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

19185 

Vol. 75, No. 71 

Wednesday, April 14, 2010 

DEPARTMENT OF AGRICULTURE 

Farm Service Agency 

7 CFR Part 760 

Commodity Credit Corporation 

7 CFR Parts 1400, 1412, and 1421 

RIN 0560–AH84 

Direct and Counter-Cyclical Program 

and Average Crop Revenue Election 

Program, Disaster Assistance 

Programs, Marketing Assistance 

Loans and Loan Deficiency Payments 

Program, Supplemental Revenue 

Assistance Payments Program, and 

Payment Limitation and Payment 

Eligibility; Clarifying Amendments 

AGENCY: Commodity Credit Corporation 

and Farm Service Agency, USDA. 

ACTION: Final rule. 

SUMMARY: CCC is amending the 

regulations for the Direct and Countercyclical Payment Program (DCP) for the 

2008 through 2012 crop years and 

Average Crop Revenue Election (ACRE) 

Program for the 2009 through 2012 crop 

years. The amendments clarify various 

provisions in the regulations and extend 

benefits to additional producers. This 

rule extends the eligibility for farms of 

less than 10 base acres from farms 

wholly owned by socially 

disadvantaged or limited resource 

producers to farms that are at least half 

owned by such producers. It removes a 

provision terminating base acres on 

Federally-owned land, which will 

effectively extend DCP and ACRE 

Program eligibility to producers who 

lease or purchase such land. Clarifying 

amendments specify the extended 2009 

crop year enrollment and election 

period, simplify acreage and production 

reporting requirements, correct contract 

termination provisions, and add 2009 

through 2012 loan rates. This rule also 

makes several clarifying amendments to 

the regulations for the Emergency 

Assistance for Livestock, Honeybees, 

and Farm-Raised Fish Program (ELAP) 

and the Livestock Forage Disaster 

Program (LFP), the Supplemental 

Revenue Assistance Payments Program 

(SURE) and the Marketing Assistance 

Loans (MAL) and Loan Deficiency 

Payments (LDP) Programs. It clarifies 

eligibility requirements for foreign 

persons for CCC and FSA programs. 

DATES: Effective Date: April 13, 2010. 

FOR FURTHER INFORMATION CONTACT: 

Candace Thompson, Acting Director, 

Production, Emergencies, and 

Compliance Division, Farm Service 

Agency (FSA), United States 

Department of Agriculture (USDA), Stop 

0517, 1400 Independence Ave, SW., 

Washington, DC 20250–0517; phone: 

(202) 720–7641; e-mail: 

Candy.Thompson@wdc.usda.gov. 

Persons with disabilities who require 

alternative means for communication 

(braille, large print, audio tape, etc.) 

should contact the USDA Target Center 

at (202) 720–2600 (voice and TDD). 

SUPPLEMENTARY INFORMATION: 

Background 

This rule provides clarifying 

amendments to a number of regulations 

that were published to implement 

programs authorized by the Food, 

Conservation, and Energy Act of 2008 

(Pub. L. 110–246, the ‘‘2008 Farm Bill’’). 

The regulations that are amended with 

this rule specify provisions for the DCP, 

ACRE, ELAP, LFP, MAL, SURE, and 

LDP Programs. 

Sections 1101 through 1109 of the 

2008 Farm Bill specify the requirements 

for DCP and ACRE Program. CCC 

published regulations to implement the 

DCP and ACRE Program in the Federal 

Register on December 29, 2008 (73 FR 

79284–79306). This rule amends the 

regulations for DCP for the 2008 through 

2012 crop years and for the ACRE 

Program for the 2009 through 2012 crop 

years. CCC is amending the regulations 

to provide additional clarity and to 

increase flexibility in the regulatory 

requirements where the 2008 Farm Bill 

permits and where CCC has determined 

it is in the best interests of the programs 

and participants. The amendments 

include extending the enrollment period 

for the 2009 crop year, simplifying 

acreage and production reporting 

requirements, removing a provision 

terminating base acres on Federally 

owned land, and setting less restrictive 

eligibility requirements for small farms 

owned by socially disadvantaged or 

limited resource producers. This rule 

also makes minor technical 

amendments and corrections, such as 

including loan rates that are specified in 

the 2008 Farm Bill, but were 

inadvertently not included in the 

regulations. The basic structure and 

scope of DCP and the ACRE Program are 

not changing with this rule. 

Definitions; DCP and ACRE Program 

This rule adds definitions to § 1412.3 

that are needed to implement and 

clarify the ACRE Program. These 

definitions are already used in the forms 

and contracts for the program, as well as 

the instruction sheets and calculators on 

FSA’s Web site. It is appropriate to put 

these definitions in the regulations so 

that producers have complete 

information about how their benefit is 

calculated. The definitions clarify how 

prices, production, revenue, acreage and 

expected yields will be determined for 

the ACRE Program. 

This rule defines how the State ACRE 

guarantee is calculated for the purpose 

of determining ACRE Program benefits: 

It is 90 percent of the benchmark State 

yield per acre times the ACRE guarantee 

price. Although the term ‘‘ACRE 

guarantee price’’ is included in the 

contract appendix, prior to this 

amendment, it did not appear in the 

rule. Several other terms used in either 

the appendix to the contract or in the 

instructions for the ACRE calculator on 

the FSA Web site were not previously 

included in the rule. In order that the 

regulations may be more 

comprehensive, this rule adds the 

following definitions that are used in 

the forms, contracts, and online tools: 

‘‘Actual farm yield and benchmark farm 

yield,’’ ‘‘ACRE price,’’ ‘‘ACRE plug 

yield,’’ ‘‘average yield per planted acre,’’ 

‘‘actual farm production,’’ and ‘‘actual 

farm revenue.’’ 

In other cases, a definition is needed 

to specify how a term used in other FSA 

or CCC programs is used differently for 

DCP and ACRE. For example, the 

definition of ‘‘double cropping’’ in this 

rule is slightly different from that used 

for other FSA programs. The definition 

in this rule clarifies what double crop 

production will be recognized for ACRE 

payment purposes. Other terms that 


jlentini on DSKJ8SOYB1PROD with RULES
19186 Federal Register / Vol. 75, No. 71 / Wednesday, April 14, 2010 / Rules and Regulations 

may be used in other FSA or CCC 

programs differently than for DCP and 

ACRE, and are therefore added in this 

rule, include ‘‘contract period,’’ ‘‘initial 

crop,’’ ‘‘planted and considered 

planted,’’ and ‘‘replacement crop.’’ 

This rule removes a provision in 

§ 1412.45 that terminates base acres on 

Federally owned land and prohibits the 

establishment of base acres on such 

land. It was determined that the 

termination of base acres on Federal 

land created an unintended adverse 

effect on farmers and ranchers who 

lease Federal farmland. This rule 

amends the regulations accordingly to 

reflect that determination. Not allowing 

base acres in these instances would for 

example, negatively impact family farms 

that were seized by the Army Corps of 

Engineers through eminent domain and 

then leased back to the family after 

flood control structures were installed. 

As required by the 2008 Farm Bill, it 

remains the case that the government 

agencies are not, however, eligible for 

farm payments. 

This rule also amends provisions in 

§§ 1412.41 and 1412.72 concerning the 

enrollment period for the ACRE 

program. The changes reflect 

determinations made previously for the 

2009 crop year that allowed additional 

time for the start-up of the program. 

In addition, Section 1101 of the 2008 

Farm Bill specifically prohibits DCP and 

ACRE program payments to producers 

on farms that have 10 or less total base 

acres of covered commodities or 

peanuts, beginning with the 2009 crop 

year, except for farms owned by socially 

disadvantaged or limited resource 

farmers. The current regulations specify 

in § 1412.51 that a producer on a farm 

with 10 or less base acres will not be 

eligible to receive DCP or ACRE 

program payments unless the farm is 

wholly owned by a socially 

disadvantaged farmer or rancher or a 

limited resource farmer or rancher. In 

other FSA programs, a 50 percent 

threshold has been used and FSA will 

use that same threshold in § 1412.51. 

The 2008 Farm Bill does not specify a 

threshold and the new standard should 

provide greater opportunities for 

socially disadvantaged or limited 

resource farmers to participate in DCP 

and ACRE. 

Section 1412.53 includes the 2008 

loan rates for covered commodities and 

peanuts and target prices for 2008 

through 2012. That section is amended 

in this rule to remove the loan rate for 

extra long staple cotton, to incorporate 

the loan rates for 2008 dry peas, lentils, 

and large and small chick peas, and to 

incorporate loan rates for covered 

commodities and peanuts for the 2009 

through 2012 crop years. These are 

technical corrections; extra long staple 

cotton is not a covered commodity, and 

the loan rates for 2009 to 2012 are 

specified in the 2008 Farm Bill but were 

inadvertently not included in the 

regulations in the December 29, 2008, 

final rule. 

Section 1106 of the 2008 Farm Bill 

specifies that no penalty will be 

assessed against a producer unless it is 

determined that a producer knowingly 

and willingly falsified an acreage or 

production report. Accordingly, 

§ 1412.61 is amended to add a 

paragraph that specifies if a violation 

was not a knowing and willing 

falsification, payments may still be 

made, based on determined acreage and 

production. 

As a condition of payment eligibility, 

§ 1412.66 requires the operator of a farm 

to accurately report acreage. Section 

1412.66 also provides that farms 

enrolled in the Planting Transferability 

Pilot Project as specified in § 1412.48 

and farms enrolled in the ACRE 

Program must submit an accurate report 

of production accompanied by 

documentation acceptable to CCC. 

Section 1412.66 is being amended to no 

longer require such extensive 

documentation in all cases, but only 

where CCC in its discretion requires 

such documentation of that kind. 

Producers will be able to certify 

production without accompanying 

documentation, unless CCC determines 

such documentation is necessary. This 

will lessen the burden on producers and 

only require additional documentation 

in cases where there is a particular need 

for documentation or where a spot 

check is being made. Producers are 

required by § 1412.67 to submit a notice 

of loss for both prevented planting and 

low yield losses, unless the loss has 

already been reported for the 

Noninsured Crop Disaster Assistance 

Program (NAP). Section 1412.67 is being 

amended to eliminate the notice of loss 

requirement for low yield losses and to 

require a notice of loss for prevented 

planting only if a notice of such a loss 

for NAP (also administered by FSA) has 

not already been filed. The regulations 

are also being amended to remove a 

requirement that crop acreage that will 

not be harvested must be left intact and 

appraised. The removal of this 

requirement will allow producers to 

provide zero production reports without 

an appraisal. 

The amendments to §§ 1412.66 and 

1412.67 will allow producers to certify 

production for both harvested and 

unharvested crop acreage without 

having to submit documentation, unless 

CCC, at its discretion, requests those 

records. Prior to this change, acceptable 

production records (verifiable or 

reliable) were always required with the 

certification. These amendments are 

intended to lessen the burden on 

producers and on CCC. CCC has 

insufficient resources to appraise each 

case of lost or zero production. 

Reporting and verifying loss information 

that has already been reported for crop 

insurance or NAP does not contribute to 

program effectiveness or efficiency. 

Section 1412.77, ‘‘Transfer of Land 

and Succession-in-Interest,’’ specifies 

the requirements for transfers of land 

and successions-in-interest to ACRE 

Program contracts. This section is being 

amended to clarify that producers who 

obtain a share in a crop of covered 

commodities or peanuts through a 

transfer of land or a succession-ininterest are not automatically eligible for 

ACRE payment. To be eligible for the 

ACRE Program, either as initial share 

interests or as successors-in-interest, 

producers must sign an ACRE Program 

contract during the contract period. This 

rule also amends § 1412.73, ‘‘Sharing of 

ACRE Payments,’’ to clarify that each 

producer on a farm must sign the ACRE 

Program contract for the farm to receive 

that producer’s share of any potential 

payment. This rule does not change the 

requirement that once a farm has been 

enrolled in ACRE no one, even 

independent successors, can participate 

on that farm on a non-ACRE basis in 

DCP. Under ACRE, however, a portion 

of the direct DCP payments can be made 

as specified in the 2008 Farm Bill and 

in the regulations. 

DCP and ACRE Program contracts are 

annual contracts. However, § 1412.78 

specifies incorrectly that in the event 

that a contract is terminated for a 

violation, the terminated acreage 

remains ineligible for DCP and ACRE 

Program participation from the time of 

termination through the 2012 crop year. 

That is not correct. The period of 

ineligibility for violations of DCP or 

ACRE Program provisions cannot 

exceed the contract period. Accordingly, 

§ 1412.78 is being corrected to specify 

that terminated acreage will be 

ineligible for DCP and ACRE Program 

participation from the time of 

termination until the end of the annual 

contract period in which the violation 

occurred. Once more, however, once a 

farm has a valid ACRE election the farm 

cannot participate on a non-ACRE basis 

in the DCP. Terminating an annual DCP 

or ACRE contract, for any reason, does 

not impact the ACRE election under 

§ 1412.72. 


jlentini on DSKJ8SOYB1PROD with RULES
Federal Register / Vol. 75, No. 71 / Wednesday, April 14, 2010 / Rules and Regulations 19187 

Disaster Assistance, Market Assistance 

Loans, and Loan Deficiency Payments 

Programs Clarifying Amendments 

Sections 12033 and 15101 of the 2008 

Farm Bill specify the requirements for 

LFP and ELAP. The final rules for LFP 

and ELAP as authorized by the 2008 

Farm Bill were published in the Federal 

Register on September 11, 2009 (74 FR 

46666–46683). 

This rule also amends the regulations 

in 7 CFR part 760, subpart D, for LFP 

to clarify that eligible covered livestock 

are livestock that would normally be 

grazing in that county during the 

grazing period, rather than grazing on 

the exact day a drought began. 

This rule makes clarifying 

amendments to the ELAP regulations in 

7 CFR part 760, subpart C, to specify 

that producers are eligible for payments 

based on fair market value of lost fish 

or honeybees. These amendments are 

needed to clarify that producers who 

decide not to replace fish or honeybees 

are eligible for payment based on the 

fair market value of those losses, and do 

not need to provide documentation as to 

actual replacement cost. This change is 

consistent with other types of livestock 

loss payments as specified in other 

regulations in part 760, which provide 

payment based on fair market value, 

rather than documented actual 

replacement cost, and provide payment 

regardless of whether or not the lost 

livestock is replaced. 

This rule also amends the ELAP 

regulations specifying acceptable 

documentation for the loss of honeybee 

colonies due to colony collapse disorder 

(CCD). The amendment allows 

documentation by an independent third 

party determined acceptable by FSA, or, 

for losses in 2008 and 2009, selfcertification by the producer. The 

previous requirement for certification by 

a registered entomologist, Cooperative 

Extension Specialist, or Land Grant 

University is removed, because the 

exact cause of CCD cannot be identified 

and such experts may be unwilling or 

unable to certify when honeybee colony 

losses were specifically due to CCD. 

Also, changes in the regulations reflect 

that a payment may be made even if the 

lost bees are not replaced. 

This rule also makes technical 

corrections to the regulations in 7 CFR 

part 1421 for Marketing Assistance 

Loans and Loan Deficiency Payments to 

correct language in several provisions to 

be consistent throughout the 

regulations. The MAL and LDP final 

rule as authorized by the 2008 Farm Bill 

were published in the Federal Register 

on April 7, 2009 (74 FR 15644–15657). 

This rule removes a reference to 

‘‘individual’’ and replaces it with a 

reference to ‘‘person,’’ to be consistent 

with the rest of the part. Flaxseed was 

referenced in two different paragraphs 

about determination of eligible 

commodity; the incorrect reference in 

§ 1421.5 is removed with this rule. 

Other minor technical corrections 

include correcting typos and correcting 

a reference to authorized warehouses. 

Another technical change is an 

amendment to language in 

§ 1421.104(a)(1) to remove language 

about mandatory lien searches. Such 

searches are for the purpose of 

protecting CCC’s interests only and need 

not be addressed in the regulations at 

all. Further, in the case of marketing 

loans for commodities stored in a 

commercial warehouse, CCC’s interest is 

usually protected by possession of the 

warehouse receipt. As amended the rule 

specifies simply that CCC may conduct 

lien searches and perfect a lien under 

State Law as it deems warranted to 

protect its own interests. 

This rule also makes clarifying 

amendments and technical corrections 

to SURE. The final rule for SURE as 

authorized by the 2008 Farm Bill was 

published in the Federal Register on 

December 28, 2009 (74 FR 68480– 

68498) and implemented SURE in 7 

CFR part 760, subpart G. Originally the 

implementation plans for SURE was to 

have a fully automated system; now the 

system will be manual. As a result, we 

have reconsidered the information 

available and how best to administer 

SURE. One of the key issues was 

weighting the counter-cyclical yield for 

comparison to the weighted adjusted 

APH yield and weighted adjusted NAP 

approved yield as applicable. 

In § 760.638(c), we specify that the 

‘‘counter-cyclical yield for a crop on a 

farm will be weighted based on total 

planted and prevented planted acres in 

the county for the current crop year.’’ In 

a fully automated system, we could 

have set it to automatically pull the 

information required for the calculation. 

However, in a manual system, it would 

be unnecessarily burdensome 

administratively. Therefore, to ease the 

administrative burden, we are revising 

the regulation to not specify how the 

counter-cyclical yield will be weighted 

and in the short run this may simply be 

based on the DCP base acres on the 

farms involved in the SURE farm. Under 

SURE, all of the producer’s normal 

(from an FSA administrative standpoint) 

‘‘farms’’ (each of which may have a 

separate schedule of yields) are treated 

as one SURE ‘‘farm’’—therefore requiring 

weighting. The 2008 Farm Bill does not 

specify precisely how these calculations 

will be made. The rule change improves 

FSA’s ability to make timely payments 

to farmers in SURE, which is designed 

to counterbalance current market trends. 

In the SURE final rule, a flowchart 

was published in the preamble showing 

the SURE calculations. We realize that 

in the rule portion we inadvertently left 

out a factor in the calculation. 

Therefore, we are correcting 

§ 760.638(d)(2) to specify that in the 

case of crops that were waived in for 

NAP or RMA coverage the weighted 

counter-cyclical yield will be calculated 

as 65 percent of county expected yield 

or counter-cyclical yield. 

Eligibility of Foreign Persons Clarifying 

Amendment 

This rule clarifies provisions that 

limit the eligibility of foreign persons 

for FSA and CCC program payments in 

7 CFR part 1400. The regulations 

governing the eligibility of foreign 

persons for payments are being 

amended to conform with the specific 

statutory provisions providing for that 

limitation, as amended by the 2008 

Farm Bill. 

Notice and Comment 

These regulations are exempt from the 

notice and comment requirements of the 

Administrative Procedure Act (5 U.S.C. 

553), as specified in section 1601(c) of 

the 2008 Farm Bill, which requires that 

the regulations be promulgated and 

administered without regard to the 

notice and comment provisions of 

section 553 of title 5 of the United States 

Code or the Statement of Policy of the 

Secretary of Agriculture effective July 

24, 1971, (36 FR 13804) relating to 

notices of proposed rulemaking and 

public participation in rulemaking. 

Executive Order 12866 

The Office of Management and Budget 

(OMB) has designated this rule as not 

significant under Executive Order 12866 

and, therefore, OMB has not reviewed 

this final rule. 

Regulatory Flexibility Act 

This rule is not subject to the 

Regulatory Flexibility Act since CCC 

and FSA are not required to publish a 

notice of proposed rulemaking for this 

rule. 

Environmental Review 

The environmental impacts of this 

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 FSA regulations for 

compliance with NEPA (7 CFR part 


jlentini on DSKJ8SOYB1PROD with RULES
19188 Federal Register / Vol. 75, No. 71 / Wednesday, April 14, 2010 / Rules and Regulations 

799). FSA has determined that 

participation in acreage set-aside, 

acreage allotment, and other similar 

programs to those in 7 CFR 1412 will 

not significantly affect the quality of the 

human environment (7 CFR part 

799.9(d)). Therefore no environmental 

assessment or environmental impact 

statement will be prepared. 

Executive Order 12372 

This program is not subject to 

Executive Order 12372, which requires 

consultation with State and local 

officials. See the notice related to 7 CFR 

part 3015, subpart V, published in the 

Federal Register on June 24, 1983 (48 

FR 29115). 

Executive Order 12988 

This rule has been reviewed under 

Executive Order 12988. This rule 

relaxes some previous requirements and 

contains no provisions that are 

retroactively more restrictive. It does not 

preempt State or local laws, regulations, 

or policies unless they present an 

irreconcilable conflict with this rule. 

Before any judicial action may be 

brought regarding the provisions of this 

rule the administrative appeal 

provisions of 7 CFR parts 11 and 780 

must be exhausted. 

Executive Order 13132 

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. 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 

The policies contained in this rule do 

not impose substantial unreimbursed 

direct compliance costs on Indian Tribal 

governments or have Tribal implications 

that preempt Tribal law. 

Unfunded Mandates 

This rule contains no Federal 

mandates under the regulatory 

provisions of Title II of the Unfunded 

Mandates Reform Act of 1995 (UMRA) 

for State, local, and Tribal government 

or the private sector. In addition, CCC 

was not required to publish a notice of 

proposed rulemaking for this rule. 

Therefore, this rule is not subject to the 

requirements of sections 202 and 205 of 

UMRA. 

Federal Assistance Programs 

The title and number of the Federal 

assistance program, as found in the 

Catalog of Federal Domestic Assistance, 

to which this final rule applies are: 

Direct and Counter-Cyclical Program, 

10.055. ELAP, LFP, and SURE, 10.090. 

Commodity Loans and Loan Deficiency 

Payments, 10.051. 

Paperwork Reduction Act 

The regulations in this rule are 

exempt from the requirements of the 

Paperwork Reduction Act (44 U.S.C. 

Chapter 35), as specified in section 

1601(c)(2) of the 2008 Farm Bill, which 

provides that these regulations be 

promulgated and administered without 

regard to the Paperwork Reduction Act. 

E-Government Act Compliance 

CCC 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 

7 CFR Part 760 

Dairy products, Indemnity payments, 

Pesticide and pests, Reporting and 

recordkeeping requirements. 

7 CFR Part 1400 

Agriculture, Loan programs— 

agriculture, Conservation, Price support 

programs. 

7 CFR Part 1412 

Cotton, Feed grains, Oilseeds, 

Peanuts, Price support programs, 

Reporting and recordkeeping 

requirements, Rice, Soil conservation, 

Wheat. 

7 CFR Part 1421 

Barley, Feed grains, Grains, Loan 

programs—agriculture, Oats, Oilseeds, 

Peanuts, Price support programs, 

Reporting and recordkeeping 

requirements, Soybeans, Surety bonds, 

Warehouses, Wheat. 

■ For the reasons discussed above, this 

rule amends 7 CFR parts 760, 1400, 

1412, and 1421 as follows: 

PART 760—INDEMNITY PAYMENT 

PROGRAMS 

■ 1. The authority citation for part 760 

continues to read as follows: 

Authority: 7 U.S.C. 4501, 7 U.S.C. 1531, 16 

U.S.C. 3801, note, and 19 U.S.C. 2497; Title 

III, Pub. L. 109–234, 120 Stat. 474; Title IX, 

Pub. L. 110–28, 121 Stat. 211, and Sec. 748, 

Pub. L. 111–80, 123 Stat. 2131. 

■ 2. Amend § 760.203 as follows: 

■ a. In paragraph (h), third sentence, 

add the word ‘‘acceptable’’ before the 

word ‘‘documentation’’ and 

■ b. In paragraph (h), remove the last 

sentence and add two sentences in its 

place to read as set forth below. 

§ 760.203 Eligible losses, adverse weather, 

and other loss conditions. 

* * * * * 

(h)* * * Except for 2008 and 2009 

honeybee losses, acceptable 

documentation must include an 

acceptable colony collapse disorder 

certification by an independent third 

party as determined by the Deputy 

Administrator, plus any other 

documentation requested by FSA. For 

2008 and 2009 honeybee losses such an 

independent certification is not required 

in all cases, but rather a self-certification 

by the honeybee producer as 

determined acceptable by the Deputy 

Administrator may be allowed in 

addition to whatever other 

documentation might be requested. 

* * * * * 

■ 3. Revise § 760.206, paragraph (d), to 

read as follows: 

§ 760.206 Notice of loss and application 

process. 

* * * * * 

(d) For the loss of honeybee colonies 

due to colony collapse disorder, the 

participant must also provide acceptable 

documentation or certification that the 

loss of the honeybee colony was due to 

colony collapse disorder. Except for 

2008 and 2009 honeybee colony losses, 

acceptable documentation must include 

an independent third party certification 

determined acceptable by the Deputy 

Administrator, plus such additional 

information and documentation as may 

be requested. For 2008 and 2009 

honeybee colony losses a selfcertification may be accepted by FSA 

together with any additional 

information demanded by FSA as 

determined appropriate by the Deputy 

Administrator. 

* * * * * 

■ 4. Revise § 760.210, paragraphs (b) 

and (c), to read as follows: 

§ 760.210 Honeybee payment calculations. 

* * * * * 

(b) An eligible honeybee producer 

may receive payments for honeybee 

colony losses due to an eligible adverse 

weather or eligible loss condition, as 

provided in § 760.203(h), based on 60 

percent of the average fair market value 

for the number of honeybee colonies 

that were damaged or destroyed due to 

an eligible adverse weather or eligible 

loss condition, as computed using 

nationwide prices unless some other 


jlentini on DSKJ8SOYB1PROD with RULES
Federal Register / Vol. 75, No. 71 / Wednesday, April 14, 2010 / Rules and Regulations 19189 

price data is approved for use by the 

Deputy Administrator, for losses in 

excess of normal honeybee mortality, as 

determined by the Deputy 

Administrator. 

(c) An eligible honeybee producer 

may receive payments for honeybee 

hive losses due to an eligible adverse 

weather or eligible loss condition, as 

provided in § 760.203(h), based on 60 

percent of the average fair market value 

for the number of honeybee hives that 

were damaged or destroyed due to an 

eligible adverse weather or eligible loss 

condition, as computed using 

nationwide prices unless some other 

price data is approved for use by the 

Deputy Administrator. 

* * * * * 

■ 5. Revise § 760.211, paragraph (b), to 

read as follows: 

§ 760.211 Farm-raised fish payment 

calculations. 

* * * * * 

(b) An eligible producer of farm-raised 

game or sport fish may receive 

payments for death losses of farm-raised 

fish due to an eligible adverse weather 

or eligible loss condition, as provided in 

§ 760.203(i), based on 60 percent of the 

average fair market value of the game 

fish or sport fish that died as a direct 

result of an eligible adverse weather or 

eligible loss condition, as computed 

using nationwide prices unless some 

other price data is approved for use by 

the Deputy Administrator. 

* * * * * 

§ 760.304 [Amended] 

■ 6. Amend § 760.304 as follows: 

■ a. In paragraph (a)(2), remove the 

words ‘‘on the beginning date’’ and add, 

in their place, the words ‘‘in the county’’. 

■ b. In paragraph (a)(2)(i), remove the 

words ‘‘Of the qualifying drought 

during’’ and add, in their place, the 

word ‘‘During’’. 

■ 7. Revise § 760.638, paragraphs (c) 

and (d)(2), to read as follows: 

§ 760.638 Determination of SURE yield. 

* * * * * 

(c) The counter-cyclical yield for a 

crop on a SURE farm will be weighted 

in such manner as FSA deems fit taking 

into account a desire for a consistent 

system and FSA’s ability to make timely 

yield determinations. 

(d)* * * 

(2) The SURE yield will be the higher 

of the yield calculated using the method 

in paragraph (d)(1) of this section or 65 

percent of the weighted counter-cyclical 

yield as determined in paragraph (c) of 

this section. 

* * * * * 

PART 1400—PAYMENT LIMITATION 

AND PAYMENT ELIGIBILITY FOR 2009 

AND SUBSEQUENT CROP, PROGRAM, 

OR FISCAL YEARS 

■ 8. The authority citation for part 1400 

continues to read as follows: 

Authority: 7 U.S.C. 1308, 1308–1, 1308–2, 

1308–3, 1308–3a, 1308–4, and 1308–5. 

■ 9. Amend § 1400.401 by revising 

paragraph (a) to read as follows: 

§ 1400.401 Eligibility 

(a) Subject to the conditions set out in 

paragraphs (b) and (c) of this section, 

any person who is not a citizen of the 

United States or an alien lawfully 

admitted into the United States for 

permanent residence under the 

Immigration and Nationality Act (8 

U.S.C. 1101–1778) will be ineligible to 

receive any type of loans or payments 

made available under Title I of the 

Food, Conservation, and Energy Act of 

2008, the Agricultural Market Transition 

Act, the Commodity Credit Corporation 

Charter Act (15 U.S.C. 714–714o), or 

subtitle D of Title XII of the Food 

Security Act of 1985 (16 U.S.C. 3831– 

3836), or under any contract entered 

into under Title XII of that Act (16 

U.S.C. 3801–3845), with respect to any 

commodity produced, or land set aside 

from production, on a farm that is 

owned or operated by such person, 

unless such person is an individual who 

is providing land, capital, and a 

substantial amount of personal labor in 

the production of crops on such farm. 

Likewise, and subject to the same 

conditions, such persons may be 

ineligible for payments under any other 

program which by its own regulations 

specifically provides for such an 

ineligibility and adopts these 

regulations. 

* * * * * 

PART 1412—DIRECT AND COUNTER– 

CYCLICAL PROGRAM AND AVERAGE 

CROP REVENUE ELECTION 

PROGRAM FOR THE 2008 AND 

SUBSEQUENT CROP YEARS 

■ 10. The authority citation for part 

1412 continues to read as follows: 

Authority: 7 U.S.C. 7911–7918, 7951–7956, 

8711–8719, 8751–8756, and 8781; and 15 

U.S.C. 714b and 714c. 

■ 11. Amend § 1412.3 by adding 

definitions, in alphabetical order, for 

‘‘ACRE guarantee price,’’ ‘‘ACRE plug 

yield,’’ ‘‘ACRE price,’’ Actual farm 

production,’’ ‘‘Actual farm revenue,’’ 

‘‘Actual farm yield,’’ ‘‘Actual State 

yield,’’ ‘‘Actual State revenue,’’ ‘‘Actual 

yield per planted acre,’’ ‘‘Benchmark 

farm yield,’’ ‘‘Benchmark State yield,’’ 

‘‘Contract period,’’ ‘‘Double-cropping,’’ 

‘‘Farm ACRE guarantee,’’ ‘‘Initial crop,’’ 

‘‘Limited resource farmer,’’ ‘‘Medium 

grain rice,’’ ‘‘Minimum and maximum 

guarantee,’’ ‘‘National loan rate,’’ ‘‘Per 

acre producer-paid crop insurance 

premium,’’ ‘‘Planted acres for a State,’’ 

‘‘Planted and considered planted 

(P&CP),’’ ‘‘Replacement crop,’’ ‘‘Reseeded 

or replanted crop,’’ ‘‘Socially 

disadvantaged farmer or rancher,’’ and 

‘‘State ACRE guarantee,’’ to read as 

follows: 

§ 1412.3 Definitions. 

* * * * * 

ACRE guarantee price means the 

simple average, as determined by CCC, 

of the national average market prices of 

the covered commodity or peanuts for 

the most recent two crop years 

preceding the relevant current crop 

year. For example, for the 2009 program 

the relevant crop year is the 2009 crop 

year. Therefore, for the 2009 program, 

the ACRE guarantee price for the 

covered commodity or peanuts is equal 

to the simple average of the national 

average market prices of the covered 

commodity or peanuts for the 2007 and 

2008 crops. 

ACRE plug yield means the resulting 

yield determined by taking the 

applicable NASS county average yield 

for the covered commodity or peanuts, 

by practice if applicable, and 

multiplying it by 95 percent. The ACRE 

plug yield may be used by a farm in 

establishing an initial benchmark farm 

yield or reporting actual production in 

accordance with instructions issued by 

the Deputy Administrator. The ACRE 

plug yield is also used on a farm for a 

covered commodity or peanuts in a year 

where there are no acres of the covered 

commodity or peanuts planted. The 

ACRE plug yield may be found on the 

FSA Web site at: http:// 

www.fsa.usda.gov/dcp/ by clicking 

‘‘ACRE County Yields.’’ ACRE plug 

yields are used in benchmark farm 

yields. If the National Agricultural 

Statistical Service (NASS) data is not 

available for a particular practice of a 

covered commodity or peanuts from 

which an ACRE plug yield can be 

established, the Deputy Administrator 

may establish an ACRE plug yield for 

the practice of the covered commodity 

or peanuts based a computation of 

multiplying 95 percent times the yield 

determined based on production data 

available from FSA farm records in the 

county, or in the event sufficient records 

do not exist, another data source 

determined appropriate by the Deputy 

Administrator. 


jlentini on DSKJ8SOYB1PROD with RULES
19190 Federal Register / Vol. 75, No. 71 / Wednesday, April 14, 2010 / Rules and Regulations 

ACRE price means the higher of the 

following, as determined by CCC, for the 

covered commodity or peanuts: 

(1) The national average price 

received by producers during the 12- 

month marketing year (as defined in this 

part) for the relevant current crop of the 

covered commodity or peanuts (the 

relevant current crop for a program year 

is the corresponding crop for 

commodity for that year—for example, 

the current crop for the 2009 program is 

the 2009 crop), or 

(2) 70 percent of the marketing 

assistance loan rate for the relevant 

current crop of the commodity under 7 

U.S.C. 8731–8757. 

Actual farm production means all of 

a farm’s harvested and appraised 

production, including grazed acres, of a 

covered commodity or peanuts. 

Appraisals must be performed by 

appraisers acceptable to FSA. 

Appraisals performed according to the 

Non-Insured Crop Disaster Assistance 

Program (NAP) or crop insurance 

guidelines are generally deemed 

acceptable to FSA for DCP and ACRE 

Program purposes. 

Actual farm revenue means the per 

acre amount computed by multiplying 

the actual farm yield, which is a per 

acre amount, of a covered commodity or 

peanuts times the ACRE price for the 

relevant current crop year. The relevant 

current crop year for these and other 

purposes is the crop year that 

corresponds to the calendar year in 

which the relevant program year ends. 

Therefore, for the 2009 contract or 2009 

program, the relevant crop year would 

be the 2009 crop (that is, the crop 

considered to be the crop for the 2009 

crop year). 

Actual farm yield means for the 

relevant current crop year, the per acre 

amount determined by dividing the 

actual farm production of a covered 

commodity or peanuts by the farm’s 

total planted and considered planted 

acres of the covered commodity or 

peanuts. 

Actual State yield means the State’s 

per acre amount for the relevant current 

crop year for a commodity determined 

by dividing the actual production in the 

State of the covered commodity or 

peanuts by the total planted acres of the 

covered commodity or peanuts in the 

State. 

Actual State revenue means the per 

acre amount for a covered commodity or 

peanuts determined for the relevant 

current crop year by multiplying the 

actual State yield by the covered 

commodity or peanuts times the ACRE 

price. 

Average yield per planted acre means 

the actual farm production of a covered 

commodity or peanuts for a year 

divided by the farm’s planted acres. 

* * * * * 

Benchmark farm yield means, except 

as otherwise provided, a per acre yield 

for a covered commodity or peanuts 

computed using the Olympic average of 

the average yield per planted acre for 

the farm for the commodity for the 5 

most recent crop years. The term 

‘‘Olympic average’’ means that the 

highest and lowest per acre yields for 

the 5 years will be eliminated and the 

remaining annual entries will be 

averaged. CCC may make such 

adjustments as it deems necessary to 

create a fair yield for the farm so as to 

ensure the integrity of the ACRE 

Program. For purposes of determining a 

benchmark farm yield, yields on planted 

acres only will be considered except to 

the extent that the farm does not have 

a sufficient history to make a fair yield 

determination in which case a yield 

may be assigned by CCC. 

Benchmark State yield means for a 

covered commodity or peanuts a per 

acre yield computed using the Olympic 

average of the average yield per planted 

acre for the State for the commodity for 

the 5 most recent crop years. To the 

extent practicable, it will be calculated 

using data from NASS. The benchmark 

State yield is used in determining the 

State ACRE guarantee. CCC may make 

such adjustments in these yields as it 

deems necessary to provide for a fair 

yield and to ensure the integrity of the 

program. 

* * * * * 

Contract period means the 

compliance period set out for the 

contract for the particular program year. 

The program year is designated in item 

1 of the contract. Contracts for different 

program years will be referenced by 

their program year. Thus, for example, 

a reference to the ‘‘2009 contract’’ means 

the contract for the 2009 program year 

and the relevant current crop for a 

program year is the corresponding crop 

for that commodity. Therefore, the 

relevant current crop for the 2009 

program is, with respect to a particular 

commodity, the 2009 crop. References 

to the ‘‘contract’’ period refer to the 

compliance period for the particular 

program year. The compliance periods 

for the various program years are as 

follows: 

(1) For the 2009 contract (and 

therefore for the 2009 program), the 

period that begins on October 1, 2008 

and ends on September 30, 2009; 

(2) For the 2010 contract, the period 

that begins on October 1, 2009 and ends 

on September 30, 2010; 

(3) For the 2011 contract, the period 

that begins on October 1, 2010 and ends 

on September 30, 2011; 

(4) For the 2012 contract, the period 

that begins on October 1, 2011 and ends 

on September 30, 2012. 

* * * * * 

Double-cropping means for covered 

commodities and peanuts, 

notwithstanding the meaning in 

§ 1412.47(e) for fruits and vegetables, 

the planting of a covered commodity or 

peanuts for harvest in a crop year, in 

cycle with another covered commodity 

or peanuts on the same acres for harvest 

in the same crop year in counties that 

have been determined to be areas where 

there is determined to be substantial, 

successful and long-term double 

cropping of the crop and where the 

producer has followed customary 

production techniques and planting 

deadlines as determined by CCC (that is, 

using techniques and deadlines used by 

the majority of farmers in the region to 

double crop the particular crops 

involved). In a county determined 

capable of supporting such doublecropping the covered commodities or 

peanuts, as determined by CCC, both an 

initial crop and a subsequent crop will 

be considered planted or prevented 

planted acres for the purpose of Subpart 

G of this part. Notwithstanding any of 

the provisions of § 718.103, in those 

instances where the subsequently 

planted or approved prevented planted 

covered commodity or peanuts cannot 

be recognized as double-cropped 

acreage under this definition, the 

subsequently planted covered 

commodity or peanuts will not be 

considered planted or prevented 

planted for any purpose. 

* * * * * 

Farm ACRE guarantee means, for a 

crop year of a covered commodity or 

peanuts, the per acre producer-paid 

crop insurance premium (if any) added 

to the result of multiplying the 

benchmark farm yield, which is a per 

acre amount, times the ACRE guarantee 

price. The farm ACRE guarantee is used 

in determining whether a farm is 

eligible for ACRE payments for a 

covered commodity or peanuts. 

* * * * * 

Initial crop means acreage of a 

covered commodity or peanuts planted 

or approved as prevented planted for 

harvest as peanuts, grain, or lint. The 

initial crop includes reseeded or 

replanted crop acreage. 

Limited resource farmer means, as 

determined in accordance with 

§ 1412.51, a farmer or rancher who 

meets both of the following criteria: 


jlentini on DSKJ8SOYB1PROD with RULES
Federal Register / Vol. 75, No. 71 / Wednesday, April 14, 2010 / Rules and Regulations 19191 

(1) The person did not have, counting 

both direct and indirect interests, total 

gross farm sales for all farms in which 

that person has an interest of not more 

than the triggering level in both of the 

two calendar years that precede the 

calendar year in which the contract year 

begins. The triggering level is an 

indexed number that was originally set 

at $100,000. Beginning in October 2004, 

that number has been adjusted for 

inflation using the Prices Paid by the 

Farmer Index compiled by NASS. The 

triggering level for the DCP or ACRE 

contract will be the indexed number 

(see http://www.lrftool.sc.egov.usda.gov/ 

tool.asp) as adjusted for the fiscal year 

that begins on the first day of the 

contract period. 

(2) The person’s total household 

income is at or below the national 

poverty level for a family of 4 or less 

than 50 percent of county median 

household income in each of the two 

most recent calendar years ending 

before the end of the program year, as 

CCC determines using U.S. Commerce 

Department Data. 

* * * * * 

Medium grain rice means medium 

and short grain rice. 

Minimum and maximum guarantee 

means, with respect to the State ACRE 

guarantee for each of the 2010 through 

2012 crop years, the adjusted amounts 

that assure that the State ACRE 

guarantee for a program year for a 

covered commodity or peanuts will not 

decrease or increase more than 10 

percent from the announced State ACRE 

guarantee for the preceding program 

year. 

National loan rate means the loan rate 

established as specified in § 1421.9 of 

this chapter. 

* * * * * 

Per acre producer-paid crop 

insurance premium means the 

insurance premiums paid by all 

producers of a farm for insurance on a 

covered commodity or peanuts, 

provided that at least some of the 

insured crop acreage is subject to a DCP 

contract and ACRE contract, divided by 

the total acres of the covered commodity 

or peanuts covered by the insurance; 

regardless of whether or not all of the 

acres insured are included on the farm’s 

reported acreage for other programs, or 

are subject to a DCP contract and ACRE 

contract. Fees for catastrophic risk 

protection plan of insurance coverage or 

noninsured crop disaster assistance 

program coverage are not per acre 

producer-paid crop insurance 

premiums. Example: Producers A, B, 

and C have an interest in barley on a 

farm and the farm is enrolled in ACRE. 

Producers A and B paid crop insurance 

premiums totaling $800 on 100 insured 

barley acres. Regardless of how many 

acres of barley are planted, the per acre 

producer-paid crop insurance premium 

for barley is equal to $8. 

Planted acres for a State means for: 

(1) Corn, sorghum, barley, oats, and 

wheat, the sum of harvested acres in a 

State, as reported by NASS and the sum 

of failed acres in a State, as reported by 

producers to FSA. 

(2) All other crops, the sum of planted 

acres in a State, as reported by NASS. 

(3) Crops where NASS data is not 

available, the planted acres as 

determined by CCC using other sources. 

Planted and considered planted 

(P&CP) means, with respect to an 

acreage amount, the sum of the planted 

and prevented planted acres approved 

by the FSA county committee on the 

farm for a crop. For the purposes of this 

part, P&CP is limited to initially planted 

or prevented planted crop acreage, 

except for crops planted in an approved 

double-cropping sequence. Replacement 

crop acreage is not included as P&CP. 

* * * * * 

Replacement crop means the planting 

or approved prevented planting of any 

crop for harvest following the failed 

planting or prevented planted acreage of 

a covered commodity or peanuts not in 

a recognized double-cropping sequence 

(as specified in this section). 

Replacement crops that are covered 

commodities or peanuts are not eligible 

for planted and considered planted 

credit under this part and cannot 

generate payments under this part. 

Reseeded or replanted crop means the 

second planting of a covered commodity 

or peanut crop on the same acreage after 

the first planting of that same crop has 

failed. 

Socially disadvantaged farmer or 

rancher means a farmer or rancher who 

is a member of a socially disadvantaged 

group whose members have been 

subjected to racial or ethnic prejudice 

because of their identity as members of 

a group without regard to their 

individual qualities. Gender is not 

included as a covered group. Socially 

disadvantaged groups include the 

following and no others unless 

approved in writing by the Deputy 

Administrator: 

(1) American Indians or Alaskan 

Natives, 

(2) Asians or Asian-Americans, 

(3) Blacks or African-Americans, 

(4) Hispanics or Hispanic-Americans, 

and 

(5) Native Hawaiians or other Pacific 

Islanders. 

State ACRE guarantee means the per 

acre amount for the crop which is 90 

percent of the benchmark State yield 

times the ACRE guarantee price, subject 

to the minimum and maximum 

guarantee specified in these regulations. 

* * * * * 

■ 12. Amend § 1412.41 as follows: 

■ a. Revise paragraph (a)(1) and (a)(2)(i) 

to read as set forth below, 

■ b. Amend paragraph (a)(3) by 

removing the words ‘‘on or before June 

1’’ and adding, in their place, the words 

‘‘by the date specified in paragraph 

(a)(2)(i) of this section’’, and 

■ c. Amend paragraph (b), in the first 

sentence, by removing the words ‘‘on or 

before June 1 of the year of the contract’’ 

and adding, in their place, the words 

‘‘by the enrollment date specified in 

paragraph (a)(2)(i) of this section’’. 

§ 1412.41 Direct and counter-cyclical 

program contract or ACRE program 

contract. 

(a) * * * 

(1) With respect to fiscal year 2008 

payments, CCC will, through the date 

announced by CCC, entertain offers for 

DCP contracts by eligible producers of 

covered commodities and peanuts. With 

respect to fiscal year 2009 payments, 

CCC will entertain offers by eligible 

producers for an annual DCP or ACRE 

program contract through August 14, 

2009. With respect to fiscal years 2010 

through 2012 payments, CCC will 

annually allow offers for a DCP or ACRE 

program contract by eligible producers 

on a farm having base acres with respect 

to a covered commodity or peanuts, 

through June 1 of each such fiscal year. 

(2)(i) Eligible producers must execute 

and submit a DCP or ACRE program 

contract and furnish supportive and 

necessary contractual documents to the 

county FSA office where the records for 

the program farm are administratively 

maintained not later than August 14, 

2009, for 2009 fiscal year contracts and 

not later than June 1 of the applicable 

year for 2010 through 2012 fiscal year 

contracts. 

* * * * * 

§ 1412.45 [Amended] 

■ 13. Amend § 1412.45 by removing 

paragraph (d). 

§ 1412.51 [Amended] 

■ 14. Amend § 1412.51 as follows: 

■ a. In paragraph (c), in the second 

sentence, remove the words ‘‘whollyowned’’ and add, in their place, the 

words ‘‘at least 50 percent owned’’ and 

■ b. In paragraph (c), in the third 

sentence, remove the words ‘‘each 

individual or entity with an interest in 

the entity must be a socially 

disadvantaged or limited resource 

farmer or rancher ’’ and add, in their 


jlentini on DSKJ8SOYB1PROD with RULES
19192 Federal Register / Vol. 75, No. 71 / Wednesday, April 14, 2010 / Rules and Regulations 

place, the words ‘‘at least 50 percent of 

the ownership interest in the entity 

must be socially disadvantaged or 

limited resource farmers or ranchers’’. 

■ 15. Amend § 1412.53 as follows: 

■ a. In paragraph (b)(1)(ii), remove the 

words ‘‘2008 crop year’’ and add, in their 

place, the words ‘‘2008 and 2009 crop 

years,’’ 

■ b. Remove paragraph (b)(1)(ii)(G) and 

redesignate paragraphs (b)(1)(ii)(H) 

through (b)(1)(ii)(K) as paragraphs 

(b)(1)(ii)(G) through (b)(1)(ii)(J), 

■ c. Redesignate paragraph (b)(1)(ii)(L) 

as paragraph (b)(1)(ii)(O), 

■ d. Add paragraphs (b)(1)(ii)(K) 

through (b)(1)(ii)(N) to read as set forth 

below, 

■ e. Add paragraph (b)(1)(iii) to read as 

set forth below, 

§ 1412.53 Counter-cyclical payment 

provisions. 

* * * * * 

(b) * * * 

(1) * * * 

(ii) * * * 

(K) Dry Peas—$5.40/cwt. (2009 crop 

only). 

(L) Lentils—$11.28/cwt. (2009 crop 

only). 

(M) Small Chickpeas—$7.43/cwt. 

(2009 crop only). 

(N) Large Chickpeas—$11.28/cwt. 

(2009 crop only). 

* * * * * 

(iii) For the 2010 through 2012 crop 

years the following rates: 

(A) Wheat—$2.94/bu. 

(B) Corn—$1.95/bu. 

(C) Grain sorghum—$1.95/bu. 

(D) Barley—$1.95/bu. 

(E) Oats—$1.39/bu. 

(F) Upland cotton—$0.52/lb. 

(G) Long grain rice—$6.50/cwt. 

(H) Medium grain rice—$6.50/cwt. 

(I) Soybeans—$5.00/bu. 

(J) Other oilseeds—$10.09/cwt. 

(K) Dry Peas—$5.40/cwt. 

(L) Lentils—$11.28/cwt. 

(M) Small Chickpeas—$7.43/cwt. 

(N) Large Chickpeas—$11.28/cwt. 

(O) Peanuts—$355.00/ton. 

* * * * * 

■ 16. Amend § 1412.61 as follows: 

■ a. In paragraph (a), in the first 

sentence, remove the words ‘‘paragraph 

(b)’’ and add, in their place, the words 

‘‘paragraphs (b) and (c)’’ and 

■ b. Add paragraph (c) to read as set 

forth below. 

§ 1412.61 Contract violations. 

* * * * * 

(c) If there is a violation of § 1412.66 

due to an inaccurate report of either 

acreage or production and CCC 

determines that the violation was not a 

knowing and willing falsification or 

misrepresentation by producers on the 

contract under paragraph (a) of this 

section, payments may be made to the 

producers specified on the contract 

based on determined acreage and 

production. 

§ 1412.66 [Amended] 

■ 17. Amend § 1412.66 as follows: 

■ a. In paragraph (b), first sentence, 

remove the word ‘‘Producers’’ at the 

beginning of the sentence and add, in its 

place, the words ‘‘As a condition of 

eligibility for payments under this part, 

producers’’ 

■ b. In paragraph (b), second sentence, 

remove the word ‘‘The’’ at the beginning 

of the sentence and add, in its place, the 

words ‘‘At the discretion of CCC, the’’. 

■ 18. Amend § 1412.67 as follows: 

■ a. Revise paragraphs (a) and (b) to read 

as set forth below, 

■ b. In paragraph (c)(2), remove the 

words ‘‘damage or loss’’ and add, in their 

place, the words ‘‘prevented planting,’’ 

and 

■ c. Remove paragraph (d). 

§ 1412.67 Notices of loss. 

(a) If a notice of loss for prevented 

planting under a policy or plan of 

insurance or pursuant to part 1437 of 

this chapter has not already been filed, 

at least one producer having a share of 

a crop intended to be planted pursuant 

to § 1412.48 or a having a share of a crop 

of a covered commodity or peanuts on 

a farm enrolled in the ACRE program 

must provide a notice of loss for 

prevented planting to CCC in the 

administrative FSA office for the farm, 

within 15 calendar days after the final 

planting date. 

(b) For a prevented planting notice 

filed in accordance with this section, 

the notice of loss must include: 

(1) Total acreage intended to be 

planted to the crop in the administrative 

county; 

(2) Total acreage planted by the 

producer to the crop in the 

administrative county; 

(3) Whether a purchase, delivery, or 

arrangement for purchase or delivery 

was made for seed, chemicals, fertilizer, 

etc.; and 

(4) When land preparation measures, 

for example, cultivation, were 

completed, and what has been done or 

will be done with the acreage, for 

example, abandoned, replanted, etc. 

* * * * * 

§ 1412.72 [Amended] 

■ 19. Amend § 1412.72 as follows: 

■ a. In paragraph (a), first sentence, 

remove the date ‘‘June 1 of 2009’’ and 

add, in its place, the date ‘‘August 14, 

2009,’’ 

■ b. In paragraph (d) introductory text, 

remove the words ‘‘June 1 of’’ at the end, 

■ c. In paragraph (d)(1), add the words 

‘‘August 14,’’ at the beginning, 

■ d. Redesignate paragraphs (d)(2) 

through (d)(4) as paragraphs (d)(2)(i) 

through (d)(2)(iii), 

■ e. Add new introductory text to 

paragraph (d)(2) to read as set forth 

below, and 

■ f. In paragraph (h), remove the words 

‘‘June 1’’ both times they appear and 

add, in their place, the words ‘‘August 

14, 2009, for the 2009 election period 

and June 1 in each of the 2010, 2011, 

and 2012 fiscal years.’’ 

§ 1412.72 Availability and election of 

alternative approach. 

* * * * * 

(d) * * * 

(2) June 1 of: 

* * * * * 

■ 20. Amend § 1412.73 by adding 

paragraphs (c) and (d) to read as follows: 

§ 1412.73 Sharing of ACRE payments. 

* * * * * 

(c) Shares of ACRE payments will be 

determined based on shares recorded on 

the report of acreage filed in accordance 

with § 1412.66. Each eligible producer 

having a share of covered commodities 

or peanuts planted or considered 

planted on a farm enrolled under an 

ACRE program contract must do both of 

the following to be eligible for their 

share of an ACRE payment: 

(1) Unless otherwise already enrolled 

on the ACRE program contract with a 

share of base acres on the farm, sign the 

ACRE program contract during the 

contract period. 

(2) Have the producer’s share 

recorded on report of acreage filed in 

accordance with part 718 of this title 

and § 1412.66 of this part. 

(d) In a case where a producer has 

failed to sign an ACRE program contract 

for the producer’s reported share of 

covered commodities or peanuts 

planted or considered planted on a farm 

enrolled in accordance with this 

subpart, that producer’s share will not 

receive any consideration for payment 

and will not generate any payment to 

the producer or to any other producer 

on the farm. 

■ 21. Amend § 1412.77 as follows: 

■ a. In paragraph (a), second sentence, 

add the word ‘‘program’’ between the 

words ‘‘ACRE’’ and ‘‘contract’’, and 

■ b. Add paragraph (f) to read as set 

forth below. 

§ 1412.77 Transfer of land and successionin-interest. 

* * * * * 

(f) Producers who have reported a 

share interest on an acreage report of 


jlentini on DSKJ8SOYB1PROD with RULES
Federal Register / Vol. 75, No. 71 / Wednesday, April 14, 2010 / Rules and Regulations 19193 

covered commodities and peanuts 

planted or prevented from being planted 

on a farm are not automatically 

considered successors. In accordance 

with § 1412.73, such producers who 

have not already signed the ACRE 

program contract have until the end of 

the contract period to sign the ACRE 

program contract or that share will not 

receive payment consideration. 

§ 1412.78 [Amended] 

■ 22. In § 1412.78, paragraph (a)(2)(iii), 

remove the date ‘‘2012’’ and add, in its 

place, the words ‘‘the end of the contract 

period’’. 

PART 1421—GRAINS AND SIMILARLY 

HANDLED COMMODITIES— 

MARKETING ASSISTANCE LOANS 

AND LOAN DEFICIENCY PAYMENTS 

FOR 2008 THROUGH 2012 

■ 23. The authority citation for part 

1421 continues to read as follows: 

Authority: 7 U.S.C. 7231–7237 and 7931– 

7936; 15 U.S.C. 714b and 714c, and7 U.S.C. 

8731–8736. 

§ 1421.4 [Amended] 

■ 24. Amend § 1421.4 as follows: 

■ a. In paragraph (a)(1), first sentence, 

remove the words ‘‘an individual’’ and 

add, in their place, the words ‘‘a person’’ 

and 

■ b. In paragraph (e)(1)(ii), remove the 

word ‘‘corporate’’ and add, in its place, 

the word ‘‘cooperate’’. 

§ 1421.5 [Amended] 

■ 25. Amend § 1421.5 as follows: 

■ a. In paragraph (c)(4), first sentence, 

remove the word ‘‘respect’’ and add, in 

its place, the word ‘‘regard’’, and 

■ b. In paragraph (c)(5), first sentence, 

remove the word ‘‘flaxseed,’’. 

■ 26, Amend 1421.104 as follows: 

■ a. Revise paragraph (a)(1) to read as 

set forth below and 

■ b. In paragraph (a)(2) remove the 

words ‘‘paragraph (a)(1) of this section’’ 

and add, in their place, the words ‘‘this 

part’’. 

§ 1421.104 Marketing assistance loan 

making. 

(a)(1) CCC may conduct such lien 

searches, and may perfect its interest in 

loan commodities under State law, as it 

deems to be in its interest. 

* * * * * 

§ 1421.107 [Amended] 

■ 27. Amend § 1421.107 as follows: 

■ a. In paragraph (g)(1), remove the 

words ‘‘under the U.S. Warehouse Act’’, 

and add, in their place, the words ‘‘by 

an authorized warehouse as specified in 

§ 1421.103(c)(1)’’, and 

■ b. In paragraph (g)(2), remove the 

reference to ‘‘paragraph (f)(1) of this 

section’’ and add, in its place, a 

reference to ‘‘paragraph (g)(1) of this 

section.’’ 

Signed in Washington, DC, on April 7, 

2010. 

Carolyn B. Cooksie, 

Acting Administrator, Farm Service Agency, 

and Executive Vice President, Commodity 

Credit Corporation. 

[FR Doc. 2010–8308 Filed 4–13–10; 8:45 am] 

BILLING CODE 3410–05–P 

DEPARTMENT OF TRANSPORTATION 

Federal Aviation Administration 

14 CFR Part 39 

[Docket No. FAA–2007–28377; Directorate 

Identifier 2007–NM–063–AD; Amendment 

39–16257; AD 2010–08–02] 

RIN 2120–AA64 

Airworthiness Directives; Empresa 

Brasileira de Aeronautica S.A. 

(EMBRAER) Model ERJ 170 and ERJ 

190 Airplanes 

AGENCY: Federal Aviation 

Administration (FAA), Department of 

Transportation (DOT). 

ACTION: Final rule. 

SUMMARY: We are adopting a new 

airworthiness directive (AD) for the 

products listed above. This AD results 

from mandatory continuing 

airworthiness information (MCAI) 

originated by an aviation authority of 

another country to identify and correct 

an unsafe condition on an aviation 

product. The MCAI describes the unsafe 

condition as: 

Periodic operational check of the firewall 

hydraulic shutoff valves [FWSOV], made 

during routine maintenance, has revealed 

that the failure rate of that component is 

significantly higher than expected. Such a 

dormant failure, when combined with further 

possible failures, such as engine fire, may 

lead to an unacceptable reduction of safety 

margins. 

The unsafe condition is failure of the 

firewall hydraulic shutoff valve, which, 

in combination with an engine fire, 

could result in the spread of an engine 

fire beyond the firewall. We are issuing 

this AD to require actions to correct the 

unsafe condition on these products. 

DATES: This AD becomes effective May 

19, 2010. 

The Director of the Federal Register 

approved the incorporation by reference 

of certain publications listed in this AD 

as of May 19, 2010. 

ADDRESSES: You may examine the AD 

docket on the Internet at http:// 

www.regulations.gov or in person at the 

U.S. Department of Transportation, 

Docket Operations, M–30, West 

Building Ground Floor, Room W12–140, 

1200 New Jersey Avenue, SE., 

Washington, DC. 

FOR FURTHER INFORMATION CONTACT: 

Kenny Kaulia, Aerospace Engineer, 

International Branch, ANM–116, 

Transport Airplane Directorate, FAA, 

1601 Lind Avenue, SW., Renton, 

Washington 98057–3356; telephone 

(425) 227–2848; fax (425) 227–1149. 

SUPPLEMENTARY INFORMATION: 

Discussion 

We issued a supplemental notice of 

proposed rulemaking (NPRM) to amend 

14 CFR part 39 to include an AD that 

would apply to the specified products. 

That supplemental NPRM was 

published in the Federal Register on 

June 26, 2008 (73 FR 36290). That 

supplemental NPRM proposed to 

correct an unsafe condition for the 

specified products. 

Since that NPRM was issued, Ageˆncia 

Nacional de Aviac ̧a ̃o Civil (ANAC), 

which is the aviation authority for 

Brazil, has issued Brazilian 

Airworthiness Directives 2007–02– 

01R2, and 2007–02–02R2, both effective 

July 17, 2009. The revised MCAI 

references suitable hydraulic shutoff 

valves for replacement valves. (This 

change is explained further in a 

comment from EMBRAER, which is 

discussed below.) The MCAI states: 

Periodic operational check of the firewall 

hydraulic shutoff valves [FWSOV], made 

during routine maintenance, has revealed 

that the failure rate of that component is 

significantly higher than expected. Such a 

dormant failure, when combined with further 

possible failures, such as engine fire, may 

lead to an unacceptable reduction of safety 

margins. 

The unsafe condition is failure of the 

firewall hydraulic shutoff valve, which, 

in combination with an engine fire, 

could result in the spread of an engine 

fire beyond the firewall. The MCAI 

requires repetitive operational checks of 

the firewall hydraulic shutoff valve, and 

if necessary, replacement of the valve. 

You may obtain further information by 

examining the MCAI in the AD docket. 

Comments 

We gave the public the opportunity to 

participate in developing this AD. We 

considered the comments received. 

Request To Revise Unsafe Condition 

Statement 

EMBRAER requests that we revise the 

description of the unsafe condition. 


jlentini on DSKJ8SOYB1PROD with RULES