--- kind: "section" citation: "7 U.S.C. § 1981e" title: "7" title_heading: "Agriculture" number: "1981e" heading: "Planting and production history guidelines" release: "119-102" date: "2026-07-12" url: "https://uscodex.org/usc/7/1981e" units: - "Chapter 50 — Agricultural Credit" - "Subchapter IV — Administrative Provisions" --- # §1981e. Planting and production history guidelines - (a) **In general—** The [Secretary](/usc/7/499a.md?p=b-2) shall ensure that appropriate procedures, including to the extent practicable onsite inspections, or use of county or [State](/usc/7/1991.md?p=a-6) yield averages, are used in calculating future yields for an applicant for a loan, when an accurate projection cannot be made because the applicant’s past production history has been affected by natural disasters declared under the Robert T. Stafford Disaster Relief and Emergency Assistance Act ([42 U.S.C. 5121](/usc/42/5121.md) et seq.). - (b) **Calculation of yields—** - (1) **In general—** For purposes of averaging past yields of the farm of a [borrower](/usc/7/1991.md?p=b-1) or applicant over a period of crop years to calculate future yields for the farm under this chapter (except for loans under subchapter III), the [Secretary](/usc/7/499a.md?p=b-2) shall permit the [borrower](/usc/7/1991.md?p=b-1) or applicant to exclude the crop year with the lowest actual or county average yield for the farm from the calculation, if the [borrower](/usc/7/1991.md?p=b-1) or applicant was affected by a disaster during at least 2 of the crop years during the period. - (2) **Affected by a disaster—** For purposes of [paragraph (1)](#b-1), a [borrower](/usc/7/1991.md?p=b-1) or applicant was affected by a disaster if the [Secretary](/usc/7/499a.md?p=b-2) finds that the [borrower](/usc/7/1991.md?p=b-1) or applicant’s [farming](/usc/7/1991.md?p=a-2) operations have been substantially affected by a natural disaster in the [United States](/usc/7/1991.md?p=a-6) or by a major disaster or emergency designated by the President under the Robert T. Stafford Disaster Relief and Emergency Assistance Act ([42 U.S.C. 5121](/usc/42/5121.md) et seq.), including a [borrower](/usc/7/1991.md?p=b-1) or applicant who has a qualifying loss but is not located in a designated or declared disaster area. - (3) **Application of subsection—** [Paragraph (1)](#b-1) shall apply to all actions taken by the [Secretary](/usc/7/499a.md?p=b-2) to carry out this chapter (except for loans under subchapter III) that involve the yields of a farm of a [borrower](/usc/7/1991.md?p=b-1) or applicant, including making loans and loan guarantees, servicing loans, and making credit sales. ## Source credit (Pub. L. 87–128, title III, § 331E, as added Pub. L. 100–233, title VI, § 606, Jan. 6, 1988, 101 Stat. 1667; amended Pub. L. 102–237, title V, § 501(d)(1), Dec. 13, 1991, 105 Stat. 1866; Pub. L. 102–552, title V, § 516(g)(1), Oct. 28, 1992, 106 Stat. 4138.) ## Notes ### Editorial Notes ### References in Text The Robert T. Stafford Disaster Relief and Emergency Assistance Act, referred to in subsecs. (a) and (b)(2), is Pub. L. 93–288, May 22, 1974, 88 Stat. 143, which is classified principally to chapter 68 (§ 5121 et seq.) of Title 42, The Public Health and Welfare. For complete classification of this Act to the Code, see Short Title note set out under section 5121 of Title 42 and Tables. This chapter, referred to in subsec. (b)(1), (3), was in the original “this title”, meaning title III of Pub. L. 87–128, Aug. 8, 1961, 75 Stat. 307, known as the Consolidated Farm and Rural Development Act, which is classified principally to this chapter. For complete classification of title III to the Code, see Short Title note set out under section 1921 of this title and Tables. ### Amendments 1992—Subsec. (a). Pub. L. 102–552, § 516(g)(1)(A), substituted “Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.)” for “Disaster Relief Act of 1974”. Subsec. (b)(2). Pub. L. 102–552, § 516(g)(1)(B), inserted “Robert T. Stafford” before “Disaster Relief”. 1991—Pub. L. 102–237 designated existing provisions as subsec. (a), inserted heading, and added subsec. (b). ### Statutory Notes and Related Subsidiaries ### Effective Date of 1992 Amendment Pub. L. 102–552, title V, § 516(g)(2), Oct. 28, 1992, 106 Stat. 4138, provided that: “The amendments made by paragraph (1) of this subsection [amending this section] shall take effect immediately after section 501(d) of the Food, Agriculture, Conservation, and Trade Act Amendments of 1991 (Public Law 102–237; 105 Stat. 1866) [amending this section and enacting provisions set out below] took effect.” ### Effective Date of 1991 Amendment Pub. L. 102–237, title V, § 501(d)(3), Dec. 13, 1991, 105 Stat. 1867, provided that: In general.—Except as provided in subparagraph (B), the amendment made by paragraph (1) [amending this section] shall become effective on the date of publication of the interim regulations issued pursuant to paragraph (2)(A) [set out below]. Exception.—The amendment made by paragraph (1) shall apply to each primary loan servicing application submitted on or after the date of enactment of this Act [Dec. 13, 1991].” ### Regulations Pub. L. 102–237, title V, § 501(d)(2), Dec. 13, 1991, 105 Stat. 1867, provided that: Interim regulations.—Notwithstanding section 553 of title 5, United States Code, as soon as practicable after the date of enactment of this Act [Dec. 13, 1991] and without a requirement for prior public notice and comment, the Secretary of Agriculture shall issue interim regulations that provide for the implementation of the amendment made by paragraph (1) [amending this section] beginning in crop year 1992. Final regulations.—The Secretary of Agriculture shall provide for public notice and comment before the issuance of final regulations to implement the amendment made by paragraph (1).”