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Coronavirus Food Assistance Program 2; Producers of Sale-Based Commodities and Contract Producers (rule, 86 FR 48013, August 27, 2021)

Summary

A final rule from the Office of the Secretary, USDA, amending the Coronavirus Food Assistance Program 2 (CFAP 2) provisions for producers of sales-based commodities and contract producers. It was published on August 27, 2021 (Vol. 86, No. 164), Docket ID FSA–2020–0006, RIN 0503–AA71. Citing section 751 of Subtitle B of Title VII of Division N of CAA, it amends the payment calculation in 7 CFR 9.203(i) and (j) to let eligible producers substitute 2018 sales for 2019 sales. The rule announces a CFAP 2 application deadline of October 12, 2021, amending 7 CFR 9.4, and clarifies general provisions on equitable relief and refunds. It is effective August 27, 2021, with comments on the information collection due October 26, 2021.

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Cite this document

“Coronavirus Food Assistance Program 2; Producers of Sale-Based Commodities and Contract Producers (rule, 86 FR 48013, August 27, 2021).” Original at www.govinfo.gov. Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/coronavirus-food-assistance-program-2-producers-of-sale-based-commodit-82fa06acfe/, SHA-256 5607541fc18fb0bfc1675f6da69e1d50795b85411fbf2bbd4f3131149b20efb3.

Full text

                                                                                                                                                                                          48013

                                            Rules and Regulations                                                                                         Federal Register
                                                                                                                                                          Vol. 86, No. 164

                                                                                                                                                          Friday, August 27, 2021



                                            This section of the FEDERAL REGISTER                    Information and Regulatory Affairs,                   Application Deadline
                                            contains regulatory documents having general            Office of Management and Budget,                         On March 24, 2021, USDA announced
                                            applicability and legal effect, most of which           Washington, DC 20503.
                                            are keyed to and codified in the Code of                                                                      in a news release that the application
                                            Federal Regulations, which is published under             Comments will be available for                      period for CFAP 2 was reopened for all
                                            50 titles pursuant to 44 U.S.C. 1510.                   inspection online at http://                          eligible producers for at least 60 days
                                                                                                    www.regulations.gov. Copies of the                    beginning on April 5, 2021. This
                                            The Code of Federal Regulations is sold by              information collection may be requested               reopening allowed USDA to improve
                                            the Superintendent of Documents.                        by contacting Brittany Ramsburg at the                outreach efforts and ensure that
                                                                                                    above address.                                        producers in socially disadvantaged
                                                                                                                                                          communities were informed and aware
                                            DEPARTMENT OF AGRICULTURE                               FOR FURTHER INFORMATION CONTACT:                      of the application process. This rule
                                                                                                    Kimberly Graham; telephone: (202) 720–                announces that the CFAP 2 application
                                            Office of the Secretary                                 6825; email: Kimberly.Graham@                         deadline will be October 12, 2021, and
                                                                                                    usda.gov. Persons with disabilities who               amends 7 CFR 9.4 to specify the
                                            7 CFR Part 9                                            require alternative means for                         deadline. This deadline applies to all
                                            [Docket ID: FSA–2020–0006]                              communication should contact the                      producers applying for CFAP 2,
                                                                                                    USDA Target Center at (202) 720–2600                  including producers of sales-based
                                            RIN 0503–AA71
                                                                                                    (voice) or (844) 433–2774 (toll-free                  commodities and contract producers
                                            Coronavirus Food Assistance Program                     nationwide).                                          who submit new applications or revise
                                            2; Producers of Sale-Based                                                                                    previously filed applications due to the
                                                                                                    SUPPLEMENTARY INFORMATION: USDA
                                            Commodities and Contract Producers                                                                            changes included in this rule.
                                                                                                    established CFAP to assist producers of
                                            AGENCY: Office of the Secretary,                        agricultural commodities marketed in                  Sales-Based Commodities
                                            Department of Agriculture (USDA).                       2020 who faced continuing market                         Consistent with section 751 of
                                            ACTION: Final rule.                                     disruptions, reduced farm-level prices,               Subtitle B of Title VII of Division N of
                                                                                                    and increased production and marketing                CAA, USDA is amending the CFAP 2
                                            SUMMARY: This rule amends the                           costs due to COVID–19. CFAP went                      payment calculation for sales-based
                                            Coronavirus Food Assistance Program 2                   through two rounds of payments (CFAP                  commodities in 7 CFR 9.203(i) and (j) to
                                            (CFAP 2) provisions related to                          1 and CFAP 2), and the Farm Service                   allow eligible producers to substitute
                                            assistance for producers of sales-based                 Agency (FSA) is administering CFAP 2,                 2018 sales for 2019 sales. Previously,
                                            commodities and contract producers.                     as directed by the Secretary of                       payments for producers of sales-based
                                            This rule also announces the deadline                   Agriculture. USDA announced CFAP 2                    commodities were based only on 2019
                                            for submitting CFAP 2 applications and                  through a final rule published in the                 sales; however, various conditions
                                            clarifies general provisions related to                 Federal Register on September 22, 2020.               occurring in 2019 could have adversely
                                            equitable relief and refunds.                           85 FR 59380–59388. A second final rule                affected a producer’s amount of sales
                                            DATES:                                                  was published on January 19, 2021. 86                 and therefore their CFAP 2 payment.
                                              Effective date: August 27, 2021.                      FR 4877–4883. That rule amended                       CFAP 2 uses a producer’s 2019 sales as
                                              Comment due date: With grass seed                     CFAP 2 provisions and included                        an approximation of what the producer
                                            being added as an eligible crop under                   assistance for contract producers of                  would have expected to market in 2020,
                                            CFAP, we will consider comments on                      swine and poultry (including broilers,                which could not be determined for most
                                            the information collection requirements                 pullets, layers, chicken eggs, and                    producers at the time of application.
                                            under the Paperwork Reduction Act that                  turkeys), who were not originally                     Under the final rule published on
                                            we receive by: October 26, 2021.                        eligible for CFAP 2. After publication of             January 19, 2021, crop insurance
                                            ADDRESSES: We invite you to submit
                                                                                                    that rule, USDA suspended approval of                 indemnities under the Federal Crop
                                            comments on the information collection                  applications from contract producers                  Insurance Act, 7 U.S.C 1501–1524, and
                                            requirements. You may submit                            while that final rule was under review.               2019 crop year payments under the
                                            comments by any of the following                           As a result of that review and for                 Noninsured Crop Disaster Assistance
                                            methods:                                                consistency with the provisions of the                Program (NAP) and Wildfires and
                                              • Federal eRulemaking Portal: Go to:                  Consolidated Appropriations Act, 2021                 Hurricanes Indemnity Program Plus
                                            www.regulations.gov and search for                      (CAA), Public Law 116–260, USDA is                    (WHIP+), are included as eligible sales
                                            Docket ID FSA–2020–0006. Follow the                     making changes to the provisions for                  under 7 CFR 9.202(i) in addition to the
                                            online instructions for submitting                      CFAP 2 as described below. These                      amount of the producer’s 2019 sales, as
                                            comments.                                               changes include adjusting the CFAP 2                  required by Subtitle B, section 751, of
                                              • Mail, Hand-Delivery, or Courier:                    application deadline, changing the                    the CAA. That change is intended to
                                            Director, Safety Net Division, Farm                     calculation of payments for sales-based               more accurately represent what a
                                            Service Agency, U.S. Department of                      commodities, adding grass seed as an                  producer would have expected to have




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                                            Agriculture, 1400 Independence Avenue                   eligible sales-based commodity,                       marketed in 2020 by taking into account
                                            SW, Stop 0510, Washington, DC 20250–                    changing aspects of the provisions for                commodities that would have been
                                            0522. In your comment, specify the                      assistance for contract producers, and                available for marketing in 2019 but were
                                            docket ID FS–2020–0006.                                 clarifying the applicability of equitable             lost due to natural events. However,
                                              You may also send comments to the                     relief provisions and provisions                      crop insurance indemnities and NAP
                                            Desk Officer for Agriculture, Office of                 requiring refunds.                                    and WHIP+ program payments for a


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                                            48014              Federal Register / Vol. 86, No. 164 / Friday, August 27, 2021 / Rules and Regulations

                                            crop are less than the full amount that                 types. In addition to the listed livestock            producer’s square footage increase to the
                                            a producer would have expected to                       and poultry types, USDA may                           operation in 2020, or a contract
                                            receive for marketing the commodity if                  determine that additional livestock and               producer’s production or number of
                                            there was no loss. Giving producers the                 poultry types are eligible at a later time.           turns for 2018, 2019, or 2020, as
                                            option to substitute 2018 sales                         These changes are reflected in a new                  applicable.
                                            (including 2018 crop insurance                          definition of ‘‘eligible contract livestock              This rule also provides assistance in
                                            indemnities and 2018 crop year NAP                      or poultry’’ in 7 CFR 9.201, in which                 7 CFR 9.202(d) and 9.203(m) to
                                            and WHIP+ payments) for 2019 sales                      USDA is also clarifying that contract                 producers who were not in operation in
                                            provides additional flexibility to                      producers of breeding stock of those                  2018 or 2019, who would have been
                                            producers who had reduced sales in                      defined eligible livestock and poultry                ineligible under the previous final rule.
                                            2019.                                                   are eligible for CFAP 2. Contract                     Assistance for these producers is based
                                               In addition, USDA has determined                     producers of breeding stock are                       on their 2020 eligible revenue and the
                                            that producers of grass seed faced                      included because those producers may                  average revenue loss level, which will
                                            continuing market disruptions, low                      have suffered a revenue loss for the                  be determined by USDA for a
                                            farm-level prices, and significant                      livestock and poultry, regardless of the              geographic area based on the best
                                            marketing costs associated with the                     livestock owner’s intended end use of                 available data including, but not limited
                                            COVID–19 outbreak, similar to                           the animals. This rule also amends the                to, losses reported by other contract
                                            producers of commodities that were                      definition of ‘‘producer’’ in 7 CFR 9.201             producers for the same area and type of
                                            previously determined to be eligible for                to specify that the requirement that a                livestock or poultry as reported in their
                                            CFAP 2 assistance. As a result, USDA is                 producer must be in the business of                   CFAP 2 applications.
                                            amending the definitions of ‘‘Ineligible                farming at the time of application does                  This rule also specifies that payments
                                            commodities’’ and ‘‘Sales-based                         not apply to contract producers because               to contract producers will be calculated
                                            commodities’’ in § 9.201 to make grass                  contract producers may have had                       separately for the categories of livestock
                                            seed an eligible commodity.                             contracts terminated for reasons outside              listed in § 9.203(n). As provided in the
                                                                                                    of their control due to COVID–19.                     previous final rule, payments to contract
                                            Contract Producers
                                                                                                       The final rule published on January                producers may be factored if total
                                               The final rule published on January                  19, 2021, specified that payments for                 calculated payments exceed the
                                            19, 2021, added provisions to provide                   contract producers would be based on a                available funding under 7 CFR 9.203(o).
                                            assistance for contract producers and                   comparison of eligible revenue for the
                                            specified that those payments would be                                                                        Other Changes
                                                                                                    periods of January 1, 2019, through
                                            issued with remaining funding                           December 27, 2019, and January 1, 2020,                  This rule amends § 9.7(a) to address
                                            authorized by the Coronavirus Aid,                      through December 27, 2020. This rule                  situations where FSA determines that
                                            Relief, and Economic Security Act                       amends the regulation in 7 CFR 9.202(b)               the applicant intentionally
                                            (CARES Act; Pub. L. 116–136). Contract                  and 9.203(l) to allow a contract                      misrepresented either the total amount
                                            producer payments were suspended                        producer to elect to use eligible revenue             or producer’s share of the commodities,
                                            before any CARES Act funding was used                   from the period of January 1, 2018,                   acres, sales, or revenue on their
                                            to fund those payments. Subtitle B,                     through December 27, 2018, in lieu of                 application. In those cases, the
                                            section 751, of the CAA specifically                    during that date range in 2019. This                  producer’s application will be
                                            directs the Secretary to use not more                   change is intended to provide flexibility             disapproved and the participant must
                                            than $1 billion of the additional funding               and make the program more equitable                   refund the full payment to FSA with
                                            provided under the CAA to make                          for contract producers who had reduced                interest from the date of disbursement.
                                            payments to contract producers of                       revenue in 2019 compared to a normal                  This rule also amends § 9.7(b) to specify
                                            livestock and poultry to cover not more                 year for their operation.                             that the equitable relief provisions of 7
                                            than 80 percent of their revenue losses,                   The payment calculation in the final               CFR part 718, subpart D, apply to CFAP
                                            as determined by the Secretary of                       rule published on January 19, 2021,                   determinations.
                                            Agriculture, from January 1, 2020,                      specified that payments for contract
                                            through December 27, 2020. While CAA                    producers would be equal to the eligible              Notice and Comment, Effective Date,
                                            uses the term ‘‘contract grower’’ and the               revenue received from January 1, 2019,                and Exemptions
                                            CFAP 2 regulation uses the term                         through December 27, 2019, minus the                     The Administrative Procedure Act
                                            ‘‘contract producer’’ both terms refer to               eligible revenue received from January                (APA), 5 U.S.C. 553(a)(2), provides that
                                            and mean the same people or entities;                   1, 2020, through December 27, 2020,                   the notice-and-comment and 30-day
                                            this rule uses the term ‘‘contract                      multiplied by 80 percent. In response to              delay in the effective date requirements
                                            producer,’’ for consistency. Payments to                additional review and stakeholder                     do not apply when the rule involves
                                            contract producers will be funded as                    concerns about certain situations when                specified actions, including matters
                                            authorized by the CAA rather than the                   the original calculation would not                    relating to benefits. This rule governs
                                            CARES Act.                                              accurately capture a contract producer’s              CFAP for payments to certain
                                               This rule also amends the provisions                 loss of eligible revenue due to COVID–                commodity producers and therefore
                                            for contract producers based on                         19, this rule amends the regulation at 7              falls within the benefits exemption.
                                            additional evaluation of CFAP 2 and                     CFR 9.203(l)(4) to allow FSA to adjust                   This rule is exempt from the
                                            stakeholder concerns related to the                     a contract producer’s eligible revenue                regulatory analysis requirements of the
                                            payment calculation. The previous final                 based on information certified by the                 Regulatory Flexibility Act (5 U.S.C.
                                            rule provided assistance for contract                   contract producer on supplemental form                601–612), as amended by the Small
                                            producers of broilers, pullets, layers,                 AD–3117B if a contract producer did                   Business Regulatory Enforcement




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                                            chicken eggs, turkeys, hogs, and pigs.                  not have a full period of revenue from                Fairness Act of 1996 (SBREFA). The
                                            After further review, USDA has                          January 1 to December 27 for either                   requirements for the regulatory
                                            determined that contract producers of                   2018 or 2019, or if the contract producer             flexibility analysis in 5 U.S.C. 603 and
                                            ducks, geese, pheasants, and quail will                 increased their operation size in 2020.               604 are specifically tied to the
                                            also be eligible, including contract                    Information required to calculate these               requirement for a proposed rule by
                                            producers of eggs of all eligible poultry               adjustments includes a contract                       section 553 or any other law; in


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                                                               Federal Register / Vol. 86, No. 164 / Friday, August 27, 2021 / Rules and Regulations                                           48015

                                            addition, the definition of rule in 5                      In implementing these programs,                      explicitly included in the initial CFAP
                                            U.S.C. 601 is tied to the publication of                additional assistance was deemed                        2 rule. For example, grass seed was not
                                            a proposed rule.                                        necessary. Subdivision B, section 751,                  included in the initial CFAP 2 rule, but
                                               The Office of Management and Budget                  of the CAA authorizes payments of up                    evidence indicates that production and
                                            (OMB) designated this rule as major                     to 80 percent of contract producers’                    revenue were significantly affected. This
                                            under the Congressional Review Act                      revenue loss and up to $1 billion in                    rule clarifies that grass seed is now an
                                            (CRA), as defined by 5 U.S.C. 804(2).                   funding. To qualify for payment, a                      eligible sales-based commodity, the
                                            Section 808 of the CRA allows an                        producer must demonstrate a drop in                     expected cost is $41 million.
                                            agency to make a major regulation                       revenue (‘‘revenue loss’’) between 2019                    FSA, which implemented CFAP 1 and
                                            effective immediately if the agency finds               and 2020. The producer can then choose                  2, is implementing these three
                                            there is good cause to do so. The                       their 2018 revenue in lieu of their 2019                provisions. Producers must fill out
                                            beneficiaries of this rule have been                    revenue in the revenue loss calculation                 paperwork to participate in these
                                            significantly impacted by the COVID–19                  if their 2018 revenue is more                           programs, and the associated
                                            outbreak, which has resulted in                         representative of anticipated revenue in                administrative costs are estimated at
                                            significant declines in demand and                      2020. In addition, note that the CFAP                   $1.5 million for contract producers, $2.2
                                            market disruptions. USDA finds that                     Additional Assistance regulation,                       million for the use of 2018 versus 2019
                                            notice and public procedure would be                    published on January 19, 2021,                          revenue in the calculations for sales-
                                            contrary to the public interest.                        provided assistance to contract                         based commodities, and $0.1 million for
                                            Therefore, even though this rule is a                   producers. CFAP Additional Assistance                   grass seed.
                                            major rule for purposes of the                          activity was paused in late January                     Environmental Review
                                            Congressional Review Act, USDA is not                   2021. No payments were issued to
                                                                                                    contract producers under that                              The environmental impacts of this
                                            required to delay the effective date for
                                                                                                    regulation.                                             final rule have been considered in a
                                            60 days from the date of publication to                                                                         manner consistent with the provisions
                                            allow for Congressional review.                            This rule and cost-benefit analysis use
                                                                                                    an 80 percent payment factor, the                       of the National Environmental Policy
                                            Accordingly, this rule is effective upon                                                                        Act (NEPA, 42 U.S.C. 4321–4347), the
                                            publication in the Federal Register.                    maximum allowed by the CAA, and
                                                                                                    apply it to the individual producer’s                   regulations of the Council on
                                            Executive Orders 12866 and 13563                        actual 2019 to 2020 revenue change.                     Environmental Quality (40 CFR parts
                                                                                                    Contract producer payments are highly                   1500–1508), and because USDA will be
                                              Executive Order 12866, ‘‘Regulatory                                                                           making the payments to producers the
                                            Planning and Review,’’ and Executive                    uncertain and can depend on the
                                                                                                    number of animals received by the                       USDA regulations for compliance with
                                            Order 13563, ‘‘Improving Regulation                                                                             NEPA (7 CFR part 1b).
                                            and Regulatory Review,’’ direct agencies                contractor and the price paid by the
                                                                                                    integrator to the contractor. The                          Although OMB has designated this
                                            to assess all costs and benefits of                                                                             rule as ‘‘economically significant’’
                                                                                                    projections contained in this assessment
                                            available regulatory alternatives and, if                                                                       under Executive Order 12866,
                                                                                                    provide an upper bound at over $1
                                            regulation is necessary, to select                                                                              ‘‘economic or social effects are not
                                                                                                    billion. However, available evidence
                                            regulatory approaches that maximize                                                                             intended by themselves to require
                                                                                                    suggests that year-to-year differences in
                                            net benefits (including potential                                                                               preparation of an environmental impact
                                                                                                    animal volume may moderate that
                                            economic, environmental, public health,                                                                         statement’’ when not interrelated to
                                                                                                    estimate. Broiler and hog contract
                                            and safety effects; distributive impacts;                                                                       natural or physical environmental
                                                                                                    producers will receive the bulk of
                                            and equity). Executive Order 13563                                                                              effects (see 40 CFR 1502.16(b)). CFAP
                                                                                                    payments.
                                            emphasized the importance of                                                                                    was designed to avoid skewing planting
                                                                                                       In contrast to assistance for contract
                                            quantifying both costs and benefits, of                                                                         decisions. Producers continue to make
                                                                                                    producers, CAA provides authority for,
                                            reducing costs, of harmonizing rules,                                                                           their planting and production decisions
                                                                                                    but does not mandate, use of 2018 or
                                            and of promoting flexibility. The                                                                               with the market signals in mind, rather
                                                                                                    2019 revenue data in the calculation of
                                            requirements in Executive Orders 12866                                                                          than any expectation of what a new
                                                                                                    payments for sales-based 1 commodities.
                                            and 13563 for the analysis of costs and                                                                         USDA program might look like. The
                                                                                                    This provision, included in this rule,
                                            benefits apply to rules that are                                                                                discretionary aspects of CFAP (for
                                                                                                    ensures that farmers who had lower
                                            determined to be significant.                                                                                   example, determining adjusted gross
                                                                                                    sales in 2019 than in 2018—for
                                              The Office of Management and Budget                   example, those unable to plant a 2019                   income (AGI) and payment limitations)
                                            (OMB) designated this rule as                           crop—would not be penalized in the                      were designed to be consistent with
                                            economically significant under                          payment calculation. Fifty-two percent                  established USDA and the FSA
                                            Executive Order 12866. Therefore, OMB                   of sales-based applicants are projected                 administered programs and are not
                                            has reviewed this rule.                                 to prefer the use of 2018 revenue data                  expected to have any impact on the
                                              The costs and benefits of this rule are               (relative to 2019 data) based on analysis               human environment, as CFAP payments
                                            summarized below. The full cost benefit                 of USDA cash receipts data. The                         will only be made after the commodity
                                            analysis is available on regulations.gov.               expected cost associated with this                      has been produced. Accordingly, the
                                                                                                    change is estimated at $207 million.                    following Categorical Exclusion in 7
                                            Cost Benefit Analysis Summary
                                                                                                       Upon implementation of the CFAP 2                    CFR part 1b applies: § 1b.3(a)(2), which
                                              CFAP 1 and CFAP 2 assisted                            rule, FSA became aware that certain                     applies to activities that deal solely with
                                            producers of agricultural commodities                   commodities had experienced COVID–                      the funding of programs, such as
                                            marketed in 2020 who faced continuing                   19 market disruptions but had not been                  program budget proposals,
                                            market disruptions, reduced farm-level                                                                          disbursements, and the transfer or




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                                            prices, and increased production and                       1 This category includes fruits, vegetables, and     reprogramming of funds. As such, the
                                            marketing costs due to COVID–19.                        nuts; dry edible beans, lentils, dry edible peas, and   implementation of and participation in
                                            These additional costs are associated                   chickpeas; and commodities including aquaculture,       CFAP do not constitute major Federal
                                                                                                    turkeys, mink, mohair, rabbits, and others. For more
                                            with declines in demand, surplus                        information, see the CFAP 2 cost-benefit assessment
                                                                                                                                                            actions that would significantly affect
                                            productions, or disruptions to shipping                 at: https://www.farmers.gov/sites/default/files/        the quality of the human environment.
                                            patterns and marketing channels.                        documents/CFAP2-CBA-09252020.pdf.                       Therefore, an environmental assessment


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                                            48016              Federal Register / Vol. 86, No. 164 / Friday, August 27, 2021 / Rules and Regulations

                                            or environmental impact statement for                   Tribal governments, in the aggregate, or              time per response multiplied by the
                                            this regulatory action will not be                      to the private sector. UMRA generally                 estimated total annual responses.
                                            prepared; this rule serves as                           requires agencies to consider                           Estimate of Respondent Burden:
                                            documentation of the programmatic                       alternatives and adopt the more cost-                 Public reporting burden for this
                                            environmental compliance decision for                   effective or least burdensome alternative             information collection is estimated to
                                            this Federal action.                                    that achieves the objectives of the rule.             average 0.43 hours per response,
                                                                                                    This rule contains no Federal mandates,               including the time for reviewing
                                            Executive Order 12988
                                                                                                    as defined in Title II of UMRA, for State,            instructions, searching existing data
                                               This rule has been reviewed under                    local, and Tribal governments or the                  sources, gathering and maintaining the
                                            Executive Order 12988, ‘‘Civil Justice                  private sector. Therefore, this rule is not           data needed and completing and
                                            Reform.’’ This rule will not preempt                    subject to the requirements of sections               reviewing the collections of
                                            State or local laws, regulations, or                    202 and 205 of UMRA.                                  information.
                                            policies unless they represent an                                                                               Type of Respondents: Producers or
                                            irreconcilable conflict with this rule.                 Federal Assistance Programs                           farmers.
                                            Before any judicial actions may be                        The title and number of the Federal                   Estimated Annual Number of
                                            brought regarding the provisions of this                Domestic Assistance Program found in                  Respondents: 2,204.
                                            rule, the administrative appeal                         the Catalog of Federal Domestic                         Estimated Number of Responses per
                                            provisions of 7 CFR parts 11 and 780 are                Assistance to which this rule applies is              Respondent: 2.005.
                                            to be exhausted.                                        10.132—Coronavirus Food Assistance                      Estimated Total Annual Responses:
                                            Executive Order 13175                                   Program 2.                                            4,419.
                                                                                                                                                            Estimated Average Time per
                                               This rule has been reviewed in                       Paperwork Reduction Act                               Response: 0.43 hours.
                                            accordance with the requirements of                        In accordance with the Paperwork                     Estimated Annual Burden on
                                            Executive Order 13175, ‘‘Consultation                   Reduction Act of 1995, FSA is                         Respondents: 1,892 hours.
                                            and Coordination with Indian Tribal                     administering the information collection                FSA is requesting comments on all
                                            Governments.’’ Executive Order 13175                    activities under a currently approved                 aspects of this information collection to
                                            requires Federal agencies to consult and                information collection request of OMB                 help us to:
                                            coordinate with Tribes on a                             control number of 0560–0297. Thus,                      (1) Evaluate whether the collection of
                                            government-to-government basis on                       there are no required changes to the                  information is necessary for the proper
                                            policies that have Tribal implications,                 information collection request for FSA                performance of the functions of FSA,
                                            including regulations, legislative                      in providing assistance for contract                  including whether the information will
                                            comments, or proposed legislation, and                  producers of eligible contract livestock              have practical utility;
                                            other policy statements or actions that                 and poultry and to provide additional                   (2) Evaluate the accuracy of the FSA’s
                                            have substantial direct effects on one or               assistance for other commodities as                   estimate of burden including the
                                            more Indian Tribes, on the relationship                 described in this rule.                               validity of the methodology and
                                            between the Federal Government and                                                                            assumptions used;
                                                                                                       Additionally, the new information
                                            Indian Tribes, or on the distribution of                                                                        (3) Enhance the quality, utility, and
                                                                                                    collection request for the eligible grass
                                            power and responsibilities between the                                                                        clarity of the information to be
                                                                                                    seed that will be included in the CFAP
                                            Federal Government and Indian Tribes.                                                                         collected; and
                                                                                                    was submitted to OMB for emergency
                                               USDA has assessed the impact of this                                                                         (4) Minimize the burden of the
                                                                                                    approval. FSA will collect and evaluate
                                            rule on Indian Tribes and determined                                                                          collection of information on those who
                                                                                                    the application from the producers and
                                            that this rule does not, to our                                                                               are to respond, including through the
                                                                                                    other required paperwork. Following
                                            knowledge, have Tribal implications                                                                           use of appropriate automated,
                                                                                                    the 60-day public comment period
                                            that required Tribal consultation under                                                                       electronic, mechanical, or other
                                                                                                    provided by this rule, FSA intends to
                                            Executive Order 13175 at this time. If a                                                                      technological collection techniques or
                                                                                                    merge the burden hours associated with
                                            Tribe requests consultation, the USDA                                                                         other forms of information technology.
                                                                                                    the new grass seed information                          All comments received in response to
                                            Office of Tribal Relations (OTR) will
                                                                                                    collection request (ICR) into the main                this document, including names and
                                            ensure meaningful consultation is
                                                                                                    CFAP 2 ICR that is currently approved                 addresses when provided, will be a
                                            provided where changes, additions, and
                                                                                                    under OMB control number 0560–0297.                   matter of public record. Comments will
                                            modifications are not expressly
                                            mandated by law. Outside of Tribal                         Title: CFAP 2.                                     be summarized and included in the
                                            consultation, USDA is working with                         OMB Control Number: 0560–New.                      submission for Office of Management
                                            Tribes to provide information about                        Type of Request: New Collection.                   and Budget approval.
                                            CFAP additional assistance and other                       Abstract: This information collection
                                                                                                    is required to support CFAP 2                         USDA Non-Discrimination Policy
                                            issues.
                                                                                                    information collection activities to                     In accordance with Federal civil
                                            Unfunded Mandates                                       provide payments to eligible producers                rights law and U.S. Department of
                                              Title II of the Unfunded Mandates                     who, with respect to their agricultural               Agriculture (USDA) civil rights
                                            Reform Act of 1995 (UMRA), Public                       commodities, have been impacted by                    regulations and policies, USDA, its
                                            Law 104–4, requires Federal agencies to                 the effects of the COVID–19 pandemic.                 Agencies, offices, and employees, and
                                            assess the effects of their regulatory                  The information collection is necessary               institutions participating in or
                                            actions on State, local, and Tribal                     to evaluate the application and other                 administering USDA programs are
                                            governments or the private sector.                      required paperwork for determining the                prohibited from discriminating based on




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                                            Agencies generally must prepare a                       producer’s eligibility and assist in the              race, color, national origin, religion, sex,
                                            written statement, including a cost                     producer’s payment calculations.                      gender identity (including gender
                                            benefit analysis, for proposed and final                   For the following estimated total                  expression), sexual orientation,
                                            rules with Federal mandates that may                    annual burden on respondents, the                     disability, age, marital status, family or
                                            result in expenditures of $100 million or               formula used to calculate the total                   parental status, income derived from a
                                            more in any 1 year for State, local, or                 burden hour is the estimated average                  public assistance program, political


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                                                               Federal Register / Vol. 86, No. 164 / Friday, August 27, 2021 / Rules and Regulations                                                48017

                                            beliefs, or reprisal or retaliation for prior              (2) October 12, 2021, for payments                   contract producers determined by
                                            civil rights activity, in any program or                issued under § 9.203.                                   USDA for a geographic area based on
                                            activity conducted or funded by USDA                    *      *     *    *      *                              the best available data including, but
                                            (not all bases apply to all programs).                  ■ 3. Amend § 9.7 as follows:
                                                                                                                                                            not limited to, losses reported by
                                            Remedies and complaint filing                           ■ a. Revise paragraph (a); and                          contract producers for the same area and
                                            deadlines vary by program or incident.                  ■ b. In paragraph (b), remove the words                 type of livestock or poultry.
                                               Persons with disabilities who require                ‘‘in parts’’ and add ‘‘in part 718, subpart             *     *     *     *     *
                                            alternative means of communication for                  D, and parts’’ in their place.                            Eligible contract livestock or poultry
                                            program information (for example,                          The revision reads as follows:                       means broilers, pullets, layers, poultry
                                            Braille, large print, audiotape, American                                                                       eggs, turkeys, ducks, geese, pheasants,
                                            Sign Language, etc.) should contact the                 § 9.7     Miscellaneous provisions.                     quail, hogs, pigs, and other livestock or
                                            responsible Agency or USDA TARGET                          (a) If a CFAP payment resulted from                  poultry types determined eligible and
                                            Center at (202) 720–2600 or (844) 433–                  erroneous information provided by a                     announced by USDA, including
                                            2774 (toll-free nationwide).                            participant, or any person acting on                    breeding stock of those eligible livestock
                                            Additionally, program information may                   their behalf, the payment will be                       and poultry types.
                                            be made available in languages other                    recalculated and the participant must                   *     *     *     *     *
                                            than English.                                           refund any excess payment with interest                   Turn means a group of eligible
                                               To file a program discrimination                     calculated from the date of the                         contract livestock or poultry that is
                                            complaint, complete the USDA Program                    disbursement of the payment.                            delivered to a contract producer who
                                            Discrimination Complaint Form, AD–                         (1) If FSA determines that the                       provides labor and equipment to
                                            3027, found online at https://                          applicant intentionally misrepresented                  produce the livestock or poultry for the
                                            www.usda.gov/oascr/how-to-file-a-                       either the total amount or applicant’s                  integrator or owner.
                                            program-discrimination-complaint and                    share of the commodities, acres, sales,                 *     *     *     *     *
                                            at any USDA office or write a letter                    or revenue on their application, the
                                                                                                                                                            ■ 5. Amend § 9.202 by revising
                                            addressed to USDA and provide in the                    application will be disapproved and the
                                                                                                    applicant must refund the full payment                  paragraphs (b)(1) through (3) and adding
                                            letter all the information requested in                                                                         paragraphs (b)(4) and (d) to read as
                                            the form. To request a copy of the                      to FSA with interest from the date of
                                                                                                    disbursement.                                           follows:
                                            complaint form, call (866) 632–9992.
                                            Submit your completed form or letter to                    (2) Any required refunds must be                     § 9.202      Eligibility.
                                            USDA by mail to: U.S. Department of                     resolved in accordance with part 3 of                   *       *    *     *     *
                                            Agriculture, Office of the Assistant                    this title.                                                (b) * * *
                                            Secretary for Civil Rights, 1400                        *      *     *    *    *                                   (1) Produced eligible contract
                                            Independence Avenue SW, Washington,                                                                             livestock or poultry under a contract in
                                            DC 20250–9410 or email: OAC@                            Subpart C—CFAP 2                                        either the 2018 or 2019 calendar year
                                            usda.gov.                                                                                                       and in the 2020 calendar year;
                                                                                                    ■ 4. Amend § 9.201 as follows:
                                               USDA is an equal opportunity                                                                                    (2) Received revenue under such a
                                                                                                    ■ a. Add the definitions of ‘‘Average
                                            provider, employer, and lender.                                                                                 contract during the period from January
                                                                                                    revenue loss level’’ and ‘‘Eligible                     1, 2020, through December 27, 2020;
                                            List of Subjects in 7 CFR Part 9                        contract livestock or poultry’’ in                         (3) Had a loss in eligible revenue for
                                                                                                    alphabetical order;                                     the period from January 1, 2020,
                                               Agricultural commodities,                            ■ b. In the definition of ‘‘Eligible
                                            Agriculture, Disaster assistance,                                                                               through December 27, 2020, as
                                                                                                    revenue’’, remove the words ‘‘broilers,                 compared to the period from:
                                            Indemnity payments.                                     pullets, layers, chicken eggs, turkeys,                    (i) January 1, 2018, through December
                                               For the reasons discussed above, this                hogs, or pigs’’ and add the words                       27, 2018; or
                                            final rule amends 7 CFR part 9 as                       ‘‘eligible contract livestock or poultry’’                 (ii) January 1, 2019, through
                                            follows:                                                in their place;                                         December 27, 2019; and
                                                                                                    ■ c. In the definition of ‘‘Ineligible                     (4) Meet all other requirements for
                                            PART 9—CORONAVIRUS FOOD                                 commodities’’, remove the words                         eligibility under this part.
                                            ASSISTANCE PROGRAM                                      ‘‘ineligible crops’’ and add the words                  *       *    *     *     *
                                                                                                    ‘‘ineligible crops other than grass seed’’                 (d) Contract producers are eligible for
                                            ■ 1. The authority citation for part 9                  in their place;
                                            continues to read as follows:                                                                                   payment under § 9.203(m) if they:
                                                                                                    ■ d. In the definition of ‘‘Producer’’, in                 (1) Did not receive eligible revenue
                                              Authority: 15 U.S.C. 714b and 714c;                   the second sentence, remove the word                    from January 1 through December 27 in
                                            Division B, Title I, Pub. L. 116–136, 134 Stat.         ‘‘Producers’’ and add the words ‘‘Except                2018 or 2019, but received eligible
                                            505; and Division N, Title VII, Subtitle B,             for contract producers, producers’’ in its              revenue for the period from January 1,
                                            Chapter 1, Pub. L. 116–260.                             place;                                                  2020, through December 27, 2020; and
                                                                                                    ■ e. In the definition of ‘‘Sales-based                    (2) Meet all other requirements for
                                            Subpart A—General Provisions                            commodities’’, remove the words ‘‘milk,                 eligibility under this part.
                                                                                                    mink (including pelts);’’ and add the                   ■ 6. Amend § 9.203 as follows:
                                            ■ 2. Amend § 9.4 as follows:
                                                                                                    words ‘‘milk, grass seed, mink                          ■ a. Revise paragraph (i);
                                            ■ a. Revise paragraphs (a)(1) and (2);
                                                                                                    (including pelts),’’ in its place; and                  ■ b. In Table 2 to paragraph (j), revise
                                            and                                                     ■ f. Add the definition of ‘‘Turn’’ in                  the first column heading;
                                            ■ b. Remove paragraph (a)(3).                           alphabetical order.                                     ■ c. Revise paragraph (l); and




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                                               The revisions read as follows:                          The additions read as follows:                       ■ d. Add paragraphs (m) through (o).
                                            § 9.4   Time and method of application.
                                                                                                                                                               The revisions and additions read as
                                                                                                    § 9.201     Definitions.                                follows:
                                               (a) * * *                                            *    *     *    *     *
                                               (1) September 11, 2020, for payments                   Average revenue loss level means the                  § 9.203      Calculation of payments.
                                            issued under § 9.102; and                               average percentage of revenue loss for                  *        *      *       *   *


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                                            48018              Federal Register / Vol. 86, No. 164 / Friday, August 27, 2021 / Rules and Regulations

                                              (i) Payments for sales-based                          range in Table 2 of paragraph (j) of this             such as processing and packaging, and
                                            commodities will be:                                    section:                                              from sales of products purchased for
                                              (1) Based on one of the following as                    (i) The sum of the amount of the                    resale is not included in the payment
                                            elected by the producer:                                producer’s eligible sales for the sales-              calculation unless determined eligible
                                                                                                    based commodities in the applicable                   by the Secretary.
                                              (i) The producer’s sales for calendar
                                                                                                    calendar year and the producer’s crop                    (3) Payments for producers of sales
                                            year 2018 and crop insurance
                                                                                                    insurance indemnities and NAP and                     commodities who began farming in
                                            indemnities and NAP and WHIP+
                                                                                                    WHIP+ payments for the sales                          2020 and had no sales in 2019,
                                            payments for the 2018 crop year for all
                                                                                                    commodities for the applicable crop                   calculated as provided in paragraph
                                            sales-based commodities; or
                                                                                                    year within the specified range,                      (i)(2) of this section, except that the
                                              (ii) The producer’s sales for calendar                multiplied by the payment rate for that               payments will be based on the
                                            year 2019 and crop insurance                            range in Table 2 of paragraph (j) of this             producer’s actual 2020 sales, without
                                            indemnities and NAP and WHIP+                           section.                                              crop insurance indemnities, NAP or
                                            payments for the 2019 crop year for all                   (ii) Eligible sales only includes sales             WHIP+ payments, as of the date the
                                            sales-based commodities.                                of raw commodities grown by the                       producer submits an application for
                                              (2) Equal to the sum of the results for               producer; the portion of sales derived                payment under this section.
                                            the following calculation for each sales                from adding value to the commodity,                      (j) * * *

                                                                            TABLE 2 TO PARAGRAPH (J)—PAYMENT RATES FOR SALES COMMODITIES
                                                                                           2018 or 2019 Sales range                                                             Percent payment factor
                                                                    (including crop insurance indemnities and NAP and WHIP+ payments)


                                                      *                       *                       *                      *                       *                      *                 *



                                            *      *     *     *     *                              loss level, determined by USDA for a                  DEPARTMENT OF TRANSPORTATION
                                               (l) For eligible contract producers, if              geographic area based on the best
                                            eligible revenue for the period from                    available data including, but not limited             Federal Aviation Administration
                                            January 1, 2020, through December 27,                   to, losses reported by other contract
                                            2020, decreased compared to eligible                    producers for the same area and type of               14 CFR Part 71
                                            revenue for the period from January 1,                  livestock or poultry; and                             [Docket No. FAA–2021–0075; Airspace
                                            2018, through December 27, 2018, or the                                                                       Docket No. 21–ASO–2]
                                            period from January 1, 2019, through                       (2) The payment will be equal to:
                                            December 27, 2019, then payments will                      (i) The result of the calculation in               RIN 2120–AA66
                                            be equal to:                                            paragraph (m)(1) of this section minus
                                                                                                                                                          Amendment of Class E Airspace;
                                               (1) Eligible revenue received from                   the contract producer’s eligible revenue
                                                                                                                                                          Muscle Shoals, AL
                                            January 1, 2018, through December 27,                   received from January 1, 2020, through
                                            2018, or from January 1, 2019, through                  December 27, 2020; multiplied by                      AGENCY: Federal Aviation
                                            December 27, 2019; minus                                   (ii) 80 percent.                                   Administration (FAA), DOT.
                                               (2) Eligible revenue received from                                                                         ACTION: Final rule.
                                            January 1, 2020, through December 27,                      (n) Payments under paragraphs (l) and
                                            2020; multiplied by                                     (m) of this section and the average                   SUMMARY: This action amends Class E
                                               (3) 80 percent.                                      revenue loss levels under paragraph                   airspace extending upward from 700
                                               (4) USDA will adjust the eligible                    (m)(1) of this section will be calculated             feet above the surface in Muscle Shoals,
                                            revenue based on information certified                  separately for the following categories:              AL, due to the decommissioning of the
                                            by the contract producer on form AD–                                                                          Muscle Shoals Very High Frequency
                                                                                                       (1) Chickens—broilers, pullets, and
                                            3117B for contract producers who did                                                                          Omni-Directional Radio Range Tactical
                                                                                                    layers;
                                            not have a full period of revenue from                                                                        Air Navigation Aid (VORTAC), and
                                            January 1 to December 27 for either                        (2) Chicken eggs;                                  cancellation of the associated approach
                                            2018 or 2019, or who increased their                       (3) Turkeys;                                       at Northwest Alabama Regional Airport.
                                            operation size in 2020. Information                                                                           This action also updates the airport
                                                                                                       (4) Hogs and pigs;
                                            required to calculate these adjustments                                                                       name under the Class E surface airspace
                                            may include a contract producer’s                          (5) Ducks, geese, pheasants, quail; and            and makes an editorial change replacing
                                            square footage increase to the operation                   (6) All other eligible poultry eggs.               the term Airport/Facility Directory with
                                            in 2020, or a contract producer’s                          (o) The calculations in paragraphs (l)             the term Chart Supplement in the legal
                                            production or number of turns for 2018,                                                                       descriptions of associated Class E
                                                                                                    and (m) of this section are subject to the
                                            2019, or 2020, as applicable.                                                                                 airspace. Controlled airspace is
                                                                                                    availability of funds and will be
                                               (m) For eligible contract producers                                                                        necessary for the safety and
                                                                                                    factored, if needed.                                  management of instrument flight rules
                                            who did not receive eligible revenue
                                            from January 1 through December 27 in                   Gloria Montaño Greene,                               (IFR) operations in the area.
                                            2018 or 2019, but received eligible                     Deputy Under Secretary, Farm Production               DATES: Effective 0901 UTC, December 2,




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                                            revenue for the period from January 1,                  and Conservation, U.S. Department of                  2021. The Director of the Federal
                                            2020, through December 27, 2020:                        Agriculture.                                          Register approves this incorporation by
                                               (1) FSA will divide the eligible                     [FR Doc. 2021–18423 Filed 8–26–21; 8:45 am]           reference action under 1 CFR part 51,
                                            revenue received from January 1, 2020,                  BILLING CODE 3410–05–P
                                                                                                                                                          subject to the annual revision of FAA
                                            through December 27, 2020, by the                                                                             Order 7400.11 and publication of
                                            result of 1 minus the average revenue                                                                         conforming amendments.


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