,i  #aacth ,,congress  #ast ,session    
,h4 ,r4 #afjf  ,,in ,,the ,,house ,,of  
,,representatives  ,april #ag1 #bjac    
,mr4 ,neugebauer introduced the         
following bill2 which was referred to   
the ,committee on ,agriculture  ,a      
,,bill  ,to amend the ,federal ,crop    
,insurance ,act to make available to    
producers a supplemental coverage option
 based on both an individual yield and  
loss basis and an area yield and loss   
basis in order to allow producers to    
cover all or a portion of their         
deductible under the individual yield   
and loss policy1 to improve the accuracy
 of actual production history           
determinations1 and for other purposes4 
#a4 ,short title ,this ,act may be cited
 as the ,crop ,risk ,options ,plan ,act 
of #bjac4  #b4 ,supplemental coverage   
option  7a7 ,availability of            
supplemental coverage option ,paragraph 
7#c7 of section #ejh7;c7 of the ,federal
 ,crop ,insurance ,act 7#g ,u4,s4,c4    
#aejh7;c77 is amended to read as        

follows3  7#c7 ,yield and loss basis    
options ,a producer shall have the      
option of purchasing additional coverage
 based on--  7,a7 7i7 an individual     
yield and loss basis2 or  7ii7 an area  
yield and loss basis2  7,b7 an          
individual yield and loss basis1        
supplemented with coverage based on an  
area yield and loss basis to cover a    
part of the deductible under the        
individual yield and loss policy1 as    
described in paragraph 7#d77;,c72 or    
7,c7 a margin basis alone or in         
combination with the coverages available
 in subparagraph 7,a7 or 7,b74  4  7b7  
,level of coverage ,paragraph 7#d7 of   
section #ejh7;c7 of the ,federal ,crop  
,insurance ,act 7#g ,u4,s4,c4 #aejh7;c77
 is amended to read as follows3  7#d7   
,level of coverage  7,a7 ,dollar        
denomination and percentage of yield    
,except as provided in subparagraph     
7,c71 the level of coverage--  7i7 shall
 be dollar denominated2 and  7ii7 may be
 purchased at any level not to exceed   

#he percent of the individual yield or  
#ie percent of the area yield 7as       
determined by the ,corporation74  7,b7  
,information ,the ,corporation shall    
provide producers with information on   
catastrophic risk and additional        
coverage in terms of dollar coverage    
7within the allowable limits of coverage
 provided in this paragraph74  7,c7     
,supplemental coverage option  7i7 ,in  
general ,notwithstanding subparagraph   
7,a71 in the case of the supplemental   
coverage option described in paragraph  
7#c77;,b71 the ,corporation shall offer 
producers the opportunity to purchase   
coverage in combination with a policy or
 plan of insurance offered under this   
subtitle that would allow indemnities to
 be paid to a producer equal to a part  
of the deductible under the policy or   
plan of insurance--  7,i7 at a          
county-wide level to the fullest extent 
practicable2 or  7,,ii7 in counties that
 lack sufficient data1 on the basis of  
such larger geographical area as the    

,corporation determines to provide      
sufficient data for purposes of         
providing the coverage4  7ii7 ,trigger  
,coverage offered under paragraph       
7#c77;,b7 and clause 7i7 shall be       
triggered only if the losses in the area
 exceed #aj percent of normal levels 7as
 determined by the ,corporation74  7iii7
 ,coverage ,subject to the trigger      
described in clause 7ii71 coverage      
offered under paragraph 7#c77;,b7 and   
clause 7i7 shall not exceed the         
difference between--  7,i7 #ij percent2 
and  7,,ii7 the coverage level selected 
by the producer for the underlying      
policy or plan of insurance4  7iv7      
,calculation of premium ,notwithstanding
 subsection 7d71 the premium for        
coverage offered under paragraph        
7#c77;,b7 and clause 7i7 shall--  7,i7  
be sufficient to cover anticipated      
losses and a reasonable reserve2 and    
7,,ii7 include an amount for operating  
and administrative expenses established 
in accordance with subsection           

7k77#d77;,f74  4  7c7 ,payment of       
portion of premium by ,corporation      
,section #ejh7;e77#b7 of the ,federal   
,crop ,insurance ,act 7#g ,u4,s4,c4     
#aejh7;e77#b77 is amended by adding at  
the end the following new subparagraph3 
7,h7 ,in the case of the supplemental   
coverage option authorized in subsection
 7c77#d77;,c71 the amount shall be equal
 to the sum of--  7i7 #fj percent of the
 additional premium associated with the 
coverage2 and  7ii7 the amount          
determined under subsection             
7c77#d77;,c77vi77,,ii71 subject to      
subsection 7k77#d77;,f71 for the        
coverage to cover operating and         
administrative expenses4  4  7d7        
,effective date ,the ,federal ,crop     
,insurance ,corporation shall begin to  
provide additional coverage based on an 
individual yield and loss basis1        
supplemented with coverage based on an  
area yield and loss basis1 not later    
than for the #bjad crop year4  #c4 ,data
 sources for determination of actual    

production history ,section #ejh7;g77#b7
 of the ,federal ,crop ,insurance ,act  
7#g ,u4,s4,c4 #aejh7;g77#b77 is amended 
by adding at the end the following new  
subparagraph3  7,e7 ,sources of yield   
data ,to determine yields under this    
paragraph1 the ,corporation shall use   
data collected by the ,risk ,management 
,agency or the ,national ,agricultural  
,statistics ,service1 or both4  4