Average market price and payment factors.

CFR · 2024-01-01 · US · Title 7

(a) An average market price will be used to calculate assistance under this part and will be: (1) A dollar value per the applicable unit of measure of the eligible crop; (2) Determined on a harvested basis without the inclusion of transportation, storage, processing, marketing, or other post-harvest expenses, as determined by FSA; (3) Comparable with established FCIC prices; and (4) Determined, as practicable, for each intended use of a crop type within a State, as determined by FSA, for a crop year. (b) For each crop and location (State or county or other location as determined appropriate by FSA), FSA will establish an average market price using the following method: (1) Obtaining market prices for each crop for the 5 consecutive crop years beginning with the most recent year for which price data is available; then (2) Dropping the crop years in the 5 consecutive crop years with the highest and lowest prices; and then (3) Averaging the prices for the remaining 3 crop years in the 5 consecutive crop years; and (4) If 5 crop years of data is not available for determining the average market price, FSA will use the best data available, as determined by FSA, for as many crop years of average market price data as possible within the 5 consecutive crop years beginning with the most recent year for which price data is available and determine an average market price for the crop by computing a simple average of the prices for those years. (c) FSA will disregard small differences in

official document · source cfr-2024 · id 7:§ 1437.12