and shall limit the base to the feed grain acreage planned for the farm for the current year.

(4) If the feed grain acreage for the year a new farm base is established is less than 75 percent of the base, or 75 percent of the feed grain permitted acreage if such farm is participating in the program, the total feed grain base for the succeeding year shall be limited to the prior year's feed grain acreage plus any acreage diverted under the program in the prior year. Bases by commodities for the succeeding year shall be established in proportion to the acreage devoted to each feed grain in the prior year.

(5) The total new farm bases approved in a State in the current year shall not exceed 1 percent of the total feed grain base acreages for all farms in the State. [31 F.R. 8339, June 15, 1966, as amended by Amdt. 7, 32 F.R. 8123, June 7, 1967]

§ 775.410 County projected yields, farm projected yields, and diversion and price support payment rates.

(a) County projected yields. The county projected yields for barley, corn, and grain sorghums are found in § 775.427.

Projected yields will be based on yields per harvested acre during the 3 consecutive years including and ending with the second year prior to the current year, adjusted for abnormal weather conditions affecting such yields, for trends in yields, and for any significant changes in production practices.

(b) Projected farm yields. Except as provided in § 775.412(b), the per acre projected farm yield for barley, corn, and grain sorghums shall be the county projected yield established for the commodity, adjusted to reflect the farm productivity for the commodity.

(c) Minimum acre diversion payment rates. The minimum acre diversion payment rate for a farm shall be 20 percent of the result obtained by multiplying the basic county support rate for the crop of the commodity for the year preceding the current year adjusted to reflect any change between the national average rates for such preceding year's crop and the current year's crop of the commodity (which are found in § 775.427) by the projected farm yield established for the

commodity as provided in paragraph (b) of this section. Except as otherwise provided in paragraphs (d), (e), and (f) of this section, the minimum acre diversion payment rate shall apply to the minimum acreage required to be diverted under § 775.404 (b) (2) for farms with a total feed grain base of 25 acres or less. Except as provided in paragraph (d) of this section, no diversion payment for minimum diversion shall be made for farms with total feed grain bases which exceed 25 acres.

(d) Additional acre diversion payment rates. The additional acre diversion payment rate for a farm shall be 50 percent of the result obtained by multiplying the basic county support rate for the crop of the commodity for the year preceding the current year adjusted to reflect any change between the national average rates for such preceding year's crop and the current year's crop of the commodity (which are found in § 775.427) by the projected farm yield established for the commodity as provided in paragraph (b) of this section. Except as otherwise provided in paragraphs (e) and (f) of this section, the additional acre diversion payment rate shall apply to acreage diverted for payment in excess of the minimum acreage required to be diverted under § 775.404 (b) (2), or shall apply to a total of 22 acres on farms with total feed grain bases which are more than 25 but less than 74 acres when (1) the stated intention equals the maximum diversion acres, (2) no acreage is credited to feed grains for the current year, and (3) there is no substitution under § 775.428.

(e) Diversion payment rates for land cash rented from governmental units. The rate of diversion payment under the program with respect to land which is leased or rented on a cash-rent basis from the Federal, State, county or local government, or subdivisions thereof, if such land is not otherwise ineligible for participation in the program, shall be the smaller of (1) the average per acre payment rate for which the farm would have qualified if the exception for land cashrented from a governmental unit were not in effect, or (2) one-half the average per acre payment determined in subparagraph (1) of this paragraph plus the

actual cash rent per acre of the land, adjusted to take into account the quality of the acres actually diverted when compared with the total acres rented and the services performed and capital improvements made at the producer's expense which are in addition to rent.

(f) Diversion payment rates for land devoted to substitute crops. Notwithstanding any other provision of this section, the diversion payment rate per acre shall be (1) 50 percent of the payment rate otherwise applicable to the farm in the case of diverted acreage devoted to castor beans, guar, crambe, or sesame, (2) 30 percent of the payment rate otherwise applicable to the farm in the case of diverted acreage devoted to mustard seed or plantago ovato, and (3) 20 percent of the payment rate otherwise applicable to the farm in the case of diverted acreage devoted to sunflower. diversion payment shall be made with respect to diverted acreage devoted to safflower.

No

(g) Price support payment rates. The per acre farm price support payment rate for barley, corn, and grain sorghums shall be determined by multiplying the projected farm yield established for the commodity as provided in paragraph (b) of this section by

(1) 1966. Barley, 20 cents; corn, 30 cents; and grain sorghums, 29.68 cents.

(2) 1967. Corn, 30 cents; and grain sorghums, 29.68 cents.

[31 F.R. 8339, June 15, 1966, as amended by Amdt. 3, 32 F.R. 607, Jan 19, 1967]

§ 775.411 Notice of base acreages, yields and payment rates.

Each operator interested in the feed grain crop on a farm for which a feed grain base is established shall be notified in writing of the commodity base acreage, the established yield per acre, and the additional acre diversion payment rate, for barley, corn, and grain sorghums, as applicable, and the conserving base for the farm: Provided, That the notice shall not be mailed to any producer who has filed a written request that he not be furnished the notice, but it shall be filed with the producer's request in the county office. The producer may withdraw his

request at any time; however, during the period a request is in effect, the producer shall be considered as having been timely and correctly notified of the contents of the notice. Such notice will be on Form ASCS-477-1, Notice of Yields, Allotments, Base Acreages, and Rates (herein called Form 477-1). A revised notice shall be mailed to the operator of any farm for which the commodity base acreage, yield, rate, or conserving base is revised after the initial notice has been mailed: Provided, That the farm operator may be notified by letter of corrections and changes resulting from administrative appeal.

[31 F.R. 8339, June 15, 1966, as amended at Amdt. 3, 32 F.R. 607, Jan. 19, 1967; Amdt. 7, 32 F.R. 8123, June 7, 1967]

(a) A producer may obtain reconsideration and review of determinations made under this subpart in accordance with the appeal regulations, Part 780 of this chapter, as amended.

(b) To the extent that a producer proves the actual yields for the farm for each of the three consecutive years including and ending with the second year prior to the current year, either prior to receipt of Form 477-1 or pursuant to paragraph (a) of this section, the yields so proven shall be used in establishing yields: Provided, That the producer whose production records are used to prove yields on the farm shall be required to furnish production data for all other farms in the county or adjoining counties in which he had an interest in any of the years for which the yields are proven (unless there is conclusive evidence that the records presented are in fact for the specific farm), and such data shall be used for 1966 in making determinations for such other farms in which the producer has an interest in the current year. [31 F.R. 8339, June 15, 1966, as amended at Amdt. 3, 32 F.R. 607, Jan. 19, 1967]

§ 775.413 Intention to participate in the program.

(a) Who may file. A Form 477 must be filed by the operator of an eligible farm if he wishes to participate in the program.

(b) Where to file. Form 477 shall be filed with the office of the county committee having jurisdiction over the county where the farm is located.

(c) When to file. Form 477 shall be filed within the period authorized by the Deputy Administrator. Notwithstanding the foregoing, the closing date may be extended by the county committee if the producers on the farm establish to the satisfaction of the county committee that they intended to participate in the program and their failure to file by such date was not due to the fault or negligence of the producers.

(d) Contents. The operator or owner shall provide on Form 477 the acreage which is intended to be diverted from the production of barley, corn, and grain sorghums for the farm for which the form is filed.

(e) Withdrawal and revision. The operator may withdraw Form 477 by filing a written notice of withdrawal of the form with the county committee. If Form 477 is withdrawn, the producers on the farm may, not later than the closing date file a new Form 477. If the farm is reconstituted or if a revised allotment or feed grain base notice is issued for any reason, the operator shall have 15 days after the mailing date of such notice of reconstitution or revised allotment or feed grain base to file a new Form 477.

§ 775.414 Advance diversion payment.

(a) Requirements. Before any payment is made to a producer, the producer must sign Form 477. All producers eligible to share in the advance or final payment shall execute Form 477 before advance payments are approved in order that proper division of payment may be determined. Producers may apply for an advance payment when Form 477 is filed for the farm.

(b) Amount of advance payment. The total advance payment to be made on a farm shall be one-half the estimated total diversion payment to be earned. Each producer's share of the advance payment for the farm shall be obtained by multiplying his percentage share of the diversion payment as specified on Form 477 by the total advance payment

for the farm. If the amount of advance payment made to any producer with respect to any farm is greater than the total payment actually earned by such producer under the program with respect to such farm, he shall refund such excess with interest as provided in § 775.417(i).

§ 775.415 Transfer of farm feed grain acreage affected by a natural disas

ter.

(a) General authority. Upon a determination for any year that because of a natural disaster a portion of the farm feed grain bases in a county cannot be timely planted or replanted in such year, a transfer of such acreage may be authorized in States and counties designated by the Deputy Administrator.

The

(b) Application for transfer. owner or operator of a farm in a county designated for any year under paragraph (a) of this section may file a written application for transfer of feed grain acreage, within the total feed grain base, for such year to another farm in the same county or in an adjoining county in the same or another State if such acreage cannot be timely planted or replanted because of the natural disaster determined for such year. The application shall be filed with the county committee for the county in which the farm affected by such disaster is located. If the application involves a transfer to an adjoining county, the county committee for the adjoining county shall be consulted before action is taken by the county committee receiving the application.

(c) Amount of transfer. The acreage to be transferred shall not exceed the smaller of (1) the total feed grain base established less such acreage planted to feed grains and not destroyed by the natural disaster, or (2) the smallest permitted acreage of nonconserving crops under the CRP, CCP, or CAP, or (3) the acreage requested to be transferred.

(d) County committee approval. The county committee shall approve the transfer if it finds that the following conditions have been met:

(1) All or part of the total feed grain base for the farm from which the acreage is to be transferred could not

timely be planted or replanted because of the natural disaster and planting was not prohibited by the lease in the case of lands owned by the Federal Government.

(2) One or more producers of feed grains on the farm from which the acreage is to be transferred will be a bona fide producer engaged in the production of feed grains on the farm to which the acreage is to be transferred and will share in the crop or in the proceeds therefrom. Such sharing shall be in the manner customary in the area in order to establish the status of such producer as a bona fide producer on the farm to which the acreage is to be transferred.

(e) Cancellation of transfer. If a transfer is approved under this section and it is later determined that the conditions in paragraph (d) of this section have not been met, the county committee, State committee or the Deputy Administrator may cancel such transfer. Action by the county committee to cancel a transfer shall be subject to the approval of the State committee or its representative.

(f) Transferred acreage. Transferred acreage which is planted shall be deemed planted on the farm from which transferred.

(g) Closing date. The closing date for filing application for transfer with the county committee shall be June 1 of the calendar year in which the crop is harvested. § 775.416

ance.

Determinations of compli

(a) Determination of the acreage devoted to feed grains and of the acreage designated as diverted acreage shall be made in accordance with Part 718 of this chapter, as amended.

(b) A representative of the county committee or the State committee or any authorized representative of the Secretary shall have the right at any reasonable time to enter a farm, concerning which representations have been made on any forms filed under the program, in order to measure the acreage planted to feed grains and the acreage which the operator designated as being devoted to

approved conservation uses on the farm, to examine any records pertaining thereto, and otherwise to determine the accuracy of a producer's representation and the performance of his obligations under the program.

§ 775.417

Final diversion payment and price support payment.

(a) Payments of any amounts due the producers on a farm shall be made after the farm operator certifies that the farm is in compliance with the requirements of the program by signing Form 477, and the county committee determines that the producers and the farm are in compliance with such requirements. The signing of Form 477 by any producer after May 1 of the year following the current year shall not be approved by the county committee unless prior approval of the State committee is obtained.

(b) Except as otherwise provided herein and in Part 791 of this chapter, as amended, no diversion payment shall be made for a farm or to a producer when there is failure to comply fully with the regulations in this subpart.

(c) The total diverted acreage of feed grains shall be determined by subtracting the feed grain acreage on the farm from the total feed grain base. Except as provided in paragraph (d) of this section, the total acreage diverted from feed grains on which diversion payments shall be based shall be the smallest of: (1) The stated intention.

(2) The total underplanted acreage of feed grains.

(3) The increased acreage devoted to approved conservation uses and substitute crops.

(4) The designated diverted acreage. (5) If the farm is participating in the CRP, CCP, or CAP, the smallest number of acres of nonconserving crops permitted minus the acreage devoted to such crops other than approved crops on diverted acreage, and minus acreage diverted under the wheat diversion program and the upland cotton program.

(d) For farms with a total feed grain base of more than 25 acres, no diversion payment shall be made with respect to the minimum diversion acreage except as provided in § 775.410 (d).

(e) Except as provided in § 775.410 (d), the acreage at the additional diversion payment rate shall be computed in accordance with the following applicable provisions:

(1) Credit as minimum diversion acres to each commodity an acreage determined by multiplying the underplanted acreage of each commodity by the ratio of the minimum diversion acres for the farm to the total underplanted acreage of the commodities underplanted.

(2) After deducting the minimum diversion acres credited in subparagraph (1) of this paragraph from the underplanted acreage of each commodity, credit the total acreage upon which payment is based first to the underplanted commodity with the highest additional diversion payment, rate, then any balance to the underplanted commodity with the next highest additional diversion payment rate, and then any balance to the underplanted commodity with the lowest additional diversion payment rate.

(f) The balance of the total earned diversion payment due each eligible producer under the program shall be determined by multiplying the total earned diversion payment for the farm by the producer's share of such payment and subtracting therefrom the advance payment made to such producer.

(g) A farm shall be eligible for a price support payment if producers on the farm file a Form 477 for the current year and comply with all of the regulations in this subpart. The amount of the price support payment for each commodity shall be determined by multiplying the acreage of the commodity as defined in paragraphs (b), (c), and (d) of § 775.402 by the applicable price support payment rate per acre as determined in accordance with § 775.410(g): Provided, That the total acreage of feed grains upon which price support payments are made shall in no event exceed the smaller of the permitted acreage or 50 percent of the total feed grain base, and if the feed grain acreage is not less than 90 percent of this maximum acreage, the farm shall be credited with the

maximum acreage for price support payment. For purposes of the preceding sentence, any acreage on the farm which the county committee determines was not planted to feed grains in the current year because of flood, drought, or other natural disaster shall, within the permitted acreage, be deemed feed grains in accordance with instructions issued by the Deputy Administrator provided such acreage is not subsequently planted to any other crops for which there are marketing quotas or voluntary adjustment programs in effect in the current year. For purposes of this paragraph, producers may have acreage devoted to soybeans considered as devoted to the production of feed grains. The total earned price support payment due each eligible producer shall be determined by multiplying the total earned farm price support payment for the farm by the producer's share of such payment.

(h) Notwithstanding any other provision of the regulations in this subpart, if a producer declines, for personal reasons, to accept all or any part of his share of the payment computed for a farm in accordance with the provisions of this section, such payment or portion thereof shall not become available for any other producer on the farm.

(i) Payments to any producer which exceed the total payment he earned under the program with respect to any farm shall be refunded, and if for any reason such earned payment is zero, he shall pay interest at the rate of 6 percent per annum on the amount of the refund from the issue dates of the sight drafts to the date the payments are refunded. The provisions of the foregoing sentence requiring the payment of interest when no payment is earned shall not apply for 1967-69 if the producer earns any wheat marketing certificates for the farm in the current year.

[31 F.R. 8339, June 15, 1966, as amended by Amdt. 2, 31 F.R. 13791, Oct. 27, 1966; Amdt. 6, 32 F.R. 7836, May 30, 1967; Amdt. 8, 32 F.R. 13700, Sept. 30, 1967]

§ 775.418 Division of diversion and price support payments.

(a) General. There shall be listed on Form 477 filed for the farm the name of