Coronavirus Food Assistance Program (rule, 85 FR 59380, September 22, 2020)
Summary
A final rule from the Office of the Secretary, USDA, setting the eligibility requirements, payment calculations and application procedures for a second round of Coronavirus Food Assistance Program payments (CFAP 2). It was published on September 22, 2020 (Vol. 85, No. 184), Docket ID FSA–2020–0006, RIN 0503–AA65. It extends the special payment limitation provisions to trusts and estates for CFAP 1 and amends provisions on applicable year and direct attribution of payments to members of legal entities. The rule states that the Secretary is using Commodity Credit Corporation funds, with an estimated $13.21 billion being made available. CFAP 2 payments are made for three categories of commodities: price trigger commodities, flat-rate crops and sales commodities. It is effective September 22, 2020.
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Cite this document
“Coronavirus Food Assistance Program (rule, 85 FR 59380, September 22, 2020).”
Original at www.govinfo.gov. Archived at Pandemic Darlings, https://pandemicdarlings.com/source-documents/coronavirus-food-assistance-program-rule-85-fr-59380-september-22-2020-d3b1a7f7bb/
, SHA-256 42cf8f978240e069e06cb021bb5b8e5a3f6b65ba94335c584ba3303fa053a6c4.Full text
59380 Federal Register / Vol. 85, No. 184 / Tuesday, September 22, 2020 / Rules and Regulations
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[FR Doc. 2020–20784 Filed 9–21–20; 8:45 am] FR 30825–30835), with corrections production and marketing of
BILLING CODE 6325–38–P published in the Federal Register on agricultural commodities;
June 12, 2020 (85 FR 35799–35800), July • Remove or dispose of surplus
10, 2020 (85 FR 41328–41330), August agricultural commodities; and
DEPARTMENT OF AGRICULTURE 14, 2020 (85 FR 49593–49594), and • Develop new and additional
documents published in the Federal markets, marketing facilities, and uses
Office of the Secretary Register on May 22, 2020 (85 FR 31062– for the commodities.
31065), June 12, 2020 (85 FR 35812), Funds available under 15 U.S.C.
7 CFR Part 9 July 10, 2020 (85 FR 41321–41323), and 714c(b), (d), and (e) cannot be used to
August 14, 2020 (85 FR 49589–49593). provide assistance for tobacco; however,
[Docket ID: FSA–2020–0006]
The application period for the first tobacco will be eligible for CFAP 2 with
RIN 0503–AA65 round of CFAP payments (referred to in payments funded by remaining funds
this rule and hereinafter as CFAP 1) was authorized by the Coronavirus Aid,
Coronavirus Food Assistance Program May 26, 2020, through September 11, Relief, and Economic Security Act
AGENCY: Office of the Secretary, USDA. 2020. (CARES Act; Pub. L. 116–136).
In this final rule, USDA is
ACTION: Final rule. Payments
implementing a second round of
SUMMARY: The Secretary of Agriculture payments under CFAP (CFAP 2) for CFAP 2 payments will be made for
is issuing this rule to provide additional producers of agricultural commodities three categories of commodities:
assistance under the Coronavirus Food who face continuing market disruptions, 1. Price trigger commodities (major
Assistance Program (CFAP) to low farm-level prices, and significant commodities that meet a minimum 5-
agricultural producers who continue to marketing costs. These additional percent price decline over a specified
be impacted by the effects of the significant marketing costs are time period);
COVID–19 outbreak. This rule specifies associated with declines in demand, 2. Flat-rate crops; and
the eligibility requirements, payment surplus production, and disruptions to 3. Sales commodities.
calculations, and application shipping patterns and the orderly Eligible price trigger commodities
procedures for a second round of marketing of commodities. include barley, corn, sorghum,
payments (CFAP 2). In addition, it also CFAP 2 will provide eligible soybeans, sunflowers, upland cotton,
extends the special payment limitation producers with financial assistance that wheat (all classes), broilers, eggs, beef
provisions to trusts and estates for CFAP gives them the ability to absorb cattle, dairy, hogs and pigs, and lambs
1 and amends the provisions regarding increased marketing costs associated and sheep. Price trigger commodities are
applicable year and direct attribution of with the COVID–19 outbreak. In commodities that had a 5 percent or
payments to members of legal entities accordance with 15 U.S.C. 714b, the greater price decline due to COVID–19
that qualify for the increased payment Secretary is using funds of the in a comparison of the average price for
limitation. Commodity Credit Corporation (CCC) to the week of January 13–17, 2020, and
assist producers with the purchase of the average price for the week of July
DATES: Effective September 22, 2020. materials and facilities required in 27–31, 2020. For price trigger crops,
FOR FURTHER INFORMATION CONTACT: connection with the production and payments will be based on eligible acres
William L. Beam; telephone: (202) 720– marketing of agricultural commodities, of the crop, which are the producer’s
3175; email: Bill.Beam@usda.gov. with an estimated $13.21 billion being share of 2020 determined acres if
Persons with disabilities who require made available. These funds will be established by FSA, or reported acres on
alternative means for communication used as authorized by sections 5(b), (d), FSA–578 if determined acres have not
should contact the USDA Target Center and (e) of the CCC Charter Act (15 been established by FSA, excluding
at (202) 720–2600 (voice). U.S.C. 714c(b), (d), and (e)). These prevented planting and experimental
SUPPLEMENTARY INFORMATION: authorities will be used to partially acres. Payments for price trigger crops
compensate producers for on-going will be the greater of: (1) The eligible
Background acres multiplied by a payment rate of
market disruptions and assist with the
In response to the COVID–19 transition to a more orderly marketing $15 per acre; or (2) the eligible acres
outbreak, USDA implemented CFAP system by enabling them to: multiplied by a nationwide crop
through a final rule published in the • Purchase materials and facilities marketing percentage, multiplied by a
Federal Register on May 21, 2020 (85 required in connection with the crop-specific payment rate, and then by
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Federal Register / Vol. 85, No. 184 / Tuesday, September 22, 2020 / Rules and Regulations 59381
the producer’s weighted 2020 Actual • Other crops not included in the total amount of CFAP 2 payments made
Production History (APH) approved price trigger and flat-rate categories, with respect to all eligible commodities
yield, or if the APH is not available, 85 including tobacco; under all three categories.
percent of the 2019 Agriculture Risk • Goat milk; This rule also amends the special
Coverage-County Option (ARC–CO) • Mink (including pelts); payment limitations in § 9.7(e) for both
benchmark yield for that crop. For • Mohair; and CFAP 1 and CFAP 2. Previously, the
broilers and eggs, payments will be • Wool. special payment limitation provisions
based on 75 percent of the producer’s Payment calculations for the sales applied to corporations, limited liability
2019 production. For dairy, payments commodities will use a sales-based companies, and limited partnerships.
will be based on April 1 to August 31, approach based on five payment Those corporate entities may receive up
2020, actual milk production and gradations associated with the to $750,000 in CFAP 1 payments based
September 1, 2020, to December 31, producer’s 2019 sales of the commodity. on the number of shareholders or
2020, estimated milk production (based Payments cannot be calculated using members (not to exceed three
on the producer’s daily average the methods described above for shareholders or members) who are
production from April 1 to August 31, producers of broilers, eggs, and sales contributing at least 400 hours of active
2020, multiplied by the number of days commodities who began farming in personal labor or active personal
the dairy operation commercially 2020 and had no 2019 production or management or combination thereof
markets milk from September 1, 2020, sales. Payments for such producers will with respect to the operation of the
through December 31, 2020). For price- be based on the producer’s actual 2020 corporate entity.
triggered livestock, payments will be production or sales as of the date the This change amends the CFAP general
based on a fixed number of head, which producer submits an application for provisions to extend those special
is defined as the lower of the maximum payment. payment limitation provisions to trusts
owned inventory of eligible livestock, and estates, allowing them to be eligible
Eligibility for the optional payment limitation
excluding breeding stock, on a date
Only commercially produced increase based on the labor or
selected by the eligible producer from
commodities are eligible. management contributions of the
April 16, 2020, through August 31,
Producer must be in the business of beneficiaries or heirs of such trusts and
2020, or a specific number of head
farming at the time of application. estates. Extending these provisions to
(4,546 head of cattle or 10,870 head of
Hay, except alfalfa, and crops trusts and estates is necessary to
hogs). In the payment calculation, the
intended for grazing are ineligible for recognize that, similar to members,
maximum number of head of cattle and
CFAP 2 and will not receive a CFAP 2 partners, and stockholders of corporate
hogs, respectively, will be multiplied by
payment. Crops with intended uses of entities, beneficiaries and heirs of trusts
the number of payment limitations for
green manure and left standing are also and estates may contribute at least 400
the producer.
ineligible. hours of active personal labor or active
Flat-rate crops are crops that either do Contract growers are ineligible for personal management or a combination
not meet the 5-percent price decline CFAP 2 and will not receive a CFAP 2 thereof. Furthermore, trusts and estates
trigger noted above or do not have data payment. are also affected by the price declines
available to calculate a price change, but caused by COVID–19.
will have CFAP 2 payments calculated Average Adjusted Gross Income
This rule also changes the method by
based on eligible acres of the crop Limitation and Payment Limitation
which payments under the special
planted in 2020, similar to price trigger A person or legal entity, other than a payment limitation provisions are
crops. Eligible flat-rate crops include joint venture or general partnership, is attributed to individuals and legal
alfalfa, Extra Long Staple (ELS) cotton, ineligible for payments if the person’s or entities for both CFAP 1 and CFAP 2.
oats, peanuts, and rice, as well as some legal entity’s average adjusted gross The increased CFAP payment limitation
crops with relatively small acreage— income (AGI), using the average of the for corporations, limited liability
such as amaranth grain, buckwheat, adjusted gross incomes for the 2016, companies, limited partnerships, trusts,
canola, crambe (colwort), einkorn, 2017 and 2018 tax years, is more than and estates based on contributions of at
emmer, flax, guar, hemp, indigo, $900,000, unless at least 75 percent of least 400 hours of active personal labor
industrial rice, kenaf, Khorasan, millet, that person’s or legal entity’s average or active personal management or
mustard, oats, peanuts, quinoa, rice, AGI is derived from farming, ranching, combination thereof is unlike the
sweet rice, wild rye, safflower, sesame, or forestry-related activities. If at least payment limitation under any other
speltz, sugar beets, sugarcane, teff, 75 percent of the person’s or legal program administered by FSA. FSA’s
triticale, and rapeseed. For flat-rate entity’s AGI is derived from farming, method of attributing CFAP payments
crops, payments will be computed by ranching, or forestry-related activities based on ownership share of the legal
multiplying: (1) The producer’s share of and the participant provides the entity in accordance with 7 CFR
reported or determined 2020 planted required certification and 1400.105, which applies to other FSA-
acres of the crop, excluding prevented documentation, the person or legal administered programs subject to
planted and experimental acres, by (2) entity is eligible to receive CFAP payment limitation, creates inequity
$15 per acre. payments up to the applicable payment when the pay limit for the legal entity
The sales commodities category limitation. is increased under the special
includes: With respect to joint ventures and provisions but not increased for each
general partnerships, this AGI provision member of the entity.
• Aquaculture grown in a controlled
will be applied to each member of the Under 7 CFR 1400.105 for attributing
environment;
joint venture and general partnership. payments for most commodity
• Nursery crops and floriculture; CFAP 2 payments are subject to a per programs, the maximum amount that a
• Other livestock (excluding breeding person and legal entity payment legal entity could receive is limited by
stock) not included under the price limitation of $250,000. This payment the maximum amount each eligible
trigger category that were grown for limitation is separate from the CFAP 1 member may receive (directly or
food, fiber, fur, or feathers; payment limitation, and it applies to the indirectly) based on ownership interest
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59382 Federal Register / Vol. 85, No. 184 / Tuesday, September 22, 2020 / Rules and Regulations
in the legal entity, which is $250,000. coverage or coverage under the If USDA determines that the
For example, under current attribution Noninsured Crop Disaster Assistance producer’s application misrepresented
rules, a corporation that qualifies for the Program (NAP) for an eligible CFAP either the total amount or producer’s
increased limitation of $500,000 may commodity to be eligible for CFAP 2. share of the acres, production, head of
only receive $450,000 when livestock, or sales, or if the CFAP 2
Application Process
stockholders have unequal ownership payment would exceed the payment as
shares in the legal entity. In this FSA will be responsible for calculated based on the correct share of
example, Stockholder A holds 60 implementing CFAP 2. FSA will accept the acres, production, head of livestock,
percent ownership share and CFAP 2 applications beginning or sales, the application will be
Stockholder B holds 40 percent September 21, 2020, and ending disapproved and the participant must
ownership share. The payment to the December 11, 2020. To apply for CFAP refund to USDA all CFAP 2 payments
legal entity is determined by 2 payments, producers must submit a made to the producer with interest from
multiplying each stockholder’s completed CFAP 2 application either in the date of disbursement.
ownership interest by the payment person, by mail, email, or facsimile to Any required refunds must be
limitation of the corporation. (For an FSA county office. A producer who resolved in accordance with debt
Stockholder A, 60 percent × $500,000 = applies must submit additional settlement regulations in 7 CFR part 3.
$300,000 (not to exceed $250,000); for documentation for eligibility, such as Other Changes
Stockholder B, 40 percent × $500,000 = certifications of compliance with
$200,000). The maximum payment to In addition to the changes necessary
adjusted gross income provisions and to implement CFAP 2, USDA is moving
the legal entity in this case is $450,000 conservation compliance activities;
($250,000 + $200,000). With the change definitions and payment calculation
those additional documents and forms provisions that are specific to CFAP 1 to
to attribution in this rule applicable to must be submitted no later than 60 days
CFAP 1 and CFAP 2, the payment to the a new subpart B. This change is for
from the date a producer signs the organizational purposes only; this rule
legal entity qualifying for the increased application. Payments will not be made
payment limitation will not be reduced does not change those definitions and
until all necessary eligibility provisions.
for ownership share, except for documentation is received, and will be
ineligibility or prior payments to a This rule also adds a definition of
reduced or not issued to the individuals ‘‘controlled environment’’ in § 9.2. This
member, stockholder, partner, heir or or members of the entity when the
beneficiary. The correction in how FSA definition is consistent with how the
documentation is not submitted timely. term has been interpreted for the
attributes and limits CFAP payments Producers who are applying for
under the special provisions to the administration of CFAP 1 and for other
payment for price trigger or flat-rate FSA disaster programs (see FSA
members of the legal entity provides the crops must file a report of all acreage for
ability for the legal entity to receive the handbook for CFAP 1 and the NAP
the crop on FSA–578, Report of handbook, found under Disaster
maximum amount, not to exceed
Acreage. Assistance on the following web page:
$500,000 or $750,000 as applicable,
under the increased payment limitation, If supporting documentation is https://www.fsa.usda.gov/programs-
regardless of the ownership interests of requested to verify the information and-services/laws-and-regulations/
the members, partners, and specified on the application, the handbooks/index); it is added only to
stockholders, beneficiaries, or heirs producer must provide records that provide clarity.
contributing at least 400 hours of active substantiate the reported information.
Examples of supporting documentation Notice and Comment and Effective Date
personal labor or active personal
management. However, a member, include evidence provided by the The Administrative Procedure Act (5
stockholder, partner, beneficiary, or heir producer that is used to substantiate the U.S.C. 553(a)(2)) provides that the
cannot receive, directly or indirectly, acres, sales, inventory, or production notice and comment and 30-day delay
more than $250,000 under each round reported, including copies of receipts, in the effective date provisions do not
of payments (CFAP 1 and CFAP 2), ledgers of income, income statements of apply when the rule involves specified
regardless of whether payments deposit slips, veterinarian records, actions, including matters relating to
attributed to them are subject to the register tapes, invoices for custom benefits. This rule governs CFAP for
regular payment limitation or the harvesting, and records to verify payments to certain commodity
special increased limitations. production costs, contemporaneous producers and therefore falls within the
This rule removes ‘‘2019’’ as the measurements, truck scale tickets, or benefits exemption.
applicable commodity year in contemporaneous diaries that are The Office of Management and Budget
§ 9.7(e)(2)(ii) and (iii) because CFAP determined acceptable by USDA. (OMB) designated this rule as major
eligibility may be based on 2019 or 2020 under the Congressional Review Act
Provisions Requiring Refund to USDA (CRA), as defined by 5 U.S.C. 804(2).
production of the commodity, as
specified in the applicable payment In the event that any application for Section 808 of the CRA allows an
calculations. a CFAP 2 payment resulted from agency to make a major regulation
erroneous information reported by the effective immediately if the agency finds
CFAP General Requirements there is good cause to do so. The
producer, the payment will be
The general eligibility requirements recalculated, and the producer must beneficiaries of this rule have been
that applied to CFAP 1 also apply to refund any excess payment to USDA. If significantly impacted by the COVID–19
CFAP 2, including requiring compliance the error was the producer’s error, the outbreak, which has resulted in
with 7 CFR part 12, ‘‘Highly Erodible refund must include interest 1 to be significant declines in demand and
Land and Wetland Conservation’’ and 7 calculated from the date of the market disruptions. USDA finds that
CFR part 1400 subpart E, ‘‘Foreign disbursement to the producer. notice and public procedure are
Persons.’’ Appeal regulations in 7 CFR contrary to the public interest.
parts 11 and 780 also apply to CFAP 2. 1 The program interest rate is based on the CCC Therefore, even though this rule is a
As under CFAP 1, there is no borrowing rate in effect for the month the payment major rule for purposes of the
requirement to have crop insurance was disbursed. Congressional Review Act, USDA is not
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Federal Register / Vol. 85, No. 184 / Tuesday, September 22, 2020 / Rules and Regulations 59383
required to delay the effective date for CFAP 1 (which covered Quarter 1 of Act (NEPA), the regulations of the
60 days from the date of publication to 2020), although the focus now is on Council on Environmental Quality (40
allow for Congressional review. Quarter 2 through Quarter 4 of calendar CFR parts 1500–1508), and because
Accordingly, this rule is effective upon 2020. Payments are based on the price USDA will be making the payments to
publication in the Federal Register. decline calculated between mid-January producers the USDA regulations for
and late-July and use an 80 percent compliance with NEPA (7 CFR part 1b).
Executive Orders 12866, 13563, and Although OMB has designated this
coverage factor. Where available, mid-
13777 rule as ‘‘economically significant’’
January and late July futures prices (for
Executive Order 12866, ‘‘Regulatory either the November or December under Executive Order 12866, ‘‘. . .
Planning and Review,’’ and Executive contract) were used to estimate the economic or social effects are not
Order 13563, ‘‘Improving Regulation market’s price expectations toward the intended by themselves to require
and Regulatory Review,’’ direct agencies end of calendar 2020. Future contracts preparation of an environmental impact
to assess all costs and benefits of are not traded for all crops with a price statement’’ when not interrelated to
available regulatory alternatives and, if trigger nor are they available for eggs, natural or physical environmental
regulation is necessary, to select broilers, and lamb. For these effects (see 40 CFR 1508.14). CFAP 2
regulatory approaches that maximize commodities, actual prices received in was designed to avoid skewing planting
net benefits (including potential mid-January and late July are used as a decisions. Producers continue to make
economic, environmental, public health proxy. Depending on the yield for a their planting and production decisions
and safety effects, distributive impacts, given producer’s crop in this category, with the market signals in mind, rather
and equity). Executive Order 13563 the payment may calculate to less than than any expectation of what a new
emphasizes the importance of $15 per acre. In such cases, the payment USDA program might look like. The
quantifying both costs and benefits, of is raised to $15 per acre, which is the discretionary aspects of CFAP 2 (for
reducing costs, of harmonizing rules, payment for the flat-rate category example, determining AGI and payment
and of promoting flexibility. The discussed below. limitations) were designed to be
requirements in Executive Orders 12866 Producers of the flat-rate commodities consistent with established USDA and
and 13563 for the analysis of costs and receive a $15 per-acre payment based on CCC programs and are not expected to
benefits apply to rules that are their eligible 2020 acreage. have any impact on the human
determined to be significant. Further, For the sales-based commodities, environment, as CFAP 2 payments will
Executive Order 13777, ‘‘Enforcing the payment calculations will use a sales- only be made after the commodity has
Regulatory Reform Agenda,’’ established based approach, where producers are been produced. Accordingly, the
a federal policy to alleviate unnecessary paid based on five payment gradations following Categorical Exclusion in 7
regulatory burdens on the American associated with their 2019 sales. In CFR part 1b applies: 1b.3(2), which
people. addition, tobacco is a sales-based applies to activities that deal solely with
The Office of Management and Budget commodity under CFAP 2 and a CARES the funding of programs, such as
(OMB) designated this rule as Act payment will be calculated using program budget proposals,
economically significant under remaining CARES Act funds, not to disbursements, and the transfer or
Executive Order 12866, ‘‘Regulatory exceed $100 million. reprogramming of funds. As such, the
Planning and Review,’’ and therefore, Estimated net payments to producers implementation of and participation in
OMB has reviewed this rule. The costs of $13.21 billion represent benefits to CFAP 2 do not constitute major Federal
and benefits of this rule are summarized producers, which is the government cost actions that would significantly affect
below. The full cost benefit analysis is of CFAP 2. Outlays are estimated at the quality of the human environment,
available on regulations.gov. expected maximum levels. individually or cumulatively. Therefore,
an environmental assessment or
Cost Benefit Analysis Summary Regulatory Flexibility Act environmental impact statement for this
CFAP 2 will provide producers with The Regulatory Flexibility Act (5 regulatory action, will not be prepared;
financial assistance that gives them the U.S.C. 601–612), as amended by the this rule serves as documentation of the
ability to absorb increased marketing Small Business Regulatory Enforcement programmatic environmental
costs associated with the COVID–19 Fairness Act of 1996 (SBREFA, Pub. L. compliance decision for this federal
outbreak. Producers will receive 104–121), generally requires an agency action.
payments under the CCC Charter Act to prepare a regulatory flexibility
(section 5(b), (d), and (e)) with an Executive Order 12372
analysis of any rule whenever an agency
estimated $13.21 billion being made is required by the Administrative Executive Order 12372,
available (after payment limitations). Procedure Act or any other law to ‘‘Intergovernmental Review of Federal
Producers will be compensated for publish a proposed rule, unless the Programs,’’ requires consultation with
on-going market disruptions and to agency certifies that the rule will not State and local officials that would be
transition to a more orderly marketing have a significant economic impact on directly affect by proposed Federal
system. Payments will assist producers a substantial number of small entities. financial assistance. The objectives of
with the purchase of materials and This rule is not subject to the Regulatory the Executive Order are to foster an
facilities required in connection with Flexibility Act because USDA is not intergovernmental partnership and a
the production and marketing of required by the Administrative strengthened Federalism, by relying on
agricultural commodities, aid in the Procedure Act or any other law to State and local processes for State and
removal or disposition of surplus publish a proposed rule for this local government coordination and
agricultural commodities, and aid in the rulemaking initiative. review of proposed Federal Financial
development of new and additional assistance and direct Federal
markets, marketing facilities, and uses Environmental Review development. For reasons specified in
for such commodities. The environmental impacts of this the final rule related notice to 7 CFR
For the price trigger commodities, the final rule have been considered in a part 3015, subpart V (48 FR 29115, June
approach to calculating CFAP 2 manner consistent with the provisions 24, 1983), the programs and activities
payments is very similar to that used for of the National Environmental Policy within this rule are excluded from the
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59384 Federal Register / Vol. 85, No. 184 / Tuesday, September 22, 2020 / Rules and Regulations
scope of Executive Order 12372, which The Unfunded Mandates Reform Act of § § 9.1 through 9.8 [Redesignated as
requires intergovernmental consultation 1995 Subpart A]
with State and local officials. ■ 2. Redesignate §§ 9.1 through 9.8 as
Title II of the Unfunded Mandates
Executive Order 12988 Reform Act of 1995 (UMRA, Pub. L. subpart A and add a heading for subpart
104–4) requires Federal agencies to A to read as follows:
This rule has been reviewed under
Executive Order 12988, ‘‘Civil Justice assess the effects of their regulatory
Subpart A—General Provisions
Reform.’’ This rule will not preempt actions on State local, and Tribal
State or local laws, regulations, or governments or the private sector. ■ 3. In § 9.1 amend paragraph (a)
policies unless they represent an Agencies generally must prepare a introductory text by adding two
irreconcilable conflict with this rule. written statement, including a cost sentences after the second sentence to
Before any judicial action may be benefit analysis, for proposed and final read as follows:
brought regarding the provisions of this rules with Federal mandates that may
rule, the administrative appeal result in expenditures of $100 million or § 9.1 Applicability and administration
provisions of 7 CFR parts 11 and 780 more in any 1 year for State, local, or (a) * * * CFAP is being implemented
must be exhausted. Tribal governments, in the aggregate, or through two rounds of payments, with
to the private sector. UMRA generally the first round (CFAP 1) determined as
Executive Order 13132 requires agencies to consider specified in subpart B of this part, and
This rule has been reviewed under alternatives and adopt the more cost the second round (CFAP 2) determined
Executive Order 13132, ‘‘Federalism.’’ effective or least burdensome alternative as specified in subpart C of this part. To
The policies contained in this rule do that achieves the objectives of the rule. be eligible for CFAP payments,
not have any substantial direct effect on This rule contains no Federal mandates, participants must comply with all
States, on the relationship between the as defined in Title II of UMRA, for State, provisions under this subpart and the
Federal government and the States, or local, and Tribal governments or the relevant particular subpart for CFAP 1
on the distribution of power and private sector. Therefore, this rule is not or CFAP 2. * * *
responsibilities among the various subject to the requirements of sections
* * * * *
levels of government, except as required 202 and 205 of UMRA.
■ 4. Amend § 9.2 by:
by law. Nor does this rule impose Federal Assistance Programs ■ a. In the introductory text, removing
substantial direct compliance costs on the word ‘‘CFAP’’ and adding the words
State and local governments. Therefore, The title and number of the Federal
Domestic Assistance Program found in ‘‘this part’’ in its place;
consultation with the States is not
the Catalog of Federal Domestic ■ b. Removing the definitions of ‘‘All
required.
Assistance to which this rule applies is other cattle’’, ‘‘Aquaculture’’, and
Executive Order 13175 Coronavirus Food Assistance Program 2 ‘‘Cattle raised or maintained for
and 10.132. breeding purposes’’;
This rule has been reviewed for
■ c. Adding the definition of
compliance with Executive Order Paperwork Reduction Act
13175, ‘‘Consultation and Coordination ‘‘Controlled environment’’; and
with Indian Tribal Governments.’’ In accordance with the Paperwork ■ d. Removing the definitions of
Executive Order 13175 requires Federal Reduction Act of 1995, FSA submitted ‘‘Crop’’, ‘‘Feeder cattle 600 pounds or
agencies to consult and coordinate with the CFAP 2 information collection more’’, ‘‘Feeder cattle less than 600
Tribes on a government-to-government request to OMB for emergency approval. pounds’’, ‘‘First quarter’’, ‘‘Lambs and
basis on policies that have Tribal OMB approved the 6-month emergency yearlings’’, ‘‘Non-specialty crop’’,
implications, including regulations, information collection. ‘‘Producer’’, ‘‘Second quarter’’,
legislative comments proposed ‘‘Slaughter cattle—fed cattle’’,
E-Government Act Compliance
legislation, and other policy statements ‘‘Slaughter cattle—mature cattle’’,
or actions that have substantial direct USDA is committed to complying ‘‘Specialty crops’’, and ‘‘Unpriced’’.
effects on one or more Indian Tribes, on with the E-Government Act to promote The addition reads as follows.
the relationship between the Federal the use of the internet and other
§ 9.2 Definitions.
Government and Indian Tribes or on the information technologies to provide
distribution of power and increased opportunities for citizen * * * * *
responsibilities between the Federal access to Government information and Controlled environment means an
government and Indian Tribes. services, and for other purposes. environment in which everything that
can practicably be controlled by the
USDA has assessed the impact of this List of Subjects in 7 CFR Part 9 producer with structures, facilities, and
rule on Indian Tribes and determined
Agricultural commodities, growing media (including but not
that this rule does not, to our
Agriculture, Disaster assistance, limited to water, soil, or nutrients), is in
knowledge, have Tribal implications
Indemnity payments. fact controlled by the producer, as
that required Tribal consultation under
determined by industry standards.
Executive Order 13175. If a Tribe For the reasons discussed above, this
requests consultation, the USDA Office final rule amends 7 CFR part 9 as * * * * *
of Tribal Relations (OTR) will ensure follows: § 9.3 [Amended]
meaningful consultation is provided
where changes, additions, and PART 9—CORONAVIRUS FOOD ■ 5. In § 9.3 amend paragraph (c) by
modifications are not expressly ASSISTANCE PROGRAM removing the word ‘‘Have’’ and adding
mandated by Congress. the words ‘‘For payments under § 9.102
Outside of Tribal consultation, USDA ■ 1. The authority citation for part 9 of this part, have’’ in its place.
is working with Tribes to provide continues to read as follows: ■ 6. Amend § 9.4 by revising paragraph
information about CFAP 2 and other Authority: 15 U.S.C. 714b and 714c; and (a) and adding paragraph (d) to read as
issues. Division B, Title I, Pub. L. 116–136. follows:
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§ 9.4 Time and method of application. active personal labor or active personal except where they conflict with the
(a) A completed application under management or combination thereof definitions in this section.
this subpart must be submitted in with respect to the production of All other cattle means commercially
person, by mail, email, or facsimile to commodities for which an application raised or maintained bovine animals not
any FSA county office by the close of or applications are made in accordance meeting the definition of another
business on: with this part. category of cattle in this part, excluding
(1) September 11, 2020, for payments (3)(i) Except for payments subject to beefalo, bison, and animals used for
issued under § 9.102 of this part; and the increased payment limitation in dairy production or intended for dairy
(2) December 11, 2020, for payments (e)(2)(ii) and (e)(2)(iii) of this section, a production.
issued under § 9.202 of this part. CFAP payment made to any legal entity Aquaculture means only those species
* * * * * will be attributed to individuals or legal as announced in a NOFA.
(d) A producer applying for assistance entities with an ownership interest in Cattle raised or maintained for
for a crop subject to § 9.202(a) or (b) the legal entity in accordance with breeding purposes means animals
must file a report of all acreage of the § 1400.105 of this title. Payments commercially raised or maintained for
crop on FSA–578, Report of Acreage. attributed to a legal entity with an use as either a sire or dam for the
ownership interest in the legal entity production of livestock offspring or
§ 9.5 [Redesignated as § 9.102] will be further attributed as provided in lactation.
§ 1400.105 of this title. If the legal entity Crop means non-specialty crops and
■ 7. Redesignate § 9.5 as § 9.102.
does not qualify for an increased specialty crops.
§ 9.5 [Reserved] payment limitation under (e)(2)(ii) or Feeder cattle 600 pounds or more
(iii) of this section and the total amount means cattle weighing more than 600
■ 8. Add and reserve a new § 9.5.
of CFAP payments made directly or pounds but less than the weight of
■ 9. Amend § 9.7 by: slaughter cattle-fed cattle as defined in
indirectly to an individual or legal
■ a. In paragraph (e)(1) adding the this section.
entity has met the applicable amount
words ‘‘under each of subparts B and C’’ Feeder cattle less than 600 pounds
specified in paragraph (e)(1) of this
after ‘‘$250,000’’ both times it appears; means cattle weighing less than 600
section, the payment to the legal entity
■ b. Revising paragraphs (e)(2) and (3); pounds.
will be reduced commensurate with the
and First quarter means January, February,
amount of the ownership interest of the
■ c. In paragraph (h), removing and March of 2020.
individual or legal entity in the legal
‘‘September 11, 2020,’’ and adding the Lambs and yearlings means all sheep
entity. CFAP payments subject to
words ‘‘the applicable date in § 9.4(a)’’ less than 2 years old.
attribution under this paragraph will be
in its place. Non-specialty crop means any of the
attributed to individuals and legal
The revisions read as follows. following crops: Barley, canola, corn,
entities until the attribution is made
durum wheat, hard red spring wheat,
§ 9.7 Miscellaneous provisions. only to an individual except the
millet, oats, sorghum, soybeans,
* * * * * attribution will stop at the fourth level
sunflowers, and upland cotton. The
(e) * * * of ownership.
(ii) A payment subject to the term excludes crops intended for
(2)(i) The total amount of CFAP grazing.
payments a corporation, limited liability increased payment limitation in
Producer means a person or legal
company, limited partnership, trust, or (e)(2)(ii) or (iii) of this section will be
entity who shares in the risk of
estate may receive is $250,000 under limited to the lesser of the amount
producing a crop or livestock and who
each of subparts B and C unless the specified in either (e)(2)(ii) or (iii) of this
is entitled to a share in the crop or
members, partners, stockholders, section, or the sum of the amount
livestock available for marketing or
beneficiaries, or heirs of the legal entity specified in (e)(1) of this section that
would have shared had the crop or
meet the provisions of paragraphs each eligible member, stockholder,
livestock been produced and marketed.
(e)(2)(ii) or (iii) of this section. partner, heir, or beneficiary of the legal
A contract grower who does not own the
(ii) The total amount of CFAP entity may receive, regardless of
livestock, will be considered a producer
payments a corporation, limited liability ownership share. Payments attributed to
if the contract allows the grower to have
company, limited partnership, trust, or a legal entity with an ownership interest
risk in the livestock.
estate may receive is $500,000 under in the legal entity will be further Second quarter means April, May,
each of subparts B and C if two different attributed to individuals and legal and June of 2020.
individual persons who are members, entities until the attribution is made Slaughter Cattle—fed cattle means
partners, stockholders, beneficiaries, or only to an individual, except the cattle with a weight of 1,200 pounds or
heirs of the legal entity each provided attribution will stop at the fourth level more that are intended for slaughter.
at least 400 hours of active personal of ownership. Slaughter cattle—mature cattle means
labor or active personal management or * * * * * culled cattle raised or maintained for
combination thereof with respect to the ■ 10. Add subpart B, consisting of breeding purposes, but which were
production of commodities for which an § 9.101 and newly redesignated § 9.102, removed from inventory and are
application or applications are made in to read as follows:. intended for slaughter.
accordance with this part. Specialty crops means any of the
(iii) The total amount of CFAP Subpart B—CFAP 1 following crops: Almonds; apples;
payments a corporation, limited liability artichokes; asparagus; avocados; beans;
Sec.
company, limited partnership, trust, or 9.101 Definitions. blueberries; broccoli; cabbage;
estate may receive is $750,000 under 9.102 Calculation of payments. cantaloupe; carrots; cauliflower; celery;
each of subparts B and C if three corn, sweet; cucumbers, eggplant; garlic;
different individual persons who are § 9.101 Definitions. grapefruit; kiwifruit; lemons; lettuce,
members, partners, stockholders, The following definitions apply to iceberg; lettuce, romaine; mushrooms;
beneficiaries, or heirs of the legal entity this subpart. The definitions in parts onions, dry; onions, green; oranges;
each provided at least 400 hours of 718 and 1400 of this title also apply, papayas; peaches; pears; pecans;
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59386 Federal Register / Vol. 85, No. 184 / Tuesday, September 22, 2020 / Rules and Regulations
peppers, bell type; peppers, other; hemp, indigo, industrial rice, kenaf, pennycress, peppermint, pohole,
potatoes; raspberries; rhubarb; spinach; khorasan, millet, mustard, oats, peanuts, psyllium, rosemary, sage, savory, shrubs
squash; strawberries; sweet potatoes; quinoa, rapeseed, rice, rice, sweet, rice, (forbs), sorrel, spearmint, tangos, tea,
tangerines; taro; tomatoes; walnuts; wild, rye, safflower, sesame, speltz, thyme, turmeric, vanilla, wasabi, water
watermelons; and any crops for which sugar beets, sugarcane, teff, and triticale. cress, and yu cha.
funds are made available. The term The term excludes hay, except alfalfa, Ineligible commodities for CFAP 2
excludes crops intended for grazing. and crops with intended uses of grazing, means any of the following
Unpriced means not subject to an green manure, or left standing. commodities: Birdsfoot and trefoil,
agreed-upon price in the future through Floriculture means cut flowers and clover, cover crop, fallow, forage
a forward contract, agreement, or similar cut greenery from annual and perennial soybeans, forage sorghum, gardens
binding document as of January 15, flowering plants grown in a container or (commercial and home), grass, kochia
2020. controlled environment for commercial (prostrata), lespedeza, milkweed, mixed
■ 11. Add Subpart C, consisting of
sale. Floriculture is included in sales forage, pelts (excluding mink), perennial
§§ 9.201 through 9.202, to read as commodities. peanuts, pollinators, sunn hemp, vetch,
Fruits means any of the following and seed of ineligible crops.
follows:
fruits: Abiu, acerola (Barbados cherry), Nursery crops means decorative or
Subpart C—CFAP 2 achachairu, antidesma, apples, apricots, nondecorative plants grown in a
aronia (chokeberry), atemoya (custard container or controlled environment for
Sec. apple), bananas, blueberries, breadfruit, commercial sale. Nursery crops are
9.201 Definitions. cacao, caimito, calabaza melon, canary included in sales commodities.
9.202 Calculation of payments. melon, canary seed, caneberries, Other livestock means any of the
§ 9.201 Definitions. canistel, cantaloupes, carambola (star following livestock: Animals
fruit), casaba melon, cherimoya (sugar commercially raised for food, fur, fiber,
The following definitions apply to apple), cherries, Chinese bitter melon, or feathers, including alpacas, bison,
this subpart. The definitions in parts citron, citron melon, coconuts, buffalo, beefalo, deer, ducks, elk, emus,
718 and 1400 of this title also apply, cranberries, crenshaw melon, dates, geese, goats, guinea pigs, llamas, mink,
except where they conflict with the donaqua (winter melon), durian, ostrich, pheasants, quail, rabbits,
definitions in this section. elderberries, figs, genip, gooseberries, reindeer, and turkey. It excludes all
Aquaculture means any species of grapefruit, grapes, ground cherrry, equine, breeding stock, companion or
aquatic organisms grown as food for guamabana (soursop), guava, comfort animals, pets, and animals
human consumption, fish raised as feed guavaberry, honeyberries, honeydew, raised for hunting or game purposes.
for fish that are consumed by humans, huckleberries, Israel melons, jack fruit, Prevented planting means the
ornamental fish propagated and reared jujube, juneberries, kiwiberry, kiwifruit, inability to plant the intended crop
in an aquatic medium. Eligible Korean golden melon, kumquats, acreage with proper equipment by the
aquacultural species must be raised by langsat, lemons, limequats, limes, final planting date for the crop type
a commercial operator and in water in longan, loquats, lychee, mangos, because of a natural disaster.
a controlled environment. mangosteen, mayhaw berries, mesple, Price trigger commodities means price
Breeding stock means: mulberries, nectarines, oranges, papaya, trigger crops and price trigger livestock
(1) For cattle, bulls and cows; passion fruits, pawpaw, peaches, pears, and products as defined in this section.
(2) For hogs and pigs, boars and sows; pecans, pineapple, pitaya (dragon fruit), Price trigger crops means any of the
and plantain, plumcots, plums, following crops: Barley, corn, sorghum,
(3) For lambs and sheep, rams and pomegranates, prunes, pummelo, soybeans, sunflowers, upland cotton,
ewes. raisins, rambutan, sapodilla, sapote, wheat (all classes), excluding crops with
Broilers includes any chicken that has schizandra berries, sprite melon, star an intended use of grazing, green
been commercially produced for meat gooseberry, strawberries, tangelos, manure, or left standing.
purposes that has left the farm for tangerines, tangors, wampee, Price trigger livestock and products
slaughter, and not used for laying or watermelon, wax jamboo fruit, and means any of the following livestock
breeding purposes. wolfberry (goji). and products: Beef cattle, broilers, dairy
Eggs means dried, frozen, liquid, and Hemp means the plant species (cow milk), eggs, lambs, sheep, hogs,
shell eggs. Cannabis sativa L. and any part of that and pigs; excluding breeding stock.
Experimental means a crop for which plant, including the seeds thereof and Producer means a person or legal
all of the following apply: all derivatives, extracts, cannabinoids, entity who shares in the risk of
(1) The crop is planted for isomers, acids, salts, and salts of producing a commodity. The term does
experimental purposes conducted under isomers, whether growing or not, with a not include contract growers. Producers
the direct supervision of a State delta-9 tetrahydrocannabinol who are not in the business of farming
experiment station or commercial concentration of not more than 0.3 at the time of application are not
company; percent on a dry weight basis, that is considered eligible producers.
(2) Production of the crop is destroyed grown under a license or other required Sales-based commodities means, as
before harvest or used for testing or authorization issued by the applicable defined in this section, aquaculture,
other experimental purposes; and governing authority that permits the sales-based crops, nursery crops and
(3) A representative of the State production of the hemp. floriculture, other livestock, and the
experiment station or the commercial Horticulture means any of the following commodities: Goat milk, mink
company certifies that any production following horticulture: Anise, basil, (including pelts); mohair, and wool.
harvested from the experiment will not cassava, chervil (Fresh parsley), chia, Sales-based crops means ambrosia,
be marketed in any form. chicory (radicchio), cilantro, cinnamon, arundo, camelina, cactus, cardoon,
Flat-rate crop means alfalfa, amaranth curry leaves, galanga, ginger, ginseng, fruits, honey, horticulture, maple sap,
grain, buckwheat, canola, cotton, Extra guayule, herbs, hops, lotus root, tobacco, tree nuts, and vegetables.
Long Staple (ELS) cotton, crambe marjoram, meadowfoam, mint, moringa, Fruits, horticulture, tree nuts, and
(colewort), einkorn, emmer, flax, guar, niger seed, oregano, parsley, vegetables are defined in this section.
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Federal Register / Vol. 85, No. 184 / Tuesday, September 22, 2020 / Rules and Regulations 59387
The term excludes crops with an FSA is unable to obtain a 2020 APH (ii) The producer’s estimated milk
intended use of grazing, green manure, approved yield, the yield will be the production from September 1, 2020, to
or left standing. 2019 Agriculture Risk Coverage-County December 31, 2020, based on the daily
Tree nuts means any of the following Option (ARC–CO) benchmark yield average production from April 1, 2020,
tree nuts: Almonds, avocados, carob, multiplied by 85 percent. ARC–CO through August 31, 2020, multiplied by
cashew, chestnuts, coffee, hazel nuts, yields for producers growing a crop in 122, multiplied by a payment rate of
jojoba, macadamia nuts, noni, olives, multiple counties will be weighted $1.20 per hundredweight.
persimmons, pine nuts, pistachios, based on the producer’s crop acreage (2) Dairy operations that stop
quinces, and walnuts. physically located in each county. commercially marketing milk after the
Vegetables means any of the following (b) Payments for flat-rate crops will be date they apply for CFAP 2 but before
vegetables: Alfalfa sprouts, aloe vera, equal to eligible acres of the crop December 31, 2020, must notify FSA of
artichokes, arugula (greens), asparagus, multiplied by a rate of $15 per acre. the date they stop commercially
bamboo shoots, batatas, bean sprouts, Eligible acres include the producer’s marketing milk. Those dairies are
beans (including dry edible), beets, bok share of the determined acres, or eligible only for a prorated payment
choy, broccoflower, broccoli, broccolini, reported acres if determined acres are under paragraph (g)(1)(ii) of this section
broccolo-cavalo, Brussel sprouts, not present, excluding prevented for the number of days the dairy
cabbage, calaloo, carrots, cauliflower, planted and experimental acres. operation commercially markets milk
celeriac, celery, chickpea (see beans, (c) Payments for beef cattle will be from September 1, 2020, through
garbanzo), chives, collard greens, equal to the lower of the producer’s December 31, 2020.
coriander, corn, sweet, cucumbers, maximum owned inventory of eligible
daikon, dandelion greens, dasheen (taro (h)(1) Payments for eggs will be equal
beef cattle, excluding breeding stock, on to 75 percent of the producer’s 2019 egg
root, malanga), dill, eggplant, endive, a date selected by the producer from
escarole, frisee, gailon (gai lein, Chinese production multiplied by the payment
April 16, 2020, through August 31, rate in Table 1 of paragraph (j) of this
broccoli), garlic, gourds, greens, 2020, or 4,546 head multiplied by the
horseradish, Jerusalem artichokes section.
number of payment limitations for the
(sunchoke), kale, kohlrabi, leeks, lentils, (2) Payments for egg producers who
producer multiplied by a payment rate
lettuce, melongene, mesculin mix, began farming in 2020 and had no
of $55 per head.
microgreens, mushrooms, okra, onions, production in 2019 will be calculated as
(d) Payments for hogs and pigs will be
parsnip, peas (including dry edible), provided in paragraph (h)(1) of this
equal to the lower of the producer’s
pejibaye (heart of palm), peppers, section, except that the payments will
maximum owned inventory of eligible
potatoes, potatoes sweet, pumpkins, be based on the producer’s actual 2020
hogs and pigs, excluding breeding stock,
radicchio, radishes, rhubarb, rutabaga, egg production as of the date the
on a date selected by the producer from
salsify (oyster plant), scallions, seed— producer submits an application for
April 16, 2020, through August 31,
vegetable, shallots, spinach, squash, payment under this part.
2020, or 10,870 head multiplied by the
swiss chard, tannier, taro, tomatillos, number of payment limitations for the (i)(1) Payments for sales commodities
tomatoes, truffles, turnip top (greens), will be equal to the sum of the results
producer, multiplied by a payment rate
turnips, yam, and yautia (malanga); for the following calculation for each
of $23 per head.
(e) Payments for lambs and sheep will 2019 sales range in Table 2 of paragraph
§ 9.202 Calculation of payments.
be equal to the producer’s highest (j) of this section: the amount of the
(a) Payments for price trigger crops producer’s eligible sales within the
will be equal to the greater of: owned inventory of eligible lambs and
sheep, excluding breeding stock, on a specified range in calendar year 2019,
(1) Eligible acres of the crop
date selected by the producer from April multiplied by the payment rate for that
multiplied by a rate of $15 per acre; or
(2) Eligible acres of the crop 16, 2020, through August 31, 2020, range in Table 2 of paragraph (j) of this
multiplied by the applicable yield, multiplied by a payment rate of $27 per section. Eligible sales only includes
multiplied by the crop marketing head. sales of raw commodities grown by the
percentage in Table 1 of paragraph (j) of (f)(1) Payments for broilers will be producer; the portion of sales derived
this section, multiplied by the crop equal to 75 percent of the producer’s from adding value to the commodity,
payment rate in Table 1 of paragraph (j) 2019 broiler production multiplied by a such as processing and packaging, and
of this section. payment rate of $1.01 per bird (head). from sales of products purchased for
(3) Under paragraph (a) of this (2) Payments for broiler producers resale is not included in the payment
section, eligible acres include the who began farming in 2020 and had no calculation unless determined eligible
producer’s share of the determined production in 2019 will be calculated as by the Secretary.
acres, or reported acres if determined provided in paragraph (f)(1) of this (2) Payments for producers of sales
acres are not present, of the crop section, except that the payments will commodities who began farming in
planted for the 2020 crop year, be based on the producer’s actual 2020 2020 and had no sales in 2019 will be
excluding prevented planted and broiler production as of the date the calculated as provided in paragraph
experimental acres. For producers who producer submits an application for (i)(1) of this section, except that the
insured acres of the crop under a policy payment under this part. payments will be based on the
or plan of insurance under the Federal (g)(1) Payments for dairy (cow milk) producer’s actual 2020 sales as of the
Crop Insurance Act (7 U.S.C. 1501– will be equal to the sum of the following date the producer submits an
1524), the yield will be the average of two calculations: application for payment under this
the producer’s 2020 actual production (i) The producer’s total actual milk section.
history (APH) approved yield from all of production from April 1, 2020, to (j) The payment rates in Tables 1 and
the producer’s insured acres August 31, 2020, multiplied by the 2 of this paragraph (j) will be used to
nationwide. For producers for whom payment $1.20 per hundredweight; and calculate CFAP payments:
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59388 Federal Register / Vol. 85, No. 184 / Tuesday, September 22, 2020 / Rules and Regulations
TABLE 1 TO PARAGRAPH (J)—PAYMENT RATES FOR PRICE TRIGGER CROPS AND EGGS
Crop marketing Payment rate
Commodity Units percentage ($/unit)
(percent)
Barley ......................................................................................................................................... bu 63 $0.54
Corn ........................................................................................................................................... bu 40 0.58
Cotton, Upland ........................................................................................................................... lb 46 0.08
Sorghum .................................................................................................................................... bu 55 0.56
Soybean ..................................................................................................................................... bu 54 0.58
Sunflowers ................................................................................................................................. lb 44 0.02
Wheat (all classes) .................................................................................................................... bu 73 0.54
Shell Eggs .................................................................................................................................. dozen n/a 0.05
Liquid Eggs ................................................................................................................................ lb n/a 0.04
Dried Eggs ................................................................................................................................. lb n/a 0.14
Frozen Eggs .............................................................................................................................. lb n/a 0.05
TABLE 2 TO PARAGRAPH (J)—PAY- DEPARTMENT OF AGRICULTURE governing Strategic Economic and
MENT RATES FOR SALES COMMOD- Community Development (SECD) to
ITIES
Rural Utilities Service implement Section 6401 of the 2018
Farm Bill. Additionally, conforming
Percent 7 CFR Parts 1779 and 1780 changes are being made to other
2019 Sales range payment regulations as a result of the
factor Rural Housing Service aforementioned statutory changes.
Finally, we are removing Farm Service
Up to $49,999 ....................... 10.6 Rural Business-Cooperative Service Agency from a chapter in the CFR as
$50,000-$99,999 ................... 9.9 they no longer use any of the parts
$100,000-$499,999 ............... 9.7 Rural Utilities Service under that chapter.
$500,000-$999,999 ............... 9.0
DATES: This final rule is effective
All sales over $1 million ....... 8.8 Farm Service Agency September 22, 2020.
FOR FURTHER INFORMATION CONTACT: Greg
(k) CFAP 2 payments will not be 7 CFR Chapter XVIII
Batson, Strategic Engagement, Rural
calculated or issued for ineligible Development Innovation Center, U.S.
commodities. Rural Housing Service
Department of Agriculture;
Stephen L. Censky, 7 CFR Parts 3570 and 3575 gregory.batson@usda.gov; (573) 239–
Vice Chairman, Commodity Credit 2945.
Corporation, and Deputy Secretary, U.S. Rural Business-Cooperative Service SUPPLEMENTARY INFORMATION:
Department of Agriculture.
Background and Discussion
[FR Doc. 2020–20844 Filed 9–18–20; 4:15 pm] Rural Utilities Service
BILLING CODE 3410–05–P The Agency administers a multitude
7 CFR Parts 4279 and 4280 of Federal programs for the benefit of
rural America, ranging from housing
[Docket No. RBS–20–BUSINESS–31]
and community facilities to
RIN 0570–AB04 infrastructure and business
development. Its mission is to increase
Strategic Economic and Community economic opportunity and improve the
Development quality of life in rural communities by
AGENCY: Rural Business-Cooperative providing the leadership, infrastructure,
Service, Rural Housing Service, Rural capital, and technical support that
Utilities Service, Farm Service Agency, enables rural communities to prosper.
Department of Agriculture (USDA). To achieve its mission, the Agency
ACTION: Final rule. provides financial support (including
direct loans, grants, and loan
SUMMARY: The Rural Business- guarantees) and technical assistance.
Cooperative Service, Rural Housing Section 379H Strategic and Economic
Service, and Rural Utilities Service, of Community Development of the
the Rural Development (RD) mission Consolidated Farm and Rural
area within the U.S. Department of Development Act (7 U.S.C. 2008v)
Agriculture (USDA), hereinafter supports rural communities by
collectively referred to as the Agency, is promoting regional economic and
issuing this final rule to implement community development. Reservation of
statutory provisions found in Section targeted funds are available for covered
6401 of the Agricultural Improvement Rural Development programs to
Act of 2018 (‘‘2018 Farm Bill’’) that encourage regional economic and
amends Section 379H of the community development. Section 6401
Consolidated Farm and Rural of the 2018 Farm Bill amended Section
Development Act. The intent of this rule 379H, Strategic Economic and
is to amend the existing regulations Community Development of the
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