Farm-stored MALs.

CFR · 2024-01-01 · US · Title 7

(a) The producer of a commodity pledged as security for a farm-storage MAL: (1) Certifies the quantity of such commodity on the MAL application, or; (2) Has such quantity measured by CCC at the measurement service rate established by CCC. (b) The State committee may establish a MAL percentage not to exceed a percentage CCC establishes or it may apply quality discounts to the loan rate in each year for each commodity on a statewide basis or for specified areas within the State. Before approving a county committee request to establish a different loan percentage, or to apply quality discounts, the State committee will consider conditions in the State or areas within a State to determine if the MAL percentage should be reduced below the maximum MAL percentage or the quality discounts should be applied to the basic county MAL rate to provide CCC with adequate protection. MALs disbursed based upon loan percentages previously lowered and loan rates adjusted for quality will not be altered if conditions within the State or areas within the State change to substantiate removing such reductions. Percentages established or loan rates adjusted for quality under this section will apply only to new MALs and not to outstanding MALs. In determining loan percentages or the necessity to apply quality discounts, the State committee will consider any factor at its discretion, including the following: (1) General crop conditions; (2) Factors affecting quality peculiar to an area within the State

official document · source cfr-2024 · id 7:§ 1421.105