BULLETIN NO.:  MGR-96-070
     
TO:       All Reinsured Companies
          All Risk Management Field Offices
          FSA Headquarters, Program Delivery and Field
          Operations
          All Other Interested Parties
     
FROM:     Kenneth D. Ackerman
          Acting Administrator
     
SUBJECT:  Notice of Termination
     
     
In accordance with section V.J. of the Standard Reinsurance Agreement,
the Federal Crop Insurance Corporation (FCIC) herewith gives notice that
it will terminate the current (1995/1997) Standard Reinsurance
Agreement effective June 30, 1997.  This action is necessary to provide
FCIC sufficient time to address proposed changes for the 1998 Standard
Reinsurance Agreement.  It also provides an opportunity to address
reinsurance for revenue insurance programs and catastrophic risk
protection policies.
     
A Notice of Termination has been prepared for publication in the Federal
Register (copy attached) as well.
     
Questions related to this bulletin may be addressed to E. Heyward Baker,
Acting Director, Insurance Services, Reinsurance Services Division,
(202) 720-4232.
     
Attachment
          Billing Code 3410-FA-P
     
DEPARTMENT OF AGRICULTURE
     
Federal Crop Insurance Corporation
     
Termination of the Standard Reinsurance Agreement
     
AGENCY: Federal Crop Insurance Corporation, USDA.
     
ACTION:  Notice of termination.
     
SUMMARY:The Federal Crop Insurance Corporation (FCIC)
     
herewith gives notice that it will terminate the current
     
(1995/1997) Standard Reinsurance Agreement effective as
     
of June 30, 1997.
     
EFFECTIVE DATE: June 30, 1997
     
FOR FURTHER INFORMATION CONTACT:  E. Heyward Baker,
     
Acting Director, Reinsurance Services Division, Insurance
     
Services, Risk Management Agency, United States
     
Department of Agriculture, 1400 Independence Avenue, SW,
     
Room 6727-S, Washington, D.C. 20250, telephone (202) 
     
720-4232.  
     
SUPPLEMENTARY INFORMATION: In accordance with section
     
V.J. of the Standard Reinsurance Agreement, this action
     
is necessary to provide FCIC sufficient time to address
     
proposed changes for the 1998 Standard Reinsurance
     
Agreement, including those recommended by the crop
     
insurance industry and the Office of Management and
Budget and proposed in the President's 1998 budget
     
proposal.  FCIC also intends to address reinsurance for
     
Crop Revenue Coverage and catastrophic risk protection
     
policies.
     
       Accordingly, the FCIC herewith gives notice that it
     
will terminate the current (1995/1997) Standard
     
     
Reinsurance Agreement effective June 30, 1997.
     
Signed in Washington, D.C. on 12/27/96.
     
     
     
Kenneth D. Ackerman
Manager
Federal Crop Insurance Corporation