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[Federal Register Volume 86, Number 104 (Wednesday, June 2, 2021)]
[Notices]
[Pages 29553-29555]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2021-11603]

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DEPARTMENT OF AGRICULTURE

Risk Management Agency

Notice of Funding Availability; Pandemic Cover Crop Program

AGENCY: Federal Crop Insurance Corporation, and Risk Management Agency, 
USDA.

ACTION: Notification of funding availability.

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SUMMARY: The Risk Management Agency (RMA), on behalf of the Federal 
Crop Insurance Corporation (FCIC), is announcing the availability of 
funding under the Pandemic Cover Crop Program (PCCP) to help 
agricultural producers impacted by the effects of the COVID-19 
outbreak. Given cover crop cultivation requires sustained, long-term 
investments to improve soil health and gain other agronomic benefits, 
the economic challenges due to the pandemic made maintaining cover 
cropping systems financially challenging for many producers. For the 
2021 crop year, PCCP premium support is available to eligible producers 
for eligible insured acres on a spring crop insurance policy on which 
the producer planted a qualifying cover crop during the 2021 crop year.

FOR FURTHER INFORMATION CONTACT: David Zanoni, Senior Underwriter, 
[email protected], 816-926-6142.

SUPPLEMENTARY INFORMATION:

Background

    This notice of funding availability specifies the terms and 
conditions of PCCP. PCCP provides premium support to eligible producers 
who planted and reported to Farm Service Agency (FSA) a qualifying 
cover crop on acreage insured under a spring crop insurance policy 
during the 2021 crop year. Funds from Division N of the Consolidated 
Appropriations Act, 2021, (Pub. L. 116-260) will be used for this 
notice of funding availability.

Definitions

    Approved Insurance Provider (AIP) means a legal entity that has 
entered into a reinsurance agreement with FCIC for the applicable 
reinsurance year and is authorized to sell and service policies or 
plans of insurance under the Federal Crop Insurance Act.
    Crop insurance policy means an insurance policy reinsured by FCIC 
under the provisions of the Federal Crop Insurance Act, as amended. It 
does not include private plans of insurance.
    Crop year means the period within which the insured crop is 
normally grown and is designated by the calendar year in which the 
insured crop is normally harvested.
    Eligible insured acres means insured acres on which the producer 
planted a qualifying cover crop during the 2021 crop year, as reported 
on the CLU(s) to FSA via a completed and signed Form 578-Report of 
Acreage on or before June 15, 2021, which may be prior to FSA's acreage 
reporting date, and reported the same CLU(s) on their crop insurance 
acreage report by the applicable Federal crop insurance acreage 
reporting date for a 2021 crop year spring crop insurance policy.
    Eligible producer means a producer meeting all of the eligibility 
requirements for PCCP.
    FCIC means the Federal Crop Insurance Corporation, a wholly owned 
Government Corporation of USDA that administers the Federal crop 
insurance program.
    FSA means the Farm Service Agency, USDA.
    FSA Common Land Unit (CLU) means the smallest unit of land that has 
a permanent, contiguous boundary, common land cover and land 
management, common owner, and common producer association.
    Insured crop means a crop for which the participant has purchased a 
crop insurance policy from an AIP.

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    Insured acres means the participant's share of insurable acreage 
that is insured in accordance with a crop insurance policy purchased 
from an AIP.
    PCCP means Pandemic Cover Crop Program.
    Person means a person as defined in 7 CFR 457.8(1).
    Qualifying cover crop means any of the four types of cover crops: 
(1) Cereals and other grasses; (2) legumes; (3) brassicas; and (4) 
other non-legume broadleaves, and mixtures of two or more cover crop 
species planted at the same time. For the purposes of PCCP, an insured 
crop is not considered a qualifying cover crop.
    RMA means the Risk Management Agency, USDA.
    Spring crop means insured crops reported for the 2021 crop year 
with a Federal crop insurance acreage reporting date of April 15, 2021, 
to August 15, 2021, in accordance with the crop insurance policy.
    USDA means United States Department of Agriculture.

Eligibility for PCCP

    For the 2021 crop year, to be eligible for premium support under 
PCCP, the participant must be a person who is eligible to receive 
Federal benefits and who has purchased a crop insurance policy for a 
spring crop from an AIP for insured acres on which the participant 
planted and reported a qualifying cover crop during the 2021 crop year. 
Cover crops must be specifically reported to FSA via the Form-578 with 
the corresponding crop code. Potential participants that are uncertain 
of whether their cover crop was reported to the FSA are encouraged to 
contact their local FSA county office (farmers.gov/service-locator). 
Only acreage reports that are filed or amended prior to June 15 will be 
considered for the program.
    Participants who are in violation of Highly Erodible Land or 
Wetlands Conservation (16 U.S.C. 3811-12, and 3821) are not eligible 
for premium support under PCCP.
    A person is not eligible to receive benefits under PCCP if at any 
time that person is determined to be ineligible for crop insurance.
    Whole Farm Revenue Protection, Supplemental Coverage Option, 
Enhanced Coverage Option, and Hurricane Insurance Protection--Wind 
Index policies or endorsements are not eligible for PCCP. Stacked 
Income Protection Plan (STAX) and Margin Protection (MP) policies are 
only eligible for PCCP when insured as a standalone policy. STAX and MP 
endorsements to underlying polices are not eligible for PCCP.

Calculating and Accounting PCCP Amounts

    For the 2021 crop year, for eligible insured acres covered under a 
spring crop insurance policy, the amount under PCCP for each insured 
acre will be $5, calculated on a CLU basis, with a maximum equal to the 
amount of premium owed by the insured. Amounts under PCCP are limited 
to the full amount of premium owed by the insured for the eligible 
insured acres on a CLU basis. If the full amount under PCCP would 
result in a negative premium balance for the insured on a CLU basis, 
PCCP amounts will be limited to the full amount of premium owed on a 
CLU basis. If the eligible insured acres are amended for any reason, 
such as an overreporting of insured acres, the amount under PCCP will 
be based on the eligible insured acres after any such amendment.
    Where state premium subsidy programs are also applicable, if the 
full amount of the premium support under the state premium subsidy 
program and PCCP would result in a negative premium balance for the 
insured on a CLU basis, state premium subsidy would be applied first 
toward premium owed. PCCP would be applied second, up to the full 
amount of producer premium owed on a CLU basis.
    The amount under PCCP will not be paid directly to participants. 
FCIC and AIPs will account for the amount when calculating total 
producer premium due. AIPs will adjust participant bills accordingly. 
All bills still follow the same terms and conditions specified in the 
crop insurance policy, regardless of PCCP amounts. The payment 
limitations in 7 CFR 760.1507 are not applicable to PCCP.
    PCCP premium support will be provided via premium billing 
adjustments by the applicable RMA premium billing date for the insured 
crop. RMA will obtain cover crop records from FSA and determine 
eligibility such that eligible producers do not need to take any 
additional specific action through their crop insurance agent to enroll 
in the PCCP. In the event that any PCCP amount is determined to be 
incorrect, the amount will be recalculated until the 2021 reinsurance 
year annual settlement date of October 7, 2022, unless otherwise 
specified by the Administrator. After that date, the amount will be 
final except in cases of misrepresentation, fraud, scheme, or device.

Paperwork Reduction Act Requirements

    In accordance with the provisions of the Paperwork Reduction Act of 
1995 (44 U.S.C. chapter 35, subchapter I), the rule does not change the 
information collection approved by OMB under control numbers 0563-0053.

Environmental Review

    In general, the environmental impacts of programs are to be 
considered in a manner consistent with the provisions of the National 
Environmental Policy Act (NEPA, 42 U.S.C. 4321-4347) and the 
regulations of the Council on Environmental Quality (40 CFR parts 1500-
1508). FCIC conducts programs and activities that have been determined 
to have no individual or cumulative effect on the human environment. As 
specified in 7 CFR 1b.4, FCIC is categorically excluded from the 
preparation of an Environmental Analysis or Environmental Impact 
Statement unless the FCIC Manager (agency head) determines that an 
action may have a significant environmental effect. The FCIC Manager 
has determined this notice will not have a significant environmental 
effect. Therefore, FCIC will not prepare an environmental assessment or 
environmental impact statement for this action and this notice serves 
as documentation of the programmatic environmental compliance decision.

Federal Assistance Programs

    The title and number of the Federal assistance programs, as found 
in the Catalog of Federal Domestic Assistance, to which this document 
applies is 10.450--Crop Insurance.

USDA Non-Discrimination Policy

    In accordance with Federal civil rights law and 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 
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

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Sign Language, etc.) should contact the responsible Agency or USDA 
TARGET Center at (202) 720-2600 (voice and TTY) or contact USDA through 
the Federal Relay Service at (800) 877-8339. 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-a-program-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: [email protected].
    USDA is an equal opportunity provider, employer, and lender.

Richard Flournoy,
Acting Administrator, Risk Management Agency.
[FR Doc. 2021-11603 Filed 6-1-21; 8:45 am]
BILLING CODE 3410-08-P
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