Common Crop Insurance Regulations; Rice Crop Insurance Provisions

Published date22 November 2019
Citation84 FR 64411
Record Number2019-25386
SectionRules and Regulations
CourtFederal Crop Insurance Corporation
Federal Register, Volume 84 Issue 226 (Friday, November 22, 2019)
[Federal Register Volume 84, Number 226 (Friday, November 22, 2019)]
                [Rules and Regulations]
                [Pages 64411-64413]
                From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
                [FR Doc No: 2019-25386]
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                Rules and Regulations
                 Federal Register
                ________________________________________________________________________
                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.
                ========================================================================
                Federal Register / Vol. 84, No. 226 / Friday, November 22, 2019 /
                Rules and Regulations
                [[Page 64411]]
                DEPARTMENT OF AGRICULTURE
                Federal Crop Insurance Corporation
                7 CFR Part 457
                [Docket ID FCIC-19-0006]
                RIN 0563-AC62
                Common Crop Insurance Regulations; Rice Crop Insurance Provisions
                AGENCY: Federal Crop Insurance Corporation, USDA.
                ACTION: Final rule with request for comments.
                -----------------------------------------------------------------------
                SUMMARY: The Federal Crop Insurance Corporation (FCIC) amends the
                Common Crop Insurance Regulations, Rice Crop Insurance Provisions (Crop
                Provisions). The intended effect of this action is to allow for new
                irrigation methods and change the cancellation and termination dates in
                certain states to align with other row crops to implement the changes
                contained in the Agriculture Improvement Act of 2018 (commonly referred
                to as the 2018 Farm Bill). The changes will be effective for the 2020
                and succeeding crop years.
                DATES:
                 Effective Date: This final rule is effective November 30, 2019.
                 Comment Date: We will consider comments that we receive on this
                rule by the close of business January 21, 2020. FCIC will consider
                these comments and make changes to the rule if warranted in a
                subsequent rulemaking.
                ADDRESSES: We invite you to submit comments on this rule. In your
                comments, include the date, volume, and page number of this issue of
                the Federal Register, and the title of rule. You may submit comments by
                any of the following methods, although FCIC prefers that you submit
                comments electronically through the Federal eRulemaking Portal:
                 Federal eRulemaking Portal: Go to http://www.regulations.gov and search for Docket ID FCIC-19-0006. Follow the
                online instructions for submitting comments.
                 Mail: Director, Product Administration and Standards
                Division, Risk Management Agency, United States Department of
                Agriculture, P.O. Box 419205, Kansas City, MO 64133-6205.
                 All comments received, including those received by mail, will be
                posted without change and publicly available on http://www.regulations.gov.
                FOR FURTHER INFORMATION CONTACT: Francie Tolle; telephone (816) 926-
                7829; email [email protected]. Persons with disabilities who
                require alternative means of communication should contact the USDA
                Target Center at (202) 720-2600 (voice).
                SUPPLEMENTARY INFORMATION:
                Background
                 The FCIC serves America's agricultural producers through effective,
                market-based risk management tools to strengthen the economic stability
                of agricultural producers and rural communities. FCIC is committed to
                increasing the availability and effectiveness of Federal crop insurance
                as a risk management tool. Approved Insurance Providers (AIP) sell and
                service Federal crop insurance policies in every state and in Puerto
                Rico through a public-private partnership. FCIC reinsures the AIPs who
                share the risks associated with catastrophic losses due to major
                weather events. FCIC's vision is to secure the future of agriculture by
                providing world class risk management tools to rural America.
                 Federal crop insurance policies typically consist of the Basic
                Provisions, the Crop Provisions, the Special Provisions, the Commodity
                Exchange Price Provisions, if applicable, other applicable endorsements
                or options, the actuarial documents for the insured agricultural
                commodity, the Catastrophic Risk Protection Endorsement, if applicable,
                and the applicable regulations published in 7 CFR chapter IV.
                 FCIC amends the Common Crop Insurance Regulations (7 CFR part 457)
                by revising 7 CFR 457.141 Rice Crop Insurance Provisions to implement
                the changes contained in the 2018 Farm Bill (Pub. L. 115-334) to be
                effective for the 2020 and succeeding crop years. The 2018 Farm Bill
                requires that FCIC research and develop an insurance product that
                provides coverage to alternative irrigation practices for rice;
                specifically, intermittent flooding and furrow irrigation practices.
                 The changes to 7 CFR 457.141 Rice Crop Insurance Provisions are as
                follows:
                 1. Section 5--FCIC is adding an additional cancellation and
                termination date of March 15 for Illinois and Missouri. This change is
                needed to make the dates consistent with other row crops in these
                states.
                 2. Section 6--FCIC is revising section 6(c) to allow additional
                irrigation methods to be specified in the Special Provisions. In the
                past, rice has traditionally been grown under flood irrigation, whereby
                an entire field is continuously flooded during the entire growing
                season and not drained until preparations for harvest. Currently, only
                continuously-flooded rice is covered under the Rice Crop Provisions.
                 The intermittent flood irrigation and furrow irrigation methods are
                desirable alternatives to continuous flood irrigation because they
                produce a similar yield to continuously flooded fields while using less
                water and lowering greenhouse gas emissions.
                 Intermittent flood irrigation is a method of crop irrigation, also
                known as alternate wetting and drying (AWD), that allows flood
                irrigation water within a field to subside naturally (dry down) during
                rice growth and development before the rice field is reflooded.
                 Furrow irrigation is a method of crop irrigation in which furrows
                are created to convey water down the field; capacity and equipment must
                be able to apply water uniformly across the crown of the field to
                assure water delivery to all rice plants in the field.
                 These alternative irrigation methods will offer existing rice
                growers flexibility to choose the most appropriate irrigation method
                for their farming operation, while maintaining crop insurance
                eligibility. Crop insurance is an important component of many farming
                operations to manage financial risks and is often required by lending
                institutions to receive an operating loan.
                Effective Date and Notice and Comment
                 In general, the Administrative Procedure Act (APA, 5 U.S.C. 553)
                requires that a notice of proposed rulemaking be published in the
                Federal Register for interested persons to be
                [[Page 64412]]
                given an opportunity to participate in the rulemaking through
                submission of written data, views, or arguments with or without
                opportunity for oral presentation and requires a 30-day delay in the
                effective date of rules, except when the rule involves a matter
                relating to public property, loans, grants, benefits, or contracts.
                This rule involves matters relating to contracts and therefore the
                requirements in section 553 do not apply. Although not required by APA,
                FCIC has chosen to request comments on this rule.
                 The Office of Management and Budget (OMB) designated this rule as
                not major under the Congressional Review Act, as defined by 5 U.S.C.
                804(2). Therefore, FCIC 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 November 30, 2019.
                Executive Orders 12866, 13563, 13771 and 13777
                 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. Executive Order 13777,
                ``Enforcing the Regulatory Reform Agenda,'' established a federal
                policy to alleviate unnecessary regulatory burdens on the American
                people.
                 The Office of Management and Budget (OMB) designated this rule as
                not significant under Executive Order 12866, ``Regulatory Planning and
                Review,'' and therefore, OMB has not reviewed this rule.
                 Executive Order 13771, ``Reducing Regulation and Controlling
                Regulatory Costs,'' requires that in order to manage the private costs
                required to comply with Federal regulations that for every new
                significant or economically significant regulation issued, the new
                costs must be offset by the elimination of at least two prior
                regulations. As this rule is designated as not significant, it is not
                subject to Executive Order 13771.
                Clarity of the Regulation
                 Executive Order 12866, as supplemented by Executive Order 13563,
                requires each agency to write all rules in plain language. In addition
                to your substantive comments on this rule, we invite your comments on
                how to make the rule easier to understand. For example:
                 Are the requirements in the rule clearly stated? Are the
                scope and intent of the rule clear?
                 Does the rule contain technical language or jargon that is
                not clear?
                 Is the material logically organized?
                 Would changing the grouping or order of sections or adding
                headings make the rule easier to understand?
                 Could we improve clarity by adding tables, lists, or
                diagrams?
                 Would more, but shorter, sections be better? Are there
                specific sections that are too long or confusing?
                 What else could we do to make the rule easier to
                understand?
                Regulatory Flexibility Act
                 The Regulatory Flexibility Act (5 U.S.C. 601-612), as amended by
                SBREFA, generally requires an agency to prepare a regulatory analysis
                of any rule whenever an agency is required by APA or any other law to
                publish a proposed rule, unless the agency certifies that the rule will
                not have a significant economic impact on a substantial number of small
                entities. This rule is not subject to the Regulatory Flexibility Act
                because as noted above, this rule is exempt from APA and no other law
                requires that a proposed rule be published for this rulemaking
                initiative.
                Environmental Review
                 In general, the environmental impacts of rules 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 rule will not have a significant environmental
                effect. Therefore, FCIC will not prepare an environmental assessment or
                environmental impact statement for this action and this rule serves as
                documentation of the programmatic environmental compliance decision.
                Executive Order 12372
                 Executive Order 12372, ``Intergovernmental Review of Federal
                Programs,'' requires consultation with State and local officials that
                would be directly affected by proposed Federal financial assistance.
                The objectives of the Executive Order are to foster an
                intergovernmental partnership and a strengthened Federalism, by relying
                on State and local processes for State and local government
                coordination and review of proposed Federal financial assistance and
                direct Federal development. For reasons specified in the final rule
                related notice regarding 7 CFR part 3015, subpart V (48 FR 29115, June
                24, 1983), the programs and activities in this rule are excluded from
                the scope of Executive Order 12372.
                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 part 11 are to be exhausted.
                Executive Order 13132
                 This rule has been reviewed under Executive Order 13132,
                ``Federalism.'' 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, except as
                required by law. 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
                 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.
                [[Page 64413]]
                 FCIC has assessed the impact of this rule on Indian Tribes and
                determined that this rule does not, to our knowledge, have Tribal
                implications that require Tribal consultation under E.O. 13175. The
                regulation changes do not have Tribal implications that preempt Tribal
                law and are not expected have a substantial direct effect on one or
                more Indian Tribes. If a Tribe requests consultation, FCIC will work
                with the USDA Office of Tribal Relations to ensure meaningful
                consultation is provided where changes and additions identified in this
                rule are not expressly mandated by the 2018 Farm Bill.
                Unfunded Mandates
                 Title II of the Unfunded Mandates Reform Act of 1995 (UMRA, Pub. L.
                104-4) requires Federal agencies to assess the effects of their
                regulatory actions of State, local, and Tribal governments or the
                private sector. Agencies generally must prepare a written statement,
                including cost benefits 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 cost effective 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 Program
                 The title and number of the Federal Domestic Assistance Program
                listed in the Catalog of Federal Domestic Assistance to which this rule
                applies is No. 10.450--Crop Insurance.
                Paperwork Reduction Act of 1995
                 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.
                E-Government Act Compliance
                 FCIC 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 in 7 CFR Part 457
                 Acreage allotments, Crop insurance, Reporting and recordkeeping
                requirements.
                Final Rule
                 For the reasons discussed above, FCIC amends 7 CFR part 457,
                effective for the 2021 and succeeding crop years, as follows:
                PART 457--COMMON CROP INSURANCE REGULATIONS
                0
                1. The authority citation for part 457 continues to read as follows:
                 Authority: 7 U.S.C. 1506(l) and 1506(o).
                0
                2. Amend Sec. 457.141 as follows:
                0
                a. In the introductory text by removing ``2017'' and adding ``2020'' in
                its place;
                0
                b. Revise the table in section 5; and
                0
                c. Revise section 6(c).
                 The revisions read as follows:
                Sec. 457.141 Rice crop insurance provisions.
                * * * * *
                 5. Cancellation and Termination Dates
                * * * * *
                ------------------------------------------------------------------------
                 Cancellation and
                 State and county termination date
                ------------------------------------------------------------------------
                Jackson, Victoria, Goliad, Bee, Live Oak, January 31.
                 McMullen, La Salle, and Dimmit Counties,
                 Texas; and all Texas Counties south
                 thereof;
                Florida.................................... February 15.
                Illinois and Missouri...................... March 15.
                All other states........................... February 28.
                ------------------------------------------------------------------------
                * * * * *
                 6. Insured Crop.
                * * * * *
                 (c) That is flood irrigated unless otherwise specified in the
                Special Provisions; and
                * * * * *
                Robin Anderson,
                Executive Secretary, Federal Crop Insurance Corporation.
                [FR Doc. 2019-25386 Filed 11-21-19; 8:45 am]
                 BILLING CODE 3410-08-P
                

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