BULLETIN NO.: MGR-96-036.1

TO:      All Reinsured Companies
         All Risk Management Field Offices
         FSA Headquarters, Program Delivery and Field Operations

FROM:    Kenneth D. Ackerman
         Acting Administrator

SUBJECT: Change to MGR-96-036 (Prevented Planting Coverage for Spring Wheat)

        
BACKGROUND:

Manager Bulletin MGR-96-036 was recently issued to clarify prevented planting 
coverage for spring crops that were prevented from being planted after a 
failed winter crop.  The bulletin contained several conditions for 
eligibility.  One of these conditions indicated that the failed winter crop 
could not be hayed or grazed.  Upon further review, RMA has found this 
requirement to be inconsistent with prevented planting policy provisions 
that generally allow haying and grazing on acreage eligible for a prevented 
planting production guarantee. 

ACTION:

The following eligibility requirements will replace those contained in 
MGR-96-036:

    For the 1996 and succeeding crop years, a producer may be eligible for a 
    prevented planting production guarantee for a spring-planted crop even 
    though a fall-planted crop has been planted on the acreage.  Such 
    coverage will be provided only if:

    1)   The fall-planted crop fails and the producer is ineligible for crop 
         insurance coverage or any other payment associated with the crop 
         loss;

    2)   Failure of the fall crop occurs prior to the time that planting of 
         spring crops normally begins in the county;

    3)   The producer does not derive a benefit from the failed winter crop 
         by harvesting it (haying or grazing is allowed);

    4)   The acreage is located in a county with spring final planting dates 
         only; and

    5)   An insurance policy inclusive of prevented planting protection is in 
         place for the spring crop that is intended to be planted.