INFORMATIONAL MEMORANDUM: R&D-97-022
     
TO:      All Reinsured Companies
         All Risk Management Field Offices
         FSA Headquarters, Program Delivery and Field Operations
     
FROM:    Tim B. Witt      /s/ TIM B. WITT    03/26/97
         Acting Deputy Administrator
     
SUBJECT: 1998 Forage Seeding Crop Insurance Provisions
     
Attached is a copy of the Forage Seeding Crop Insurance Provisions that
will be effective for the 1998 and succeeding crop years.  The following
is a brief description of the significant changes.  Please refer to the
provisions for more complete information.
     
  -   The premium adjustment table contained in the Forage Seeding Crop
      Insurance Policy has been omitted from the Forage Seeding Crop
      Provisions.  Information regarding good experience discounts is now
      contained in the Special Provisions.
     
  -   Amended the definition of forage in section 1, to allow insurance
      coverage for non-grass forage species other than alfalfa and red
      clover (e.g., birdsfoot trefoil).
     
  -   Unit division provisions contained in section 2, allow spring and
      fall planted forage seeding acreage to qualify for optional units
      rather than basic units.
     
  -   The contract change date has changed from December 31 to November 30
      for all counties that currently have April 15 cancellation and
      termination dates.  This change is made to maintain an adequate time
      period between this date and the revised cancellation dates to
      permit the insured to make informed insurance decisions.
     
  -   Cancellation and termination dates have been changed from April 15
      to March 15 in States and counties that currently have an April 15
      date.  These changes are made to standardize the cancellation and
      termination dates with the sales closing dates.  The sales closing
      dates were changed to comply with the requirement of the Federal
      Crop Insurance Reform Act of 1994 that spring seeded crop sales
      closing dates be 30 days earlier than the previous April 15 date. 
      The forage seeding crop provisions regarding spring and fall planted
      forage are now applicable for the State of Nevada.
     
  -   Section 6(d) allows coverage for forage seeding that is interplanted
      with another crop if allowed by the Special Provisions or by written
      agreement.  This provides coverage for more forage seeding acreage
      and may reduce the need for protection under the non-insured
      assistance program.                                                                           
     
  -   Clarifies that harvest is an event that ends the insurance period
      unless the Special Provisions contain a late harvest date.  The date
      grazing commences or abandonment of the insured crop were added as
      events that end the insurance period.
     
  -   Section 9(h) allows failure of the irrigation water supply as an
      insurable cause of loss if such failure was caused by an insured
      peril that occurs during the insurance period.
     
  -   Added provisions for providing insurance coverage by written
      agreement.
     
Attachment--ENTIRE BULLETIN AND ATTACHMENT (1998 FORAGE SEEDING
            CROP PROVISIONS) WILL BE MAILED