§ 1424.4 - General eligibility rules.

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An applicant must be determined eligible by KCCO and be assigned an agreement number.

To be eligible for program payments, a producer must maintain records indicating for all relevant FY's and FY quarters:

The use of eligible commodities in bioenergy production;

The quantity of bioenergy produced from an eligible commodity by location;

The quantity of eligible commodity used by location to produce the bioenergy referred to in paragraph (b)(2) of this section; and

All other records, needed, or required by the agreement to establish program eligibility and compliance.

A producer must allow verification by CCC of all information provided. Refusal to allow CCC or any other agency of USDA to verify any information provided will result in a producer being determined not eligible.

For producers not purchasing raw commodity inputs, the production must equal or exceed that amount of production that would be calculated using the raw commodity inputs and the conversion factor set out in § 1424.3. A producer that purchases soy oil from a soybean crushing plant for further refinement into biodiesel must be able to prove to CCC's satisfaction both soy oil purchases and biodiesel production for the applicable quarter. Any special conversion factors needed will be the province of CCC and CCC alone and CCC's decision will be final.

A producer must meet all other conditions set out in these regulations, in the agreement, or in other program documents.

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§ 1424.3 - Definitions.

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§ 1424.5 - Agreement process.