8 



Mr. Lewis. Maybe Congresswoman Mink would like to join us for 

 the hearing if she could. 



Mrs. Mink. I would like that very much. 



Mrs. Thurman. Please, do join us. 



On our second panel we have Mr. Weber, the Acting Adminis- 

 trator of Agricultural Stabilization and Conservation Service, U.S. 

 Department of Agriculture. Mr. Weber, welcome. 



STATEMENT OF BRUCE R. WEBER, ACTING ASSOCIATE ADMIN- 

 ISTRATOR, AGRICULTURAL STABILIZATION AND CONSERVA- 

 TION SERVICE, U.S. DEPARTMENT OF AGRICULTURE, AC- 

 COMPANIED BY ROBERT STEPHENSON, DEPUTY DIRECTOR, 

 CONSERVATION AND ENVIRONMENTAL PROTECTION DD7I- 

 SION, AND DIANE SHARP, BRANCH CHIEF, PRODUCTION AD- 

 JUSTMENT BRANCH 



Mr. Weber. Thank you, Madam Chairman. Madam Chairman 

 and members of subcommittee, I am pleased to testify today on 

 how the ASCS and the Commodity Credit Corporation administer 

 the disaster assistance programs in the case of citrus fruits, nurs- 

 ery crops, and trees, particularly those losses suffered due to a nat- 

 ural disaster in 1992. 



I will not read my entire statement. I presume it will be a part 

 of the record. 



Mrs. Thurman. Without objection. 



Mr. Weber. Let's move on to how we administer the disaster as- 

 sistance programs for citrus fruits, nursery crops, and trees. 



I will discuss the crop-loss benefits first, and then conclude with 

 a brief description of cost-share assistance for producers who re- 

 place or rehabilitate orchards and forest-crop trees. 



In the case of citrus fruits, we determine a producer's historical 

 marketings or production for different markets, such as fresh and 

 juice markets. We then calculate expected and actual production 

 for each market. Secondary market provisions apply if the producer 

 has a history of selling in one market, such as the fresh fruit mar- 

 ket, but because of the fruit's quality, the producer is forced to sell 

 in another market, such as the processed market. 



In such case, the value of the excess fruit sold into the secondary 

 market is deducted from the payment the producer receives for eli- 

 gible losses in the primary market. 



We have also included an example with regard to how that 

 works. With regard to nursery crops that include plants, trees, and 

 shrubs that are container grown or for sale as transplants, produc- 

 ers of nursery crops intended for sale in a particular disaster year 

 are eligible for crop-loss assistance if all other eligibility require- 

 ments are met. 



As has been mentioned earlier, we do have those set up on a cal- 

 endar year basis. They are not set up as was suggested for the year 

 to begin after the disaster had occurred. Such crops are not eligible 

 if they were not for sale in the applicable disaster year. 



Owners of nursery trees and plants that were destroyed, regard- 

 less of when they were intended for sale, may be eligible for the 

 tree assistance program [TAP] cost-share benefits if the producer 

 chooses to replace or rehabilitate such trees or plants. I will discuss 

 TAP in a little more detail later. 



