet

the needs of the insured, include the

current forage seeding crop insurance

regulations with the Common Crop

Insurance Policy for ease of use and

consistency of terms, and to restrict the

effect of the current forage seeding crop

regulations to the 1997 and prior crop

years.

DATES: Effective: March 20, 1997.

FOR FURTHER INFORMATION CONTACT:

Richard Brayton, Insurance

Management Specialist, Research and

Development, Product Development

Division, Federal Crop Insurance

Corporation, United States Department

of Agriculture, 9435 Holmes Road,

Kansas City, MO 64131, telephone (816)

926–7730.

SUPPLEMENTARY INFORMATION:

Executive Order No. 12866

The Office of Management and Budget

(OMB) has determined this rule to be

exempt for the purposes of Executive

Order No. 12866, and, therefore, this

rule has not been reviewed by OMB.

Paperwork Reduction Act of 1995

Following publication of the proposed

rule, the public was afforded 60 days to

submit written comments, data, and

opinions on information collection

requirements previously approved by

OMB under OMB control number 0563–

0003 through September 30, 1998. No

public comments were received.

Unfunded Mandates Reform Act of

1995

Title II of the Unfunded Mandates

Reform Act of 1995 (UMRA), P.L. 104–

4, 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. Thus, this rule is not

subject to the requirements of sections

202 and 205 of the UMRA.

Executive Order No. 12612

It has been determined under section

6(a) of Executive Order No. 12612,

Federalism, that this rule does not have

sufficient federalism implications to

warrant the preparation of a Federalism

Assessment. The provisions contained

in this rule will not have a substantial

direct effect on States or their political

subdivisions, or on the distribution of

power and responsibilities among the

various levels of government.

Regulatory Flexibility Act

This regulation will not have a

significant impact on a substantial

number of small entities. The effect of

this regulation on small entities will be

no greater than on larger entities. Under

the current regulations, a producer is

required to complete an application and

an acreage report. If the crop is damaged

or destroyed, the insured is required to

give notice of loss and provide the

necessary information to complete a

claim for indemnity. This regulation

does not alter those requirements.

The amount of work required of the

insurance companies delivering and

servicing these policies will not increase

significantly from the amount of work

currently required. This rule does not

have any greater or lesser impact on the

producer. Therefore, this action is

determined to be exempt from the

provisions of the Regulatory Flexibility

Act (5 U.S.C. 605), and no Regulatory

Flexibility Analysis was prepared.

Federal Assistance Program

This program is listed in the Catalog

of Federal Domestic Assistance under

No. 10.450.

Executive Order No. 12372

This program is not subject to the

provisions of Executive Order No.

12372, which require intergovernmental

consultation with State and local

officials. See the Notice related to 7 CFR

part 3015, subpart V, published at 48 FR

29115, June 24, 1983.

Executive Order No. 12778

The Office of the General Counsel has

determined that these regulations meet

the applicable standards provided in

sections 2(a) and 2(b)(2) of Executive

Order No. 12778. The provisions of this

rule will not have a retroactive effect

prior to the effective date. The

provisions of this rule will preempt

State and local laws to the extent such

State and local laws are inconsistent

herewith. The administrative appeal

provisions published at 7 CFR part 11

must be exhausted before any action for

judicial review may be brought.

Environmental Evaluation

This action is not expected to have a

significant impact on the quality of the

human environment, health, and safety.

Therefore, neither an Environmental

Assessment nor an Environmental

Impact Statement is needed.

National Performance Review

This regulatory action is being taken

as part of the National Performance

Review Initiative to eliminate

unnecessary or duplicative regulations

and improve those that remain in force.

Background

On Wednesday, January 15, 1997,

FCIC published a notice of proposed

rule making, in the Federal Register at

62 FR 2055–2059 to add to the Common

Crop Insurance Regulations (7 CFR part

457), a new section, 7 CFR 457.151,

Forage Seeding Crop Insurance

Provisions. The new provisions will be

effective for the 1998 and succeeding

crop years. These provisions will

replace and supersede the current

provisions for insuring forage seeding
13290 Federal Register / Vol. 62, No. 54 / Thursday, March 20, 1997 / Rules and Regulations

found at 7 CFR part 414 (Forage Seeding

Crop Insurance Regulations). FCIC also

amends 7 CFR part 414 to limit its effect

to the 1997 and prior crop years. FCIC

will later publish a regulation to remove

and reserve part 414.

Following publication of the proposed

rule, the public was afforded 30 days to

submit written comments, data, and

opinions. A total of 17 comments were

received from the crop insurance

industry and FCIC. The comments

received, and FCIC’s response, are as

follows:

Comment: The crop insurance

industry questioned the definition of

‘‘FSA.’’ They stated that with the

passage of the Freedom to Farm Act,

references to FSA or FSA Farm Serial

Numbers or reliance on either in the

crop insurance policies becomes

questionable. They suggested that any

reliance on FSA information, structure

or data be eliminated from the policy

given the farm bill provisions.

Response: FSA is still a viable agency

and acreage can still be divided by Farm

Serial Number. Those producers who

elect to maintain their Farm Serial

Number units will still be able to obtain

optional units by Farm Serial Numbers.

FCIC sees no reason to change that unit

structure. Therefore, no change has been

made.

Comment: A representative of FCIC

recommended changing the definition

of ‘‘Forage’’ to allow insurance coverage

for non-grass forage species other than

alfalfa and red clover (e.g., birdsfoot

trefoil).

Response: FCIC agrees with the

comment and has amended the

definition to allow insurance coverage

for other species listed in the Actuarial

Table.

Comment: The crop insurance

industry recommended adding the

words ‘‘and quality’’ after the word

‘‘quantity’’ in the definition of ‘‘Irrigated

practice’’ in section 1.

Response: Water quality is an

important issue. However, since no

standards or procedures have been

developed to measure water quality for

insurance purposes, quality cannot be

included in the definition. Therefore, no

change has been made.

Comment: The crop insurance

industry recommended changing the

definition of ‘‘Replanting’’ in section 1.

The commenter indicated that the

wording ‘‘ * * * replace the forage seed

and then replacing the forage seed

* * * ’’ is duplicative.

Response: FCIC disagrees that the

language is duplicative. The provision is

amended to clarify that both preparation

of the land necessary to replace the seed

and replacement of the seed must be

accomplished to be considered

replanted.

Comment: The crop insurance

industry recommended changing the

wording in section 2(a) to read, ‘‘A

separate (basic) unit, as defined in

section 1 (Definitions) of the Basic

Provisions, will be established for

spring and fall planted acreage.’’

Response: FCIC agrees with the

comment and has amended the

provisions accordingly.

Comment: The crop insurance

industry recommended that the states in

section 5 ‘‘Cancellation and

Termination Dates’’ be in alphabetical

order.

Response: FCIC agrees with the

comment and has amended the

provisions accordingly.

Comment: The crop insurance

industry recommended that the spring

seeded forage acreage reporting date,

premium billing date, and termination

dates should be changed to allow the

crop insurance industry more time to

process their documents within

compliance of their contract.

Response: This rule moves the

termination dates from April 15 to

March 15 for all states except Nevada,

New Hampshire, New York,

Pennsylvania and Vermont to coincide

with the March 15 sales closing date

that has been set in accordance with

section 508(f)(2) of the Federal Crop

Insurance Act. The acreage reporting

and premium billing dates are not

contained in this rule. However, FCIC

has determined that the insurance

provider has sufficient time to process

the documents and comply with all

provisions of the reinsurance agreement.

Therefore, no change has been made.

Comment: The crop insurance

industry stated that the provisions

specify that the crop insured is ‘‘forage

seeding’’, but the term is not included

in the definitions. Either ‘‘forage

seeding’’ should be defined, or the

provisions should refer to ‘‘all the forage

seeded in the county’’.

Response: FCIC agrees that use of the

term ‘‘forage seeding’’ is confusing. The

provisions have been amended to

remove the word ‘‘seeding’’ since the

provisions require the forage to be

planted during the current crop year.

Comment: The crop insurance

industry recommended that section 6(b)

‘‘Insured Crop’’ should clarify that

insurance coverage is provided for

forage ‘‘that is initially planted this crop

year, or replanted the calendar year

following planting’’ to distinguish

between forage seeding (first year) and

forage production (subsequent years).

Response: FCIC has clarified that the

forage must be planted during the

current crop year.

Comment The crop insurance

industry stated that the language

contained in section 8(b), ‘‘Harvest of

the unit, unless a late harvest date is

listed in the Special Provisions, or late

harvest on the unit if a late harvest date

is listed in the Special Provisions’’ is

confusing and should be clarified.

Response: FCIC agrees with the

comment and has amended the

provisions for clarification.

Comment: A representative of FCIC

questioned why in section 10

‘‘Replanting payment’’ that replant

payments are only allowed for fall

seeded forage in counties that have both

fall and spring final planting dates. The

commenter stated that the policy should

be changed to allow replant payments

for damage that also occurs in the

spring.

Response: When FCIC started the

forage seeding program, the policy was

written for fall forage producers. It was

determined that spring forage seeding

producers would not replant the forage

until the following spring. However,

FCIC agrees that, with the expansion of

spring planted forage in the country, a

spring replanting payment should be

studied for future implementation.

However, no change has been made in

this rule.

Comment: The crop insurance

industry recommended changing the

wording in section 12(a)(3) that

provides for a 10 percent deductible.

The commenter questioned if it would

be better to provide for a minimum

qualifier rather than a deductible.

Response: FCIC disagrees with

comment. The 10 percent deductible

recognizes that when forage is seeded, it

is expected 10 percent of the new seed

will not mature and produce a crop.

Therefore, no change has been made.

Comment: The crop insurance

industry recommended that the

requirement contained in section 13(d)

for a written agreement to be renewed

each year be removed. The commenters

said that terms of the agreement should

be stated in the agreement to fit the

particular situation for the policy, or if

no substantive changes occur from one

year to the next, allow written

agreement to be continuous.

Response: FCIC disagrees with the

comments. Written agreements by

design are temporary and intended to

address unusual situations. If the

conditions for which a written

agreement is needed continue year to

year, they should be incorporated into

the policy or Special Provisions.

Therefore, no change has been made.
Federal Register / Vol. 62, No. 54 / Thursday, March 20, 1997 / Rules and Regulations 13291

Good cause is shown to make this rule

effective upon publication in the

Federal Register. This rule improves the

forage seeding insurance coverage and

brings it under the Common Crop

Insurance Policy Basic Provisions for

consistency among policies. The earliest

contract change date for the 1998 crop

year for forage seeding is April 30, 1997.

It is therefore imperative that these

provisions be made final before that

date so that the reinsured companies

and insureds may have sufficient time

to implement these changes. Therefore,

public interest requires the agency to act

immediately to make these provisions

available for the 1998 crop year.

List of Subjects 7 CFR Parts 414 and

457

Crop insurance, Forage seeding,

Forage seeding crop insurance

regulations.

Final Rule

Accordingly, for the reasons set forth

in the preamble, the Federal Crop

Insurance Corporation hereby amends 7

CFR parts 414 and 457 effective for the

1998 and succeeding crop years, as

follows:

PART 414—FORAGE SEEDING CROP

INSURANCE REGULATIONS

1. The authority citation for 7 CFR

part 414 is revised to read as follows:

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

2. The subpart heading preceding

§ 414.1 is revised to read as follows:

Subpart—Regulations for the 1981

Through 1997 Crop Years

3. Section 414.7 is amended by

revising the introductory text of

paragraph (d) to read as follows:

§ 414.7 The application and policy.

* * * *

(d) The application for the 1984 and

succeeding crop years is found at

Subpart D of part 400, General

Administrative Regulations (7 CFR

400.37, 400.38). The provisions of the

Forage Seeding Insurance Policy for the

1984 through 1997 crop years are as

follows:

* * * *

PART 457—COMMON CROP

INSURANCE REGULATIONS;

REGULATIONS FOR THE 1994 AND

SUBSEQUENT CONTRACT YEARS

4. The authority citation for 7 CFR

part 457 continues to read as follows:

Authority: U.S.C. 1506(1), 1506(p).

5. Section 457.151 is added to read as

follows:

§ 457.151 Forage seeding crop insurance

provisions.

The Forage Seeding Crop Insurance

Provisions for the 1998 and succeeding

crop years are as follows:

FCIC policies:

DEPARTMENT OF AGRICULTURE

Federal Crop Insurance Corporation

Reinsured policies:

(Appropriate title for insurance provider)

Both FCIC and reinsured policies:

Forage seeding crop provisions

If a conflict exists among the Basic

Provisions (§ 457.8), these Crop Provisions,

and the Special Provisions; the Special

Provisions will control these Crop Provisions

and the Basic Provisions; and these Crop

Provisions will control the Basic Provisions.

1. Definitions

Crop year—The period within which the

planting is or normally would become

established and shall be designated by the

calendar year in which the planting is made

for spring planted acreage and the next

succeeding calendar year for fall planted

acreage.

Days—Calendar days.

FSA—The Farm Service Agency, an agency

of the United States Department of

Agriculture, or a successor agency.

Fall planted—A forage crop seeded after

June 30.

Final planting date—The date contained in

the Special Provisions for the insured crop by

which the crop must initially be planted in

order to be insured for the full amount of

insurance.

Forage—Planted perennial alfalfa,

perennial red clover, perennial grasses, or a

mixture thereof, or other species, as shown

in the actuarial table.

Good farming practices—The cultural

practices generally in use in the county for

the crop to make normal progress toward

maturity and produce a normal stand, and

are those recognized by the Cooperative State

Research, Education, and Extension Service

as compatible with agronomic and weather

conditions in the county.

Harvest—Severance of the forage plant

from the land with the intention of using it

as livestock feed. Grazing will not be

considered harvested.

Interplanted—Acreage on which two or

more crops are planted in a manner that does

not permit separate agronomic maintenance

or harvest of the insured crop.

Irrigated practice—A method of producing

a crop by which water is artificially applied

during the growing season by appropriate

systems and at the proper times, with the

intention of providing the quantity of water

needed to produce at least the yield used to

establish the irrigated amount of insurance

on the irrigated acreage planted to the

insured crop.

Normal stand—A population of live plants

per square foot that meets the minimum

required number of plants as shown in the

Special Provisions.

Nurse Crop (companion crop)—A crop

seeded into the same acreage as another crop,

that is intended to be harvested separately,

and that is planted to improve growing

conditions for the crop with which it is

grown.

Planted acreage—Land in which seed has

been placed by a machine appropriate for the

insured crop and planting method, at the

correct depth, into a seedbed that has been

properly prepared for the planting method

and production practice. Land on which seed

is initially spread onto the soil surface by any

method and subsequently is mechanically

incorporated into the soil in a timely manner

and at the proper depth. Acreage seeded in

any other manner will not be insurable

unless otherwise provided by the Special

Provisions or by written agreement.

Practical to replant—In lieu of the

definition of ‘‘Practical to replant’’ contained

in section 1 of the Basic Provisions (§ 457.8),

practical to replant is defined as our

determination, after loss or damage to the

insured crop, based on 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 the crop to attain

maturity prior to the calendar date for the

end of the insurance period. It will not be

considered practical to replant after the final

planting date, unless replanting is generally

occurring in the area.

Replanting—Performing the cultural

practices necessary to prepare the land for

replacing of the forage seed and then

replacing the forage seed in the insured

acreage with the expectation of producing a

normal stand. Replacing new seed into an

existing damaged stand, which results in a

reduced seeding rate from the original

seeding rate, will not be considered

replanting.

Spring planted—A forage crop seeded

before July 1.

Written agreement—A written document

that alters designated terms of this policy in

accordance with section 13.

2. Unit Division

(a) In addition to the provisions of section

1 (Definitions) of the Basic Provisions

(§ 457.8) (basic unit), a separate basic unit

will be established for spring and fall planted

acreage.

(b) Unless limited by the Special

Provisions, these basic units may be further

divided into optional units if, for each

optional unit you meet all the conditions of

this section or a written agreement to such

division exists.

(c) Basic units may not be divided into

optional units on any basis including, but not

limited to, production practice, type, variety,

and planting period, other than as described

in this section.

(d) If you do not comply fully with these

provisions, we will combine all optional

units that are not in compliance with these

provisions into the basic unit from which

they were formed. We will combine the

optional units at any time we discover that

you have failed to comply with these

provisions. If failure to comply with these

provisions is determined to be inadvertent,

and the optional units are combined into a

basic unit, that portion of the additional

premium paid for the optional units will that

have been combined be refunded to you.
13292 Federal Register / Vol. 62, No. 54 / Thursday, March 20, 1997 / Rules and Regulations

(e) All optional units you selected for the

crop year must be identified on the acreage

report for that crop year.

(f) The following requirements must be met

for each optional unit:

(1) You must have plant the crop in a

manner that results in a clear and discernable

break in the planting pattern at the

boundaries of each optional unit; and

(2) Each optional unit must meet one or

more of the following criteria as applicable:

(i) Optional Units by Section, Section

Equivalent, or FSA Farm Serial Number:

Optional units may be established if each

optional unit is located in a separate legally

identified section. In the absence of sections,

we may consider parcels of land legally

identified by other methods of measure

including, but not limited to Spanish grants,

railroad surveys, leagues, labors, or Virginia

Military Lands, as the equivalent of sections

for unit purposes. In areas that have not been

surveyed using the systems identified above,

or another system approved by us, or in areas

where such systems exist but boundaries are

not readily discernable, each optional unit

must be located in a separate farm identified

by a single FSA Farm Serial Number.

(ii) Optional Units on Acreage Including

Both Irrigated and Non-irrigated Practices: In

addition to, or instead of, establishing

optional units by section, section equivalent,

or FSA Farm Serial Number, optional units

may be based on irrigated acreage or nonirrigated acreage if both are located in the

same section, section equivalent, or FSA

Farm Serial Number. To qualify as separate

irrigated and non-irrigated optional units, the

non-irrigated acreage may not continue into

the irrigated acreage in the same rows or

planting pattern. The irrigated acreage may

not extend beyond the point at which the

irrigated system can deliver the quantity of

water needed to produce a normal stand.

3. Amounts of Insurance

(a) In addition to the requirements of

section 3 (Insurance Guarantees, Coverage

Levels, and Prices for Determining

Indemnities) of the Basic Provisions (§ 457.8),

you may only select one coverage level and

the corresponding amount of insurance

designated in the Actuarial Table for the

applicable type and practice for all the forage

seeding in the county that is insured under

this policy. The amount of insurance you

choose for each type and practice must have

the same percentage relationship to the

maximum amount of insurance offered by us

for each type and practice. For example, if

you choose 100 percent of the maximum

amount of insurance for a specific type and

practice, you must also choose 100 percent

of the maximum amount of insurance for all

other types and practices.

(b) The production reporting requirements

contained in section 3 (Insurance Guarantees,

Coverage Levels, and Prices for Determining

Indemnities) of the Basic Provisions (§ 457.8),

do not apply to forage seeding.

4. Contract Changes

In accordance with section 4 (Contract

Changes) of the Basic Provisions (§ 457.8),

the contract change date is November 30

preceding the cancellation date for counties

with a March 15 cancellation date and April

30 preceding the cancellation date for all

other counties.

5. Cancellation and Termination Dates

In accordance with section 2 (Life of

Policy, Cancellation, and Termination) of the

Basic Provisions (§ 457.8), the cancellation

and termination dates are:

State and County

Cancellation

and termination dates

Nevada, New Hampshire, New

York, Pennsylvania, Vermont.

July 31.

All other states ........................ March 15.

6. Insured Crop

In accordance with section 8 (Insured

Crop) of the Basic Provisions (§ 457.8), the

crop insured will be all the forage in the

county for which a premium rate is provided

by the actuarial table:

(a) In which you have a share;

(b) That is planted during the current crop

year, or replanted the calendar year following

planting, to establish a normal stand of forage

intended for harvest as livestock feed;

(c) That is not grown with the intent to be

grazed, or not grazed at any time during the

insurance period; and

(d) That is not interplanted with another

crop, except nurse crops, unless allowed by

the Special Provisions or by written

agreement.

7. Insurable Acreage

In addition to the provisions of section 9

(Insurable Acreage) of the Basic Provisions

(§ 457.8), any acreage of the insured crop

damaged before the final planting date, to the

extent that such acreage has less than a

normal stand, must be replanted unless we

agree that it is not practical to replant.

8. Insurance Period

In lieu of the provisions of section 11

(Insurance Period) of the Basic Provisions

(§ 457.8) regarding when insurance ends,

forage seeding insurance will end at the

earliest of:

(a) Total destruction of the insured crop on

the unit;

(b) The initial harvest of the unit, if a late

harvest date is not listed in the Special

Provisions;

(c) The first harvest after the late harvest

date, if a late harvest date is specified in the

Special Provisions. You may harvest the crop

as often as practical in accordance with good

farming practices on or before the late harvest

date.

(d) Final adjustment of a loss on a unit;

(e) Abandonment of the insured crop;

(f) The date grazing commences on the

insured crop; or

(g) May 21 of the calendar year following

seeding for spring-planted forage; or October

15 of the calendar year following seeding for

fall-planted forage.

9. Causes of Loss

In accordance with the provisions of

section 12 (Causes of Loss) of the Basic

Provisions (§ 457.8), insurance is provided

only against the following causes that result

in loss of, or failure to establish, a stand of

forage that occur during the insurance

period:

(a) Adverse weather conditions;

(b) Fire;

(c) Insects, but not damage due to

insufficient or improper application of pest

control measures;

(d) Plant disease, but not damage due to

insufficient or improper application of

disease control measures;

(e) Wildlife;

(f) Earthquake;

(g) Volcanic eruption; or

(h) Failure of the irrigation water supply,

if caused by an insured peril that occurs

during the insurance period.

10. Replanting Payment.

In lieu of the provisions contained in

section 13 (Replanting Payment) of the Basic

Provisions (§ 457.8):

(a) A replanting payment is allowed only

in counties for which the Special Provisions

designate both fall and spring final planting

dates if:

(1) The insured fall planted acreage is

damaged by an insurable cause of loss to the

extent that less than 75 percent of a normal

stand remains;

(2) It is practical to replant;

(3) We give written consent to replant; and

(4) Such acreage is replanted the following

spring by the spring final planting date.

(b) The amount of the replanting payment

will be equal to 50 percent of the amount of

the liability determined in accordance with

section 12(a).

(c) No replanting payment will be made on

acreage for which one replanting payment

has been allowed.

(d) If the information reported by you on

the acreage report results in a lower premium

than the actual premium determined to be

due based on the acreage, share, practice, or

type determined actually to have existed, the

replanting payment will be reduced

proportionately.

11. Duties in the Event of Damage or Loss

(a) In accordance with the requirements of

section 14 (Duties in the Event of Damage or

Loss) of the Basic Provisions (§ 457.8), the

representative samples of the crop must be at

least 10 feet wide and extend the entire

length of each field in the unit. The samples

must not be harvested or destroyed until the

earlier of our inspection or 15 days after

tilling of the balance of the unit is completed.

(b) In addition to the requirements of

section 14 (Duties in the Event of Damage or

Loss) of the Basic Provisions (§ 457.8), you

must give us written notice if, during the

period before destroying the crop on any fall

planted acreage that is damaged, you decide

to replant the acreage by the spring final

planting date.

12. Settlement of Claim

(a) In the event of loss or damage covered

by this policy, we will settle your claim on

any unit by:

(1) Multiplying the insured acreage of each

type and practice by the amount of insurance

for the applicable type and practice;

(2) Totaling the results in section 12(a)(1);

(3) Multiplying the total of the acres with

an established stand plus 10 percent of the

planted acres for the insured acreage of each
Federal Register / Vol. 62, No. 54 / Thursday, March 20, 1997 / Rules and Regulations 13293

type and practice in the unit by the amount

of insurance for the applicable type and

practice;

(4) Totaling the results in section 12(a)(3);

(5) Subtracting the result in section 12(a)(4)

from the result in section 12(a)(2); and

(6) Multiplying the result in section

12(a)(5) by your share.

(b) The acres with an established stand will

include:

(1) Acreage that has at least 75 percent of

a normal stand;

(2) Acreage abandoned or put to another

use without our prior written consent;

(3) Acreage damaged solely by an

uninsured cause; or

(4) Acreage that is harvested and not

reseeded.

(c) The amount of indemnity on any spring

planted acreage determined in accordance

with section 12(a) will be reduced 50 percent

if the stand is less than 75 percent but more

than 55 percent of a normal stand.

13. Written Agreements

Designated terms of this policy may be

altered by written agreement in accordance

with the following:

(a) You must apply in writing for each

written agreement no later than the sales

closing date, except as provided in section

13(e);

(b) The application for a written agreement

must contain all variable terms of the

contract between you and us that will be in

effect if the written agreement is not

approved;

(c) If approved, the written agreement will

include all variable terms of the contract,

including, but not limited to, crop type or

variety, practice, premium rate, and amount

of insurance;

(d) Each written agreement will only be

valid for one year (If the written agreement

is not specifically renewed the following

year, insurance coverage for subsequent crop

years will be in accordance with the printed

policy); and

(e) An application for a written agreement

submitted after the sales closing date may be

approved if, after a physical inspection of the

acreage, it is determined that no loss has

occurred and the crop is insurable in

accordance with the policy and written

agreement provisions.

Signed in Washington, D.C., on March 14,

1997.

Kenneth D. Ackerman,

Manager, Federal Crop Insurance

Corporation.

[FR Doc. 97–7012 Filed 3–19–97; 8:45 am]

BILLING CODE 3410–FA–P

Animal and Plant Health Inspection

Service

9 CFR Part 77

[Docket No. 96–092–2]

Tuberculosis in Cattle and Bison; State

Designation

AGENCY: Animal and Plant Health

Inspection Service, USDA.

ACTION: Affirmation of interim rule as

final rule.

SUMMARY: We are adopting as a final

rule, without change, an interim rule

that amended the tuberculosis

regulations concerning the interstate

movement of cattle and bison by raising

the designation of Oklahoma from a

modified accredited State to an

accredited-free State. We have

determined that Oklahoma meets the

criteria for designation as an accreditedfree state.

EFFECTIVE DATE: The interim rule was

effective on December 26, 1996.

FOR FURTHER INFORMATION CONTACT: Dr.

Mitchell A. Essey, Senior Staff

Veterinarian, National Animal Health

Programs, VS, APHIS, 4700 River Road

Unit 36, Riverdale, MD 20737–1231,

(301) 734–7727.

SUPPLEMENTARY INFORMATION:

Background

In an interim rule effective and

published in the Federal Register on

December 26, 1996 (61 FR 67928–67929,

Docket No. 96–092–1), we amended the

tuberculosis regulations in 9 CFR part

77 by removing Oklahoma from the list

of modified accredited States in § 77.1

and adding it to the list of accreditedfree States in that section.

Comments on the interim rule were

required to be received on or before

February 24, 1997. We did not receive

any comments. The facts presented in

the interim rule still provide a basis for

the rule.

This action also affirms the

information contained in the interim

rule concerning Executive Order 12866

and the Regulatory Flexibility Act,

Executive Orders 12372 and 12988, and

the Paperwork Reduction Act.

Further, for this action, the Office of

Management and Budget has waived the

review process required by Executive

Order 12866.

List of Subjects in 9 CFR Part 77

Animal diseases, Bison, Cattle,

Reporting and recordkeeping

requirements, Transportation,

Tuberculosis.

PART 77—TUBERCULOSIS

Accordingly, we are adopting as a

final rule, without change, the interim

rule that amended 9 CFR part 77 and

that was published at 61 FR 67928–

67929 on December 26, 1996.

Authority: 21 U.S.C. 111, 114, 114a, 115-

117, 120, 121, 134b, and 134f; 7 CFR 2.22,

2.80, and 371.2(d).

Done in Washington, DC, this 14th day of

March 1997.

Terry L. Medley,

Administrator, Animal and Plant Health

Inspection Service.

[FR Doc. 97–7014 Filed 3–19–97; 8:45 am]

BILLING CODE 3410–34–P

9 CFR Parts 102 and 104

[Docket No. 96–055–2]

Viruses, Serums, Toxins, and

Analogous Products; Biologics

Establishment Licenses and Biological

Product Licenses and Permits

AGENCY: Animal and Plant Health

Inspection Service, USDA.

ACTION: Final rule.

SUMMARY: We are amending the

regulations regarding veterinary

biological products to remove the

examples of the Animal and Plant

Health Inspection Service (APHIS)

forms for U.S. Veterinary Biologics

Establishment Licenses and U.S.

Veterinary Biological Product Licenses

and Permits. This action resulted from

a review of APHIS regulations in

response to the President’s Regulatory

Reform Initiative. The amendments

have the effect of removing unnecessary

material from the regulations. The

APHIS forms for product licenses and

permits will still be used and provided

by the agency—only the examples are

removed from the regulations.

EFFECTIVE DATE: April 21, 1997.

FOR FURTHER INFORMATION CONTACT: Dr.

David Espeseth, Director, Licensing and

Policy Development, Center for

Veterinary Biologics, VS, APHIS, 4700

River Road Unit 148, Riverdale, MD

20737–1237, (301) 734–8245.

SUPPLEMENTARY INFORMATION:

Background

The Animal and Plant Health

Inspection Service (APHIS) conducted a

review of the regulations under 9 CFR

101–118 pertaining to veterinary

biologics initiated under the President’s

Regulatory Reform Initiative to remove

unnecessary material from the

regulations. As part of this initiative, on

August 22, 1996, we published in the

Federal Register (61 FR 43316–43317,

Docket No. 96–055–1) a proposal to

amend the regulations regarding

veterinary biological products by

removing the examples of APHIS forms

for U.S. Veterinary Biologics

Establishment Licenses and U.S.

Veterinary Biological Product Licenses

and Permits. We stated that the APHIS

forms for establishment and product