[Federal Register Volume 63, Number 188 (Tuesday, September 29, 1998)]
[Notices]
[Pages 51890-51891]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 98-26023]
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DEPARTMENT OF AGRICULTURE
Federal Crop Insurance Corporation
Crop Insurance Pilot Program
AGENCY: Federal Crop Insurance Corporation, USDA.
ACTION: Notice; Request for Comments.
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SUMMARY: This notice announces a public comment period on developing a
new pilot program that would indemnify crop losses that result due to
scab problems in the Northern Plains area of the United States in
conjunction with the Federal crop insurance program. This action is
necessary to address the scab problems in the Northern Plains. It is
intended to ensure that producers have an adequate risk management tool
for handling this disease.
DATES: Submit comments on or before October 29, 1998.
ADDRESSES: Interested persons are invited to submit written comments to
the Director, Product Development Division, Federal Crop Insurance
Corporation, United States Department of Agriculture, 9435 Holmes Road,
Kansas City, Mo 64131. A copy of each response will be available for
public inspection and copying from 7 a.m. to 4:30 p.m., CDT, Monday
through Friday, except holidays, at the above address.
FOR FURTHER INFORMATION CONTACT: Tim Hoffmann, Director, Product
Development Division, Federal Crop Insurance Corporation, at the Kansas
City, Mo., address listed above, telephone (816) 926-7387.
SUPPLEMENTARY INFORMATION: Section 193(b) of the Federal Agriculture
Improvement and Reform Act of 1996 (1996 Act) authorizes the Secretary
of Agriculture to develop and administer a pilot program for crop
insurance coverage that indemnifies crop losses due to a natural
disaster such as insect infestation or disease. This section also
requires the pilot program to be actuarially sound, as determined by
the Secretary of Agriculture and administered at no net cost. The pilot
can last no more than two years.
Some interested parties, including producer groups, have indicated
that the scab problems in the Northern Plains may require a unique
approach to ensure that producers have an adequate risk management tool
for handling this disease. The scab problems have lowered small grains
grade qualities for wheat and barley in this region. The current small
grains crop insurance provisions, 7 CFR 457. 101, section 11(b) allow
for quality adjustment of barley and wheat only when barley or wheat
production grades U.S. No. 5 or worse. In some instances, barley and
wheat damaged by scab do not meet this threshold, yet some price
reduction is incurred by the producer in the marketing of such grain.
FCIC is soliciting comments concerning development of a pilot
program for addressing scab problems in the Northern Plains. FCIC
encourages and welcomes any proposals, recommendations, options,
concerns, or other comments the public may have with respect to the
development of such a pilot program. Parties affected by any pilot
program resulting from this notice will include producers, grain
elevators, insurance companies reinsured by FCIC, and insurance agents.
[[Page 51891]]
Signed in Washington, DC, on September 23, 1998.
Kenneth D. Ackerman,
Manager, Federal Crop Insurance Corporation.
[FR Doc. 98-26023 Filed 9-28-98; 8:45 am]
BILLING CODE 3410-08-P
