This section of the FEDERAL REGISTER

contains notices to the public of the proposed

issuance of rules and regulations. The

purpose of these notices is to give interested

persons an opportunity to participate in the

rule making prior to the adoption of the final

rules.

Proposed Rules Federal Register

23660 

Vol. 74, No. 96 

Wednesday, May 20, 2009 

DEPARTMENT OF AGRICULTURE 

Federal Crop Insurance Corporation 

7 CFR Part 457 

RIN 0563–AC22 

Common Crop Insurance Regulations; 

Florida Avocado Crop Insurance 

Provisions 

AGENCY: Federal Crop Insurance 

Corporation, USDA. 

ACTION: Proposed rule with request for 

comments. 

SUMMARY: The Federal Crop Insurance 

Corporation (FCIC) proposes to add 

regulations that provide insurance for 

Florida avocados. The provisions will 

be used in conjunction with the 

Common Crop Insurance Policy Basic 

Provisions (Basic Provisions), which 

contain standard terms and conditions 

common to most crop programs. The 

intended effect of this action is to 

convert the Florida Avocado pilot crop 

insurance program to a permanent 

insurance program for the 2011 and 

succeeding crop years. 

DATES: Written comments and opinions 

on this proposed rule will be accepted 

until close of business July 20, 2009, 

and will be considered when the rule is 

to be made final. 

ADDRESSES: Interested persons are 

invited to submit comments, titled 

‘‘Florida Avocado Crop Insurance 

Provisions,’’ by any of the following 

methods: 

• By Mail to: Director, Product 

Administration and Standards Division, 

Risk Management Agency, United States 

Department of Agriculture, Beacon 

Facility, Stop 0812, Room 421, P.O. Box 

419205, Kansas City, MO 64141–6205. 

• By Express Mail to: Director, 

Product Administration and Standards 

Division, Risk Management Agency, 

United States Department of 

Agriculture, Beacon Facility, Stop 0812, 

9240 Troost Avenue, Kansas City, MO 

64131–3055. 

• E-mail: DirectorPDD@rma.usda.gov. 

• Federal eRulemaking Portal: http:// 

www.regulations.gov. Follow the 

instructions for submitting comments. 

A copy of each response will be 

available for public inspection from 7 

a.m. to 4:30 p.m., CST, Monday through 

Friday except holidays at the above 

address. 

FOR FURTHER INFORMATION CONTACT: 

Claire White, Economist, Product 

Management, Product Administration 

and Standards Division, Risk 

Management Agency, at the Kansas City, 

MO, address listed above, telephone 

(816) 926–7730. 

SUPPLEMENTARY INFORMATION: 

Executive Order 12866 

The Office of Management and Budget 

(OMB) has determined that this rule is 

not significant for the purpose of 

Executive Order 12866 and, therefore, it 

has not been reviewed by OMB. 

Paperwork Reduction Act of 1995 

Pursuant to the provisions of the 

Paperwork Reduction Act of 1995 (44 

U.S.C. chapter 35), the collections of 

information in this rule have been 

approved by OMB under control 

number 0563–0053 through March 31, 

2012. 

E-Government Act Compliance 

FCIC is committed to complying with 

the E-Government Act of 2002, 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. 

Unfunded Mandates Reform Act of 

1995 

Title II of the Unfunded Mandates 

Reform Act of 1995 (UMRA), Public 

Law 104–4, establishes requirements for 

Federal agencies to assess the effects of 

their regulatory actions on State, local, 

and Tribal governments and the private 

sector. This rule contains no Federal 

mandates (under the regulatory 

provisions of title II of the UMRA) for 

State, local, and Tribal governments or 

the private sector. Therefore, this rule is 

not subject to the requirements of 

sections 202 and 205 of the UMRA. 

Executive Order 13132 

It has been determined under section 

1(a) of Executive Order 13132, 

Federalism, that this rule does not have 

sufficient implications to warrant 

consultation with the States. The 

provisions contained in this rule will 

not have a substantial direct effect on 

States, or on the relationship between 

the national government and the States, 

or on the distribution of power and 

responsibilities among the various 

levels of government. 

Regulatory Flexibility Act 

FCIC certifies that this regulation will 

not have a significant economic impact 

on a substantial number of small 

entities. Program requirements for the 

Federal crop insurance program are the 

same for all producers regardless of the 

size of their farming operation. For 

instance, all producers are required to 

submit an application and acreage 

report to establish their insurance 

guarantees, and compute premium 

amounts, and all producers are required 

to submit a notice of loss and 

production information to determine the 

amount of an indemnity payment in the 

event of an insured cause of crop loss. 

Whether a producer has 10 acres or 

1000 acres, there is no difference in the 

kind of information collected. To ensure 

crop insurance is available to small 

entities, the Federal Crop Insurance Act 

authorizes FCIC to waive collection of 

administrative fees from limited 

resource farmers. FCIC believes this 

waiver helps to ensure small entities are 

given the same opportunities to manage 

their risks through the use of crop 

insurance. A Regulatory Flexibility 

Analysis has not been prepared since 

this regulation does not have an impact 

on small entities, and, therefore, this 

regulation is exempt from the provisions 

of the Regulatory Flexibility Act (5 

U.S.C. 605). 

Federal Assistance Program 

This program is listed in the Catalog 

of Federal Domestic Assistance under 

No. 10.450. 

Executive Order 12372 

This program is not subject to the 

provisions of Executive Order 12372, 

which require intergovernmental 

consultation with State and local 

officials. See the notice related to 7 CFR 

part 3015, subpart V, published at 48 FR 

29115, June 24, 1983. 

Federal Register / Vol. 74, No. 96 / Wednesday, May 20, 2009 / Proposed Rules 23661 

Executive Order 12988 

This proposed rule has been reviewed 

in accordance with Executive Order 

12988 on civil justice reform. The 

provisions of this rule will not have a 

retroactive effect. The provisions of this 

rule will preempt State and local laws 

to the extent such State and local laws 

are inconsistent herewith. With respect 

to any direct action taken by FCIC or to 

require the insurance provider to take 

specific action under the terms of the 

crop insurance policy, the 

administrative appeal provisions 

published at 7 CFR part 11 and 7 CFR 

part 400, subpart J, for the informal 

administrative review process of good 

farming practices, as applicable, must be 

exhausted before any action against 

FCIC for judicial review may be brought. 

Environmental Evaluation 

This action is not expected to have a 

significant impact on the quality of the 

human environment, health, and safety. 

Therefore, neither an Environmental 

Assessment nor an Environmental 

Impact Statement is needed. 

Background 

FCIC offered a pilot crop insurance 

program for Florida avocados beginning 

with the 1999 crop year. The pilot 

program is only available in MiamiDade County, which, according to the 

2002 Census of Agriculture, accounts for 

98.6 percent of Florida’s avocado 

acreage. The Florida Avocado pilot crop 

insurance program is an actual 

production history (APH) crop that 

protects against a loss in yield; and is 

available in coverage levels from 50 to 

75 percent of the producer’s average 

yield and up to 100 percent of the 

reference price. The pilot program 

permits optional units by type, i.e. by 

early and late varieties. Insured causes 

of loss for Florida avocados include 

adverse weather conditions; earthquake; 

fire, wildlife, insects and plant diseases 

unless the damage is due to insufficient 

or improper application of control 

measures; volcanic eruption; and failure 

of irrigation water supply if due to an 

insured cause. Indemnities are payable 

when the total yield from the harvested 

and appraised production is less than 

the production guarantee. 

In the 2007 crop year, 97 producers 

with approximately 2,239 acres were 

insured under the Florida Avocado pilot 

crop insurance program. FCIC 

contracted with an independent firm to 

conduct an evaluation of the Florida 

Avocado pilot crop insurance program. 

The evaluation found the Florida 

Avocado pilot crop insurance program 

to be a valuable risk management tool 

for avocado producers. The evaluation 

identified the following: (1) An APH 

program is appropriate for this crop and 

meets avocado producers’ risk 

management needs; (2) there is no 

evidence of waste, fraud, abuse, or 

program vulnerabilities; and (3) optional 

units based on early versus late varieties 

are a positive feature of the program and 

assist producers in managing their risk 

exposure. The evaluation recommended 

converting the Florida Avocado pilot 

crop insurance program to a permanent 

program. FCIC’s Board of Directors 

approved the conversion of the pilot 

program to that of a permanent crop 

insurance program. 

FCIC has revised certain provisions to 

be consistent with other Crop 

Provisions. FCIC also proposes to revise 

the following: 

a. Section 1—FCIC proposes to remove the 

definition of ‘‘APH’’ because it is defined in 

the Basic Provisions. 

FCIC also proposes to remove the 

definition of ‘‘buckhorning’’ and replace 

it with the definition of ‘‘buckhorn.’’ 

The proposed definition will be 

consistent with the definition of 

‘‘buckhorn’’ in the Florida Fruit Tree 

Pilot Crop Provisions, which provides 

insurance for avocado trees. 

FCIC also proposes to add a definition 

of ‘‘type’’ because the term is used 

throughout the Crop Provisions and 

generally is considered as either late or 

early varieties of avocados. 

b. Section 3—FCIC proposes to revise 

paragraph (a) to clarify if the 

Catastrophic Risk Protection (CAT) level 

of coverage is elected, then the CAT 

level of coverage will apply to all 

insured types of avocados in the county. 

FCIC also proposes to revise 

paragraph (d). The current provision 

states if the producer fails to notify the 

approved insurance provider (AIP) of 

any circumstance set out in section 3(c), 

the producer’s production guarantee 

will be reduced at any time the AIP 

becomes aware of the circumstance. The 

proposed provision states if the 

producer fails to notify the AIP of any 

circumstance set out in section 3(c), the 

producer’s production guarantee will be 

reduced in accordance with the Special 

Provisions at any time the AIP becomes 

aware of the circumstance. Including 

the phrase ‘‘in accordance with the 

Special Provisions’’ allows the producer 

to be informed via the Special 

Provisions of the method by which the 

production guarantee will be reduced. 

c. Section 6—FCIC proposes to revise 

paragraph (b). Currently, avocados are 

only insurable if produced on trees that 

have reached at least the fifth growing 

season after setout, unless there is a 

written agreement based on the acreage 

producing at least 50 bushels of 

avocados per acre in a previous year. 

FCIC proposes to revise the provision to 

insure avocados produced on trees that 

have reached at least the fourth growing 

season after setout and produced the 

minimum amount specified in the 

Special Provisions in at least one of the 

previous three crop years. Shortening 

the period following setout allows 

producers with good yields the ability to 

insure their crop sooner. Further, 

providing the minimum amount of 

production the tree must produce in 

order to be eligible for insurance on the 

Special Provisions allows the flexibility 

to specify different minimum 

production requirements for early and 

late varieties. Requiring the minimum 

production to be met in one of the 

previous three crop years allows only 

groves that are productive to be eligible 

for insurance. 

d. Section 8—FCIC proposes to revise 

paragraph (a)(1) to make the provisions 

easier to read. 

FCIC also proposes to redesignate 

paragraph (a)(2) as paragraph (a)(3) and 

add a new paragraph (a)(2). Paragraph 

(a)(1) states when coverage attaches for 

the year of application, but there is no 

provision specifying when coverage 

attaches for the crop years following the 

year of application. Paragraph (a)(2) is 

added to clarify this. 

FCIC also proposes to revise newly 

redesignated paragraph (a)(3). The 

current provisions have fixed dates for 

the end of the insurance period for early 

and late avocados. FCIC proposes to 

allow the ability to provide different 

dates in the Special Provisions if 

agronomically appropriate. 

e. Section 11—FCIC proposes to add 

a settlement of claim example. 

FCIC intends to convert the Florida 

Avocado pilot crop insurance program 

to a permanent crop insurance program 

beginning with the 2011 crop year. To 

effectuate this, FCIC proposes to amend 

the Common Crop Insurance regulations 

(7 CFR part 457) by adding a new 

section § 457.173, Florida Avocado Crop 

Insurance Provisions. These provisions 

will replace and supersede the current 

unpublished provisions that provide 

insurance coverage for Florida avocados 

under a pilot program status. 

List of Subjects in 7 CFR Part 457 

Crop insurance, Florida Avocado, 

Reporting and recordkeeping 

requirements. 

Proposed Rule 

Accordingly, as set forth in the 

preamble, the Federal Crop Insurance 

Corporation proposes to amend 7 CFR 

23662 Federal Register / Vol. 74, No. 96 / Wednesday, May 20, 2009 / Proposed Rules 

part 457, Common Crop Insurance 

Regulations, for the 2011 and 

succeeding crop years as follows: 

PART 457—COMMON CROP 

INSURANCE REGULATIONS 

1. The authority citation for 7 CFR 

part 457 continues to read as follows: 

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

2. Section 457.173 is added to read as 

follows: 

§ 457.173 Florida Avocado crop insurance 

provisions. 

The Florida Avocado Crop Insurance 

Provisions for the 2011 and succeeding 

crop years are as follows: 

FCIC policies: 

UNITED STATES DEPARTMENT OF 

AGRICULTURE 

Federal Crop Insurance Corporation 

Reinsured policies: 

(Appropriate title for insurance 

provider.) 

Both FCIC and reinsured policies: 

Florida Avocado Crop Insurance 

Provisions. 

1. Definitions 

Bushel. A unit of measure equal to 55 

pounds of avocados, unless otherwise 

specified in the Special Provisions. 

Buckhorn. To prune any limb at a 

diameter of at least four inches. 

Crop year. A period beginning with 

the date insurance attaches to the 

avocado crop and extending through the 

normal harvest time. The crop year is 

designated by the calendar year after 

insurance attaches. 

Direct marketing. Sale of the insured 

crop directly to consumers without the 

intervention of an intermediary such as 

a wholesaler, retailer, packer, processor, 

shipper or buyer. Examples of direct 

marketing include selling through an 

on-farm or roadside stand, farmer’s 

market, and permitting the general 

public to enter the fields for the purpose 

of picking all or a portion of the crop. 

Harvest. Picking of the avocados from 

the trees or ground by hand or machine. 

Pound. A unit of weight equal to 

sixteen ounces avoirdupois. 

Set out. Transplanting a tree into the 

grove. 

Type. Avocados that are either early 

varieties or late varieties. 

2. Unit Division 

Provisions in section 34 of the Basic 

Provisions that allow optional units by 

section, section equivalent, or FSA farm 

serial number and by irrigated and nonirrigated practices are not applicable. 

Optional units may be established by 

type when provided for in the Special 

Provisions. 

3. Insurance Guarantees, Coverage 

Levels, and Prices for Determining 

Indemnities 

In addition to the requirements of 

section 3 of the Basic Provisions: 

(a) You may select only one coverage 

level for all the avocados in the county 

insured under this policy unless the 

Special Provisions provide that you may 

select one coverage level for each 

avocado type designated in the Special 

Provisions. However, if you elect the 

catastrophic risk protection (CAT) level 

of coverage, the CAT level of coverage 

will be applicable to all insured types of 

avocados in the county. 

(b) You may select only one price 

election for all the avocados in the 

county insured under this policy unless 

the Special Provisions provide different 

price elections by type, in which case 

you may select one price election for 

each avocado type designated in the 

Special Provisions. The price elections 

you choose for each type must have the 

same percentage relationship to the 

maximum price offered by us for each 

type. For example, if you choose 100 

percent of the maximum price election 

for one type, you must choose 100 

percent of the maximum price election 

for all other types. 

(c) You must report, by the 

production reporting date designated in 

section 3 of the Basic Provisions, by 

type if applicable: 

(1) Any damage, removal of trees, 

trees that have been buckhorned, change 

in grove practices, or any other 

circumstance that may reduce the 

expected yield per acre to less than the 

yield upon which the production 

guarantee per acre is based, and the 

number of affected acres; 

(2) The number of trees on insurable 

and uninsurable acreage; 

(3) The age of the trees; 

(4) Any acreage that is excluded 

under section 6 of these Crop 

Provisions; and 

(5) For acreage interplanted with 

another crop: 

(i) The age of the interplanted crop, 

and type if applicable; 

(ii) The planting pattern; and 

(iii) Any other information that we 

request in order to establish your 

production guarantee per acre. 

(d) We will reduce the yield used to 

establish your production guarantee as 

necessary, based on the effect of 

interplanting a perennial crop; removal 

of trees; trees that have been 

buckhorned; damage; or a change in 

practices on the yield potential of the 

insured crop. If you fail to notify us of 

any circumstance as set out in 

paragraph (c) of this section, we will 

reduce your production guarantee in 

accordance with the Special Provisions 

at any time we become aware of the 

circumstance. 

4. Contract Changes 

In accordance with section 4 of the 

Basic Provisions, the contract change 

date is August 31 preceding the 

cancellation date. 

5. Cancellation and Termination Dates 

In accordance with section 2 of the 

Basic Provisions, the cancellation and 

termination dates are the first November 

30th after insurance attaches. 

6. Insured Crop 

(a) In accordance with section 8 of the 

Basic Provisions, the crop insured will 

be all the commercially-grown avocado 

types in the county listed in the Special 

Provisions for which a premium rate is 

provided by the actuarial table: 

(1) In which you have a share; 

(2) That are grown for harvest as 

avocados; and 

(3) That are grown on trees that, if 

inspected, are considered acceptable to 

us. 

(b) In addition to the avocados not 

insurable in section 8 of the Basic 

Provisions, we do not insure any 

avocados produced on trees that have 

not reached the fourth growing season 

after setout and have not produced the 

minimum production per acre as 

specified in the Special Provisions in at 

least one of the previous three crop 

years. 

7. Insurable Acreage 

In lieu of the provisions in section 9 

of the Basic Provisions that prohibits 

insurance attaching to a crop planted 

with another crop, avocados 

interplanted with another perennial 

crop are insurable unless we inspect the 

acreage and determine it does not meet 

the requirements of insurability 

contained in these Crop Provisions. 

8. Insurance Period 

(a) In accordance with the provisions 

of section 11 of the Basic Provisions: 

(1) For the year of application, if you 

apply for coverage: 

(i) On or before November 21st, 

coverage begins for the crop year on 

December 1 of the calendar year (You 

must provide any information we 

require so we may determine the 

condition of the grove to be insured.); or 

(ii) After November 21 but prior to 

December 1, insurance will attach on 

the 10th day after your properly 

completed application, acreage and 

production reports are received in our 

local office, unless we inspect the 

Federal Register / Vol. 74, No. 96 / Wednesday, May 20, 2009 / Proposed Rules 23663 

acreage during the 10 day period and 

determine that it does not meet the 

requirements for insurability contained 

in your policy (You must provide any 

information we require so we may 

determine the condition of the grove to 

be insured.). 

(2) For continuous policies, coverage 

begins for the crop year on December 1 

of the calendar year. Policy cancellation 

that results solely from transferring an 

existing policy to a different insurance 

provider for a subsequent crop year will 

not be considered a break in continuous 

coverage. 

(3) The calendar date for the end of 

the insurance period, unless otherwise 

specified in the Special Provisions, is: 

(i) The first November 30th after 

insurance attaches for early varieties of 

avocados. 

(ii) The second March 31st after 

insurance attaches for late varieties of 

avocados. 

(b) In addition to the provisions of 

section 11 of the Basic Provisions: 

(1) If you acquire an insurable share 

in any insurable acreage of avocados 

after coverage begins, but on or before 

the acreage reporting date of any crop 

year, and if after inspection we consider 

the acreage acceptable, then insurance 

will be considered to have attached to 

such acreage on the calendar date for 

the beginning of the insurance period. 

(2) If you relinquish your insurable 

share on any acreage of avocados on or 

before the acreage reporting date of any 

crop year, insurance will not be 

considered to have attached to, no 

premium will be due and no indemnity 

paid for, such acreage for that crop year 

unless: 

(i) A transfer of coverage and right to 

an indemnity or a similar form 

approved by us is completed by all 

affected parties; 

(ii) We are notified by you or the 

transferee in writing of such transfer on 

or before the acreage reporting date; and 

(iii) The transferee is eligible for crop 

insurance. 

9. Causes of Loss 

(a) In accordance with the provisions 

of section 12 of the Basic Provisions, 

insurance is provided only against the 

following causes of loss that occur 

within the insurance period: 

(1) Adverse weather conditions; 

(2) Fire, unless weeds and other forms 

of undergrowth have not been 

controlled or pruning debris has not 

been removed from the grove; 

(3) Wildlife, unless control measures 

have not been taken; 

(4) Earthquake; 

(5) Volcanic eruption; 

(6) Failure of the irrigation water 

supply caused by an insured peril 

specified in section 9(a)(1) through (5) 

that occurs during the insurance period. 

(7) Insects, but not damage due to 

insufficient or improper application of 

pest control measures; and 

(8) Plant disease, but not due to 

insufficient or improper application of 

disease control measures. 

(b) In addition to the causes of loss 

excluded in section 12 of the Basic 

Provisions, we will not insure against 

damage or loss of production due to: 

(1) Theft; or 

(2) Inability to market the avocados 

for any reason other than actual 

physical damage from an insurable 

cause specified in this section. For 

example, we will not pay you an 

indemnity if you are unable to market 

due to quarantine, boycott, or refusal of 

any person to accept production, etc. 

10. Duties in the Event of Damage or 

Loss 

In addition to the requirements of 

section 14 of the Basic Provisions, the 

following will apply: 

(a) You must notify us at least 15 days 

before any production from any unit 

will be direct marketed. 

(1) We will conduct a preharvest 

appraisal that will be used to determine 

your production. If damage occurs after 

the preharvest appraisal, and you can 

provide acceptable records to us that 

account for all production removed 

from the unit after our appraisal, we 

will conduct an additional appraisal 

that will be used to determine your 

production. 

(2) Failure to give timely notice that 

production will be direct marketed will 

result in an appraised production to 

count of not less than the production 

guarantee per acre if such failure results 

in an inability to make an accurate 

appraisal. 

(b) If you intend to claim an 

indemnity on any unit, you must notify 

us 15 days prior to the beginning of 

harvest or immediately if damage is 

discovered during harvest so that we 

may inspect the damaged production. 

(1) You must not destroy the damaged 

crop until after we have given you 

written consent to do so. 

(2) If you fail to meet the requirements 

of this subsection, and such failure 

results in our inability to inspect the 

damaged production, we may consider 

all such production to be undamaged 

and include it as production to count. 

11. Settlement of Claim 

(a) We will determine your loss on a 

unit basis. In the event you are unable 

to provide production records: 

(1) For any optional unit, we will 

combine all optional units for which 

acceptable production records were not 

provided; or 

(2) For any basic unit, we will allocate 

any commingled production to such 

units in proportion to our liability on 

the harvested acreage for each unit. 

(b) In the event of loss or damage 

covered by this policy, we will settle 

your claim by: 

(1) Multiplying the insured acreage 

for each type, if applicable, by its 

respective production guarantee; 

(2) Multiplying each result in section 

11(b)(1) by the respective price election 

for each type if applicable; 

(3) Totaling the results in section 

11(b)(2); 

(4) Multiplying the total production to 

be counted by type, if applicable (see 

subsection 11(c)), by the respective 

price election; 

(5) Totaling the results in section 

11(b)(4); 

(6) Subtracting the results in section 

11(b)(5) from the results in section 

11(b)(3); and 

(7) Multiplying the result in section 

11(b)(6) by your share. 

For example: 

You have a 100 percent share in 50 

acres of early variety A in the unit, with 

a guarantee of 140 bushels per acre and 

a price election of $16.00 per bushel. 

You are only able to harvest 6,000 

bushels due to an insured cause of loss. 

Your indemnity would be calculated as 

follows: 

(1) 50 acres × 140 bushels = 7,000 

bushel guarantee; 

(2) 7,000 bushels × $16.00 price 

election = $112,000.00 value of 

guarantee; 

(4) 6,000 bushels × $16.00 price 

election = $96,000.00 value of 

production to count; 

(6) $112,000.00¥$96,000.00 = 

$16,000 loss; and 

(7) $16,000 × 100 percent = $16,000 

indemnity. 

(c) The total production to count from 

all insurable acreage on the unit will 

include: 

(1) All appraised production as 

follows: 

(i) Not less than the production 

guarantee for acreage: 

(A) That is abandoned; 

(B) That is direct marketed if you fail 

to meet the requirements contained in 

section 10 of these Crop Provisions; 

(C) That is damaged solely by 

uninsured causes; or 

(D) For which you fail to provide 

production records that are acceptable 

to us; 

(ii) Production lost due to uninsured 

causes; 

(iii) Unharvested production; 

(iv) Potential production on insured 

acreage that you intend to abandon or 

23664 Federal Register / Vol. 74, No. 96 / Wednesday, May 20, 2009 / Proposed Rules 

no longer care for, if you and we agree 

on the appraised amount of production. 

Upon such agreement, the insurance 

period for that acreage will end. If you 

do not agree with our appraisal, we may 

defer the claim only if you agree to 

continue to care for the crop. We will 

then make another appraisal when you 

notify us of further damage or that 

harvest is general in the area unless you 

harvested the crop, in which case we 

will use the harvested production. If 

you do not continue to adequately care 

for the crop, our appraisal made prior to 

deferring the claim will be used to 

determine the production to count; and 

(2) All harvested production from the 

insurable acreage. 

12. Late and Prevented Planting 

The late and prevented planting 

provisions of the Basic Provisions are 

not applicable. 

Signed in Washington, DC, on May 12, 

2009. 

William J. Murphy, 

Acting Manager, Federal Crop Insurance 

Corporation. 

[FR Doc. E9–11693 Filed 5–19–09; 8:45 am] 

BILLING CODE 3410–08–P 

DEPARTMENT OF TRANSPORTATION 

Federal Aviation Administration 

14 CFR Part 39 

[Docket No. FAA–2009–0452; Directorate 

Identifier 2007–NM–326–AD] 

RIN 2120–AA64 

Airworthiness Directives; Boeing 

Model 737–100, –200, –200C, –300, 

–400, and –500 Series Airplanes 

AGENCY: Federal Aviation 

Administration (FAA), Department of 

Transportation (DOT). 

ACTION: Notice of proposed rulemaking 

(NPRM). 

SUMMARY: The FAA proposes to 

supersede an existing airworthiness 

directive (AD) that applies to all Boeing 

Model 737–100, –200, –200C, –300, 

–400, and –500 series airplanes. The 

existing AD currently requires a onetime inspection for scribe lines and 

cracks in the fuselage skin at certain lap 

joints, butt joints, external repair 

doublers, and other areas; and related 

investigative/corrective actions if 

necessary. This proposed AD would 

expand the area to be inspected and, for 

certain airplanes, require earlier 

inspections for certain inspection zones. 

This proposed AD results from 

additional detailed analysis of fuselage 

skin cracks adjacent to the skin lap 

joints on airplanes that had scribe lines; 

the analysis resulted in different 

inspection zones, thresholds and 

repetitive intervals, and airplane 

groupings. We are proposing this AD to 

prevent rapid decompression of the 

airplane due to fatigue cracks resulting 

from scribe lines on pressurized 

fuselage structure. 

DATE: We must receive comments on 

this proposed AD by July 6, 2009. 

ADDRESSES: You may send comments by 

any of the following methods: 

• Federal eRulemaking Portal: Go to 

http://www.regulations.gov. Follow the 

instructions for submitting comments. 

• Fax: 202–493–2251. 

• Mail: U.S. Department of 

Transportation, Docket Operations, M– 

30, West Building Ground Floor, Room 

W12–140, 1200 New Jersey Avenue, SE., 

Washington, DC 20590. 

• Hand Delivery: U.S. Department of 

Transportation, Docket Operations, M– 

30, West Building Ground Floor, Room 

W12–140, 1200 New Jersey Avenue, SE., 

Washington, DC 20590, between 9 a.m. 

and 5 p.m., Monday through Friday, 

except Federal holidays. 

For service information identified in 

this AD, contact Boeing Commercial 

Airplanes, Attention: Data & Services 

Management, P.O. Box 3707, MC 2H–65, 

Seattle, Washington 98124–2207; 

telephone 206–544–5000, extension 1; 

fax 206–766–5680; e-mail 

me.boecom@boeing.com; Internet 

https://www.myboeingfleet.com. You 

may review copies of the referenced 

service information at the FAA, 

Transport Airplane Directorate, 1601 

Lind Avenue, SW., Renton, Washington. 

For information on the availability of 

this material at the FAA, call 425–227– 

1221 or 425–227–1152. 

Examining the AD Docket 

You may examine the AD docket on 

the Internet at http:// 

www.regulations.gov; or in person at the 

Docket Management Facility between 9 

a.m. and 5 p.m., Monday through 

Friday, except Federal holidays. The AD 

docket contains this proposed AD, the 

regulatory evaluation, any comments 

received, and other information. The 

street address for the Docket Office 

(telephone 800–647–5527) is in the 

ADDRESSES section. Comments will be 

available in the AD docket shortly after 

receipt. 

FOR FURTHER INFORMATION CONTACT: 

Wayne Lockett, Aerospace Engineer, 

Airframe Branch, ANM–120S, FAA, 

Seattle Aircraft Certification Office 

(ACO), 1601 Lind Avenue, SW., Renton, 

Washington 98057–3356; telephone 

(425) 917–6447; fax (425) 917–6590. 

SUPPLEMENTARY INFORMATION: 

Comments Invited 

We invite you to send any written 

relevant data, views, or arguments about 

this proposed AD. Send your comments 

to an address listed under the 

ADDRESSES section. Include ‘‘Docket No. 

FAA–2009–0452; Directorate Identifier 

2007–NM–326–AD’’ at the beginning of 

your comments. We specifically invite 

comments on the overall regulatory, 

economic, environmental, and energy 

aspects of this proposed AD. We will 

consider all comments received by the 

closing date and may amend this 

proposed AD because of those 

comments. 

We will post all comments we 

receive, without change, to http:// 

www.regulations.gov, including any 

personal information you provide. We 

will also post a report summarizing each 

substantive verbal contact we receive 

about this proposed AD. 

Discussion 

On March 20, 2006, we issued AD 

2006–07–12, amendment 39–14539 (71 

FR 16211, March 31, 2006), for all 

Boeing Model 737–100, –200, –200C, 

–300, –400, and –500 series airplanes. 

That AD requires a one-time inspection 

for scribe lines and cracks in the 

fuselage skin at certain lap joints, butt 

joints, external repair doublers, and 

other areas; and related investigative/ 

corrective actions if necessary. That AD 

resulted from reports of fuselage skin 

cracks adjacent to the skin lap joints on 

airplanes that had scribe lines. Scribe 

line damage can also occur at many 

other locations, including butt joints, 

external doublers, door scuff plates, the 

wing-to-body fairing, and areas of the 

fuselage where decals have been applied 

or removed. We issued that AD to 

prevent rapid decompression of the 

airplane due to fatigue cracks resulting 

from scribe lines on pressurized 

fuselage structure. 

Related ADs 

This proposed AD is similar to AD 

2007–19–07, amendment 39–15198 (72 

FR 60244, October 24, 2007), which 

applies to all Boeing Model 757–200, 

–200PF, and –200CB series airplanes. 

That AD requires inspections to detect 

scribe lines in the fuselage skin at 

certain lap joints, butt joints, external 

repair doublers, and other areas; and 

related investigative/corrective actions 

if necessary. Those actions resulted 

from reports of fuselage skin cracks 

adjacent to the skin lap joints on 

airplanes that had scribe lines.