{"id":31215,"date":"2008-03-26T16:35:41","date_gmt":"2008-03-26T21:35:41","guid":{"rendered":"https:\/\/ability-fl-prod.internetbrands.com\/ability-legal\/uncategorized\/crop-loss-disaster-assistance-program-frequently-asked-questions.html"},"modified":"2008-03-26T16:35:41","modified_gmt":"2008-03-26T21:35:41","slug":"crop-loss-disaster-assistance-program-frequently-asked-questions","status":"publish","type":"corporate","link":"https:\/\/corporate.findlaw.com\/business-operations\/crop-loss-disaster-assistance-program-frequently-asked-questions.html","title":{"rendered":"Crop Loss Disaster Assistance Program Frequently Asked Questions (FAQ)"},"content":{"rendered":"<section class=\"fl-gutenberg-byline\">\n    <div class=\"fl-gutenberg-byline-content\">\n                    <p><em>This article was edited and reviewed by <a href=\"https:\/\/www.findlaw.com\/company\/our-team.html\" rel=\"noopener\">FindLaw Attorney Writers<\/a><\/em><\/p>\n\n                | Last updated\n        <time>\n                            August 28, 2026\n                    <\/time>\n    <\/div>\n\n    \n    <details class=\"fl-gutenberg-byline-toggle fl-gutenberg-byline-legally-reviewed\">\n        <summary>\n            <i class=\"fl-gutenberg-byline-icon\" aria-hidden=\"true\"><\/i>\n            Legally Reviewed\n        <\/summary>\n\n        <div class=\"fl-gutenberg-byline-toggle-content\">\n            <p><em>This article has been written and reviewed for legal accuracy, clarity, and style by <a href=\"https:\/\/www.findlaw.com\/company\/our-team.html\" rel=\"noopener\">FindLaw\u2019s team of legal writers and attorneys<\/a> and in accordance with <a href=\"https:\/\/www.findlaw.com\/company\/company-history\/editorial-policy.html\" rel=\"noopener\">our editorial standards<\/a>.<\/em><\/p>\n\n        <\/div>\n    <\/details>\n\n    <details class=\"fl-gutenberg-byline-toggle fl-gutenberg-byline-fast-checked\">\n        <summary>\n            <i class=\"fl-gutenberg-byline-icon\" aria-hidden=\"true\"><\/i>\n            Fact-Checked\n        <\/summary>\n\n        <div class=\"fl-gutenberg-byline-toggle-content\">\n            <p><em>The last updated date refers to the last time this article was reviewed by FindLaw or one of our <a href=\"https:\/\/www.findlaw.com\/company\/our-team\/contributing-authors.html\" rel=\"noopener\">contributing authors<\/a>. We make every effort to keep our articles updated. For information regarding a specific legal issue affecting you, please <a href=\"https:\/\/lawyers.findlaw.com\/?fli=bylinelink\" rel=\"noopener\">contact an attorney in your area<\/a>.<\/em><\/p>\n\n        <\/div>\n    <\/details>\n<\/section>\n\n\n\n<div class=\"rxbodyfield\">\n<p align=\"right\"><small><span style=\"font-family: Arial;\">Last Updated: Tuesday, February 16, 1999 09:39:57 AM<\/span><\/small><\/p>\n<p><b><span style=\"font-family: Arial;\">1. 1998 single year and multi year provisions of the Crop Loss Disaster Assistance Program<\/span><\/b><\/p>\n<p><strong><span style=\"font-family: Arial;\">1.1 What are eligible disaster conditions?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Crop losses must be directly attributed to adverse weather and related conditions.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">1.2 When and where will application be taken from producers?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Applications will be accepted in the local Service Center Office beginning February 1, 1999<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">1.3 If a producer has both a 1998 loss and multi-year losses, will the producer be able to collect a payment under both the 1998 single-year provisions program and the multi-year provisions?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">No. FSA will determine which is the most beneficial to the producer and pay the higher amount if a producer qualifies for both.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">1.4 Which crops are eligible for assistance under the 1998 single-year provisions?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">All crops for which Federal crop insurance is available, regardless of whether insurance was purchased and all crops eligible for NAP.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">1.5 Will pasture losses qualify for assistance?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Pasture losses may be made under the Livestock Assistance Program and NAP, if eligibility requirements are met. Therefore, pasture losses will not be covered under the 1998 single-year or multi-year provisions of the crop disaster assistance program.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">1.6 Will assistance be available for prevented planting?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Prevented planting will be covered under both the 1998 single-year provisions and the multi-year provisions. Procedure will be forthcoming on the 1998 single-year provisions. For multi-year benefits producers will receive an additional 25 percent of prevented planting payments received under NAP or crop insurance.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">1.7 Is there any loss threshold?<\/span><\/strong><\/p>\n<ul>\n<li><span style=\"font-family: Arial;\">To qualify for 1998 single-year assistance, losses must exceed 35 percent of normal production. Producers will only be compensated for losses greater than the threshold.<\/span><\/li>\n<\/ul>\n<ul>\n<li><span style=\"font-family: Arial;\">For multi-year assistance, losses are calculated as 25 percent of the applicable years&#8217; FCIC indemnities or NAP payments. Since NAP was not available in 1994, producers qualifying for NAP crops will receive 25 percent of the 1994 ad hoc disaster payment.<\/span><\/li>\n<\/ul>\n<p><strong><span style=\"font-family: Arial;\">1.8 Under the 1998 single-year provisions, what will FSA use as &#8220;historic&#8221; yield for determining the 1998 production loss?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Historic production will be the higher of a producer&#8217;s actual production history (APH) or the NASS 5-year county average. If NASS data is unavailable for non-insurable crops, STC&#8217;s will establish yields using the best data available including county expected yields previously established for NAP.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">1.9 What rates will be used to calculate payments?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">For 1998 single-year assistance the rate is:<\/span><\/p>\n<p><span style=\"font-family: Arial;\">-65 percent of the maximum established Risk Management price for insured crops<\/span><\/p>\n<p><span style=\"font-family: Arial;\">-65 percent of the NASS 5-year average for non-insurable crops<\/span><\/p>\n<p><span style=\"font-family: Arial;\">-60 percent of the maximum established Risk Management price for uninsured crops.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">1.10 Will County Committees set any prices under this program?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Prices will be established at the National level where NASS or crop insurance data is available. In cases where is no data or data is not representative, STC will establish prices for non-insurable crops. County Committees may be called upon by their STC to aid in establishing these prices. All prices are subject to DAFP approval.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">1.11 Are quality losses covered under this program?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Yes. The policy will be issued as soon as decisions have been made.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">1.12 Will eligibility be calculated on a farm or unit basis?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Units will be used. If units have not been established for a producer, they will be established using existing NAP rules.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">1.13 Will payments be factored?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">If the value of all eligible applications exceeds the available money, the payments will be factored.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">1.14 For 1998 single-year assistance, will harvested and unharvested payment factors apply?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Yes. There will be prevented planted and unharvested payment factors established for insured, uninsured, and non-insurable crops.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">1.15 Are conservation compliance provisions applicable?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Yes, Conservation compliance provisions apply to all producers under both the 1998 single-year provisions and the multi-year provisions.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">1.16 Is there a payment limitation?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">An $80,000 per person payment limitation will be apply to single-year and multi-year assistance. A separate $80,000 payment limitation applies to the crop insurance premium discount. Any applicable payment limit will be applied before the determination of any National payment factor.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">1.17 How do signed crop insurance waivers affect eligibility?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">The signing of a crop insurance waiver will not prevent producers from receiving a disaster program payment, if they are otherwise eligible.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">1.18 Will producers be required to purchased crop insurance in future years?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Legislation requires producers who receive benefits under either the 1998 single-year or multi-year provisions of this disaster program who did not purchase crop insurance in 1998, to purchase crop insurance for the 1999 and 2000 crop years.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">1.19 Does a producer have to suffer a 35% loss to be eligible for crop insurance premium discounts?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">No. The discounts are available to all producers to purchase buy-up insurance.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">1.20 Are producers eligible for this program, if they are also receiving benefits under different programs for the same disaster?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Yes. A producer will be eligible to receive benefits under this program and NAP, Multiple Peril Crop Insurance, and FSA Emergency Loans.<\/span><\/p>\n<hr \/>\n<p><b><span style=\"font-family: Arial;\">2. General Information Questions<\/span><\/b><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.1 How will FSA determine whether 1998 or multi-year loss is most beneficial to the producer?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">During sign-up a producer having both 1998 and qualifying multi-year losses will submit an application for both the single-year 1998 program and the multi-year program. After sign-up ends and payment factors are determined, a computer process will determine under which program the producer will receive the greatest benefits and include that amount in the download to counties.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.2 Who will establish unharvested and prevented factors?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">The information available in WDC in NAP files and 1994 ad hoc disaster files will be included in State price and County average yield data provided to State Offices. States will have the opportunity to review, update and complete the file once received.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.3 Will we pay on aquaculture, floriculture, ornamental nursery, hay, Christmas trees, turfgrass, sod, and industrial crops?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Yes<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.4 This program includes 5 crop years. What year&#8217;s gross income will used to determine if the $2.5 million annual gross income limitation is exceeded?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">The producer&#8217;s income from the 1997 tax return will be used regardless of which year losses were suffered.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.5 For 1998 single year, will ornamental nursery crops, as defined for NAP purposes, be handled as a single combined crop, or will each type of ornamental nursery crop be eligible? For example, will field grown roses qualify for crop loss disaster assistance without regard to losses on other ornamental nursery crops?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">The crop table issued along with prices and yields will contain the eligible crops for 1998. The crop table includes ornamental nursery and will be handled similar to NAP.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.6 Under NAP provision, certain crops are treated as value loss crops where the loss is measured by the loss in value of inventory, rather than as a loss of production. How will these losses be addressed under crop loss disaster provisions?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">The Crop Loss Disaster Assistance Program is using the same provisions for value loss crops as those found under NAP.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.7 Is it correct that a 1998 NAP Area designation is not required for producer to be eligible for single year disaster losses?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Yes. Producer in an area that does not meet the NAP area designation qualifications are eligible if losses exceed 35 percent and all other eligibility criteria is met.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.8 Is assistance available for producers that harvested a normal hay crop and the bales were set or stacked on or near a field that flooded?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">No. The hay harvested will count as actual production.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.9 In National Notice DAP-12, question 5, the indication was that pasture losses would be made under LAP and NAP and not covered by CLDAP. Does this include both hay and grazing?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">No. Hay losses will be covered by CLDAP. Grazing losses are not covered by CLDAP..<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.10 NAP-23, Par. 3B &#8211; The second paragraph states that producers do not have the option of having an approved yield calculated based on a T-yield or records of production. The next sentence indicates that we follow 1-NAP, Subpar. 254D. This procedure indicates that approved yields are calculated using T-yields and records of production. What is the intent of the subpar.3B?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Approved yields will not be established for CLDAP purposes. If an approved yield is established or has been established for NAP, then that yield will be compared to the county yield to determine historical yield. If a NAP yield is not present then the county yield is the historical yield.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.11 Will any consideration be given to market over-saturation and denial of a producer&#8217;s crop, or a producer&#8217;s election to abandon crop because of the lack of market price?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">The 1998 Single Year Disaster Program is a production loss program. Only losses which are directly due to weather related disaster conditions will meet eligibility requirements.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.12 If no appraisal was performed for a crop, what will be required of an applicant to verify acreage not harvested or planted?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Producer will be required to certify to disposition of the crop and whether or not any secondary use or salvage value was obtained. If salvage or secondary use value was received, producer shall furnish available records, i.e., weight tickets, sales receipts for COC use in determining secondary or salvage value obtained. If no records of any kind are available, COC may require producer to provide input cost, i.e., seed receipts, fertilizer bills, etc., to verify a crop was planted.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.13 Will this legislation require crop insurance for all insurable crops in the county, or just the crop for which disaster assistance is being provided? Will FSA spot-check for this in later years as was done with the previous Ad Hoc disaster programs?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Producers that did not purchase insurance for all their insurable crops in 1998 will be required to purchase insurance for all insurable crops of economic significance that are planted in 1999 and 2000, regardless of whether they collected a disaster payment on an insurable crop. FSA will work with RMA on the enforcement of these provisions.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.14 Will the COC&#8217;s have the authority to modify yields if they, on a case-by-case basis, determine that the producer does not have the capability of producing that yield?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">COC&#8217;s are not authorized to reduce a county average for an individual producer. They are authorized to assign production for a loss not attributable to an eligible disaster condition.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.15 How will we payments be determined when a crop&#8217;s clean-out production evidence (as in seed crops) or pack-out evidence (as in apples) will not be completed until after &#8220;Spring 1999&#8221;?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">If any part of the producer&#8217;s crop has pack-out or clean-out evidence, those records must be provided and used along with producer certification of remaining production. If production evidence is not available for any of the crop, producers must certify production and COC will determine reasonableness of certification based on county losses for the crop.<\/span><\/p>\n<p><span style=\"font-family: Arial;\">When pack-out or clean-out production evidence becomes available, producer&#8217;s must provide the records to the county office to ensure that payments were made on actual losses. No additional payments will be made if the producer was underpaid.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.16 Soybeans are insurable in most counties, however, double crop soybeans are not insurable in many counties. Are DC soybeans eligible for CLDAP?<\/span><\/strong><\/p>\n<p><strong><span style=\"font-family: Arial;\">DC soybeans are eligible for DAP. If the double crop soybeans were insurable, and the producer had insurance, he would be eligible for disaster assistance at the insurable rate of 65%. If the double crop soybeans were insurable, and the producer did not have insurance, he would be eligible for disaster assistance at the uninsured rate of 60%. If the double crop soybeans were not insurable, the producer would be eligible for disaster assistance at the rate of 65%.<\/span><\/strong><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.17 Under the 1998 single-year provision, must a producer provide his actual yield history, or can he simply accept the NASS 5-year average yield or the State Committee established yield for the crop?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">FSA will not calculate any approved yields for disaster purposes only. Therefore, producers that do not have an APH\/approved yield must accept the county average yield.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.18 How will the payment be calculated for a producer that suffered a single-year loss of 45 percent? Is the compensation on 45 percent or 10 percent (45-35%)?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">10%. Losses in excess of 35% are eligible.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.19 What kind of production evidence is required?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Production records must be acceptable to the COC and must be verifiable. Producers must provide records of production available from any source. If no records are available, a producer must provide a certification as to disposition of the crop and the amount of production. COC shall establish and STC shall approve a maximum loss level for the crop based on other proven county losses. Producers without evidence will receive the higher of their certified production or the STC approved maximum loss level for the crop.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.20 Since the sales closing date has already passed for some crops and producers are required to purchase 1999 and 2000 year insurance to qualify for payment, will the sales closing date be extended or reopened to allow applicants opportunity to get insurance?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">The sales closing date will NOT be extended. Producers who missed the closing date will be required to purchase insurance for 2000 and 2001.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.21 Some producers are going out of business because 1998 was such a disastrous year. If they apply for their 1998 losses but will not be continuing their insurance coverage because they are no longer in business, can they qualify?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Those producers no longer farming or having an interest in an insurable crop in 1999 and 2000 will be eligible for 1998 single-year payments, but will have no crops to insure.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.22 Some orchards will remain in production, but have a different owner and\/or operator for 1999. Must 1999 and 2000 insurance be carried on producers applying for 1998 losses, or land applied on in 1998?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Insurance requirements are for the producer receiving the benefit not the land receiving the benefit.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.23 May a producer apply for a disaster payment on a crop when a NAP designation has not been made for their county?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Yes, 1998 single year benefits are not contingent on whether a 1998 NAP area meets area eligibility.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.24 If producers participated in the Livestock Assistance Program (LAP) on pastures that are also cut for hay each year, may they apply for the hay loss (which was not covered by LAP) under disaster?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Yes.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.25 Most native hay\/mixed hay growers cut growth for hay in the low-lying areas of their property and up the hillside only to the extent that rainfall and growing conditions make haying practical. In other words, producers cut a lot more acres for hay in wet years than in dry years. How does FSA determine the number of acres suitable for hay production for CLDAP in such a situation?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Require producer to certify to acreage intended for harvest as hay. In areas where it is known that part of the acreage would not normally yield normal cuttings for that type of hay, the COC shall review the reported acreage and assign production to the acreage which would not produce the expected yield under normal conditions. Note: COC&#8217;s have the authority to assign production based on documentation that acreage would not produce average yield under normal conditions. COC does not have the authority to reduce an individual yield.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.26 Is March 12, 1999 the signup deadline? If so, will this also be the deadline to provide production and other evidence or will it be March 26 or April 2?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Yes. All information must be provided by March 12.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.27 Will applications be processed for each shareholder on a unit or will the application include all names of all producers sharing in the crop(s) on the unit?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Applications will be taken separately for each producer.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.28 Is prevented planting acreage of a crop considered a separate crop from the planted crop?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Yes. Prevented planted acreage will be calculated separately for payment from planted acreage.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.29 Prevented planting (corn) is followed by planting a second different crop (canola) that fails. Is payment earned on both crops?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">If a subsequent crop is planted on a prevented planted acreage, the prevented planted crop is not eligible. The subsequent crop is eligible for disaster assistance if all other criteria is met.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.30 Will waivers of 1999 and 2000 year crop insurance requirements be available when there is no interest in 1999 or 2000 crop years or for low income producers?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Yes, waivers may be available under certain circumstances<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.31 If a producer had insurance in 1998, is the producer exempt from taking insurance in 1999 and 2000?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">If the producer had insurance on all insurable crops in 1998, legislation does not require that producer to obtain insurance in 1999 and 2000. It is important to note premium reductions will apply for 1999 to encourage producers to continue purchasing insurance.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.32 Do quality adjustment provisions apply for all crops?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">No, Quality Adjustments will apply to:<\/span><\/p>\n<ul>\n<li><span style=\"font-family: Arial;\">crops eligible for 1998 FSA commodity loans<\/span><\/li>\n<li><span style=\"font-family: Arial;\">tobacco and peanuts<\/span><\/li>\n<li><span style=\"font-family: Arial;\">crops with multiple markets (fresh and processing)<\/span><\/li>\n<\/ul>\n<p><strong><span style=\"font-family: Arial;\">2.33 If a producer requests payment on a crop on only 1 unit, does production from all units the producer has an interest in have to be reviewed?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">COC may require producers to provide records from other units to use in determining acceptable production or to assign production.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">2.34 If a producer is compensated for loss on burley tobacco, will the pounds on which payment is made be deducted form the farm&#8217;s effective quota?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">The pounds on which the producer is paid disaster benefits will not be deducted from the producer&#8217;s 1999 effective quota.<\/span><\/p>\n<hr \/><b><\/b>\n<p><b><span style=\"font-family: Arial;\">3. Multi-Year Loss Questions<\/span><\/b><\/p>\n<p><strong><span style=\"font-family: Arial;\">3.1 Since quality losses are not made under NAP, will there be quality payments under the multi-year provision?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">No. Multi-year payments are an additional 25% of previous payments.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">3.2 A producer had losses in 1994, 1995, and 1996, all of which received indemnity payments. The producer stopped farming after 1996. Is that producer eligible under the multi-year provisions?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Yes, if all other criteria is met. The fact that the individual or entity is no longer farming does not disqualify the individual or entity.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">3.3 Will the multi-year assistance for insured crops be based upon the total indemnity calculated for the producer before the reduction was made for premium amount due?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Yes, the 25 percent multi-year payment will be based on total indemnity calculated prior to any premium reductions.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">3.4 If a producer received NAP payments in 2 years and received crop insurance payments in 2 of the years 1994-1998, will the producer be eligible for multi-year payments equal to 25 percent of all payments received for the five years?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">No. Multi-year eligibility is determined separately for insured and noninsurable crops. Producers cannot combine insured and noninsured crop losses to meet the 3 out of 5 year requirements.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">3.5 To qualify for the multi-year loss assistance do the losses have to be for the same crop for all years?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">No. All insured crops will be considered together and all noninsurable crops will be considered together.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">3.6 The crop has been insurable in the county since before 1994. The producer did not carry insurance in 1994 but earned an ad hoc disaster payment. The producer subsequently secured insurance and has earned two indemnity payments from 1995-1998. Is the producer eligible for the multi-year program?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">No. RMA determines eligibility for insurable crops based on years of indemnities paid. 1994 ad hoc can only be used as one year of eligibility for noninsurable crops.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">3.7 The crop first became insurable in the county in 1996. The producer earned a 1994 ad hoc disaster payment, a 1995 NAP payment and an insurance indemnity in one of the years 1996-1998. Is the producer eligible for the multi-year program?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">No, refer to answer in question 3.4<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">3.8 The crop is insurable in the county; however, the producer employed an uninsurable practice in one year during the 1994-1998. The producer also has two insurance indemnities during the 1994-1998. Is the producer eligible for the multi-year program?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">No, refer to answer in 3.4<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">3.9 Does the multiple year provisions apply to a specific crop or any crops? For example, if the producer had a NAP loss in 1994 for cherries, a NAP loss in 1995 for apricots and a NAP loss in 1996 for peaches, is he eligible for the multi year consideration or does the loss have to have occurred in at least 3 years for the same crop?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">The multi year provision is not crop specific. In your example, if this producer actually received NAP payments for these crops, the producer would be considered eligible for multi-year NAP.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">3.10 If a producer farms in a summerfallow rotation, planting wheat every other year, will a producer be eligible if losses are only demonstrated in 2 of the last five years?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Assuming that wheat is considered the only crop insured and the producer received 2 indemnity payments for the 2 out of the past 5 years, this producer would not be eligible for multi-year. Although it is important to note that if this producer was growing any other insured crop that received an indemnity payment in another year other than the 2 for wheat, this producer would be eligible.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">3.11 Will it be possible for RMA\/FCIC to provide county offices with a list of producers who earned FCIC Indemnity payments in the last five years?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">RMA will determine eligibility for multi-year and the total indemnity paid. This information will be provided to County Offices for eligible multi-year producers.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">3.12 If crop insurance was available, and producer did not purchase it, is the producer eligible for multi-year benefits for that particular crop?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">No. Multi-year benefits are based on 25% of indemnities paid for the crop.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">3.13 Is landed that was bided and accepted into CRP this year eligible for benefits if losses occurred in previous years?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Multi-year provisions are by producer and are not directly tied to land. Loss payments received on crops grown on that acreage would be included in calculating the additional 25 percent multi-year benefit.<\/span><\/p>\n<hr \/><b><\/b>\n<p><b><span style=\"font-family: Arial;\">4. Compliance Questions<\/span><\/b><\/p>\n<p><strong><span style=\"font-family: Arial;\">4.1 Will FSA have any compliance responsibilities for multi-year payments for insured crops?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">For multi-year insured losses, FSA will not perform any spot checking of RMA provided information. The total indemnity paid will be provided to FSA only for those insureds that received indemnity payments for 3 of the last 5 years.<\/span><\/p>\n<hr \/><b><\/b>\n<p><b><span style=\"font-family: Arial;\">5. Payment Limitation Questions<\/span><\/b><\/p>\n<p><strong><span style=\"font-family: Arial;\">5.1 Do payment limitation rules for actively engaged in farming, cash rent tenant, three permitted entities, and foreign person rules apply?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">No.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">5.2 Who will control the $80,000 limit for crop insurance premium discount?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">RMA is responsible for administrating all aspects of this program.<\/span><\/p>\n<hr \/><b><\/b>\n<p><b><span style=\"font-family: Arial;\">6. Established Rates and Yields<\/span><\/b><\/p>\n<p><strong><span style=\"font-family: Arial;\">6.1 Will irrigated and nonirrigated yields for applicable crops be established if NASS data is available only as a blended yield?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Yes, all efforts must be made to divide blended yields between irrigated and nonirrigated when applicable.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">6.2 Will FSA use the NASS planted or harvested yields when determining the yields?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">The straight 5 year calculation of NASS harvested yields will be used.<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">6.3 Will yields be based on a five-year average rather than dropping the high and the low years and average the remaining three?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">Yes<\/span><\/p>\n<p><strong><span style=\"font-family: Arial;\">6.4 When the crop is uninsurable for the county, but there is a state-wide RMA price available, will we use the county NASS price or RMA price?<\/span><\/strong><\/p>\n<p><span style=\"font-family: Arial;\">RMA prices will be used.<\/span><\/p>\n<hr \/><small><span style=\"font-family: Arial;\">Last Updated: Tuesday, February 16, 1999 09:39:57 AM<\/span><\/small>\n<p>\u00a0<\/p>\n<hr size=\"5\" width=\"600\" \/>\n<p align=\"center\"><span style=\"font-family: Arial;\">[ <a href=\"http:\/\/www.fsa.usda.gov\" rel=\"noopener\">FSA Home Page<\/a> | <a href=\"mailto:webmaster@wdc.fsa.usda.gov\">Comments<\/a> | <a href=\"http:\/\/www.usda.gov\" rel=\"noopener\">USDA Home Page<\/a> ]<\/span><\/p>\n<\/div>\n<p>\u00a0<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Last Updated: Tuesday, February 16, 1999 09:39:57 AM   Crop losses must be directly attributed to adverse weather and related conditions.  Applications will be accepted in the local Service Center Office beginning February 1, 1999  No. FSA will &#8230;<\/p>\n","protected":false},"template":"","meta":{"_acf_changed":false,"_stopmodifiedupdate":true,"_modified_date":"","_cloudinary_featured_overwrite":false},"corporate_categories":[6467,6471,6473],"class_list":["post-31215","corporate","type-corporate","status-publish","hentry","corporate_categories-business-operations","corporate_categories-business-operations__property","corporate_categories-business-operations__property__real-property"],"acf":[],"_links":{"self":[{"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/corporate\/31215","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/corporate"}],"about":[{"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/types\/corporate"}],"wp:attachment":[{"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/media?parent=31215"}],"wp:term":[{"taxonomy":"corporate_categories","embeddable":true,"href":"https:\/\/corporate.findlaw.com\/legal-api\/wp-json\/wp\/v2\/corporate_categories?post=31215"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}