[Code of Federal Regulations]
[Title 7, Volume 6]
[Revised as of January 1, 2008]
From the U.S. Government Printing Office via GPO Access
[CITE: 7CFR457.146]

[Page 286-287]
 
                          TITLE 7--AGRICULTURE
 
     CHAPTER IV--FEDERAL CROP INSURANCE CORPORATION, DEPARTMENT OF 
                               AGRICULTURE
 
PART 457_COMMON CROP INSURANCE REGULATIONS--Table of Contents
 
Sec. 457.146  Northern potato crop insurance--storage coverage endorsement.

    The Northern Potato Crop Insurance Storage Coverage Endorsement 
Provisions for the 2008 and succeeding crop years are as follows:
    FCIC Policies

                 United States Department of Agriculture

                   Federal Crop Insurance Corporation

                           Reinsured Policies

               (Appropriate title for insurance provider)

Both FCIC and reinsured policies:

       Northern Potato Crop Insurance Storage Coverage Endorsement

    1. In return for payment of the required additional premium as 
contained in the actuarial documents, this endorsement is attached to 
and made part of your Northern Potato Crop Provisions subject to the 
terms and conditions described herein. In the event of a conflict 
between the Northern Potato Crop Provisions and this endorsement, this 
endorsement will control.
    2. You must elect this endorsement on or before the sales closing 
date for the initial crop year in which you wish to insure your potatoes 
under this endorsement. This endorsement will continue in effect until 
canceled. It may be canceled by either you or us for any succeeding crop 
year by giving written notice to the other party on or before the 
cancellation date.
    3. Potato production grown under a contract that requires the 
production to be delivered to a buyer within three days of harvest will 
not be insured under this endorsement. When such contract requires 
delivery of a stated amount of production, rather than all of the 
production from a stated amount of acres, the number of acres not 
insured under this endorsement will be determined by dividing the stated 
amount of production by the approved yield for the acreage. All other 
potato production insured under the Northern Potato Crop Provisions must 
be insured under this endorsement unless the Special Provisions allow 
you to exclude certain potato varieties, types, or groups from this 
endorsement, and you elect to exercise this option. If you elect this 
endorsement, such exclusions must be shown annually on your acreage 
report and will be applicable to all acreage of the excluded varieties, 
types, or groups for the crop year.
    4. When production from separate insurance units, basic or optional, 
is commingled in storage, the production to count for each unit will be 
allocated pro rata based on the production placed in storage from each 
unit. Such allocation will be allowed only if verifiable records of 
production placed in storage are available by unit. If you do not have 
verifiable records, all units without verifiable records will be 
combined in accordance with section 11 of the Northern Potato Crop 
Provisions. For example, if 500 hundredweight from one unit are 
commingled with 1,500 hundredweight from another unit and the production 
to count from the stored production is 1,000 hundredweight, 250 
hundredweight of production to count will be allocated to the unit 
contributing 500 hundredweight and 750 hundredweight to the unit 
contributing 1500 hundredweight to the stored production. This provision 
does not eliminate or change any other requirement contained in this 
policy to provide or maintain separate records of acreage or production 
by unit.
    5. In lieu of section 9(b)(1) of the Northern Potato Crop 
Provisions, the extended coverage provided by this endorsement will be 
applicable but only if:
    (a) Insured potatoes are damaged within the insurance period by an 
insured cause other than freeze that later results in:
    (1) Tuber rot as defined in the Northern Potato Crop Provisions, to 
the extent that 5.1 percent (by weight) or more of the insured 
production is affected;
    (2) Internal defects to the extent that such defects are in excess 
of the amount allowed for the U.S. grade standard you elected for 
purposes of coverage under the Northern Potato Crop Insurance Quality 
Endorsement. Such defects must not be separable from undamaged 
production using methods used by the packers or processors to which you 
normally deliver your potato production. This coverage is applicable 
only to production covered under the Northern Potato Crop Insurance 
Quality Endorsement; or
    (3) The potatoes damaged by an insurance cause of loss fail to meet 
any of the following standards or a less stringent standard

[[Page 287]]

for the same quality factors specified below, contained in the processor 
contract, if applicable, (this coverage is applicable only to production 
covered under the Northern Potato Processing Quality Endorsement):
    (i) A specific gravity lower than 1.074;
    (ii) A fry color of No. 3 or darker due to either sugar exceeding 10 
percent or sugar ends exceeding 19 percent; or
    (iii) An Agtron rating lower than 58.
    (b) You notify us within 72 hours of your initial discovery of any 
damage that has or that may later result in the quality deficiencies 
specified in section 5(a);
    (c) The percentage of production with any of the quality 
deficiencies specified in section 5(a) is determined based on samples 
obtained no later than 60 days after the end of the insurance period and 
the potatoes are evaluated and quality (grade) determinations are made 
by us, a laboratory approved by us, a potato grader licensed or 
certified by the applicable State or the United States Department of 
Agriculture, or us, in accordance with the United States Standards for 
Grades of Potatoes:
    (1) Samples of damaged production must be obtained by us or a party 
approved by us prior to the sale or disposal of any lot of potatoes; and
    (2) If production is not sold or disposed of within 60 days after 
the end of the insurance period, samples must be obtained within 60 days 
after the end of the insurance period and a quality (grade) 
determination must be completed within 21 days of sampling.

[62 FR 65337, Dec. 12, 1997, as amended at 72 FR 61286, Oct. 30, 2007]