This section of the FEDERAL REGISTER

contains regulatory documents having general

applicability and legal effect, most of which

are keyed to and codified in the Code of

Federal Regulations, which is published under

50 titles pursuant to 44 U.S.C. 1510.

The Code of Federal Regulations is sold by

the Superintendent of Documents.

Rules and Regulations Federal Register

48013 

Vol. 86, No. 164 

Friday, August 27, 2021 

DEPARTMENT OF AGRICULTURE 

Office of the Secretary 

7 CFR Part 9 

[Docket ID: FSA–2020–0006] 

RIN 0503–AA71 

Coronavirus Food Assistance Program 

2; Producers of Sale-Based 

Commodities and Contract Producers 

AGENCY: Office of the Secretary, 

Department of Agriculture (USDA). 

ACTION: Final rule. 

SUMMARY: This rule amends the 

Coronavirus Food Assistance Program 2 

(CFAP 2) provisions related to 

assistance for producers of sales-based 

commodities and contract producers. 

This rule also announces the deadline 

for submitting CFAP 2 applications and 

clarifies general provisions related to 

equitable relief and refunds. 

DATES: 

Effective date: August 27, 2021. 

Comment due date: With grass seed 

being added as an eligible crop under 

CFAP, we will consider comments on 

the information collection requirements 

under the Paperwork Reduction Act that 

we receive by: October 26, 2021. 

ADDRESSES: We invite you to submit 

comments on the information collection 

requirements. You may submit 

comments by any of the following 

methods: 

• Federal eRulemaking Portal: Go to: 

www.regulations.gov and search for 

Docket ID FSA–2020–0006. Follow the 

online instructions for submitting 

comments. 

• Mail, Hand-Delivery, or Courier: 

Director, Safety Net Division, Farm 

Service Agency, U.S. Department of 

Agriculture, 1400 Independence Avenue 

SW, Stop 0510, Washington, DC 20250– 

0522. In your comment, specify the 

docket ID FS–2020–0006. 

You may also send comments to the 

Desk Officer for Agriculture, Office of 

Information and Regulatory Affairs, 

Office of Management and Budget, 

Washington, DC 20503. 

Comments will be available for 

inspection online at http://

www.regulations.gov. Copies of the 

information collection may be requested 

by contacting Brittany Ramsburg at the 

above address. 

FOR FURTHER INFORMATION CONTACT: 

Kimberly Graham; telephone: (202) 720– 

6825; email: Kimberly.Graham@

usda.gov. Persons with disabilities who 

require alternative means for 

communication should contact the 

USDA Target Center at (202) 720–2600 

(voice) or (844) 433–2774 (toll-free 

nationwide). 

SUPPLEMENTARY INFORMATION: USDA 

established CFAP to assist producers of 

agricultural commodities marketed in 

2020 who faced continuing market 

disruptions, reduced farm-level prices, 

and increased production and marketing 

costs due to COVID–19. CFAP went 

through two rounds of payments (CFAP 

1 and CFAP 2), and the Farm Service 

Agency (FSA) is administering CFAP 2, 

as directed by the Secretary of 

Agriculture. USDA announced CFAP 2 

through a final rule published in the 

Federal Register on September 22, 2020. 

85 FR 59380–59388. A second final rule 

was published on January 19, 2021. 86 

FR 4877–4883. That rule amended 

CFAP 2 provisions and included 

assistance for contract producers of 

swine and poultry (including broilers, 

pullets, layers, chicken eggs, and 

turkeys), who were not originally 

eligible for CFAP 2. After publication of 

that rule, USDA suspended approval of 

applications from contract producers 

while that final rule was under review. 

As a result of that review and for 

consistency with the provisions of the 

Consolidated Appropriations Act, 2021 

(CAA), Public Law 116–260, USDA is 

making changes to the provisions for 

CFAP 2 as described below. These 

changes include adjusting the CFAP 2 

application deadline, changing the 

calculation of payments for sales-based 

commodities, adding grass seed as an 

eligible sales-based commodity, 

changing aspects of the provisions for 

assistance for contract producers, and 

clarifying the applicability of equitable 

relief provisions and provisions 

requiring refunds. 

Application Deadline 

On March 24, 2021, USDA announced 

in a news release that the application 

period for CFAP 2 was reopened for all 

eligible producers for at least 60 days 

beginning on April 5, 2021. This 

reopening allowed USDA to improve 

outreach efforts and ensure that 

producers in socially disadvantaged 

communities were informed and aware 

of the application process. This rule 

announces that the CFAP 2 application 

deadline will be October 12, 2021, and 

amends 7 CFR 9.4 to specify the 

deadline. This deadline applies to all 

producers applying for CFAP 2, 

including producers of sales-based 

commodities and contract producers 

who submit new applications or revise 

previously filed applications due to the 

changes included in this rule. 

Sales-Based Commodities 

Consistent with section 751 of 

Subtitle B of Title VII of Division N of 

CAA, USDA is amending the CFAP 2 

payment calculation for sales-based 

commodities in 7 CFR 9.203(i) and (j) to 

allow eligible producers to substitute 

2018 sales for 2019 sales. Previously, 

payments for producers of sales-based 

commodities were based only on 2019 

sales; however, various conditions 

occurring in 2019 could have adversely 

affected a producer’s amount of sales 

and therefore their CFAP 2 payment. 

CFAP 2 uses a producer’s 2019 sales as 

an approximation of what the producer 

would have expected to market in 2020, 

which could not be determined for most 

producers at the time of application. 

Under the final rule published on 

January 19, 2021, crop insurance 

indemnities under the Federal Crop 

Insurance Act, 7 U.S.C 1501–1524, and 

2019 crop year payments under the 

Noninsured Crop Disaster Assistance 

Program (NAP) and Wildfires and 

Hurricanes Indemnity Program Plus 

(WHIP+), are included as eligible sales 

under 7 CFR 9.202(i) in addition to the 

amount of the producer’s 2019 sales, as 

required by Subtitle B, section 751, of 

the CAA. That change is intended to 

more accurately represent what a 

producer would have expected to have 

marketed in 2020 by taking into account 

commodities that would have been 

available for marketing in 2019 but were 

lost due to natural events. However, 

crop insurance indemnities and NAP 

and WHIP+ program payments for a 


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crop are less than the full amount that 

a producer would have expected to 

receive for marketing the commodity if 

there was no loss. Giving producers the 

option to substitute 2018 sales 

(including 2018 crop insurance 

indemnities and 2018 crop year NAP 

and WHIP+ payments) for 2019 sales 

provides additional flexibility to 

producers who had reduced sales in 

2019. 

In addition, USDA has determined 

that producers of grass seed faced 

continuing market disruptions, low 

farm-level prices, and significant 

marketing costs associated with the 

COVID–19 outbreak, similar to 

producers of commodities that were 

previously determined to be eligible for 

CFAP 2 assistance. As a result, USDA is 

amending the definitions of ‘‘Ineligible 

commodities’’ and ‘‘Sales-based 

commodities’’ in § 9.201 to make grass 

seed an eligible commodity. 

Contract Producers 

The final rule published on January 

19, 2021, added provisions to provide 

assistance for contract producers and 

specified that those payments would be 

issued with remaining funding 

authorized by the Coronavirus Aid, 

Relief, and Economic Security Act 

(CARES Act; Pub. L. 116–136). Contract 

producer payments were suspended 

before any CARES Act funding was used 

to fund those payments. Subtitle B, 

section 751, of the CAA specifically 

directs the Secretary to use not more 

than $1 billion of the additional funding 

provided under the CAA to make 

payments to contract producers of 

livestock and poultry to cover not more 

than 80 percent of their revenue losses, 

as determined by the Secretary of 

Agriculture, from January 1, 2020, 

through December 27, 2020. While CAA 

uses the term ‘‘contract grower’’ and the 

CFAP 2 regulation uses the term 

‘‘contract producer’’ both terms refer to 

and mean the same people or entities; 

this rule uses the term ‘‘contract 

producer,’’ for consistency. Payments to 

contract producers will be funded as 

authorized by the CAA rather than the 

CARES Act. 

This rule also amends the provisions 

for contract producers based on 

additional evaluation of CFAP 2 and 

stakeholder concerns related to the 

payment calculation. The previous final 

rule provided assistance for contract 

producers of broilers, pullets, layers, 

chicken eggs, turkeys, hogs, and pigs. 

After further review, USDA has 

determined that contract producers of 

ducks, geese, pheasants, and quail will 

also be eligible, including contract 

producers of eggs of all eligible poultry 

types. In addition to the listed livestock 

and poultry types, USDA may 

determine that additional livestock and 

poultry types are eligible at a later time. 

These changes are reflected in a new 

definition of ‘‘eligible contract livestock 

or poultry’’ in 7 CFR 9.201, in which 

USDA is also clarifying that contract 

producers of breeding stock of those 

defined eligible livestock and poultry 

are eligible for CFAP 2. Contract 

producers of breeding stock are 

included because those producers may 

have suffered a revenue loss for the 

livestock and poultry, regardless of the 

livestock owner’s intended end use of 

the animals. This rule also amends the 

definition of ‘‘producer’’ in 7 CFR 9.201 

to specify that the requirement that a 

producer must be in the business of 

farming at the time of application does 

not apply to contract producers because 

contract producers may have had 

contracts terminated for reasons outside 

of their control due to COVID–19. 

The final rule published on January 

19, 2021, specified that payments for 

contract producers would be based on a 

comparison of eligible revenue for the 

periods of January 1, 2019, through 

December 27, 2019, and January 1, 2020, 

through December 27, 2020. This rule 

amends the regulation in 7 CFR 9.202(b) 

and 9.203(l) to allow a contract 

producer to elect to use eligible revenue 

from the period of January 1, 2018, 

through December 27, 2018, in lieu of 

during that date range in 2019. This 

change is intended to provide flexibility 

and make the program more equitable 

for contract producers who had reduced 

revenue in 2019 compared to a normal 

year for their operation. 

The payment calculation in the final 

rule published on January 19, 2021, 

specified that payments for contract 

producers would be equal to the eligible 

revenue received from January 1, 2019, 

through December 27, 2019, minus the 

eligible revenue received from January 

1, 2020, through December 27, 2020, 

multiplied by 80 percent. In response to 

additional review and stakeholder 

concerns about certain situations when 

the original calculation would not 

accurately capture a contract producer’s 

loss of eligible revenue due to COVID– 

19, this rule amends the regulation at 7 

CFR 9.203(l)(4) to allow FSA to adjust 

a contract producer’s eligible revenue 

based on information certified by the 

contract producer on supplemental form 

AD–3117B if a contract producer did 

not have a full period of revenue from 

January 1 to December 27 for either 

2018 or 2019, or if the contract producer 

increased their operation size in 2020. 

Information required to calculate these 

adjustments includes a contract 

producer’s square footage increase to the 

operation in 2020, or a contract 

producer’s production or number of 

turns for 2018, 2019, or 2020, as 

applicable. 

This rule also provides assistance in 

7 CFR 9.202(d) and 9.203(m) to 

producers who were not in operation in 

2018 or 2019, who would have been 

ineligible under the previous final rule. 

Assistance for these producers is based 

on their 2020 eligible revenue and the 

average revenue loss level, which will 

be determined by USDA for a 

geographic area based on the best 

available data including, but not limited 

to, losses reported by other contract 

producers for the same area and type of 

livestock or poultry as reported in their 

CFAP 2 applications. 

This rule also specifies that payments 

to contract producers will be calculated 

separately for the categories of livestock 

listed in § 9.203(n). As provided in the 

previous final rule, payments to contract 

producers may be factored if total 

calculated payments exceed the 

available funding under 7 CFR 9.203(o). 

Other Changes 

This rule amends § 9.7(a) to address 

situations where FSA determines that 

the applicant intentionally 

misrepresented either the total amount 

or producer’s share of the commodities, 

acres, sales, or revenue on their 

application. In those cases, the 

producer’s application will be 

disapproved and the participant must 

refund the full payment to FSA with 

interest from the date of disbursement. 

This rule also amends § 9.7(b) to specify 

that the equitable relief provisions of 7 

CFR part 718, subpart D, apply to CFAP 

determinations. 

Notice and Comment, Effective Date, 

and Exemptions 

The Administrative Procedure Act 

(APA), 5 U.S.C. 553(a)(2), provides that 

the notice-and-comment and 30-day 

delay in the effective date requirements 

do not apply when the rule involves 

specified actions, including matters 

relating to benefits. This rule governs 

CFAP for payments to certain 

commodity producers and therefore 

falls within the benefits exemption. 

This rule is exempt from the 

regulatory analysis requirements of the 

Regulatory Flexibility Act (5 U.S.C. 

601–612), as amended by the Small 

Business Regulatory Enforcement 

Fairness Act of 1996 (SBREFA). The 

requirements for the regulatory 

flexibility analysis in 5 U.S.C. 603 and 

604 are specifically tied to the 

requirement for a proposed rule by 

section 553 or any other law; in 


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1This category includes fruits, vegetables, and 

nuts; dry edible beans, lentils, dry edible peas, and 

chickpeas; and commodities including aquaculture, 

turkeys, mink, mohair, rabbits, and others. For more 

information, see the CFAP 2 cost-benefit assessment 

at: https://www.farmers.gov/sites/default/files/ 

documents/CFAP2-CBA-09252020.pdf. 

addition, the definition of rule in 5 

U.S.C. 601 is tied to the publication of 

a proposed rule. 

The Office of Management and Budget 

(OMB) designated this rule as major 

under the Congressional Review Act 

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

Section 808 of the CRA allows an 

agency to make a major regulation 

effective immediately if the agency finds 

there is good cause to do so. The 

beneficiaries of this rule have been 

significantly impacted by the COVID–19 

outbreak, which has resulted in 

significant declines in demand and 

market disruptions. USDA finds that 

notice and public procedure would be 

contrary to the public interest. 

Therefore, even though this rule is a 

major rule for purposes of the 

Congressional Review Act, USDA is not 

required to delay the effective date for 

60 days from the date of publication to 

allow for Congressional review. 

Accordingly, this rule is effective upon 

publication in the Federal Register. 

Executive Orders 12866 and 13563 

Executive Order 12866, ‘‘Regulatory 

Planning and Review,’’ and Executive 

Order 13563, ‘‘Improving Regulation 

and Regulatory Review,’’ direct agencies 

to assess all costs and benefits of 

available regulatory alternatives and, if 

regulation is necessary, to select 

regulatory approaches that maximize 

net benefits (including potential 

economic, environmental, public health, 

and safety effects; distributive impacts; 

and equity). Executive Order 13563 

emphasized the importance of 

quantifying both costs and benefits, of 

reducing costs, of harmonizing rules, 

and of promoting flexibility. The 

requirements in Executive Orders 12866 

and 13563 for the analysis of costs and 

benefits apply to rules that are 

determined to be significant. 

The Office of Management and Budget 

(OMB) designated this rule as 

economically significant under 

Executive Order 12866. Therefore, OMB 

has reviewed this rule. 

The costs and benefits of this rule are 

summarized below. The full cost benefit 

analysis is available on regulations.gov. 

Cost Benefit Analysis Summary 

CFAP 1 and CFAP 2 assisted 

producers of agricultural commodities 

marketed in 2020 who faced continuing 

market disruptions, reduced farm-level 

prices, and increased production and 

marketing costs due to COVID–19. 

These additional costs are associated 

with declines in demand, surplus 

productions, or disruptions to shipping 

patterns and marketing channels. 

In implementing these programs, 

additional assistance was deemed 

necessary. Subdivision B, section 751, 

of the CAA authorizes payments of up 

to 80 percent of contract producers’ 

revenue loss and up to $1 billion in 

funding. To qualify for payment, a 

producer must demonstrate a drop in 

revenue (‘‘revenue loss’’) between 2019 

and 2020. The producer can then choose 

their 2018 revenue in lieu of their 2019 

revenue in the revenue loss calculation 

if their 2018 revenue is more 

representative of anticipated revenue in 

2020. In addition, note that the CFAP 

Additional Assistance regulation, 

published on January 19, 2021, 

provided assistance to contract 

producers. CFAP Additional Assistance 

activity was paused in late January 

2021. No payments were issued to 

contract producers under that 

regulation. 

This rule and cost-benefit analysis use 

an 80 percent payment factor, the 

maximum allowed by the CAA, and 

apply it to the individual producer’s 

actual 2019 to 2020 revenue change. 

Contract producer payments are highly 

uncertain and can depend on the 

number of animals received by the 

contractor and the price paid by the 

integrator to the contractor. The 

projections contained in this assessment 

provide an upper bound at over $1 

billion. However, available evidence 

suggests that year-to-year differences in 

animal volume may moderate that 

estimate. Broiler and hog contract 

producers will receive the bulk of 

payments. 

In contrast to assistance for contract 

producers, CAA provides authority for, 

but does not mandate, use of 2018 or 

2019 revenue data in the calculation of 

payments for sales-based 1 commodities. 

This provision, included in this rule, 

ensures that farmers who had lower 

sales in 2019 than in 2018—for 

example, those unable to plant a 2019 

crop—would not be penalized in the 

payment calculation. Fifty-two percent 

of sales-based applicants are projected 

to prefer the use of 2018 revenue data 

(relative to 2019 data) based on analysis 

of USDA cash receipts data. The 

expected cost associated with this 

change is estimated at $207 million. 

Upon implementation of the CFAP 2 

rule, FSA became aware that certain 

commodities had experienced COVID– 

19 market disruptions but had not been 

explicitly included in the initial CFAP 

2 rule. For example, grass seed was not 

included in the initial CFAP 2 rule, but 

evidence indicates that production and 

revenue were significantly affected. This 

rule clarifies that grass seed is now an 

eligible sales-based commodity, the 

expected cost is $41 million. 

FSA, which implemented CFAP 1 and 

2, is implementing these three 

provisions. Producers must fill out 

paperwork to participate in these 

programs, and the associated 

administrative costs are estimated at 

$1.5 million for contract producers, $2.2 

million for the use of 2018 versus 2019 

revenue in the calculations for salesbased commodities, and $0.1 million for 

grass seed. 

Environmental Review 

The environmental impacts of this 

final rule have been considered in a 

manner consistent with the provisions 

of the National Environmental Policy 

Act (NEPA, 42 U.S.C. 4321–4347), the 

regulations of the Council on 

Environmental Quality (40 CFR parts 

1500–1508), and because USDA will be 

making the payments to producers the 

USDA regulations for compliance with 

NEPA (7 CFR part 1b). 

Although OMB has designated this 

rule as ‘‘economically significant’’ 

under Executive Order 12866, 

‘‘economic or social effects are not 

intended by themselves to require 

preparation of an environmental impact 

statement’’ when not interrelated to 

natural or physical environmental 

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

was designed to avoid skewing planting 

decisions. Producers continue to make 

their planting and production decisions 

with the market signals in mind, rather 

than any expectation of what a new 

USDA program might look like. The 

discretionary aspects of CFAP (for 

example, determining adjusted gross 

income (AGI) and payment limitations) 

were designed to be consistent with 

established USDA and the FSA 

administered programs and are not 

expected to have any impact on the 

human environment, as CFAP payments 

will only be made after the commodity 

has been produced. Accordingly, the 

following Categorical Exclusion in 7 

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

applies to activities that deal solely with 

the funding of programs, such as 

program budget proposals, 

disbursements, and the transfer or 

reprogramming of funds. As such, the 

implementation of and participation in 

CFAP do not constitute major Federal 

actions that would significantly affect 

the quality of the human environment. 

Therefore, an environmental assessment 


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or environmental impact statement for 

this regulatory action will not be 

prepared; this rule serves as 

documentation of the programmatic 

environmental compliance decision for 

this Federal action. 

Executive Order 12988 

This rule has been reviewed under 

Executive Order 12988, ‘‘Civil Justice 

Reform.’’ This rule will not preempt 

State or local laws, regulations, or 

policies unless they represent an 

irreconcilable conflict with this rule. 

Before any judicial actions may be 

brought regarding the provisions of this 

rule, the administrative appeal 

provisions of 7 CFR parts 11 and 780 are 

to be exhausted. 

Executive Order 13175 

This rule has been reviewed in 

accordance with the requirements of 

Executive Order 13175, ‘‘Consultation 

and Coordination with Indian Tribal 

Governments.’’ Executive Order 13175 

requires Federal agencies to consult and 

coordinate with Tribes on a 

government-to-government basis on 

policies that have Tribal implications, 

including regulations, legislative 

comments, or proposed legislation, and 

other policy statements or actions that 

have substantial direct effects on one or 

more Indian Tribes, on the relationship 

between the Federal Government and 

Indian Tribes, or on the distribution of 

power and responsibilities between the 

Federal Government and Indian Tribes. 

USDA has assessed the impact of this 

rule on Indian Tribes and determined 

that this rule does not, to our 

knowledge, have Tribal implications 

that required Tribal consultation under 

Executive Order 13175 at this time. If a 

Tribe requests consultation, the USDA 

Office of Tribal Relations (OTR) will 

ensure meaningful consultation is 

provided where changes, additions, and 

modifications are not expressly 

mandated by law. Outside of Tribal 

consultation, USDA is working with 

Tribes to provide information about 

CFAP additional assistance and other 

issues. 

Unfunded Mandates 

Title II of the Unfunded Mandates 

Reform Act of 1995 (UMRA), Public 

Law 104–4, requires Federal agencies to 

assess the effects of their regulatory 

actions on State, local, and Tribal 

governments or the private sector. 

Agencies generally must prepare a 

written statement, including a cost 

benefit analysis, for proposed and final 

rules with Federal mandates that may 

result in expenditures of $100 million or 

more in any 1 year for State, local, or 

Tribal governments, in the aggregate, or 

to the private sector. UMRA generally 

requires agencies to consider 

alternatives and adopt the more costeffective or least burdensome alternative 

that achieves the objectives of the rule. 

This rule contains no Federal mandates, 

as defined in Title II of UMRA, for State, 

local, and Tribal governments or the 

private sector. Therefore, this rule is not 

subject to the requirements of sections 

202 and 205 of UMRA. 

Federal Assistance Programs 

The title and number of the Federal 

Domestic Assistance Program found in 

the Catalog of Federal Domestic 

Assistance to which this rule applies is 

10.132—Coronavirus Food Assistance 

Program 2. 

Paperwork Reduction Act 

In accordance with the Paperwork 

Reduction Act of 1995, FSA is 

administering the information collection 

activities under a currently approved 

information collection request of OMB 

control number of 0560–0297. Thus, 

there are no required changes to the 

information collection request for FSA 

in providing assistance for contract 

producers of eligible contract livestock 

and poultry and to provide additional 

assistance for other commodities as 

described in this rule. 

Additionally, the new information 

collection request for the eligible grass 

seed that will be included in the CFAP 

was submitted to OMB for emergency 

approval. FSA will collect and evaluate 

the application from the producers and 

other required paperwork. Following 

the 60-day public comment period 

provided by this rule, FSA intends to 

merge the burden hours associated with 

the new grass seed information 

collection request (ICR) into the main 

CFAP 2 ICR that is currently approved 

under OMB control number 0560–0297. 

Title: CFAP 2. 

OMB Control Number: 0560–New. 

Type of Request: New Collection. 

Abstract: This information collection 

is required to support CFAP 2 

information collection activities to 

provide payments to eligible producers 

who, with respect to their agricultural 

commodities, have been impacted by 

the effects of the COVID–19 pandemic. 

The information collection is necessary 

to evaluate the application and other 

required paperwork for determining the 

producer’s eligibility and assist in the 

producer’s payment calculations. 

For the following estimated total 

annual burden on respondents, the 

formula used to calculate the total 

burden hour is the estimated average 

time per response multiplied by the 

estimated total annual responses. 

Estimate of Respondent Burden: 

Public reporting burden for this 

information collection is estimated to 

average 0.43 hours per response, 

including the time for reviewing 

instructions, searching existing data 

sources, gathering and maintaining the 

data needed and completing and 

reviewing the collections of 

information. 

Type of Respondents: Producers or 

farmers. 

Estimated Annual Number of 

Respondents: 2,204. 

Estimated Number of Responses per 

Respondent: 2.005. 

Estimated Total Annual Responses: 

4,419. 

Estimated Average Time per 

Response: 0.43 hours. 

Estimated Annual Burden on 

Respondents: 1,892 hours. 

FSA is requesting comments on all 

aspects of this information collection to 

help us to: 

(1) Evaluate whether the collection of 

information is necessary for the proper 

performance of the functions of FSA, 

including whether the information will 

have practical utility; 

(2) Evaluate the accuracy of the FSA’s 

estimate of burden including the 

validity of the methodology and 

assumptions used; 

(3) Enhance the quality, utility, and 

clarity of the information to be 

collected; and 

(4) Minimize the burden of the 

collection of information on those who 

are to respond, including through the 

use of appropriate automated, 

electronic, mechanical, or other 

technological collection techniques or 

other forms of information technology. 

All comments received in response to 

this document, including names and 

addresses when provided, will be a 

matter of public record. Comments will 

be summarized and included in the 

submission for Office of Management 

and Budget approval. 

USDA Non-Discrimination Policy 

In accordance with Federal civil 

rights law and U.S. Department of 

Agriculture (USDA) civil rights 

regulations and policies, USDA, its 

Agencies, offices, and employees, and 

institutions participating in or 

administering USDA programs are 

prohibited from discriminating based on 

race, color, national origin, religion, sex, 

gender identity (including gender 

expression), sexual orientation, 

disability, age, marital status, family or 

parental status, income derived from a 

public assistance program, political 


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beliefs, or reprisal or retaliation for prior 

civil rights activity, in any program or 

activity conducted or funded by USDA 

(not all bases apply to all programs). 

Remedies and complaint filing 

deadlines vary by program or incident. 

Persons with disabilities who require 

alternative means of communication for 

program information (for example, 

Braille, large print, audiotape, American 

Sign Language, etc.) should contact the 

responsible Agency or USDA TARGET 

Center at (202) 720–2600 or (844) 433– 

2774 (toll-free nationwide). 

Additionally, program information may 

be made available in languages other 

than English. 

To file a program discrimination 

complaint, complete the USDA Program 

Discrimination Complaint Form, AD– 

3027, found online at https://

www.usda.gov/oascr/how-to-file-aprogram-discrimination-complaint and 

at any USDA office or write a letter 

addressed to USDA and provide in the 

letter all the information requested in 

the form. To request a copy of the 

complaint form, call (866) 632–9992. 

Submit your completed form or letter to 

USDA by mail to: U.S. Department of 

Agriculture, Office of the Assistant 

Secretary for Civil Rights, 1400 

Independence Avenue SW, Washington, 

DC 20250–9410 or email: OAC@

usda.gov. 

USDA is an equal opportunity 

provider, employer, and lender. 

List of Subjects in 7 CFR Part 9 

Agricultural commodities, 

Agriculture, Disaster assistance, 

Indemnity payments. 

For the reasons discussed above, this 

final rule amends 7 CFR part 9 as 

follows: 

PART 9—CORONAVIRUS FOOD 

ASSISTANCE PROGRAM 

■ 1. The authority citation for part 9 

continues to read as follows: 

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

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

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

Chapter 1, Pub. L. 116–260. 

Subpart A—General Provisions 

■ 2. Amend § 9.4 as follows: 

■ a. Revise paragraphs (a)(1) and (2); 

and 

■ b. Remove paragraph (a)(3). 

The revisions read as follows: 

§ 9.4 Time and method of application. 

(a) * * * 

(1) September 11, 2020, for payments 

issued under § 9.102; and 

(2) October 12, 2021, for payments 

issued under § 9.203. 

* * * * * 

■ 3. Amend § 9.7 as follows: 

■ a. Revise paragraph (a); and 

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

‘‘in parts’’ and add ‘‘in part 718, subpart 

D, and parts’’ in their place. 

The revision reads as follows: 

§ 9.7 Miscellaneous provisions. 

(a) If a CFAP payment resulted from 

erroneous information provided by a 

participant, or any person acting on 

their behalf, the payment will be 

recalculated and the participant must 

refund any excess payment with interest 

calculated from the date of the 

disbursement of the payment. 

(1) If FSA determines that the 

applicant intentionally misrepresented 

either the total amount or applicant’s 

share of the commodities, acres, sales, 

or revenue on their application, the 

application will be disapproved and the 

applicant must refund the full payment 

to FSA with interest from the date of 

disbursement. 

(2) Any required refunds must be 

resolved in accordance with part 3 of 

this title. 

* * * * * 

Subpart C—CFAP 2 

■ 4. Amend § 9.201 as follows: 

■ a. Add the definitions of ‘‘Average 

revenue loss level’’ and ‘‘Eligible 

contract livestock or poultry’’ in 

alphabetical order; 

■ b. In the definition of ‘‘Eligible 

revenue’’, remove the words ‘‘broilers, 

pullets, layers, chicken eggs, turkeys, 

hogs, or pigs’’ and add the words 

‘‘eligible contract livestock or poultry’’ 

in their place; 

■ c. In the definition of ‘‘Ineligible 

commodities’’, remove the words 

‘‘ineligible crops’’ and add the words 

‘‘ineligible crops other than grass seed’’ 

in their place; 

■ d. In the definition of ‘‘Producer’’, in 

the second sentence, remove the word 

‘‘Producers’’ and add the words ‘‘Except 

for contract producers, producers’’ in its 

place; 

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

commodities’’, remove the words ‘‘milk, 

mink (including pelts);’’ and add the 

words ‘‘milk, grass seed, mink 

(including pelts),’’ in its place; and 

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

alphabetical order. 

The additions read as follows: 

§ 9.201 Definitions. 

* * * * * 

Average revenue loss level means the 

average percentage of revenue loss for 

contract producers determined by 

USDA for a geographic area based on 

the best available data including, but 

not limited to, losses reported by 

contract producers for the same area and 

type of livestock or poultry. 

* * * * * 

Eligible contract livestock or poultry 

means broilers, pullets, layers, poultry 

eggs, turkeys, ducks, geese, pheasants, 

quail, hogs, pigs, and other livestock or 

poultry types determined eligible and 

announced by USDA, including 

breeding stock of those eligible livestock 

and poultry types. 

* * * * * 

Turn means a group of eligible 

contract livestock or poultry that is 

delivered to a contract producer who 

provides labor and equipment to 

produce the livestock or poultry for the 

integrator or owner. 

* * * * * 

■ 5. Amend § 9.202 by revising 

paragraphs (b)(1) through (3) and adding 

paragraphs (b)(4) and (d) to read as 

follows: 

§ 9.202 Eligibility. 

* * * * * 

(b) * * * 

(1) Produced eligible contract 

livestock or poultry under a contract in 

either the 2018 or 2019 calendar year 

and in the 2020 calendar year; 

(2) Received revenue under such a 

contract during the period from January 

1, 2020, through December 27, 2020; 

(3) Had a loss in eligible revenue for 

the period from January 1, 2020, 

through December 27, 2020, as 

compared to the period from: 

(i) January 1, 2018, through December 

27, 2018; or 

(ii) January 1, 2019, through 

December 27, 2019; and 

(4) Meet all other requirements for 

eligibility under this part. 

* * * * * 

(d) Contract producers are eligible for 

payment under § 9.203(m) if they: 

(1) Did not receive eligible revenue 

from January 1 through December 27 in 

2018 or 2019, but received eligible 

revenue for the period from January 1, 

2020, through December 27, 2020; and 

(2) Meet all other requirements for 

eligibility under this part. 

■ 6. Amend § 9.203 as follows: 

■ a. Revise paragraph (i); 

■ b. In Table 2 to paragraph (j), revise 

the first column heading; 

■ c. Revise paragraph (l); and 

■ d. Add paragraphs (m) through (o). 

The revisions and additions read as 

follows: 

§ 9.203 Calculation of payments. 

* * * * * 


lotter on DSK11XQN23PROD with RULES1
48018 Federal Register / Vol. 86, No. 164 / Friday, August 27, 2021 / Rules and Regulations 

(i) Payments for sales-based 

commodities will be: 

(1) Based on one of the following as 

elected by the producer: 

(i) The producer’s sales for calendar 

year 2018 and crop insurance 

indemnities and NAP and WHIP+ 

payments for the 2018 crop year for all 

sales-based commodities; or 

(ii) The producer’s sales for calendar 

year 2019 and crop insurance 

indemnities and NAP and WHIP+ 

payments for the 2019 crop year for all 

sales-based commodities. 

(2) Equal to the sum of the results for 

the following calculation for each sales 

range in Table 2 of paragraph (j) of this 

section: 

(i) The sum of the amount of the 

producer’s eligible sales for the salesbased commodities in the applicable 

calendar year and the producer’s crop 

insurance indemnities and NAP and 

WHIP+ payments for the sales 

commodities for the applicable crop 

year within the specified range, 

multiplied by the payment rate for that 

range in Table 2 of paragraph (j) of this 

section. 

(ii) Eligible sales only includes sales 

of raw commodities grown by the 

producer; the portion of sales derived 

from adding value to the commodity, 

such as processing and packaging, and 

from sales of products purchased for 

resale is not included in the payment 

calculation unless determined eligible 

by the Secretary. 

(3) Payments for producers of sales 

commodities who began farming in 

2020 and had no sales in 2019, 

calculated as provided in paragraph 

(i)(2) of this section, except that the 

payments will be based on the 

producer’s actual 2020 sales, without 

crop insurance indemnities, NAP or 

WHIP+ payments, as of the date the 

producer submits an application for 

payment under this section. 

(j) * * * 

TABLE 2 TO PARAGRAPH (J)—PAYMENT RATES FOR SALES COMMODITIES

2018 or 2019 Sales range 

(including crop insurance indemnities and NAP and WHIP+ payments) Percent payment factor 

*******

* * * * * 

(l) For eligible contract producers, if 

eligible revenue for the period from 

January 1, 2020, through December 27, 

2020, decreased compared to eligible 

revenue for the period from January 1, 

2018, through December 27, 2018, or the 

period from January 1, 2019, through 

December 27, 2019, then payments will 

be equal to: 

(1) Eligible revenue received from 

January 1, 2018, through December 27, 

2018, or from January 1, 2019, through 

December 27, 2019; minus 

(2) Eligible revenue received from 

January 1, 2020, through December 27, 

2020; multiplied by 

(3) 80 percent. 

(4) USDA will adjust the eligible 

revenue based on information certified 

by the contract producer on form AD– 

3117B for contract producers who did 

not have a full period of revenue from 

January 1 to December 27 for either 

2018 or 2019, or who increased their 

operation size in 2020. Information 

required to calculate these adjustments 

may include a contract producer’s 

square footage increase to the operation 

in 2020, or a contract producer’s 

production or number of turns for 2018, 

2019, or 2020, as applicable. 

(m) For eligible contract producers 

who did not receive eligible revenue 

from January 1 through December 27 in 

2018 or 2019, but received eligible 

revenue for the period from January 1, 

2020, through December 27, 2020: 

(1) FSA will divide the eligible 

revenue received from January 1, 2020, 

through December 27, 2020, by the 

result of 1 minus the average revenue 

loss level, determined by USDA for a 

geographic area based on the best 

available data including, but not limited 

to, losses reported by other contract 

producers for the same area and type of 

livestock or poultry; and 

(2) The payment will be equal to: 

(i) The result of the calculation in 

paragraph (m)(1) of this section minus 

the contract producer’s eligible revenue 

received from January 1, 2020, through 

December 27, 2020; multiplied by 

(ii) 80 percent. 

(n) Payments under paragraphs (l) and 

(m) of this section and the average 

revenue loss levels under paragraph 

(m)(1) of this section will be calculated 

separately for the following categories: 

(1) Chickens—broilers, pullets, and 

layers; 

(2) Chicken eggs; 

(3) Turkeys; 

(4) Hogs and pigs; 

(5) Ducks, geese, pheasants, quail; and 

(6) All other eligible poultry eggs. 

(o) The calculations in paragraphs (l) 

and (m) of this section are subject to the 

availability of funds and will be 

factored, if needed. 

Gloria Montan ̃ o Greene, 

Deputy Under Secretary, Farm Production 

and Conservation, U.S. Department of 

Agriculture. 

[FR Doc. 2021–18423 Filed 8–26–21; 8:45 am] 

BILLING CODE 3410–05–P 

DEPARTMENT OF TRANSPORTATION 

Federal Aviation Administration 

14 CFR Part 71 

[Docket No. FAA–2021–0075; Airspace 

Docket No. 21–ASO–2] 

RIN 2120–AA66 

Amendment of Class E Airspace; 

Muscle Shoals, AL 

AGENCY: Federal Aviation 

Administration (FAA), DOT. 

ACTION: Final rule. 

SUMMARY: This action amends Class E 

airspace extending upward from 700 

feet above the surface in Muscle Shoals, 

AL, due to the decommissioning of the 

Muscle Shoals Very High Frequency 

Omni-Directional Radio Range Tactical 

Air Navigation Aid (VORTAC), and 

cancellation of the associated approach 

at Northwest Alabama Regional Airport. 

This action also updates the airport 

name under the Class E surface airspace 

and makes an editorial change replacing 

the term Airport/Facility Directory with 

the term Chart Supplement in the legal 

descriptions of associated Class E 

airspace. Controlled airspace is 

necessary for the safety and 

management of instrument flight rules 

(IFR) operations in the area. 

DATES: Effective 0901 UTC, December 2, 

2021. The Director of the Federal 

Register approves this incorporation by 

reference action under 1 CFR part 51, 

subject to the annual revision of FAA 

Order 7400.11 and publication of 

conforming amendments. 


lotter on DSK11XQN23PROD with RULES1