Display Version Placed on Calendar Senate

S 2302 PCSCommentsClose CommentsPermalink

Calendar No. 470 110th CONGRESS 1st Session S. 2302 [Report No. 110-220]

To provide for the continuation of agricultural programs through fiscal year 2012, and for other purposes.CommentsClose CommentsPermalink

IN THE SENATE OF THE UNITED STATES

November 2, 2007

Mr. HARKIN, from the Committee on Agriculture, Nutrition, and Forestry, reported the following original bill; which was read twice and placed on the calendarCommentsClose CommentsPermalink

---

A BILL

To provide for the continuation of agricultural programs through fiscal year 2012, and for other purposes.CommentsClose CommentsPermalink

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,CommentsClose CommentsPermalink

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

(a) Short Title- This Act may be cited as the `Food and Energy Security Act of 2007'.CommentsClose CommentsPermalink





(b) Table of Contents- The table of contents of this Act is as follows:CommentsClose CommentsPermalink





Sec. 1. Short title; table of contents.CommentsClose CommentsPermalink





Sec. 2. Definition of Secretary.CommentsClose CommentsPermalink

TITLE I--PRODUCER INCOME PROTECTION PROGRAMS

Sec. 1001. Definitions.CommentsClose CommentsPermalink

Subtitle A--Traditional Payments and Loans

Part I--Direct Payments and Counter-Cyclical Payments

Sec. 1101. Base acres and payment acres for a farm.CommentsClose CommentsPermalink





Sec. 1102. Payment yields.CommentsClose CommentsPermalink





Sec. 1103. Availability of direct payments.CommentsClose CommentsPermalink





Sec. 1104. Availability of counter-cyclical payments.CommentsClose CommentsPermalink





Sec. 1105. Producer agreement required as condition of provision of direct payments and counter-cyclical payments.CommentsClose CommentsPermalink





Sec. 1106. Planting flexibility.CommentsClose CommentsPermalink





Sec. 1107. Special rule for long grain and medium grain rice.CommentsClose CommentsPermalink





Sec. 1108. Period of effectiveness.CommentsClose CommentsPermalink

Part II--Marketing Assistance Loans and Loan Deficiency Payments

Sec. 1201. Availability of nonrecourse marketing assistance loans for loan commodities.CommentsClose CommentsPermalink





Sec. 1202. Loan rates for nonrecourse marketing assistance loans.CommentsClose CommentsPermalink





Sec. 1203. Term of loans.CommentsClose CommentsPermalink





Sec. 1204. Repayment of loans.CommentsClose CommentsPermalink





Sec. 1205. Loan deficiency payments.CommentsClose CommentsPermalink





Sec. 1206. Payments in lieu of loan deficiency payments for grazed acreage.CommentsClose CommentsPermalink





Sec. 1207. Special marketing loan provisions for upland cotton.CommentsClose CommentsPermalink





Sec. 1208. Special competitive provisions for extra long staple cotton.CommentsClose CommentsPermalink





Sec. 1209. Availability of recourse loans for high moisture feed grains and seed cotton.CommentsClose CommentsPermalink





Sec. 1210. Adjustments of loans.CommentsClose CommentsPermalink

Part III--Peanuts

Sec. 1301. Definitions.CommentsClose CommentsPermalink





Sec. 1302. Base acres for peanuts for a farm.CommentsClose CommentsPermalink





Sec. 1303. Availability of direct payments for peanuts.CommentsClose CommentsPermalink





Sec. 1304. Availability of counter-cyclical payments for peanuts.CommentsClose CommentsPermalink





Sec. 1305. Producer agreement required as condition on provision of direct payments and counter-cyclical payments.CommentsClose CommentsPermalink





Sec. 1306. Planting flexibility.CommentsClose CommentsPermalink





Sec. 1307. Marketing assistance loans and loan deficiency payments for peanuts.CommentsClose CommentsPermalink





Sec. 1308. Adjustments of loans.CommentsClose CommentsPermalink

Subtitle B--Average Crop Revenue Program

Sec. 1401. Availability of average crop revenue payments.CommentsClose CommentsPermalink





Sec. 1402. Producer agreement as condition of average crop revenue payments.CommentsClose CommentsPermalink





Sec. 1403. Planting flexibility.CommentsClose CommentsPermalink

Subtitle C--Sugar

Sec. 1501. Sugar program.CommentsClose CommentsPermalink





Sec. 1502. Storage facility loans.CommentsClose CommentsPermalink





Sec. 1503. Commodity Credit Corporation storage payments.CommentsClose CommentsPermalink





Sec. 1504. Flexible marketing allotments for sugar.CommentsClose CommentsPermalink





Sec. 1505. Sense of the Senate regarding NAFTA sugar coordination.CommentsClose CommentsPermalink

Subtitle D--Dairy

Sec. 1601. Dairy product price support program.CommentsClose CommentsPermalink





Sec. 1602. National dairy market loss payments.CommentsClose CommentsPermalink





Sec. 1603. Dairy export incentive and dairy indemnity programs.CommentsClose CommentsPermalink





Sec. 1604. Funding of dairy promotion and research program.CommentsClose CommentsPermalink





Sec. 1605. Revision of Federal marketing order amendment procedures.CommentsClose CommentsPermalink





Sec. 1606. Dairy forward pricing program.CommentsClose CommentsPermalink





Sec. 1607. Report on Department of Agriculture reporting procedures for nonfat dry milk.CommentsClose CommentsPermalink





Sec. 1608. Federal Milk Marketing Order Review Commission.CommentsClose CommentsPermalink





Sec. 1609. Mandatory reporting of dairy commodities.CommentsClose CommentsPermalink

Subtitle E--Administration

Sec. 1701. Administration generally.CommentsClose CommentsPermalink





Sec. 1702. Suspension of permanent price support authority.CommentsClose CommentsPermalink





Sec. 1703. Payment limitations.CommentsClose CommentsPermalink





Sec. 1704. Adjusted gross income limitation.CommentsClose CommentsPermalink





Sec. 1705. Availability of quality incentive payments for certain producers.CommentsClose CommentsPermalink





Sec. 1706. Hard white wheat development program.CommentsClose CommentsPermalink





Sec. 1707. Durum wheat quality program.CommentsClose CommentsPermalink





Sec. 1708. Storage facility loans.CommentsClose CommentsPermalink





Sec. 1709. Personal liability of producers for deficiencies.CommentsClose CommentsPermalink





Sec. 1710. Extension of existing administrative authority regarding loans.CommentsClose CommentsPermalink





Sec. 1711. Assignment of payments.CommentsClose CommentsPermalink





Sec. 1712. Cotton classification services.CommentsClose CommentsPermalink





Sec. 1713. Designation of States for cotton research and promotion.CommentsClose CommentsPermalink





Sec. 1714. Government publication of cotton price forecasts.CommentsClose CommentsPermalink





Sec. 1715. State, county, and area committees.CommentsClose CommentsPermalink





Sec. 1716. Prohibition on charging certain fees.CommentsClose CommentsPermalink





Sec. 1717. Signature authority.CommentsClose CommentsPermalink





Sec. 1718. Modernization of Farm Service Agency.CommentsClose CommentsPermalink





Sec. 1719. Geospatial systems.CommentsClose CommentsPermalink





Sec. 1720. Leasing office space.CommentsClose CommentsPermalink





Sec. 1721. Repeals.CommentsClose CommentsPermalink

Subtitle F--Specialty Crop Programs

Sec. 1801. Definitions.CommentsClose CommentsPermalink

Part I--Marketing, Information, and Education

Sec. 1811. Fruit and vegetable market news allocation.CommentsClose CommentsPermalink





Sec. 1812. Farmers' market promotion program.CommentsClose CommentsPermalink





Sec. 1813. Food safety initiatives.CommentsClose CommentsPermalink





Sec. 1814. Census of specialty crops.CommentsClose CommentsPermalink

Part II--Organic Production

Sec. 1821. Organic data collection and price reporting.CommentsClose CommentsPermalink





Sec. 1822. Exemption of certified organic products from assessments.CommentsClose CommentsPermalink





Sec. 1823. National Organic Certification Cost Share Program.CommentsClose CommentsPermalink





Sec. 1824. National organic program.CommentsClose CommentsPermalink

Part III--International Trade

Sec. 1831. Foreign market access study and strategy plan.CommentsClose CommentsPermalink





Sec. 1832. Market access program.CommentsClose CommentsPermalink





Sec. 1833. Technical assistance for specialty crops.CommentsClose CommentsPermalink





Sec. 1834. Consultations on sanitary and phytosanitary restrictions for fruits and vegetables.CommentsClose CommentsPermalink

Part IV--Specialty Crops Competitiveness

Sec. 1841. Specialty crop block grants.CommentsClose CommentsPermalink





Sec. 1842. Grant program to improve movement of specialty crops.CommentsClose CommentsPermalink





Sec. 1843. Healthy Food Enterprise Development Center.CommentsClose CommentsPermalink

Part V--Miscellaneous

Sec. 1851. Clean plant network.CommentsClose CommentsPermalink





Sec. 1852. Market loss assistance for asparagus producers.CommentsClose CommentsPermalink





Sec. 1853. Mushroom promotion, research, and consumer information.CommentsClose CommentsPermalink





Sec. 1854. National Honey Board.CommentsClose CommentsPermalink





Sec. 1855. Identification of honey.CommentsClose CommentsPermalink





Sec. 1856. Expedited marketing order for Hass avocados for grades and standards and other purposes.CommentsClose CommentsPermalink

Subtitle G--Risk Management

Sec. 1901. Definition of organic crop.CommentsClose CommentsPermalink





Sec. 1902. General powers.CommentsClose CommentsPermalink





Sec. 1903. Reduction in loss ratio.CommentsClose CommentsPermalink





Sec. 1904. Controlled business insurance.CommentsClose CommentsPermalink





Sec. 1905. Administrative fee.CommentsClose CommentsPermalink





Sec. 1906. Time for payment.CommentsClose CommentsPermalink





Sec. 1907. Surcharge prohibition.CommentsClose CommentsPermalink





Sec. 1908. Premium reduction plan.CommentsClose CommentsPermalink





Sec. 1909. Denial of claims.CommentsClose CommentsPermalink





Sec. 1910. Measurement of farm-stored commodities.CommentsClose CommentsPermalink





Sec. 1911. Reimbursement rate.CommentsClose CommentsPermalink





Sec. 1912. Renegotiation of standard reinsurance agreement.CommentsClose CommentsPermalink





Sec. 1913. Change in due date for Corporation payments for underwriting gains.CommentsClose CommentsPermalink





Sec. 1914. Access to data mining information.CommentsClose CommentsPermalink





Sec. 1915. Producer eligibility.CommentsClose CommentsPermalink





Sec. 1916. Contracts for additional crop policies.CommentsClose CommentsPermalink





Sec. 1917. Research and development.CommentsClose CommentsPermalink





Sec. 1918. Funding from insurance fund.CommentsClose CommentsPermalink





Sec. 1919. Camelina pilot program.CommentsClose CommentsPermalink





Sec. 1920. Risk management education for beginning farmers or ranchers.CommentsClose CommentsPermalink





Sec. 1921. Agricultural management assistance.CommentsClose CommentsPermalink





Sec. 1922. Crop insurance mediation.CommentsClose CommentsPermalink





Sec. 1923. Drought coverage for aquaculture under noninsured crop assistance program.CommentsClose CommentsPermalink





Sec. 1924. Increase in service fees for noninsured crop assistance program.CommentsClose CommentsPermalink





Sec. 1925. Determination of certain sweet potato production.CommentsClose CommentsPermalink





Sec. 1926. Perennial crop report.CommentsClose CommentsPermalink

TITLE II--CONSERVATION

Subtitle A--Definitions

Sec. 2001. Definitions.CommentsClose CommentsPermalink

Subtitle B--Highly Erodible Land Conservation

Sec. 2101. Review of good faith determinations; exemptions.CommentsClose CommentsPermalink

Subtitle C--Wetland Conservation

Sec. 2201. Review of good faith determinations.CommentsClose CommentsPermalink

Subtitle D--Agricultural Resources Conservation Program

Chapter 1--Comprehensive Conservation Enhancement

subchapter a--comprehensive conservation enhancement program

Sec. 2301. Reauthorization and expansion of programs covered.CommentsClose CommentsPermalink

subchapter b--conservation reserve

Sec. 2311. Conservation reserve program.CommentsClose CommentsPermalink





Sec. 2312. Flooded farmland program.CommentsClose CommentsPermalink





Sec. 2313. Wildlife habitat program.CommentsClose CommentsPermalink

subchapter c--wetlands reserve program

Sec. 2321. Wetlands reserve program.CommentsClose CommentsPermalink





Sec. 2322. Easements and agreements.CommentsClose CommentsPermalink





Sec. 2323. Payments.CommentsClose CommentsPermalink

subchapter d--healthy forests reserve program

Sec. 2331. Healthy forests reserve program.CommentsClose CommentsPermalink

`subchapter d--healthy forests reserve program

`Sec. 1237M. Establishment of healthy forests reserve program. `Sec. 1237N. Eligibility and enrollment of lands in program. `Sec. 1237O. Restoration plans. `Sec. 1237P. Financial assistance. `Sec. 1237Q. Technical assistance. `Sec. 1237R. Protections and measures. `Sec. 1237S. Involvement by other agencies and organizations. `Sec. 1237T. Authorization of appropriations.

Chapter 2--Comprehensive Stewardship Incentives Program

subchapter a--general provisions

Sec. 2341. Comprehensive stewardship incentives program.CommentsClose CommentsPermalink

`Chapter 6--Comprehensive Stewardship Incentives Program

`subchapter a--comprehensive stewardship incentives program

`Sec. 1240T. Comprehensive stewardship incentives program.

`subchapter b--conservation stewardship program

`Sec. 1240U. Purposes. `Sec. 1240V. Definitions. `Sec. 1240W. Establishment of program. `Sec. 1240X. Eligibility. `Sec. 1240Y. Regulations.

subchapter b--environmental quality incentives program

Sec. 2351. Purposes.CommentsClose CommentsPermalink





Sec. 2352. Definitions.CommentsClose CommentsPermalink





Sec. 2353. Establishment and administration of environmental quality incentives program.CommentsClose CommentsPermalink





Sec. 2354. Evaluation of offers and payments.CommentsClose CommentsPermalink





Sec. 2355. Duties of producers.CommentsClose CommentsPermalink





Sec. 2356. Environmental quality incentives program plan.CommentsClose CommentsPermalink





Sec. 2357. Limitation on payments.CommentsClose CommentsPermalink





Sec. 2358. Conservation innovation grants.CommentsClose CommentsPermalink





Sec. 2359. Ground and surface water conservation.CommentsClose CommentsPermalink





Sec. 2360. Organic conversion.CommentsClose CommentsPermalink





Sec. 2361. Chesapeake Bay watershed conservation program.CommentsClose CommentsPermalink

Chapter 3--Farmland Protection

subchapter a--farmland protection program

Sec. 2371. Farmland protection program.CommentsClose CommentsPermalink

subchapter b--grassland reserve program

Sec. 2381. Grassland reserve program.CommentsClose CommentsPermalink

`subchapter c--grassland reserve program

`Sec. 1238N. Definitions. `Sec. 1238O. Grassland reserve program. `Sec. 1238P. Duties. `Sec. 1238Q. Terms and conditions.

Chapter 4--Other Conservation Programs

Sec. 2391. Conservation security program.CommentsClose CommentsPermalink





Sec. 2392. Conservation of private grazing land.CommentsClose CommentsPermalink





Sec. 2393. Reauthorization of wildlife habitat incentive program.CommentsClose CommentsPermalink





Sec. 2394. Grassroots source water protection program.CommentsClose CommentsPermalink





Sec. 2395. Great Lakes basin program for soil erosion and sediment control.CommentsClose CommentsPermalink





Sec. 2396. Farm viability program.CommentsClose CommentsPermalink





Sec. 2397. Discovery watershed demonstration program.CommentsClose CommentsPermalink





Sec. 2398. Emergency landscape restoration program.CommentsClose CommentsPermalink





Sec. 2399. Voluntary public access and habitat incentive program.CommentsClose CommentsPermalink

Subtitle E--Funding and Administration

Sec. 2401. Funding and administration.CommentsClose CommentsPermalink





Sec. 2402. Regional equity.CommentsClose CommentsPermalink





Sec. 2403. Conservation access.CommentsClose CommentsPermalink





Sec. 2404. Delivery of technical assistance.CommentsClose CommentsPermalink





Sec. 2405. Administrative requirements for conservation programs.CommentsClose CommentsPermalink





Sec. 2406. Conservation programs in environmental services markets.CommentsClose CommentsPermalink

Subtitle F--State Technical Committees

Sec. 2501. State technical committees.CommentsClose CommentsPermalink

Subtitle G--Other Authorities

Sec. 2601. Agricultural management assistance.CommentsClose CommentsPermalink





Sec. 2602. Agriculture conservation experienced services program.CommentsClose CommentsPermalink





Sec. 2603. Technical assistance.CommentsClose CommentsPermalink





Sec. 2604. Small watershed rehabilitation program.CommentsClose CommentsPermalink





Sec. 2605. Resource conservation and development program.CommentsClose CommentsPermalink





Sec. 2606. National Natural Resources Conservation Foundation.CommentsClose CommentsPermalink





Sec. 2607. Desert Terminal Lakes.CommentsClose CommentsPermalink





Sec. 2608. Crop insurance ineligibility relating to crop production on native sod.CommentsClose CommentsPermalink





Sec. 2609. High Plains water study.CommentsClose CommentsPermalink





Sec. 2610. Payment of expenses.CommentsClose CommentsPermalink





Sec. 2611. Use of funds in Basin funds for salinity control activities upstream of Imperial Dam.CommentsClose CommentsPermalink





Sec. 2612. Great Lakes Commission.CommentsClose CommentsPermalink





Sec. 2613. Technical corrections to the Federal Insecticide, Fungicide, and Rodenticide Act.CommentsClose CommentsPermalink

TITLE III--TRADE

Subtitle A--Food for Peace Act

Sec. 3001. Short title.CommentsClose CommentsPermalink





Sec. 3002. United States policy.CommentsClose CommentsPermalink





Sec. 3003. Food aid to developing countries.CommentsClose CommentsPermalink





Sec. 3004. Trade and development assistance.CommentsClose CommentsPermalink





Sec. 3005. Agreements regarding eligible countries and private entities.CommentsClose CommentsPermalink





Sec. 3006. Use of local currency payments.CommentsClose CommentsPermalink





Sec. 3007. General authority.CommentsClose CommentsPermalink





Sec. 3008. Provision of agricultural commodities.CommentsClose CommentsPermalink





Sec. 3009. Microenterprise activities.CommentsClose CommentsPermalink





Sec. 3010. Levels of assistance.CommentsClose CommentsPermalink





Sec. 3011. Food Aid Consultative Group.CommentsClose CommentsPermalink





Sec. 3012. Administration.CommentsClose CommentsPermalink





Sec. 3013. Assistance for stockpiling and rapid transportation, delivery, and distribution of shelf-stable prepackaged foods.CommentsClose CommentsPermalink





Sec. 3014. Pilot program for local purchase.CommentsClose CommentsPermalink





Sec. 3015. General authorities and requirements.CommentsClose CommentsPermalink





Sec. 3016. Use of Commodity Credit Corporation.CommentsClose CommentsPermalink





Sec. 3017. Administrative provisions.CommentsClose CommentsPermalink





Sec. 3018. Expiration date.CommentsClose CommentsPermalink





Sec. 3019. Authorization of appropriations.CommentsClose CommentsPermalink





Sec. 3020. Micronutrient fortification programs.CommentsClose CommentsPermalink





Sec. 3021. Germplasm conservation.CommentsClose CommentsPermalink





Sec. 3022. John Ogonowski and Doug Bereuter Farmer-to-Farmer Program.CommentsClose CommentsPermalink

Subtitle B--Agricultural Trade Act of 1978 and Related Statutes

Sec. 3101. Nongovernmental organization participation in the resolution of trade disputes.CommentsClose CommentsPermalink





Sec. 3102. Export credit guarantee program.CommentsClose CommentsPermalink





Sec. 3103. Market access program.CommentsClose CommentsPermalink





Sec. 3104. Export enhancement program.CommentsClose CommentsPermalink





Sec. 3105. Voluntary certification of child labor status of agricultural imports.CommentsClose CommentsPermalink





Sec. 3106. Foreign market development cooperator program.CommentsClose CommentsPermalink





Sec. 3107. Food for Progress Act of 1985.CommentsClose CommentsPermalink





Sec. 3108. McGovern-Dole International Food for Education and Child Nutrition Program.CommentsClose CommentsPermalink

Subtitle C--Miscellaneous

Sec. 3201. Bill Emerson Humanitarian Trust.CommentsClose CommentsPermalink





Sec. 3202. Emerging markets and facility guarantee loan program.CommentsClose CommentsPermalink





Sec. 3203. Biotechnology and agricultural trade program.CommentsClose CommentsPermalink





Sec. 3204. Technical assistance for the resolution of trade disputes.CommentsClose CommentsPermalink

TITLE IV--NUTRITION PROGRAMS

Subtitle A--Food and Nutrition Program

Part I--Renaming of Food Stamp Program

Sec. 4001. Renaming of food stamp program.CommentsClose CommentsPermalink

Part II--Improving Program Benefits

Sec. 4101. Exclusion of certain military payments from income.CommentsClose CommentsPermalink





Sec. 4102. Strengthening the food purchasing power of low-income Americans.CommentsClose CommentsPermalink





Sec. 4103. Supporting working families with child care expenses.CommentsClose CommentsPermalink





Sec. 4104. Encouraging retirement and education savings among food stamp recipients.CommentsClose CommentsPermalink





Sec. 4105. Facilitating simplified reporting.CommentsClose CommentsPermalink





Sec. 4106. Accrual of benefits.CommentsClose CommentsPermalink





Sec. 4107. Eligibility for unemployed adults.CommentsClose CommentsPermalink





Sec. 4108. Transitional benefits option.CommentsClose CommentsPermalink





Sec. 4109. Minimum benefit.CommentsClose CommentsPermalink





Sec. 4110. Availability of commodities for the emergency food assistance program.CommentsClose CommentsPermalink

Part III--Improving Program Operations

Sec. 4201. Technical clarification regarding eligibility.CommentsClose CommentsPermalink





Sec. 4202. Issuance and use of program benefits.CommentsClose CommentsPermalink





Sec. 4203. Clarification of split issuance.CommentsClose CommentsPermalink





Sec. 4204. State option for telephonic signature.CommentsClose CommentsPermalink





Sec. 4205. Privacy protections.CommentsClose CommentsPermalink





Sec. 4206. Study on comparable access to food and nutrition assistance for Puerto Rico.CommentsClose CommentsPermalink





Sec. 4207. Civil rights compliance.CommentsClose CommentsPermalink





Sec. 4208. Employment, training, and job retention.CommentsClose CommentsPermalink





Sec. 4209. Codification of access rules.CommentsClose CommentsPermalink





Sec. 4210. Expanding the use of EBT cards at farmers' markets.CommentsClose CommentsPermalink





Sec. 4211. Review of major changes in program design.CommentsClose CommentsPermalink





Sec. 4212. Preservation of access and payment accuracy.CommentsClose CommentsPermalink





Sec. 4213. Nutrition education.CommentsClose CommentsPermalink

Part IV--Improving Program Integrity

Sec. 4301. Major systems failures.CommentsClose CommentsPermalink





Sec. 4302. Performance standards for biometric identification technology.CommentsClose CommentsPermalink





Sec. 4303. Civil penalties and disqualification of retail food stores and wholesale food concerns.CommentsClose CommentsPermalink





Sec. 4304. Funding of employment and training programs.CommentsClose CommentsPermalink





Sec. 4305. Eligibility disqualification.CommentsClose CommentsPermalink

Part V--Miscellaneous

Sec. 4401. Definition of staple foods.CommentsClose CommentsPermalink





Sec. 4402. Accessory food items.CommentsClose CommentsPermalink





Sec. 4403. Pilot projects to evaluate health and nutrition promotion in the food and nutrition program.CommentsClose CommentsPermalink





Sec. 4404. Bill Emerson National Hunger Fellows and Mickey Leland International Hunger Fellows.CommentsClose CommentsPermalink





Sec. 4405. Hunger-free communities.CommentsClose CommentsPermalink





Sec. 4406. State performance on enrolling children receiving program benefits for free school meals.CommentsClose CommentsPermalink

Subtitle B--Food Distribution Program on Indian Reservations

Sec. 4501. Assessing the nutritional value of the FDPIR food package.CommentsClose CommentsPermalink

Subtitle C--Administration of Emergency Food Assistance Program and Commodity Supplemental Food Program

Sec. 4601. Emergency food assistance.CommentsClose CommentsPermalink





Sec. 4602. Commodity supplemental food program.CommentsClose CommentsPermalink

Subtitle D--Senior Farmers' Market Nutrition Program

Sec. 4701. Exclusion of benefits in determining eligibility for other programs.CommentsClose CommentsPermalink





Sec. 4702. Prohibition on collection of sales tax.CommentsClose CommentsPermalink

Subtitle E--Reauthorization of Federal Food Assistance Programs

Sec. 4801. Food and nutrition program.CommentsClose CommentsPermalink





Sec. 4802. Commodity distribution.CommentsClose CommentsPermalink





Sec. 4803. Nutrition information and awareness pilot program.CommentsClose CommentsPermalink

Subtitle F--Miscellaneous

Sec. 4901. Purchases of locally grown fruits and vegetables.CommentsClose CommentsPermalink





Sec. 4902. Healthy food education and program replicability.CommentsClose CommentsPermalink





Sec. 4903. Fresh fruit and vegetable program.CommentsClose CommentsPermalink





Sec. 4904. Buy American requirements.CommentsClose CommentsPermalink





Sec. 4905. Minimum purchases of fruits, vegetables, and nuts through section 32 to support domestic nutrition assistance programs.CommentsClose CommentsPermalink





Sec. 4906. Conforming amendments to renaming of food stamp program.CommentsClose CommentsPermalink





Sec. 4907. Effective and implementation dates.CommentsClose CommentsPermalink





Sec. 4908. Application.CommentsClose CommentsPermalink

TITLE V--CREDIT

Subtitle A--Farm Ownership Loans

Sec. 5001. Direct loans.CommentsClose CommentsPermalink





Sec. 5002. Purposes of loans.CommentsClose CommentsPermalink





Sec. 5003. Soil and water conservation and protection.CommentsClose CommentsPermalink





Sec. 5004. Limitations on amount of farm ownership loans.CommentsClose CommentsPermalink





Sec. 5005. Down payment loan program.CommentsClose CommentsPermalink





Sec. 5006. Beginning farmer or rancher contract land sales program.CommentsClose CommentsPermalink

Subtitle B--Operating Loans

Sec. 5101. Farming experience as eligibility requirement.CommentsClose CommentsPermalink





Sec. 5102. Limitations on amount of operating loans.CommentsClose CommentsPermalink





Sec. 5103. Limitation on period borrowers are eligible for guaranteed assistance.CommentsClose CommentsPermalink

Subtitle C--Administrative Provisions

Sec. 5201. Beginning farmer and rancher individual development accounts pilot program.CommentsClose CommentsPermalink





Sec. 5202. Inventory sales preferences; loan fund set-asides.CommentsClose CommentsPermalink





Sec. 5203. Transition to private commercial or other sources of credit.CommentsClose CommentsPermalink





Sec. 5204. Loan authorization levels.CommentsClose CommentsPermalink





Sec. 5205. Interest rate reduction program.CommentsClose CommentsPermalink





Sec. 5206. Deferral of shared appreciation recapture amortization.CommentsClose CommentsPermalink





Sec. 5207. Rural development, housing, and farm loan program activities.CommentsClose CommentsPermalink

Subtitle D--Farm Credit

Sec. 5301. Authority to pass along cost of insurance premiums.CommentsClose CommentsPermalink





Sec. 5302. Technical correction.CommentsClose CommentsPermalink





Sec. 5303. Confirmation of Chairman.CommentsClose CommentsPermalink





Sec. 5304. Premiums.CommentsClose CommentsPermalink





Sec. 5305. Certification of premiums.CommentsClose CommentsPermalink





Sec. 5306. Rural utility loans.CommentsClose CommentsPermalink





Sec. 5307. Equalization of loan-making powers of certain district associations.CommentsClose CommentsPermalink

Subtitle E--Miscellaneous

Sec. 5401. Loans to purchasers of highly fractioned land.CommentsClose CommentsPermalink





Sec. 5402. Determination on merits of Pigford claims.CommentsClose CommentsPermalink





Sec. 5403. Sense of the Senate relating to claims brought by socially disadvantaged farmers or ranchers.CommentsClose CommentsPermalink





Sec. 5404. Eligibility of equine farmers and ranchers for emergency loans.CommentsClose CommentsPermalink

TITLE VI--RURAL DEVELOPMENT AND INVESTMENT

Subtitle A--Consolidated Farm and Rural Development Act

Sec. 6001. Water, waste disposal, and wastewater facility grants.CommentsClose CommentsPermalink





Sec. 6002. Rural business opportunity grants.CommentsClose CommentsPermalink





Sec. 6003. Child day care facility grants, loans, and loan guarantees.CommentsClose CommentsPermalink





Sec. 6004. Rural water and wastewater circuit rider program.CommentsClose CommentsPermalink





Sec. 6005. Multijurisdictional regional planning organizations.CommentsClose CommentsPermalink





Sec. 6006. Rural hospital loans and loan guarantees.CommentsClose CommentsPermalink





Sec. 6007. Tribal college and university essential community facilities.CommentsClose CommentsPermalink





Sec. 6008. Community facility loans and grants for freely associated States and outlying areas.CommentsClose CommentsPermalink





Sec. 6009. Priority for community facility loan and grant projects with high non-Federal share.CommentsClose CommentsPermalink





Sec. 6010. SEARCH grants.CommentsClose CommentsPermalink





Sec. 6011. Emergency and imminent community water assistance grant program.CommentsClose CommentsPermalink





Sec. 6012. Water systems for rural and native villages in Alaska.CommentsClose CommentsPermalink





Sec. 6013. Grants to develop wells in rural areas.CommentsClose CommentsPermalink





Sec. 6014. Cooperative equity security guarantee.CommentsClose CommentsPermalink





Sec. 6015. Rural cooperative development grants.CommentsClose CommentsPermalink





Sec. 6016. Grants to broadcasting systems.CommentsClose CommentsPermalink





Sec. 6017. Locally-produced agricultural food products.CommentsClose CommentsPermalink





Sec. 6018. Center for Healthy Food Access and Enterprise Development.CommentsClose CommentsPermalink





Sec. 6019. Appropriate technology transfer for rural areas.CommentsClose CommentsPermalink





Sec. 6020. Rural economic area partnership zones.CommentsClose CommentsPermalink





Sec. 6021. Definitions.CommentsClose CommentsPermalink





Sec. 6022. Rural microenterprise assistance program.CommentsClose CommentsPermalink





Sec. 6023. Artisanal cheese centers.CommentsClose CommentsPermalink





Sec. 6024. National Rural Development Partnership.CommentsClose CommentsPermalink





Sec. 6025. Historic barn preservation.CommentsClose CommentsPermalink





Sec. 6026. Grants for NOAA weather radio transmitters.CommentsClose CommentsPermalink





Sec. 6027. Grants to train farm workers in new technologies and to train farm workers in specialized skills necessary for higher value crops.CommentsClose CommentsPermalink





Sec. 6028. Grants for expansion of employment opportunities for individuals with disabilities in rural areas.CommentsClose CommentsPermalink





Sec. 6029. Delta Regional Authority.CommentsClose CommentsPermalink





Sec. 6030. Northern Great Plains Regional Authority.CommentsClose CommentsPermalink





Sec. 6031. Rural business investment program.CommentsClose CommentsPermalink





Sec. 6032. Rural collaborative investment program.CommentsClose CommentsPermalink





Sec. 6033. Funding of pending rural development loan and grant applications.CommentsClose CommentsPermalink

Subtitle B--Rural Electrification Act of 1936

Sec. 6101. Energy efficiency programs.CommentsClose CommentsPermalink





Sec. 6102. Loans and grants for electric generation and transmission.CommentsClose CommentsPermalink





Sec. 6103. Fees for electrification baseload generation loan guarantees.CommentsClose CommentsPermalink





Sec. 6104. Deferment of payments to allow loans for improved energy efficiency and demand reduction.CommentsClose CommentsPermalink





Sec. 6105. Rural electrification assistance.CommentsClose CommentsPermalink





Sec. 6106. Guarantees for bonds and notes issued for electrification or telephone purposes.CommentsClose CommentsPermalink





Sec. 6107. Expansion of 911 access.CommentsClose CommentsPermalink





Sec. 6108. Electric loans to rural electric cooperatives.CommentsClose CommentsPermalink





Sec. 6109. Agency procedures.CommentsClose CommentsPermalink





Sec. 6110. Access to broadband telecommunications services in rural areas.CommentsClose CommentsPermalink





Sec. 6111. Substantially underserved trust areas.CommentsClose CommentsPermalink





Sec. 6112. Study of Federal assistance for broadband infrastructure.CommentsClose CommentsPermalink

Subtitle C--Connect the Nation Act

Sec. 6201. Short title.CommentsClose CommentsPermalink





Sec. 6202. Grants to encourage State initiatives to improve broadband service.CommentsClose CommentsPermalink

Subtitle D--Food, Agriculture, Conservation, and Trade Act of 1990

Sec. 6301. Rural electronic commerce extension program.CommentsClose CommentsPermalink





Sec. 6302. Telemedicine, library connectivity, public television, and distance learning services in rural areas.CommentsClose CommentsPermalink

Subtitle E--Miscellaneous

Sec. 6401. Value-added agricultural product market development grants.CommentsClose CommentsPermalink





Sec. 6402. Study of railroad issues.CommentsClose CommentsPermalink





Sec. 6403. Insurance of loans for housing and related facilities for domestic farm labor.CommentsClose CommentsPermalink

TITLE VII--RESEARCH AND RELATED MATTERS

Subtitle A--National Agricultural Research, Extension, and Teaching Policy Act of 1977

Sec. 7001. Definitions.CommentsClose CommentsPermalink





Sec. 7002. National Agricultural Research, Extension, Education, and Economics Advisory Board.CommentsClose CommentsPermalink





Sec. 7003. Veterinary medicine loan repayment.CommentsClose CommentsPermalink





Sec. 7004. Eligibility of University of the District of Columbia for grants and fellowships for food and agricultural sciences education.CommentsClose CommentsPermalink





Sec. 7005. Grants to 1890 Institutions to expand extension capacity.CommentsClose CommentsPermalink





Sec. 7006. Expansion of food and agricultural sciences awards.CommentsClose CommentsPermalink





Sec. 7007. Grants and fellowships for food and agricultural sciences education.CommentsClose CommentsPermalink





Sec. 7008. Grants for research on production and marketing of alcohols and industrial hydrocarbons from agricultural commodities and forest products.CommentsClose CommentsPermalink





Sec. 7009. Policy research centers.CommentsClose CommentsPermalink





Sec. 7010. Human nutrition intervention and health promotion research program.CommentsClose CommentsPermalink





Sec. 7011. Pilot research program to combine medical and agricultural research.CommentsClose CommentsPermalink





Sec. 7012. Nutrition education program.CommentsClose CommentsPermalink





Sec. 7013. Continuing animal health and disease research programs.CommentsClose CommentsPermalink





Sec. 7014. Appropriations for research on national or regional problems.CommentsClose CommentsPermalink





Sec. 7015. Animal health and disease research program.CommentsClose CommentsPermalink





Sec. 7016. Authorization level for extension at 1890 land-grant colleges.CommentsClose CommentsPermalink





Sec. 7017. Authorization level for agricultural research at 1890 land-grant colleges.CommentsClose CommentsPermalink





Sec. 7018. Grants to upgrade agricultural and food sciences facilities at 1890 land-grant colleges, including Tuskegee University.CommentsClose CommentsPermalink





Sec. 7019. Grants to upgrade agriculture and food sciences facilities at the District of Columbia land grant university.CommentsClose CommentsPermalink





Sec. 7020. National research and training virtual centers.CommentsClose CommentsPermalink





Sec. 7021. Matching funds requirement for research and extension activities of 1890 Institutions.CommentsClose CommentsPermalink





Sec. 7022. Hispanic-serving institutions.CommentsClose CommentsPermalink





Sec. 7023. Hispanic-serving agricultural colleges and universities.CommentsClose CommentsPermalink





Sec. 7024. International agricultural research, extension, and education.CommentsClose CommentsPermalink





Sec. 7025. Competitive grants for international agricultural science and education programs.CommentsClose CommentsPermalink





Sec. 7026. Indirect costs.CommentsClose CommentsPermalink





Sec. 7027. Research equipment grants.CommentsClose CommentsPermalink





Sec. 7028. University research.CommentsClose CommentsPermalink





Sec. 7029. Extension Service.CommentsClose CommentsPermalink





Sec. 7030. Supplemental and alternative crops.CommentsClose CommentsPermalink





Sec. 7031. Aquaculture research facilities.CommentsClose CommentsPermalink





Sec. 7032. Rangeland research.CommentsClose CommentsPermalink





Sec. 7033. Special authorization for biosecurity planning and response.CommentsClose CommentsPermalink





Sec. 7034. Resident instruction and distance education grants program for insular area institutions of higher education.CommentsClose CommentsPermalink





Sec. 7035. Farm management training and public farm benchmarking database.CommentsClose CommentsPermalink





Sec. 7036. Tropical and subtropical agricultural research.CommentsClose CommentsPermalink





Sec. 7037. Regional centers of excellence.CommentsClose CommentsPermalink





Sec. 7038. National Drought Mitigation Center.CommentsClose CommentsPermalink





Sec. 7039. Agricultural development in the American-Pacific region.CommentsClose CommentsPermalink





Sec. 7040. Borlaug international agricultural science and technology fellowship program.CommentsClose CommentsPermalink





Sec. 7041. New Era Rural Technology Program.CommentsClose CommentsPermalink





Sec. 7042. Farm and ranch stress assistance network.CommentsClose CommentsPermalink





Sec. 7043. Rural entrepreneurship and enterprise facilitation program.CommentsClose CommentsPermalink





Sec. 7044. Seed distribution.CommentsClose CommentsPermalink





Sec. 7045. Farm and ranch safety.CommentsClose CommentsPermalink





Sec. 7046. Women and minorities in STEM fields.CommentsClose CommentsPermalink





Sec. 7047. Natural products research program.CommentsClose CommentsPermalink





Sec. 7048. International anti-hunger and nutrition program.CommentsClose CommentsPermalink





Sec. 7049. Consortium for Agricultural and Rural Transportation Research and Education.CommentsClose CommentsPermalink

Subtitle B--Food, Agriculture, Conservation, and Trade Act of 1990

Sec. 7101. National genetic resources program.CommentsClose CommentsPermalink





Sec. 7102. High-priority research and extension initiatives.CommentsClose CommentsPermalink





Sec. 7103. Nutrient management research and extension initiative.CommentsClose CommentsPermalink





Sec. 7104. Organic agriculture research and extension initiative.CommentsClose CommentsPermalink





Sec. 7105. Agricultural telecommunications program.CommentsClose CommentsPermalink





Sec. 7106. Assistive technology program for farmers with disabilities.CommentsClose CommentsPermalink





Sec. 7107. National Rural Information Center Clearinghouse.CommentsClose CommentsPermalink

Subtitle C--Agricultural Research, Extension, and Education Reform Act of 1998

Sec. 7201. Initiative for Future Agriculture and Food Systems.CommentsClose CommentsPermalink





Sec. 7202. Partnerships for high-value agricultural product quality research.CommentsClose CommentsPermalink





Sec. 7203. Precision agriculture.CommentsClose CommentsPermalink





Sec. 7204. Biobased products.CommentsClose CommentsPermalink





Sec. 7205. Thomas Jefferson initiative for crop diversification.CommentsClose CommentsPermalink





Sec. 7206. Integrated research, education, and extension competitive grants program.CommentsClose CommentsPermalink





Sec. 7207. Support for research regarding diseases of wheat, triticale, and barley caused by Fusarium graminearum or by Tilletia indica.CommentsClose CommentsPermalink





Sec. 7208. Bovine Johne's disease control program.CommentsClose CommentsPermalink





Sec. 7209. Grants for youth organizations.CommentsClose CommentsPermalink





Sec. 7210. Agricultural biotechnology research and development for developing countries.CommentsClose CommentsPermalink





Sec. 7211. Specialty crop research initiative.CommentsClose CommentsPermalink





Sec. 7212. Office of Pest Management Policy.CommentsClose CommentsPermalink





Sec. 7213. Food animal residue avoidance database program.CommentsClose CommentsPermalink

Subtitle D--Other Laws

Sec. 7301. Critical Agricultural Materials Act.CommentsClose CommentsPermalink





Sec. 7302. Equity in Educational Land-Grant Status Act of 1994.CommentsClose CommentsPermalink





Sec. 7303. Smith-Lever Act.CommentsClose CommentsPermalink





Sec. 7304. Hatch Act of 1887.CommentsClose CommentsPermalink





Sec. 7305. Research Facilities Act.CommentsClose CommentsPermalink





Sec. 7306. National Agricultural Research, Extension, and Teaching Policy Act Amendments of 1985.CommentsClose CommentsPermalink





Sec. 7307. Competitive, Special, and Facilities Research Grant Act.CommentsClose CommentsPermalink





Sec. 7308. Education grants to Alaska Native serving institutions and Native Hawaiian serving institutions.CommentsClose CommentsPermalink





Sec. 7309. Beginning farmer and rancher development program.CommentsClose CommentsPermalink





Sec. 7310. McIntire-Stennis Cooperative Forestry Act.CommentsClose CommentsPermalink





Sec. 7311. National Aquaculture Act of 1980.CommentsClose CommentsPermalink





Sec. 7312. National Arboretum.CommentsClose CommentsPermalink





Sec. 7313. Eligibility of University of the District of Columbia for certain land-grant university assistance.CommentsClose CommentsPermalink





Sec. 7314. Exchange or sale authority.CommentsClose CommentsPermalink





Sec. 7315. Carbon cycle research.CommentsClose CommentsPermalink

Subtitle E--National Institute of Food and Agriculture

Sec. 7401. National Institute of Food and Agriculture.CommentsClose CommentsPermalink





Sec. 7402. Coordination of Agricultural Research Service and National Institute of Food and Agriculture.CommentsClose CommentsPermalink

Subtitle F--Miscellaneous

Sec. 7501. Joint nutrition monitoring and related research activities.CommentsClose CommentsPermalink





Sec. 7502. Demonstration project authority for temporary positions.CommentsClose CommentsPermalink





Sec. 7503. Review of plan of work requirements.CommentsClose CommentsPermalink





Sec. 7504. Study and report on access to nutritious foods.CommentsClose CommentsPermalink

TITLE VIII--FORESTRY

Subtitle A--Cooperative Forestry Assistance Act of 1978

Sec. 8001. National priorities for private forest conservation.CommentsClose CommentsPermalink





Sec. 8002. Community forest and open space conservation program.CommentsClose CommentsPermalink





Sec. 8003. Federal, State, and local coordination and cooperation.CommentsClose CommentsPermalink





Sec. 8004. Comprehensive statewide forest planning.CommentsClose CommentsPermalink





Sec. 8005. Assistance to the Federated States of Micronesia, the Republic of the Marshall Islands, and the Republic of Palau.CommentsClose CommentsPermalink

Subtitle B--Tribal-Forest Service Cooperative Relations

Sec. 8101. Definitions.CommentsClose CommentsPermalink

Part I--Collaboration Between Indian Tribes and Forest Service

Sec. 8111. Forest Legacy Program.CommentsClose CommentsPermalink





Sec. 8112. Forestry and resource management assistance for Indian tribes.CommentsClose CommentsPermalink

Part II--Cultural and Heritage Cooperation Authority

Sec. 8121. Purposes.CommentsClose CommentsPermalink





Sec. 8122. Definitions.CommentsClose CommentsPermalink





Sec. 8123. Reburial of human remains and cultural items.CommentsClose CommentsPermalink





Sec. 8124. Temporary closure for traditional and cultural purposes.CommentsClose CommentsPermalink





Sec. 8125. Forest products for traditional and cultural purposes.CommentsClose CommentsPermalink





Sec. 8126. Prohibition on disclosure.CommentsClose CommentsPermalink





Sec. 8127. Severability and savings provisions.CommentsClose CommentsPermalink

Subtitle C--Amendments to Other Laws

Sec. 8201. Renewable resources extension activities.CommentsClose CommentsPermalink





Sec. 8202. Office of International Forestry.CommentsClose CommentsPermalink

TITLE IX--ENERGY

Sec. 9001. Energy.CommentsClose CommentsPermalink

`TITLE IX--ENERGY

`Sec. 9001. Definitions. `Sec. 9002. Biobased markets program. `Sec. 9003. Biodiesel fuel education. `Sec. 9004. Biomass crop transition. `Sec. 9005. Biorefinery and repowering assistance. `Sec. 9006. Bioenergy program for advanced biofuels. `Sec. 9007. Rural Energy for America Program. `Sec. 9008. Biomass Research and Development Act of 2000. `Sec. 9009. Sun grant program. `Sec. 9010. Regional biomass crop experiments. `Sec. 9011. Biochar research, development, and demonstration. `Sec. 9012. Renewable woody biomass for energy. `Sec. 9013. Community wood energy program. `Sec. 9014. Rural energy systems renewal. `Sec. 9015. Voluntary renewable biomass certification program. `Sec. 9016. Administration. `Sec. 9017. Biofuels infrastructure study. `Sec. 9018. Rural nitrogen fertilizer study. `Sec. 9019. Study of life-cycle analysis of biofuels. `Sec. 9020. E-85 fuel program. `Sec. 9021. Research and development of renewable energy. `Sec. 9022. Northeast dairy nutrient management and energy development program. `Sec. 9023. Future farmstead program.

Sec. 9002. Sense of the Senate concerning higher levels of ethanol blended gasoline.CommentsClose CommentsPermalink





Sec. 9003. Conforming amendments.CommentsClose CommentsPermalink

TITLE X--LIVESTOCK MARKETING, REGULATORY, AND RELATED PROGRAMS

Subtitle A--Marketing

Sec. 10001. Livestock mandatory reporting.CommentsClose CommentsPermalink





Sec. 10002. Grading and inspection.CommentsClose CommentsPermalink





Sec. 10003. Country of origin labeling.CommentsClose CommentsPermalink

Subtitle B--Agricultural Fair Practices

Sec. 10101. Definitions.CommentsClose CommentsPermalink





Sec. 10102. Prohibited practices.CommentsClose CommentsPermalink





Sec. 10103. Enforcement.CommentsClose CommentsPermalink





Sec. 10104. Rules and regulations.CommentsClose CommentsPermalink

Subtitle C--Packers and Stockyards

Sec. 10201. Special Counsel for Agricultural Competition.CommentsClose CommentsPermalink





Sec. 10202. Investigation of live poultry dealers.CommentsClose CommentsPermalink





Sec. 10203. Production contracts.CommentsClose CommentsPermalink





Sec. 10204. Right to discuss terms of contract.CommentsClose CommentsPermalink





Sec. 10205. Attorneys' fees.CommentsClose CommentsPermalink





Sec. 10206. Appointment of outside counsel.CommentsClose CommentsPermalink





Sec. 10207. Prohibition on packers owning, feeding, or controlling livestock..CommentsClose CommentsPermalink





Sec. 10208. Regulations.CommentsClose CommentsPermalink

Subtitle D--Related Programs

Sec. 10301. Sense of Congress regarding pseudorabies eradication program.CommentsClose CommentsPermalink





Sec. 10302. Sense of Congress regarding cattle fever tick eradication program.CommentsClose CommentsPermalink





Sec. 10303. National Sheep and Goat Industry Improvement Center.CommentsClose CommentsPermalink





Sec. 10304. Trichinae certification program.CommentsClose CommentsPermalink





Sec. 10305. Protection of information in the animal identification system.CommentsClose CommentsPermalink





Sec. 10306. Low pathogenic avian influenza.CommentsClose CommentsPermalink





Sec. 10307. Study on bioenergy operations.CommentsClose CommentsPermalink





Sec. 10308. Sense of the Senate on indemnification of livestock producers.CommentsClose CommentsPermalink

TITLE XI--MISCELLANEOUS

Subtitle A--Agricultural Security

Sec. 11011. Definitions.CommentsClose CommentsPermalink

Part I--General Authority and Interagency Coordination

Sec. 11021. Policy.CommentsClose CommentsPermalink





Sec. 11022. Interagency coordination.CommentsClose CommentsPermalink





Sec. 11023. Submission of integrated food defense plan.CommentsClose CommentsPermalink





Sec. 11024. Transfer of certain agricultural inspection functions of Department.CommentsClose CommentsPermalink

Part II--Agricultural Quarantine Inspection Program Improvement

Sec. 11031. Definitions.CommentsClose CommentsPermalink





Sec. 11032. Joint Task Force.CommentsClose CommentsPermalink





Sec. 11033. Advisory Board.CommentsClose CommentsPermalink





Sec. 11034. Reports to Congress.CommentsClose CommentsPermalink





Sec. 11035. Port risk committees.CommentsClose CommentsPermalink





Sec. 11036. Emergency response planning at ports of entry.CommentsClose CommentsPermalink





Sec. 11037. Plant pest identification joint plan.CommentsClose CommentsPermalink





Sec. 11038. Liaison officer positions.CommentsClose CommentsPermalink

Part III--Miscellaneous

Sec. 11041. Designation and expedited review and approval of qualified agricultural countermeasures.CommentsClose CommentsPermalink





Sec. 11042. Agricultural disease emergency detection and response.CommentsClose CommentsPermalink





Sec. 11043. National plant disease recovery system and national veterinary stockpile.CommentsClose CommentsPermalink





Sec. 11044. Research and development of agricultural countermeasures.CommentsClose CommentsPermalink





Sec. 11045. Veterinary workforce grant program.CommentsClose CommentsPermalink





Sec. 11046. Assistance to build local capacity in agricultural biosecurity planning, preparedness, and response.CommentsClose CommentsPermalink





Sec. 11047. Border inspections of agricultural products.CommentsClose CommentsPermalink





Sec. 11048. Live virus of foot and mouth disease research.CommentsClose CommentsPermalink

Subtitle B--Other Programs

Sec. 11051. Foreclosure.CommentsClose CommentsPermalink





Sec. 11052. Outreach and technical assistance for socially disadvantaged farmers and ranchers.CommentsClose CommentsPermalink





Sec. 11053. Additional contracting authority.CommentsClose CommentsPermalink





Sec. 11054. Improved program delivery by the Department of Agriculture on Indian reservations.CommentsClose CommentsPermalink





Sec. 11055. Accurate documentation in the census of agriculture and certain studies.CommentsClose CommentsPermalink





Sec. 11056. Improved data requirements.CommentsClose CommentsPermalink





Sec. 11057. Receipt for service or denial of service.CommentsClose CommentsPermalink





Sec. 11058. National Appeals Division.CommentsClose CommentsPermalink





Sec. 11059. Farmworker Coordinator.CommentsClose CommentsPermalink





Sec. 11060. Congressional Bipartisan Food Safety Commission.CommentsClose CommentsPermalink





Sec. 11061. Emergency grants to assist low-income migrant and seasonal farmworkers.CommentsClose CommentsPermalink





Sec. 11062. Grants to reduce production of methamphetamines from anhydrous ammonia.CommentsClose CommentsPermalink





Sec. 11063. Invasive species management, Hawaii.CommentsClose CommentsPermalink





Sec. 11064. Oversight and compliance.CommentsClose CommentsPermalink





Sec. 11065. Report of civil rights complaints, resolutions, and actions.CommentsClose CommentsPermalink





Sec. 11066. Grants to improve supply, stability, safety, and training of agricultural labor force.CommentsClose CommentsPermalink





Sec. 11067. Interstate shipment of meat and poultry inspected by Federal and State agencies for certain small establishments.CommentsClose CommentsPermalink





Sec. 11068. Prevention and investigation of payment and fraud and error.CommentsClose CommentsPermalink





Sec. 11069. Elimination of statute of limitations applicable to collection of debt by administrative offset.CommentsClose CommentsPermalink





Sec. 11070. Stored quantities of propane.CommentsClose CommentsPermalink





Sec. 11071. Closure of certain county FSA offices.CommentsClose CommentsPermalink

SEC. 2. DEFINITION OF SECRETARY.

In this Act, the term `Secretary' means the Secretary of Agriculture.CommentsClose CommentsPermalink

TITLE I--PRODUCER INCOME PROTECTION PROGRAMS

SEC. 1001. DEFINITIONS.

In this title (other than part III of subtitle A):CommentsClose CommentsPermalink





(1) AVERAGE CROP REVENUE PAYMENT- The term `average crop revenue payment' means a payment made to producers on a farm under section 1401.CommentsClose CommentsPermalink





(2) BASE ACRES- The term `base acres', with respect to a covered commodity on a farm, means the number of acres established under section 1101 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7911) as in effect on the day before the date of enactment of this Act, subject to any adjustment under section 1101 of this Act.CommentsClose CommentsPermalink





(3) COUNTER-CYCLICAL PAYMENT- The term `counter-cyclical payment' means a payment made to producers on a farm under section 1104.CommentsClose CommentsPermalink





(4) COVERED COMMODITY- The term `covered commodity' means wheat, corn, grain sorghum, barley, oats, upland cotton, long grain rice, medium grain rice, pulse crops, soybeans, and other oilseeds.CommentsClose CommentsPermalink





(5) DIRECT PAYMENT- The term `direct payment' means a payment made to producers on a farm under section 1103.CommentsClose CommentsPermalink





(6) EFFECTIVE PRICE- The term `effective price', with respect to a covered commodity for a crop year, means the price calculated by the Secretary under section 1104 to determine whether counter-cyclical payments are required to be made for that crop year.CommentsClose CommentsPermalink





(7) EXTRA LONG STAPLE COTTON- The term `extra long staple cotton' means cotton that--CommentsClose CommentsPermalink





(A) is produced from pure strain varieties of the Barbadense species or any hybrid of the species, or other similar types of extra long staple cotton, designated by the Secretary, having characteristics needed for various end uses for which United States upland cotton is not suitable and grown in irrigated cotton-growing regions of the United States designated by the Secretary or other areas designated by the Secretary as suitable for the production of the varieties or types; andCommentsClose CommentsPermalink





(B) is ginned on a roller-type gin or, if authorized by the Secretary, ginned on another type gin for experimental purposes.CommentsClose CommentsPermalink





(8) LOAN COMMODITY- The term `loan commodity' means wheat, corn, grain sorghum, barley, oats, upland cotton, extra long staple cotton, long grain rice, medium grain rice, soybeans, other oilseeds, wool, mohair, honey, dry peas, lentils, small chickpeas, and large chickpeas.CommentsClose CommentsPermalink





(9) MEDIUM GRAIN RICE- The term `medium grain rice' includes short grain rice.CommentsClose CommentsPermalink





(10) OTHER OILSEED- The term `other oilseed' means a crop of sunflower seed, rapeseed, canola, safflower, flaxseed, mustard seed, crambe, sesame seed, camelina, or any oilseed designated by the Secretary.CommentsClose CommentsPermalink





(11) PAYMENT ACRES- The term `payment acres' means, in the case of direct payments and counter-cyclical payments, 85 percent of the base acres of a covered commodity on a farm on which direct payments or counter-cyclical payments are made.CommentsClose CommentsPermalink





(12) PAYMENT YIELD- The term `payment yield' means the yield established for direct payments and counter-cyclical payments under section 1102 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7912) as in effect on the day before the date of enactment of this Act, or under section 1102 of this Act, for a farm for a covered commodity.CommentsClose CommentsPermalink





(13) PRODUCER-CommentsClose CommentsPermalink





(A) IN GENERAL- The term `producer' means an owner, operator, landlord, tenant, or sharecropper that shares in the risk of producing a crop and is entitled to share in the crop available for marketing from the farm, or would have shared had the crop been produced.CommentsClose CommentsPermalink





(B) HYBRID SEED- In determining whether a grower of hybrid seed is a producer, the Secretary shall--CommentsClose CommentsPermalink





(i) not take into consideration the existence of a hybrid seed contract; andCommentsClose CommentsPermalink





(ii) ensure that program requirements do not adversely affect the ability of the grower to receive a payment under this title.CommentsClose CommentsPermalink





(14) PULSE CROP- The term `pulse crop' means dry peas, lentils, small chickpeas, and large chickpeas.CommentsClose CommentsPermalink





(15) STATE- The term `State' means--CommentsClose CommentsPermalink





(A) a State;CommentsClose CommentsPermalink





(B) the District of Columbia;CommentsClose CommentsPermalink





(C) the Commonwealth of Puerto Rico; andCommentsClose CommentsPermalink





(D) any other territory or possession of the United States.CommentsClose CommentsPermalink





(16) TARGET PRICE- The term `target price' means the price per bushel, pound, or hundredweight (or other appropriate unit) of a covered commodity used to determine the payment rate for counter-cyclical payments.CommentsClose CommentsPermalink





(17) UNITED STATES- The term `United States', when used in a geographical sense, means all of the States.CommentsClose CommentsPermalink

Subtitle A--Traditional Payments and Loans

PART I--DIRECT PAYMENTS AND COUNTER-CYCLICAL PAYMENTS

SEC. 1101. BASE ACRES AND PAYMENT ACRES FOR A FARM.

(a) Adjustment of Base Acres-CommentsClose CommentsPermalink





(1) IN GENERAL- The Secretary shall provide for an adjustment, as appropriate, in the base acres for covered commodities for a farm whenever the following circumstances occurs:CommentsClose CommentsPermalink





(A) A conservation reserve contract entered into under section 1231 of the Food Security Act of 1985 (16 U.S.C. 3831) with respect to the farm expires or is voluntarily terminated.CommentsClose CommentsPermalink





(B) Cropland is released from coverage under a conservation reserve contract by the Secretary.CommentsClose CommentsPermalink





(C) The producer has eligible pulse crop or camelina acreage.CommentsClose CommentsPermalink





(D) The producer has eligible oilseed acreage as the result of the Secretary designating additional oilseeds.CommentsClose CommentsPermalink





(2) SPECIAL CONSERVATION RESERVE ACREAGE PAYMENT RULES- For the crop year in which a base acres adjustment under subparagraph (A) or (B) of paragraph (1) is first made, the owner of the farm shall elect to receive either direct payments and counter-cyclical payments with respect to the acreage added to the farm under this subsection or a prorated payment under the conservation reserve contract, but not both.CommentsClose CommentsPermalink





(b) Prevention of Excess Base Acres-CommentsClose CommentsPermalink





(1) REQUIRED REDUCTION- If the sum of the base acres for a farm, together with the acreage described in paragraph (2) exceeds the actual cropland acreage of the farm, the Secretary shall reduce the base acres for 1 or more covered commodities for the farm or the base acres for peanuts for the farm so that the sum of the base acres and acreage described in paragraph (2) does not exceed the actual cropland acreage of the farm.CommentsClose CommentsPermalink





(2) OTHER ACREAGE- For purposes of paragraph (1), the Secretary shall include the following:CommentsClose CommentsPermalink





(A) Any base acres for peanuts for the farm.CommentsClose CommentsPermalink





(B) Any acreage on the farm enrolled in the conservation reserve program or wetlands reserve program under chapter 1 of subtitle D of title XII of the Food Security Act of 1985 (16 U.S.C. 3830 et seq.).CommentsClose CommentsPermalink





(C) Any other acreage on the farm enrolled in a Federal conservation program for which payments are made in exchange for not producing an agricultural commodity on the acreage.CommentsClose CommentsPermalink





(D) Any eligible pulse crop or camelina acreage, which shall be determined in the same manner as eligible oilseed acreage under section 1101(a)(2) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7911(a)(2)).CommentsClose CommentsPermalink





(E) If the Secretary designates additional oilseeds, any eligible oilseed acreage, which shall be determined in the same manner as eligible oilseed acreage under section 1101(a)(2) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7911(a)(2)).CommentsClose CommentsPermalink





(3) SELECTION OF ACRES- The Secretary shall give the owner of the farm the opportunity to select the base acres for a covered commodity or the base acres for peanuts for the farm against which the reduction required by paragraph (1) will be made.CommentsClose CommentsPermalink





(4) EXCEPTION FOR DOUBLE-CROPPED ACREAGE- In applying paragraph (1), the Secretary shall make an exception in the case of double cropping, as determined by the Secretary.CommentsClose CommentsPermalink





(5) COORDINATED APPLICATION OF REQUIREMENTS- The Secretary shall take into account section 1302(b) when applying the requirements of this subsection.CommentsClose CommentsPermalink





(c) Permanent Reduction in Base Acres-CommentsClose CommentsPermalink





(1) IN GENERAL- The owner of a farm may reduce, at any time, the base acres for any covered commodity for the farm.CommentsClose CommentsPermalink





(2) ADMINISTRATION- The reduction shall be permanent and made in the manner prescribed by the Secretary.CommentsClose CommentsPermalink

SEC. 1102. PAYMENT YIELDS.

(a) Establishment and Purpose- For the purpose of making direct payments and counter-cyclical payments under this subtitle, the Secretary shall provide for the establishment of a yield for each farm for any designated oilseed, camelina, or eligible pulse crop for which a payment yield was not established under section 1102 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7912) in accordance with this section.CommentsClose CommentsPermalink





(b) Payment Yields for Designated Oilseeds, Camelina, and Eligible Pulse Crops-CommentsClose CommentsPermalink





(1) DETERMINATION OF AVERAGE YIELD- In the case of designated oilseeds, camelina, and eligible pulse crops, the Secretary shall determine the average yield per planted acre for the designated oilseed, camelina, or pulse crop on a farm for the 1998 through 2001 crop years, excluding any crop year in which the acreage planted to the designated oilseed, camelina, or pulse crop was zero.CommentsClose CommentsPermalink





(2) ADJUSTMENT FOR PAYMENT YIELD-CommentsClose CommentsPermalink





(A) IN GENERAL- The payment yield for a farm for a designated oilseed, camelina, or eligible pulse crop shall be equal to the product of the following:CommentsClose CommentsPermalink





(i) The average yield for the designated oilseed, camelina, or pulse crop determined under paragraph (1).CommentsClose CommentsPermalink





(ii) The ratio resulting from dividing the national average yield for the designated oilseed, camelina, or pulse crop for the 1981 through 1985 crops by the national average yield for the designated oilseed, camelina, or pulse crop for the 1998 through 2001 crops.CommentsClose CommentsPermalink





(B) NO NATIONAL AVERAGE YIELD INFORMATION AVAILABLE- To the extent that national average yield information for a designated oilseed, camelina, or pulse crop is not available, the Secretary shall use such information as the Secretary determines to be fair and equitable to establish a national average yield under this section.CommentsClose CommentsPermalink





(3) USE OF PARTIAL COUNTY AVERAGE YIELD- If the yield per planted acre for a crop of a designated oilseed, camelina, or pulse crop for a farm for any of the 1998 through 2001 crop years was less than 75 percent of the county yield for that designated oilseed, camelina, or pulse crop, the Secretary shall assign a yield for that crop year equal to 75 percent of the county yield for the purpose of determining the average under paragraph (1).CommentsClose CommentsPermalink





(4) NO HISTORIC YIELD DATA AVAILABLE- In the case of establishing yields for designated oilseeds, camelina, and eligible pulse crops, if historic yield data is not available, the Secretary shall use the ratio for dry peas calculated under paragraph (2)(A)(ii) in determining the yields for designated oilseeds, camelina, and eligible pulse crops, as determined to be fair and equitable by the Secretary.CommentsClose CommentsPermalink

SEC. 1103. AVAILABILITY OF DIRECT PAYMENTS.

(a) Payment Required- Except as provided in section 1401, for each of the 2008 through 2012 crop years of each covered commodity (other than pulse crops), the Secretary shall make direct payments to producers on farms for which payment yields and base acres are established.CommentsClose CommentsPermalink





(b) Payment Rate- The payment rates used to make direct payments with respect to covered commodities for a crop year are as follows:CommentsClose CommentsPermalink





(1) Wheat, $0.52 per bushel.CommentsClose CommentsPermalink





(2) Corn, $0.28 per bushel.CommentsClose CommentsPermalink





(3) Grain sorghum, $0.35 per bushel.CommentsClose CommentsPermalink





(4) Barley, $0.24 per bushel.CommentsClose CommentsPermalink





(5) Oats, $0.024 per bushel.CommentsClose CommentsPermalink





(6) Upland cotton, $0.0667 per pound.CommentsClose CommentsPermalink





(7) Long grain rice, $2.35 per hundredweight.CommentsClose CommentsPermalink





(8) Medium grain rice, $2.35 per hundredweight.CommentsClose CommentsPermalink





(9) Soybeans, $0.44 per bushel.CommentsClose CommentsPermalink





(10) Other oilseeds, $0.80 per hundredweight.CommentsClose CommentsPermalink





(c) Payment Amount- The amount of the direct payment to be paid to the producers on a farm for a covered commodity for a crop year shall be equal to the product of the following:CommentsClose CommentsPermalink





(1) The payment rate specified in subsection (b).CommentsClose CommentsPermalink





(2) The payment acres of the covered commodity on the farm.CommentsClose CommentsPermalink





(3) The payment yield for the covered commodity for the farm.CommentsClose CommentsPermalink





(d) Time for Payment-CommentsClose CommentsPermalink





(1) IN GENERAL- In the case of each of the 2008 through 2012 crop years, the Secretary shall make direct payments under this section not earlier than October 1 of the calendar year in which the crop of the covered commodity is harvested.CommentsClose CommentsPermalink





(2) ADVANCE PAYMENTS-CommentsClose CommentsPermalink





(A) OPTION- At the option of the producers on a farm, the Secretary shall pay in advance up to 22 percent of the direct payment for a covered commodity for any of the 2008 through 2011 crop years to the producers on a farm.CommentsClose CommentsPermalink





(B) MONTH-CommentsClose CommentsPermalink





(i) SELECTION- Subject to clauses (ii) and (iii), the producers on a farm shall select the month during which the advance payment for a crop year will be made.CommentsClose CommentsPermalink





(ii) OPTIONS- The month selected may be any month during the period--CommentsClose CommentsPermalink





(I) beginning on December 1 of the calendar year before the calendar year in which the crop of the covered commodity is harvested; andCommentsClose CommentsPermalink





(II) ending during the month within which the direct payment would otherwise be made.CommentsClose CommentsPermalink





(iii) CHANGE- The producers on a farm may change the selected month for a subsequent advance payment by providing advance notice to the Secretary.CommentsClose CommentsPermalink





(3) REPAYMENT OF ADVANCE PAYMENTS- If a producer on a farm that receives an advance direct payment for a crop year ceases to be a producer on that farm, or the extent to which the producer shares in the risk of producing a crop changes, before the date the remainder of the direct payment is made, the producer shall be responsible for repaying the Secretary the applicable amount of the advance payment, as determined by the Secretary.CommentsClose CommentsPermalink

SEC. 1104. AVAILABILITY OF COUNTER-CYCLICAL PAYMENTS.

(a) Payment Required- Subject to sections 1107 and 1401, for each of the 2008 through 2012 crop years for each covered commodity, the Secretary shall make counter-cyclical payments to producers on farms for which payment yields and base acres are established with respect to the covered commodity if the Secretary determines that the effective price for the covered commodity is less than the target price for the covered commodity.CommentsClose CommentsPermalink





(b) Effective Price-CommentsClose CommentsPermalink





(1) COVERED COMMODITIES OTHER THAN RICE- Except as provided in paragraph (2), for purposes of subsection (a), the effective price for a covered commodity is equal to the sum of the following:CommentsClose CommentsPermalink





(A) The higher of the following:CommentsClose CommentsPermalink





(i) The national average market price received by producers during the 12-month marketing year for the covered commodity, as determined by the Secretary.CommentsClose CommentsPermalink





(ii) The national average loan rate for a marketing assistance loan for the covered commodity in effect for the applicable period under part II.CommentsClose CommentsPermalink





(B) The payment rate in effect for the covered commodity under section 1103 for the purpose of making direct payments with respect to the covered commodity.CommentsClose CommentsPermalink





(2) RICE- In the case of long grain rice and medium grain rice, for purposes of subsection (a), the effective price for each type or class of rice is equal to the sum of the following:CommentsClose CommentsPermalink





(A) The higher of the following:CommentsClose CommentsPermalink





(i) The national average market price received by producers during the 12-month marketing year for the type or class of rice, as determined by the Secretary.CommentsClose CommentsPermalink





(ii) The national average loan rate for a marketing assistance loan for the type or class of rice in effect for the applicable period under part II.CommentsClose CommentsPermalink





(B) The payment rate in effect for the type or class of rice under section 1103 for the purpose of making direct payments with respect to the type or class of rice.CommentsClose CommentsPermalink





(c) Target Price-CommentsClose CommentsPermalink





(1) IN GENERAL- For purposes of each of the 2008 through 2012 crop years, the target prices for covered commodities shall be as follows:CommentsClose CommentsPermalink





(A) Wheat, $4.20 per bushel.CommentsClose CommentsPermalink





(B) Corn, $2.63 per bushel.CommentsClose CommentsPermalink





(C) Grain sorghum, $2.63 per bushel.CommentsClose CommentsPermalink





(D) Barley, $2.63 per bushel.CommentsClose CommentsPermalink





(E) Oats, $1.83 per bushel.CommentsClose CommentsPermalink





(F) Upland cotton, $0.7225 per pound.CommentsClose CommentsPermalink





(G) Long grain rice, $10.50 per hundredweight.CommentsClose CommentsPermalink





(H) Medium grain rice, $10.50 per hundredweight.CommentsClose CommentsPermalink





(I) Soybeans, $6.00 per bushel.CommentsClose CommentsPermalink





(J) Other oilseeds, $12.74 per hundredweight.CommentsClose CommentsPermalink





(K) Dry peas, $8.33 per hundredweight.CommentsClose CommentsPermalink





(L) Lentils, $12.82 per hundredweight.CommentsClose CommentsPermalink





(M) Small chickpeas, $10.36 per hundredweight.CommentsClose CommentsPermalink





(N) Large chickpeas, $12.82 per hundredweight.CommentsClose CommentsPermalink





(2) SEPARATE TARGET PRICE- The Secretary may not establish a target price for a covered commodity that is different from the target price specified in paragraph (1) for the covered commodity.CommentsClose CommentsPermalink





(d) Payment Rate- The payment rate used to make counter-cyclical payments with respect to a covered commodity for a crop year shall be equal to the difference between--CommentsClose CommentsPermalink





(1) the target price for the covered commodity; andCommentsClose CommentsPermalink





(2) the effective price determined under subsection (b) for the covered commodity.CommentsClose CommentsPermalink





(e) Payment Amount- If counter-cyclical payments are required to be paid for any of the 2008 through 2012 crop years of a covered commodity, the amount of the counter-cyclical payment to be paid to the producers on a farm for that crop year shall be equal to the product of the following:CommentsClose CommentsPermalink





(1) The payment rate specified in subsection (d).CommentsClose CommentsPermalink





(2) The payment acres of the covered commodity on the farm.CommentsClose CommentsPermalink





(3) The payment yield for the covered commodity for the farm.CommentsClose CommentsPermalink





(f) Time for Payments-CommentsClose CommentsPermalink





(1) GENERAL RULE- If the Secretary determines under subsection (a) that counter-cyclical payments are required to be made under this section for the crop of a covered commodity, the Secretary shall make the counter-cyclical payments for the crop beginning October 1, or as soon as practicable thereafter, after the end of the applicable marketing year for the covered commodity.CommentsClose CommentsPermalink





(2) AVAILABILITY OF PARTIAL PAYMENTS-CommentsClose CommentsPermalink





(A) IN GENERAL- If, before the end of the 12-month marketing year for a covered commodity, the Secretary estimates that counter-cyclical payments will be required for the crop of the covered commodity, the Secretary shall give producers on a farm the option to receive partial payments of the counter-cyclical payment projected to be made for that crop of the covered commodity.CommentsClose CommentsPermalink





(B) ELECTION-CommentsClose CommentsPermalink





(i) IN GENERAL- The Secretary shall allow producers on a farm to make an election to receive partial payments for a covered commodity under subparagraph (A) at any time but not later than 30 days prior to the end of the marketing year for that covered commodity.CommentsClose CommentsPermalink





(ii) DATE OF ISSUANCE- The Secretary shall issue the partial payment after the date of an announcement by the Secretary but not later than 30 days prior to the end of the marketing year.CommentsClose CommentsPermalink





(3) TIME FOR PARTIAL PAYMENTS- When the Secretary makes partial payments for a covered commodity for any of the 2008 through 2010 crop years--CommentsClose CommentsPermalink





(A) the first partial payment shall be made after completion of the first 180 days of the marketing year for the covered commodity; andCommentsClose CommentsPermalink





(B) the final partial payment shall be made beginning October 1, or as soon as practicable thereafter, after the end of the applicable marketing year for the covered commodity.CommentsClose CommentsPermalink





(4) AMOUNT OF PARTIAL PAYMENT-CommentsClose CommentsPermalink





(A) FIRST PARTIAL PAYMENT- For each of the 2008 through 2010 crops of a covered commodity, the first partial payment under paragraph (3) to the producers on a farm may not exceed 40 percent of the projected counter-cyclical payment for the covered commodity for the crop year, as determined by the Secretary.CommentsClose CommentsPermalink





(B) FINAL PAYMENT- The final payment for a covered commodity for a crop year shall be equal to the difference between--CommentsClose CommentsPermalink





(i) the actual counter-cyclical payment to be made to the producers for the covered commodity for that crop year; andCommentsClose CommentsPermalink





(ii) the amount of the partial payment made to the producers under subparagraph (A).CommentsClose CommentsPermalink





(5) REPAYMENT- The producers on a farm that receive a partial payment under this subsection for a crop year shall repay to the Secretary the amount, if any, by which the total of the partial payments exceed the actual counter-cyclical payment to be made for the covered commodity for that crop year.CommentsClose CommentsPermalink

SEC. 1105. PRODUCER AGREEMENT REQUIRED AS CONDITION OF PROVISION OF DIRECT PAYMENTS AND COUNTER-CYCLICAL PAYMENTS.

(a) Compliance With Certain Requirements-CommentsClose CommentsPermalink





(1) REQUIREMENTS- Before the producers on a farm may receive direct payments or counter-cyclical payments with respect to the farm, the producers shall agree, during the crop year for which the payments are made and in exchange for the payments--CommentsClose CommentsPermalink





(A) to comply with applicable conservation requirements under subtitle B of title XII of the Food Security Act of 1985 (16 U.S.C. 3811 et seq.);CommentsClose CommentsPermalink





(B) to comply with applicable wetland protection requirements under subtitle C of title XII of that Act (16 U.S.C. 3821 et seq.);CommentsClose CommentsPermalink





(C) to comply with the planting flexibility requirements of section 1106;CommentsClose CommentsPermalink





(D) to use the land on the farm, in a quantity equal to the attributable base acres for the farm and any base acres for peanuts for the farm under part III, for an agricultural or conserving use, and not for a nonagricultural commercial, industrial, or residential use (including land subdivided and developed into residential units or other nonfarming uses, or that is otherwise no longer intended to be used in conjunction with a farming operation), as determined by the Secretary; andCommentsClose CommentsPermalink





(E) to effectively control noxious weeds and otherwise maintain the land in accordance with sound agricultural practices, as determined by the Secretary, if the agricultural or conserving use involves the noncultivation of any portion of the land referred to in subparagraph (D).CommentsClose CommentsPermalink





(2) COMPLIANCE- The Secretary may issue such rules as the Secretary considers necessary to ensure producer compliance with the requirements of paragraph (1).CommentsClose CommentsPermalink





(3) MODIFICATION- At the request of the transferee or owner, the Secretary may modify the requirements of this subsection if the modifications are consistent with the objectives of this subsection, as determined by the Secretary.CommentsClose CommentsPermalink





(b) Transfer or Change of Interest in Farm-CommentsClose CommentsPermalink





(1) TERMINATION-CommentsClose CommentsPermalink





(A) IN GENERAL- Except as provided in paragraph (2), a transfer of (or change in) the interest of the producers on a farm in base acres for which direct payments or counter-cyclical payments are made shall result in the termination of the payments with respect to the base acres, unless the transferee or owner of the acreage agrees to assume all obligations under subsection (a).CommentsClose CommentsPermalink





(B) EFFECTIVE DATE- The termination shall take effect on the date determined by the Secretary.CommentsClose CommentsPermalink





(2) EXCEPTION- If a producer entitled to a direct payment or counter-cyclical payment dies, becomes incompetent, or is otherwise unable to receive the payment, the Secretary shall make the payment, in accordance with rules issued by the Secretary.CommentsClose CommentsPermalink





(c) Acreage Reports-CommentsClose CommentsPermalink





(1) IN GENERAL- As a condition on the receipt of any benefits under this part or part II, the Secretary shall require producers on a farm to submit to the Secretary annual acreage reports with respect to all cropland on the farm.CommentsClose CommentsPermalink





(2) PENALTIES- No penalty with respect to benefits under this part or part II shall be assessed against the producers on a farm for an inaccurate acreage report unless the producers on the farm knowingly and willfully falsified the acreage report.CommentsClose CommentsPermalink





(d) Tenants and Sharecroppers- In carrying out this subtitle, the Secretary shall provide adequate safeguards to protect the interests of tenants and sharecroppers.CommentsClose CommentsPermalink





(e) Sharing of Payments- The Secretary shall provide for the sharing of direct payments and counter-cyclical payments among the producers on a farm on a fair and equitable basis.CommentsClose CommentsPermalink

SEC. 1106. PLANTING FLEXIBILITY.

(a) Permitted Crops- Subject to subsection (b), any commodity or crop may be planted on base acres on a farm.CommentsClose CommentsPermalink





(b) Limitations Regarding Certain Commodities-CommentsClose CommentsPermalink





(1) GENERAL LIMITATION- The planting of an agricultural commodity specified in paragraph (3) shall be prohibited on base acres unless the commodity, if planted, is destroyed before harvest.CommentsClose CommentsPermalink





(2) TREATMENT OF TREES AND OTHER PERENNIALS- The planting of an agricultural commodity specified in paragraph (3) that is produced on a tree or other perennial plant shall be prohibited on base acres.CommentsClose CommentsPermalink





(3) COVERED AGRICULTURAL COMMODITIES- Paragraphs (1) and (2) apply to the following agricultural commodities:CommentsClose CommentsPermalink





(A) Fruits.CommentsClose CommentsPermalink





(B) Vegetables (other than mung beans and pulse crops).CommentsClose CommentsPermalink





(C) Wild rice.CommentsClose CommentsPermalink





(c) Exceptions- Paragraphs (1) and (2) of subsection (b) shall not limit the planting of an agricultural commodity specified in paragraph (3) of that subsection--CommentsClose CommentsPermalink





(1) in any region in which there is a history of double-cropping of covered commodities with agricultural commodities specified in subsection (b)(3), as determined by the Secretary, in which case the double-cropping shall be permitted;CommentsClose CommentsPermalink





(2) on a farm that the Secretary determines has a history of planting agricultural commodities specified in subsection (b)(3) on base acres, except that direct payments and counter-cyclical payments shall be reduced by an acre for each acre planted to such an agricultural commodity; orCommentsClose CommentsPermalink





(3) by the producers on a farm that the Secretary determines has an established planting history of a specific agricultural commodity specified in subsection (b)(3), except that--CommentsClose CommentsPermalink





(A) the quantity planted may not exceed the average annual planting history of such agricultural commodity by the producers on the farm in the 1991 through 1995 or 1998 through 2001 crop years (excluding any crop year in which no plantings were made), as determined by the Secretary; andCommentsClose CommentsPermalink





(B) direct payments and counter-cyclical payments shall be reduced by an acre for each acre planted to such agricultural commodity.CommentsClose CommentsPermalink





(d) Planting Transferability Pilot Project-CommentsClose CommentsPermalink





(1) PILOT PROJECT AUTHORIZED- In addition to the exceptions provided in subsection (c), the Secretary shall carry out a pilot project in the State of Indiana under which paragraphs (1) and (2) of subsection (b) shall not limit the planting of tomatoes grown for processing on up to 10,000 base acres during each of the 2008 through 2009 crop years.CommentsClose CommentsPermalink





(2) CONTRACT AND MANAGEMENT REQUIREMENTS- To be eligible for selection to participate in the pilot project, the producers on a farm shall--CommentsClose CommentsPermalink





(A) have entered into a contract to produce tomatoes for processing; andCommentsClose CommentsPermalink





(B) agree to produce the tomatoes as part of a program of crop rotation on the farm to achieve agronomic and pest and disease management benefits.CommentsClose CommentsPermalink





(3) TEMPORARY REDUCTION IN BASE ACRES- The base acres on a farm participating in the pilot program for a crop year shall be reduced by an acre for each acre planted to tomatoes under the pilot program.CommentsClose CommentsPermalink





(4) RECALCULATION OF BASE ACRES-CommentsClose CommentsPermalink





(A) IN GENERAL- If the Secretary recalculates base acres for a farm while the farm is included in the pilot project, the planting and production of tomatoes on base acres for which a temporary reduction was made under this section shall be considered to be the same as the planting and production of a covered commodity.CommentsClose CommentsPermalink





(B) PROHIBITION- Nothing in this paragraph provides authority for the Secretary to recalculate base acres for a farm.CommentsClose CommentsPermalink

SEC. 1107. SPECIAL RULE FOR LONG GRAIN AND MEDIUM GRAIN RICE.

(a) Calculation Method- Subject to subsections (b) and (c), for the purposes of determining the amount of the counter-cyclical payments to be paid to the producers on a farm for long grain rice and medium grain rice under section 1104, the base acres of rice on the farm shall be apportioned using the 4-year average of the percentages of acreage planted in the applicable State to long grain rice and medium grain rice during the 2003 through 2006 crop years, as determined by the Secretary.CommentsClose CommentsPermalink





(b) Producer Election- As an alternative to the calculation method described in subsection (a), the Secretary shall provide producers on a farm the opportunity to elect to apportion rice base acres on the farm using the 4-year average of--CommentsClose CommentsPermalink





(1) the percentages of acreage planted on the farm to long grain rice and medium grain rice during the 2003 through 2006 crop years;CommentsClose CommentsPermalink





(2) the percentages of any acreage on the farm that the producers were prevented from planting to long grain rice and medium grain rice during the 2003 through 2006 crop years because of drought, flood, other natural disaster, or other condition beyond the control of the producers, as determined by the Secretary; andCommentsClose CommentsPermalink





(3) in the case of a crop year for which a producer on a farm elected not to plant to long grain and medium grain rice during the 2003 through 2006 crop years, the percentages of acreage planted in the applicable State to long grain rice and medium grain rice, as determined by the Secretary.CommentsClose CommentsPermalink





(c) Limitation- In carrying out this section, the Secretary shall use the same total base acres, payment acres, and payment yields established with respect to rice under sections 1101 and 1102 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7911, 7912), as in effect on the day before the date of enactment of this Act, subject to any adjustment under section 1101 of this Act.CommentsClose CommentsPermalink

SEC. 1108. PERIOD OF EFFECTIVENESS.

This part shall be effective beginning with the 2008 crop year of each covered commodity through the 2012 crop year.CommentsClose CommentsPermalink

PART II--MARKETING ASSISTANCE LOANS AND LOAN DEFICIENCY PAYMENTS

SEC. 1201. AVAILABILITY OF NONRECOURSE MARKETING ASSISTANCE LOANS FOR LOAN COMMODITIES.

(a) Nonrecourse Loans Available-CommentsClose CommentsPermalink





(1) AVAILABILITY- Except as provided in section 1401, for each of the 2008 through 2012 crops of each loan commodity, the Secretary shall make available to producers on a farm nonrecourse marketing assistance loans for loan commodities produced on the farm.CommentsClose CommentsPermalink





(2) TERMS AND CONDITIONS- The marketing assistance loans shall be made under terms and conditions that are prescribed by the Secretary and at the loan rate established under section 1202 for the loan commodity.CommentsClose CommentsPermalink





(b) Eligible Production- The producers on a farm shall be eligible for a marketing assistance loan under subsection (a) for any quantity of a loan commodity produced on the farm.CommentsClose CommentsPermalink





(c) Treatment of Certain Commingled Commodities- In carrying out this part, the Secretary shall make loans to producers on a farm that would be eligible to obtain a marketing assistance loan, but for the fact the loan commodity owned by the producers on the farm is commingled with loan commodities of other producers in facilities unlicensed for the storage of agricultural commodities by the Secretary or a State licensing authority, if the producers obtaining the loan agree to immediately redeem the loan collateral in accordance with section 166 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7286).CommentsClose CommentsPermalink





(d) Compliance With Conservation and Wetlands Requirements- As a condition of the receipt of a marketing assistance loan under subsection (a), the producer shall comply with applicable conservation requirements under subtitle B of title XII of the Food Security Act of 1985 (16 U.S.C. 3811 et seq.) and applicable wetland protection requirements under subtitle C of title XII of the Act (16 U.S.C. 3821 et seq.) during the term of the loan.CommentsClose CommentsPermalink

SEC. 1202. LOAN RATES FOR NONRECOURSE MARKETING ASSISTANCE LOANS.

(a) Loan Rates- For each of the 2008 through 2012 crop years, the loan rate for a marketing assistance loan under section 1201 for a loan commodity shall be equal to the following:CommentsClose CommentsPermalink





(1) In the case of wheat, $2.94 per bushel.CommentsClose CommentsPermalink





(2) In the case of corn, $1.95 per bushel.CommentsClose CommentsPermalink





(3) In the case of grain sorghum, $1.95 per bushel.CommentsClose CommentsPermalink





(4) In the case of barley, $1.95 per bushel.CommentsClose CommentsPermalink





(5) In the case of oats, $1.39 per bushel.CommentsClose CommentsPermalink





(6) In the case of the base quality of upland cotton, $0.52 per pound.CommentsClose CommentsPermalink





(7) In the case of extra long staple cotton, $0.7977 per pound.CommentsClose CommentsPermalink





(8) In the case of long grain rice, $6.50 per hundredweight.CommentsClose CommentsPermalink





(9) in the case of medium grain rice, $6.50 per hundredweight.CommentsClose CommentsPermalink





(10) In the case of soybeans, $5.00 per bushel.CommentsClose CommentsPermalink





(11) In the case of other oilseeds, $10.09 per hundredweight.CommentsClose CommentsPermalink





(12) In the case of dry peas, $5.40 per hundredweight.CommentsClose CommentsPermalink





(13) In the case of lentils, $11.28 per hundredweight.CommentsClose CommentsPermalink





(14) In the case of small chickpeas, $7.43 per hundredweight.CommentsClose CommentsPermalink





(15) In the case of large chickpeas, $11.28 per hundredweight.CommentsClose CommentsPermalink





(16) In the case of graded wool, $1.20 per pound.CommentsClose CommentsPermalink





(17) In the case of nongraded wool, $0.40 per pound.CommentsClose CommentsPermalink





(18) In the case of mohair, $4.20 per pound.CommentsClose CommentsPermalink





(19) In the case of honey, $0.72 per pound.CommentsClose CommentsPermalink





(b) Single County Loan Rate for Other Oilseeds- The Secretary shall establish a single loan rate in each county for each kind of other oilseeds described in subsection (a)(10).CommentsClose CommentsPermalink





(c) Grading Basis for Marketing Loans for Pulse Crops- The loan rate for pulse crops--CommentsClose CommentsPermalink





(1) shall be based on a grade not less than grade number 2 or other grade factors, including the fair and average quality of the 1 or more crops in any year; andCommentsClose CommentsPermalink





(2) may be adjusted by the Secretary to reflect the normal market discounts for grades less than number 2 quality.CommentsClose CommentsPermalink





(d) Corn and Grain Sorghum- The Secretary shall--CommentsClose CommentsPermalink





(1) establish a single county loan rate for corn and grain sorghum in each county;CommentsClose CommentsPermalink





(2) establish a single national average loan rate for corn and grain sorghum; andCommentsClose CommentsPermalink





(3) determine each county loan rate and the national average loan rate for corn and grain sorghum, and any and all other program loan rates applicable to corn and grain sorghum, from a data set that includes prices for both corn and grain sorghum.CommentsClose CommentsPermalink

SEC. 1203. TERM OF LOANS.

(a) Term of Loan- In the case of each loan commodity, a marketing assistance loan under section 1201 shall have a term of 9 months beginning on the first day of the first month after the month in which the loan is made.CommentsClose CommentsPermalink





(b) Extensions Prohibited- The Secretary may not extend the term of a marketing assistance loan for any loan commodity.CommentsClose CommentsPermalink

SEC. 1204. REPAYMENT OF LOANS.

(a) General Rule- The Secretary shall permit the producers on a farm to repay a marketing assistance loan under section 1201 for a loan commodity (other than upland cotton, long grain rice, medium grain rice, extra long staple cotton, and confectionery and each other kind of sunflower seed (other than oil sunflower seed)) at a rate that is the lesser of--CommentsClose CommentsPermalink





(1) the loan rate established for the commodity under section 1202, plus interest (determined in accordance with section 163 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7283)); orCommentsClose CommentsPermalink





(2) a rate that the Secretary determines will--CommentsClose CommentsPermalink





(A) minimize potential loan forfeitures;CommentsClose CommentsPermalink





(B) minimize the accumulation of stocks of the commodity by the Federal Government;CommentsClose CommentsPermalink





(C) minimize the cost incurred by the Federal Government in storing the commodity;CommentsClose CommentsPermalink





(D) allow the commodity produced in the United States to be marketed freely and competitively, both domestically and internationally; andCommentsClose CommentsPermalink





(E) minimize discrepancies in marketing loan benefits across State boundaries and across county boundaries.CommentsClose CommentsPermalink





(b) Repayment Rates for Upland Cotton, Long Grain Rice, and Medium Grain Rice- The Secretary shall permit producers to repay a marketing assistance loan under section 1201 for upland cotton, long grain rice, and medium grain rice at a rate that is the lesser of--CommentsClose CommentsPermalink





(1) the loan rate established for the commodity under section 1202, plus interest (determined in accordance with section 163 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7283)); orCommentsClose CommentsPermalink





(2) the prevailing world market price for the commodity (adjusted to United States quality and location), as determined by the Secretary.CommentsClose CommentsPermalink





(c) Repayment Rates for Extra Long Staple Cotton- Repayment of a marketing assistance loan for extra long staple cotton shall be at the loan rate established for the commodity under section 1202, plus interest (determined in accordance with section 163 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7283)).CommentsClose CommentsPermalink





(d) Prevailing World Market Price- For purposes of this section and section 1207, the Secretary shall prescribe by regulation--CommentsClose CommentsPermalink





(1) a formula to determine--CommentsClose CommentsPermalink





(A) the prevailing world market price for upland cotton (adjusted to United States quality and location); andCommentsClose CommentsPermalink





(B) the prevailing world market price for long grain rice and medium grain rice, adjusted to United States quality and location; andCommentsClose CommentsPermalink





(2) a mechanism by which the Secretary shall announce periodically the prevailing world market price for upland cotton, long grain rice, and medium grain rice.CommentsClose CommentsPermalink





(e) Adjustment of Prevailing World Market Price for Upland Cotton- --CommentsClose CommentsPermalink





(1) IN GENERAL- During the period beginning on the date of enactment of this Act and ending July 31, 2013, the Secretary may further adjust the prevailing world market price for upland cotton (adjusted to United States quality and location) if the Secretary determines the adjustment is necessary--CommentsClose CommentsPermalink





(A) to minimize potential loan forfeitures;CommentsClose CommentsPermalink





(B) to minimize the accumulation of stocks of upland cotton by the Federal Government;CommentsClose CommentsPermalink





(C) to allow upland cotton produced in the United States to be marketed freely and competitively, both domestically and internationally;CommentsClose CommentsPermalink





(D) to ensure that upland cotton produced in the United States is competitive in world markets; andCommentsClose CommentsPermalink





(E) to ensure an appropriate transition between current-crop and forward-crop price quotations, except that the Secretary may use forward-crop price quotations prior to July 31 of a marketing year only if--CommentsClose CommentsPermalink





(i) there are insufficient current-crop price quotations; andCommentsClose CommentsPermalink





(ii) the forward-crop price quotation is the lowest such quotation available.CommentsClose CommentsPermalink





(2) GUIDELINES FOR ADDITIONAL ADJUSTMENTS- In making adjustments under this subsection, the Secretary shall establish a mechanism for determining and announcing the adjustments in order to avoid undue disruption in the United States market.CommentsClose CommentsPermalink





(f) Repayment Rates for Confectionery and Other Kinds of Sunflower Seeds- The Secretary shall permit the producers on a farm to repay a marketing assistance loan under section 1201 for confectionery and each other kind of sunflower seed (other than oil sunflower seed) at a rate that is the lesser of--CommentsClose CommentsPermalink





(1) the loan rate established for the commodity under section 1202, plus interest (determined in accordance with section 163 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7283)); orCommentsClose CommentsPermalink





(2) the repayment rate established for oil sunflower seed.CommentsClose CommentsPermalink





(g) Quality Grades for Pulse Crops- The loan repayment rate for pulse crops shall be based on the quality grades for the applicable commodity specified in section 1202(c).CommentsClose CommentsPermalink





(h) Payment of Cotton Storage Costs- Effective for the 2008 through 2012 crop years, the Secretary shall use the funds of the Commodity Credit Corporation to provide cotton storage payments in the same manner, and at the same rates, as the Secretary provided those payments for the 2006 crop of cotton.CommentsClose CommentsPermalink

SEC. 1205. LOAN DEFICIENCY PAYMENTS.

(a) Availability of Loan Deficiency Payments-CommentsClose CommentsPermalink





(1) IN GENERAL- Except as provided in subsection (d) and section 1401, the Secretary may make loan deficiency payments available to producers on a farm that, although eligible to obtain a marketing assistance loan under section 1201 with respect to a loan commodity, agree to forgo obtaining the loan for the commodity in return for loan deficiency payments under this section.CommentsClose CommentsPermalink





(2) UNSHORN PELTS, HAY, AND SILAGE-CommentsClose CommentsPermalink





(A) MARKETING ASSISTANCE LOANS- Subject to subparagraph (B), nongraded wool in the form of unshorn pelts and hay and silage derived from a loan commodity are not eligible for a marketing assistance loan under section 1201.CommentsClose CommentsPermalink





(B) LOAN DEFICIENCY PAYMENT- Effective for the 2008 through 2012 crop years, the Secretary may make loan deficiency payments available under this section to producers on a farm that produce unshorn pelts or hay and silage derived from a loan commodity.CommentsClose CommentsPermalink





(b) Computation- A loan deficiency payment for a loan commodity or commodity referred to in subsection (a)(2) shall be computed by multiplying--CommentsClose CommentsPermalink





(1) the payment rate determined under subsection (c) for the commodity; byCommentsClose CommentsPermalink





(2) the quantity of the commodity produced by the eligible producers, excluding any quantity for which the producers obtain a marketing assistance loan under section 1201.CommentsClose CommentsPermalink





(c) Payment Rate-CommentsClose CommentsPermalink





(1) IN GENERAL- In the case of a loan commodity, the payment rate shall be the amount by which--CommentsClose CommentsPermalink





(A) the loan rate established under section 1202 for the loan commodity; exceedsCommentsClose CommentsPermalink





(B) the rate at which a marketing assistance loan for the loan commodity may be repaid under section 1204.CommentsClose CommentsPermalink





(2) UNSHORN PELTS- In the case of unshorn pelts, the payment rate shall be the amount by which--CommentsClose CommentsPermalink





(A) the loan rate established under section 1202 for ungraded wool; exceedsCommentsClose CommentsPermalink





(B) the rate at which a marketing assistance loan for ungraded wool may be repaid under section 1204.CommentsClose CommentsPermalink





(3) HAY AND SILAGE- In the case of hay or silage derived from a loan commodity, the payment rate shall be the amount by which--CommentsClose CommentsPermalink





(A) the loan rate established under section 1202 for the loan commodity from which the hay or silage is derived; exceedsCommentsClose CommentsPermalink





(B) the rate at which a marketing assistance loan for the loan commodity may be repaid under section 1204.CommentsClose CommentsPermalink





(d) Exception for Extra Long Staple Cotton- This section shall not apply with respect to extra long staple cotton.CommentsClose CommentsPermalink





(e) Effective Date for Payment Rate Determination-CommentsClose CommentsPermalink





(1) LOSS OF BENEFICIAL INTEREST- The Secretary shall determine the amount of the loan deficiency payment to be made under this section to the producers on a farm with respect to a quantity of a loan commodity or commodity referred to in subsection (a)(2) using the payment rate in effect under subsection (c) as soon as practicable after the date on which the producers on the farm lose beneficial interest.CommentsClose CommentsPermalink





(2) ON-FARM CONSUMPTION- For the quantity of a loan commodity or commodity referred to in subsection (a)(2) consumed on a farm, the Secretary shall provide procedures to determine a date on which the producers on the farm lose beneficial interest.CommentsClose CommentsPermalink





(3) APPLICABILITY- This subsection does not apply for the 2009 through 2012 crop years.CommentsClose CommentsPermalink

SEC. 1206. PAYMENTS IN LIEU OF LOAN DEFICIENCY PAYMENTS FOR GRAZED ACREAGE.

(a) Eligible Producers-CommentsClose CommentsPermalink





(1) IN GENERAL- Except as provided in section 1401, effective for the 2008 through 2012 crop years, in the case of a producer that would be eligible for a loan deficiency payment under section 1205 for wheat, barley, or oats, but that elects to use acreage planted to the wheat, barley, or oats for the grazing of livestock, the Secretary shall make a payment to the producer under this section if the producer enters into an agreement with the Secretary to forgo any other harvesting of the wheat, barley, or oats on that acreage.CommentsClose CommentsPermalink





(2) GRAZING OF TRITICALE ACREAGE- Effective for the 2008 through 2012 crop years, with respect to a producer on a farm that uses acreage planted to triticale for the grazing of livestock, the Secretary shall make a payment to the producer under this section if the producer enters into an agreement with the Secretary to forgo any other harvesting of triticale on that acreage.CommentsClose CommentsPermalink





(b) Payment Amount-CommentsClose CommentsPermalink





(1) IN GENERAL- The amount of a payment made under this section to a producer on a farm described in subsection (a)(1) shall be equal to the amount determined by multiplying--CommentsClose CommentsPermalink





(A) the loan deficiency payment rate determined under section 1205(c) in effect, as of the date of the agreement, for the county in which the farm is located; byCommentsClose CommentsPermalink





(B) the payment quantity determined by multiplying--CommentsClose CommentsPermalink





(i) the quantity of the grazed acreage on the farm with respect to which the producer elects to forgo harvesting of wheat, barley, or oats; andCommentsClose CommentsPermalink





(ii) the payment yield in effect for the calculation of direct payments under part I with respect to that loan commodity on the farm or, in the case of a farm without a payment yield for that loan commodity, an appropriate yield established by the Secretary in a manner consistent with section 1102(c).CommentsClose CommentsPermalink





(2) GRAZING OF TRITICALE ACREAGE- The amount of a payment made under this section to a producer on a farm described in subsection (a)(2) shall be equal to the amount determined by multiplying--CommentsClose CommentsPermalink





(A) the loan deficiency payment rate determined under section 1205(c) in effect for wheat, as of the date of the agreement, for the county in which the farm is located; byCommentsClose CommentsPermalink





(B) the payment quantity determined by multiplying--CommentsClose CommentsPermalink





(i) the quantity of the grazed acreage on the farm with respect to which the producer elects to forgo harvesting of triticale; andCommentsClose CommentsPermalink





(ii) the payment yield in effect for the calculation of direct payments under part I with respect to wheat on the farm or, in the case of a farm without a payment yield for wheat, an appropriate yield established by the Secretary in a manner consistent with section 1102(c).CommentsClose CommentsPermalink





(c) Time, Manner, and Availability of Payment-CommentsClose CommentsPermalink





(1) TIME AND MANNER- A payment under this section shall be made at the same time and in the same manner as loan deficiency payments are made under section 1205.CommentsClose CommentsPermalink





(2) AVAILABILITY-CommentsClose CommentsPermalink





(A) IN GENERAL- The Secretary shall establish an availability period for the payments authorized by this section.CommentsClose CommentsPermalink





(B) CERTAIN COMMODITIES- In the case of wheat, barley, and oats, the availability period shall be consistent with the availability period for the commodity established by the Secretary for marketing assistance loans authorized by this part.CommentsClose CommentsPermalink





(d) Prohibition on Crop Insurance Indemnity or Noninsured Crop Assistance- A 2008 through 2012 crop of wheat, barley, oats, or triticale planted on acreage that a producer elects, in the agreement required by subsection (a), to use for the grazing of livestock in lieu of any other harvesting of the crop shall not be eligible for an indemnity under a policy or plan of insurance authorized under the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.) or noninsured crop assistance under section 196 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7333).CommentsClose CommentsPermalink

SEC. 1207. SPECIAL MARKETING LOAN PROVISIONS FOR UPLAND COTTON.

(a) Special Import Quota-CommentsClose CommentsPermalink





(1) DEFINITION OF SPECIAL IMPORT QUOTA- In this subsection, the term `special import quota' means a quantity of imports that is not subject to the over-quota tariff rate of a tariff-rate quota.CommentsClose CommentsPermalink





(2) ESTABLISHMENT-CommentsClose CommentsPermalink





(A) IN GENERAL- The President shall carry out an import quota program during the period beginning on the date of the enactment of this Act through July 31, 2013, as provided in this subsection.CommentsClose CommentsPermalink





(B) PROGRAM REQUIREMENTS- Whenever the Secretary determines and announces that for any consecutive 4-week period, the Friday through Thursday average price quotation for the lowest-priced United States growth, as quoted for Middling (M) 1 3/32 -inch cotton, delivered to a definable and significant international market, as determined by the Secretary, exceeds the prevailing world market price, there shall immediately be in effect a special import quota.CommentsClose CommentsPermalink





(3) QUANTITY- The quota shall be equal to 1 week's consumption of cotton by domestic mills at the seasonally adjusted average rate of the most recent 3 months for which data are available.CommentsClose CommentsPermalink





(4) APPLICATION- The quota shall apply to upland cotton purchased not later than 90 days after the date of the Secretary's announcement under paragraph (2) and entered into the United States not later than 180 days after that date.CommentsClose CommentsPermalink





(5) OVERLAP- A special quota period may be established that overlaps any existing quota period if required by paragraph (2), except that a special quota period may not be established under this subsection if a quota period has been established under subsection (b).CommentsClose CommentsPermalink





(6) PREFERENTIAL TARIFF TREATMENT- The quantity under a special import quota shall be considered to be an in-quota quantity for purposes of--CommentsClose CommentsPermalink





(A) section 213(d) of the Caribbean Basin Economic Recovery Act (19 U.S.C. 2703(d));CommentsClose CommentsPermalink





(B) section 204 of the Andean Trade Preference Act (19 U.S.C. 3203);CommentsClose CommentsPermalink





(C) section 503(d) of the Trade Act of 1974 (19 U.S.C. 2463(d)); andCommentsClose CommentsPermalink





(D) General Note 3(a)(iv) to the Harmonized Tariff Schedule.CommentsClose CommentsPermalink





(7) LIMITATION- The quantity of cotton entered into the United States during any marketing year under the special import quota established under this subsection may not exceed the equivalent of 10 week's consumption of upland cotton by domestic mills at the seasonally adjusted average rate of the 3 months immediately preceding the first special import quota established in any marketing year.CommentsClose CommentsPermalink





(b) Limited Global Import Quota for Upland Cotton-CommentsClose CommentsPermalink





(1) DEFINITIONS- In this subsection:CommentsClose CommentsPermalink





(A) SUPPLY- The term `supply' means, using the latest official data of the Bureau of the Census, the Department of Agriculture, and the Department of the Treasury--CommentsClose CommentsPermalink





(i) the carry-over of upland cotton at the beginning of the marketing year (adjusted to 480-pound bales) in which the quota is established;CommentsClose CommentsPermalink





(ii) production of the current crop; andCommentsClose CommentsPermalink





(iii) imports to the latest date available during the marketing year.CommentsClose CommentsPermalink





(B) DEMAND- The term `demand' means--CommentsClose CommentsPermalink





(i) the average seasonally adjusted annual rate of domestic mill consumption of cotton during the most recent 3 months for which data are available; andCommentsClose CommentsPermalink





(ii) the larger of--CommentsClose CommentsPermalink





(I) average exports of upland cotton during the preceding 6 marketing years; orCommentsClose CommentsPermalink





(II) cumulative exports of upland cotton plus outstanding export sales for the marketing year in which the quota is established.CommentsClose CommentsPermalink





(C) LIMITED GLOBAL IMPORT QUOTA- The term `limited global import quota' means a quantity of imports that is not subject to the over-quota tariff rate of a tariff-rate quota.CommentsClose CommentsPermalink





(2) PROGRAM- The President shall carry out an import quota program that provides that whenever the Secretary determines and announces that the average price of the base quality of upland cotton, as determined by the Secretary, in the designated spot markets for a month exceeded 130 percent of the average price of the quality of cotton in the markets for the preceding 36 months, notwithstanding any other provision of law, there shall immediately be in effect a limited global import quota subject to the following conditions:CommentsClose CommentsPermalink





(A) QUANTITY- The quantity of the quota shall be equal to 21 days of domestic mill consumption of upland cotton at the seasonally adjusted average rate of the most recent 3 months for which data are available or as estimated by the Secretary.CommentsClose CommentsPermalink





(B) QUANTITY IF PRIOR QUOTA- If a quota has been established under this subsection during the preceding 12 months, the quantity of the quota next established under this subsection shall be the smaller of 21 days of domestic mill consumption calculated under subparagraph (A) or the quantity required to increase the supply to 130 percent of the demand.CommentsClose CommentsPermalink





(C) PREFERENTIAL TARIFF TREATMENT- The quantity under a limited global import quota shall be considered to be an in-quota quantity for purposes of--CommentsClose CommentsPermalink





(i) section 213(d) of the Caribbean Basin Economic Recovery Act (19 U.S.C. 2703(d));CommentsClose CommentsPermalink





(ii) section 204 of the Andean Trade Preference Act (19 U.S.C. 3203);CommentsClose CommentsPermalink





(iii) section 503(d) of the Trade Act of 1974 (19 U.S.C. 2463(d)); andCommentsClose CommentsPermalink





(iv) General Note 3(a)(iv) to the Harmonized Tariff Schedule.CommentsClose CommentsPermalink





(D) QUOTA ENTRY PERIOD- When a quota is established under this subsection, cotton may be entered under the quota during the 90-day period beginning on the date the quota is established by the Secretary.CommentsClose CommentsPermalink





(3) NO OVERLAP- Notwithstanding paragraph (2), a quota period may not be established that overlaps an existing quota period or a special quota period established under subsection (a).CommentsClose CommentsPermalink





(c) Economic Adjustment Assistance to Users of Upland Cotton-CommentsClose CommentsPermalink





(1) IN GENERAL- Subject to paragraph (2), the Secretary shall, on a monthly basis, provide economic adjustment assistance to domestic users of upland cotton in the form of payments for all documented use of that upland cotton during the previous monthly period regardless of the origin of the upland cotton.CommentsClose CommentsPermalink





(2) VALUE OF ASSISTANCE-CommentsClose CommentsPermalink





(A) BEGINNING PERIOD- During the period beginning on August 1, 2008, and ending on June 30, 2013, the value of the assistance provided under paragraph (1) shall be 4 cents per pound.CommentsClose CommentsPermalink





(B) SUBSEQUENT PERIOD- Effective beginning on July 1, 2013, the value of the assistance provided under paragraph (1) shall be 0 cents per pound.CommentsClose CommentsPermalink





(3) ALLOWABLE PURPOSES- Economic adjustment assistance under this subsection shall be made available only to domestic users of upland cotton that certify that the assistance shall be used only to acquire, construct, install, modernize, develop, convert, or expand land, plant, buildings, equipment, facilities, or machinery.CommentsClose CommentsPermalink





(4) REVIEW OR AUDIT- The Secretary may conduct such review or audit of the records of a domestic user under this subsection as the Secretary determines necessary to carry out this subsection.CommentsClose CommentsPermalink





(5) IMPROPER USE OF ASSISTANCE- If the Secretary determines, after a review or audit of the records of the domestic user, that economic adjustment assistance under this subsection was not used for the purposes specified in paragraph (3), the domestic user shall be--CommentsClose CommentsPermalink





(A) liable to repay the assistance to the Secretary, plus interest, as determined by the Secretary; andCommentsClose CommentsPermalink





(B) ineligible to receive assistance under this subsection for a period of 1 year following the determination of the Secretary.CommentsClose CommentsPermalink

SEC. 1208. SPECIAL COMPETITIVE PROVISIONS FOR EXTRA LONG STAPLE COTTON.

(a) Competitiveness Program- Notwithstanding any other provision of law, during the period beginning on the date of the enactment of this Act through July 31, 2013, the Secretary shall carry out a program--CommentsClose CommentsPermalink





(1) to maintain and expand the domestic use of extra long staple cotton produced in the United States;CommentsClose CommentsPermalink





(2) to increase exports of extra long staple cotton produced in the United States; andCommentsClose CommentsPermalink





(3) to ensure that extra long staple cotton produced in the United States remains competitive in world markets.CommentsClose CommentsPermalink





(b) Payments Under Program; Trigger- Under the program, the Secretary shall make payments available under this section whenever--CommentsClose CommentsPermalink





(1) for a consecutive 4-week period, the world market price for the lowest priced competing growth of extra long staple cotton (adjusted to United States quality and location and for other factors affecting the competitiveness of such cotton), as determined by the Secretary, is below the prevailing United States price for a competing growth of extra long staple cotton; andCommentsClose CommentsPermalink





(2) the lowest priced competing growth of extra long staple cotton (adjusted to United States quality and location and for other factors affecting the competitiveness of such cotton), as determined by the Secretary, is less than 134 percent of the loan rate for extra long staple cotton.CommentsClose CommentsPermalink





(c) Eligible Recipients- The Secretary shall make payments available under this section to domestic users of extra long staple cotton produced in the United States and exporters of extra long staple cotton produced in the United States that enter into an agreement with the Commodity Credit Corporation to participate in the program under this section.CommentsClose CommentsPermalink





(d) Payment Amount- Payments under this section shall be based on the amount of the difference in the prices referred to in subsection (b)(1) during the fourth week of the consecutive 4-week period multiplied by the amount of documented purchases by domestic users and sales for export by exporters made in the week following such a consecutive 4-week period.CommentsClose CommentsPermalink

SEC. 1209. AVAILABILITY OF RECOURSE LOANS FOR HIGH MOISTURE FEED GRAINS AND SEED COTTON.

(a) High Moisture Feed Grains-CommentsClose CommentsPermalink





(1) DEFINITION OF HIGH MOISTURE STATE- In this subsection, the term `high moisture state' means corn or grain sorghum having a moisture content in excess of Commodity Credit Corporation standards for marketing assistance loans made by the Secretary under section 1201.CommentsClose CommentsPermalink





(2) RECOURSE LOANS AVAILABLE- For each of the 2008 through 2012 crops of corn and grain sorghum, the Secretary shall make available recourse loans, as determined by the Secretary, to producers on a farm that--CommentsClose CommentsPermalink





(A) normally harvest all or a portion of their crop of corn or grain sorghum in a high moisture state;CommentsClose CommentsPermalink





(B) present--CommentsClose CommentsPermalink





(i) certified scale tickets from an inspected, certified commercial scale, including a licensed warehouse, feedlot, feed mill, distillery, or other similar entity approved by the Secretary, pursuant to regulations issued by the Secretary; orCommentsClose CommentsPermalink





(ii) field or other physical measurements of the standing or stored crop in regions of the United States, as determined by the Secretary, that do not have certified commercial scales from which certified scale tickets may be obtained within reasonable proximity of harvest operation;CommentsClose CommentsPermalink





(C) certify that they were the owners of the feed grain at the time of delivery to, and that the quantity to be placed under loan under this subsection was in fact harvested on the farm and delivered to, a feedlot, feed mill, or commercial or on-farm high-moisture storage facility, or to a facility maintained by the users of corn and grain sorghum in a high moisture state; andCommentsClose CommentsPermalink





(D) comply with deadlines established by the Secretary for harvesting the corn or grain sorghum and submit applications for loans under this subsection within deadlines established by the Secretary.CommentsClose CommentsPermalink





(3) ELIGIBILITY OF ACQUIRED FEED GRAINS- A loan under this subsection shall be made on a quantity of corn or grain sorghum of the same crop acquired by the producer equivalent to a quantity determined by multiplying--CommentsClose CommentsPermalink





(A) the acreage of the corn or grain sorghum in a high moisture state harvested on the producer's farm; byCommentsClose CommentsPermalink





(B) the lower of the farm program payment yield used to make counter-cyclical payments under part I or the actual yield on a field, as determined by the Secretary, that is similar to the field from which the corn or grain sorghum was obtained.CommentsClose CommentsPermalink





(b) Recourse Loans Available for Seed Cotton- For each of the 2008 through 2012 crops of upland cotton and extra long staple cotton, the Secretary shall make available recourse seed cotton loans, as determined by the Secretary, on any production.CommentsClose CommentsPermalink





(c) Repayment Rates- Repayment of a recourse loan made under this section shall be at the loan rate established for the commodity by the Secretary, plus interest (determined in accordance with section 163 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7283)).CommentsClose CommentsPermalink

SEC. 1210. ADJUSTMENTS OF LOANS.

(a) Adjustment Authority- Subject to subsections (e) and (f), the Secretary may make appropriate adjustments in the loan rates for any loan commodity (other than cotton) for differences in grade, type, quality, location, and other factors.CommentsClose CommentsPermalink





(b) Manner of Adjustment- The adjustments under subsection (a) shall, to the maximum extent practicable, be made in such a manner that the average loan level for the commodity will, on the basis of the anticipated incidence of the factors, be equal to the level of support determined in accordance with this subtitle and subtitles B through E.CommentsClose CommentsPermalink





(c) Adjustment on County Basis-CommentsClose CommentsPermalink





(1) IN GENERAL- The Secretary may establish loan rates for a crop for producers in individual counties in a manner that results in the lowest loan rate being 95 percent of the national average loan rate, if those loan rates do not result in an increase in outlays.CommentsClose CommentsPermalink





(2) PROHIBITION- Adjustments under this subsection shall not result in an increase in the national average loan rate for any year.CommentsClose CommentsPermalink





(d) Adjustment in Loan Rate for Cotton-CommentsClose CommentsPermalink





(1) IN GENERAL- The Secretary may make appropriate adjustments in the loan rate for cotton for differences in quality factors.CommentsClose CommentsPermalink





(2) REVISIONS TO QUALITY ADJUSTMENTS FOR UPLAND COTTON-CommentsClose CommentsPermalink





(A) IN GENERAL- Not later than 180 days after the enactment of this Act and after consultation with the private sector in accordance with paragraph (3), the Secretary shall implement revisions in the administration of the marketing assistance loan program for upland cotton to more accurately and efficiently reflect market values for upland cotton.CommentsClose CommentsPermalink





(B) MANDATORY REVISIONS- Revisions under subparagraph (A) shall include--CommentsClose CommentsPermalink





(i) the elimination of warehouse location differentials;CommentsClose CommentsPermalink





(ii) the establishment of differentials for the various quality factors and staple lengths of cotton based on a 3-year, weighted moving average of the weighted designated spot market regions, as determined by regional production;CommentsClose CommentsPermalink





(iii) the elimination of any artificial split in the premium or discount between upland cotton with a 32 or 33 staple length due to micronaire; andCommentsClose CommentsPermalink





(iv) a mechanism to ensure that no premium or discount is established that exceeds the premium or discount associated with a leaf grade that is 1 better than the applicable color grade.CommentsClose CommentsPermalink





(C) DISCRETIONARY REVISIONS- Revisions under subparagraph (A) may include--CommentsClose CommentsPermalink





(i) the use of non-spot market price data, in addition to spot market price data, that would enhance the accuracy of the price information used in determining quality adjustments under this subsection;CommentsClose CommentsPermalink





(ii) adjustments in the premiums or discounts associated with upland cotton with a staple length of 33 or above due to micronaire with the goal of eliminating any unnecessary artificial splits in the calculations of the premiums or discounts; andCommentsClose CommentsPermalink





(iii) such other adjustments as the Secretary determines appropriate, after consultations conducted in accordance with paragraph (3).CommentsClose CommentsPermalink





(3) CONSULTATION WITH PRIVATE SECTOR-CommentsClose CommentsPermalink





(A) PRIOR TO REVISION- Prior to implementing any revisions to the administration of the marketing assistance loan program for upland cotton, the Secretary shall consult with a private sector committee that--CommentsClose CommentsPermalink





(i) is in existence as of the date of enactment of this Act;CommentsClose CommentsPermalink





(ii) has a membership that includes representatives of the production, ginning, warehousing, cooperative, and merchandising segments of the United States cotton industry; andCommentsClose CommentsPermalink





(iii) has developed recommendations concerning the revisions.CommentsClose CommentsPermalink





(B) REVIEW OF ADJUSTMENTS- The Secretary shall consult with the committee described in subparagraph (A) when conducting a review of adjustments in the operation of the loan program for upland cotton in accordance with paragraph (4).CommentsClose CommentsPermalink





(C) INAPPLICABILITY OF FEDERAL ADVISORY COMMITTEE ACT- The Federal Advisory Committee Act (5 U.S.C. App.) shall not apply to consultations under this subsection.CommentsClose CommentsPermalink





(4) REVIEW OF ADJUSTMENTS- The Secretary may review the operation of the upland cotton quality adjustments implemented pursuant to this subsection and may make further revisions to the administration of the loan program for upland cotton, by--CommentsClose CommentsPermalink





(A) revoking or revising any actions taken under paragraph (2)(B); orCommentsClose CommentsPermalink





(B) revoking or revising any actions taken or authorized to be taken under paragraph (2)(C).CommentsClose CommentsPermalink





(5) ADJUSTMENTS IN EFFECT PRIOR TO REVISION- The quality differences (premiums and discounts for quality factors) applicable to the loan program for upland cotton (prior to any revisions in accordance with this subsection) shall be established by the Secretary by giving equal weight to--CommentsClose CommentsPermalink





(A) loan differences for the preceding crop; andCommentsClose CommentsPermalink





(B) market differences for the crop in the designated United States spot markets.CommentsClose CommentsPermalink





(e) Corn and Grain Sorghum- In the case of corn and grain sorghum, the Secretary--CommentsClose CommentsPermalink





(1) shall administer the applicable loan, marketing loan, and related programs using a single loan rate for corn and grain sorghum that is identical in each individual county;CommentsClose CommentsPermalink





(2) shall provide that any adjustment in the corn and grain sorghum loan rate for location shall be determined and applied on the basis of the combined corn and grain sorghum data set in a manner that any transportation adjustment shall be the same for corn and grain sorghum in each individual county; andCommentsClose CommentsPermalink





(3) may provide for adjustments for grade, type, and quality, as appropriate, for the corn or grain sorghum involved in each specific transaction.CommentsClose CommentsPermalink





(f) Rice- The Secretary shall not make adjustments in the loan rates for long grain rice and medium grain rice, except for differences in grade and quality (including milling yields).CommentsClose CommentsPermalink

PART III--PEANUTS

SEC. 1301. DEFINITIONS.

In this part:CommentsClose CommentsPermalink





(1) BASE ACRES FOR PEANUTS- The term `base acres for peanuts' means the number of acres assigned to a farm pursuant to section 1302 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7952), as in effect on the day before the date of enactment of this Act, subject to any adjustment under section 1302 of this Act.CommentsClose CommentsPermalink





(2) COUNTER-CYCLICAL PAYMENT- The term `counter-cyclical payment' means a payment made to producers on a farm under section 1304.CommentsClose CommentsPermalink





(3) DIRECT PAYMENT- The term `direct payment' means a direct payment made to producers on a farm under section 1303.CommentsClose CommentsPermalink





(4) EFFECTIVE PRICE- The term `effective price' means the price calculated by the Secretary under section 1304 for peanuts to determine whether counter-cyclical payments are required to be made under that section for a crop year.CommentsClose CommentsPermalink





(5) PAYMENT ACRES- The term `payment acres' means 85 percent of the base acres for peanuts.CommentsClose CommentsPermalink





(6) PAYMENT YIELD- The term `payment yield' means the yield established for direct payments and counter-cyclical payments under section 1302 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7952), as in effect on the day before the date of enactment of this Act, for a farm for peanuts.CommentsClose CommentsPermalink





(7) PRODUCER-CommentsClose CommentsPermalink





(A) IN GENERAL- The term `producer' means an owner, operator, landlord, tenant, or sharecropper that shares in the risk of producing a crop on a farm and is entitled to share in the crop available for marketing from the farm, or would have shared had the crop been produced.CommentsClose CommentsPermalink





(B) HYBRID SEED- In determining whether a grower of hybrid seed is a producer, the Secretary shall--CommentsClose CommentsPermalink





(i) not take into consideration the existence of a hybrid seed contract; andCommentsClose CommentsPermalink





(ii) ensure that program requirements do not adversely affect the ability of the grower to receive a payment under this part.CommentsClose CommentsPermalink





(8) STATE- The term `State' means--CommentsClose CommentsPermalink





(A) a State;CommentsClose CommentsPermalink





(B) the District of Columbia;CommentsClose CommentsPermalink





(C) the Commonwealth of Puerto Rico; andCommentsClose CommentsPermalink





(D) any other territory or possession of the United States.CommentsClose CommentsPermalink





(9) TARGET PRICE- The term `target price' means the price per ton of peanuts used to determine the payment rate for counter-cyclical payments.CommentsClose CommentsPermalink





(10) UNITED STATES- The term `United States', when used in a geographical sense, means all of the States.CommentsClose CommentsPermalink

SEC. 1302. BASE ACRES FOR PEANUTS FOR A FARM.

(a) Adjustment of Base Acreage for Peanuts-CommentsClose CommentsPermalink





(1) TREATMENT OF CONSERVATION RESERVE CONTRACT ACREAGE- The Secretary shall provide for an adjustment, as appropriate, in the base acres for peanuts for a farm whenever either of the following circumstances occur:CommentsClose CommentsPermalink





(A) A conservation reserve contract entered into under section 1231 of the Food Security Act of 1985 (16 U.S.C. 3831) with respect to the farm expires or is voluntarily terminated.CommentsClose CommentsPermalink





(B) Cropland is released from coverage under a conservation reserve contract by the Secretary.CommentsClose CommentsPermalink





(C) The producer has eligible pulse crop or camelina acreage.CommentsClose CommentsPermalink





(D) The producer has eligible oilseed acreage as the result of the Secretary designating additional oilseeds.CommentsClose CommentsPermalink





(2) SPECIAL CONSERVATION RESERVE ACREAGE PAYMENT RULES- For the crop year in which a base acres for peanuts adjustment under paragraph (1) is first made, the owner of the farm shall elect to receive either direct payments and counter-cyclical payments with respect to the acreage added to the farm under this subsection or a prorated payment under the conservation reserve contract, but not both.CommentsClose CommentsPermalink





(b) Prevention of Excess Base Acres for Peanuts-CommentsClose CommentsPermalink





(1) REQUIRED REDUCTION- If the sum of the base acres for peanuts for a farm, together with the acreage described in paragraph (2), exceeds the actual cropland acreage of the farm, the Secretary shall reduce the base acres for peanuts for the farm or the base acres for 1 or more covered commodities for the farm so that the sum of the base acres for peanuts and acreage described in paragraph (2) does not exceed the actual cropland acreage of the farm.CommentsClose CommentsPermalink





(2) OTHER ACREAGE- For purposes of paragraph (1), the Secretary shall include the following:CommentsClose CommentsPermalink





(A) Any base acres for the farm for a covered commodity.CommentsClose CommentsPermalink





(B) Any acreage on the farm enrolled in the conservation reserve program or wetlands reserve program under chapter 1 of subtitle D of title XII of the Food Security Act of 1985 (16 U.S.C. 3830 et seq.).CommentsClose CommentsPermalink





(C) Any other acreage on the farm enrolled in a Federal conservation program for which payments are made in exchange for not producing an agricultural commodity on the acreage.CommentsClose CommentsPermalink





(D) Any eligible pulse crop or camelina acreage, which shall be determined in the same manner as eligible oilseed acreage under section 1101(a)(2) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7911(a)(2)).CommentsClose CommentsPermalink





(E) If the Secretary designates additional oilseeds, any eligible oilseed acreage, which shall be determined in the same manner as eligible oilseed acreage under section 1101(a)(2) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7911(a)(2)).CommentsClose CommentsPermalink





(3) SELECTION OF ACRES- The Secretary shall give the owner of the farm the opportunity to select the base acres for peanuts or the base acres for covered commodities against which the reduction required by paragraph (1) will be made.CommentsClose CommentsPermalink





(4) EXCEPTION FOR DOUBLE-CROPPED ACREAGE- In applying paragraph (1), the Secretary shall make an exception in the case of double cropping, as determined by the Secretary.CommentsClose CommentsPermalink





(5) COORDINATED APPLICATION OF REQUIREMENTS- The Secretary shall take into account section 1101(b) when applying the requirements of this subsection.CommentsClose CommentsPermalink





(c) Permanent Reduction in Base Acres for Peanuts-CommentsClose CommentsPermalink





(1) IN GENERAL- The owner of a farm may reduce, at any time, the base acres for peanuts assigned to the farm.CommentsClose CommentsPermalink





(2) ADMINISTRATION- The reduction shall be permanent and made in the manner prescribed by the Secretary.CommentsClose CommentsPermalink

SEC. 1303. AVAILABILITY OF DIRECT PAYMENTS FOR PEANUTS.

(a) Payment Required- Except as provided in section 1401, for each of the 2008 through 2012 crop years for peanuts, the Secretary shall make direct payments to the producers on a farm to which a payment yield and base acres for peanuts are established.CommentsClose CommentsPermalink





(b) Payment Rate- The payment rate used to make direct payments with respect to peanuts for a crop year shall be equal to $36 per ton.CommentsClose CommentsPermalink





(c) Payment Amount- The amount of the direct payment to be paid to the producers on a farm for the 2008 through 2012 crops of peanuts shall be equal to the product of the following:CommentsClose CommentsPermalink





(1) The payment rate specified in subsection (b).CommentsClose CommentsPermalink





(2) The payment acres on the farm.CommentsClose CommentsPermalink





(3) The payment yield for the farm.CommentsClose CommentsPermalink





(d) Time for Payment-CommentsClose CommentsPermalink





(1) IN GENERAL- In the case of each of the 2008 through 2012 crop years, the Secretary shall make direct payments under this section not earlier than October 1 of the calendar year in which the crop is harvested.CommentsClose CommentsPermalink





(2) ADVANCE PAYMENTS-CommentsClose CommentsPermalink





(A) OPTION- At the option of the producers on a farm, the Secretary shall pay in advance up to 22 percent of the direct payment for peanuts for any of the 2008 through 2011 crop years to the producers on a farm.CommentsClose CommentsPermalink





(B) MONTH-CommentsClose CommentsPermalink





(i) SELECTION- Subject to clauses (ii) and (iii), the producers on a farm shall select the month during which the advance payment for a crop year will be made.CommentsClose CommentsPermalink





(ii) OPTIONS- The month selected may be any month during the period--CommentsClose CommentsPermalink





(I) beginning on December 1 of the calendar year before the calendar year in which the crop of peanuts is harvested; andCommentsClose CommentsPermalink





(II) ending during the month within which the direct payment would otherwise be made.CommentsClose CommentsPermalink





(iii) CHANGE- The producers on a farm may change the selected month for a subsequent advance payment by providing advance notice to the Secretary.CommentsClose CommentsPermalink





(3) REPAYMENT OF ADVANCE PAYMENTS- If a producer on a farm that receives an advance direct payment for a crop year ceases to be a producer on that farm, or the extent to which the producer shares in the risk of producing a crop changes, before the date the remainder of the direct payment is made, the producer shall be responsible for repaying the Secretary the applicable amount of the advance payment, as determined by the Secretary.CommentsClose CommentsPermalink

SEC. 1304. AVAILABILITY OF COUNTER-CYCLICAL PAYMENTS FOR PEANUTS.

(a) Payment Required- Except as provided in section 1401, for each of the 2008 through 2012 crop years for peanuts, the Secretary shall make counter-cyclical payments to producers on farms for which payment yields and base acres for peanuts are established if the Secretary determines that the effective price for peanuts is less than the target price for peanuts.CommentsClose CommentsPermalink





(b) Effective Price- For purposes of subsection (a), the effective price for peanuts is equal to the sum of the following:CommentsClose CommentsPermalink





(1) The higher of the following:CommentsClose CommentsPermalink





(A) The national average market price for peanuts received by producers during the 12-month marketing year for peanuts, as determined by the Secretary.CommentsClose CommentsPermalink





(B) The national average loan rate for a marketing assistance loan for peanuts in effect for the applicable period under this part.CommentsClose CommentsPermalink





(2) The payment rate in effect for peanuts under section 1303 for the purpose of making direct payments.CommentsClose CommentsPermalink





(c) Target Price- For purposes of subsection (a), the target price for peanuts shall be equal to $495 per ton.CommentsClose CommentsPermalink





(d) Payment Rate- The payment rate used to make counter-cyclical payments for a crop year shall be equal to the difference between--CommentsClose CommentsPermalink





(1) the target price; andCommentsClose CommentsPermalink





(2) the effective price determined under subsection (b).CommentsClose CommentsPermalink





(e) Payment Amount- If counter-cyclical payments are required to be paid for any of the 2008 through 2012 crops of peanuts, the amount of the counter-cyclical payment to be paid to the producers on a farm for that crop year shall be equal to the product of the following:CommentsClose CommentsPermalink





(1) The payment rate specified in subsection (d).CommentsClose CommentsPermalink





(2) The payment acres on the farm.CommentsClose CommentsPermalink





(3) The payment yield for the farm.CommentsClose CommentsPermalink





(f) Time for Payments-CommentsClose CommentsPermalink





(1) GENERAL RULE- If the Secretary determines under subsection (a) that counter-cyclical payments are required to be made under this section for a crop year, the Secretary shall make the counter-cyclical payments for the crop year beginning on October 1 or as soon as practicable after the end of the marketing year.CommentsClose CommentsPermalink





(2) AVAILABILITY OF PARTIAL PAYMENTS-CommentsClose CommentsPermalink





(A) IN GENERAL- If, before the end of the 12-month marketing year, the Secretary estimates that counter-cyclical payments will be required under this section for a crop year, the Secretary shall give producers on a farm the option to receive partial payments of the counter-cyclical payment projected to be made for the crop.CommentsClose CommentsPermalink





(B) ELECTION-CommentsClose CommentsPermalink





(i) IN GENERAL- The Secretary shall allow participants to make an election to receive partial payments under subparagraph (A) at any time but not later than 30 days prior to the end of the marketing year for the crop.CommentsClose CommentsPermalink





(ii) DATE OF ISSUANCE- The Secretary shall issue the partial payment after the date of an announcement by the Secretary but not later than 30 days prior to the end of the marketing year.CommentsClose CommentsPermalink





(3) TIME FOR PARTIAL PAYMENTS- When the Secretary makes partial payments available for any of the 2008 through 2010 crop years--CommentsClose CommentsPermalink





(A) the first partial payment shall be made after completion of the first 180 days of the marketing year for that crop; andCommentsClose CommentsPermalink





(B) the final partial payment shall be made on October 1 of the fiscal year starting in the same calendar year as the end of the marketing year for that crop.CommentsClose CommentsPermalink





(4) AMOUNT OF PARTIAL PAYMENTS-CommentsClose CommentsPermalink





(A) FIRST PARTIAL PAYMENT- For each of the 2008 through 2010 crop years, the first partial payment under paragraph (3) to the producers on a farm may not exceed 40 percent of the projected counter-cyclical payment for the crop year, as determined by the Secretary.CommentsClose CommentsPermalink





(B) FINAL PAYMENT- The final payment for a crop year shall be equal to the difference between--CommentsClose CommentsPermalink





(i) the actual counter-cyclical payment to be made to the producers for that crop year; andCommentsClose CommentsPermalink





(ii) the amount of the partial payment made to the producers under subparagraph (A).CommentsClose CommentsPermalink





(5) REPAYMENT- The producers on a farm that receive a partial payment under this subsection for a crop year shall repay to the Secretary the amount, if any, by which the total of the partial payments exceed the actual counter-cyclical payment to be made for that crop year.CommentsClose CommentsPermalink

SEC. 1305. PRODUCER AGREEMENT REQUIRED AS CONDITION ON PROVISION OF DIRECT PAYMENTS AND COUNTER-CYCLICAL PAYMENTS.

(a) Compliance With Certain Requirements-CommentsClose CommentsPermalink





(1) REQUIREMENTS- Before the producers on a farm may receive direct payments or counter-cyclical payments under this part with respect to the farm, the producers shall agree, during the crop year for which the payments are made and in exchange for the payments--CommentsClose CommentsPermalink





(A) to comply with applicable conservation requirements under subtitle B of title XII of the Food Security Act of 1985 (16 U.S.C. 3811 et seq.);CommentsClose CommentsPermalink





(B) to comply with applicable wetland protection requirements under subtitle C of title XII of that Act (16 U.S.C. 3821 et seq.);CommentsClose CommentsPermalink





(C) to comply with the planting flexibility requirements of section 1306;CommentsClose CommentsPermalink





(D) to use the land on the farm, in a quantity equal to the attributable base acres for peanuts and any base acres for the farm under part I, for an agricultural or conserving use, and not for a nonagricultural commercial, industrial, or residential use (including land subdivided and developed into residential units or other nonfarming uses, or that is otherwise no longer intended to be used in conjunction with a farming operation), as determined by the Secretary; andCommentsClose CommentsPermalink





(E) to effectively control noxious weeds and otherwise maintain the land in accordance with sound agricultural practices, as determined by the Secretary, if the agricultural or conserving use involves the noncultivation of any portion of the land referred to in subparagraph (D).CommentsClose CommentsPermalink





(2) COMPLIANCE- The Secretary may issue such rules as the Secretary considers necessary to ensure producer compliance with the requirements of paragraph (1).CommentsClose CommentsPermalink





(3) MODIFICATION- At the request of the transferee or owner, the Secretary may modify the requirements of this subsection if the modifications are consistent with the objectives of this subsection, as determined by the Secretary.CommentsClose CommentsPermalink





(b) Transfer or Change of Interest in Farm-CommentsClose CommentsPermalink





(1) TERMINATION-CommentsClose CommentsPermalink





(A) IN GENERAL- Except as provided in paragraph (2), a transfer of (or change in) the interest of the producers on a farm in the base acres for peanuts for which direct payments or counter-cyclical payments are made shall result in the termination of the payments with respect to those acres, unless the transferee or owner of the acreage agrees to assume all obligations under subsection (a).CommentsClose CommentsPermalink





(B) EFFECTIVE DATE- The termination shall take effect on the date determined by the Secretary.CommentsClose CommentsPermalink





(2) EXCEPTION- If a producer entitled to a direct payment or counter-cyclical payment dies, becomes incompetent, or is otherwise unable to receive the payment, the Secretary shall make the payment, in accordance with rules issued by the Secretary.CommentsClose CommentsPermalink





(c) Acreage Reports-CommentsClose CommentsPermalink





(1) IN GENERAL- As a condition on the receipt of any benefits under this part, the Secretary shall require producers on a farm to submit to the Secretary annual acreage reports with respect to all cropland on the farm.CommentsClose CommentsPermalink





(2) PENALTIES- No penalty with respect to benefits under this part shall be assessed against the producers on a farm for an inaccurate acreage report unless the producers on the farm knowingly and willfully falsified the acreage report.CommentsClose CommentsPermalink





(d) Tenants and Sharecroppers- In carrying out this part, the Secretary shall provide adequate safeguards to protect the interests of tenants and sharecroppers.CommentsClose CommentsPermalink





(e) Sharing of Payments- The Secretary shall provide for the sharing of direct payments and counter-cyclical payments among the producers on a farm on a fair and equitable basis.CommentsClose CommentsPermalink

SEC. 1306. PLANTING FLEXIBILITY.

(a) Permitted Crops- Subject to subsection (b), any commodity or crop may be planted on the base acres for peanuts on a farm.CommentsClose CommentsPermalink





(b) Limitations Regarding Certain Commodities-CommentsClose CommentsPermalink





(1) GENERAL LIMITATION- The planting of an agricultural commodity specified in paragraph (3) shall be prohibited on base acres for peanuts unless the commodity, if planted, is destroyed before harvest.CommentsClose CommentsPermalink





(2) TREATMENT OF TREES AND OTHER PERENNIALS- The planting of an agricultural commodity specified in paragraph (3) that is produced on a tree or other perennial plant shall be prohibited on base acres for peanuts.CommentsClose CommentsPermalink





(3) COVERED AGRICULTURAL COMMODITIES- Paragraphs (1) and (2) apply to the following agricultural commodities:CommentsClose CommentsPermalink





(A) Fruits.CommentsClose CommentsPermalink





(B) Vegetables (other than mung beans and pulse crops).CommentsClose CommentsPermalink





(C) Wild rice.CommentsClose CommentsPermalink





(c) Exceptions- Paragraphs (1) and (2) of subsection (b) shall not limit the planting of an agricultural commodity specified in paragraph (3) of that subsection--CommentsClose CommentsPermalink





(1) in any region in which there is a history of double-cropping of peanuts with agricultural commodities specified in subsection (b)(3), as determined by the Secretary, in which case the double-cropping shall be permitted;CommentsClose CommentsPermalink





(2) on a farm that the Secretary determines has a history of planting agricultural commodities specified in subsection (b)(3) on the base acres for peanuts, except that direct payments and counter-cyclical payments shall be reduced by an acre for each acre planted to such an agricultural commodity; orCommentsClose CommentsPermalink





(3) by the producers on a farm that the Secretary determines has an established planting history of a specific agricultural commodity specified in subsection (b)(3), except that--CommentsClose CommentsPermalink





(A) the quantity planted may not exceed the average annual planting history of such agricultural commodity by the producers on the farm in the 1991 through 1995 or 1998 through 2001 crop years (excluding any crop year in which no plantings were made), as determined by the Secretary; andCommentsClose CommentsPermalink





(B) direct payments and counter-cyclical payments shall be reduced by an acre for each acre planted to such agricultural commodity.CommentsClose CommentsPermalink

SEC. 1307. MARKETING ASSISTANCE LOANS AND LOAN DEFICIENCY PAYMENTS FOR PEANUTS.

(a) Nonrecourse Loans Available-CommentsClose CommentsPermalink





(1) AVAILABILITY- Except as provided in section 1401, for each of the 2008 through 2012 crops of peanuts, the Secretary shall make available to producers on a farm nonrecourse marketing assistance loans for peanuts produced on the farm.CommentsClose CommentsPermalink





(2) TERMS AND CONDITIONS- The loans shall be made under terms and conditions that are prescribed by the Secretary and at the loan rate established under subsection (b).CommentsClose CommentsPermalink





(3) ELIGIBLE PRODUCTION- The producers on a farm shall be eligible for a marketing assistance loan under this subsection for any quantity of peanuts produced on the farm.CommentsClose CommentsPermalink





(4) TREATMENT OF CERTAIN COMMINGLED COMMODITIES- In carrying out this subsection, the Secretary shall make loans to producers on a farm that would be eligible to obtain a marketing assistance loan, but for the fact the peanuts owned by the producers on the farm are commingled with other peanuts in facilities unlicensed for the storage of agricultural commodities by the Secretary or a State licensing authority, if the producers obtaining the loan agree to immediately redeem the loan collateral in accordance with section 166 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7286).CommentsClose CommentsPermalink





(5) OPTIONS FOR OBTAINING LOAN- A marketing assistance loan under this subsection, and loan deficiency payments under subsection (e), may be obtained at the option of the producers on a farm through--CommentsClose CommentsPermalink





(A) a designated marketing association or marketing cooperative of producers that is approved by the Secretary; orCommentsClose CommentsPermalink





(B) the Farm Service Agency.CommentsClose CommentsPermalink





(6) STORAGE OF LOAN PEANUTS- As a condition on the Secretary's approval of an individual or entity to provide storage for peanuts for which a marketing assistance loan is made under this section, the individual or entity shall agree--CommentsClose CommentsPermalink





(A) to provide such storage on a nondiscriminatory basis; andCommentsClose CommentsPermalink





(B) to comply with such additional requirements as the Secretary considers appropriate to accomplish the purposes of this section and promote fairness in the administration of the benefits of this section.CommentsClose CommentsPermalink





(7) STORAGE, HANDLING, AND ASSOCIATED COSTS-CommentsClose CommentsPermalink





(A) IN GENERAL- Beginning with the 2007 crop of peanuts, to ensure proper storage of peanuts for which a loan is made under this section or section 1307 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7957), the Secretary shall use the funds of the Commodity Credit Corporation to pay handling and other associated costs (other than storage costs) incurred at the time at which the peanuts are placed under loan, as determined by the Secretary.CommentsClose CommentsPermalink





(B) REDEMPTION AND FORFEITURE- The Secretary shall--CommentsClose CommentsPermalink





(i) require the repayment of handling and other associated costs paid under subparagraph (A) for all peanuts pledged as collateral for a loan that is redeemed under this section or section 1307 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7957); andCommentsClose CommentsPermalink





(ii) pay storage, handling, and other associated costs for all peanuts pledged as collateral that are forfeited under this section or section 1307 of that Act.CommentsClose CommentsPermalink





(8) MARKETING- A marketing association or cooperative may market peanuts for which a loan is made under this section in any manner that conforms to consumer needs, including the separation of peanuts by type and quality.CommentsClose CommentsPermalink





(b) Loan Rate- The loan rate for a marketing assistance loan for peanuts under subsection (a) shall be equal to $355 per ton.CommentsClose CommentsPermalink





(c) Term of Loan-CommentsClose CommentsPermalink





(1) IN GENERAL- A marketing assistance loan for peanuts under subsection (a) shall have a term of 9 months beginning on the first day of the first month after the month in which the loan is made.CommentsClose CommentsPermalink





(2) EXTENSIONS PROHIBITED- The Secretary may not extend the term of a marketing assistance loan for peanuts under subsection (a).CommentsClose CommentsPermalink





(d) Repayment Rate- The Secretary shall permit producers on a farm to repay a marketing assistance loan for peanuts under subsection (a) at a rate that is the lesser of--CommentsClose CommentsPermalink





(1) the loan rate established for peanuts under subsection (b), plus interest (determined in accordance with section 163 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7283)); orCommentsClose CommentsPermalink





(2) a rate that the Secretary determines will--CommentsClose CommentsPermalink





(A) minimize potential loan forfeitures;CommentsClose CommentsPermalink





(B) minimize the accumulation of stocks of peanuts by the Federal Government;CommentsClose CommentsPermalink





(C) minimize the cost incurred by the Federal Government in storing peanuts; andCommentsClose CommentsPermalink





(D) allow peanuts produced in the United States to be marketed freely and competitively, both domestically and internationally.CommentsClose CommentsPermalink





(e) Loan Deficiency Payments-CommentsClose CommentsPermalink





(1) AVAILABILITY- The Secretary may make loan deficiency payments available to producers on a farm that, although eligible to obtain a marketing assistance loan for peanuts under subsection (a), agree to forgo obtaining the loan for the peanuts in return for loan deficiency payments under this subsection.CommentsClose CommentsPermalink





(2) COMPUTATION- A loan deficiency payment under this subsection shall be computed by multiplying--CommentsClose CommentsPermalink





(A) the payment rate determined under paragraph (3) for peanuts; byCommentsClose CommentsPermalink





(B) the quantity of the peanuts produced by the producers, excluding any quantity for which the producers obtain a marketing assistance loan under subsection (a).CommentsClose CommentsPermalink





(3) PAYMENT RATE- For purposes of this subsection, the payment rate shall be the amount by which--CommentsClose CommentsPermalink





(A) the loan rate established under subsection (b); exceedsCommentsClose CommentsPermalink





(B) the rate at which a loan may be repaid under subsection (d).CommentsClose CommentsPermalink





(4) EFFECTIVE DATE FOR PAYMENT RATE DETERMINATION-CommentsClose CommentsPermalink





(A) IN GENERAL- The Secretary shall determine the amount of the loan deficiency payment to be made under this subsection to the producers on a farm with respect to a quantity of peanuts using the payment rate in effect under paragraph (3) as soon as practicable after the date on which the producers on the farm lose beneficial interest.CommentsClose CommentsPermalink





(B) APPLICABILITY- This paragraph does not apply for the 2009 through 2012 crop years.CommentsClose CommentsPermalink





(f) Compliance With Conservation and Wetlands Requirements- As a condition of the receipt of a marketing assistance loan under subsection (a), the producer shall comply with applicable conservation requirements under subtitle B of title XII of the Food Security Act of 1985 (16 U.S.C. 3811 et seq.) and applicable wetland protection requirements under subtitle C of title XII of that Act (16 U.S.C. 3821 et seq.) during the term of the loan.CommentsClose CommentsPermalink





(g) Reimbursable Agreements and Payment of Administrative Expenses- The Secretary may implement any reimbursable agreements or provide for the payment of administrative expenses under this part only in a manner that is consistent with such activities in regard to other commodities.CommentsClose CommentsPermalink

SEC. 1308. ADJUSTMENTS OF LOANS.

(a) Adjustment Authority- The Secretary may make appropriate adjustments in the loan rates for peanuts for differences in grade, type, quality, location, and other factors.CommentsClose CommentsPermalink





(b) Manner of Adjustment- The adjustments under subsection (a) shall, to the maximum extent practicable, be made in such a manner that the average loan level for peanuts will, on the basis of the anticipated incidence of the factors, be equal to the level of support determined in accordance with this subtitle and subtitles B through E.CommentsClose CommentsPermalink





(c) Adjustment on County Basis-CommentsClose CommentsPermalink





(1) IN GENERAL- The Secretary may establish loan rates for a crop of peanuts for producers in individual counties in a manner that results in the lowest loan rate being 95 percent of the national average loan rate, if those loan rates do not result in an increase in outlays.CommentsClose CommentsPermalink





(2) PROHIBITION- Adjustments under this subsection shall not result in an increase in the national average loan rate for any year.CommentsClose CommentsPermalink

Subtitle B--Average Crop Revenue Program

SEC. 1401. AVAILABILITY OF AVERAGE CROP REVENUE PAYMENTS.

(a) Availability and Election of Alternative Approach-CommentsClose CommentsPermalink





(1) AVAILABILITY OF AVERAGE CROP REVENUE PAYMENTS- As an alternative to receiving payments or loans under subtitle A with respect to all covered commodities and peanuts on a farm (other than loans for graded and nongraded wool, mohair, and honey), the Secretary shall give the producers on the farm an opportunity to make a 1-time election to instead receive average crop revenue payments under this section for--CommentsClose CommentsPermalink





(A) the 2010, 2011, and 2012 crop years;CommentsClose CommentsPermalink





(B) the 2011 and 2012 crop years; orCommentsClose CommentsPermalink





(C) the 2012 crop year.CommentsClose CommentsPermalink





(2) ELECTION; TIME FOR ELECTION-CommentsClose CommentsPermalink





(A) IN GENERAL- The Secretary shall provide notice to producers regarding the opportunity to make the election described in paragraph (1).CommentsClose CommentsPermalink





(B) NOTICE REQUIREMENTS- The notice shall include--CommentsClose CommentsPermalink





(i) notice of the opportunity of the producers on a farm to make the election; andCommentsClose CommentsPermalink





(ii) information regarding the manner in which the election must be made and the time periods and manner in which notice of the election must be submitted to the Secretary.CommentsClose CommentsPermalink





(3) ELECTION DEADLINE- Within the time period and in the manner prescribed pursuant to paragraph (2), the producers on a farm shall submit to the Secretary notice of the election made under paragraph (1).CommentsClose CommentsPermalink





(4) EFFECT OF FAILURE TO MAKE ELECTION- If the producers on a farm fail to make the election under paragraph (1) or fail to timely notify the Secretary of the election made, as required by paragraph (3), the producers shall be deemed to have made the election to receive payments and loans under subtitle A for all covered commodities and peanuts on the farm for the applicable crop year.CommentsClose CommentsPermalink





(b) Payments Required-CommentsClose CommentsPermalink





(1) IN GENERAL- In the case of producers on a farm who make the election under subsection (a) to receive average crop revenue payments, for any of the 2010 through 2012 crop years for all covered commodities and peanuts, the Secretary shall make average crop revenue payments available to the producers on a farm in accordance with this subsection.CommentsClose CommentsPermalink





(2) FIXED PAYMENT COMPONENT- Subject to paragraph (3), in the case of producers on a farm described in paragraph (1), the Secretary shall make average crop revenue payments available to the producers on a farm for each crop year in an amount equal to not less than the product obtained by multiplying--CommentsClose CommentsPermalink





(A) $15 per acre; andCommentsClose CommentsPermalink





(B) 100 percent of the quantity of base acres on the farm for all covered commodities and peanuts (as adjusted in accordance with the terms and conditions of section 1101 or 1302, as determined by the Secretary).CommentsClose CommentsPermalink





(3) REVENUE COMPONENT- The Secretary shall increase the amount of the average crop revenue payments available to the producers on a farm in a State for a crop year if--CommentsClose CommentsPermalink





(A) the actual State revenue for the crop year for the covered commodity or peanuts in the State determined under subsection (c); is less thanCommentsClose CommentsPermalink





(B) the average crop revenue program guarantee for the crop year for the covered commodity or peanuts in the State determined under subsection (d).CommentsClose CommentsPermalink





(4) TIME FOR PAYMENTS- In the case of each of the 2010 through 2012 crop years, the Secretary shall make average crop revenue payments beginning October 1, or as soon as practicable thereafter, after the end of the applicable marketing year for the covered commodity or peanuts.CommentsClose CommentsPermalink





(c) Actual State Revenue-CommentsClose CommentsPermalink





(1) IN GENERAL- For purposes of subsection (b)(3)(A), the amount of the actual State revenue for a crop year of a covered commodity shall equal the product obtained by multiplying--CommentsClose CommentsPermalink





(A) the actual State yield for each planted acre for the crop year for the covered commodity or peanuts determined under paragraph (2); andCommentsClose CommentsPermalink





(B) the average crop revenue program harvest price for the crop year for the covered commodity or peanuts determined under paragraph (3).CommentsClose CommentsPermalink





(2) ACTUAL STATE YIELD- For purposes of paragraph (1)(A) and subsection (d)(1)(A), the actual State yield for each planted acre for a crop year for a covered commodity or peanuts in a State shall equal (as determined by the Secretary)--CommentsClose CommentsPermalink





(A) the quantity of the covered commodity or peanuts that is produced in the State during the crop year; divided byCommentsClose CommentsPermalink





(B) the number of acres that are planted to the covered commodity or peanuts in the State during the crop year.CommentsClose CommentsPermalink





(3) AVERAGE CROP REVENUE PROGRAM HARVEST PRICE-CommentsClose CommentsPermalink





(A) IN GENERAL- For purposes of paragraph (1)(B), subject to subparagraph (B), the average crop revenue program harvest price for a crop year for a covered commodity or peanuts in a State shall equal the harvest price that is used to calculate revenue under revenue coverage plans that are offered for the crop year for the covered commodity or peanuts in the State under the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.).CommentsClose CommentsPermalink





(B) ASSIGNED PRICE- If the Secretary cannot establish the harvest price for a crop year for a covered commodity or peanuts in a State in accordance with subparagraph (A), the Secretary shall assign a price for the covered commodity or peanuts in the State on the basis of comparable price data.CommentsClose CommentsPermalink





(d) Average Crop Revenue Program Guarantee-CommentsClose CommentsPermalink





(1) IN GENERAL- The average crop revenue program guarantee for a crop year for a covered commodity or peanuts in a State shall equal 90 percent of the product obtained by multiplying--CommentsClose CommentsPermalink





(A) the expected State yield for each planted acre for the crop year for the covered commodity or peanuts in a State determined under paragraph (2); andCommentsClose CommentsPermalink





(B) the average crop revenue program pre-planting price for the crop year for the covered commodity or peanuts determined under paragraph (3).CommentsClose CommentsPermalink





(2) EXPECTED STATE YIELD-CommentsClose CommentsPermalink





(A) IN GENERAL- For purposes of paragraph (1)(A), subject to subparagraph (B), the expected State yield for each planted acre for a crop year for a covered commodity or peanuts in a State shall equal the projected yield for the crop year for the covered commodity or peanuts in the State, based on a linear regression trend of the yield per acre planted to the covered commodity or peanuts in the State during the 1980 through 2006 period using National Agricultural Statistics Service data.CommentsClose CommentsPermalink





(B) ASSIGNED YIELD- If the Secretary cannot establish the expected State yield for each planted acre for a crop year for a covered commodity or peanuts in a State in accordance with subparagraph (A) or if the linear regression trend of the yield per acre planted to the covered commodity or peanuts in the State (as determined under subparagraph (A)) is negative, the Secretary shall assign an expected State yield for each planted acre for the crop year for the covered commodity or peanuts in the State on the basis of expected State yields for planted acres for the crop year for the covered commodity or peanuts in similar States.CommentsClose CommentsPermalink





(3) AVERAGE CROP REVENUE PROGRAM PRE-PLANTING PRICE-CommentsClose CommentsPermalink





(A) IN GENERAL- For purposes of paragraph (1)(B), subject to subparagraphs (B) and (C), the average crop revenue program pre-planting price for a crop year for a covered commodity or peanuts in a State shall equal the average price that is used to calculate revenue under revenue coverage plans that are offered for the covered commodity in the State under the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.) for the crop year and the preceding 2 crop years.CommentsClose CommentsPermalink





(B) ASSIGNED PRICE- If the Secretary cannot establish the pre-planting price for a crop year for a covered commodity or peanuts in a State in accordance with subparagraph (A), the Secretary shall assign a price for the covered commodity or peanuts in the State on the basis of comparable price data.CommentsClose CommentsPermalink





(C) MINIMUM AND MAXIMUM PRICE- In the case of each of the 2011 through 2012 crop years, the average crop revenue program pre-planting price for a crop year for a covered commodity or peanuts under subparagraph (A) shall not decrease or increase more than 15 percent from the pre-planting price for the preceding year.CommentsClose CommentsPermalink





(e) Payment Amount- If average crop revenue payments are required to be paid for any of the 2010 through 2012 crop years of a covered commodity or peanuts under subsection (b)(3), in addition to the amount payable under subsection (b)(2), the amount of the average crop revenue payment to be paid to the producers on the farm for the crop year under this section shall be increased by an amount equal to the product obtained by multiplying--CommentsClose CommentsPermalink





(1) the difference between--CommentsClose CommentsPermalink





(A) the average crop revenue program guarantee for the crop year for the covered commodity or peanuts in the State determined under subsection (d); andCommentsClose CommentsPermalink





(B) the actual State revenue from the crop year for the covered commodity or peanuts in the State determined under subsection (c);CommentsClose CommentsPermalink





(2) 85 percent of the quantity of base acres on the farm for the covered commodity or peanuts (as adjusted in accordance with the terms and conditions of section 1101 or 1302, as determined by the Secretary);CommentsClose CommentsPermalink





(3) the quotient obtained by dividing--CommentsClose CommentsPermalink





(A)(i) the yield used to calculate crop insurance coverage for the commodity or peanuts on the farm under the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.) (commonly referred to as `actual production history'); orCommentsClose CommentsPermalink





(ii) if actual production history for the commodity or peanuts on the farm is not available, a comparable yield as determined by the Secretary; byCommentsClose CommentsPermalink





(B) the expected State yield for the crop year, as determined under subsection (d)(2); andCommentsClose CommentsPermalink





(4) 90 percent.CommentsClose CommentsPermalink





(f) Recourse Loans- For each of the 2010 through 2012 crops of a covered commodity or peanuts, the Secretary shall make available to producers on a farm who elect to receive payments under this section recourse loans, as determined by the Secretary, on any production of the covered commodity.CommentsClose CommentsPermalink

SEC. 1402. PRODUCER AGREEMENT AS CONDITION OF AVERAGE CROP REVENUE PAYMENTS.

(a) Compliance With Certain Requirements-CommentsClose CommentsPermalink





(1) REQUIREMENTS- Before the producers on a farm may receive average crop revenue payments with respect to the farm, the producers shall agree, and in the case of subparagraph (C), the Farm Service Agency shall certify, during the crop year for which the payments are made and in exchange for the payments--CommentsClose CommentsPermalink





(A) to comply with applicable conservation requirements under subtitle B of title XII of the Food Security Act of 1985 (16 U.S.C. 3811 et seq.);CommentsClose CommentsPermalink





(B) to comply with applicable wetland protection requirements under subtitle C of title XII of that Act (16 U.S.C. 3821 et seq.); andCommentsClose CommentsPermalink





(C) that the individuals or entities receiving payments are producers;CommentsClose CommentsPermalink





(D) to use the land on the farm, in a quantity equal to the attributable base acres for the farm and any base acres for peanuts for the farm under part III of subtitle A, for an agricultural or conserving use, and not for a nonagricultural commercial, industrial, or residential use (including land subdivided and developed into residential units or other nonfarming uses, or that is otherwise no longer intended to be used in conjunction with a farming operation), as determined by the Secretary; andCommentsClose CommentsPermalink





(E) to effectively control noxious weeds and otherwise maintain the land in accordance with sound agricultural practices, as determined by the Secretary, if the agricultural or conserving use involves the noncultivation of any portion of the land referred to in subparagraph (D).CommentsClose CommentsPermalink





(2) COMPLIANCE- The Secretary may issue such rules as the Secretary considers necessary to ensure producer compliance with the requirements of paragraph (1).CommentsClose CommentsPermalink





(3) MODIFICATION- At the request of the transferee or owner, the Secretary may modify the requirements of this subsection if the modifications are consistent with the objectives of this subsection, as determined by the Secretary.CommentsClose CommentsPermalink





(b) Transfer or Change of Interest in Farm-CommentsClose CommentsPermalink





(1) TERMINATION-CommentsClose CommentsPermalink





(A) IN GENERAL- Except as provided in paragraph (2), a transfer of (or change in) the interest of the producers on a farm for which average crop revenue payments are made shall result in the termination of the payments, unless the transferee or owner of the farm agrees to assume all obligations under subsection (a).CommentsClose CommentsPermalink





(B) EFFECTIVE DATE- The termination shall take effect on the date determined by the Secretary.CommentsClose CommentsPermalink





(2) EXCEPTION- If a producer entitled to an average crop revenue payment dies, becomes incompetent, or is otherwise unable to receive the payment, the Secretary shall make the payment, in accordance with rules issued by the Secretary.CommentsClose CommentsPermalink





(c) Acreage Reports-CommentsClose CommentsPermalink





(1) IN GENERAL- As a condition on the receipt of any benefits under this subtitle, the Secretary shall require producers on a farm to submit to the Secretary annual acreage reports with respect to all cropland on the farm.CommentsClose CommentsPermalink





(2) PENALTIES- No penalty with respect to benefits under subtitle shall be assessed against the producers on a farm for an inaccurate acreage report unless the producers on the farm knowingly and willfully falsified the acreage report.CommentsClose CommentsPermalink





(d) Tenants and Sharecroppers- In carrying out this subtitle, the Secretary shall provide adequate safeguards to protect the interests of tenants and sharecroppers.CommentsClose CommentsPermalink





(e) Sharing of Payments- The Secretary shall provide for the sharing of average crop revenue payments among the producers on a farm on a fair and equitable basis.CommentsClose CommentsPermalink





(f) Audit and Report- Each year, to ensure, to the maximum extent practicable, that payments are received only by producers, the Secretary shall--CommentsClose CommentsPermalink





(1) conduct an audit of average crop revenue payments; andCommentsClose CommentsPermalink





(2) submit to Congress a report that describes the results of that audit.CommentsClose CommentsPermalink

SEC. 1403. PLANTING FLEXIBILITY.

(a) Permitted Crops- Subject to subsection (b), any commodity or crop may be planted on base acres on a farm for which the producers on a farm elect to receive average crop revenue payments (referred to in this section as `base acres').CommentsClose CommentsPermalink





(b) Limitations Regarding Certain Commodities-CommentsClose CommentsPermalink





(1) GENERAL LIMITATION- The planting of an agricultural commodity specified in paragraph (3) shall be prohibited on base acres unless the commodity, if planted, is destroyed before harvest.CommentsClose CommentsPermalink





(2) TREATMENT OF TREES AND OTHER PERENNIALS- The planting of an agricultural commodity specified in paragraph (3) that is produced on a tree or other perennial plant shall be prohibited on base acres.CommentsClose CommentsPermalink





(3) COVERED AGRICULTURAL COMMODITIES- Paragraphs (1) and (2) apply to the following agricultural commodities:CommentsClose CommentsPermalink





(A) Fruits.CommentsClose CommentsPermalink





(B) Vegetables (other than mung beans and pulse crops).CommentsClose CommentsPermalink





(C) Wild rice.CommentsClose CommentsPermalink





(c) Exceptions- Paragraphs (1) and (2) of subsection (b) shall not limit the planting of an agricultural commodity specified in paragraph (3) of that subsection--CommentsClose CommentsPermalink





(1) in any region in which there is a history of double-cropping of covered commodities with agricultural commodities specified in subsection (b)(3), as determined by the Secretary, in which case the double-cropping shall be permitted;CommentsClose CommentsPermalink





(2) on a farm that the Secretary determines has a history of planting agricultural commodities specified in subsection (b)(3) on base acres, except that average crop revenue payments shall be reduced by an acre for each acre planted to such an agricultural commodity; orCommentsClose CommentsPermalink





(3) by the producers on a farm that the Secretary determines has an established planting history of a specific agricultural commodity specified in subsection (b)(3), except that--CommentsClose CommentsPermalink





(A) the quantity planted may not exceed the average annual planting history of such agricultural commodity by the producers on the farm in the 1991 through 1995 or 1998 through 2001 crop years (excluding any crop year in which no plantings were made), as determined by the Secretary; andCommentsClose CommentsPermalink





(B) average crop revenue payments shall be reduced by an acre for each acre planted to such agricultural commodity.CommentsClose CommentsPermalink





(d) Planting Transferability Pilot Project- Producers on a farm that elect to receive average crop revenue payments shall be eligible to participate in the pilot program established under section 1106(d) under the same terms and conditions as producers that receive direct payments and counter-cyclical payments.CommentsClose CommentsPermalink





(e) Production of Fruits or Vegetables for Processing-CommentsClose CommentsPermalink





(1) IN GENERAL- Subject to paragraphs (2) through (4), effective beginning with the 2010 crop years, producers on a farm that elect to receive average crop revenue payments, with the consent of the owner of and any other producers on the farm, may reduce the base acres for a covered commodity for the farm if the reduced acres are used for the planting and production of fruits or vegetables for processing.CommentsClose CommentsPermalink





(2) REVERSION TO BASE ACRES FOR COVERED COMMODITY- Any reduced acres on a farm devoted to the planting and production of fruits or vegetables during a crop year under paragraph (1) shall be included in base acres for the covered commodity for the subsequent crop year, unless the producers on the farm make the election described in paragraph (1) for the subsequent crop year.CommentsClose CommentsPermalink





(3) RECALCULATION OF BASE ACRES-CommentsClose CommentsPermalink





(A) IN GENERAL- Subject to subparagraph (B), if the Secretary recalculates base acres for a farm, the planting and production of fruits or vegetables for processing under paragraph (1) shall be considered to be the same as the planting, prevented planting, or production of a covered commodity.CommentsClose CommentsPermalink





(B) AUTHORITY- Nothing in this subsection provides authority for the Secretary to recalculate base acres for a farm covered by this subsection other than as provided in this subsection.CommentsClose CommentsPermalink





(4) LIMITATIONS-CommentsClose CommentsPermalink





(A) IN GENERAL- This subsection applies in land located in each of the States of Illinois, Indiana, Iowa, Michigan, Minnesota, Ohio, and Wisconsin.CommentsClose CommentsPermalink





(B) ACREAGE LIMIT- The total number of base acres that may be reduced in any State under this subsection shall not exceed 10,000.CommentsClose CommentsPermalink

Subtitle C--Sugar

SEC. 1501. SUGAR PROGRAM.

Section 156 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7272) is amended to read as follows:CommentsClose CommentsPermalink

`SEC. 156. SUGAR PROGRAM.

`(a) Sugarcane- The Secretary shall make loans available to processors of domestically grown sugarcane at a rate equal to--CommentsClose CommentsPermalink





`(1) 18.00 cents per pound for raw cane sugar for the 2008 crop year;CommentsClose CommentsPermalink





`(2) 18.25 cents per pound for raw cane sugar for the 2009 crop year;CommentsClose CommentsPermalink





`(3) 18.50 cents per pound for raw cane sugar for the 2010 crop year;CommentsClose CommentsPermalink





`(4) 18.75 cents per pound for raw cane sugar for the 2011 crop year; andCommentsClose CommentsPermalink





`(5) 19.00 cents per pound for raw cane sugar for the 2012 crop year.CommentsClose CommentsPermalink





`(b) Sugar Beets- The Secretary shall make loans available to processors of domestically grown sugar beets at a rate per pound for refined beet sugar that is equal to 128.5 percent of the loan rate per pound of raw cane sugar for the applicable crop year under subsection (a).CommentsClose CommentsPermalink





`(c) Term of Loans-CommentsClose CommentsPermalink





`(1) IN GENERAL- A loan under this section during any fiscal year shall be made available not earlier than the beginning of the fiscal year and shall mature at the earlier of--CommentsClose CommentsPermalink





`(A) the end of the 9-month period beginning on the first day of the first month after the month in which the loan is made; orCommentsClose CommentsPermalink





`(B) the end of the fiscal year in which the loan is made.CommentsClose CommentsPermalink





`(2) SUPPLEMENTAL LOANS- In the case of a loan made under this section in the last 3 months of a fiscal year, the processor may repledge the sugar as collateral for a second loan in the subsequent fiscal year, except that the second loan shall--CommentsClose CommentsPermalink





`(A) be made at the loan rate in effect at the time the second loan is made; andCommentsClose CommentsPermalink





`(B) mature in 9 months less the quantity of time that the first loan was in effect.CommentsClose CommentsPermalink





`(d) Loan Type; Processor Assurances-CommentsClose CommentsPermalink





`(1) NONRECOURSE LOANS- The Secretary shall carry out this section through the use of nonrecourse loans.CommentsClose CommentsPermalink





`(2) PROCESSOR ASSURANCES-CommentsClose CommentsPermalink





`(A) IN GENERAL- The Secretary shall obtain from each processor that receives a loan under this section such assurances as the Secretary considers adequate to ensure that the processor will provide payments to producers that are proportional to the value of the loan received by the processor for the sugar beets and sugarcane delivered by producers to the processor.CommentsClose CommentsPermalink





`(B) MINIMUM PAYMENTS-CommentsClose CommentsPermalink





`(i) IN GENERAL- Subject to clause (ii), the Secretary may establish appropriate minimum payments for purposes of this paragraph.CommentsClose CommentsPermalink





`(ii) LIMITATION- In the case of sugar beets, the minimum payment established under clause (i) shall not exceed the rate of payment provided for under the applicable contract between a sugar beet producer and a sugar beet processor.CommentsClose CommentsPermalink





`(3) ADMINISTRATION- The Secretary may not impose or enforce any prenotification requirement, or similar administrative requirement not otherwise in effect on the date of enactment of the Food and Energy Security Act of 2007, that has the effect of preventing a processor from electing to forfeit the loan collateral (of an acceptable grade and quality) on the maturity of the loan.CommentsClose CommentsPermalink





`(e) Loans for In-Process Sugar-CommentsClose CommentsPermalink





`(1) DEFINITION OF IN-PROCESS SUGARS AND SYRUPS- In this subsection, the term `in-process sugars and syrups' does not include raw sugar, liquid sugar, invert sugar, invert syrup, or other finished product that is otherwise eligible for a loan under subsection (a) or (b).CommentsClose CommentsPermalink





`(2) AVAILABILITY- The Secretary shall make nonrecourse loans available to processors of a crop of domestically grown sugarcane and sugar beets for in-process sugars and syrups derived from the crop.CommentsClose CommentsPermalink





`(3) LOAN RATE- The loan rate shall be equal to 80 percent of the loan rate applicable to raw cane sugar or refined beet sugar, as determined by the Secretary on the basis of the source material for the in-process sugars and syrups.CommentsClose CommentsPermalink





`(4) FURTHER PROCESSING ON FORFEITURE-CommentsClose CommentsPermalink





`(A) IN GENERAL- As a condition of the forfeiture of in-process sugars and syrups serving as collateral for a loan under paragraph (2), the processor shall, within such reasonable time period as the Secretary may prescribe and at no cost to the Commodity Credit Corporation, convert the in-process sugars and syrups into raw cane sugar or refined beet sugar of acceptable grade and quality for sugars eligible for loans under subsection (a) or (b).CommentsClose CommentsPermalink





`(B) TRANSFER TO CORPORATION- Once the in-process sugars and syrups are fully processed into raw cane sugar or refined beet sugar, the processor shall transfer the sugar to the Commodity Credit Corporation.CommentsClose CommentsPermalink





`(C) PAYMENT TO PROCESSOR- On transfer of the sugar, the Secretary shall make a payment to the processor in an amount equal to the amount obtained by multiplying--CommentsClose CommentsPermalink





`(i) the difference between--CommentsClose CommentsPermalink





`(I) the loan rate for raw cane sugar or refined beet sugar, as appropriate; andCommentsClose CommentsPermalink





`(II) the loan rate the processor received under paragraph (3); byCommentsClose CommentsPermalink





`(ii) the quantity of sugar transferred to the Secretary.CommentsClose CommentsPermalink





`(5) LOAN CONVERSION- If the processor does not forfeit the collateral as described in paragraph (4), but instead further processes the in-process sugars and syrups into raw cane sugar or refined beet sugar and repays the loan on the in-process sugars and syrups, the processor may obtain a loan under subsection (a) or (b) for the raw cane sugar or refined beet sugar, as appropriate.CommentsClose CommentsPermalink





`(6) TERM OF LOAN- The term of a loan made under this subsection for a quantity of in-process sugars and syrups, when combined with the term of a loan made with respect to the raw cane sugar or refined beet sugar derived from the in-process sugars and syrups, may not exceed 9 months, consistent with subsection (d).CommentsClose CommentsPermalink





`(f) Feedstock Flexibility Program for Bioenergy Producers-CommentsClose CommentsPermalink





`(1) DEFINITIONS- In this subsection:CommentsClose CommentsPermalink





`(A) BIOENERGY- The term `bioenergy' means fuel grade ethanol and other biofuel.CommentsClose CommentsPermalink





`(B) BIOENERGY PRODUCER- The term `bioenergy producer' means a producer of bioenergy that uses an eligible commodity to produce bioenergy under this subsection.CommentsClose CommentsPermalink





`(C) ELIGIBLE COMMODITY- The term `eligible commodity' means a form of raw or refined sugar or in-process sugar that is eligible--CommentsClose CommentsPermalink





`(i) to be marketed in the United States for human consumption; orCommentsClose CommentsPermalink





`(ii) to be used for the extraction of sugar for human consumption.CommentsClose CommentsPermalink





`(D) ELIGIBLE ENTITY- The term `eligible entity' means an entity located in the United States that markets an eligible commodity in the United States.CommentsClose CommentsPermalink





`(2) FEEDSTOCK FLEXIBILITY PROGRAM-CommentsClose CommentsPermalink





`(A) PURCHASES AND SALES- For each of fiscal years 2008 through 2012, the Secretary shall purchase eligible commodities from eligible entities and sell such commodities to bioenergy producers for the purpose of producing bioenergy in a manner that ensures that this section is operated at no cost to the Federal Government and avoids forfeitures to the Commodity Credit Corporation.CommentsClose CommentsPermalink





`(B) COMPETITIVE PROCEDURES- In carrying out the purchases and sales required under subparagraph (A), the Secretary shall, to the maximum extent practicable, use competitive procedures, including the receiving, offering, and accepting of bids, when entering into contracts with eligible entities and bioenergy producers, provided that the procedures are consistent with the purposes of subparagraph (A).CommentsClose CommentsPermalink





`(C) LIMITATION- The purchase and sale of eligible commodities under subparagraph (A) shall only be made for a fiscal year for which the purchases and sales are necessary to ensure that the program under this section is operated at no cost to the Federal Government by avoiding forfeitures to the Commodity Credit Corporation.CommentsClose CommentsPermalink





`(3) NOTICE-CommentsClose CommentsPermalink





`(A) IN GENERAL- As soon as practicable after the date of enactment of the Food and Energy Security Act of 2007, and each September 1 thereafter through fiscal year 2012, the Secretary shall provide notice to eligible entities and bioenergy producers of the quantity of eligible commodities that shall be made available for purchase and sale for the subsequent fiscal year under this subsection.CommentsClose CommentsPermalink





`(B) REESTIMATES- Not later than the first day of each of the second through fourth quarters of each of fiscal years 2008 through 2012, the Secretary shall reestimate the quantity of eligible commodities determined under subparagraph (A), and provide notice and make purchases and sales based on the reestimates.CommentsClose CommentsPermalink





`(4) COMMODITY CREDIT CORPORATION INVENTORY- To the extent that an eligible commodity is owned and held in inventory by the Commodity Credit Corporation (accumulated pursuant to the program under this section), the Secretary shall sell the eligible commodity to bioenergy producers under this subsection.CommentsClose CommentsPermalink





`(5) TRANSFER RULE; STORAGE FEES-CommentsClose CommentsPermalink





`(A) GENERAL TRANSFER RULE- Except as provided in subparagraph (C), the Secretary shall ensure that bioenergy producers that purchase eligible commodities pursuant to this subsection take possession of the eligible commodities not later than 30 calendar days after the date of the purchase from the Commodity Credit Corporation.CommentsClose CommentsPermalink





`(B) PAYMENT OF STORAGE FEES PROHIBITED-CommentsClose CommentsPermalink





`(i) IN GENERAL- The Secretary shall, to the maximum extent practicable, carry out this subsection in a manner that ensures no storage fees are paid by the Commodity Credit Corporation in the administration of this subsection.CommentsClose CommentsPermalink





`(ii) EXCEPTION- Clause (i) shall not apply with respect to any commodities owned and held in inventory by the Commodity Credit Corporation (accumulated pursuant to the program under this section).CommentsClose CommentsPermalink





`(C) OPTION TO PREVENT STORAGE FEES-CommentsClose CommentsPermalink





`(i) IN GENERAL- The Secretary may enter into contracts with bioenergy producers to sell eligible commodities to the bioenergy producers prior in time to entering into contracts with eligible entities to purchase the eligible commodities to be used to satisfy the contracts entered into with the bioenergy producers.CommentsClose CommentsPermalink





`(ii) SPECIAL TRANSFER RULE- If the Secretary makes a sale and purchase referred to in clause (i), the Secretary shall ensure that the bioenergy producer that purchased eligible commodities takes possession of the eligible commodities not later than 30 calendar days after the date on which the Commodity Credit Corporation purchases the eligible commodities.CommentsClose CommentsPermalink





`(6) RELATION TO OTHER LAWS- If sugar that is subject to a marketing allotment under part VII of subtitle B of title III of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359aa et seq.) is the subject of a payment under this subsection, the sugar shall be considered marketed and shall count against the allocation of a processor of an allotment under that part, as applicable.CommentsClose CommentsPermalink





`(7) FUNDING- The Secretary shall use the funds, facilities, and authorities of the Commodity Credit Corporation, including the use of such sums as are necessary, to carry out this subsection.CommentsClose CommentsPermalink





`(g) Avoiding Forfeitures; Corporation Inventory Disposition-CommentsClose CommentsPermalink





`(1) IN GENERAL- Subject to subsection (d)(3), to the maximum extent practicable, the Secretary shall operate the program established under this section at no cost to the Federal Government by avoiding the forfeiture of sugar to the Commodity Credit Corporation.CommentsClose CommentsPermalink





`(2) INVENTORY DISPOSITION-CommentsClose CommentsPermalink





`(A) IN GENERAL- To carry out paragraph (1), the Commodity Credit Corporation may accept bids to obtain raw cane sugar or refined beet sugar in the inventory of the Commodity Credit Corporation from (or otherwise make available such commodities, on appropriate terms and conditions, to) processors of sugarcane and processors of sugar beets (acting in conjunction with the producers of the sugarcane or sugar beets processed by the processors) in return for the reduction of production of raw cane sugar or refined beet sugar, as appropriate.CommentsClose CommentsPermalink





`(B) BIOENERGY FEEDSTOCK- Sugar beets or sugarcane planted on acreage diverted from production to achieve any reduction required under subparagraph (A) may not be used for any commercial purpose other than as a bioenergy feedstock.CommentsClose CommentsPermalink





`(C) ADDITIONAL AUTHORITY- The authority provided under this paragraph is in addition to any authority of the Commodity Credit Corporation under any other law.CommentsClose CommentsPermalink





`(h) Information Reporting-CommentsClose CommentsPermalink





`(1) DUTY OF PROCESSORS AND REFINERS TO REPORT- A sugarcane processor, cane sugar refiner, and sugar beet processor shall furnish the Secretary, on a monthly basis, such information as the Secretary may require to administer sugar programs, including the quantity of purchases of sugarcane, sugar beets, and sugar, and production, importation, distribution, and stock levels of sugar.CommentsClose CommentsPermalink





`(2) DUTY OF PRODUCERS TO REPORT-CommentsClose CommentsPermalink





`(A) PROPORTIONATE SHARE STATES- As a condition of a loan made to a processor for the benefit of a producer, the Secretary shall require each producer of sugarcane located in a State (other than the Commonwealth of Puerto Rico) in which there are in excess of 250 producers of sugarcane to report, in the manner prescribed by the Secretary, the sugarcane yields and acres planted to sugarcane of the producer.CommentsClose CommentsPermalink





`(B) OTHER STATES- The Secretary may require each producer of sugarcane or sugar beets not covered by subparagraph (A) to report, in a manner prescribed by the Secretary, the yields of, and acres planted to, sugarcane or sugar beets, respectively, of the producer.CommentsClose CommentsPermalink





`(3) DUTY OF IMPORTERS TO REPORT-CommentsClose CommentsPermalink





`(A) IN GENERAL- Except as provided in subparagraph (B), the Secretary shall require an importer of sugars, syrups, or molasses to be used for human consumption or to be used for the extraction of sugar for human consumption to report, in the manner prescribed by the Secretary, the quantities of the products imported by the importer and the sugar content or equivalent of the products.CommentsClose CommentsPermalink





`(B) TARIFF-RATE QUOTAS- Subparagraph (A) shall not apply to sugars, syrups, or molasses that are within the quantities of tariff-rate quotas that are subject to the lower rate of duties.CommentsClose CommentsPermalink





`(4) INFORMATION ON MEXICO-CommentsClose CommentsPermalink





`(A) COLLECTION- The Secretary shall collect--CommentsClose CommentsPermalink





`(i) information of the production, consumption, stocks, and trade of sugar in Mexico, including United States exports of sugar to Mexico; andCommentsClose CommentsPermalink





`(ii) publicly-available information on Mexican production, consumption, and trade of high fructose corn syrups to Mexico.CommentsClose CommentsPermalink





`(B) PUBLICATION- The date collected under subparagraph (A) shall be published in each edition of the World Agricultural Supply and Demand Estimates.CommentsClose CommentsPermalink





`(5) PENALTY- Any person willfully failing or refusing to furnish the information required under paragraph (1), (2), or (3), or furnishing willfully any false information, shall be subject to a civil penalty of not more than $10,000 for each such violation.CommentsClose CommentsPermalink





`(6) MONTHLY REPORTS- Taking into consideration the information received under this subsection, the Secretary shall publish on a monthly basis composite data on production, imports, distribution, and stock levels of sugar.CommentsClose CommentsPermalink





`(i) Substitution of Refined Sugar- For purposes of Additional U.S. Note 6 to chapter 17 of the Harmonized Tariff Schedule of the United States and the reexport programs and polyhydric alcohol program administered by the Secretary, all refined sugars (whether derived from sugar beets or sugarcane) produced by cane sugar refineries and beet sugar processors shall be fully substitutable for the export of sugar and sugar-containing products under those programs.CommentsClose CommentsPermalink





`(j) Effective Period-CommentsClose CommentsPermalink





`(1) IN GENERAL- This section shall be effective only for the 2008 through 2012 crops of sugar beets and sugarcane.CommentsClose CommentsPermalink





`(2) TRANSITION- The Secretary shall make loans for raw cane sugar and refined beet sugar available for the 2007 crop year on the terms and conditions provided in this section as in effect on the day before the date of enactment of the Food and Energy Security Act of 2007.'.CommentsClose CommentsPermalink

SEC. 1502. STORAGE FACILITY LOANS.

Section 1402(c) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7971(c)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (1), by striking `and' at the end;CommentsClose CommentsPermalink





(2) by redesignating paragraph (2) as paragraph (3);CommentsClose CommentsPermalink





(3) by inserting after paragraph (1) the following:CommentsClose CommentsPermalink





`(2) not include any penalty for prepayment'; andCommentsClose CommentsPermalink





(4) in paragraph (3) (as redesignated by paragraph (2)), by inserting `other' after `on such'.CommentsClose CommentsPermalink

SEC. 1503. COMMODITY CREDIT CORPORATION STORAGE PAYMENTS.

Subtitle E of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7281 et seq.) is amended by adding at the end the following:CommentsClose CommentsPermalink

`SEC. 167. COMMODITY CREDIT CORPORATION STORAGE PAYMENTS.

`(a) Initial Crop Years- Notwithstanding any other provision of law, for each of the 2008 through 2011 crop years, the Commodity Credit Corporation shall establish rates for the storage of forfeited sugar in an amount that is not less than--CommentsClose CommentsPermalink





`(1) in the case of refined sugar, 15 cents per hundredweight of refined sugar per month; andCommentsClose CommentsPermalink





`(2) in the case of raw cane sugar, 10 cents per hundredweight of raw cane sugar per month.CommentsClose CommentsPermalink





`(b) Subsequent Crop Years- For each of the 2012 and subsequent crop years, the Commodity Credit Corporation shall establish rates for the storage of forfeited sugar in the same manner as was used on the day before the date of enactment of this section.'.CommentsClose CommentsPermalink

SEC. 1504. FLEXIBLE MARKETING ALLOTMENTS FOR SUGAR.

(a) Definitions- Section 359a of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359aa) is amended--CommentsClose CommentsPermalink





(1) by redesignating paragraphs (2) through (4) as paragraphs (3) through (5), respectively; andCommentsClose CommentsPermalink





(2) by inserting after paragraph (1) the following:CommentsClose CommentsPermalink





`(2) MARKET-CommentsClose CommentsPermalink





`(A) IN GENERAL- The term `market' means to sell or otherwise dispose of in commerce in the United States.CommentsClose CommentsPermalink





`(B) INCLUSIONS- The term `market' includes--CommentsClose CommentsPermalink





`(i) the forfeiture of sugar under the loan program for sugar established under section 156 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7272); andCommentsClose CommentsPermalink





`(ii) with respect to any integrated processor and refiner, the movement of raw cane sugar into the refining process.CommentsClose CommentsPermalink





`(C) MARKETING YEAR- Forfeited sugar described in subparagraph (B)(i) shall be considered to have been marketed during the crop year for which a loan is made under the loan program described in that subparagraph.'.CommentsClose CommentsPermalink





(b) Flexible Marketing Allotments for Sugar- Section 359b of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359bb) is amended to read as follows:CommentsClose CommentsPermalink

`SEC. 359. FLEXIBLE MARKETING ALLOTMENTS FOR SUGAR.

`(a) In General-CommentsClose CommentsPermalink





`(1) IN GENERAL- By the beginning of each crop year, the Secretary shall establish for that crop year appropriate allotments under section 359c for the marketing by processors of sugar processed from sugar cane, sugar beets, or in-process sugar (whether produced domestically or imported) at a level that is--CommentsClose CommentsPermalink





`(A) sufficient to maintain raw and refined sugar prices at a level that will result in no forfeitures of sugar to the Commodity Credit Corporation under the loan program for sugar established under section 156 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7272); butCommentsClose CommentsPermalink





`(B) not less than 85 percent of the estimated quantity of sugar consumption for domestic food use for the crop year.CommentsClose CommentsPermalink





`(2) PRODUCTS- The Secretary may include sugar products, the majority content of which is sucrose for human consumption, derived from sugarcane, sugar beets, molasses, or sugar in the allotments under paragraph (1) if the Secretary determines it to be appropriate for purposes of this part.CommentsClose CommentsPermalink





`(b) Coverage of Allotments-CommentsClose CommentsPermalink





`(1) IN GENERAL- Marketing allotments under this part shall apply to the marketing by processors of sugar intended for domestic human food use that has been processed from sugar cane, sugar beets, or in-process sugar, whether produced domestically or imported.CommentsClose CommentsPermalink





`(2) EXCEPTIONS- Marketing allotments under this part shall not apply to sugar sold--CommentsClose CommentsPermalink





`(A) to facilitate the exportation of the sugar to a foreign country;CommentsClose CommentsPermalink





`(B) to enable another processor to fulfill an allocation established for that processor; orCommentsClose CommentsPermalink





`(C) for uses other than domestic human food use.CommentsClose CommentsPermalink





`(3) REQUIREMENT- The sale of sugar described in paragraph (2)(B) shall be--CommentsClose CommentsPermalink





`(A) made prior to May 1; andCommentsClose CommentsPermalink





`(B) reported to the Secretary.CommentsClose CommentsPermalink





`(c) Prohibitions-CommentsClose CommentsPermalink





`(1) IN GENERAL- During all or part of any crop year for which marketing allotments have been established, no processor of sugar beets or sugarcane shall market for domestic human food use a quantity of sugar in excess of the allocation established for the processor, except--CommentsClose CommentsPermalink





`(A) to enable another processor to fulfill an allocation established for that other processor; orCommentsClose CommentsPermalink





`(B) to facilitate the exportation of the sugar.CommentsClose CommentsPermalink





`(2) CIVIL PENALTY- Any processor who knowingly violates paragraph (1) shall be liable to the Commodity Credit Corporation for a civil penalty in an amount equal to 3 times the United States market value, at the time of the commission of the violation, of that quantity of sugar involved in the violation.'.CommentsClose CommentsPermalink





(c) Establishment of Flexible Marketing Allotments- Section 359c of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359cc) is amended--CommentsClose CommentsPermalink





(1) by striking subsection (b) and inserting the following:CommentsClose CommentsPermalink





`(b) Overall Allotment Quantity-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Secretary shall establish the overall quantity of sugar to be allotted for the crop year (referred to in this part as the `overall allotment quantity') at a level that is--CommentsClose CommentsPermalink





`(A) sufficient to maintain raw and refined sugar prices above the level that will result in no forfeiture of sugar to the Commodity Credit Corporation; butCommentsClose CommentsPermalink





`(B) not less than a quantity equal to 85 percent of the estimated sugar consumption for domestic food use for the crop year.CommentsClose CommentsPermalink





`(2) ADJUSTMENT- Subject to paragraph (1), the Secretary shall adjust the overall allotment quantity to maintain--CommentsClose CommentsPermalink





`(A) raw and refined sugar prices above forfeiture levels to avoid the forfeiture of sugar to the Commodity Credit Corporation; andCommentsClose CommentsPermalink





`(B) adequate supplies of raw and refined sugar in the domestic market.'; andCommentsClose CommentsPermalink





(2) by striking subsection (h).CommentsClose CommentsPermalink





(d) Allocation of Marketing Allotments- Section 359d(b) of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359dd(b)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (1)--CommentsClose CommentsPermalink





(A) in subparagraph (B), by striking `subparagraphs (C) and (D)' and inserting `subparagraph (C)';CommentsClose CommentsPermalink





(B) by striking subparagraph (C);CommentsClose CommentsPermalink





(C) by redesignating subparagraphs (D) through (F) as subparagraphs (C) through (E), respectively;CommentsClose CommentsPermalink





(D) in subparagraph (D) (as so redesignated)--CommentsClose CommentsPermalink





(i) in clause (i), by striking `subparagraphs (B) and (D)' and inserting `subparagraphs (B) and (C)'; andCommentsClose CommentsPermalink





(ii) in clause (iii)(II), by striking `subparagraph (B) or (D)' as `subparagraph (B) or (C)'; andCommentsClose CommentsPermalink





(E) in subparagraph (E) (as so redesignated), by striking `Except as otherwise provided in section 359f(c)(8), if' and inserting `If'; andCommentsClose CommentsPermalink





(2) in paragraph (2), by striking subparagraphs (H) and (I) and inserting the following:CommentsClose CommentsPermalink





`(H) NEW ENTRANTS STARTING PRODUCTION OR REOPENING FACTORIES-CommentsClose CommentsPermalink





`(i) DEFINITION OF NEW ENTRANT-CommentsClose CommentsPermalink





`(I) IN GENERAL- In this subparagraph, the term `new entrant' means an individual, corporation, or other entity that--CommentsClose CommentsPermalink

`(aa) does not have an allocation of the beet sugar allotment under this part;CommentsClose CommentsPermalink

`(bb) is not affiliated with any other individual, corporation, or entity that has an allocation of beet sugar under this part (referred to in this clause as a `third party'); andCommentsClose CommentsPermalink

`(cc) will process sugar beets produced by sugar beet growers under contract with the new entrant for the production of sugar at the new or re-opened factory that is the basis for the new entrant allocation.CommentsClose CommentsPermalink

`(II) AFFILIATION- For purposes of subclause (I)(bb), a new entrant and a third party shall be considered to be affiliated if--CommentsClose CommentsPermalink

`(aa) the third party has an ownership interest in the new entrant;CommentsClose CommentsPermalink

`(bb) the new entrant and the third party have owners in common;CommentsClose CommentsPermalink

`(cc) the third party has the ability to exercise control over the new entrant by organizational rights, contractual rights, or any other means;CommentsClose CommentsPermalink

`(dd) the third party has a contractual relationship with the new entrant by which the new entrant will make use of the facilities or assets of the third party; orCommentsClose CommentsPermalink

`(ee) there are any other similar circumstances by which the Secretary determines that the new entrant and the third party are affiliated.CommentsClose CommentsPermalink

`(ii) ALLOCATION FOR A NEW ENTRANT THAT HAS CONSTRUCTED A NEW FACTORY OR REOPENED A FACTORY THAT WAS NOT OPERATED SINCE BEFORE 1998- If a new entrant constructs a new sugar beet processing factory, or acquires and reopens a sugar beet processing factory that last processed sugar beets prior to the 1998 crop year and there is no allocation currently associated with the factory, the Secretary shall--CommentsClose CommentsPermalink





`(I) assign an allocation for beet sugar to the new entrant that provides a fair and equitable distribution of the allocations for beet sugar so as to enable the new entrant to achieve a factory utilization rate comparable to the factory utilization rates of other similarly-situated processors; andCommentsClose CommentsPermalink





`(II) reduce the allocations for beet sugar of all other processors on a pro rata basis to reflect the allocation to the new entrant.CommentsClose CommentsPermalink





`(iii) ALLOCATION FOR A NEW ENTRANT THAT HAS ACQUIRED AN EXISTING FACTORY WITH A PRODUCTION HISTORY-CommentsClose CommentsPermalink





`(I) IN GENERAL- If a new entrant acquires an existing factory that has processed sugar beets from the 1998 or subsequent crop year and has a production history, on the mutual agreement of the new entrant and the company currently holding the allocation associated with the factory, the Secretary shall transfer to the new entrant a portion of the allocation of the current allocation holder to reflect the historical contribution of the production of the acquired factory to the total allocation of the current allocation holder.CommentsClose CommentsPermalink





`(II) PROHIBITION- In the absence of a mutual agreement described in subclause (I), the new entrant shall be ineligible for a beet sugar allocation.CommentsClose CommentsPermalink





`(iv) APPEALS- Any decision made under this subsection may be appealed to the Secretary in accordance with section 359i.'.CommentsClose CommentsPermalink





(e) Reassignment of Deficits- Section 359e(b) of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359ee(b)) is amended in paragraphs (1)(D) and (2)(C), by inserting `of raw cane sugar' after `imports' each place it appears.CommentsClose CommentsPermalink





(f) Provisions Applicable to Producers- Section 359f(c) of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359ff(c)) is amended--CommentsClose CommentsPermalink





(1) by striking paragraph (8);CommentsClose CommentsPermalink





(2) by redesignating paragraphs (1) through (7) as paragraphs (2) through (8), respectively;CommentsClose CommentsPermalink





(3) by inserting before paragraph (2) (as so redesignated) the following:CommentsClose CommentsPermalink





`(1) DEFINITION OF SEED-CommentsClose CommentsPermalink





`(A) IN GENERAL- In this subsection, the term `seed' means only those varieties of seed that are dedicated to the production of sugarcane from which is produced sugar for human consumption.CommentsClose CommentsPermalink





`(B) EXCLUSION- The term `seed' does not include seed of a high-fiber cane variety dedicated to other uses, as determined by the Secretary';CommentsClose CommentsPermalink





(4) in paragraph (3) (as so redesignated)--CommentsClose CommentsPermalink





(A) in the first sentence--CommentsClose CommentsPermalink





(i) by striking `paragraph (1)' and inserting `paragraph (2)'; andCommentsClose CommentsPermalink





(ii) by inserting `sugar produced from' after `quantity of'; andCommentsClose CommentsPermalink





(B) in the second sentence, by striking `paragraph (7)' and inserting `paragraph (8)'; andCommentsClose CommentsPermalink





(5) in paragraph (8) (as so redesignated), by inserting `sugar from' after `the amount of'.CommentsClose CommentsPermalink





(g) Special Rules- Section 359g of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359gg) is amended--CommentsClose CommentsPermalink





(1) by striking subsection (a) and inserting the following:CommentsClose CommentsPermalink





`(a) Transfer of Acreage Base History-CommentsClose CommentsPermalink





`(1) IN GENERAL- For the purpose of establishing proportionate shares for sugarcane farms under section 359f(c), the Secretary, on application of any producer, with the written consent of all owners of a farm, may transfer the acreage base history of the farm to any other parcels of land of the applicant.CommentsClose CommentsPermalink





`(2) CONVERTED ACREAGE BASE-CommentsClose CommentsPermalink





`(A) IN GENERAL- Sugarcane base acreage established under section 359f(c) that has been or is converted to nonagricultural use on or after the date of the enactment of this paragraph may be transferred to other land suitable for the production of sugarcane that can be delivered to a processor in a proportionate share in accordance with this paragraph.CommentsClose CommentsPermalink





`(B) NOTIFICATION- Not later than 90 days after the date of the enactment of this paragraph and at the subsequent conversion of any sugarcane base acreage to a nonagricultural use, the Administrator of the Farm Service Agency shall notify the 1 or more affected landowners of the transferability of the applicable sugarcane base acreage.CommentsClose CommentsPermalink





`(C) INITIAL TRANSFER PERIOD- Not later than the end of the 90-day period beginning on the date of receipt of the notification under subparagraph (B), the owner of the base attributable to the acreage at the time of the conversion shall transfer the base to 1 or more farms owned by the owner.CommentsClose CommentsPermalink





`(D) GROWER OF RECORD- If a transfer under subparagraph (C) cannot be accomplished during the period specified in that subparagraph, the grower of record with regard to the base acreage on the date on which the acreage was converted to nonagricultural use shall--CommentsClose CommentsPermalink





`(i) be notified; andCommentsClose CommentsPermalink





`(ii) have 90 days from the date of the receipt of the notification to transfer the base to 1 or more farms operated by the grower.CommentsClose CommentsPermalink





`(E) POOL DISTRIBUTION-CommentsClose CommentsPermalink





`(i) IN GENERAL- If transfers under subparagraphs (B) and (C) cannot be accomplished during the periods specified in those subparagraphs, the county committee of the Farm Service Agency for the applicable county shall place the acreage base in a pool for possible assignment to other farms.CommentsClose CommentsPermalink





`(ii) ACCEPTANCE OF REQUESTS- After providing reasonable notice to farm owners, operators, and growers of record in the county, the county committee shall accept requests from owners, operators, and growers of record in the county.CommentsClose CommentsPermalink





`(iii) ASSIGNMENT- The county committee shall assign the base acreage to other farms in the county that are eligible and capable of accepting the base acreage, based on a random selection from among the requests received under clause (ii).CommentsClose CommentsPermalink





`(F) STATEWIDE REALLOCATION-CommentsClose CommentsPermalink





`(i) IN GENERAL- Any base acreage remaining unassigned after the transfers and processes described in subparagraphs (A) through (E) shall be made available to the State committee of the Farm Service Agency for allocation among the remaining county committees representing counties with farms eligible for assignment of the base, based on a random selection.CommentsClose CommentsPermalink





`(ii) ALLOCATION- Any county committee receiving base acreage under this subparagraph shall allocate the base acreage to eligible farms using the process described in subparagraph (E).CommentsClose CommentsPermalink





`(G) STATUS OF REASSIGNED BASE- After base acreage has been reassigned in accordance with this subparagraph, the base acreage shall--CommentsClose CommentsPermalink





`(i) remain on the farm; andCommentsClose CommentsPermalink





`(ii) be subject to the transfer provisions of paragraph (1).'; andCommentsClose CommentsPermalink





(2) in subsection (d)--CommentsClose CommentsPermalink





(A) in paragraph (1)--CommentsClose CommentsPermalink





(i) by inserting `affected' before `crop-share owners' each place it appears; andCommentsClose CommentsPermalink





(ii) by striking `, and from the processing company holding the applicable allocation for such shares,'; andCommentsClose CommentsPermalink





(B) in paragraph (2), by striking `based on' and all that follows through the end of subparagraph (B) and inserting `based on--CommentsClose CommentsPermalink





`(A) the number of acres of sugarcane base being transferred; andCommentsClose CommentsPermalink





`(B) the pro rata amount of allocation at the processing company holding the applicable allocation that equals the contribution of the grower to allocation of the processing company for the sugarcane base acreage being transferred.'.CommentsClose CommentsPermalink





(h) Appeals- Section 359i of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359ii) is amended--CommentsClose CommentsPermalink





(1) in subsection (a), by inserting `or 359g(d)' after `359f'; andCommentsClose CommentsPermalink





(2) by striking subsection (c).CommentsClose CommentsPermalink





(i) Reallocating Sugar Quota Import Shortfalls- Section 359k of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359kk) is repealed.CommentsClose CommentsPermalink





(j) Administration of Tariff Rate Quotas- Part VII of subtitle B of title III of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359aa) (as amended by subsection (i)) is amended by adding at the end the following:CommentsClose CommentsPermalink

`SEC. 359k. ADMINISTRATION OF TARIFF RATE QUOTAS.

`(a) In General- Notwithstanding any other provision of law, at the beginning of the quota year, the Secretary shall establish the tariff-rate quotas for raw cane sugar and refined sugars (other than specialty sugar) at the minimum necessary to comply with obligations under international trade agreements that have been approved by Congress.CommentsClose CommentsPermalink





`(b) Adjustment-CommentsClose CommentsPermalink





`(1) BEFORE APRIL 1- Before April 1 of each fiscal year, if there is an emergency shortage of sugar in the United States market that is caused by a war, flood, hurricane, or other natural disaster, or other similar event as determined by the Secretary--CommentsClose CommentsPermalink





`(A) the Secretary shall take action to increase the supply of sugar in accordance with sections 359c(b)(2) and 359e(b); andCommentsClose CommentsPermalink





`(B) if there is still a shortage of sugar in the United States market, and marketing of domestic sugar has been maximized, the Secretary may increase the tariff-rate quota for refined sugars sufficient to accommodate the supply increase, if the further increase will not threaten to result in the forfeiture of sugar pledged as collateral for a loan under section 156 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7272).CommentsClose CommentsPermalink





`(2) ON OR AFTER APRIL 1- On or after April 1 of each fiscal year--CommentsClose CommentsPermalink





`(A) the Secretary may take action to increase the supply of sugar in accordance with sections 359c(b)(2) and 359e(b); andCommentsClose CommentsPermalink





`(B) if there is still a shortage of sugar in the United States market, and marketing of domestic sugar has been maximized, the Secretary may increase the tariff-rate quota for raw cane sugar if the further increase will not threaten to result in the forfeiture of sugar pledged as collateral for a loan under section 156 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7272).'.CommentsClose CommentsPermalink





(k) Period of Effectiveness- Part VII of subtitle B of title III of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1359aa) (as amended by subsection (j)) is amended by adding at the end the following:CommentsClose CommentsPermalink

`SEC. 359l. PERIOD OF EFFECTIVENESS.

`(a) In General- This part shall be effective only for the 2008 through 2012 crop years for sugar.CommentsClose CommentsPermalink





`(b) Transition- The Secretary shall administer flexible marketing allotments for sugar for the 2007 crop year for sugar on the terms and conditions provided in this part as in effect on the day before the date of enactment of this section.'.CommentsClose CommentsPermalink





(l) United States Membership in the International Sugar Organization- Not later than 1 year after the date of enactment of this Act, the Secretary shall work with the Secretary of State to restore, to the maximum extent practicable, United States membership in the International Sugar Organization.CommentsClose CommentsPermalink

SEC. 1505. SENSE OF THE SENATE REGARDING NAFTA SUGAR COORDINATION.

It is the sense of the Senate that in order to improve the operations of the North American Free Trade Agreement--CommentsClose CommentsPermalink





(1) the United States Government and the Government of Mexico should coordinate the operation of their respective sugar policies; andCommentsClose CommentsPermalink





(2) the United States Government should consult with the Government of Mexico on policies to avoid disruptions of the United States sugar market and the Mexican sugar market in order to maximize the benefits of sugar policies for growers, processors, and consumers of sugar in the United States and Mexico.CommentsClose CommentsPermalink

Subtitle D--Dairy

SEC. 1601. DAIRY PRODUCT PRICE SUPPORT PROGRAM.

(a) Support Activities- During the period beginning on January 1, 2008, and ending on December 31, 2012, the Secretary shall support the price of cheddar cheese, butter, and nonfat dry milk through the purchase of such products made from milk produced in the United States.CommentsClose CommentsPermalink





(b) Purchase Price- To carry out subsection (a), the Secretary shall purchase cheddar cheese, butter, and nonfat dry milk at prices that are equivalent to--CommentsClose CommentsPermalink





(1) in the case of cheddar cheese--CommentsClose CommentsPermalink





(A) in blocks, not less than $1.13 per pound;CommentsClose CommentsPermalink





(B) in barrels, not less than $1.10 per pound;CommentsClose CommentsPermalink





(2) in the case of butter, not less than $1.05 per pound; andCommentsClose CommentsPermalink





(3) in the case of nonfat dry milk, not less than $0.80 per pound.CommentsClose CommentsPermalink





(c) Uniform Purchase Price- The prices that the Secretary pays for cheese, butter, or nonfat dry milk under this section shall be uniform for all regions of the United States.CommentsClose CommentsPermalink





(d) Sales From Inventories-CommentsClose CommentsPermalink





(1) IN GENERAL- Except as provided in paragraph (2), in the case of each commodity specified in subsection (b) that is available for unrestricted use in inventories of the Commodity Credit Corporation, the Secretary may sell the commodity at the market prices prevailing for that commodity at the time of sale.CommentsClose CommentsPermalink





(2) MINIMUM AMOUNT- The sale price described in paragraph (1) may not be less than 110 percent of the minimum purchase price specified in subsection (b) for that commodity.CommentsClose CommentsPermalink

SEC. 1602. NATIONAL DAIRY MARKET LOSS PAYMENTS.

(a) Definitions- In this section:CommentsClose CommentsPermalink





(1) CLASS I MILK- The term `Class I milk' means milk (including milk components) classified as Class I milk under a Federal milk marketing order.CommentsClose CommentsPermalink





(2) ELIGIBLE PRODUCTION- The term `eligible production' means milk produced by a producer in a participating State.CommentsClose CommentsPermalink





(3) FEDERAL MILK MARKETING ORDER- The term `Federal milk marketing order' means an order issued under section 8c of the Agricultural Adjustment Act (7 U.S.C. 608c), reenacted with amendments by the Agricultural Marketing Agreement Act of 1937.CommentsClose CommentsPermalink





(4) PARTICIPATING STATE- The term `participating State' means each State.CommentsClose CommentsPermalink





(5) PRODUCER- The term `producer' means an individual or entity that directly or indirectly (as determined by the Secretary)--CommentsClose CommentsPermalink





(A) shares in the risk of producing milk; andCommentsClose CommentsPermalink





(B) makes contributions (including land, labor, management, equipment, or capital) to the dairy farming operation of the individual or entity that are at least commensurate with the share of the individual or entity of the proceeds of the operation.CommentsClose CommentsPermalink





(b) Payments- The Secretary shall offer to enter into contracts with producers on a dairy farm located in a participating State under which the producers receive payments on eligible production.CommentsClose CommentsPermalink





(c) Amount- Payments to a producer under this section shall be calculated by multiplying (as determined by the Secretary)--CommentsClose CommentsPermalink





(1) the payment quantity for the producer during the applicable month established under subsection (d);CommentsClose CommentsPermalink





(2) the amount equal to--CommentsClose CommentsPermalink





(A) $16.94 per hundredweight; lessCommentsClose CommentsPermalink





(B) the Class I milk price per hundredweight in Boston under the applicable Federal milk marketing order; byCommentsClose CommentsPermalink





(3)(A) for the period beginning October 1, 2007, and ending September 30, 2008, 34 percent;CommentsClose CommentsPermalink





(B) for the period beginning October 1, 2008, and ending August 31, 2012, 45 percent; andCommentsClose CommentsPermalink





(C) for the period beginning September 1, 2012, and thereafter, 34 percent.CommentsClose CommentsPermalink





(d) Payment Quantity-CommentsClose CommentsPermalink





(1) IN GENERAL- Subject to paragraph (2), the payment quantity for a producer during the applicable month under this section shall be equal to the quantity of eligible production marketed by the producer during the month.CommentsClose CommentsPermalink





(2) LIMITATION-CommentsClose CommentsPermalink





(A) IN GENERAL- The payment quantity for all producers on a single dairy operation for which the producers receive payments under subsection (b) shall not exceed--CommentsClose CommentsPermalink





(i) for the period beginning October 1, 2007, and ending September 30, 2008, 2,400,000 pounds;CommentsClose CommentsPermalink





(ii) for the period beginning October 1, 2008, and ending August 31, 2012, 4,150,000 pounds; andCommentsClose CommentsPermalink





(iii) effective beginning September 1, 2012, 2,400,000 pounds.CommentsClose CommentsPermalink





(B) STANDARDS- For purposes of determining whether producers are producers on separate dairy operations or a single dairy operation, the Secretary shall apply the same standards as were applied in implementing the dairy program under section 805 of the Agriculture, Rural Development, Food and Drug Administration, and Related Agencies Appropriations Act, 2001 (as enacted into law by Public Law 106-387; 114 Stat. 1549A-50).CommentsClose CommentsPermalink





(3) RECONSTITUTION- The Secretary shall ensure that a producer does not reconstitute a dairy operation for the sole purpose of receiving additional payments under this section.CommentsClose CommentsPermalink





(e) Payments- A payment under a contract under this section shall be made on a monthly basis not later than 60 days after the last day of the month for which the payment is made.CommentsClose CommentsPermalink





(f) Signup- The Secretary shall offer to enter into contracts under this section during the period beginning on the date that is 90 days after the date of enactment of this Act and ending on September 30, 2012.CommentsClose CommentsPermalink





(g) Duration of Contract-CommentsClose CommentsPermalink





(1) IN GENERAL- Except as provided in paragraph (2), any contract entered into by producers on a dairy farm under this section shall cover eligible production marketed by the producers on the dairy farm during the period starting with the first day of month the producers on the dairy farm enter into the contract and ending on September 30, 2012.CommentsClose CommentsPermalink





(2) VIOLATIONS- If a producer violates the contract, the Secretary may--CommentsClose CommentsPermalink





(A) terminate the contract and allow the producer to retain any payments received under the contract; orCommentsClose CommentsPermalink





(B) allow the contract to remain in effect and require the producer to repay a portion of the payments received under the contract based on the severity of the violation.CommentsClose CommentsPermalink

SEC. 1603. DAIRY EXPORT INCENTIVE AND DAIRY INDEMNITY PROGRAMS.

(a) Dairy Export Incentive Program- Section 153(a) of the Food Security Act of 1985 (15 U.S.C. 713a-14(a)) is amended by striking `2007' and inserting `2012'.CommentsClose CommentsPermalink





(b) Dairy Indemnity Program- Section 3 of Public Law 90-484 (7 U.S.C. 450l) is amended by striking `2007' and inserting `2012'.CommentsClose CommentsPermalink

SEC. 1604. FUNDING OF DAIRY PROMOTION AND RESEARCH PROGRAM.

Section 113(e)(2) of the Dairy Production Stabilization Act of 1983 (7 U.S.C. 4504(e)(2)) is amended by striking `2007' and inserting `2012'.CommentsClose CommentsPermalink

SEC. 1605. REVISION OF FEDERAL MARKETING ORDER AMENDMENT PROCEDURES.

Section 8c of the Agricultural Adjustment Act (7 U.S.C. 608c), reenacted with amendments by the Agricultural Marketing Agreement Act of 1937, is amended by striking subsection (17) and inserting the following:CommentsClose CommentsPermalink





`(17) PROVISIONS APPLICABLE TO AMENDMENTS-CommentsClose CommentsPermalink





`(A) APPLICABILITY TO AMENDMENTS- The provisions of this section and section 8d applicable to orders shall be applicable to amendments to orders.CommentsClose CommentsPermalink





`(B) SUPPLEMENTAL RULES OF PRACTICE-CommentsClose CommentsPermalink





`(i) IN GENERAL- Not later than 60 days after the date of enactment of this subparagraph, the Secretary shall issue, using informal rulemaking, supplemental rules of practice to define guidelines and timeframes for the rulemaking process relating to amendments to orders.CommentsClose CommentsPermalink





`(ii) ISSUES- At a minimum, the supplemental rules of practice shall establish--CommentsClose CommentsPermalink





`(I) proposal submission requirements;CommentsClose CommentsPermalink





`(II) pre-hearing information session specifications;CommentsClose CommentsPermalink





`(III) written testimony and data request requirements;CommentsClose CommentsPermalink





`(IV) public participation timeframes; andCommentsClose CommentsPermalink





`(V) electronic document submission standards.CommentsClose CommentsPermalink





`(iii) EFFECTIVE DATE- The supplemental rules of practice shall take effect not later than 120 days after the date of enactment of this subparagraph, as determined by the Secretary.CommentsClose CommentsPermalink





`(C) HEARING TIMEFRAMES-CommentsClose CommentsPermalink





`(i) IN GENERAL- Not more than 30 days after the receipt of a proposal for an amendment hearing regarding a milk marketing order, the Secretary shall--CommentsClose CommentsPermalink





`(I) issue a notice providing an action plan and expected timeframes for completion of the hearing not more than 180 days after the date of the issuance of the notice;CommentsClose CommentsPermalink





`(II)(aa) issue a request for additional information to be used by the Secretary in making a determination regarding the proposal; andCommentsClose CommentsPermalink





`(bb) if the additional information is not provided to the Secretary within the timeframe requested by the Secretary, issue a denial of the request; orCommentsClose CommentsPermalink





`(III) issue a denial of the request.CommentsClose CommentsPermalink





`(ii) NOTICE- A notice issued under clause (i)(I) shall be individualized for each proceeding and take into consideration--CommentsClose CommentsPermalink





`(I) the number of orders affected;CommentsClose CommentsPermalink





`(II) the complexity of issues involved; andCommentsClose CommentsPermalink





`(III) the extent of the analyses required by applicable Executive orders (including Executive orders relating to civil rights, regulatory flexibility, and economic impact).CommentsClose CommentsPermalink





`(iii) RECOMMENDED DECISIONS- A recommended decision on a proposed amendment to an order shall be issued not later than 90 days after the deadline established after the hearing for the submission of post-hearing briefs, unless otherwise provided in the initial notice issued under clause (i)(I).CommentsClose CommentsPermalink





`(iv) FINAL DECISIONS- A final decision on a proposed amendment to an order shall be issued not later than 60 days after the deadline for submission of comments and exceptions to the recommended decision issued under clause (ii), unless otherwise provided in the initial notice issued under clause (i)(I).CommentsClose CommentsPermalink





`(D) INDUSTRY ASSESSMENTS- If the Secretary determines it is necessary to improve or expedite rulemaking under this subsection, the Secretary may impose an assessment on the affected industry to supplement appropriated funds for the procurement of service providers, such as court reporters.CommentsClose CommentsPermalink





`(E) USE OF INFORMAL RULEMAKING- The Secretary may use rulemaking under section 553 of title 5, United States Code, to amend orders, other than provisions of orders that directly affecting milk prices.CommentsClose CommentsPermalink





`(F) MONTHLY FEED AND FUEL COSTS FOR MAKE ALLOWANCES- As part of any hearing to adjust make allowances under marketing orders, the Secretary shall--CommentsClose CommentsPermalink





`(i) determine the average monthly prices of feed and fuel incurred by dairy producers in the relevant marketing area;CommentsClose CommentsPermalink





`(ii) consider the most recent monthly feed and fuel price data available; andCommentsClose CommentsPermalink





`(iii) consider those prices in determining whether or not to adjust make allowances.'.CommentsClose CommentsPermalink

SEC. 1606. DAIRY FORWARD PRICING PROGRAM.

(a) In General- Section 23 of the Agricultural Adjustment Act (7 U.S.C. 627), reenacted with amendments by the Agricultural Marketing Agreement Act of 1937, is amended--CommentsClose CommentsPermalink





(1) in the section heading, by striking `pilot';CommentsClose CommentsPermalink





(2) by striking subsection (a) and inserting the following:CommentsClose CommentsPermalink





`(a) Program Required- The Secretary of Agriculture shall establish a program under which milk producers and cooperative associations of producers are authorized to voluntarily enter into forward price contracts with milk handlers.';CommentsClose CommentsPermalink





(3) in subsection (c)--CommentsClose CommentsPermalink





(A) in the subsection heading, by striking `Pilot'; andCommentsClose CommentsPermalink





(B) in paragraph (1), by striking `pilot';CommentsClose CommentsPermalink





(4) by striking subsections (d) and (e); andCommentsClose CommentsPermalink





(5) by adding at the end the following:CommentsClose CommentsPermalink





`(d) Voluntary Program-CommentsClose CommentsPermalink





`(1) IN GENERAL- A milk handler may not require participation in a forward price contract as a condition of the handler receiving milk from a producer or cooperative association of producers.CommentsClose CommentsPermalink





`(2) EFFECT OF NONPARTICIPATION- A producer or cooperative association that does not enter into a forward price contract may continue to have milk priced under the minimum payment provisions of the applicable milk marketing order.CommentsClose CommentsPermalink





`(3) COMPLAINTS- The Secretary shall--CommentsClose CommentsPermalink





`(A) investigate complaints made by producers or cooperative associations of coercion by handlers to enter into forward price contracts; andCommentsClose CommentsPermalink





`(B) if the Secretary finds evidence of coercion, take appropriate action.CommentsClose CommentsPermalink





`(e) Duration- No forward price contract under this section may--CommentsClose CommentsPermalink





`(1) be entered into after September 30, 2012; orCommentsClose CommentsPermalink





`(2) may extend beyond September 30, 2015.'.CommentsClose CommentsPermalink





(b) Conforming Amendments- Section 23 of the Agricultural Adjustment Act (7 U.S.C. 627), reenacted with amendments by the Agricultural Marketing Agreement Act of 1937, is amended by striking `cooperatives' each place it appears in subsections (b) and (c)(2) and inserting `cooperative associations of producers'.CommentsClose CommentsPermalink

SEC. 1607. REPORT ON DEPARTMENT OF AGRICULTURE REPORTING PROCEDURES FOR NONFAT DRY MILK.

Not later than 90 days after the date of the enactment of this Act, the Secretary shall submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report regarding Department of Agriculture reporting procedures for nonfat dry milk and the impact of the procedures on Federal milk marketing order minimum prices during the period beginning on July 1, 2006, and ending on the date of the enactment of this Act.CommentsClose CommentsPermalink

SEC. 1608. FEDERAL MILK MARKETING ORDER REVIEW COMMISSION.

(a) Definition of ASCARR Institution- In this section:CommentsClose CommentsPermalink





(1) IN GENERAL- The term `ASCARR Institution' means a public college or university offering a baccalaureate or higher degree in the study of agriculture.CommentsClose CommentsPermalink





(2) EXCLUSIONS- The term `ASCARR Institution' does not include an institution eligible to receive funds under--CommentsClose CommentsPermalink





(A) the Act of July 2, 1862 (commonly known as the `First Morrill Act') (7 U.S.C. 301 et seq.);CommentsClose CommentsPermalink





(B) the Act of August 30, 1890 (commonly known as the `Second Morrill Act') (7 U.S.C. 321 et seq.); orCommentsClose CommentsPermalink





(C) the Equity in Educational Land-Grant Status Act of 1994 (Public Law 103-382; 7 U.S.C. 301 note).CommentsClose CommentsPermalink





(b) Establishment- Subject to the availability of funds appropriated to carry out this section, the Secretary shall establish a commission to be known as the `Federal Milk Marketing Order Review Commission' (referred to in this section as the `Commission'), which shall conduct a comprehensive review and evaluation of--CommentsClose CommentsPermalink





(1) the Federal milk marketing order system in effect on the date of enactment of this Act; andCommentsClose CommentsPermalink





(2) non-Federal milk marketing order systems.CommentsClose CommentsPermalink





(c) Elements of Review and Evaluation- As part of the review and evaluation under subsection (b), the Commission shall consider legislative and regulatory options for--CommentsClose CommentsPermalink





(1) ensuring that the competitiveness of dairy products with other competing products in the marketplace is preserved and enhanced;CommentsClose CommentsPermalink





(2) enhancing the competitiveness of United States dairy producers in world markets;CommentsClose CommentsPermalink





(3) increasing the responsiveness of the Federal milk marketing order system to market forces;CommentsClose CommentsPermalink





(4) streamlining and expediting the process by which amendments to Federal milk market orders are adopted;CommentsClose CommentsPermalink





(5) simplifying the Federal milk marketing order system;CommentsClose CommentsPermalink





(6) evaluating whether the Federal milk marketing order system, established during the Great Depression, continues to serve the interests of the public, dairy processors, and dairy producers;CommentsClose CommentsPermalink





(7) evaluating whether Federal milk marketing orders are operating in a manner to minimize costs to taxpayers and consumers;CommentsClose CommentsPermalink





(8) evaluating the nutritional composition of milk, including the potential benefits and costs of adjusting the milk content standards;CommentsClose CommentsPermalink





(9) evaluating the economic benefits to milk producers of establishing a 2-class system of classifying milk consisting of a fluid milk class and a manufacturing grade milk class, with the price of both classes determined using the component prices of butterfat, protein, and other solids; andCommentsClose CommentsPermalink





(10) evaluating a change in advance pricing that is used to calculate the advance price of Class II skim milk under Federal milk marketing orders using the 4-week component prices that are used to calculate prices for Class III and Class IV milk.CommentsClose CommentsPermalink





(d) Membership-CommentsClose CommentsPermalink





(1) COMPOSITION- The Commission shall consist of 18 members.CommentsClose CommentsPermalink





(2) MEMBERS- As soon as practicable after the date on which funds are first made available to carry out this section--CommentsClose CommentsPermalink





(A) 2 members of the Commission shall be appointed by the Chairman of the Committee on Agriculture of the House of Representatives, in consultation with the ranking member of the Committee on Agriculture of the House of Representatives;CommentsClose CommentsPermalink





(B) 2 members of the Commission shall be appointed by the Chairman of the Committee on Agriculture, Nutrition, and Forestry of the Senate, in consultation with the ranking member of the Committee on Agriculture, Nutrition and Forestry of the Senate; andCommentsClose CommentsPermalink





(C) 14 members of the Commission shall be appointed by the Secretary.CommentsClose CommentsPermalink





(3) SPECIAL APPOINTMENT REQUIREMENTS- In the case of members of the Commission appointed under paragraph (2)(C), the Secretary shall ensure that--CommentsClose CommentsPermalink





(A) at least 1 member represents a national consumer organization;CommentsClose CommentsPermalink





(B) at least 4 members represent land-grant colleges or universities (as defined in section 1404 of the National Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3103)) or ASCARR institutions with accredited dairy economic programs, with at least 2 of those members being experts in the field of economics;CommentsClose CommentsPermalink





(C) at least 1 member represents the food and beverage retail sector; andCommentsClose CommentsPermalink





(D) 4 dairy producers and 4 dairy processors are appointed in a manner that will--CommentsClose CommentsPermalink





(i) balance geographical distribution of milk production and dairy processing;CommentsClose CommentsPermalink





(ii) reflect all segments of dairy processing; andCommentsClose CommentsPermalink





(iii) represent all regions of the United States equitably, including States that operate outside of a Federal milk marketing order.CommentsClose CommentsPermalink





(4) CHAIR- The Commission shall elect 1 of the members of the Commission to serve as chairperson for the duration of the proceedings of the Commission.CommentsClose CommentsPermalink





(5) VACANCY- Any vacancy occurring before the termination of the Commission shall be filled in the same manner as the original appointment.CommentsClose CommentsPermalink





(6) COMPENSATION- A member of the Commission shall serve without compensation, but shall be reimbursed by the Secretary from existing budget authority for necessary and reasonable expenses incurred in the performance of the duties of the Commission.CommentsClose CommentsPermalink





(e) Report-CommentsClose CommentsPermalink





(1) IN GENERAL- Not later than 2 years after the date of the first meeting of the Commission, the Commission shall submit to Congress and the Secretary a report describing the results of the review and evaluation conducted under this section, including such recommendations regarding the legislative and regulatory options considered under subsection (c) as the Commission considers to be appropriate.CommentsClose CommentsPermalink





(2) SUPPORT- The report findings shall reflect, to the maximum extent practicable, a consensus opinion of the Commission members, but the report may include majority and minority findings regarding those matters for which consensus was not reached.CommentsClose CommentsPermalink





(f) Advisory Nature- The Commission is wholly advisory in nature and the recommendations of the Commission are nonbinding.CommentsClose CommentsPermalink





(g) No Effect on Existing Programs- The Secretary shall not allow the existence of the Commission to impede, delay, or otherwise affect any decisionmaking process of the Department of Agriculture, including any rulemaking procedures planned, proposed, or near completion.CommentsClose CommentsPermalink





(h) Administrative Assistance- The Secretary shall provide such administrative support to the Commission, and expend such funds as necessary from budget authority available to the Secretary, as is necessary to carry out this section.CommentsClose CommentsPermalink





(i) Authorization of Appropriations- There are authorized to be appropriated such sums as are necessary to carry out this section.CommentsClose CommentsPermalink





(j) Termination of Effectiveness- The authority provided by this section terminates effective on the date of the submission of the report under subsection (e).CommentsClose CommentsPermalink

SEC. 1609. MANDATORY REPORTING OF DAIRY COMMODITIES.

Section 273 of the Agricultural Marketing Act of 1946 (7 U.S.C. 1637b) is amended--CommentsClose CommentsPermalink





(1) by striking subsections (a) and (b) and inserting the following:CommentsClose CommentsPermalink





`(a) Daily Reporting-CommentsClose CommentsPermalink





`(1) IN GENERAL- Not later than 180 days after the date of enactment of the Food and Energy Security Act of 2007, the Secretary shall require corporate officers or officially-designated representatives of each dairy processor to report to the Secretary on each daily reporting day designated by the Secretary, not later than 10:00 a.m. Central Time, for each sales transaction involving a dairy commodity, information concerning--CommentsClose CommentsPermalink





`(A) the sales price;CommentsClose CommentsPermalink





`(B) the quantity sold;CommentsClose CommentsPermalink





`(C) the location of the sales transaction; andCommentsClose CommentsPermalink





`(D) product characteristics, including--CommentsClose CommentsPermalink





`(i) moisture level;CommentsClose CommentsPermalink





`(ii) packaging size;CommentsClose CommentsPermalink





`(iii) grade;CommentsClose CommentsPermalink





`(iv) if appropriate, fat, protein, or other component level;CommentsClose CommentsPermalink





`(v) heat level for dried products; andCommentsClose CommentsPermalink





`(vi) other defining product characteristics used in transactions.CommentsClose CommentsPermalink





`(2) PUBLICATION- The Secretary shall make the information reported under paragraph (1) available to the public not less frequently than once each reporting day, categorized by location and product characteristics.CommentsClose CommentsPermalink





`(3) FEDERAL ORDER PRICES- If the Secretary uses dairy product prices to establish minimum prices in accordance with section 8c(5) of the Agricultural Adjustment Act (7 U.S.C. 608c(5)), reenacted with amendments by the Agricultural Marketing Agreement Act of 1937, the Secretary shall use daily prices published under paragraph (2) to determine such prices.CommentsClose CommentsPermalink





`(4) EXEMPTION FOR SMALL PROCESSORS- A processor that processes 1,000,000 pounds of milk or less per year shall be exempt from daily reporting requirements under this subsection.'; andCommentsClose CommentsPermalink





(2) by redesignating subsections (c) and (d) as subsections (b) and (c), respectively.CommentsClose CommentsPermalink

Subtitle E--Administration

SEC. 1701. ADMINISTRATION GENERALLY.

(a) Use of Commodity Credit Corporation- Except as otherwise provided in subtitles A through D and this subtitle, the Secretary shall use the funds, facilities, and authorities of the Commodity Credit Corporation to carry out subtitles A through D and this subtitle.CommentsClose CommentsPermalink





(b) Determinations by Secretary- A determination made by the Secretary under this title shall be final and conclusive.CommentsClose CommentsPermalink





(c) Regulations-CommentsClose CommentsPermalink





(1) IN GENERAL- Not later than 90 days after the date of the enactment of this Act, the Secretary and the Commodity Credit Corporation, as appropriate, shall promulgate such regulations as are necessary to implement this title and the amendments made by this title.CommentsClose CommentsPermalink





(2) PROCEDURE- The promulgation of the regulations and administration of this title and the amendments made by this title shall be made without regard to--CommentsClose CommentsPermalink





(A) chapter 35 of title 44, United States Code (commonly known as the `Paperwork Reduction Act');CommentsClose CommentsPermalink





(B) the Statement of Policy of the Secretary of Agriculture effective July 24, 1971 (36 Fed. Reg. 13804), relating to notices of proposed rulemaking and public participation in rulemaking; andCommentsClose CommentsPermalink





(C) the notice and comment provisions of section 553 of title 5, United States Code.CommentsClose CommentsPermalink





(3) CONGRESSIONAL REVIEW OF AGENCY RULEMAKING- In carrying out this subsection, the Secretary shall use the authority provided under section 808 of title 5, United States Code.CommentsClose CommentsPermalink





(d) Adjustment Authority Related to Trade Agreements Compliance-CommentsClose CommentsPermalink





(1) REQUIRED DETERMINATION; ADJUSTMENT- If the Secretary determines that expenditures under subtitles A through D and this subtitle that are subject to the total allowable domestic support levels under the Uruguay Round Agreements (as defined in section 2 of the Uruguay Round Agreements Act (19 U.S.C. 3501)) will exceed such allowable levels for any applicable reporting period, the Secretary shall, to the maximum extent practicable, make adjustments in the amount of such expenditures during that period to ensure that such expenditures do not exceed such allowable levels.CommentsClose CommentsPermalink





(2) CONGRESSIONAL NOTIFICATION- Before making any adjustment under paragraph (1), the Secretary shall submit to the Committee on Agriculture of the House of Representatives or the Committee on Agriculture, Nutrition, and Forestry of the Senate a report describing the determination made under that paragraph and the extent of the adjustment to be made.CommentsClose CommentsPermalink





(e) Treatment of Advance Payment Option- Section 1601(d) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7991(d)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (1), by striking `and' at the end;CommentsClose CommentsPermalink





(2) in paragraph (2), by striking the period at the end and inserting `; and'; andCommentsClose CommentsPermalink





(3) by adding at the end the following:CommentsClose CommentsPermalink





`(3) the advance payment of direct payments and counter-cyclical payments under title I of the Food and Energy Security Act of 2007.'.CommentsClose CommentsPermalink

SEC. 1702. SUSPENSION OF PERMANENT PRICE SUPPORT AUTHORITY.

(a) Agricultural Adjustment Act of 1938- The following provisions of the Agricultural Adjustment Act of 1938 shall not be applicable to the 2008 through 2012 crops of covered commodities and sugar and shall not be applicable to milk during the period beginning on the date of enactment of this Act through December 31, 2012:CommentsClose CommentsPermalink





(1) Parts II through V of subtitle B of title III (7 U.S.C. 1326 et seq.).CommentsClose CommentsPermalink





(2) In the case of upland cotton, section 377 (7 U.S.C. 1377).CommentsClose CommentsPermalink





(3) Subtitle D of title III (7 U.S.C. 1379a et seq.).CommentsClose CommentsPermalink





(4) Title IV (7 U.S.C. 1401 et seq.).CommentsClose CommentsPermalink





(b) Agricultural Act of 1949- The following provisions of the Agricultural Act of 1949 shall not be applicable to the 2008 through 2012 crops of covered commodities and sugar and shall not be applicable to milk during the period beginning on the date of enactment of this Act and through December 31, 2012:CommentsClose CommentsPermalink





(1) Section 101 (7 U.S.C. 1441).CommentsClose CommentsPermalink





(2) Section 103(a) (7 U.S.C. 1444(a)).CommentsClose CommentsPermalink





(3) Section 105 (7 U.S.C. 1444b).CommentsClose CommentsPermalink





(4) Section 107 (7 U.S.C. 1445a).CommentsClose CommentsPermalink





(5) Section 110 (7 U.S.C. 1445e).CommentsClose CommentsPermalink





(6) Section 112 (7 U.S.C. 1445g).CommentsClose CommentsPermalink





(7) Section 115 (7 U.S.C. 1445k).CommentsClose CommentsPermalink





(8) Section 201 (7 U.S.C. 1446).CommentsClose CommentsPermalink





(9) Title III (7 U.S.C. 1447 et seq.).CommentsClose CommentsPermalink





(10) Title IV (7 U.S.C. 1421 et seq.), other than sections 404, 412, and 416 (7 U.S.C. 1424, 1429, and 1431).CommentsClose CommentsPermalink





(11) Title V (7 U.S.C. 1461 et seq.).CommentsClose CommentsPermalink





(12) Title VI (7 U.S.C. 1471 et seq.).CommentsClose CommentsPermalink





(c) Suspension of Certain Quota Provisions- The joint resolution entitled `A joint resolution relating to corn and wheat marketing quotas under the Agricultural Adjustment Act of 1938, as amended', approved May 26, 1941 (7 U.S.C. 1330 and 1340), shall not be applicable to the crops of wheat planted for harvest in the calendar years 2008 through 2012.CommentsClose CommentsPermalink

SEC. 1703. PAYMENT LIMITATIONS.

(a) Extension of Limitations- Sections 1001 and 1001C(a) of the Food Security Act of 1985 (7 U.S.C. 1308, 1308-3(a)) are amended by striking `Farm Security and Rural Investment Act of 2002' each place it appears and inserting `Food and Energy Security Act of 2007'.CommentsClose CommentsPermalink





(b) Revision of Limitations-CommentsClose CommentsPermalink





(1) DEFINITIONS- Section 1001(a) of the Food Security Act of 1985 (7 U.S.C. 1308) is amended--CommentsClose CommentsPermalink





(A) in the matter preceding paragraph (1), by inserting `and section 1001A' after `section';CommentsClose CommentsPermalink





(B) by striking paragraph (2) and redesignating paragraph (3) as paragraph (5); andCommentsClose CommentsPermalink





(C) by inserting after paragraph (1) the following:CommentsClose CommentsPermalink





`(2) FAMILY MEMBER- The term `family member' means an individual to whom a member in the farming operation is related as lineal ancestor, lineal descendant, sibling, or spouse.CommentsClose CommentsPermalink





`(3) LEGAL ENTITY- The term `legal entity' means an entity that is created under Federal or State law and that--CommentsClose CommentsPermalink





`(A) owns land or an agricultural commodity; orCommentsClose CommentsPermalink





`(B) produces an agricultural commodity.CommentsClose CommentsPermalink





`(4) PERSON- The term `person' means a natural person, and does not include a legal entity.'.CommentsClose CommentsPermalink





(2) LIMITATION ON DIRECT PAYMENTS AND COUNTER-CYCLICAL PAYMENTS- Section 1001 of the Food Security Act of 1985 (7 U.S.C. 1308) is amended by striking subsections (b), (c) and (d) and inserting the following:CommentsClose CommentsPermalink





`(b) Limitation on Direct and Counter-Cyclical Payments for Covered Commodities (other Than Peanuts)-CommentsClose CommentsPermalink





`(1) DIRECT PAYMENTS- The total amount of direct payments received, directly or indirectly, by a person or legal entity (except a joint venture or a general partnership) for any crop year under part I of subtitle A of title I of the Food and Energy Security Act of 2007 for 1 or more covered commodities (except for peanuts), or average crop revenue payments determined under section 1401(b)(2) of that Act, may not exceed $40,000.CommentsClose CommentsPermalink





`(2) COUNTER-CYCLICAL PAYMENTS- The total amount of counter-cyclical payments received, directly or indirectly, by a person or legal entity (except a joint venture or a general partnership) for any crop year under part I of subtitle A of title I of the Food and Energy Security Act of 2007 for one or more covered commodities (except for peanuts), or average crop revenue payments determined under section 1401(b)(3) of that Act, may not exceed $60,000.CommentsClose CommentsPermalink





`(c) Limitation on Direct Payments and Counter-Cyclical Payments for Peanuts-CommentsClose CommentsPermalink





`(1) DIRECT PAYMENTS- The total amount of direct payments received, directly or indirectly, by a person or legal entity (except a joint venture or a general partnership) for any crop year under part III of subtitle A of title I of the Food and Energy Security Act of 2007 for peanuts, or average crop revenue payments determined under section 1401(b)(2) of that Act, may not exceed $40,000.CommentsClose CommentsPermalink





`(2) COUNTER-CYCLICAL PAYMENTS- The total amount of counter-cyclical payments received, directly or indirectly, by a person or legal entity (except a joint venture or a general partnership) for any crop year under part III of subtitle A of title I of the Food and Energy Security Act of 2007 for peanuts, or average crop revenue payments determined under section 1401(b)(3) of that Act, may not exceed $60,000.'.CommentsClose CommentsPermalink





`(d) Limitation on Applicability- Nothing in this section authorizes any limitation on any benefit associated with the marketing assistance loan program or the loan deficiency payment program under title I of the Food and Energy Security Act of 2007.'.CommentsClose CommentsPermalink





(3) DIRECT ATTRIBUTION- Section 1001 of the Food Security Act of 1985 (7 U.S.C. 1308) is amended by striking subsection (e) and redesignating subsections (f) and (g) as (g) and (h), respectively, and inserting the following:CommentsClose CommentsPermalink





`(e) Attribution of Payments-CommentsClose CommentsPermalink





`(1) IN GENERAL- In implementing subsections (b) and (c) and a program described in section 1001D(b)(2)(C), the Secretary shall issue such regulations as are necessary to ensure that the total amount of payments are attributed to a person by taking into account the direct and indirect ownership interests of the person in a legal entity that is eligible to receive the payments.CommentsClose CommentsPermalink





`(2) PAYMENTS TO A PERSON- Each payment made directly to a person shall be combined with the pro rata interest of the person in payments received by a legal entity in which the person has a direct or indirect ownership interest unless the payments of the legal entity have been reduced by the pro rata share of the person.CommentsClose CommentsPermalink





`(3) PAYMENTS TO A LEGAL ENTITY-CommentsClose CommentsPermalink





`(A) IN GENERAL- Each payment made to a legal entity shall be attributed to those persons who have a direct or indirect ownership interest in the legal entity unless the payment to the legal entity has been reduced by the pro rata share of the person.CommentsClose CommentsPermalink





`(B) ATTRIBUTION OF PAYMENTS-CommentsClose CommentsPermalink





`(i) PAYMENT LIMITS- Except as provided in clause (ii), payments made to a legal entity shall not exceed the amounts specified in subsections (b) and (c).CommentsClose CommentsPermalink





`(ii) EXCEPTION FOR JOINT VENTURES AND GENERAL PARTNERSHIPS- Payments made to a joint venture or a general partnership shall not exceed, for each payment specified in subsections (b) and (c), the amount determined by multiplying the maximum payment amount specified in subsections (b) and (c) by the number of persons and legal entities (other than joint ventures and general partnerships) that comprise the ownership of the joint venture or general partnership.CommentsClose CommentsPermalink





`(iii) REDUCTION- Payments made to a legal entity shall be reduced proportionately by an amount that represents the direct or indirect ownership in the legal entity by any individual or legal entity that has otherwise exceeded the applicable maximum payment limitation.CommentsClose CommentsPermalink





`(4) 4 LEVELS OF ATTRIBUTION FOR EMBEDDED LEGAL ENTITIES-CommentsClose CommentsPermalink





`(A) IN GENERAL- Attribution of payments made to legal entities shall be traced through 4 levels of ownership in legal entities.CommentsClose CommentsPermalink





`(B) FIRST LEVEL- Any payments made to a legal entity (a first-tier legal entity) that is owned in whole or in part by a person shall be attributed to the person in an amount that represents the direct ownership in the first-tier legal entity by the person.CommentsClose CommentsPermalink





`(C) SECOND LEVEL-CommentsClose CommentsPermalink





`(i) IN GENERAL- Any payments made to a first-tier legal entity that is owned (in whole or in part) by another legal entity (a second-tier legal entity) shall be attributed to the second-tier legal entity in proportion to the ownership of the second-tier legal entity in the first-tier legal entity.CommentsClose CommentsPermalink





`(ii) OWNERSHIP BY A PERSON- If the second-tier legal entity is owned (in whole or in part) by a person, the amount of the payment made to the first-tier legal entity shall be attributed to the person in the amount that represents the indirect ownership in the first-tier legal entity by the person.CommentsClose CommentsPermalink





`(D) THIRD AND FOURTH LEVELS-CommentsClose CommentsPermalink





`(i) IN GENERAL- Except as provided in clause (ii), the Secretary shall attribute payments at the third and fourth tiers of ownership in the same manner as specified in subparagraph (C).CommentsClose CommentsPermalink





`(ii) FOURTH-TIER OWNERSHIP- If the fourth-tier of ownership is that of a fourth-tier legal entity and not that of a person, the Secretary shall reduce the amount of the payment to be made to the first-tier legal entity in the amount that represents the indirect ownership in the first-tier legal entity by the fourth-tier legal entity.CommentsClose CommentsPermalink





`(f) Special Rules-CommentsClose CommentsPermalink





`(1) MINOR CHILDREN-CommentsClose CommentsPermalink





`(A) IN GENERAL- Except as provided in subparagraph (B), payments received by a child under the age of 18 shall be attributed to the parents of the child.CommentsClose CommentsPermalink





`(B) REGULATIONS- The Secretary shall issue regulations specifying the conditions under which payments received by a child under the age of 18 will not be attributed to the parents of the child.CommentsClose CommentsPermalink





`(2) MARKETING COOPERATIVES- Subsections (b) and (c) shall not apply to a cooperative association of producers with respect to commodities produced by the members of the association that are marketed by the association on behalf of the members of the association but shall apply to the producers as persons.CommentsClose CommentsPermalink





`(3) TRUSTS AND ESTATES-CommentsClose CommentsPermalink





`(A) IN GENERAL- With respect to irrevocable trusts and estates, the Secretary shall administer this section through section 1001F in such manner as the Secretary determines will ensure the fair and equitable treatment of the beneficiaries of the trusts and estates.CommentsClose CommentsPermalink





`(B) IRREVOCABLE TRUST-CommentsClose CommentsPermalink





`(i) IN GENERAL- In order for a trust to be considered an irrevocable trust, the terms of the trust agreement shall not--CommentsClose CommentsPermalink





`(I) allow for modification or termination of the trust by the grantor;CommentsClose CommentsPermalink





`(II) allow for the grantor to have any future, contingent, or remainder interest in the corpus of the trust; orCommentsClose CommentsPermalink





`(III) except as provided in clause (ii), provide for the transfer of the corpus of the trust to the remainder beneficiary in less than 20 years beginning on the date the trust is established.CommentsClose CommentsPermalink





`(ii) EXCEPTION- Clause (i)(III) shall not apply in a case in which the transfer is--CommentsClose CommentsPermalink





`(I) contingent on the remainder beneficiary achieving at least the age of majority; orCommentsClose CommentsPermalink





`(II) is contingent on the death of the grantor or income beneficiary.CommentsClose CommentsPermalink





`(C) REVOCABLE TRUST- For the purposes of this section through section 1001F, a revocable trust shall be considered to be the same person as the grantor of the trust.CommentsClose CommentsPermalink





`(4) CASH RENT TENANTS-CommentsClose CommentsPermalink





`(A) DEFINITION- In this paragraph, the term `cash rent tenant' means a person or legal entity that rents land--CommentsClose CommentsPermalink





`(i) for cash; orCommentsClose CommentsPermalink





`(ii) for a crop share guaranteed as to the amount of the commodity to be paid in rent.CommentsClose CommentsPermalink





`(B) RESTRICTION- A cash rent tenant who makes a significant contribution of active personal management, but not of personal labor, with respect to a farming operation shall be eligible to receive a payment described in subsection (b) or (c) only if the tenant makes a significant contribution of equipment to the farming operation.CommentsClose CommentsPermalink





`(5) FEDERAL AGENCIES-CommentsClose CommentsPermalink





`(A) IN GENERAL- A Federal agency shall not be eligible to receive any payment described in subsection (b) or (c).CommentsClose CommentsPermalink





`(B) LAND RENTAL- A lessee of land owned by a Federal agency may receive a payment described in subsection (b) or (c) if the lessee otherwise meets all applicable criteria.CommentsClose CommentsPermalink





`(6) STATE AND LOCAL GOVERNMENTS-CommentsClose CommentsPermalink





`(A) IN GENERAL- Except as provided in subsection (g), a State or local government, or political subdivision or agency of the government, shall not be eligible to receive a payment described in subsection (b) or (c).CommentsClose CommentsPermalink





`(B) TENANTS- A lessee of land owned by a State or local government, or political subdivision or agency of the government, may receive payments described in subsections (b) and (c) if the lessee otherwise meet all applicable criteria.CommentsClose CommentsPermalink





`(7) CHANGES IN FARMING OPERATIONS-CommentsClose CommentsPermalink





`(A) IN GENERAL- In the administration of this section through section 1001F, the Secretary may not approve any change in a farming operation that otherwise will increase the number of persons to which the limitations under this section are applied unless the Secretary determines that the change is bona fide and substantive.CommentsClose CommentsPermalink





`(B) FAMILY MEMBERS- The addition of a family member to a farming operation under the criteria set out in section 1001A shall be considered a bona fide and substantive change in the farming operation.CommentsClose CommentsPermalink





`(8) DEATH OF OWNER-CommentsClose CommentsPermalink





`(A) IN GENERAL- If any ownership interest in land or a commodity is transferred as the result of the death of a program participant, the new owner of the land or commodity may, if the person is otherwise eligible to participate in the applicable program, succeed to the contract of the prior owner and receive payments subject to this section without regard to the amount of payments received by the new owner.CommentsClose CommentsPermalink





`(B) LIMITATIONS ON PRIOR OWNER- Payments made under this paragraph shall not exceed the amount to which the previous owner was entitled to receive under the terms of the contract at the time of the death of the prior owner.'.CommentsClose CommentsPermalink





(c) Repeal of 3-Entity Rule- Section 1001A of the Food Security Act of 1985 (7 U.S.C. 1308-1) is amended--CommentsClose CommentsPermalink





(1) in the section heading, by striking `prevention of creation of entities to qualify as separate persons' and inserting `notification of interests'; andCommentsClose CommentsPermalink





(2) by striking subsection (a) and inserting the following:CommentsClose CommentsPermalink





`(a) Notification of Interests- To facilitate administration of section 1001 and this section, each person or legal entity receiving payments described in subsections (b) and (c) of section 1001 as a separate person or legal entity shall separately provide to the Secretary, at such times and in such manner as prescribed by the Secretary--CommentsClose CommentsPermalink





`(1) the name and social security number of each individual, or the name and taxpayer identification number of each legal entity, that holds or acquires an ownership interest in the separate person or legal entity; andCommentsClose CommentsPermalink





`(2) the name and taxpayer identification number of each legal entity in which the person or legal entity holds an ownership interest.'.CommentsClose CommentsPermalink





(d) Amendment for Consistency- Section 1001A of the Food Security Act of 1985 (7 U.S.C. 1308-1) is amended by striking subsection (b) and inserting the following:CommentsClose CommentsPermalink





`(b) Actively Engaged-CommentsClose CommentsPermalink





`(1) IN GENERAL- To be eligible to receive a payment described in subsection (b) or (c) of section 1001, a person or legal entity shall be actively engaged in farming with respect to a farming operation as provided in this subsection or subsection (c).CommentsClose CommentsPermalink





`(2) CLASSES ACTIVELY ENGAGED- Except as provided in subsections (c) and (d)--CommentsClose CommentsPermalink





`(A) a person (including a person participating in a farming operation as a partner in a general partnership, a participant in a joint venture, a grantor of a revocable trust, or a participant in a similar entity, as determined by the Secretary) shall be considered to be actively engaged in farming with respect to a farming operation if--CommentsClose CommentsPermalink





`(i) the person makes a significant contribution (based on the total value of the farming operation) to the farming operation of--CommentsClose CommentsPermalink





`(I) capital, equipment, or land; andCommentsClose CommentsPermalink





`(II) personal labor or active personal management;CommentsClose CommentsPermalink





`(ii) the person's share of the profits or losses from the farming operation is commensurate with the contributions of the person to the farming operation; andCommentsClose CommentsPermalink





`(iii) the contributions of the person are at risk;CommentsClose CommentsPermalink





`(B) a legal entity that is a corporation, joint stock company, association, limited partnership, charitable organization, or other similar entity determined by the Secretary (including any such legal entity participating in the farming operation as a partner in a general partnership, a participant in a joint venture, a grantor of a revocable trust, or as a participant in a similar legal entity as determined by the Secretary) shall be considered as actively engaged in farming with respect to a farming operation if--CommentsClose CommentsPermalink





`(i) the legal entity separately makes a significant contribution (based on the total value of the farming operation) of capital, equipment, or land;CommentsClose CommentsPermalink





`(ii) the stockholders or members collectively make a significant contribution of personal labor or active personal management to the operation; andCommentsClose CommentsPermalink





`(iii) the standards provided in clauses (ii) and (iii) of subparagraph (A), as applied to the legal entity, are met by the legal entity;CommentsClose CommentsPermalink





`(C) if a legal entity that is a general partnership, joint venture, or similar entity, as determined by the Secretary, separately makes a significant contribution (based on the total value of the farming operation involved) of capital, equipment, or land, and the standards provided in clauses (ii) and (iii) of subparagraph (A), as applied to the legal entity, are met by the legal entity, the partners or members making a significant contribution of personal labor or active personal management shall be considered to be actively engaged in farming with respect to the farming operation involved; andCommentsClose CommentsPermalink





`(D) in making determinations under this subsection regarding equipment and personal labor, the Secretary shall take into consideration the equipment and personal labor normally and customarily provided by farm operators in the area involved to produce program crops.CommentsClose CommentsPermalink





`(c) Special Classes Actively Engaged-CommentsClose CommentsPermalink





`(1) LANDOWNER- A person or legal entity that is a landowner contributing the owned land to a farming operation shall be considered to be actively engaged in farming with respect to the farming operation if--CommentsClose CommentsPermalink





`(A) the landowner receives rent or income for the use of the land based on the production on the land or the operating results of the operation; andCommentsClose CommentsPermalink





`(B) the person or legal entity meets the standards provided in clauses (ii) and (iii) of subsection (b)(2)(A).CommentsClose CommentsPermalink





`(2) ADULT FAMILY MEMBER- If a majority of the participants in a farming operation are family members, an adult family member shall be considered to be actively engaged in farming with respect to the farming operation if the person--CommentsClose CommentsPermalink





`(A) makes a significant contribution, based on the total value of the farming operation, of active personal management or personal labor; andCommentsClose CommentsPermalink





`(B) with respect to such contribution, meets the standards provided in clauses (ii) and (iii) of subsection (b)(2)(A).CommentsClose CommentsPermalink





`(3) SHARECROPPER- A sharecropper who makes a significant contribution of personal labor to a farming operation shall be considered to be actively engaged in farming with respect to the farming operation if the contribution meets the standards provided in clauses (ii) and (iii) of subsection (b)(2)(A).CommentsClose CommentsPermalink





`(4) GROWERS OF HYBRID SEED- In determining whether a person or legal entity growing hybrid seed under contract shall be considered to be actively engaged in farming, the Secretary shall not take into consideration the existence of a hybrid seed contract.CommentsClose CommentsPermalink





`(5) CUSTOM FARMING SERVICES-CommentsClose CommentsPermalink





`(A) IN GENERAL- A person or legal entity receiving custom farming services shall be considered separately eligible for payment limitation purposes if the person or legal entity is actively engaged in farming based on subsection (b)(2) or paragraphs (1) through (4) of this subsection.CommentsClose CommentsPermalink





`(B) PROHIBITION- No other rules with respect to custom farming shall apply.CommentsClose CommentsPermalink





`(6) SPOUSE- If 1 spouse (or estate of a deceased spouse) is determined to be actively engaged, the other spouse shall be determined to have met the requirements of subsection (b)(2)(A)(i)(II).CommentsClose CommentsPermalink





`(d) Classes Not Actively Engaged-CommentsClose CommentsPermalink





`(1) CASH RENT LANDLORD- A landlord contributing land to a farming operation shall not be considered to be actively engaged in farming with respect to the farming operation if the landlord receives cash rent, or a crop share guaranteed as to the amount of the commodity to be paid in rent, for the use of the land.CommentsClose CommentsPermalink





`(2) OTHER PERSONS AND LEGAL ENTITIES- Any other person or legal entity that the Secretary determines does not meet the standards described in subsections (b)(2) and (c) shall not be considered to be actively engaged in farming with respect to a farming operation.'.CommentsClose CommentsPermalink





(e) Denial of Program Benefits- Section 1001B of the Food Security Act of 1985 (7 U.S.C. 1308-2) is amended to read as follows:CommentsClose CommentsPermalink

`SEC. 1001B. DENIAL OF PROGRAM BENEFITS.

`(a) 2-Year Denial of Program Benefits- A person or legal entity shall be ineligible to receive payments specified in subsections (b) and (c) of section 1001 for the crop year, and the succeeding crop year, in which the Secretary determines that the person or legal entity--CommentsClose CommentsPermalink





`(1) failed to comply with section 1001A(b) and adopted or participated in adopting a scheme or device to evade the application of section 1001, 1001A, or 1001C; orCommentsClose CommentsPermalink





`(2) intentionally concealed the interest of the person or legal entity in any farm or legal entity engaged in farming.CommentsClose CommentsPermalink





`(b) Extended Ineligibility- If the Secretary determines that a person or legal entity, for the benefit of the person or legal entity or the benefit of any other person or legal entity, has knowingly engaged in, or aided in the creation of a fraudulent document, presented false information that was material and relevant to the administration of sections 1001 through 1001F, or committed other equally serious actions (as identified in regulations issued by the Secretary), the Secretary may for a period not to exceed 5 crop years deny the issuance of payments to the person or legal entity.CommentsClose CommentsPermalink





`(c) Pro Rata Denial-CommentsClose CommentsPermalink





`(1) IN GENERAL- Payments otherwise owed to a person or legal entity described in subsections (a) or (b) shall be denied in a pro rata manner based on the ownership interest of the person or legal entity in a farm.CommentsClose CommentsPermalink





`(2) CASH RENT TENANT- Payments otherwise payable to the person or legal entity described in subsection (a) or (b) who is a cash rent tenant on a farm owned or under the control of the person or legal entity shall be denied.CommentsClose CommentsPermalink





`(d) Joint and Several Liability- Any member of any legal entity (including partnerships and joint ventures) determined to have knowingly participated in a scheme or device to evade, or that has the purpose of evading, sections 1001, 1001A, or 1001C shall be jointly and severally liable for any amounts that are payable to the Secretary as the result of the scheme or device (including amounts necessary to recover those amounts).CommentsClose CommentsPermalink





`(e) Release- The Secretary may partially or fully release from liability any person or legal entity who cooperates with the Secretary in enforcing sections 1001, 1001A, and 1001C, and this section.'.CommentsClose CommentsPermalink





(f) Conforming Amendments-CommentsClose CommentsPermalink





(1) Section 1009(e) of the Food Security Act of 1985 (7 U.S.C. 1308a(e)) is amended in the second sentence by striking `of $50,000'.CommentsClose CommentsPermalink





(2) Section 609(b)(1) of the Emergency Livestock Feed Assistance Act of 1988 (7 U.S.C. 1471g(b)(1)) is amended by inserting `(before the amendment made by section 1703(a) of the Food and Energy Security Act of 2007)' after `1985'.CommentsClose CommentsPermalink





(3) Section 524(b)(3) of the Federal Crop Insurance Act (7 U.S.C. 1524(b)(3)) is amended by inserting `(before the amendment made by section 1703(a) of the Food and Energy Security Act of 2007)' after `1308(5)))'.CommentsClose CommentsPermalink





(4) Section 196(i) of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7333(i)) is amended in paragraphs (1)(A) and (5) by inserting `(before the amendment made by section 1703(a) of the Food and Energy Security Act of 2007)' after `1308)' each place it appears.CommentsClose CommentsPermalink





(5) Section 10204(c)(1) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 8204(c)(1)) is amended by inserting `(before the amendment made by section 1703(a) of the Food and Energy Security Act of 2007)' after `1308)'.CommentsClose CommentsPermalink





(6) Section 1271(c)(3)(A) of the Food, Agriculture, Conservation, and Trade Act of 1990 (16 U.S.C. 2106a(c)(3)(A)) is amended by inserting `(before the amendment made by section 1703(a) of the Food and Energy Security Act of 2007)' after `1308)'.CommentsClose CommentsPermalink





(7) Section 291(2) of the Trade Act of 1974 (19 U.S.C. 2401(2) is amended by inserting `(before the amendment made by section 1703(a) of the Food and Energy Security Act of 2007)' before the period at the end.CommentsClose CommentsPermalink





(g) Transition- Section 1001, 1001A, and 1001B of the Food Security Act of 1985 (7 U.S.C. 1308, 1308-1, 1308-2), as in effect on the day before the date of the enactment of this Act, shall continue to apply with respect to the 2007 crop of any covered commodity or peanuts.CommentsClose CommentsPermalink

SEC. 1704. ADJUSTED GROSS INCOME LIMITATION.

(a) Extension of Adjusted Gross Income Limitation- Section 1001D(e) of the Food Security Act of 1985 (7 U.S.C. 1308-3a(e)) is amended by striking `2007' and inserting `2012'.CommentsClose CommentsPermalink





(b) Allocation of Income- Section 1001D(a) of the Food Security Act of 1985 (7 U.S.C. 1308-3a(a)) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(3) ALLOCATION OF INCOME- On the request of any individual filing a joint tax return, the Secretary shall provide for the allocation of adjusted gross income among the individuals filing the return based on a certified statement provided by a certified public accountant or attorney specifying the manner in which the income would have been declared and reported if the individuals had filed 2 separate returns, if the Secretary determines that the calculation is consistent with the information supporting the filed joint return.'.CommentsClose CommentsPermalink





(c) Modification of Limitation- Section 1001D of the Food Security Act of 1985 (7 U.S.C. 1308-3a) is amended by striking subsection (b) and inserting the following:CommentsClose CommentsPermalink





`(b) Limitation-CommentsClose CommentsPermalink





`(1) CROP YEARS-CommentsClose CommentsPermalink





`(A) 2009 CROP YEAR- Notwithstanding any other provision of law, an individual or entity shall not be eligible to receive any benefit described in paragraph (2)(A) during the 2009 crop year if the average adjusted gross income of the individual or entity exceeds $1,000,000, unless not less than 66.66 percent of the average adjusted gross income of the individual or entity is derived from farming, ranching, or forestry operations, as determined by the Secretary.CommentsClose CommentsPermalink





`(B) 2010 AND SUBSEQUENT CROP YEARS- Notwithstanding any other provision of law, an individual or entity shall not be eligible to receive any benefit described in paragraph (2)(A) during any of the 2010 and subsequent crop years if the average adjusted gross income of the individual or entity exceeds $750,000, unless not less than 66.66 percent of the average adjusted gross income of the individual or entity is derived from farming, ranching, or forestry operations, as determined by the Secretary.CommentsClose CommentsPermalink





`(C) CONSERVATION PROGRAMS- Notwithstanding any other provision of law, an individual or entity shall not be eligible to receive any benefit described in paragraph (2)(B) during a crop year if the average adjusted gross income of the individual or entity exceeds $2,500,000, unless not less than 75 percent of the average adjusted gross income of the individual or entity is derived from farming, ranching, or forestry operations, as determined by the Secretary.CommentsClose CommentsPermalink





`(2) COVERED BENEFITS-CommentsClose CommentsPermalink





`(A) IN GENERAL- Subparagraphs (A) and (B) of paragraph (1) apply with respect to the following:CommentsClose CommentsPermalink





`(i) A direct payment or counter-cyclical payment under part I or III of subtitle A of title I of the Food and Energy Security Act of 2007.CommentsClose CommentsPermalink





`(ii) A marketing loan gain or loan deficiency payment under part II or III of subtitle A of title I of the Food and Energy Security Act of 2007.CommentsClose CommentsPermalink





`(iii) An average crop revenue payment under subtitle B of title I of Food and Energy Security Act of 2007.CommentsClose CommentsPermalink





`(B) CONSERVATION PROGRAMS- Paragraph (1)(C) applies with respect to a payment under any program under--CommentsClose CommentsPermalink





`(i) title XII of this Act;CommentsClose CommentsPermalink





`(ii) title II of the Farm Security and Rural Investment Act of 2002 (Public Law 107-171; 116 Stat. 223); orCommentsClose CommentsPermalink





`(iii) title II of the Food and Energy Security Act of 2007.CommentsClose CommentsPermalink





`(3) INCOME DERIVED FROM FARMING, RANCHING OR FORESTRY OPERATIONS- In determining what portion of the average adjusted gross income of an individual or entity is derived from farming, ranching, or forestry operations, the Secretary shall include income derived from--CommentsClose CommentsPermalink





`(A) the production of crops, livestock, or unfinished raw forestry products;CommentsClose CommentsPermalink





`(B) the sale, including the sale of easements and development rights, of farm, ranch, or forestry land or water or hunting rights;CommentsClose CommentsPermalink





`(C) the sale of equipment to conduct farm, ranch, or forestry operations;CommentsClose CommentsPermalink





`(D) the rental or lease of land used for farming, ranching, or forestry operations, including water or hunting rights;CommentsClose CommentsPermalink





`(E) the provision of production inputs and services to farmers, ranchers, and foresters;CommentsClose CommentsPermalink





`(F) the processing (including packing), storing (including shedding), and transporting of farm, ranch, and forestry commodities;CommentsClose CommentsPermalink





`(G) the sale of land that has been used for agriculture; andCommentsClose CommentsPermalink





`(H) payments or other income attributable to benefits received under any program authorized under title I or II of the Food and Energy Security Act of 2007.'.CommentsClose CommentsPermalink





(d) Transition- Section 1001D of the Food Security Act of 1985 (7 U.S.C. 1308-3a), as in effect on the day before the date of the enactment of this Act, shall continue to apply with respect to the 2007 and 2008 crops of any covered commodity or peanuts.CommentsClose CommentsPermalink

SEC. 1705. AVAILABILITY OF QUALITY INCENTIVE PAYMENTS FOR CERTAIN PRODUCERS.

(a) Incentive Payments Required- Subject to subsection (b), the Secretary shall use funds made available under subsection (f) to provide quality incentive payments for the production of oilseeds with specialized traits that enhance human health, as determined by the Secretary.CommentsClose CommentsPermalink





(b) Covered Oilseeds- The Secretary shall make payments under this section only for the production of an oilseed variety that has, as determined by the Secretary--CommentsClose CommentsPermalink





(1) been demonstrated to improve the health profile of the oilseed for use in human consumption by--CommentsClose CommentsPermalink





(A) reducing or eliminating the need to partially hydrogenate the oil derived from the oilseed for use in human consumption; orCommentsClose CommentsPermalink





(B) adopting new technology traits; andCommentsClose CommentsPermalink





(2) 1 or more impediments to commercialization.CommentsClose CommentsPermalink





(c) Request for Proposals-CommentsClose CommentsPermalink





(1) ISSUANCE- If funds are made available to carry out this section for a crop year, the Secretary shall issue a request for proposals for payments under this section.CommentsClose CommentsPermalink





(2) MULTIYEAR PROPOSALS- An entity may submit a multiyear proposal for payments under this section.CommentsClose CommentsPermalink





(3) CONTENT OF PROPOSALS- A proposal for payments under this section shall include a description of--CommentsClose CommentsPermalink





(A) each oilseed variety described in subsection (b) and the value of the oilseed variety as a matter of public policy;CommentsClose CommentsPermalink





(B) a range for the amount of total per bushel or hundredweight premiums to be paid to producers;CommentsClose CommentsPermalink





(C) a per bushel or hundredweight amount of incentive payments requested for each year under this section that does not exceed 1/3 of the total premium offered for any year;CommentsClose CommentsPermalink





(D) the period of time, not to exceed 4 years, during which incentive payments are to be provided to producers; andCommentsClose CommentsPermalink





(E) the targeted total quantity of production and estimated acres needed to produce the targeted quantity for each year under this section.CommentsClose CommentsPermalink





(d) Contracts for Production-CommentsClose CommentsPermalink





(1) IN GENERAL- The Secretary shall approve successful proposals submitted under subsection (c) on a timely basis so as to allow production contracts to be entered into with producers in advance of the spring planting season for the 2009 crop year.CommentsClose CommentsPermalink





(2) TIMING OF PAYMENTS- The Secretary shall make payments to producers under this section after the Secretary receives documentation that the premium required under a contract has been made to covered producers.CommentsClose CommentsPermalink





(e) Administration- If funding provided for a crop year is not fully allocated under the initial request for proposals under subsection (c), the Secretary shall issue additional requests for proposals for subsequent crop years under this section.CommentsClose CommentsPermalink





(f) Proprietary Information- The Secretary shall protect proprietary information provided to the Secretary for the purpose of administering this section.CommentsClose CommentsPermalink





(g) Authorization of Appropriations- There are authorized to be appropriated to carry out this section $400,000,000 for the period of fiscal years 2008 through 2012.CommentsClose CommentsPermalink

SEC. 1706. HARD WHITE WHEAT DEVELOPMENT PROGRAM.

(a) Definitions- In this section:CommentsClose CommentsPermalink





(1) ELIGIBLE HARD WHITE WHEAT SEED- The term `eligible hard white wheat seed' means hard white wheat seed that, as determined by the Secretary, is--CommentsClose CommentsPermalink





(A) certified;CommentsClose CommentsPermalink





(B) of a variety that is suitable for the State in which the seed will be planted;CommentsClose CommentsPermalink





(C) rated at least superior with respect to quality; andCommentsClose CommentsPermalink





(D) specifically approved under a seed establishment program established by the State Department of Agriculture and the State Wheat Commission of the 1 or more States in which the seed will be planted.CommentsClose CommentsPermalink





(2) PROGRAM- The term `program' means the hard white wheat development program established under subsection (b)(1).CommentsClose CommentsPermalink





(3) SECRETARY- The term `Secretary' means the Secretary of Agriculture, in consultation with the State Departments of Agriculture and the State Wheat Commissions of the States in regions in which hard white wheat is produced, as determined by the Secretary.CommentsClose CommentsPermalink





(b) Establishment-CommentsClose CommentsPermalink





(1) IN GENERAL- The Secretary shall establish a hard white wheat development program in accordance with paragraph (2) to promote the establishment of hard white wheat as a viable market class of wheat in the United States by encouraging production of at least 240,000,000 bushels of hard white wheat by 2012.CommentsClose CommentsPermalink





(2) PAYMENTS-CommentsClose CommentsPermalink





(A) IN GENERAL- Subject to subparagraphs (B) and (C) and subsection (c), the Secretary shall make available incentive payments to producers of each of the 2008 through 2012 crops of hard white wheat.CommentsClose CommentsPermalink





(B) ACREAGE LIMITATION- The Secretary shall carry out subparagraph (A) subject to a regional limitation determined by the Secretary on the number of acres for which payments may be received that takes into account planting history and potential planting, but does not exceed a total of 2,900,000 acres or the equivalent volume of production based on a yield of 50 bushels per acre.CommentsClose CommentsPermalink





(C) PAYMENT LIMITATIONS- Payments to producers on a farm described in subparagraph (A) shall be--CommentsClose CommentsPermalink





(i) in an amount that is not less than $0.20 per bushel; andCommentsClose CommentsPermalink





(ii) in an amount that is not less than $2.00 per acre for planting eligible hard white wheat seed.CommentsClose CommentsPermalink





(c) Funding- The Secretary shall make available $35,000,000 of funds of the Commodity Credit Corporation during the period of crop years 2008 through 2012 to provide incentive payments to producers of hard white wheat under this section.CommentsClose CommentsPermalink

SEC. 1707. DURUM WHEAT QUALITY PROGRAM.

(a) In General- Subject to the availability of funds under subsection (c), the Secretary shall provide compensation to producers of durum wheat in an amount not to exceed 50 percent of the actual cost of fungicides applied to a crop of durum wheat of the producers to control Fusarium head blight (wheat scab) on acres certified to have been planted to Durum wheat in a crop year.CommentsClose CommentsPermalink





(b) Insufficient Funds- If the total amount of funds appropriated for a fiscal year under subsection (c) are insufficient to fulfill all eligible requests for compensation under this section, the Secretary shall prorate the compensation payments in a manner determined by the Secretary to be equitable.CommentsClose CommentsPermalink





(c) Authorization of Appropriations- There is authorized to be appropriated to carry out this section $10,000,000 for each of fiscal years 2008 through 2012.CommentsClose CommentsPermalink

SEC. 1708. STORAGE FACILITY LOANS.

(a) In General- As soon as practicable after the date of enactment of this Act, the Secretary shall establish a storage facility loan program to provide funds for producers of grains, oilseeds, pulse crops, hay, renewable biomass, and other storable commodities (other than sugar), as determined by the Secretary, to construct or upgrade storage and handling facilities for the commodities.CommentsClose CommentsPermalink





(b) Eligible Producers- A storage facility loan under this section shall be made available to any producer described in subsection (a) that, as determined by the Secretary--CommentsClose CommentsPermalink





(1) has a satisfactory credit history;CommentsClose CommentsPermalink





(2) has a need for increased storage capacity; andCommentsClose CommentsPermalink





(3) demonstrates an ability to repay the loan.CommentsClose CommentsPermalink





(c) Term of Loans- A storage facility loan under this section shall have a maximum term of 12 years.CommentsClose CommentsPermalink





(d) Loan Amount- The maximum principal amount of a storage facility loan under this section shall be $500,000.CommentsClose CommentsPermalink





(e) Loan Disbursements- The Secretary shall provide for partial disbursements of loan principal, as determined to be appropriate and subject to acceptable documentation, to facilitate the purchase and construction of eligible facilities.CommentsClose CommentsPermalink





(f) Loan Security- Approval of a storage facility loan under this section shall--CommentsClose CommentsPermalink





(1) for loan amounts of less than $150,000, not require a lien on the real estate parcel on which the storage facility is locate;CommentsClose CommentsPermalink





(2) for loan amounts equal to or more than $150,000, not require a severance agreement from the holder of any prior lien on the real estate parcel on which the storage facility is located, if the borrower--CommentsClose CommentsPermalink





(A) agrees to increase the down payment on the storage facility loan by an amount determined appropriate by the Secretary; orCommentsClose CommentsPermalink





(B) provides other security acceptable to the Secretary; andCommentsClose CommentsPermalink





(3) allow a borrower, upon the approval of the Secretary, to define a subparcel of real estate as security for the storage facility loan if the subparcel is--CommentsClose CommentsPermalink





(A) of adequate size and value to adequately secure the loan; andCommentsClose CommentsPermalink





(B) not subject to any other liens or mortgages that are superior to the lien interest of the Commodity Credit Corporation.CommentsClose CommentsPermalink

SEC. 1709. PERSONAL LIABILITY OF PRODUCERS FOR DEFICIENCIES.

Section 164 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7284) is amended by striking `and title I of the Farm Security and Rural Investment Act of 2002' each place it appears and inserting `title I of the Farm Security and Rural Investment Act of 2002, and title I of the Food and Energy Security Act of 2007'.CommentsClose CommentsPermalink

SEC. 1710. EXTENSION OF EXISTING ADMINISTRATIVE AUTHORITY REGARDING LOANS.

Section 166 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7286) is amended in subsections (a) and (c)(1) by striking `and subtitle B and C of title I of the Farm Security and Rural Investment Act of 2002' each place it appears and inserting `title I of the Farm Security and Rural Investment Act of 2002, and title I of the Food and Energy Security Act of 2007'.CommentsClose CommentsPermalink

SEC. 1711. ASSIGNMENT OF PAYMENTS.

(a) In General- The provisions of section 8(g) of the Soil Conservation and Domestic Allotment Act (16 U.S.C. 590h(g)), relating to assignment of payments, shall apply to payments made under the authority of subtitles A through E and this subtitle.CommentsClose CommentsPermalink





(b) Notice- The producer making the assignment, or the assignee, shall provide the Secretary with notice, in such manner as the Secretary may require, of any assignment made under this section.CommentsClose CommentsPermalink

SEC. 1712. COTTON CLASSIFICATION SERVICES.

Section 3a of the Act of March 3, 1927 (7 U.S.C. 473a), is amended to read as follows:CommentsClose CommentsPermalink

`SEC. 3a. COTTON CLASSIFICATION SERVICES.

`(a) In General- The Secretary of Agriculture (referred to in this section as the `Secretary') shall--CommentsClose CommentsPermalink





`(1) make cotton classification services available to producers of cotton; andCommentsClose CommentsPermalink





`(2) provide for the collection of classification fees from participating producers or agents that voluntarily agree to collect and remit the fees on behalf of producers.CommentsClose CommentsPermalink





`(b) Use of Fees- Classification fees collected under subsection (a)(2) and the proceeds from the sales of samples submitted under this section shall, to the maximum extent practicable, be used to pay the cost of the services provided under this section, including administrative and supervisory costs.CommentsClose CommentsPermalink





`(c) Consultation-CommentsClose CommentsPermalink





`(1) IN GENERAL- In establishing the amount of fees under this section, the Secretary shall consult with representatives of the United States cotton industry.CommentsClose CommentsPermalink





`(2) EXEMPTION- The Federal Advisory Committee Act (5 U.S.C. App.) shall not apply to consultations with representatives of the United States cotton industry under this section.CommentsClose CommentsPermalink





`(d) Crediting of Fees- Any fees collected under this section and under section 3d, late payment penalties, the proceeds from the sales of samples, and interest earned from the investment of such funds shall--CommentsClose CommentsPermalink





`(1) be credited to the current appropriation account that incurs the cost of services provided under this section and section 3d; andCommentsClose CommentsPermalink





`(2) remain available without fiscal year limitation to pay the expenses of the Secretary in providing those services.CommentsClose CommentsPermalink





`(e) Investment of Funds- Funds described in subsection (d) may be invested--CommentsClose CommentsPermalink





`(1) by the Secretary in insured or fully collateralized, interest-bearing accounts; orCommentsClose CommentsPermalink





`(2) at the discretion of the Secretary, by the Secretary of the Treasury in United States Government debt instruments.CommentsClose CommentsPermalink





`(f) Lease Agreements- Notwithstanding any other provision of law, the Secretary may enter into long-term lease agreements that exceed 5 years or may take title to property (including through purchase agreements) for the purpose of obtaining offices to be used for the classification of cotton in accordance with this Act, if the Secretary determines that action would best effectuate the purposes of this Act.CommentsClose CommentsPermalink





`(g) Authorization of Appropriations- To the extent that financing is not available from fees and the proceeds from the sales of samples, there are authorized to be appropriated such sums as are necessary to carry out this section.'.CommentsClose CommentsPermalink

SEC. 1713. DESIGNATION OF STATES FOR COTTON RESEARCH AND PROMOTION.

Section 17(f) of the Cotton Research and Promotion Act (7 U.S.C. 2116(f)) is amended--CommentsClose CommentsPermalink





(1) by striking `(f) The term' and inserting the following:CommentsClose CommentsPermalink





`(f) Cotton-Producing State-CommentsClose CommentsPermalink





`(1) IN GENERAL- The term';CommentsClose CommentsPermalink





(2) by striking `more, and the term' and all that follows through the end of the subsection and inserting the following: `more.CommentsClose CommentsPermalink





`(2) INCLUSIONS- The term `cotton-producing State' includes--CommentsClose CommentsPermalink





`(A) any combination of States described in paragraph (1); andCommentsClose CommentsPermalink





`(B) effective beginning with the 2008 crop of cotton, the States of Kansas, Virginia, and Florida.'.CommentsClose CommentsPermalink

SEC. 1714. GOVERNMENT PUBLICATION OF COTTON PRICE FORECASTS.

Section 15 of the Agricultural Marketing Act (12 U.S.C. 1141j) is amended--CommentsClose CommentsPermalink





(1) by striking subsection (d); andCommentsClose CommentsPermalink





(2) by redesignating subsections (e) through (g) as subsections (d) through (f), respectively.CommentsClose CommentsPermalink

SEC. 1715. STATE, COUNTY, AND AREA COMMITTEES.

Section 8(b)(5)(B)(ii) of the Soil Conservation and Domestic Allotment Act (16 U.S.C. 590h(b)(5)(B)(ii)) is amended--CommentsClose CommentsPermalink





(1) by redesignating subclauses (I) and (II) as items (aa) and (bb), respectively, and indenting appropriately;CommentsClose CommentsPermalink





(2) in the matter preceding item (aa) (as redesignated by paragraph (1)), by striking `A committee established' and inserting the following:CommentsClose CommentsPermalink





`(I) IN GENERAL- Except as provided in subclause (II), a committee established'; andCommentsClose CommentsPermalink





(3) by adding at the end the following:CommentsClose CommentsPermalink





`(II) COMBINATION OR CONSOLIDATION OF AREAS- A committee established by combining or consolidating 2 or more county or area committees shall consist of not fewer than 3 nor more than 11 members that--CommentsClose CommentsPermalink

`(aa) are fairly representative of the agricultural producers within the area covered by the county, area, or local committee; andCommentsClose CommentsPermalink

`(bb) are elected by the agricultural producers that participate or cooperate in programs administered within the area under the jurisdiction of the county, area, or local committee.CommentsClose CommentsPermalink

`(III) REPRESENTATION OF SOCIALLY DISADVANTAGED FARMERS AND RANCHERS- The Secretary shall ensure, to the extent practicable, that representation of socially disadvantaged farmers and ranchers is maintained on combined or consolidated committees.CommentsClose CommentsPermalink





`(IV) ELIGIBILITY FOR MEMBERSHIP- Notwithstanding any other producer eligibility requirements for service on county or area committees, if a county or area is consolidated or combined, a producer shall be eligible to serve only as a member of the county or area committee that the producer elects to administer the farm records of the producer.'.CommentsClose CommentsPermalink

SEC. 1716. PROHIBITION ON CHARGING CERTAIN FEES.

Public Law 108-470 (7 U.S.C. 7416a) is amended--CommentsClose CommentsPermalink





(1) in subsection (a), by striking `may' and inserting `shall'; andCommentsClose CommentsPermalink





(2) by adding at the end the following:CommentsClose CommentsPermalink





`(c) Prohibition on Charging Certain Fees- The Secretary may not charge any fees or related costs for the collection of commodity assessments pursuant to this Act.'.CommentsClose CommentsPermalink

SEC. 1717. SIGNATURE AUTHORITY.

In carrying out this title and title II and amendments made by those titles, if the Secretary approves a document containing signatures of program applicants, the Secretary shall not subsequently determine the document is inadequate or invalid because of the lack of authority of any applicant signing the document on behalf of the applicant or any other individual, entity, general partnership, or joint venture, or the documents relied upon were determined inadequate or invalid, unless the applicant knowingly and willfully falsified the evidence of signature authority or a signature.CommentsClose CommentsPermalink

SEC. 1718. MODERNIZATION OF FARM SERVICE AGENCY.

The Secretary shall modernize the Farm Service Agency information technology and communication systems to ensure timely and efficient program delivery at national, State, and County offices.CommentsClose CommentsPermalink

SEC. 1719. GEOSPATIAL SYSTEMS.

(a) In General- The Secretary shall ensure that all agencies of the Department of Agriculture consolidate the geospatial systems of the agencies into a single enterprise system that ensures that geospatial data is shareable, portable, and standardized.CommentsClose CommentsPermalink





(b) Requirements- In carrying out subsection (a), the Secretary shall--CommentsClose CommentsPermalink





(1) identify common datasets;CommentsClose CommentsPermalink





(2) give responsibility for managing each identified dataset to the agency best suited for collecting and maintaining that data, as determined by the Secretary; andCommentsClose CommentsPermalink





(3) make every effort to minimize the duplication of efforts.CommentsClose CommentsPermalink





(c) Availability of Data- The Secretary shall ensure, to the maximum extent practicable, that data is readily available to all agencies beginning not later than 2 years after the date of enactment of this Act.CommentsClose CommentsPermalink

SEC. 1720. LEASING OFFICE SPACE.

The Secretary may use the funds, facilities, and authorities of the Commodity Credit Corporation to lease space for use by agencies of the Department of Agriculture in cases in which office space would be jointly occupied by the agencies.CommentsClose CommentsPermalink

SEC. 1721. REPEALS.

(a) Commission on Application of Payment Limitations- Section 1605 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7993) is repealed.CommentsClose CommentsPermalink





(b) Renewed Availability of Market Loss Assistance and Certain Emergency Assistance to Persons That Failed To Receive Assistance Under Earlier Authorities- Section 1617 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 8000) is repealed.CommentsClose CommentsPermalink

Subtitle F--Specialty Crop Programs

SEC. 1801. DEFINITIONS.

In this subtitle:CommentsClose CommentsPermalink





(1) SPECIALTY CROP- The term `specialty crop' has the meaning given the term in section 3 of the Specialty Crops Competitiveness Act of 2004 (7 U.S.C. 1621 note; Public Law 108-465).CommentsClose CommentsPermalink





(2) STATE- The term `State' means each of the several States of the United States.CommentsClose CommentsPermalink





(3) STATE DEPARTMENT OF AGRICULTURE- The term `State department of agriculture' means the agency, commission, or department of a State government responsible for protecting and promoting agriculture in the State.CommentsClose CommentsPermalink

PART I--MARKETING, INFORMATION, AND EDUCATION

SEC. 1811. FRUIT AND VEGETABLE MARKET NEWS ALLOCATION.

(a) In General- The Secretary, acting through the Administrator of the Agricultural Marketing Service, shall carry out market news activities to provide timely price information of United States fruits and vegetables in the United States.CommentsClose CommentsPermalink





(b) Authorization of Appropriations- There is authorized to be appropriated to carry out this section $9,000,000 for each of fiscal years 2008 through 2012, to remain available until expended.CommentsClose CommentsPermalink

SEC. 1812. FARMERS' MARKET PROMOTION PROGRAM.

Section 6 of the Farmer-to-Consumer Direct Marketing Act of 1976 (7 U.S.C. 3005) is amended--CommentsClose CommentsPermalink





(1) in subsection (a), by inserting `and to promote direct producer-to-consumer marketing' before the period at the end;CommentsClose CommentsPermalink





(2) in subsection (b)(1)(B), by striking `infrastructure' and inserting `marketing opportunities';CommentsClose CommentsPermalink





(3) in subsection (c)(1), by inserting `or a producer network or association' after `cooperative'; andCommentsClose CommentsPermalink





(4) by striking subsection (e) and inserting the following:CommentsClose CommentsPermalink





`(e) Funding- Of the funds of the Commodity Credit Corporation, the Secretary shall use to carry out this section--CommentsClose CommentsPermalink





`(1) $5,000,000 for each of fiscal years 2008 through 2011; andCommentsClose CommentsPermalink





`(2) $10,000,000 for fiscal year 2012.'.CommentsClose CommentsPermalink

SEC. 1813. FOOD SAFETY INITIATIVES.

(a) Initiative Authorized- The Secretary may carry out a food safety education program to educate the public and persons in the fresh produce industry about--CommentsClose CommentsPermalink





(1) scientifically proven practices for reducing microbial pathogens on fresh produce; andCommentsClose CommentsPermalink





(2) methods of reducing the threat of cross-contamination of fresh produce through unsanitary handling practices.CommentsClose CommentsPermalink





(b) Cooperation- The Secretary may carry out the education program in cooperation with public and private partners.CommentsClose CommentsPermalink





(c) Authorization of Appropriations- There is authorized to be appropriated to the Secretary to carry out this section $1,000,000.CommentsClose CommentsPermalink

SEC. 1814. CENSUS OF SPECIALTY CROPS.

(a) Establishment- Not later than September 30, 2008, and each 5 years thereafter, the Secretary shall conduct a census of specialty crops to assist in the regularly development and dissemination of information relative to specialty crops.CommentsClose CommentsPermalink





(b) Relation to Other Census- The Secretary may include the census of specialty crops in the census on agriculture.CommentsClose CommentsPermalink

PART II--ORGANIC PRODUCTION

SEC. 1821. ORGANIC DATA COLLECTION AND PRICE REPORTING.

Section 2104 of the Organic Foods Production Act of 1990 (7 U.S.C. 6503) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(e) Data Collection and Price Reporting- Of the funds of the Commodity Credit Corporation, the Secretary shall use $5,000,000 for the period of fiscal years 2008 through 2012--CommentsClose CommentsPermalink





`(1) to collect data relating to organic agriculture;CommentsClose CommentsPermalink





`(2) to identify and publish organic production and market data initiatives and surveys;CommentsClose CommentsPermalink





`(3) to expand, collect, and publish organic census data analyses;CommentsClose CommentsPermalink





`(4) to fund comprehensive reporting of prices relating to organically-produced agricultural products;CommentsClose CommentsPermalink





`(5) to conduct analysis relating to organic production, handling, distribution, retail, and trend studies;CommentsClose CommentsPermalink





`(6) to study and perform periodic updates on the effects of organic standards on consumer behavior; andCommentsClose CommentsPermalink





`(7) to conduct analyses for organic agriculture using the national crop table.'.CommentsClose CommentsPermalink

SEC. 1822. EXEMPTION OF CERTIFIED ORGANIC PRODUCTS FROM ASSESSMENTS.

Section 501(e) of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7401(e)) is amended by striking paragraph (1) and inserting the following:CommentsClose CommentsPermalink





`(1) IN GENERAL- Notwithstanding any provision of a commodity promotion law, a person that produces and markets organic products shall be exempt from the payment of an assessment under a commodity promotion law with respect to that portion of agricultural commodities that the person--CommentsClose CommentsPermalink





`(A) produces on a certified organic farm (as defined in section 2103 of the Organic Foods Production Act of 1990 (7 U.S.C. 6502); andCommentsClose CommentsPermalink





`(B) produces or markets as organically produced (as so defined).'.CommentsClose CommentsPermalink

SEC. 1823. NATIONAL ORGANIC CERTIFICATION COST SHARE PROGRAM.

Section 10606 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 6523) is amended to read as follows:CommentsClose CommentsPermalink

`SEC. 10606. NATIONAL ORGANIC CERTIFICATION COST-SHARE PROGRAM.

`(a) Definitions- In this section:CommentsClose CommentsPermalink





`(1) PROGRAM- The term `program' means the national certification cost-share program established under subsection (b).CommentsClose CommentsPermalink





`(2) SECRETARY- The term `Secretary' means the Secretary of Agriculture, acting through the Agricultural Marketing Service.CommentsClose CommentsPermalink





`(b) Establishment- The Secretary shall use amounts made available under subsection (f) to establish a national organic certification cost-share program under which the Secretary shall make payments to States to assist producers and handlers of agricultural products in obtaining certification under the national organic production program established under the Organic Foods Production Act of 1990 (7 U.S.C. 6501 et seq.).CommentsClose CommentsPermalink





`(c) Federal Share-CommentsClose CommentsPermalink





`(1) IN GENERAL- Subject to paragraph (2), the Secretary shall pay under this section not more than 75 percent of the costs incurred by a producer or handler in obtaining certification under the national organic production program, as certified to and approved by the Secretary.CommentsClose CommentsPermalink





`(2) MAXIMUM AMOUNT- The maximum amount of a payment made to a producer or handler under this section shall be $750.CommentsClose CommentsPermalink





`(d) Recordkeeping Requirements-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Secretary shall--CommentsClose CommentsPermalink





`(A) keep accurate, up-to-date records of requests and disbursements from the program; andCommentsClose CommentsPermalink





`(B) require accurate and consistent recordkeeping from each State and entity that receives program payments.CommentsClose CommentsPermalink





`(2) FEDERAL REQUIREMENTS- Not later than 30 days after the last day on which a State may request funding under the program, the Secretary shall--CommentsClose CommentsPermalink





`(A) determine the number of States requesting funding and the amount of each request; andCommentsClose CommentsPermalink





`(B) distribute the funding to the States.CommentsClose CommentsPermalink





`(3) STATE REQUIREMENTS- An annual funding request from a State shall include data from the program during the preceding year, including--CommentsClose CommentsPermalink





`(A) a description of--CommentsClose CommentsPermalink





`(i) the entities that requested reimbursement;CommentsClose CommentsPermalink





`(ii) the amount of each reimbursement request; andCommentsClose CommentsPermalink





`(iii) any discrepancies between the amount requested and the amount provided;CommentsClose CommentsPermalink





`(B) data to support increases in requests expected in the coming year, including information from certifiers or other data showing growth projections; andCommentsClose CommentsPermalink





`(C) an explanation of any case in which an annual request is lower than the request of the preceding year.CommentsClose CommentsPermalink





`(e) Reporting- Not later than March 1 of each year, the Secretary shall submit to Congress a report that describes the expenditures for each State under the program during the previous fiscal year, including the number of producers and handlers served by the program in the previous fiscal year.CommentsClose CommentsPermalink





`(f) Funding-CommentsClose CommentsPermalink





`(1) IN GENERAL- Not later than 30 days after the date of enactment of the Food and Energy Security Act of 2007, out of any funds in the Treasury not otherwise appropriated, the Secretary of the Treasury shall transfer to the Secretary of Agriculture to carry out this section $22,000,000, to remain available until expended.CommentsClose CommentsPermalink





`(2) RECEIPT AND ACCEPTANCE- The Secretary shall be entitled to receive, shall accept, and shall use to carry out this section the funds transferred under paragraph (1), without further appropriation.'.CommentsClose CommentsPermalink

SEC. 1824. NATIONAL ORGANIC PROGRAM.

Section 2123 of the Organic Foods Production Act of 1990 (7 U.S.C. 6522) is amended--CommentsClose CommentsPermalink





(1) by striking `There are' and inserting the following:CommentsClose CommentsPermalink





`(a) In General- There are'; andCommentsClose CommentsPermalink





(2) by adding at the end the following:CommentsClose CommentsPermalink





`(b) National Organic Program- Notwithstanding any other provision of law, in order to carry out the activities of the Agricultural Marketing Service under the national organic program established under this title, there are authorized to be appropriated--CommentsClose CommentsPermalink





`(1) $5,000,000 for fiscal year 2008;CommentsClose CommentsPermalink





`(2) $6,500,000 for fiscal year 2009;CommentsClose CommentsPermalink





`(3) $8,000,000 for fiscal year 2010;CommentsClose CommentsPermalink





`(4) $9,500,000 for fiscal year 2011; andCommentsClose CommentsPermalink





`(5) $11,000,000 for fiscal year 2012.'.CommentsClose CommentsPermalink

PART III--INTERNATIONAL TRADE

SEC. 1831. FOREIGN MARKET ACCESS STUDY AND STRATEGY PLAN.

(a) Definition of Uruguay Round Agreements- In this section, the term `Uruguay Round Agreements' includes any agreement described in section 101(d) of the Uruguay Round Agreements Act (19 U.S.C. 3511(d)).CommentsClose CommentsPermalink





(b) Study- The Comptroller General of the United States shall study--CommentsClose CommentsPermalink





(1) the extent to which United States specialty crops have or have not benefitted from any reductions of foreign trade barriers, as provided for in the Uruguay Round Agreements; andCommentsClose CommentsPermalink





(2) the reasons why United States specialty crops have or have not benefitted from such trade-barrier reductions.CommentsClose CommentsPermalink





(c) Strategy Plan- The Secretary shall prepare a foreign market access strategy plan based on the study in subsection (b), to increase exports of specialty crops, including an assessment of the foreign trade barriers that are incompatible with the Uruguay Round Agreements and a strategy for removing those barriers.CommentsClose CommentsPermalink





(d) Report- Not later than 18 months after the date of enactment of this Act--CommentsClose CommentsPermalink





(1) the Comptroller General shall submit to Congress a report that contains the results of the study; andCommentsClose CommentsPermalink





(2) the Secretary shall submit to Congress the strategy plan.CommentsClose CommentsPermalink

SEC. 1832. MARKET ACCESS PROGRAM.

Section 211(c) of the Agricultural Trade Act of 1978 (7 U.S.C. 5641(c)) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(3) MINIMUM ALLOCATION FOR SALE AND EXPORT PROPOSAL-CommentsClose CommentsPermalink





`(A) IN GENERAL- In providing funds under paragraph (2), to the maximum extent practicable, the Secretary shall use not less than 50 percent of any of the funds made available in excess of $200,000,000 to carry out the market access program each fiscal year to provide assistance for proposals submitted by eligible trade organizations to promote the sale and export of specialty crops.CommentsClose CommentsPermalink





`(B) UNALLOCATED FUNDS- If, by March 31 of any fiscal year, the Secretary determines that the total amount of funds made available to carry out the market access program are in excess of the amounts necessary to promote the sale and export of specialty crops during the fiscal year, the Secretary may use the excess funds to provide assistance for any other proposals submitted by eligible trade organizations consistent with the priorities described in paragraph (2).'.CommentsClose CommentsPermalink

SEC. 1833. TECHNICAL ASSISTANCE FOR SPECIALTY CROPS.

Section 3205 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 5680) is amended by striking subsection (d) and inserting the following:CommentsClose CommentsPermalink





`(d) Petition- A participant in the program may petition the Secretary for an extension of a project carried out under this section that exceeds, or will exceed, applicable time restrictions.CommentsClose CommentsPermalink





`(e) Funding-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Secretary shall make available to carry out the program under this section--CommentsClose CommentsPermalink





`(A) $6,800,000 of funds of, or an equal value of commodities owned by, the Commodity Credit Corporation for each of fiscal years 2008 through 2011; andCommentsClose CommentsPermalink





`(B) $2,000,000 of funds of, or an equal value of commodities owned by, the Commodity Credit Corporation for fiscal year 2012 and each subsequent fiscal year.CommentsClose CommentsPermalink





`(2) CARRYOVER OF UNOBLIGATED FUNDS- In a case in which the total amount of funds or commodities made available under paragraph (1) for a fiscal year is not obligated in that fiscal year, the Secretary shall make available in the subsequent fiscal year an amount equal to--CommentsClose CommentsPermalink





`(A) the amount made available for the fiscal year under paragraph (1); plusCommentsClose CommentsPermalink





`(B) the amount not obligated in the previous fiscal year.'CommentsClose CommentsPermalink

SEC. 1834. CONSULTATIONS ON SANITARY AND PHYTOSANITARY RESTRICTIONS FOR FRUITS AND VEGETABLES.

(a) Consultations on Sanitary and Phytosanitary Restrictions for Fruits and Vegetables- To the maximum extent practicable, the Secretary and the United States Trade Representative shall consult with interested persons, and conduct annual briefings, on sanitary and phytosanitary trade issues, including--CommentsClose CommentsPermalink





(1) the development of a strategic risk management framework; andCommentsClose CommentsPermalink





(2) as appropriate, implementation of peer review for risk analysis.CommentsClose CommentsPermalink





(b) Special Consultations on Import-Sensitive Products- Section 2104(b)(2)(A)(ii)(II) of the Bipartisan Trade Promotion Authority Act of 2002 (19 U.S.C. 3804(b)(2)(A)(ii)(II)) is amended--CommentsClose CommentsPermalink





(1) by striking `whether the products so identified' and inserting `whether--CommentsClose CommentsPermalink

`(aa) the products so identified'; andCommentsClose CommentsPermalink

(2) by adding at the end the following:CommentsClose CommentsPermalink

`(bb) any fruits or vegetables so identified are subject to or likely to be subject to unjustified sanitary or phytosanitary restrictions, including restrictions not based on scientific principles in contravention of the Uruguay Round Agreements, as determined by the United States Trade Representative Technical Advisory Committee for Trade in Fruits and Vegetables of the Department of Agriculture; and'.CommentsClose CommentsPermalink

(c) Effective Date- The amendments made by subsection (b) apply with respect to the initiation of negotiations to enter into any trade agreement that is subject to section 2103(b) of the Bipartisan Trade Promotion Authority Act of 2002 (19 U.S.C. 3803(b)) on or after the date of the enactment of this Act.CommentsClose CommentsPermalink

PART IV--SPECIALTY CROPS COMPETITIVENESS

SEC. 1841. SPECIALTY CROP BLOCK GRANTS.

(a) Extension of Program- Section 101(a) of the Specialty Crops Competitiveness Act of 2004 (7 U.S.C. 1621 note; Public Law 108-465) is amended by striking `2009' and inserting `2012'.CommentsClose CommentsPermalink





(b) Availability of Funds- Section 101 of the Specialty Crops Competitiveness Act of 2004 (7 U.S.C. 1621 note; Public Law 108-465) is amended by striking subsection (i) and inserting the following:CommentsClose CommentsPermalink





`(i) Funding- Of the funds of the Commodity Credit Corporation, the Secretary of Agriculture shall make grants under this section, using--CommentsClose CommentsPermalink





`(1) $60,000,000 for fiscal year 2008;CommentsClose CommentsPermalink





`(2) $65,000,000 for fiscal year 2009;CommentsClose CommentsPermalink





`(3) $70,000,000 for fiscal year 2010;CommentsClose CommentsPermalink





`(4) $75,000,000 for fiscal year 2011; andCommentsClose CommentsPermalink





`(5) $0 for fiscal year 2012.'.CommentsClose CommentsPermalink





(c) Conforming Amendments- Section 101 of the Specialty Crops Competitiveness Act of 2004 (7 U.S.C. 1621 note; Public Law 108-465) is amended--CommentsClose CommentsPermalink





(1) in subsection (a), by striking `Subject to the appropriation of funds to carry out this section' and inserting `Using the funds made available under subsection (i)';CommentsClose CommentsPermalink





(2) in subsection (b), by striking `appropriated pursuant to the authorization of appropriations in' and inserting `made available under';CommentsClose CommentsPermalink





(3) by striking subsection (c) and inserting the following:CommentsClose CommentsPermalink





`(c) Minimum Grant Amount- Notwithstanding subsection (b), each State shall receive a grant under this section for each fiscal year in an amount that is at least 1/2 of 1 percent of the total amount of funding made available to carry out this section for the fiscal year.';CommentsClose CommentsPermalink





(4) by redesignating subsection (i) as subsection (j); andCommentsClose CommentsPermalink





(5) by inserting after subsection (h) the following:CommentsClose CommentsPermalink





`(i) Reallocation- The Secretary may reallocate to other States any amounts made available under this section that are not obligated or expended by a date determined by the Secretary.'.CommentsClose CommentsPermalink





(d) Definition of Specialty Crop- Section 3 of the Specialty Crops Competitiveness Act of 2004 (7 U.S.C. 1621 note; Public Law 108-465) is amended by striking paragraph (1) and inserting the following:CommentsClose CommentsPermalink





`(1) SPECIALTY CROP- The term `specialty crop' means fruits, vegetables, tree nuts, dried fruits, nursery crops, floriculture, and horticulture, including turfgrass sod and herbal crops.'.CommentsClose CommentsPermalink





(e) Definition of State- Section 3(2) of the Specialty Crops Competitiveness Act of 2004 (7 U.S.C. 1621 note; Public Law 108-465) is amended by striking `and the Commonwealth of Puerto Rico' and inserting `the Commonwealth of Puerto Rico, Guam, American Samoa, the United States Virgin Islands, and the Commonwealth of the Northern Mariana Islands'.CommentsClose CommentsPermalink

SEC. 1842. GRANT PROGRAM TO IMPROVE MOVEMENT OF SPECIALTY CROPS.

Title II of the Specialty Crops Competitiveness Act of 2004 (Public Law 108-465; 118 Stat. 3884) is amended by adding at the end the following:CommentsClose CommentsPermalink

`SEC. 204. GRANT PROGRAM TO IMPROVE MOVEMENT OF SPECIALTY CROPS.

`(a) In General- The Secretary of Agriculture may make grants under this section to an eligible entity described in subsection (b)--CommentsClose CommentsPermalink





`(1) to improve the cost-effective movement of specialty crops to local, regional, national, and international markets; andCommentsClose CommentsPermalink





`(2) to address regional intermodal transportation deficiencies that adversely affect the movement of specialty crops to markets inside or outside the United States.CommentsClose CommentsPermalink





`(b) Eligible Entities- Grants may be made under this section to--CommentsClose CommentsPermalink





`(1) a State or local government;CommentsClose CommentsPermalink





`(2) a grower cooperative;CommentsClose CommentsPermalink





`(3) a State or regional producer or shipper organization;CommentsClose CommentsPermalink





`(4) a combination of entities described in paragraphs (1) through (3); orCommentsClose CommentsPermalink





`(5) other entities, as determined by the Secretary.CommentsClose CommentsPermalink





`(c) Matching Funds- As a condition of the receipt of a grant under this section, the recipient of a grant under this section shall contribute an amount of non-Federal funds toward the project for which the grant is provided that is at least equal to the amount of grant funds received by the recipient under this section.CommentsClose CommentsPermalink





`(d) Authorization of Appropriations- There are authorized to be appropriated such sums as are necessary to carry out this section for each of fiscal years 2008 through 2012.'.CommentsClose CommentsPermalink

SEC. 1843. HEALTHY FOOD ENTERPRISE DEVELOPMENT CENTER.

Title II of the Specialty Crops Competitiveness Act of 2004 (Public Law 108-465; 118 Stat. 3884) (as amended by section 1842) is amended by adding at the end the following:CommentsClose CommentsPermalink

`SEC. 205. HEALTHY FOOD ENTERPRISE DEVELOPMENT CENTER.

`(a) Definitions- In this section:CommentsClose CommentsPermalink





`(1) CENTER- The term `Center' means the healthy food enterprise development center established under subsection (b).CommentsClose CommentsPermalink





`(2) ELIGIBLE ENTITY- The term `eligible entity' means--CommentsClose CommentsPermalink





`(A) a nonprofit organization;CommentsClose CommentsPermalink





`(B) a cooperative;CommentsClose CommentsPermalink





`(C) a business;CommentsClose CommentsPermalink





`(D) an agricultural producer;CommentsClose CommentsPermalink





`(E) an academic institution;CommentsClose CommentsPermalink





`(F) an individual; andCommentsClose CommentsPermalink





`(G) such other entities as the Secretary may designate.CommentsClose CommentsPermalink





`(3) SECRETARY- The term `Secretary' means the Secretary of Agriculture.CommentsClose CommentsPermalink





`(4) UNDERSERVED COMMUNITY- The term `underserved community' means a community (including an urban or rural community and an Indian tribal community) that, as determined by the Secretary, has--CommentsClose CommentsPermalink





`(A) limited access to affordable, healthy foods, including fresh fruits and vegetables;CommentsClose CommentsPermalink





`(B) a high incidence of a diet-related disease (including obesity) as compared to the national average;CommentsClose CommentsPermalink





`(C) a high rate of hunger or food insecurity; orCommentsClose CommentsPermalink





`(D) severe or persistent poverty.CommentsClose CommentsPermalink





`(b) Center- The Secretary, acting through the Agricultural Marketing Service, shall offer to enter into a contract with a nonprofit organization to establish and support a healthy food enterprise development center to increase access to healthy, affordable foods, such as fresh fruit and vegetables, particularly for school-aged children and individuals in low-income communities.CommentsClose CommentsPermalink





`(c) Activities-CommentsClose CommentsPermalink





`(1) PURPOSE- The purpose of the Center is to increase access to healthy affordable foods, including locally produced agricultural products, to underserved communities.CommentsClose CommentsPermalink





`(2) TECHNICAL ASSISTANCE AND INFORMATION- The Center shall collect, develop, and provide technical assistance and information to small and mid-sized agricultural producers, food wholesalers and retailers, schools, and other individuals and entities regarding best practices and the availability of assistance for aggregating, storing, processing, and marketing locally produced agricultural products and increasing the availability of the products in underserved communities.CommentsClose CommentsPermalink





`(d) Authority To Subgrant- The Center may provide subgrants to eligible entities to carry out feasibility studies to establish businesses to carry out the purposes of this section.CommentsClose CommentsPermalink





`(e) Priority- In providing technical assistance and grants under subsections (c)(2) and (d), the Center shall give priority to applications that have components that will--CommentsClose CommentsPermalink





`(1) benefit underserved communities; andCommentsClose CommentsPermalink





`(2) develop market opportunities for small and mid-sized farm and ranch operations.CommentsClose CommentsPermalink





`(f) Report- For each fiscal year for which the nonprofit organization described in subsection (b) receives funds, the organization shall submit to the Secretary a report describing the activities carried out in the previous fiscal year, including--CommentsClose CommentsPermalink





`(1) a description of technical assistance provided;CommentsClose CommentsPermalink





`(2) the total number and a description of the subgrants provided under subsection (d);CommentsClose CommentsPermalink





`(3) a complete listing of cases in which the activities of the Center have resulted in increased access to healthy, affordable foods, such as fresh fruit and vegetables, particularly for school-aged children and individuals in low-income communities; andCommentsClose CommentsPermalink





`(4) a determination of whether the activities identified in paragraph (3) are sustained in the years following the initial provision of technical assistance and subgrants under this section.CommentsClose CommentsPermalink





`(g) Competitive Award Process- The Secretary shall use a competitive process to award funds to establish the Center.CommentsClose CommentsPermalink





`(h) Funding- Out of any funds in the Treasury not otherwise appropriated, the Secretary of the Treasury shall transfer to the Secretary to carry out this section--CommentsClose CommentsPermalink





`(1) $1,000,000 for fiscal year 2009; andCommentsClose CommentsPermalink





`(2) $2,000,000 for each of fiscal years 2010 through 2012.'.CommentsClose CommentsPermalink

PART V--MISCELLANEOUS

SEC. 1851. CLEAN PLANT NETWORK.

(a) In General- The Secretary shall establish a program to be known as the `National Clean Plant Network' (referred to in this section as the `Program').CommentsClose CommentsPermalink





(b) Requirements- Under the Program, the Secretary shall establish a network of clean plant centers for diagnostic and pathogen elimination services to--CommentsClose CommentsPermalink





(1) produce clean propagative plant material; andCommentsClose CommentsPermalink





(2) maintain blocks of pathogen-tested plant material in sites located throughout the United States.CommentsClose CommentsPermalink





(c) Availability of Clean Plant Source Material- Clean plant source material may be made available to--CommentsClose CommentsPermalink





(1) a State for a certified plant program of the State; andCommentsClose CommentsPermalink





(2) private nurseries and producers.CommentsClose CommentsPermalink





(d) Consultation and Collaboration- In carrying out the Program, the Secretary shall--CommentsClose CommentsPermalink





(1) consult with State departments of agriculture and land grant universities; andCommentsClose CommentsPermalink





(2) to the extent practicable and with input from the appropriate State officials and industry representatives, use existing Federal or State facilities to serve as clean plant centers.CommentsClose CommentsPermalink





(e) Funding- Of the funds of the Commodity Credit Corporation, the Secretary shall use to carry out the Program $4,000,000 for each of fiscal years 2008 through 2012.CommentsClose CommentsPermalink

SEC. 1852. MARKET LOSS ASSISTANCE FOR ASPARAGUS PRODUCERS.

(a) In General- As soon as practicable after the date of enactment of this Act, the Secretary shall make payments to producers of the 2007 crop of asparagus for market loss resulting from imports during the 2004 through 2007 crop years.CommentsClose CommentsPermalink





(b) Payment Rate- The payment rate for a payment under this section shall be based on the reduction in revenue received by asparagus producers associated with imports during the 2004 through 2007 crop years.CommentsClose CommentsPermalink





(c) Payment Quantity- The payment quantity for asparagus for which the producers on a farm are eligible for payments under this section shall be equal to the average quantity of the 2003 crop of asparagus produced by producers on the farm.CommentsClose CommentsPermalink





(d) Funding-CommentsClose CommentsPermalink





(1) IN GENERAL- Subject to paragraph (2), the Secretary shall make available $15,000,000 of the funds of the Commodity Credit Corporation to carry out a program to provide market loss payments to producers of asparagus under this section.CommentsClose CommentsPermalink





(2) ALLOCATION- Of the amount made available under paragraph (1), the Secretary shall use--CommentsClose CommentsPermalink





(A) $7,500,000 to make payments to producers of asparagus for the fresh market; andCommentsClose CommentsPermalink





(B) $7,500,000 to make payments to producers of asparagus for the processed or frozen market.CommentsClose CommentsPermalink

SEC. 1853. MUSHROOM PROMOTION, RESEARCH, AND CONSUMER INFORMATION.

(a) Regions and Members- Section 1925(b)(2) of the Mushroom Promotion, Research, and Consumer Information Act of 1990 (7 U.S.C. 6104(b)(2)) is amended--CommentsClose CommentsPermalink





(1) in subparagraph (B), by striking `4 regions' and inserting `3 regions';CommentsClose CommentsPermalink





(2) in subparagraph (D), by striking `35,000,000 pounds' and inserting `50,000,000 pounds'; andCommentsClose CommentsPermalink





(3) by striking subparagraph (E), and inserting the following:CommentsClose CommentsPermalink





`(E) ADDITIONAL MEMBERS- In addition to the members appointed pursuant to paragraph (1), and subject to the 9-member limitation on members on the Council provided in that paragraph, the Secretary shall appoint additional members to the Council from a region that attains additional pounds of production of mushrooms as follows:CommentsClose CommentsPermalink





`(i) If the annual production of the region is greater than 110,000,000 pounds, but not more than 180,000,000 pounds, the region shall be represented by 1 additional member.CommentsClose CommentsPermalink





`(ii) If the annual production of the region is greater than 180,000,000 pounds, but not more than 260,000,000 pounds, the region shall be represented by 2 additional members.CommentsClose CommentsPermalink





`(iii) If the annual production of the region is greater than 260,000,000 pounds, the region shall be represented by 3 additional members.'.CommentsClose CommentsPermalink





(b) Powers and Duties of Council- Section 1925(c) of the Mushroom Promotion, Research, and Consumer Information Act of 1990 (7 U.S.C. 6104(c)) is amended--CommentsClose CommentsPermalink





(1) by redesignating paragraphs (6), (7), and (8) as paragraphs (7), (8), and (9), respectively; andCommentsClose CommentsPermalink





(2) by inserting after paragraph (5) the following:CommentsClose CommentsPermalink





`(6) to develop food safety programs, including good agricultural practices and good handling practices or related activities for mushrooms;'.CommentsClose CommentsPermalink

SEC. 1854. NATIONAL HONEY BOARD.

Section 7(c) of the Honey Research, Promotion, and Consumer Information Act (7 U.S.C. 4606(c)) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(12) REFERENDUM REQUIREMENT-CommentsClose CommentsPermalink





`(A) IN GENERAL- Notwithstanding any other provision of law, subject to subparagraph (B), the order providing for the establishment and operation of the Honey Board in effect on the date of enactment of this paragraph shall continue in force, and the Secretary shall not schedule or conduct any referendum on the continuation or termination of the order, until the Secretary first conducts, at the earliest practicable date, concurrent referenda among all eligible producers, importers, packers, and handlers of honey for the purpose of ascertaining whether eligible producers, importers, packers, and handlers of honey approve of 1 or more orders to establish successor marketing boards for honey.CommentsClose CommentsPermalink





`(B) REQUIREMENTS- In conducting concurrent referenda under subparagraph (A), the Secretary shall ensure that--CommentsClose CommentsPermalink





`(i) a referendum of United States honey producers for the establishment of a marketing board solely for United States honey producers is included in the process; andCommentsClose CommentsPermalink





`(ii) the rights and interests of honey producers, importers, packers, and handlers of honey are protected in the transition to any new marketing board.'.CommentsClose CommentsPermalink

SEC. 1855. IDENTIFICATION OF HONEY.

Section 203(h) of the Agricultural Marketing Act of 1946 (7 U.S.C. 1622(h)) is amended--CommentsClose CommentsPermalink





(1) by designating the first through sixth sentences as paragraphs (1), (2)(A), (2)(B), (3), (4), and (5), respectively; andCommentsClose CommentsPermalink





(2) by adding at the end the following:CommentsClose CommentsPermalink





`(6) IDENTIFICATION OF HONEY- The use of a label or advertising material on, or in conjunction with, packaged honey that bears any official certificate of quality, grade mark or statement, continuous inspection mark or statement, sampling mark or statement, or any combination of the certificates, marks, or statements of the Department of Agriculture shall be considered a deceptive practice that is prohibited under this Act unless there appears legibly and permanently in close proximity to the certificate, mark, or statement, and in at least a comparable size, the 1 or more names of the 1 or more countries of origin of the lot or container of honey, preceded by `Product of' or other words of similar meaning.'.CommentsClose CommentsPermalink

SEC. 1856. EXPEDITED MARKETING ORDER FOR HASS AVOCADOS FOR GRADES AND STANDARDS AND OTHER PURPOSES.

(a) In General- The Secretary shall initiate procedures under the Agricultural Adjustment Act (7 U.S.C. 601 et seq.), reenacted with amendments by the Agricultural Marketing Agreement Act of 1937, to determine whether it would be appropriate to establish a Federal marketing order for Hass avocados relating to grades and standards and for other purposes under that Act.CommentsClose CommentsPermalink





(b) Expedited Procedures-CommentsClose CommentsPermalink





(1) PROPOSAL FOR AN ORDER- An organization of domestic avocado producers in existence on the date of enactment of this Act may request the issuance of, and submit to the Secretary a proposal for, an order described in subsection (a).CommentsClose CommentsPermalink





(2) PUBLICATION OF PROPOSAL- Not later than 60 days after the date on which the Secretary receives a proposed order under paragraph (1), the Secretary shall initiate procedures described in subsection (a) to determine whether the proposed order should proceed.CommentsClose CommentsPermalink





(c) Effective Date- Any order issued under this section shall become effective not later than 15 months after the date on which the Secretary initiates procedures under the Agricultural Adjustment Act (7 U.S.C. 601 et seq.), reenacted with amendments by the Agricultural Marketing Agreement Act of 1937.CommentsClose CommentsPermalink

Subtitle G--Risk Management

SEC. 1901. DEFINITION OF ORGANIC CROP.

Section 502(b) of the Federal Crop Insurance Act (7 U.S.C. 1502(b)) is amended--CommentsClose CommentsPermalink





(1) by redesignating paragraphs (7) and (8) as paragraphs (8) and (9), respectively; andCommentsClose CommentsPermalink





(2) by inserting after paragraph (6) the following:CommentsClose CommentsPermalink





`(7) ORGANIC CROP- The term `organic crop' means an agricultural commodity that is organically produced consistent with section 2103 of the Organic Foods Production Act of 1990 (7 U.S.C. 6502).'.CommentsClose CommentsPermalink

SEC. 1902. GENERAL POWERS.

(a) In General- Section 506 of the Federal Crop Insurance Act (7 U.S.C. 1506) is amended--CommentsClose CommentsPermalink





(1) in the first sentence of subsection (d), by striking `The Corporation' and inserting `Subject to section 508(j)(2)(A), the Corporation'; andCommentsClose CommentsPermalink





(2) by striking subsection (n).CommentsClose CommentsPermalink





(b) Conforming Amendments-CommentsClose CommentsPermalink





(1) Section 506 of the Federal Crop Insurance Act (7 U.S.C. 1506) is amended by redesignating subsections (o), (p), and (q) as subsections (n), (o), and (p), respectively.CommentsClose CommentsPermalink





(2) Section 521 of the Federal Crop Insurance Act (7 U.S.C. 1521) is amended by striking the last sentence.CommentsClose CommentsPermalink

SEC. 1903. REDUCTION IN LOSS RATIO.

(a) Projected Loss Ratio- Subsection (n)(2) of section 506 of the Federal Crop Insurance Act (7 U.S.C. 1506) (as redesignated by section 1902(b)(1)) is amended--CommentsClose CommentsPermalink





(1) in the paragraph heading, by striking `AS OF OCTOBER 1, 1998';CommentsClose CommentsPermalink





(2) by striking `, on and after October 1, 1998,'; andCommentsClose CommentsPermalink





(3) by striking `1.075' and inserting `1.0'.CommentsClose CommentsPermalink





(b) Premiums Required- Section 508(d)(1) of the Federal Crop Insurance Act (7 U.S.C. 1508(d)(1)) is amended by striking `not greater than' and all that follows and inserting `not greater than--CommentsClose CommentsPermalink





`(A) 1.1 through September 30, 1998;CommentsClose CommentsPermalink





`(B) 1.075 for the period beginning October 1, 1998, and ending on the date of enactment of the Food and Energy Security Act of 2007; andCommentsClose CommentsPermalink





`(C) 1.0 on and after the date of enactment of that Act.'.CommentsClose CommentsPermalink

SEC. 1904. CONTROLLED BUSINESS INSURANCE.

Section 508(a) of the Federal Crop Insurance Act (7 U.S.C. 1508(a) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(9) COMMISSIONS-CommentsClose CommentsPermalink





`(A) DEFINITION OF IMMEDIATE FAMILY- In this paragraph, the term `immediate family' means a person's father, mother, stepfather, stepmother, brother, sister, stepbrother, stepsister, son, daughter, stepson, stepdaughter, grandparent, grandson, granddaughter, father-in-law, mother-in-law, brother-in-law, sister-in-law, son-in-law, daughter-in-law, the spouse of the foregoing, and the person's spouse.CommentsClose CommentsPermalink





`(B) PROHIBITION- No person may receive a commission or share of a commission for any policy or plan of insurance offered under this Act in which the person has a substantial beneficial interest or in which a member of the person's immediate family has a substantial beneficial interest if, in a calendar year, the aggregate of the commissions exceeds 30 percent of the aggregate of all commissions received by the person for any policy or plan of insurance offered under this Act.CommentsClose CommentsPermalink





`(C) REPORTING- On the completion of the reinsurance year, any person that received a commission or share of a commission for any policy or plan of insurance offered under this Act in the prior calendar year shall certify to applicable approved insurance providers that the person received the commissions in compliance with this paragraph.CommentsClose CommentsPermalink





`(D) SANCTIONS- The requirements and sanctions prescribed in section 515(h) shall apply to the prosecution of a violation of this paragraph.CommentsClose CommentsPermalink





`(E) APPLICABILITY-CommentsClose CommentsPermalink





`(i) IN GENERAL- Sanctions for violations under this paragraph shall only apply to the person directly responsible for the certification required under subparagraph (C) or the failure to comply with the requirements of this paragraph.CommentsClose CommentsPermalink





`(ii) PROHIBITION- No sanctions shall apply with respect to the policy or plans of insurance upon which commissions are received, including the reinsurance for those policies or plans.'.CommentsClose CommentsPermalink

SEC. 1905. ADMINISTRATIVE FEE.

Section 508(b)(5) of the Federal Crop Insurance Act (7 U.S.C. 1508(b)(5)) is amended--CommentsClose CommentsPermalink





(1) in subparagraph (A), by striking `$100' and inserting `$200'; andCommentsClose CommentsPermalink





(2) in subparagraph (B)--CommentsClose CommentsPermalink





(A) by striking `PAYMENT ON BEHALF OF PRODUCERS' and inserting `PAYMENT OF CATASTROPHIC RISK PROTECTION FEE ON BEHALF OF PRODUCERS';CommentsClose CommentsPermalink





(B) in clause (i)--CommentsClose CommentsPermalink





(i) by striking `or other payment'; andCommentsClose CommentsPermalink





(ii) by striking `with catastrophic risk protection or additional coverage' and inserting `through the payment of catastrophic risk protection administrative fees';CommentsClose CommentsPermalink





(C) by striking clauses (ii) and (vi);CommentsClose CommentsPermalink





(D) by redesignating clauses (iii), (iv), and (v) as clauses (ii), (iii), and (iv), respectively;CommentsClose CommentsPermalink





(E) in clause (iii) (as so redesignated), by striking `A policy or plan of insurance' and inserting `Catastrophic risk protection coverage'; andCommentsClose CommentsPermalink





(F) in clause (iv) (as so redesignated)--CommentsClose CommentsPermalink





(i) by striking `or other arrangement under this subparagraph'; andCommentsClose CommentsPermalink





(ii) by striking `additional'.CommentsClose CommentsPermalink

SEC. 1906. TIME FOR PAYMENT.

Section 508 of the Federal Crop Insurance Act (7 U.S.C. 1508) is amended--CommentsClose CommentsPermalink





(1) in subsection (d), by adding at the end the following:CommentsClose CommentsPermalink





`(4) TIME FOR PAYMENT- Effective beginning with the 2012 reinsurance year, a producer that obtains a policy or plan of insurance under this title shall submit the required premium not later than September 30 of the year for which the plan or policy of insurance was obtained.'; andCommentsClose CommentsPermalink





(2) in subsection (k)(4), by adding at the end the following:CommentsClose CommentsPermalink





`(D) TIME FOR REIMBURSEMENT- Effective beginning with the 2012 reinsurance year, the Corporation shall reimburse approved insurance providers and agents for the allowable administrative and operating costs of the providers and agents as soon as practicable after October 1 (but not later than October 31) of the reinsurance year for which reimbursements are earned.'.CommentsClose CommentsPermalink

SEC. 1907. SURCHARGE PROHIBITION.

Section 508(d) of the Federal Crop Insurance Act (7 U.S.C. 1508(d)) (as amended by section 1906(1)) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(5) SURCHARGE PROHIBITION-CommentsClose CommentsPermalink





`(A) IN GENERAL- Except as provided in subparagraph (B), the Corporation may not require producers to pay a premium surcharge for using scientifically-sound sustainable and organic farming practices and systems.CommentsClose CommentsPermalink





`(B) EXCEPTION-CommentsClose CommentsPermalink





`(i) IN GENERAL- A surcharge may be required for individual organic crops on the basis of significant, consistent, and systemic increased risk factors (including loss history) demonstrated by published cropping system research (as applied to crop types and regions) and other relevant sources of information.CommentsClose CommentsPermalink





`(ii) CONSULTATION- The Corporation shall evaluate the reliability of information described in clause (i) in consultation with independent experts in the field.'.CommentsClose CommentsPermalink

SEC. 1908. PREMIUM REDUCTION PLAN.

Section 508(e) of Federal Crop Insurance Act (7 U.S.C. 1508(e)) is amended by striking paragraph (3) and inserting the following:CommentsClose CommentsPermalink





`(3) DISCOUNT STUDY-CommentsClose CommentsPermalink





`(A) IN GENERAL- The Secretary shall commission an entity independent of the crop insurance industry (with expertise that includes traditional crop insurance) to study the feasibility of permitting approved insurance providers to provide discounts to producers purchasing crop insurance coverage without undermining the viability of the Federal crop insurance program.CommentsClose CommentsPermalink





`(B) COMPONENTS- The study should include--CommentsClose CommentsPermalink





`(i) an evaluation of the operation of a premium reduction plan that examines--CommentsClose CommentsPermalink





`(I) the clarity, efficiency, and effectiveness of the statutory language and related regulations;CommentsClose CommentsPermalink





`(II) whether the regulations frustrated the goal of offering producers upfront, predictable, and reliable premium discount payments; andCommentsClose CommentsPermalink





`(III) whether the regulations provided for reasonable, cost-effective oversight by the Corporation of premium discounts offered by approved insurance providers, including--CommentsClose CommentsPermalink

`(aa) whether the savings were generated from verifiable cost efficiencies adequate to offset the cost of discounts paid; andCommentsClose CommentsPermalink

`(bb) whether appropriate control was exercised to prevent approved insurance providers from preferentially offering the discount to producers of certain agricultural commodities, in certain regions, or in specific size categories;CommentsClose CommentsPermalink

`(ii) examination of the impact on producers, the crop insurance industry, and profitability from offering discounted crop insurance to producers;CommentsClose CommentsPermalink





`(iii) examination of implications for industry concentration from offering discounted crop insurance to producers;CommentsClose CommentsPermalink





`(iv) an examination of the desirability and feasibility of allowing other forms of price competition in the Federal crop insurance program;CommentsClose CommentsPermalink





`(v) a review of the history of commissions paid by crop insurance providers; andCommentsClose CommentsPermalink





`(vi) recommendations on--CommentsClose CommentsPermalink





`(I) potential changes to this title that would address the deficiencies in past efforts to provide discounted crop insurance to producers,CommentsClose CommentsPermalink





`(II) whether approved insurance providers should be allowed to draw on both administrative and operating reimbursement and underwriting gains to provide discounted crop insurance to producers; andCommentsClose CommentsPermalink





`(III) any other action that could increase competition in the crop insurance industry that will benefit producers but not undermine the viability of the Federal crop insurance program.CommentsClose CommentsPermalink





`(C) REQUEST FOR PROPOSALS- In developing the request for proposals for the study, the Secretary shall consult with parties in the crop insurance industry (including producers and approved insurance providers and agents, including providers and agents with experience selling discount crop insurance products).CommentsClose CommentsPermalink





`(D) REVIEW OF STUDY- The independent entity selected by Secretary under subparagraph (A) shall seek comments from interested stakeholders before finalizing the report of the entity.CommentsClose CommentsPermalink





`(E) REPORT- Not later than 18 months after the date of enactment of the Food and Energy Security Act of 2007, the Secretary shall submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report that describes the results and recommendations of the study.'.CommentsClose CommentsPermalink

SEC. 1909. DENIAL OF CLAIMS.

Section 508(j)(2)(A) of the Federal Crop Insurance Act (7 U.S.C. 1508(j)(2)(A)) is amended by inserting `on behalf of the Corporation' after `approved provider'.CommentsClose CommentsPermalink

SEC. 1910. MEASUREMENT OF FARM-STORED COMMODITIES.

Section 508(j) of the Federal Crop Insurance Act (7 U.S.C. 1508(j)) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(5) MEASUREMENT OF FARM-STORED COMMODITIES- Beginning with the 2009 crop year, for the purpose of determining the amount of any insured production loss sustained by a producer and the amount of any indemnity to be paid under a plan of insurance--CommentsClose CommentsPermalink





`(A) a producer may elect, at the expense of the producer, to have the Farm Service Agency measure the quantity of the commodity; andCommentsClose CommentsPermalink





`(B) the results of the measurement shall be used as the evidence of the quantity of the commodity that was produced.'.CommentsClose CommentsPermalink

SEC. 1911. REIMBURSEMENT RATE.

Section 508(k)(4) of the Federal Crop Insurance Act (7 U.S.C. 1508(k)(4)) (as amended by section 1906(2)) is amended--CommentsClose CommentsPermalink





(1) in subparagraph (A), by striking `Except as provided in subparagraph (B)' and inserting `Except as otherwise provided in this paragraph'; andCommentsClose CommentsPermalink





(2) by adding at the end the following:CommentsClose CommentsPermalink





`(E) REIMBURSEMENT RATE REDUCTION- For each of the 2009 and subsequent reinsurance years, the reimbursement rates for administrative and operating costs shall be 2 percentage points below the rates in effect as of the date of enactment of the Food and Energy Security Act of 2007 for all crop insurance policies used to define loss ratio, except that the reduction shall not apply in a reinsurance year to the total premium written in a State in which the State loss ratio is greater than 1.2.CommentsClose CommentsPermalink





`(F) REIMBURSEMENT RATE FOR AREA POLICIES AND PLANS OF INSURANCE- Notwithstanding subparagraphs (A) through (E), for each of the 2009 and subsequent reinsurance years, the reimbursement rate for area policies and plans of insurance shall be 17 percent of the premium used to define loss ratio for that reinsurance year.'.CommentsClose CommentsPermalink

SEC. 1912. RENEGOTIATION OF STANDARD REINSURANCE AGREEMENT.

Section 508(k) of the Federal Crop Insurance Act (7 U.S.C. 1508(k)) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(8) RENEGOTIATION OF STANDARD REINSURANCE AGREEMENT-CommentsClose CommentsPermalink





`(A) IN GENERAL- Notwithstanding section 536 of the Agricultural Research, Extension, and Education Reform Act of 1998 (7 U.S.C. 1506 note; Public Law 105-185) and section 148 of the Agricultural Risk Protection Act of 2000 (7 U.S.C. 1506 note; Public Law 106-224), the Corporation may renegotiate the financial terms and conditions of each Standard Reinsurance Agreement--CommentsClose CommentsPermalink





`(i) following the reinsurance year ending June 30, 2012;CommentsClose CommentsPermalink





`(ii) once during each period of 5 reinsurance years thereafter; andCommentsClose CommentsPermalink





`(iii) subject to subparagraph (B), in any case in which the approved insurance providers, as a whole, experience unexpected adverse circumstances, as determined by the Secretary.CommentsClose CommentsPermalink





`(B) NOTIFICATION REQUIREMENT- If the Corporation renegotiates a Standard Reinsurance Agreement under subparagraph (A)(iii), the Corporation shall notify the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate of the renegotiation.CommentsClose CommentsPermalink





`(C) CONSULTATION- The approved insurance providers may confer with each other and collectively with the Corporation during any renegotiation under subparagraph (A).'.CommentsClose CommentsPermalink

SEC. 1913. CHANGE IN DUE DATE FOR CORPORATION PAYMENTS FOR UNDERWRITING GAINS.

Section 508(k) of the Federal Crop Insurance Act (7 U.S.C. 1508(k)) (as amended by section 1912) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(9) DUE DATE FOR PAYMENT OF UNDERWRITING GAINS- Effective beginning with the 2011 reinsurance year, the Corporation shall make payments for underwriting gains under this title on--CommentsClose CommentsPermalink





`(A) for the 2011 reinsurance year, October 1, 2012; andCommentsClose CommentsPermalink





`(B) for each reinsurance year thereafter, October 1 of the following calendar year.'.CommentsClose CommentsPermalink

SEC. 1914. ACCESS TO DATA MINING INFORMATION.

(a) In General- Section 515(j)(2) of the Federal Crop Insurance Act (7 U.S.C. 1515(j)(2)) is amended--CommentsClose CommentsPermalink





(1) by striking `The Secretary' and inserting the following:CommentsClose CommentsPermalink





`(A) IN GENERAL- The Secretary'; andCommentsClose CommentsPermalink





(2) by adding at the end the following:CommentsClose CommentsPermalink





`(B) ACCESS TO DATA MINING INFORMATION-CommentsClose CommentsPermalink





`(i) IN GENERAL- The Secretary shall establish a fee-for-access program under which approved insurance providers pay to the Secretary a user fee in exchange for access to the data mining system established under subparagraph (A) for the purpose of assisting in fraud and abuse detection.CommentsClose CommentsPermalink





`(ii) PROHIBITION-CommentsClose CommentsPermalink





`(I) IN GENERAL- Except as provided in subclause (II), the Corporation shall not impose a requirement on approved insurance providers to access the data mining system established under subparagraph (A).CommentsClose CommentsPermalink





`(II) ACCESS WITHOUT FEE- If the Corporation requires approved insurance providers to access the data mining system established under subparagraph (A), access will be provided without charge to the extent necessary to fulfill the requirements.CommentsClose CommentsPermalink





`(iii) ACCESS LIMITATION- In establishing the program under clause (i), the Secretary shall ensure that an approved insurance provider has access only to information relating to the policies or plans of insurance for which the approved insurance provider provides insurance coverage, including any information relating to--CommentsClose CommentsPermalink





`(I) information of agents and adjusters relating to policies for which the approved insurance provider provides coverage;CommentsClose CommentsPermalink





`(II) the other policies or plans of an insured that are insured through another approved insurance providers; andCommentsClose CommentsPermalink





`(III) the policies or plans of an insured for prior crop insurance years.'.CommentsClose CommentsPermalink





(b) Insurance Fund- Section 516 of the Federal Crop Insurance Act (7 U.S.C. 1516) is amended--CommentsClose CommentsPermalink





(1) in subsection (b), by adding at the end the following:CommentsClose CommentsPermalink





`(3) DATA MINING SYSTEM- The Corporation shall use amounts deposited in the insurance fund established under subsection (c) from fees collected under section 515(j)(2)(B) to administer and carry out improvements to the data mining system under that section.'; andCommentsClose CommentsPermalink





(2) in subsection (c)(1)--CommentsClose CommentsPermalink





(A) by striking `and civil' and inserting `civil'; andCommentsClose CommentsPermalink





(B) by inserting `and fees collected under section 515(j)(2)(B)(i),' after `section 515(h),'.CommentsClose CommentsPermalink

SEC. 1915. PRODUCER ELIGIBILITY.

Section 520(2) of the Federal Crop Insurance Act (7 U.S.C. 1520(2)) is amended by inserting `or is a person who raises livestock owned by other persons (that is not covered by insurance under this title by another person)' after `sharecropper'.CommentsClose CommentsPermalink

SEC. 1916. CONTRACTS FOR ADDITIONAL CROP POLICIES.

Section 522(c) of the Federal Crop Insurance Act (7 U.S.C. 1522) is amended--CommentsClose CommentsPermalink





(1) by redesignating paragraph (10) as paragraph (14); andCommentsClose CommentsPermalink





(2) by inserting after paragraph (9) the following:CommentsClose CommentsPermalink





`(10) ENERGY CROP INSURANCE POLICY-CommentsClose CommentsPermalink





`(A) DEFINITION OF DEDICATED ENERGY CROP- In this subsection, the term `dedicated energy crop' means an annual or perennial crop that--CommentsClose CommentsPermalink





`(i) is grown expressly for the purpose of producing a feedstock for renewable biofuel, renewable electricity, or bio-based products; andCommentsClose CommentsPermalink





`(ii) is not typically used for food, feed, or fiber.CommentsClose CommentsPermalink





`(B) AUTHORITY- The Corporation shall offer to enter into 1 or more contracts with qualified entities to carry out research and development regarding a policy to insure dedicated energy crops.CommentsClose CommentsPermalink





`(C) RESEARCH AND DEVELOPMENT- Research and development described in subparagraph (B) shall evaluate the effectiveness of risk management tools for the production of dedicated energy crops, including policies and plans of insurance that--CommentsClose CommentsPermalink





`(i) are based on market prices and yields;CommentsClose CommentsPermalink





`(ii) to the extent that insufficient data exist to develop a policy based on market prices and yields, evaluate the policies and plans of insurance based on the use of weather or rainfall indices to protect the interests of crop producers; andCommentsClose CommentsPermalink





`(iii) provide protection for production or revenue losses, or both.CommentsClose CommentsPermalink





`(11) AQUACULTURE INSURANCE POLICY-CommentsClose CommentsPermalink





`(A) DEFINITION OF AQUACULTURE- In this subsection:CommentsClose CommentsPermalink





`(i) IN GENERAL- The term `aquaculture' means the propagation and rearing of aquatic species in controlled or selected environments, including shellfish cultivation on grants or leased bottom and ocean ranching.CommentsClose CommentsPermalink





`(ii) EXCLUSION- The term `aquaculture' does not include the private ocean ranching of Pacific salmon for profit in any State in which private ocean ranching of Pacific salmon is prohibited by any law (including regulations).CommentsClose CommentsPermalink





`(B) AUTHORITY- The Corporation shall offer to enter into 1 or more contracts with qualified entities to carry out research and development regarding a policy to insure aquaculture operations.CommentsClose CommentsPermalink





`(C) RESEARCH AND DEVELOPMENT- Research and development described in subparagraph (B) shall evaluate the effectiveness of risk management tools for the production of fish and other seafood in aquaculture operations, including policies and plans of insurance that--CommentsClose CommentsPermalink





`(i) are based on market prices and yields;CommentsClose CommentsPermalink





`(ii) to the extent that insufficient data exist to develop a policy based on market prices and yields, evaluate how best to incorporate insuring of aquaculture operations into existing policies covering adjusted gross revenue; andCommentsClose CommentsPermalink





`(iii) provide protection for production or revenue losses, or both.CommentsClose CommentsPermalink





`(12) ORGANIC CROP PRODUCTION COVERAGE IMPROVEMENTS-CommentsClose CommentsPermalink





`(A) IN GENERAL- Not later than 180 days after the date of enactment of this paragraph, the Corporation shall offer to enter into 1 or more contracts with qualified entities for the development of improvements in Federal crop insurance policies covering organic crops.CommentsClose CommentsPermalink





`(B) PRICE ELECTION-CommentsClose CommentsPermalink





`(i) IN GENERAL- The contracts under subparagraph (A) shall include the development of procedures (including any associated changes in policy terms or materials required for implementation of the procedures) to offer producers of organic crops a price election that would reflect the actual retail or wholesale prices, as appropriate, received by producers for organic crops, as established using data collected and maintained by the Agricultural Marketing Service.CommentsClose CommentsPermalink





`(ii) DEADLINE- The development of the procedures required under clause (i) shall be completed not later than the date necessary to allow the Corporation to offer the price election--CommentsClose CommentsPermalink





`(I) beginning in the 2009 reinsurance year for organic crops with adequate data available; andCommentsClose CommentsPermalink





`(II) subsequently for additional organic crops as data collection for those organic crops is sufficient, as determined by the Corporation.CommentsClose CommentsPermalink





`(13) SKIPROW CROPPING PRACTICES-CommentsClose CommentsPermalink





`(A) IN GENERAL- The Corporation shall offer to enter into a contract with a qualified entity to carry out research into needed modifications of policies to insure corn and sorghum produced in the Central Great Plains (as determined by the Agricultural Research Service) through use of skiprow cropping practices.CommentsClose CommentsPermalink





`(B) RESEARCH- Research described in subparagraph (A) shall--CommentsClose CommentsPermalink





`(i) review existing research on skiprow cropping practices and actual production history of producers using skiprow cropping practices; andCommentsClose CommentsPermalink





`(ii) evaluate the effectiveness of risk management tools for producers using skiprow cropping practices, including--CommentsClose CommentsPermalink





`(I) the appropriateness of rules in existence as of the date of enactment of this paragraph relating to the determination of acreage planted in skiprow patterns; andCommentsClose CommentsPermalink





`(II) whether policies for crops produced through skiprow cropping practices reflect actual production capabilities.'.CommentsClose CommentsPermalink

SEC. 1917. RESEARCH AND DEVELOPMENT.

(a) Reimbursement Authorized- Section 522(b) of the Federal Crop Insurance Act (7 U.S.C. 1522(b)) is amended by striking paragraph (1) and inserting the following:CommentsClose CommentsPermalink





`(1) RESEARCH AND DEVELOPMENT REIMBURSEMENT- The Corporation shall provide a payment to reimburse an applicant for research and development costs directly related to a policy that--CommentsClose CommentsPermalink





`(A) is submitted to, and approved by, the Board pursuant to a FCIC reimbursement grant under paragraph (7); orCommentsClose CommentsPermalink





`(B) is--CommentsClose CommentsPermalink





`(i) submitted to the Board and approved by the Board under section 508(h) for reinsurance; andCommentsClose CommentsPermalink





`(ii) if applicable, offered for sale to producers.'.CommentsClose CommentsPermalink





(b) FCIC Reimbursement Grants- Section 522(b) of the Federal Crop Insurance Act (7 U.S.C. 1522(b)) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(7) FCIC REIMBURSEMENT GRANTS-CommentsClose CommentsPermalink





`(A) GRANTS AUTHORIZED- The Corporation shall provide FCIC reimbursement grants to persons (referred to in this paragraph as `submitters') proposing to prepare for submission to the Board crop insurance policies and provisions under subparagraphs (A) and (B) of section 508(h)(1), that apply and are approved for the FCIC reimbursement grants under this paragraph.CommentsClose CommentsPermalink





`(B) SUBMISSION OF APPLICATION-CommentsClose CommentsPermalink





`(i) IN GENERAL- The Board shall receive and consider applications for FCIC reimbursement grants at least once each year.CommentsClose CommentsPermalink





`(ii) REQUIREMENTS- An application to receive a FCIC reimbursement grant from the Corporation shall consist of such materials as the Board may require, including--CommentsClose CommentsPermalink





`(I) a concept paper that describes the proposal in sufficient detail for the Board to determine whether the proposal satisfies the requirements of subparagraph (C); andCommentsClose CommentsPermalink





`(II) a description of --CommentsClose CommentsPermalink

`(aa) the need for the product, including an assessment of marketability and expected demand among affected producers;CommentsClose CommentsPermalink

`(bb) support from producers, producer organizations, lenders, or other interested parties; andCommentsClose CommentsPermalink

`(cc) the impact the product would have on producers and on the crop insurance delivery system; andCommentsClose CommentsPermalink

`(III) a statement that no products are offered by the private sector that provide the same benefits and risk management services as the proposal;CommentsClose CommentsPermalink





`(IV) a summary of data sources available that demonstrate that the product can reasonably be developed and properly rated; andCommentsClose CommentsPermalink





`(V) an identification of the risks the proposed product will cover and an explanation of how the identified risks are insurable under this title.CommentsClose CommentsPermalink





`(C) APPROVAL CONDITIONS-CommentsClose CommentsPermalink





`(i) IN GENERAL- A majority vote of the Board shall be required to approve an application for a FCIC reimbursement grant.CommentsClose CommentsPermalink





`(ii) REQUIRED FINDINGS- The Board shall approve the application if the Board finds that--CommentsClose CommentsPermalink





`(I) the proposal contained in the application--CommentsClose CommentsPermalink

`(aa) provides coverage to a crop or region not traditionally served by the Federal crop insurance program;CommentsClose CommentsPermalink

`(bb) provides crop insurance coverage in a significantly improved form;CommentsClose CommentsPermalink

`(cc) addresses a recognized flaw or problem in the Federal crop insurance program or an existing product;CommentsClose CommentsPermalink

`(dd) introduces a significant new concept or innovation to the Federal crop insurance program; orCommentsClose CommentsPermalink

`(ee) provides coverage or benefits not available from the private sector;CommentsClose CommentsPermalink

`(II) the submitter demonstrates the necessary qualifications to complete the project successfully in a timely manner with high quality;CommentsClose CommentsPermalink





`(III) the proposal is in the interests of producers and can reasonably be expected to be actuarially appropriate and function as intended;CommentsClose CommentsPermalink





`(IV) the Board determines that the Corporation has sufficient available funding to award the FCIC reimbursement grant; andCommentsClose CommentsPermalink





`(V) the proposed budget and timetable are reasonable.CommentsClose CommentsPermalink





`(D) PARTICIPATION-CommentsClose CommentsPermalink





`(i) IN GENERAL- In reviewing proposals under this paragraph, the Board may use the services of persons that the Board determines appropriate to carry out expert review in accordance with section 508(h).CommentsClose CommentsPermalink





`(ii) CONFIDENTIALITY- All proposals submitted under this paragraph shall be treated as confidential in accordance with section 508(h)(4).CommentsClose CommentsPermalink





`(E) ENTERING INTO AGREEMENT- Upon approval of an application, the Board shall offer to enter into an agreement with the submitter for the development of a formal submission that meets the requirements for a complete submission established by the Board under section 508(h).CommentsClose CommentsPermalink





`(F) FEASIBILITY STUDIES-CommentsClose CommentsPermalink





`(i) IN GENERAL- In appropriate cases, the Corporation may structure the FCIC reimbursement grant to require, as an initial step within the overall process, the submitter to complete a feasibility study, and report the results of the study to the Corporation, prior to proceeding with further development.CommentsClose CommentsPermalink





`(ii) MONITORING- The Corporation may require such other reports as the Corporation determines necessary to monitor the development efforts.CommentsClose CommentsPermalink





`(G) RATES- Payment for work performed by the submitter under this paragraph shall be based on rates determined by the Corporation for products--CommentsClose CommentsPermalink





`(i) submitted under section 508(h); orCommentsClose CommentsPermalink





`(ii) contracted by the Corporation under subsection (c).CommentsClose CommentsPermalink





`(H) TERMINATION-CommentsClose CommentsPermalink





`(i) IN GENERAL- The Corporation or the submitter may terminate any FCIC reimbursement grant at any time for just cause.CommentsClose CommentsPermalink





`(ii) REIMBURSEMENT- If the Corporation or the submitter terminates the FCIC reimbursement grant before final approval of the product covered by the grant, the submitter shall be entitled to--CommentsClose CommentsPermalink





`(I) reimbursement of all eligible costs incurred to that point; orCommentsClose CommentsPermalink





`(II) in the case of a fixed rate agreement, payment of an appropriate percentage, as determined by the Corporation.CommentsClose CommentsPermalink





`(iii) DENIAL- If the submitter terminates development without just cause, the Corporation may deny reimbursement or recover any reimbursement already made.CommentsClose CommentsPermalink





`(I) CONSIDERATION OF PRODUCTS- The Board shall consider any product developed under this paragraph and submitted to the Board under the rules the Board has established for products submitted under section 508(h).'.CommentsClose CommentsPermalink





(c) Conforming Amendment- Section 523(b)(10) of the Federal Crop Insurance Act (7 U.S.C. 1523(b)(10)) is amended by striking `(other than research and development costs covered by section 522)'.CommentsClose CommentsPermalink

SEC. 1918. FUNDING FROM INSURANCE FUND.

Section 522(e) of the Federal Crop Insurance Act (7 U.S.C. 1522(e)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (1), by striking `$10,000,000' and all that follows through the end of the paragraph and inserting `$7,500,000 for fiscal year 2008 and each subsequent fiscal year';CommentsClose CommentsPermalink





(2) in paragraph (2)(A), by striking `$20,000,000 for' and all that follows through `year 2004' and inserting `$12,500,000 for fiscal year 2008'; andCommentsClose CommentsPermalink





(3) in paragraph (3), by striking `the Corporation may use' and all that follows through the end of the paragraph and inserting `the Corporation may use--CommentsClose CommentsPermalink





`(A) not more than $5,000,000 for each fiscal year to improve program integrity, including by--CommentsClose CommentsPermalink





`(i) increasing compliance-related training;CommentsClose CommentsPermalink





`(ii) improving analysis tools and technology regarding compliance;CommentsClose CommentsPermalink





`(iii) use of information technology, as determined by the Corporation;CommentsClose CommentsPermalink





`(iv) identifying and using innovative compliance strategies; andCommentsClose CommentsPermalink





`(B) any excess amounts to carry out other activities authorized under this section.'.CommentsClose CommentsPermalink

SEC. 1919. CAMELINA PILOT PROGRAM.

(a) In General- Section 523 of the Federal Crop Insurance Act (7 U.S.C. 1523) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(f) Camelina Pilot Program-CommentsClose CommentsPermalink





`(1) IN GENERAL- Beginning with the 2008 crop year, the Corporation shall establish a pilot program under which producers or processors of camelina may propose for approval by the Board policies or plans of insurance for camelina, in accordance with section 508(h).CommentsClose CommentsPermalink





`(2) DETERMINATION BY BOARD- The Board shall approve a policy or plan of insurance proposed under paragraph (1) if, as determined by the Board, the policy or plan of insurance--CommentsClose CommentsPermalink





`(A) protects the interests of producers;CommentsClose CommentsPermalink





`(B) is actuarially sound; andCommentsClose CommentsPermalink





`(C) meets the requirements of this title.'.CommentsClose CommentsPermalink





(b) Noninsured Crop Assistance Program- Section 196(a)(2) of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7333(a)(2)) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(D) CAMELINA-CommentsClose CommentsPermalink





`(i) IN GENERAL- For each of crop years 2008 through 2011, the Secretary shall consider camelina to be an eligible crop for purposes of the noninsured crop disaster assistance program under this section.CommentsClose CommentsPermalink





`(ii) LIMITATION- Producers that are eligible to purchase camelina crop insurance, including camelina crop insurance under a pilot program, shall not be eligible for assistance under this section.'.CommentsClose CommentsPermalink

SEC. 1920. RISK MANAGEMENT EDUCATION FOR BEGINNING FARMERS OR RANCHERS.

Section 524(a) of the Federal Crop Insurance Act (7 U.S.C. 1524(a)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (1), by striking `paragraph (4)' and inserting `paragraph (5)';CommentsClose CommentsPermalink





(2) by redesignating paragraph (4) as paragraph (5); andCommentsClose CommentsPermalink





(3) by inserting after paragraph (3) the following:CommentsClose CommentsPermalink





`(4) REQUIREMENTS- In carrying out the programs established under paragraphs (2) and (3), the Secretary shall place special emphasis on risk management strategies, education, and outreach specifically targeted at--CommentsClose CommentsPermalink





`(A) beginning farmers or ranchers;CommentsClose CommentsPermalink





`(B) immigrant farmers or ranchers that are attempting to become established producers in the United States;CommentsClose CommentsPermalink





`(C) socially disadvantaged farmers or ranchers;CommentsClose CommentsPermalink





`(D) farmers or ranchers that--CommentsClose CommentsPermalink





`(i) are preparing to retire; andCommentsClose CommentsPermalink





`(ii) are using transition strategies to help new farmers or ranchers get started; andCommentsClose CommentsPermalink





`(E) new or established farmers or ranchers that are converting production and marketing systems to pursue new markets.'.CommentsClose CommentsPermalink

SEC. 1921. AGRICULTURAL MANAGEMENT ASSISTANCE.

Section 524(b)(4) of the Federal Crop Insurance Act (7 U.S.C. 1524(b)(4)) is amended by adding at end the following:CommentsClose CommentsPermalink





`(C) COST-SHARING- The Secretary may provide matching funds to any State described in paragraph (1) that appropriates a portion of the budget of the State to provide financial assistance for producer-paid premiums for crop insurance policies reinsured by the Corporation.'.CommentsClose CommentsPermalink

SEC. 1922. CROP INSURANCE MEDIATION.

Section 275 of the Department of Agriculture Reorganization Act of 1994 (7 U.S.C. 6995) is amended--CommentsClose CommentsPermalink





(1) by striking `If an officer' and inserting the following:CommentsClose CommentsPermalink





`(a) In General- If an officer';CommentsClose CommentsPermalink





(2) by striking `With respect to' and inserting the following:CommentsClose CommentsPermalink





`(b) Farm Service Agency- With respect to';CommentsClose CommentsPermalink





(3) by striking `If a mediation'; and inserting the following:CommentsClose CommentsPermalink





`(c) Mediation- If a mediation'; andCommentsClose CommentsPermalink





(4) in subsection (c) (as so designated)--CommentsClose CommentsPermalink





(A) by striking `participant shall be offered' and inserting `participant shall--CommentsClose CommentsPermalink





`(1) be offered'; andCommentsClose CommentsPermalink





(B) by striking the period at the end and inserting the following: `; andCommentsClose CommentsPermalink





`(2) to the maximum extent practicable, be allowed to use both informal agency review and mediation to resolve disputes under that title.'.CommentsClose CommentsPermalink

SEC. 1923. DROUGHT COVERAGE FOR AQUACULTURE UNDER NONINSURED CROP ASSISTANCE PROGRAM.

Section 196(c)(2) of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7333(c)(2)) is amended--CommentsClose CommentsPermalink





(1) by striking `On making' and inserting the following:CommentsClose CommentsPermalink





`(A) IN GENERAL- On making'; andCommentsClose CommentsPermalink





(2) by adding at the end the following:CommentsClose CommentsPermalink





`(B) AQUACULTURE PRODUCERS- On making a determination described in subsection (a)(3) for aquaculture producers, the Secretary shall provide assistance under this section to aquaculture producers from all losses related to drought.'.CommentsClose CommentsPermalink

SEC. 1924. INCREASE IN SERVICE FEES FOR NONINSURED CROP ASSISTANCE PROGRAM.

Section 196(k)(1) of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7333(k)(1)) is amended--CommentsClose CommentsPermalink





(1) in subparagraph (A), by striking `$100' and inserting `$200'; andCommentsClose CommentsPermalink





(2) in subparagraph (B)--CommentsClose CommentsPermalink





(A) by striking `$300' and inserting `$600'; andCommentsClose CommentsPermalink





(B) by striking `$900' and inserting `$1,500'.CommentsClose CommentsPermalink

SEC. 1925. DETERMINATION OF CERTAIN SWEET POTATO PRODUCTION.

Section 9001(d) of the U.S. Troop Readiness, Veterans' Care, Katrina Recovery, and Iraq Accountability Appropriations Act, 2007 (Public Law 110-28; 121 Stat. 211) is amended--CommentsClose CommentsPermalink





(1) by redesignating paragraph (8) as paragraph (9); andCommentsClose CommentsPermalink





(2) by inserting after paragraph (7) the following:CommentsClose CommentsPermalink





`(8) SWEET POTATOES-CommentsClose CommentsPermalink





`(A) DATA- In the case of sweet potatoes, any data obtained under a pilot program carried out by the Risk Management Agency shall not be considered for the purpose of determining the quantity of production under the crop disaster assistance program established under this section.CommentsClose CommentsPermalink





`(B) EXTENSION OF DEADLINE- If this paragraph is not implemented before the sign-up deadline for the crop disaster assistance program established under this section, the Secretary shall extend the deadline for producers of sweet potatoes to permit sign-up for the program in accordance with this paragraph.'.CommentsClose CommentsPermalink

SEC. 1926. PERENNIAL CROP REPORT.

Not later than 180 days after the date of enactment of this Act, the Secretary shall submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report containing details about activities and administrative options of the Federal Crop Insurance Corporation and Risk Management Agency that address issues relating to--CommentsClose CommentsPermalink





(1) declining yields on the actual production histories of producers; andCommentsClose CommentsPermalink





(2) declining and variable yields for perennial crops, including pecans.CommentsClose CommentsPermalink

TITLE II--CONSERVATION

Subtitle A--Definitions

SEC. 2001. DEFINITIONS.

Section 1201(a) of the Food Security Act of 1985 (16 U.S.C. 3801(a)) is amended--CommentsClose CommentsPermalink





(1) by redesignating paragraphs (2) through (11), (12) through (15), and (16), (17), and (18) as paragraphs (3) through (12), (15) through (18), and (20), (22), and (23), respectively;CommentsClose CommentsPermalink





(2) by inserting after paragraph (1) the following:CommentsClose CommentsPermalink





`(2) BEGINNING FARMER OR RANCHER- The term `beginning farmer or rancher' has, to the maximum extent practicable, the meaning given the term in section 343(a) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1991(a)), except that the Secretary may include in the definition of the term--CommentsClose CommentsPermalink





`(A) a fair and reasonable test of net worth; andCommentsClose CommentsPermalink





`(B) such other criteria as the Secretary determines to be appropriate.';CommentsClose CommentsPermalink





(3) by inserting after paragraph (12) (as redesignated by paragraph (1)) the following:CommentsClose CommentsPermalink





`(13) INDIAN TRIBE- The term `Indian tribe' has the meaning given the term in section 4 of the Indian Self-Determination and Education Assistance Act (25 U.S.C. 450b).CommentsClose CommentsPermalink





`(14) NONINDUSTRIAL PRIVATE FOREST LAND- The term `nonindustrial private forest land' means rural land, as determined by the Secretary, that--CommentsClose CommentsPermalink





`(A) has existing tree cover or is suitable for growing trees; andCommentsClose CommentsPermalink





`(B) is owned by any nonindustrial private individual, group, association, corporation, Indian tribe, or other private legal entity that has definitive decisionmaking authority over the land.';CommentsClose CommentsPermalink





(4) by inserting after paragraph (18) (as redesignated by paragraph (1)) the following:CommentsClose CommentsPermalink





`(19) SOCIALLY DISADVANTAGED FARMER OR RANCHER- The term `socially disadvantaged farmer or rancher' has the meaning given the term in section 355(e) of the Consolidated Farm and Rural Development Act (7 U.S.C. 2003(e)).'; andCommentsClose CommentsPermalink





(5) by inserting after paragraph (20) (as redesignated by paragraph (1)) the following:CommentsClose CommentsPermalink





`(21) TECHNICAL ASSISTANCE-CommentsClose CommentsPermalink





`(A) IN GENERAL- The term `technical assistance' means technical expertise, information, and tools necessary for the conservation of natural resources on land active in agricultural, forestry, or related uses.CommentsClose CommentsPermalink





`(B) INCLUSIONS- The term `technical assistance' includes--CommentsClose CommentsPermalink





`(i) technical services provided directly to farmers, ranchers, and other eligible entities, such as conservation planning, technical consultation, and assistance with design and implementation of conservation practices; andCommentsClose CommentsPermalink





`(ii) technical infrastructure, including activities, processes, tools, and agency functions needed to support delivery of technical services, such as technical standards, resource inventories, training, data, technology, monitoring, and effects analyses.'.CommentsClose CommentsPermalink

Subtitle B--Highly Erodible Land Conservation

SEC. 2101. REVIEW OF GOOD FAITH DETERMINATIONS; EXEMPTIONS.

Section 1212 of the Food Security Act of 1985 (16 U.S.C. 3812) is amended by striking subsection (f) and inserting the following:CommentsClose CommentsPermalink





`(f) Graduated Penalties-CommentsClose CommentsPermalink





`(1) INELIGIBILITY- No person shall become ineligible under section 1211 for program loans, payments, and benefits as a result of the failure of the person to actively apply a conservation plan, if the Secretary determines that the person has acted in good faith and without an intent to violate this subtitle.CommentsClose CommentsPermalink





`(2) ELIGIBLE REVIEWERS- A determination of the Secretary, or a designee of the Secretary, under paragraph (1) shall be reviewed by the applicable--CommentsClose CommentsPermalink





`(A) State Executive Director, with the technical concurrence of the State Conservationist; orCommentsClose CommentsPermalink





`(B) district director, with the technical concurrence of the area conservationist.CommentsClose CommentsPermalink





`(3) PERIOD FOR IMPLEMENTATION- A person who meets the requirements of paragraph (1) shall be allowed a reasonable period of time, as determined by the Secretary, but not to exceed 1 year, during which to implement the measures and practices necessary to be considered to be actively applying the conservation plan of the person.CommentsClose CommentsPermalink





`(4) PENALTIES-CommentsClose CommentsPermalink





`(A) APPLICATION- This paragraph applies if the Secretary determines that--CommentsClose CommentsPermalink





`(i) a person who has failed to comply with section 1211 with respect to highly erodible cropland, and has acted in good faith and without an intent to violate section 1211; orCommentsClose CommentsPermalink





`(ii) the violation--CommentsClose CommentsPermalink





`(I) is technical and minor in nature; andCommentsClose CommentsPermalink





`(II) has a minimal effect on the erosion control purposes of the conservation plan applicable to the land on which the violation has occurred.CommentsClose CommentsPermalink





`(B) REDUCTION- If this paragraph applies under subparagraph (A), the Secretary shall, in lieu of applying the ineligibility provisions of section 1211, reduce program benefits described in section 1211 that the producer would otherwise be eligible to receive in a crop year by an amount commensurate with the seriousness of the violation, as determined by the Secretary.CommentsClose CommentsPermalink





`(5) SUBSEQUENT CROP YEARS- Any person whose benefits are reduced for any crop year under this subsection shall continue to be eligible for all of the benefits described in section 1211 for any subsequent crop year if, prior to the beginning of the subsequent crop year, the Secretary determines that the person is actively applying a conservation plan according to the schedule specified in the plan.'.CommentsClose CommentsPermalink

Subtitle C--Wetland Conservation

SEC. 2201. REVIEW OF GOOD FAITH DETERMINATIONS.

Section 1222(h) of the Food Security Act of 1985 (16 U.S.C. 3822(h)) is amended--CommentsClose CommentsPermalink





(1) by redesignating paragraph (2) as paragraph (3);CommentsClose CommentsPermalink





(2) by inserting after paragraph (1) the following:CommentsClose CommentsPermalink





`(2) ELIGIBLE REVIEWERS- A determination of the Secretary, or a designee of the Secretary, under paragraph (1) shall be reviewed by the applicable--CommentsClose CommentsPermalink





`(A) State Executive Director, with the technical concurrence of the State Conservationist; orCommentsClose CommentsPermalink





`(B) district director, with the technical concurrence of the area conservationist.'; andCommentsClose CommentsPermalink





(3) in paragraph (3) (as redesignated by paragraph (1)), by inserting `be' before `actively'.CommentsClose CommentsPermalink

Subtitle D--Agricultural Resources Conservation Program

CHAPTER 1--COMPREHENSIVE CONSERVATION ENHANCEMENT

Subchapter A--Comprehensive Conservation Enhancement Program

SEC. 2301. REAUTHORIZATION AND EXPANSION OF PROGRAMS COVERED.

(a) In General- Section 1230 of the Food Security Act of 1985 (16 U.S.C. 3830) is amended to read as follows:CommentsClose CommentsPermalink

`SEC. 1230. COMPREHENSIVE CONSERVATION ENHANCEMENT PROGRAM.

`(a) Establishment-CommentsClose CommentsPermalink





`(1) IN GENERAL- During the 1996 through 2012 fiscal years, the Secretary shall establish a comprehensive conservation enhancement program (referred to in this section as `CCEP') to be implemented through contracts and the acquisition of easements to assist owners and operators of farms, ranches, and nonindustrial private forestland to conserve and enhance soil, water, and related natural resources, including grazing land, wetland, and wildlife habitat.CommentsClose CommentsPermalink





`(2) MEANS- The Secretary shall carry out the CCEP by--CommentsClose CommentsPermalink





`(A) providing for the long-term protection of environmentally-sensitive land; andCommentsClose CommentsPermalink





`(B) providing technical and financial assistance to farmers, ranchers, and nonindustrial private forest landowners--CommentsClose CommentsPermalink





`(i) to improve the management and operation of the farms, ranches, and private nonindustrial forest land; andCommentsClose CommentsPermalink





`(ii) to reconcile productivity and profitability with protection and enhancement of the environment;CommentsClose CommentsPermalink





`(C) reducing administrative burdens and streamlining application and planning procedures to encourage producer participation; andCommentsClose CommentsPermalink





`(D) providing opportunities to leverage Federal conservation investments through innovative partnerships with governmental agencies, education institutions, producer groups, and other nongovernmental organizations.CommentsClose CommentsPermalink





`(3) PROGRAMS- The CCEP shall consist of--CommentsClose CommentsPermalink





`(A) the conservation reserve program established under subchapter B;CommentsClose CommentsPermalink





`(B) the wetlands reserve program established under subchapter C; andCommentsClose CommentsPermalink





`(C) the healthy forests reserve program established under subchapter D.CommentsClose CommentsPermalink





`(b) Contracts and Enrollments-CommentsClose CommentsPermalink





`(1) IN GENERAL- In carrying out the CCEP, the Secretary shall enter into contracts with owners and operators and acquire interests in land through easements from owners, as provided in this chapter.CommentsClose CommentsPermalink





`(2) PRIOR ENROLLMENTS- Acreage enrolled in the conservation reserve program, wetlands reserve program, or healthy forests reserve program prior to the date of enactment of the Food and Energy Security Act of 2007 shall be considered to be placed into the CCEP.CommentsClose CommentsPermalink





`(c) Administration-CommentsClose CommentsPermalink





`(1) LIMITATIONS-CommentsClose CommentsPermalink





`(A) IN GENERAL- The Secretary shall not enroll more than 25 percent of the cropland in any county in the programs administered under subchapters B and C of this chapter.CommentsClose CommentsPermalink





`(B) EASEMENTS- Within the limit described in subparagraph (A), not more than 10 percent of the land described in that subparagraph may be subject to an easement acquired under subchapter C of this chapter.CommentsClose CommentsPermalink





`(C) EXCLUSION- Subparagraphs (A) and (B) shall not apply to acres enrolled in the special conservation reserve enhancement program described in section 1234(f)(3).CommentsClose CommentsPermalink





`(D) EXCEPTIONS- The Secretary may exceed the limitation in subparagraph (A) if the Secretary determines that--CommentsClose CommentsPermalink





`(i)(I) the action would not adversely affect the local economy of a county; andCommentsClose CommentsPermalink





`(II) operators in the county are having difficulties complying with conservation plans implemented under section 1212; orCommentsClose CommentsPermalink





`(ii)(I) the acreage to be enrolled could not be used for an agricultural purpose as a result of a State or local law, order, or regulation prohibiting water use for agricultural production; andCommentsClose CommentsPermalink





`(II) enrollment in the program would benefit the acreage enrolled or land adjacent to the acreage enrolled.CommentsClose CommentsPermalink





`(E) SHELTERBELTS AND WINDBREAKS- The limitations established under this paragraph shall not apply to cropland that is subject to an easement under chapter 1 or 3 that is used for the establishment of shelterbelts and windbreaks.CommentsClose CommentsPermalink





`(F) ENROLLMENT- Not later than 180 days after the date of a request from a landowner to enroll acreage described in subparagraph (D)(ii) in the program, the Secretary shall enroll the acreage.CommentsClose CommentsPermalink





`(2) TENANT PROTECTION- Except for a person who is a tenant on land that is subject to a conservation reserve contract that has been extended by the Secretary, the Secretary shall provide adequate safeguards to protect the interests of tenants and sharecroppers, including provisions for sharing, on a fair and equitable basis, in payments under the programs established under this subtitle and subtitles B and C.CommentsClose CommentsPermalink





`(3) PROVISION OF TECHNICAL ASSISTANCE BY OTHER SOURCES-CommentsClose CommentsPermalink





`(A) IN GENERAL- In the preparation and application of a conservation compliance plan under subtitle B or similar plan required as a condition for assistance from the Department of Agriculture, the Secretary shall permit persons to secure technical assistance from approved sources, as determined by the Secretary, other than the Natural Resources Conservation Service.CommentsClose CommentsPermalink





`(B) REJECTION- If the Secretary rejects a technical determination made by a source described in subparagraph (A), the basis of the determination of the Secretary shall be supported by documented evidence.CommentsClose CommentsPermalink





`(4) REGULATIONS- Not later than 90 days after the date of enactment of the Food and Energy Security Act of 2007, the Secretary shall promulgate regulations to implement the conservation reserve and wetlands reserve programs established under this chapter.'.CommentsClose CommentsPermalink





(b) Conforming Amendments-CommentsClose CommentsPermalink





(1) Section 1243 of the Food Security Act of 1985 (16 U.S.C. 3843) is repealed.CommentsClose CommentsPermalink





(2) Section 1222(g) of the Food Security Act of 1985 (16 U.S.C. 3822(g)) is amended by striking `1243' and inserting `1230(c)'.CommentsClose CommentsPermalink





(3) Section 1231(k)(3)(C)(i) of the Food Security Act of 1985 (16 U.S.C. 3831(k)(3)(C)(i)) is amended by striking `1243(b)' and inserting `1230(c)(1)'.CommentsClose CommentsPermalink

Subchapter B--Conservation Reserve

SEC. 2311. CONSERVATION RESERVE PROGRAM.

(a) In General- Section 1231(a) of the Food Security Act of 1985 (16 U.S.C. 3831(a)) is amended--CommentsClose CommentsPermalink





(1) by striking `2007' and inserting `2012'; andCommentsClose CommentsPermalink





(2) by striking `and wildlife' and inserting `wildlife, and pollinator habitat'.CommentsClose CommentsPermalink





(b) Eligible Land- Section 1231(b) of the Food Security Act of 1985 (16 U.S.C. 3831(b)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (1)(B), by striking the period at the end and inserting a semicolon;CommentsClose CommentsPermalink





(2) in paragraph (4)--CommentsClose CommentsPermalink





(A) in subparagraph (C), by striking `; or' and inserting a semicolon;CommentsClose CommentsPermalink





(B) in subparagraph (D), by striking `and' at the end and inserting `or'; andCommentsClose CommentsPermalink





(C) in subparagraph (E), by inserting `in the case of alfalfa or other forage crops,' before `enrollment';CommentsClose CommentsPermalink





(3) in paragraph (5), by striking the period at the end and inserting a semicolon; andCommentsClose CommentsPermalink





(4) by adding at the end the following:CommentsClose CommentsPermalink





`(6) marginal pasture land or hay land that is otherwise ineligible, if the land--CommentsClose CommentsPermalink





`(A) is to be devoted to native vegetation appropriate to the ecological site; andCommentsClose CommentsPermalink





`(B) would contribute to the restoration of a long-leaf pine forest or other declining forest ecosystem, as defined by the Secretary; orCommentsClose CommentsPermalink





`(7) land that is enrolled in the flooded farmland program established under section 1235B.'.CommentsClose CommentsPermalink





(c) Enrollment- Section 1231(d) of the Food Security Act of 1985 (16 U.S.C. 3831(d)) is amended by striking `up to' and all that follows through `2007' and inserting `up to 39,200,000 acres in the conservation reserve at any 1 time during the 2008 through 2012'.CommentsClose CommentsPermalink





(d) Conservation Priority Areas- Section 1231(f)(1) of the Food Security Act of 1985 (16 U.S.C. 3831(f)(1)) is amended--CommentsClose CommentsPermalink





(1) by striking `(Pennsylvania, Maryland, and Virginia)'; andCommentsClose CommentsPermalink





(2) by inserting `the Prairie Pothole Region, the Grand Lake St. Mary's Watershed, the Eastern Snake Plain Aquifer,' after `Sound Region,'.CommentsClose CommentsPermalink





(e) Pilot Program for Enrollment of Wetland and Buffer Acreage in Conservation Reserve- Section 1231 of the Food Security Act of 1985 (16 U.S.C. 3831) is amended by striking subsection (h) and inserting the following:CommentsClose CommentsPermalink





`(h) Pilot Program for Enrollment of Wetland, Shallow Water Areas, and Buffer Acreage in Conservation Reserve-CommentsClose CommentsPermalink





`(1) PROGRAM-CommentsClose CommentsPermalink





`(A) IN GENERAL- During the 2008 through 2012 calendar years, the Secretary shall carry out a program in each State under which the Secretary shall enroll eligible acreage described in paragraph (2).CommentsClose CommentsPermalink





`(B) PARTICIPATION AMONG STATES- The Secretary shall ensure, to the maximum extent practicable, that owners and operators in each State have an equitable opportunity to participate in the pilot program established under this subsection.CommentsClose CommentsPermalink





`(2) ELIGIBLE ACREAGE-CommentsClose CommentsPermalink





`(A) IN GENERAL- Subject to subparagraphs (B) through (E), an owner or operator may enroll in the conservation reserve under this subsection--CommentsClose CommentsPermalink





`(i)(I) a wetland (including a converted wetland described in section 1222(b)(1)(A)) that had a cropping history during at least 4 of the immediately preceding 6 crop years; orCommentsClose CommentsPermalink





`(II) a shallow water area that was devoted to a commercial pond-raised aquaculture operation any year during the period of calendar years 2002 through 2007; andCommentsClose CommentsPermalink





`(ii) buffer acreage that--CommentsClose CommentsPermalink





`(I) is contiguous to a wetland or shallow water area described in clause (i);CommentsClose CommentsPermalink





`(II) is used to protect the wetland or shallow water area described in clause (i); andCommentsClose CommentsPermalink





`(III) is of such width as the Secretary determines is necessary to protect the wetland or shallow water area described in clause (i) or to enhance the wildlife benefits, taking into consideration and accommodating the farming practices (including the straightening of boundaries to accommodate machinery) used with respect to the cropland that surrounds the wetland or shallow water area.CommentsClose CommentsPermalink





`(B) EXCLUSIONS- Except for a shallow water area described in paragraph (2)(A)(i), an owner or operator may not enroll in the conservation reserve under this subsection--CommentsClose CommentsPermalink





`(i) any wetland, or land on a floodplain, that is, or is adjacent to, a perennial riverine system wetland identified on the final national wetland inventory map of the Secretary of the Interior; orCommentsClose CommentsPermalink





`(ii) in the case of an area that is not covered by the final national inventory map, any wetland, or land on a floodplain, that is adjacent to a perennial stream identified on a 1-24,000 scale map of the United States Geological Survey.CommentsClose CommentsPermalink





`(C) PROGRAM LIMITATIONS-CommentsClose CommentsPermalink





`(i) IN GENERAL- The Secretary may enroll in the conservation reserve under this subsection not more than--CommentsClose CommentsPermalink





`(I) 100,000 acres in any 1 State referred to in paragraph (1); andCommentsClose CommentsPermalink





`(II) not more than a total of 1,000,000 acres.CommentsClose CommentsPermalink





`(ii) RELATIONSHIP TO PROGRAM MAXIMUM- Subject to clause (iii), for the purposes of subsection (d), any acreage enrolled in the conservation reserve under this subsection shall be considered acres maintained in the conservation reserve.CommentsClose CommentsPermalink





`(iii) RELATIONSHIP TO OTHER ENROLLED ACREAGE- Acreage enrolled under this subsection shall not affect for any fiscal year the quantity of--CommentsClose CommentsPermalink





`(I) acreage enrolled to establish conservation buffers as part of the program announced on March 24, 1998 (63 Fed. Reg. 14109); orCommentsClose CommentsPermalink





`(II) acreage enrolled into the conservation reserve enhancement program announced on May 27, 1998 (63 Fed. Reg. 28965).CommentsClose CommentsPermalink





`(iv) REVIEW; POTENTIAL INCREASE IN ENROLLMENT ACREAGE- Not later than 3 years after the date of enactment of the Food and Energy Security Act of 2007, the Secretary shall--CommentsClose CommentsPermalink





`(I) conduct a review of the program under this subsection with respect to each State that has enrolled land in the program; andCommentsClose CommentsPermalink





`(II) notwithstanding clause (i)(I), increase the number of acres that may be enrolled by a State under clause (i)(I) to not more than 150,000 acres, as determined by the Secretary.CommentsClose CommentsPermalink





`(D) OWNER OR OPERATOR LIMITATIONS-CommentsClose CommentsPermalink





`(i) WETLAND-CommentsClose CommentsPermalink





`(I) IN GENERAL- Except for a shallow water area described in paragraph (2)(A)(i), the maximum size of any wetland described in subparagraph (A)(i) of an owner or operator enrolled in the conservation reserve under this subsection shall be 40 contiguous acres.CommentsClose CommentsPermalink





`(II) COVERAGE- All acres described in subclause (I) (including acres that are ineligible for payment) shall be covered by the conservation contract.CommentsClose CommentsPermalink





`(ii) BUFFER ACREAGE- The maximum size of any buffer acreage described in subparagraph (A)(ii) of an owner or operator enrolled in the conservation reserve under this subsection shall be determined by the Secretary in consultation with the State Technical Committee.CommentsClose CommentsPermalink





`(iii) TRACTS- Except for a shallow water area described in paragraph (2)(A)(i), the maximum size of any eligible acreage described in subparagraph (A) in a tract (as determined by the Secretary) of an owner or operator enrolled in the conservation reserve under this subsection shall be 40 acres.CommentsClose CommentsPermalink





`(3) DUTIES OF OWNERS AND OPERATORS- Under a contract entered into under this subsection, during the term of the contract, an owner or operator of a farm or ranch shall agree--CommentsClose CommentsPermalink





`(A) to restore the hydrology of the wetland within the eligible acreage to the maximum extent practicable, as determined by the Secretary;CommentsClose CommentsPermalink





`(B) to establish vegetative cover (which may include emerging vegetation in water) on the eligible acreage, as determined by the Secretary;CommentsClose CommentsPermalink





`(C) to a general prohibition of commercial use of the enrolled land; andCommentsClose CommentsPermalink





`(D) to carry out other duties described in section 1232.CommentsClose CommentsPermalink





`(4) DUTIES OF THE SECRETARY-CommentsClose CommentsPermalink





`(A) IN GENERAL- Except as provided in subparagraphs (B) and (C), in return for a contract entered into by an owner or operator under this subsection, the Secretary shall make payments based on rental rates for cropland and provide assistance to the owner or operator in accordance with sections 1233 and 1234.CommentsClose CommentsPermalink





`(B) CONTINUOUS SIGNUP- The Secretary shall use continuous signup under section 1234(c)(2)(B) to determine the acceptability of contract offers and the amount of rental payments under this subsection.CommentsClose CommentsPermalink





`(C) INCENTIVES- The amounts payable to owners and operators in the form of rental payments under contracts entered into under this subsection shall reflect incentives that are provided to owners and operators to enroll filterstrips in the conservation reserve under section 1234.'.CommentsClose CommentsPermalink





(f) Balance of Natural Resource Purposes- Section 1231(j) of the Food Security Act of 1985 (16 U.S.C. 3831(j)) is amended by striking `and wildlife' and inserting `wildlife, and pollinator'.CommentsClose CommentsPermalink





(g) Duties of Participants- Section 1232(a) of the Food Security Act of 1985 (16 U.S.C. 3832(a)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (4)--CommentsClose CommentsPermalink





(A) by redesignating subparagraphs (A) and (B) as subparagraphs (B) and (C), respectively; andCommentsClose CommentsPermalink





(B) by inserting before subparagraph (B) (as so redesignated) the following:CommentsClose CommentsPermalink





`(A) approved vegetative cover shall encourage the planting of native species and restoration of biodiversity;';CommentsClose CommentsPermalink





(2) by redesignating paragraphs (5) through (10) as paragraphs (6) through (11), respectively; andCommentsClose CommentsPermalink





(3) by inserting after paragraph (4) the following:CommentsClose CommentsPermalink





`(5) to undertake active management on the land as needed throughout the term of the contract to implement the conservation plan;'.CommentsClose CommentsPermalink





(h) Managed Harvesting and Grazing- Section 1232(a)(7) of the Food Security Act of 1985 (16 U.S.C. 3832(a)(7)) is amended--CommentsClose CommentsPermalink





(1) in the matter preceding subparagraph (A), by inserting `and brood rearing' after `habitat during nesting'; andCommentsClose CommentsPermalink





(2) in subparagraph (A), by striking `biomass)' and inserting `biomass and prescribed grazing for the control of invasive species), if such activity is permitted and consistent with the conservation plan described in subsection (b)(1)(A))'; andCommentsClose CommentsPermalink





(i) Conservation Plans- Section 1232(b)(1)(A) of the Food Security Act of 1985 (16 U.S.C. 3832(b)(1)(A)) is amended by striking `contract; and' and inserting the following: `contract that are--CommentsClose CommentsPermalink





`(i) compatible with the conservation and improvement of soil, water, and wildlife and wildlife habitat;CommentsClose CommentsPermalink





`(ii) clearly described and apply throughout the duration of the contract;CommentsClose CommentsPermalink





`(iii) actively managed by the owner or operator that entered into the contract; andCommentsClose CommentsPermalink





`(iv) consistent with local active management conservation measures and practices, as determined by the Secretary; and'.CommentsClose CommentsPermalink





(j) Acceptance of Contract Offers- Section 1234(c) of the Food Security Act of 1985 (16 U.S.C. 3834(c)) is amended--CommentsClose CommentsPermalink





(1) by striking paragraph (3) and inserting the following:CommentsClose CommentsPermalink





`(3) ACCEPTANCE OF CONTRACT OFFERS-CommentsClose CommentsPermalink





`(A) EVALUATION OF OFFERS- In determining the acceptability of contract offers, the Secretary may take into consideration the extent to which enrollment of the land that is the subject of the contract offer would improve soil resources, water quality, pollinator, fish, or wildlife habitat, or provide other environmental benefits.CommentsClose CommentsPermalink





`(B) LOCAL PREFERENCE- In determining the acceptability of contract offers for new enrollments if, as determined by the Secretary, the land would provide at least equivalent conservation benefits to land under competing offers, the Secretary shall, to the maximum extent practicable, accept an offer from an owner or operator that is a resident of the county in which the land is located or of a contiguous county.'; andCommentsClose CommentsPermalink





(2) by adding at the end the following:CommentsClose CommentsPermalink





`(5) RENTAL RATES-CommentsClose CommentsPermalink





`(A) ANNUAL ESTIMATES- Not later than 1 year after the date of enactment of this paragraph, the Secretary (acting through the National Agricultural Statistics Service) shall conduct an annual survey of per acre estimates of county average market dryland and irrigated cash rental rates for cropland and pastureland in all counties or equivalent subdivisions within each State that have 20,000 acres or more of cropland and pastureland.CommentsClose CommentsPermalink





`(B) PUBLIC AVAILABILITY OF ESTIMATES- The estimates derived from the annual survey conducted under subparagraph (A) shall be maintained on a website of the Department of Agriculture for use by the general public.'.CommentsClose CommentsPermalink





(k) Early Termination by Owner or Operator- Section 1235(e)(1) of the Food Security Act of 1985 (16 U.S.C. 3835(e)(1)) is amended by striking subparagraph (A) and inserting the following:CommentsClose CommentsPermalink





`(A) IN GENERAL- The Secretary shall allow a participant to terminate a conservation reserve contract at any time if, as determined by the Secretary--CommentsClose CommentsPermalink





`(i) the participant entered into a contract under this subchapter before January 1, 1995, and the contract has been in effect for at least 5 years; orCommentsClose CommentsPermalink





`(ii) in the case of a participant who is disabled (as defined in section 72(m)(7) of the Internal Revenue Code of 1986) or retired from farming or ranching, the participant has endured financial hardship as a result of the taxation of rental payments received.'.CommentsClose CommentsPermalink

SEC. 2312. FLOODED FARMLAND PROGRAM.

Subchapter B of chapter 1 of subtitle D of title XII of the Food Security Act of 1985 (16 U.S.C. 3831a et seq.) is amended by adding at the end the following:CommentsClose CommentsPermalink

`SEC. 1235B. FLOODED FARMLAND PROGRAM.

`(a) Definitions- In this section:CommentsClose CommentsPermalink





`(1) CLOSED BASIN LAKE OR POTHOLE- The term `closed basin lake or pothole' means a naturally occurring lake, pond, pothole, or group of potholes within a tract that--CommentsClose CommentsPermalink





`(A) covered, on average, at least 5 acres in surface area during the preceding 3 crop years, as determined by the Secretary; andCommentsClose CommentsPermalink





`(B) has no natural outlet.CommentsClose CommentsPermalink





`(2) TRACT- The term `tract' has the meaning given the term by the Secretary.CommentsClose CommentsPermalink





`(b) Program-CommentsClose CommentsPermalink





`(1) IN GENERAL- Notwithstanding any other provision of law (including regulations), as part of the conservation reserve program established under this subchapter, the Secretary shall offer to enter into contracts under which the Secretary shall permit the enrollment in the conservation reserve of eligible cropland and grazing land that has been flooded by the natural overflow of a closed basin lake or pothole located within the Prairie Pothole Region of the northern Great Plains priority area (as determined by the Secretary, by regulation).CommentsClose CommentsPermalink





`(2) EXTENSIONS- The Secretary may offer to extend a contract entered into under paragraph (1) if the Secretary determines that conditions persist that make cropland or grazing land covered by the contract and eligible for entry into the program under this section.CommentsClose CommentsPermalink





`(c) Continuous Signup- The Secretary shall offer the program under this section through continuous signup under this subchapter.CommentsClose CommentsPermalink





`(d) Eligibility-CommentsClose CommentsPermalink





`(1) IN GENERAL- To be eligible to enter into a contract under subsection (b), the owner shall own land that, as determined by the Secretary--CommentsClose CommentsPermalink





`(A) during the 3 crop years preceding entry into the contract, was rendered incapable of use for the production of an agricultural commodity or for grazing purposes; andCommentsClose CommentsPermalink





`(B) prior to the natural overflow of a closed basin lake or pothole caused by a period of precipitation in excess of historical patterns, had been consistently used for the production of crops or as grazing land.CommentsClose CommentsPermalink





`(2) INCLUSIONS- Land described in paragraph (1) shall include--CommentsClose CommentsPermalink





`(A) land that has been flooded as the result of the natural overflow of a closed basin lake or pothole;CommentsClose CommentsPermalink





`(B) land that has been rendered inaccessible due to flooding as the result of the natural overflow of a closed basin lake or pothole; andCommentsClose CommentsPermalink





`(C) a reasonable quantity of additional land adjoining the flooded land that would enhance the conservation or wildlife value of the tract, as determined by the Secretary.CommentsClose CommentsPermalink





`(3) ADMINISTRATION- The Secretary may establish--CommentsClose CommentsPermalink





`(A) reasonable minimum acreage levels for individual parcels of land that may be included in a contract entered into under this section; andCommentsClose CommentsPermalink





`(B) the location and area of adjoining flooded land that may be included in a contract entered into under this section.CommentsClose CommentsPermalink





`(e) Payments-CommentsClose CommentsPermalink





`(1) IN GENERAL- Subject to paragraph (2), the rate of an annual rental payment under this section, as determined by the Secretary--CommentsClose CommentsPermalink





`(A) shall be based on the rental rate under this subchapter for cropland, and an appropriate rental rate for pastureland; andCommentsClose CommentsPermalink





`(B) may be reduced by up to 25 percent, based on the ratio of upland associated with the enrollment of the flooded land.CommentsClose CommentsPermalink





`(2) EXCLUSIONS- During the term of a contract entered into under this section, an owner shall not be eligible to participate in or receive benefits for land that is included in the contract under--CommentsClose CommentsPermalink





`(A) the Federal crop insurance program established under the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.);CommentsClose CommentsPermalink





`(B) the noninsured crop assistance program established under section 196 of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7333); orCommentsClose CommentsPermalink





`(C) any Federal agricultural crop disaster assistance program.CommentsClose CommentsPermalink





`(f) Relationship to Agricultural Commodity Programs-CommentsClose CommentsPermalink





`(1) IN GENERAL- Subject to paragraph (2), the Secretary, by regulation, shall provide for the preservation of cropland base, allotment history, and payment yields applicable to land that was rendered incapable of use for the production of an agricultural commodity or for grazing purposes as the result of the natural overflow of a closed basin lake or pothole.CommentsClose CommentsPermalink





`(2) TERMINATION OF CONTRACT- On termination of a contract under this section, the Secretary shall adjust the cropland base, allotment history, and payment yields for land covered by the contract to ensure equitable treatment of the land relative to program payment yields of comparable land in the county that was not flooded as a result of the natural overflow of a closed basin lake or pothole and was capable of remaining in agricultural production.CommentsClose CommentsPermalink





`(g) Use of Land- An owner that has entered into a contract with the Secretary under this section shall take such actions as are necessary to avoid degrading any wildlife habitat on land covered by the contract that has naturally developed as a result of the natural overflow of a closed basin lake or pothole.'.CommentsClose CommentsPermalink

SEC. 2313. WILDLIFE HABITAT PROGRAM.

Subchapter B of chapter 1 of subtitle D of title XII of the Food Security Act of 1985 (16 U.S.C. 3831a et seq.) (as amended by section 2312) is amended by adding at the end the following:CommentsClose CommentsPermalink

`SEC. 1235C. WILDLIFE HABITAT PROGRAM.

`(a) In General- As part of the conservation reserve program established under this subchapter, the Secretary shall carry out a program to provide to owners and operators who have entered into contracts under this subchapter and established softwood pine stands, for each of fiscal years 2008 through 2012, assistance to carry out, on the acreage of the owner or operator enrolled in the program under this subchapter, activities that improve the condition of the enrolled land for the benefit of wildlife.CommentsClose CommentsPermalink





`(b) Scope of Program- In carrying out the program under this section, the Secretary shall determine--CommentsClose CommentsPermalink





`(1) the amount and rate of payments (including incentive payments and cost-sharing payments) to be made to owners and operators who participate in the program to ensure the participation of those owners and operators;CommentsClose CommentsPermalink





`(2) the areas in each of the States in which owners and operators referred to in subsection (a) are located that should be given priority under the program, based on the need in those areas for changes in the condition of land to benefit wildlife; andCommentsClose CommentsPermalink





`(3) the management strategies and practices (including thinning, burning, seeding, establishing wildlife food plots, and such other practices that have benefits for wildlife as are approved by the Secretary) that may be carried out by owners and operators under the program.CommentsClose CommentsPermalink





`(c) Agreements-CommentsClose CommentsPermalink





`(1) IN GENERAL- An owner or operator described in subsection (a) that seeks to receive assistance under this section shall enter into an agreement with the Secretary that--CommentsClose CommentsPermalink





`(A) describes the management strategies and practices referred to in subsection (b)(3) that will be carried out by the owner or operator under the agreement;CommentsClose CommentsPermalink





`(B) describes measures to be taken by the owner or operator to ensure active but flexible management of acreage covered by the agreement;CommentsClose CommentsPermalink





`(C) requires the owner or operator to submit to periodic monitoring and evaluation by wildlife or forestry agencies of the State in which land covered by the agreement is located; andCommentsClose CommentsPermalink





`(D) contains such other terms or conditions as the Secretary may require.CommentsClose CommentsPermalink





`(2) TERM; INCLUSION IN CONTRACT- An agreement entered into under this section shall have a term of not more than 5 years.CommentsClose CommentsPermalink





`(d) Partnerships- In carrying out this section, the Secretary may establish or identify and, as appropriate, require owners and operators participating in the program under this section to work cooperatively with, partnerships among the Secretary and State, local, and nongovernmental organizations.CommentsClose CommentsPermalink





`(e) Technical Assistance and Cost Sharing- The Secretary may provide to owners and operators participating in the program under this section, and members of partnerships described in subsection (d)--CommentsClose CommentsPermalink





`(1) technical assistance for use in carrying out an activity covered by an agreement described in subsection (c); andCommentsClose CommentsPermalink





`(2) a payment for use in covering a percentage of the costs of carrying out each such activity that does not exceed the applicable amount and rate determined by the Secretary under subsection (b)(1).CommentsClose CommentsPermalink





`(f) Termination of Program- The program under this section shall terminate on September 30, 2011.'.CommentsClose CommentsPermalink

Subchapter C--Wetlands Reserve Program

SEC. 2321. WETLANDS RESERVE PROGRAM.

Section 1237 of the Food Security Act of 1985 (16 U.S.C. 3837) is amended--CommentsClose CommentsPermalink





(1) by striking subsection (b) and inserting the following:CommentsClose CommentsPermalink





`(b) Enrollment Conditions-CommentsClose CommentsPermalink





`(1) ANNUAL ENROLLMENT- To the maximum extent practicable, the Secretary shall enroll 250,000 acres in each fiscal year, with no enrollments beginning in fiscal year 2013.CommentsClose CommentsPermalink





`(2) METHODS OF ENROLLMENT-CommentsClose CommentsPermalink





`(A) IN GENERAL- Except as provided in subparagraph (B), the Secretary shall enroll acreage into the wetlands reserve program through the use of--CommentsClose CommentsPermalink





`(i) permanent easements;CommentsClose CommentsPermalink





`(ii) 30-year easements;CommentsClose CommentsPermalink





`(iii) restoration cost-share agreements; orCommentsClose CommentsPermalink





`(iv) any combination of the options described in clauses (i) through (iii).CommentsClose CommentsPermalink





`(B) ACREAGE OWNED BY INDIAN TRIBES- In the case of acreage owned by an Indian tribe, the Secretary shall enroll acreage into the wetlands reserve program through the use of--CommentsClose CommentsPermalink





`(i) a 30-year contract (the value of which shall be equivalent to the value of a 30-year easement);CommentsClose CommentsPermalink





`(ii) restoration cost-share agreements; orCommentsClose CommentsPermalink





`(iii) any combination of the options described in clauses (i) and (ii).'; andCommentsClose CommentsPermalink





(2) in subsection (c), by striking `2007 calendar' and inserting `2012 fiscal'.CommentsClose CommentsPermalink

SEC. 2322. EASEMENTS AND AGREEMENTS.

(a) Terms of Easement- Section 1237A(b)(2)(B) of the Food Security Act of 1985 (16 U.S.C. 3837a(b)(2)(B)) is amended--CommentsClose CommentsPermalink





(1) in clause (i), by striking `or' at the end;CommentsClose CommentsPermalink





(2) in clause (ii), by striking `; and' and inserting `; or'; andCommentsClose CommentsPermalink





(3) by adding at the end the following:CommentsClose CommentsPermalink





`(iii) to meet habitat needs of specific wildlife species; and'.CommentsClose CommentsPermalink





(b) Compensation- Section 1237A(f) of the Food Security Act of 1985 (16 U.S.C. 3837a(f)) is amended--CommentsClose CommentsPermalink





(1) in the first sentence--CommentsClose CommentsPermalink





(A) by striking `Compensation' and inserting the following:CommentsClose CommentsPermalink





`(1) IN GENERAL- Compensation'; andCommentsClose CommentsPermalink





(B) by striking `agreed to' and all that follows through `encumbered by the easement' and inserting `determined under paragraph (4)';CommentsClose CommentsPermalink





(2) in the second sentence, by striking `Lands' and inserting the following:CommentsClose CommentsPermalink





`(2) BIDS- Land';CommentsClose CommentsPermalink





(3) by striking the third sentence and inserting the following:CommentsClose CommentsPermalink





`(3) PAYMENTS- Compensation may be provided in not more than 30 annual payments of equal or unequal size, as agreed to by the owner and the Secretary'; andCommentsClose CommentsPermalink





(4) by adding at the end the following:CommentsClose CommentsPermalink





`(4) METHOD FOR DETERMINATION OF AMOUNT OF COMPENSATION- Effective on the date of enactment of this paragraph, the Secretary shall pay the lowest amount of compensation for a conservation easement, as determined by comparison of--CommentsClose CommentsPermalink





`(A) the fair market value of the land based on--CommentsClose CommentsPermalink





`(i) the Uniform Standards of Professional Appraisal Practices; orCommentsClose CommentsPermalink





`(ii) an area-wide market analysis or survey, as determined by the Secretary;CommentsClose CommentsPermalink





`(B) a geographical cap, as established through a process prescribed in regulations promulgated by the Secretary; andCommentsClose CommentsPermalink





`(C) the offer made by the landowner.'.CommentsClose CommentsPermalink





(c) Wetlands Reserve Enhancement Program- Section 1237A of the Food Security Act of 1985 (16 U.S.C. 3837a) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(h) Wetlands Reserve Enhancement Program-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Secretary may enter into 1 or more agreements with a State (including a political subdivision or agency of a State), nongovernmental organization, or Indian tribe to carry out a special wetlands reserve enhancement program that the Secretary determines would advance the purposes of this subchapter.CommentsClose CommentsPermalink





`(2) RESERVED RIGHTS- Under the wetlands reserve enhancement program, the Secretary may use unique wetlands reserve agreements that may include certain compatible uses as reserved rights in the warranty easement deed restriction, if using those agreements is determined by the Secretary to be--CommentsClose CommentsPermalink





`(A) consistent with the long-term wetland protection and enhancement goals for which the easement was established; andCommentsClose CommentsPermalink





`(B) in accordance with a conservation plan.'.CommentsClose CommentsPermalink





(d) Report-CommentsClose CommentsPermalink





(1) IN GENERAL- Not later than January 1, 2010, the Secretary shall submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report that evaluates the implications of the long-term nature of conservation easements granted under section 1237A of the Food Security Act of 1985 (16 U.S.C. 3837a) on resources of the Department of Agriculture.CommentsClose CommentsPermalink





(2) INCLUSIONS- The report shall include--CommentsClose CommentsPermalink





(A) data relating to the number and location of conservation easements granted under that section that the Secretary holds or has a significant role in monitoring or managing;CommentsClose CommentsPermalink





(B) an assessment of the extent to which the oversight of the conservation easement agreements impacts the availability of resources, including technical assistance;CommentsClose CommentsPermalink





(C) an assessment of the uses and value of agreements with partner organizations; andCommentsClose CommentsPermalink





(D) any other relevant information relating to costs or other effects that would be helpful to the Committees.CommentsClose CommentsPermalink

SEC. 2323. PAYMENTS.

Section 1237D(c) of the Food Security Act of 1985 (16 U.S.C. 3837d(c)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (1)--CommentsClose CommentsPermalink





(A) by striking `The total' and inserting `Subject to section 1244(i), the total';CommentsClose CommentsPermalink





(B) by striking `easement payments' and inserting `payments';CommentsClose CommentsPermalink





(C) by striking `person' and inserting `individual'; andCommentsClose CommentsPermalink





(D) by inserting `or under 30-year contracts or restoration agreements' before the period at the end; andCommentsClose CommentsPermalink





(2) in paragraph (3)--CommentsClose CommentsPermalink





(A) by striking `Easement payments' and inserting `Payments'; andCommentsClose CommentsPermalink





(B) by striking `the Food, Agriculture, Conservation, and Trade Act of 1990, or the Agricultural Act of 1949 (7 U.S.C. 1421 et seq.)' and inserting `the Federal Agriculture Improvement and Reform Act of 1996 (Public Law 104-127; 110 Stat. 888), or the Farm Security and Rural Investment Act of 2002 (Public Law 107-171; 116 Stat. 134)'.CommentsClose CommentsPermalink

Subchapter D--Healthy Forests Reserve Program

SEC. 2331. HEALTHY FORESTS RESERVE PROGRAM.

(a) In General- Chapter 1 of subtitle D of title XII of the Food Security Act of 1985 (16 U.S.C. 3831 et seq.) is amended by adding at the end the following:CommentsClose CommentsPermalink

`Subchapter D--Healthy Forests Reserve Program

`SEC. 1237M. ESTABLISHMENT OF HEALTHY FORESTS RESERVE PROGRAM.

`(a) Establishment- The Secretary shall establish the healthy forests reserve program for the purpose of restoring and enhancing forest ecosystems--CommentsClose CommentsPermalink





`(1) to promote the recovery of threatened and endangered species;CommentsClose CommentsPermalink





`(2) to improve biodiversity; andCommentsClose CommentsPermalink





`(3) to enhance carbon sequestration.CommentsClose CommentsPermalink





`(b) Coordination- The Secretary shall carry out the healthy forests reserve program in coordination with the Secretary of the Interior and the Secretary of Commerce.CommentsClose CommentsPermalink

`SEC. 1237N. ELIGIBILITY AND ENROLLMENT OF LANDS IN PROGRAM.

`(a) In General- The Secretary, in coordination with the Secretary of the Interior and the Secretary of Commerce, shall describe and define forest ecosystems that are eligible for enrollment in the healthy forests reserve program.CommentsClose CommentsPermalink





`(b) Eligibility- To be eligible for enrollment in the healthy forests reserve program, land shall be--CommentsClose CommentsPermalink





`(1) private land the enrollment of which will restore, enhance, or otherwise measurably increase the likelihood of recovery of a species listed as endangered or threatened under section 4 of the Endangered Species Act of 1973 (16 U.S.C. 1533); andCommentsClose CommentsPermalink





`(2) private land the enrollment of which will restore, enhance, or otherwise measurably improve the well-being of species that--CommentsClose CommentsPermalink





`(A) are not listed as endangered or threatened under section 4 of the Endangered Species Act of 1973 (16 U.S.C. 1533); butCommentsClose CommentsPermalink





`(B) are candidates for such listing, State-listed species, or special concern species.CommentsClose CommentsPermalink





`(c) Other Considerations- In enrolling land that satisfies the criteria under subsection (b), the Secretary shall give additional consideration to land the enrollment of which will--CommentsClose CommentsPermalink





`(1) improve biological diversity; andCommentsClose CommentsPermalink





`(2) increase carbon sequestration.CommentsClose CommentsPermalink





`(d) Enrollment by Willing Owners- The Secretary shall enroll land in the healthy forests reserve program only with the consent of the owner of the land.CommentsClose CommentsPermalink





`(e) Methods of Enrollment-CommentsClose CommentsPermalink





`(1) IN GENERAL- Land may be enrolled in the healthy forests reserve program in accordance with--CommentsClose CommentsPermalink





`(A) a 10-year cost-share agreement;CommentsClose CommentsPermalink





`(B) a 30-year easement; orCommentsClose CommentsPermalink





`(C) a permanent easement.CommentsClose CommentsPermalink





`(2) PROPORTION- The extent to which each enrollment method is used shall be based on the approximate proportion of owner interest expressed in that method in comparison to the other methods.CommentsClose CommentsPermalink





`(3) ACREAGE OWNED BY INDIAN TRIBES- In the case of acreage owned by an Indian tribe, the Secretary may enroll acreage into the healthy forests reserve program through the use of--CommentsClose CommentsPermalink





`(A) a 30-year contract (the value of which shall be equivalent to the value of a 30-year easement);CommentsClose CommentsPermalink





`(B) a 10-year cost-share agreement; orCommentsClose CommentsPermalink





`(C) any combination of the options described in subparagraphs (A) and (B).CommentsClose CommentsPermalink





`(f) Enrollment Priority-CommentsClose CommentsPermalink





`(1) SPECIES- The Secretary shall give priority to the enrollment of land that provides the greatest conservation benefit to--CommentsClose CommentsPermalink





`(A) primarily, species listed as endangered or threatened under section 4 of the Endangered Species Act of 1973 (16 U.S.C. 1533); andCommentsClose CommentsPermalink





`(B) secondarily, species that--CommentsClose CommentsPermalink





`(i) are not listed as endangered or threatened under section 4 of the Endangered Species Act of 1973 (16 U.S.C. 1533); butCommentsClose CommentsPermalink





`(ii) are candidates for such listing, State-listed species, or special concern species.CommentsClose CommentsPermalink





`(2) COST-EFFECTIVENESS- The Secretary shall also consider the cost-effectiveness of each agreement or easement, and associated restoration plans, so as to maximize the environmental benefits per dollar expended.CommentsClose CommentsPermalink

`SEC. 1237O. RESTORATION PLANS.

`(a) In General- Land enrolled in the healthy forests reserve program shall be subject to a restoration plan, to be developed jointly by the landowner and the Secretary, in coordination with the Secretary of Interior.CommentsClose CommentsPermalink





`(b) Practices- The restoration plan shall require such restoration practices as are necessary to restore and enhance habitat for--CommentsClose CommentsPermalink





`(1) species listed as endangered or threatened under section 4 of the Endangered Species Act of 1973 (16 U.S.C. 1533); andCommentsClose CommentsPermalink





`(2) animal or plant species before the species reach threatened or endangered status, such as candidate, State-listed species, and special concern species.CommentsClose CommentsPermalink

`SEC. 1237P. FINANCIAL ASSISTANCE.

`(a) Permanent Easements- In the case of land enrolled in the healthy forests reserve program using a permanent easement, the Secretary shall pay to the owner of the land an amount equal to not less than 75 percent, nor more than 100 percent, of (as determined by the Secretary)--CommentsClose CommentsPermalink





`(1) the fair market value of the enrolled land during the period the land is subject to the easement, less the fair market value of the land encumbered by the easement; andCommentsClose CommentsPermalink





`(2) the actual costs of the approved conservation practices or the average cost of approved practices carried out on the land during the period in which the land is subject to the easement.CommentsClose CommentsPermalink





`(b) 30-Year Easement or Contract- In the case of land enrolled in the healthy forests reserve program using a 30-year easement or contract, the Secretary shall pay the owner of the land an amount equal to not more than (as determined by the Secretary)--CommentsClose CommentsPermalink





`(1) 75 percent of the fair market value of the land, less the fair market value of the land encumbered by the easement or contract; andCommentsClose CommentsPermalink





`(2) 75 percent of the actual costs of the approved conservation practices or 75 percent of the average cost of approved practices.CommentsClose CommentsPermalink





`(c) 10-Year Agreement- In the case of land enrolled in the healthy forests reserve program using a 10-year cost-share agreement, the Secretary shall pay the owner of the land an amount equal to not more than (as determined by the Secretary)--CommentsClose CommentsPermalink





`(1) 50 percent of the actual costs of the approved conservation practices; orCommentsClose CommentsPermalink





`(2) 50 percent of the average cost of approved practices.CommentsClose CommentsPermalink





`(d) Acceptance of Contributions- The Secretary may accept and use contributions of non-Federal funds to make payments under this section.CommentsClose CommentsPermalink

`SEC. 1237Q. TECHNICAL ASSISTANCE.

`(a) In General- The Secretary shall provide landowners with technical assistance to assist the owners in complying with the terms of plans (as included in agreements or easements) under the healthy forests reserve program.CommentsClose CommentsPermalink





`(b) Technical Service Providers- The Secretary may request the services of, and enter into cooperative agreements with, individuals or entities certified as technical service providers under section 1242, to assist the Secretary in providing technical assistance necessary to develop and implement the healthy forests reserve program.CommentsClose CommentsPermalink

`SEC. 1237R. PROTECTIONS AND MEASURES.

`(a) Protections- In the case of a landowner that enrolls land in the program and whose conservation activities result in a net conservation benefit for listed, candidate, or other species, the Secretary shall make available to the landowner safe harbor or similar assurances and protection under--CommentsClose CommentsPermalink





`(1) section 7(b)(4) of the Endangered Species Act of 1973 (16 U.S.C. 1536(b)(4)); orCommentsClose CommentsPermalink





`(2) section 10(a)(1) of that Act (16 U.S.C. 1539(a)(1)).CommentsClose CommentsPermalink





`(b) Measures- If protection under subsection (a) requires the taking of measures that are in addition to the measures covered by the applicable restoration plan agreed to under section 1237O, the cost of the additional measures, as well as the cost of any permit, shall be considered part of the restoration plan for purposes of financial assistance under section 1237P.CommentsClose CommentsPermalink

`SEC. 1237S. INVOLVEMENT BY OTHER AGENCIES AND ORGANIZATIONS.

`In carrying out this subchapter, the Secretary may consult with--CommentsClose CommentsPermalink





`(1) nonindustrial private forest landowners;CommentsClose CommentsPermalink





`(2) other Federal agencies;CommentsClose CommentsPermalink





`(3) State fish and wildlife agencies;CommentsClose CommentsPermalink





`(4) State forestry agencies;CommentsClose CommentsPermalink





`(5) State environmental quality agencies;CommentsClose CommentsPermalink





`(6) other State conservation agencies; andCommentsClose CommentsPermalink





`(7) nonprofit conservation organizations.CommentsClose CommentsPermalink

`SEC. 1237T. AUTHORIZATION OF APPROPRIATIONS.

`There are authorized to be appropriated to carry out this subchapter such sums as are necessary for each of fiscal years 2008 through 2012.'.CommentsClose CommentsPermalink





(b) Conforming Amendments- The Healthy Forests Restoration Act of 2003 (16 U.S.C. 6501 et seq.) is amended--CommentsClose CommentsPermalink





(1) by striking title V (16 U.S.C. 6571 et seq.); andCommentsClose CommentsPermalink





(2) by redesignating title VI and section 601 (16 U.S.C. 6591) as title V and section 501, respectively.CommentsClose CommentsPermalink

CHAPTER 2--COMPREHENSIVE STEWARDSHIP INCENTIVES PROGRAM

Subchapter A--General Provisions

SEC. 2341. COMPREHENSIVE STEWARDSHIP INCENTIVES PROGRAM.

Subtitle D of title XII of the Food Security Act of 1985 (16 U.S.C. 3830 et seq.) is amended by adding at the end the following:CommentsClose CommentsPermalink

`CHAPTER 6--COMPREHENSIVE STEWARDSHIP INCENTIVES PROGRAM

`Subchapter A--Comprehensive Stewardship Incentives Program

`SEC. 1240T. COMPREHENSIVE STEWARDSHIP INCENTIVES PROGRAM.

`(a) Establishment-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Secretary shall establish a comprehensive stewardship incentives program (referred to in this chapter as `CSIP') to--CommentsClose CommentsPermalink





`(A) promote coordinated efforts within conservation programs in this chapter to address resources of concern, as identified at the local level;CommentsClose CommentsPermalink





`(B) encourage the adoption of conservation practices, activities and management measures; andCommentsClose CommentsPermalink





`(C) promote agricultural production and environmental quality as compatible goals.CommentsClose CommentsPermalink





`(2) MEANS- The Secretary shall carry out CSIP by--CommentsClose CommentsPermalink





`(A) identifying resources of concern at a local level as described in subsection (b)(4);CommentsClose CommentsPermalink





`(B) entering into contracts with owners and operators of agricultural and nonindustrial private forest land to--CommentsClose CommentsPermalink





`(i) address natural resource concerns;CommentsClose CommentsPermalink





`(ii) meet regulatory requirements; orCommentsClose CommentsPermalink





`(iii) achieve and maintain new conservation practices, activities and management measures; andCommentsClose CommentsPermalink





`(C) providing technical assistance.CommentsClose CommentsPermalink





`(3) PROGRAMS- CSIP shall consist of--CommentsClose CommentsPermalink





`(A) the conservation stewardship program; andCommentsClose CommentsPermalink





`(B) the environmental quality incentives program.CommentsClose CommentsPermalink





`(4) DEFINITION OF RESOURCE OF CONCERN- In this chapter, the term `resource of concern' means--CommentsClose CommentsPermalink





`(A) a specific resource concern on agricultural or nonindustrial private forest land that--CommentsClose CommentsPermalink





`(i) is identified by the Secretary in accordance with subsection (b)(4);CommentsClose CommentsPermalink





`(ii) represents a significant conservation concern in the State to which agricultural activities are contributing; andCommentsClose CommentsPermalink





`(iii) is likely to be addressed successfully through the implementation of conservation practices, activities, and management measures by owners and operators of agricultural and nonindustrial private forest land; orCommentsClose CommentsPermalink





`(B) a specific resource concern on agricultural or nonindustrial private forest land that is the subject of mandatory environmental requirements that apply to a producer under Federal, State, or local law.CommentsClose CommentsPermalink





`(b) Administration-CommentsClose CommentsPermalink





`(1) IN GENERAL- In carrying out CSIP, the Secretary shall ensure that the conservation programs under this chapter are managed in a coordinated manner.CommentsClose CommentsPermalink





`(2) PLANS- The Secretary shall, to the maximum extent practicable, avoid duplication in the conservation plans required under this chapter and comparable conservation and regulatory programs, including a permit acquired under an approved water or air quality regulatory program.CommentsClose CommentsPermalink





`(3) TENANT PROTECTION- The Secretary shall provide adequate safeguards to protect the interests of tenants and sharecroppers, including provision for sharing, on a fair and equitable basis, in payments under the programs established under this chapter.CommentsClose CommentsPermalink





`(4) IDENTIFICATION OF RESOURCES OF CONCERN-CommentsClose CommentsPermalink





`(A) IN GENERAL- The Secretary shall ensure that resources of concern are identified at the State level in consultation with the State Technical Committee.CommentsClose CommentsPermalink





`(B) LIMITATION- The Secretary shall identify not more than 5 resources of concern in a particular watershed or other appropriate region or area within a State.CommentsClose CommentsPermalink





`(5) REGULATIONS- Not later than 180 days after the date of enactment of the Food and Energy Security Act of 2007 the Secretary shall issue regulations to implement the programs established under this chapter.CommentsClose CommentsPermalink

`Subchapter B--Conservation Stewardship Program

`SEC. 1240U. PURPOSES.

`The purpose of the conservation stewardship program is to promote agricultural production and environmental quality as compatible goals, and to optimize environmental benefits, by assisting producers--CommentsClose CommentsPermalink





`(1) in promoting conservation and improving resources of concern (including soil, water, and energy conservation, soil, water, and air quality, biodiversity, fish, wildlife and pollinator habitat, and related resources of concern, as defined by the Secretary) by providing flexible assistance to install, improve, and maintain conservation systems, practices, activities, and management measures on agricultural land (including cropland, grazing land, and wetland) while sustaining production of food and fiber;CommentsClose CommentsPermalink





`(2) in making beneficial, cost-effective changes to conservation systems, practices, activities, and management measures carried out on agricultural and forest land relating to--CommentsClose CommentsPermalink





`(A) cropping systems;CommentsClose CommentsPermalink





`(B) grazing management systems;CommentsClose CommentsPermalink





`(C) nutrient management associated with livestock and crops;CommentsClose CommentsPermalink





`(D) forest management;CommentsClose CommentsPermalink





`(E) fuels management;CommentsClose CommentsPermalink





`(F) integrated pest management;CommentsClose CommentsPermalink





`(G) irrigation management;CommentsClose CommentsPermalink





`(H) invasive species management;CommentsClose CommentsPermalink





`(I) energy conservation; orCommentsClose CommentsPermalink





`(J) other management-intensive issues;CommentsClose CommentsPermalink





`(3) in complying with Federal, State, tribal, and local requirements concerning--CommentsClose CommentsPermalink





`(A) soil, water, and air quality;CommentsClose CommentsPermalink





`(B) fish, wildlife, and pollinator habitat; andCommentsClose CommentsPermalink





`(C) surface water and groundwater conservation;CommentsClose CommentsPermalink





`(4) in avoiding, to the maximum extent practicable, the need for resource and regulatory programs by protecting resources of concern and meeting environmental quality criteria established by Federal, State, tribal, and local agencies; andCommentsClose CommentsPermalink





`(5) by encouraging, consolidating, and streamlining conservation planning and regulatory compliance processes to reduce administrative burdens on producers and the cost of achieving environmental goals.CommentsClose CommentsPermalink

`SEC. 1240V. DEFINITIONS.

`In this chapter:CommentsClose CommentsPermalink





`(1) COMPREHENSIVE CONSERVATION PLAN- The term `comprehensive conservation plan' means a plan produced by following the planning process outlined in the applicable National Planning Procedures Handbook of the Department of Agriculture with regard to all applicable resources of concern.CommentsClose CommentsPermalink





`(2) CONTRACT OFFER- The term `contract offer' means an application submitted by a producer that seeks to address 1 or more resources of concern with the assistance of the program.CommentsClose CommentsPermalink





`(3) ENHANCEMENT PAYMENT- The term `enhancement payment' means a payment described in section 1240X(d).CommentsClose CommentsPermalink





`(4) ELIGIBLE LAND- The term `eligible land' means land described in section 1240X(b).CommentsClose CommentsPermalink





`(5) LIVESTOCK- The term `livestock' means dairy cattle, beef cattle, laying hens, broilers, turkeys, swine, sheep, goats, ducks, ratites, shellfish, alpacas, bison, catfish, managed pollinators, and such other animals and fish as are determined by the Secretary.CommentsClose CommentsPermalink





`(6) MANAGEMENT INTENSITY- The term `management intensity' means the degree, scope, and comprehensiveness of conservation systems, practices, activities, or management measures adopted by a producer to improve and sustain the condition of a resource of concern.CommentsClose CommentsPermalink





`(7) PAYMENT- The term `payment' means financial assistance provided to a producer under the program to compensate the producers for incurred costs associated with planning, materials, installation, labor, management, maintenance, technical assistance, and training, the value of risk, and income forgone by the producer, as applicable, including--CommentsClose CommentsPermalink





`(A) enhancement payments;CommentsClose CommentsPermalink





`(B) CSP supplemental payments; andCommentsClose CommentsPermalink





`(C) other payments provided under this chapter.CommentsClose CommentsPermalink





`(8) PRACTICE-CommentsClose CommentsPermalink





`(A) IN GENERAL- The term `practice' means 1 or more measures that improve or sustain a resource of concern.CommentsClose CommentsPermalink





`(B) INCLUSIONS- The term `practice' includes--CommentsClose CommentsPermalink





`(i) structural measures, vegetative measures, and land management measures, as determined by the Secretary; andCommentsClose CommentsPermalink





`(ii) planning activities needed to improve or sustain a resource of concern, including implementation of--CommentsClose CommentsPermalink





`(I) a comprehensive conservation plan; andCommentsClose CommentsPermalink





`(II) a comprehensive nutrient management plan.CommentsClose CommentsPermalink





`(9) PRODUCER- The term `producer' means an individual who is an owner, operator, landlord, tenant, or sharecropper that--CommentsClose CommentsPermalink





`(A) derives income from, and controls, the production or management of an agricultural commodity, livestock, or nonindustrial forest land regardless of ownership;CommentsClose CommentsPermalink





`(B) shares in the risk of producing any crop or livestock; andCommentsClose CommentsPermalink





`(C)(i) is entitled to share in the crop or livestock available for marketing from a farm (or would have shared had the crop or livestock been produced); orCommentsClose CommentsPermalink





`(ii) is a custom feeder or contract grower.CommentsClose CommentsPermalink





`(10) PROGRAM- The term `program' means the conservation stewardship program established under this chapter.CommentsClose CommentsPermalink





`(11) RESOURCE-CONSERVING CROP- The term `resource-conserving crop' means--CommentsClose CommentsPermalink





`(A) a perennial grass;CommentsClose CommentsPermalink





`(B) a legume grown for use as forage, seed for planting, or green manure;CommentsClose CommentsPermalink





`(C) a legume-grass mixture;CommentsClose CommentsPermalink





`(D) a small grain grown in combination with a grass or legume, whether interseeded or planted in succession;CommentsClose CommentsPermalink





`(E) a winter annual oilseed crop that provides soil protection; andCommentsClose CommentsPermalink





`(F) such other plantings as the Secretary determines to be appropriate for a particular area.CommentsClose CommentsPermalink





`(12) RESOURCE-CONSERVING CROP ROTATION- The term `resource-conserving crop rotation' means a crop rotation that--CommentsClose CommentsPermalink





`(A) includes at least 1 resource-conserving crop;CommentsClose CommentsPermalink





`(B) reduces erosion;CommentsClose CommentsPermalink





`(C) improves soil fertility and tilth;CommentsClose CommentsPermalink





`(D) interrupts pest cycles; andCommentsClose CommentsPermalink





`(E) in applicable areas, reduces depletion of soil moisture (or otherwise reduces the need for irrigation).CommentsClose CommentsPermalink





`(13) RESOURCE-SPECIFIC INDICES- The term `resource-specific indices' means indices developed by the Secretary that measure or estimate the expected level of resource and environmental outcomes of the conservation systems, practices, activities, and management measures employed by a producer to address a resource of concern on an agricultural operation.CommentsClose CommentsPermalink





`(14) STEWARDSHIP CONTRACT- The term `stewardship contract' means a contract entered into under the conservation stewardship program to carry out the programs and activities described in this chapter.CommentsClose CommentsPermalink





`(15) STEWARDSHIP THRESHOLD- The term `stewardship threshold' means the level of natural resource conservation and environmental management required, as determined by the Secretary--CommentsClose CommentsPermalink





`(A) to maintain, conserve, and improve the quality or quantity of a resource of concern reflecting at a minimum, the resource management system quality criteria described in the handbooks of the Natural Resource Conservation Service, if available and appropriate; orCommentsClose CommentsPermalink





`(B) in the case of a resource of concern that is the subject of a Federal, State, or local regulatory requirement, to meet the higher of--CommentsClose CommentsPermalink





`(i) the standards that are established by the requirement for the resource of concern; orCommentsClose CommentsPermalink





`(ii) standards reflecting the resource management system quality criteria described in the handbooks of the Natural Resource Conservation Service, if available and appropriate.CommentsClose CommentsPermalink

`SEC. 1240W. ESTABLISHMENT OF PROGRAM.

`The Secretary shall establish and, for each of fiscal years 2008 through 2012, carry out a conservation stewardship program to assist producers in improving environmental quality by addressing resources of concern in a comprehensive manner through--CommentsClose CommentsPermalink





`(1) the addition of conservation systems, practices, activities, and management measures; andCommentsClose CommentsPermalink





`(2) the active management, maintenance, and improvement of existing, and adoption of new, conservation systems, practices, activities, and management measures.CommentsClose CommentsPermalink

`SEC. 1240X. ELIGIBILITY.

`(a) Eligible Producers-CommentsClose CommentsPermalink





`(1) GENERAL PROGRAM ELIGIBILITY- To be eligible to participate in the conservation stewardship program, a producer shall--CommentsClose CommentsPermalink





`(A) submit to the Secretary for approval a contract offer to participate in the program;CommentsClose CommentsPermalink





`(B) agree to receive technical services, either directly from the Secretary or, at the option of the producer, from an approved third party under section 1242(b)(3);CommentsClose CommentsPermalink





`(C) enter into a contract with the Secretary, as described in subsection (c); andCommentsClose CommentsPermalink





`(D) demonstrate to the satisfaction of the Secretary that the producer--CommentsClose CommentsPermalink





`(i) is addressing resources of concern relating to both soil and water to at least the stewardship threshold; andCommentsClose CommentsPermalink





`(ii) is adequately addressing other resources of concern applicable to the agricultural operation, as determined by the Secretary.CommentsClose CommentsPermalink





`(b) Eligible Land-CommentsClose CommentsPermalink





`(1) IN GENERAL- Except as provided in paragraph (2), private agricultural land that is eligible for enrollment in the program includes--CommentsClose CommentsPermalink





`(A) cropland (including vineyards and orchards);CommentsClose CommentsPermalink





`(B) pasture land;CommentsClose CommentsPermalink





`(C) rangeland;CommentsClose CommentsPermalink





`(D) other agricultural land used for the production of livestock;CommentsClose CommentsPermalink





`(E) land used for agroforestry;CommentsClose CommentsPermalink





`(F) land used for aquaculture;CommentsClose CommentsPermalink





`(G) riparian areas adjacent to otherwise eligible land;CommentsClose CommentsPermalink





`(H) land under the jurisdiction of an Indian tribe (as determined by the Secretary);CommentsClose CommentsPermalink





`(I) public land, if failure to enroll the land in the program would defeat the purposes of the program on private land that is an integral part of the operation enrolled or offered to be enrolled in the program by the producer;CommentsClose CommentsPermalink





`(J) State and school owned land that is under the effective control of a producer; andCommentsClose CommentsPermalink





`(K) other agricultural land (including cropped woodland and marshes) that the Secretary determines is vulnerable to serious threats to resources of concern.CommentsClose CommentsPermalink





`(2) EXCLUSIONS-CommentsClose CommentsPermalink





`(A) LAND ENROLLED IN OTHER CONSERVATION PROGRAMS- The following land is not eligible for enrollment in the program:CommentsClose CommentsPermalink





`(i) Land enrolled in the conservation reserve program under subchapter B of chapter 1.CommentsClose CommentsPermalink





`(ii) Land enrolled in the wetlands reserve program established under subchapter C of chapter 1.CommentsClose CommentsPermalink





`(B) CONVERSION TO CROPLAND- With regard to the program, land used for crop production after May 13, 2002, that had not been planted, considered to be planted, or devoted to crop production for at least 4 of the 6 years preceding that date (except for land enrolled in the conservation reserve program or that has been maintained using long-term crop rotation practices, as determined by the Secretary) shall not be the basis for any payment under the program.CommentsClose CommentsPermalink





`(3) ECONOMIC USES- The Secretary shall not restrict economic uses of land covered by a program contract (including buffers and other partial field conservation practices) that comply with the agreement and comprehensive conservation plan, or other applicable law.CommentsClose CommentsPermalink





`(c) Contract Requirements and Provisions-CommentsClose CommentsPermalink





`(1) IN GENERAL- After a determination by the Secretary that a producer is eligible to participate in the program, and on acceptance of the contract offer of the producer, the Secretary shall enter into a contract with the producer to enroll the land to be covered by the contract.CommentsClose CommentsPermalink





`(2) AGRICULTURAL OPERATIONS- All acres of all agricultural operations, whether or not contiguous, that are under the effective control of a producer within a particular watershed or region (or in a contiguous watershed or region) of a State and constitute a cohesive management unit, as determined by the Secretary, at the time the producer enters into a stewardship contract shall be covered by the stewardship contract, other than land the producer has enrolled in the conservation reserve program or the wetlands reserve program.CommentsClose CommentsPermalink





`(3) RESOURCES OF CONCERN- Each stewardship contract shall, at a minimum, meet or exceed the stewardship threshold for at least 1 additional resource of concern by the end of the stewardship contract through--CommentsClose CommentsPermalink





`(A) the installation and adoption of additional conservation systems, practices, activities, or management measures; andCommentsClose CommentsPermalink





`(B) the active management and improvement of conservation systems, practices, activities, and management measures in place at the operation of the producer at the time the contract offer is accepted by the Secretary.CommentsClose CommentsPermalink





`(4) TERMS- A contract entered into under paragraph (1) shall--CommentsClose CommentsPermalink





`(A) describe the land covered by the contract;CommentsClose CommentsPermalink





`(B) describe the practices or technical services from an approved third party, to be implemented on eligible land of the producer;CommentsClose CommentsPermalink





`(C) state the amount of payments (determined in accordance with subsection (f)) the Secretary agrees to make to the producer each year of the contract;CommentsClose CommentsPermalink





`(D) describe existing conservation systems, practices, activities, and management measures the producer agrees to maintain, manage, and improve during the term of the stewardship contract in order to meet and exceed the appropriate stewardship threshold for the resources of concern;CommentsClose CommentsPermalink





`(E) describe the additional conservation systems, practices, activities, and management measures the producer agrees to plan, install, maintain, and manage during the term of the stewardship contract in order to meet and exceed the appropriate stewardship threshold for the appropriate resource or resources of concern;CommentsClose CommentsPermalink





`(F) if applicable, describe the on-farm conservation research, demonstration, training, or pilot project activities the producer agrees to undertake during the term of the contract;CommentsClose CommentsPermalink





`(G) if applicable, describe the on-farm monitoring and evaluation activities the producer agrees to undertake during the term of the contract relating to--CommentsClose CommentsPermalink





`(i) a comprehensive conservation plan; orCommentsClose CommentsPermalink





`(ii) conservation systems, practices, activities, and management measures; andCommentsClose CommentsPermalink





`(H) include such other provisions as the Secretary determines are necessary to ensure that the purposes of the program are achieved.CommentsClose CommentsPermalink





`(5) ON-FARM RESEARCH, DEMONSTRATION, TRAINING, OR PILOT PROJECTS- The Secretary may approve a stewardship contract that includes--CommentsClose CommentsPermalink





`(A) on-farm conservation research, demonstration, and training activities; andCommentsClose CommentsPermalink





`(B) pilot projects for evaluation of new technologies or innovative conservation practices.CommentsClose CommentsPermalink





`(6) DURATION- A contract under this chapter shall have a term of 5 years.CommentsClose CommentsPermalink





`(7) EVALUATION OF CONTRACT OFFERS- In evaluating contract offers made by producers to enter into contracts under the program, the Secretary shall--CommentsClose CommentsPermalink





`(A) prioritize applications based on--CommentsClose CommentsPermalink





`(i) the level of conservation treatment on all resources of concern at the time of application, based on the initial scores received by the producer on applicable resource-specific indices;CommentsClose CommentsPermalink





`(ii) the degree to which the proposed conservation treatment effectively increases the level of performance on applicable resource-specific indices or the level of management intensity with which the producer addresses the designated resources of concern;CommentsClose CommentsPermalink





`(iii) the extent to which all resources of concern will exceed the stewardship threshold level by the end of the contract period;CommentsClose CommentsPermalink





`(iv) the extent to which resources of concern in addition to resources of concern will be addressed to meet and exceed the stewardship threshold level by the end of the contract period;CommentsClose CommentsPermalink





`(v) the extent to which the producer proposes to address the goals and objectives of State, regional, and national fish and wildlife conservation plans and initiatives;CommentsClose CommentsPermalink





`(vi) whether the proposed conservation treatment reflects the multiple natural resource and environmental benefits of conservation-based farming systems, including resource-conserving crop rotations, advanced integrated pest management, and managed rotational grazing; andCommentsClose CommentsPermalink





`(vii) whether the application includes land transitioning out of the conservation reserve program, on the condition that the land is maintained in a grass-based system and would help meet habitat needs for fish and wildlife;CommentsClose CommentsPermalink





`(B) evaluate the extent to which the anticipated environmental benefits from the contract would be provided in the most cost-effective manner, relative to other similarly beneficial contract offers;CommentsClose CommentsPermalink





`(C) reward higher levels of environmental performance and management intensity;CommentsClose CommentsPermalink





`(D) develop criteria for use in evaluating applications that will ensure that national, State, and local conservation priorities are effectively addressed;CommentsClose CommentsPermalink





`(E) evaluate the extent to which the environmental benefits expected to result from the contract complement other conservation efforts in the watershed or region; andCommentsClose CommentsPermalink





`(F) provide opportunities to agricultural producers that have not previously participated in Federal conservation programs, including beginning farmers and ranchers and socially disadvantaged farmers and ranchers.CommentsClose CommentsPermalink





`(8) TERMINATION OF CONTRACTS-CommentsClose CommentsPermalink





`(A) IN GENERAL-CommentsClose CommentsPermalink





`(i) VOLUNTARY TERMINATION- The producer may terminate a contract entered into with the Secretary under this chapter if the Secretary determines that the termination is in the public interest.CommentsClose CommentsPermalink





`(ii) INVOLUNTARY TERMINATION- The Secretary may terminate a contract under this chapter if the Secretary determines that the producer violated the contract.CommentsClose CommentsPermalink





`(B) REPAYMENT- If a contract is terminated, the Secretary may--CommentsClose CommentsPermalink





`(i) allow the producer to retain payments already received under the contract if--CommentsClose CommentsPermalink





`(I) the producer has complied with the terms and conditions of the contract; andCommentsClose CommentsPermalink





`(II) the Secretary determines that allowing the producer to retain the payments is consistent with the purposes of the program;CommentsClose CommentsPermalink





`(ii) require repayment, in whole or in part, of payments already received; andCommentsClose CommentsPermalink





`(iii) assess liquidated damages, if doing so is consistent with the purposes of the program.CommentsClose CommentsPermalink





`(C) TRANSFER OR CHANGE OF INTEREST IN LAND SUBJECT TO A CONTRACT-CommentsClose CommentsPermalink





`(i) IN GENERAL- Except as provided in clause (ii), the transfer, or change in the interest, of a producer in land subject to a contract under this chapter shall result in the termination of the contract.CommentsClose CommentsPermalink





`(ii) TRANSFER OF DUTIES AND RIGHTS- Clause (i) shall not apply if--CommentsClose CommentsPermalink





`(I) within a reasonable period of time (as determined by the Secretary) after the date of the transfer or change in the interest in land, the transferee of the land provides written notice to the Secretary that all duties and rights under the contract have been transferred to, and assumed by, the transferee; andCommentsClose CommentsPermalink





`(II) the transferee meets the eligibility requirements of this subchapter.CommentsClose CommentsPermalink





`(9) MODIFICATION-CommentsClose CommentsPermalink





`(A) IN GENERAL- The Secretary may allow a producer to modify a contract before the expiration of the contract if the Secretary determines that failure to modify the contract would significantly interfere with achieving the purposes of the program.CommentsClose CommentsPermalink





`(B) PARTICIPATION IN OTHER PROGRAMS- If appropriate payment reductions and other adjustments (as determined by the Secretary) are made to the contract of a producer, the producer may remove land enrolled in the conservation stewardship program for enrollment in the conservation reserve program, wetlands reserve program, or other conservation programs, as determined by the Secretary.CommentsClose CommentsPermalink





`(C) CHANGES IN SIZE OF OPERATION- The Secretary shall allow a producer to modify a stewardship contract before the expiration of the stewardship contract if the agricultural operation of the producer has reduced or enlarged in size to reflect the new acreage total.CommentsClose CommentsPermalink





`(D) NEW ACREAGE- With respect to acreage added to the agricultural operation of a producer after entering into a stewardship contract, a producer may elect to not add the acreage to the stewardship contract during the term of the current stewardship contract, except that such additional acreage shall be included in any contract renewal.CommentsClose CommentsPermalink





`(E) CHANGES IN PRODUCTION- The Secretary shall allow a producer to modify a stewardship contract before the expiration of the stewardship contract if--CommentsClose CommentsPermalink





`(i) the producer has a change in production that requires a change to scheduled conservation practices and activities; andCommentsClose CommentsPermalink





`(ii) the Secretary determines that--CommentsClose CommentsPermalink





`(I) all relevant conservation standards will be maintained or improved; andCommentsClose CommentsPermalink





`(II) there is no increase in total payment under the stewardship contract.CommentsClose CommentsPermalink





`(10) EFFECT OF NONCOMPLIANCE DUE TO CIRCUMSTANCES BEYOND THE CONTROL OF PRODUCER- The Secretary shall include in each contract a provision to ensure that a producer shall not be considered in violation of the contract for failure to comply with the contract due to circumstances beyond the control of the producer, including a disaster or related weather, pest, disease, or other similar condition, as determined by the Secretary.CommentsClose CommentsPermalink





`(11) COORDINATION WITH ORGANIC CERTIFICATION-CommentsClose CommentsPermalink





`(A) IN GENERAL- Not later than 180 days after the date of enactment of this chapter, the Secretary shall establish a transparent and producer-friendly means by which producers may coordinate and simultaneously certify eligibility under--CommentsClose CommentsPermalink





`(i) a stewardship contract; andCommentsClose CommentsPermalink





`(ii) the national organic production program established under the Organic Foods Production Act of 1990 (7 U.S.C. 6501 et seq.).CommentsClose CommentsPermalink





`(B) PROGRAMMATIC CONSIDERATIONS- The Secretary shall identify and implement programmatic considerations, including conservation systems, practices, activities, and management measures, technical assistance, evaluation of contract offers, enhancement payments, on-farm research, demonstration, training, and pilot projects, and data management, through which to maximize the purposes of the program by enrolling producers who are certified under the national organic production program established under the Organic Foods Production Act of 1990 (7 U.S.C. 6501 et seq.).CommentsClose CommentsPermalink





`(12) RENEWAL- At the end of a stewardship contract of a producer, the Secretary shall allow the producer to renew the stewardship contract for an additional 5-year period if the producer--CommentsClose CommentsPermalink





`(A) demonstrates compliance with the terms of the existing contract, including a demonstration that the producer has complied with the schedule for the implementation of additional conservation systems, practices, activities, and management measures included in the stewardship contract and is addressing the designated resources of concern to a level that meets and exceeds the stewardship threshold; andCommentsClose CommentsPermalink





`(B) agrees to implement and maintain such additional conservation practices and activities as the Secretary determines to be necessary and feasible to achieve higher levels of performance on applicable resource-specific indices or higher levels of management intensity with which the producer addresses the resources of concern.CommentsClose CommentsPermalink





`(d) Enhancement Payments-CommentsClose CommentsPermalink





`(1) LOWER PAYMENTS- In evaluating applications and making payments under this chapter, the Secretary shall not assign a higher priority to any application because the applicant is willing to accept a lower payment than the applicant would otherwise be entitled to receive.CommentsClose CommentsPermalink





`(2) EVALUATION OF CONTRACT OFFERS- Nothing in this subsection relieves the Secretary of the obligation, in evaluating applications for payments, to evaluate and prioritize the applications in accordance with subsection (e)(4)), including the requirement for contracts to be cost-effective.CommentsClose CommentsPermalink





`(3) LOWEST-COST ALTERNATIVES- In determining the eligibility of a conservation system, practice, activity, or management measure for a payment under this subsection, the Secretary shall require, to the maximum extent practicable, that the lowest-cost alternatives be used to achieve the purposes of the contract, as determined by the Secretary.CommentsClose CommentsPermalink





`(4) METHOD OF PAYMENT- Payments under this subsection shall be made in such amounts and in accordance with such time schedule as is agreed on and specified in the contract.CommentsClose CommentsPermalink





`(5) ACTIVITIES QUALIFYING FOR PAYMENTS-CommentsClose CommentsPermalink





`(A) IN GENERAL- To receive an enhancement payment under this subsection, a producer shall agree--CommentsClose CommentsPermalink





`(i) to implement additional conservation systems, practices, activities, and management measures and maintain, manage, and improve existing conservation systems, practices, activities, and management measures in order to maintain and improve the level of performance of the producer, as determined by applicable resource-specific indices, or the level of management intensity of the producer with respect to resources of concern in order to meet and exceed the stewardship threshold for resources of concern; andCommentsClose CommentsPermalink





`(ii) to maintain, and make available to the Secretary at such times as the Secretary may request, appropriate records demonstrating the effective and timely implementation of the stewardship contract.CommentsClose CommentsPermalink





`(B) COMPENSATION- Subject to subparagraph (C), the Secretary shall provide an enhancement payment to a producer to compensate the producer for--CommentsClose CommentsPermalink





`(i) ongoing implementation, active management, and maintenance of conservation systems, practices, activities, and management measures in place on the operation of the producer at the time the contract offer of the producer is accepted; andCommentsClose CommentsPermalink





`(ii) installation and adoption of additional conservation systems, practices, activities, and management measures or improvements to conservation systems, practices, activities, and management measures in place on the operation of the producer at the time the contract offer is accepted.CommentsClose CommentsPermalink





`(C) ADJUSTMENTS- A payment under subparagraph (B) shall be adjusted to reflect--CommentsClose CommentsPermalink





`(i) management intensity; orCommentsClose CommentsPermalink





`(ii) resource-specific indices, in a case in which those indices have been developed and implemented.CommentsClose CommentsPermalink





`(D) ON-FARM RESEARCH, DEMONSTRATION, TRAINING, AND PILOT PROJECT PAYMENTS- The Secretary shall provide an additional enhancement payment to a producer who opts to participate as part of the stewardship contract in an on-farm conservation research, demonstration, training or pilot project certified by the Secretary to compensate the producer for the cost of participation.CommentsClose CommentsPermalink





`(E) RESTRICTION ON STRUCTURAL PRACTICES- For purposes of the conservation stewardship program, structural practices shall be eligible for payment only if the structural practices are integrated with and essential to support site-specific management activities that are part of an implemented management system designed to address 1 or more resources of concern.CommentsClose CommentsPermalink





`(6) EXCLUSIONS- An enhancement payment to a producer under this subsection shall not be provided for the design, construction, or maintenance of animal waste storage or treatment facilities or associated waste transport or transfer devices for animal feeding operations.CommentsClose CommentsPermalink





`(7) TIMING OF PAYMENTS-CommentsClose CommentsPermalink





`(A) IN GENERAL- The Secretary shall make enhancement payments as soon as practicable after October 1 of each fiscal year.CommentsClose CommentsPermalink





`(B) ADDITIONAL SYSTEMS, PRACTICES, ACTIVITIES, AND MANAGEMENT MEASURES- The Secretary shall make enhancement payments to compensate producers for installation and adoption of additional conservation systems, practices, activities, and management measures or improvements to existing conservation systems, practices, activities, and management measures at the time at which the systems, practices, activities, and measures or improvements are installed and adopted.CommentsClose CommentsPermalink





`(8) RESEARCH, DEMONSTRATION, TRAINING, AND PILOT PROJECT PAYMENT LIMITATIONS- An enhancement payment for research, demonstration, training and pilot projects may not exceed $25,000 for each 5-year term of the stewardship contract (excluding funding arrangements with federally recognized Indian tribes or Alaska Native Corporations).CommentsClose CommentsPermalink





`(e) CSP Supplemental Payments-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Secretary shall provide additional payments to producers that, in participating in the conservation stewardship program, agree to adopt resource-conserving crop rotations to achieve optimal crop rotations as appropriate for the land of the producers.CommentsClose CommentsPermalink





`(2) OPTIMAL CROP ROTATIONS- The Secretary shall determine whether a resource-conserving crop rotation is an optimal crop rotation eligible for additional payments under paragraph (1), based on whether the resource-conserving crop rotation is designed to optimize natural resource conservation and production benefits, including--CommentsClose CommentsPermalink





`(A) increased efficiencies in pesticide, fertilizer, and energy use; andCommentsClose CommentsPermalink





`(B) improved disease management.CommentsClose CommentsPermalink





`(3) ELIGIBILITY- To be eligible to receive a payment described in paragraph (1), a producer shall agree to adopt and maintain optimal resource-conserving crop rotations for the term of the contract.CommentsClose CommentsPermalink





`(4) RATE- The Secretary shall provide payments under this subsection at a rate that encourages producers to adopt optimal resource-conserving crop rotations.CommentsClose CommentsPermalink





`(f) Limitation on Payments- Subject to section 1244(i), an individual or entity may not receive, directly or indirectly, payments under this subchapter that, in the aggregate, exceed $240,000 for all contracts entered into under the conservation stewardship program during any 6-year period.CommentsClose CommentsPermalink





`(g) Duties of Producers- In order to receive assistance under this chapter, a producer shall--CommentsClose CommentsPermalink





`(1) implement the terms of the contract approved by the Secretary;CommentsClose CommentsPermalink





`(2) not conduct any practices on the covered land that would defeat the purposes of the program;CommentsClose CommentsPermalink





`(3) on the violation of a term or condition of the contract at any time the producer has control of the land--CommentsClose CommentsPermalink





`(A) if the Secretary determines that the violation warrants termination of the contract--CommentsClose CommentsPermalink





`(i) forfeit all rights to receive payments under the contract; andCommentsClose CommentsPermalink





`(ii) refund to the Secretary all or a portion of the payments received by the owner or operator under the contract, including any interest on the payments or liquidated damages, as determined by the Secretary;CommentsClose CommentsPermalink





`(B) if the Secretary determines that the violation does not warrant termination of the contract, refund to the Secretary, or accept adjustments to, the payments provided to the owner or operator, as the Secretary determines to be appropriate; orCommentsClose CommentsPermalink





`(C) comply with a combination of the remedies authorized by subparagraphs (A) and (B), as the Secretary determines to be appropriate;CommentsClose CommentsPermalink





`(4) on the transfer of the right and interest of the producer in land subject to the contract (unless the transferee of the right and interest agrees with the Secretary to assume all obligations of the contract) refund any cost-share payments, incentive payments, and stewardship payments received under the program, as determined by the Secretary;CommentsClose CommentsPermalink





`(5) supply information as required by the Secretary to determine compliance with the contract and requirements of the program; andCommentsClose CommentsPermalink





`(6) comply with such additional provisions as the Secretary determines are necessary to carry out the contract.CommentsClose CommentsPermalink





`(h) Duties of Secretary-CommentsClose CommentsPermalink





`(1) IN GENERAL- To achieve the conservation and environmental goals of a contract under this chapter, to the extent appropriate, the Secretary shall--CommentsClose CommentsPermalink





`(A) provide to a producer information and training to aid in implementation of the conservation systems, practices, activities, and management measures covered by the contract;CommentsClose CommentsPermalink





`(B) develop agreements with governmental agencies, nonprofit organizations, and private entities to facilitate the provision of technical and administrative assistance and services;CommentsClose CommentsPermalink





`(C) make the program available to eligible producers on a continuous enrollment basis;CommentsClose CommentsPermalink





`(D) when identifying biodiversity or fish and wildlife as a resource of concern for a particular watershed or other appropriate region or area within a State, ensure that the identification--CommentsClose CommentsPermalink





`(i) is specific with respect to particular species or habitat; andCommentsClose CommentsPermalink





`(ii) would further the goals and objectives of State, regional, and national fish and wildlife conservation plans and initiatives;CommentsClose CommentsPermalink





`(E) provide technical assistance and payments for each of fiscal years 2008 through 2012;CommentsClose CommentsPermalink





`(F) maintain contract and payment data relating to the conservation stewardship program in a manner that provides detailed and segmented data and allows for quantification of the amount of payments made to producers for--CommentsClose CommentsPermalink





`(i) the installation and adoption of additional conservation systems, practices, activities, or management measures;CommentsClose CommentsPermalink





`(ii) participating in research, demonstration, training, and pilot projects;CommentsClose CommentsPermalink





`(iii) the development, monitoring, and evaluation of comprehensive conservation plans; andCommentsClose CommentsPermalink





`(iv) the maintenance and active management of conservation systems, practices, activities, and management measures, and the improvement of conservation practices, in place on the operation of the producer on the date on which the contract offer is accepted by the Secretary;CommentsClose CommentsPermalink





`(G) develop resource-specific indices for purposes of determining eligibility and payments; andCommentsClose CommentsPermalink





`(H) establish and publicize design protocols and application procedures for individual producer and collaborative on-farm research, demonstration, training, and pilot projects.CommentsClose CommentsPermalink





`(2) SPECIALTY CROP PRODUCERS- The Secretary shall ensure that outreach and technical assistance are available and program specifications are appropriate to enable specialty crop producers to participate in the conservation stewardship program.CommentsClose CommentsPermalink





`(3) ADDITIONAL REQUIREMENTS- For the period beginning on the date of enactment of this chapter and ending on September 30, 2017, with respect to eligible land of producers participating in the program, the Secretary shall--CommentsClose CommentsPermalink





`(A) to the maximum extent practicable, enroll an additional 13,273,000 acres for each fiscal year, but not to exceed 79,638,000 acres;CommentsClose CommentsPermalink





`(B) implement the program nationwide to make the program available to producers meeting the eligibility requirements in each county;CommentsClose CommentsPermalink





`(C) to the maximum extent practicable, manage the program to achieve a national average annual cost per acre of $19, which shall include the costs of all financial assistance, technical assistance, and any other expenses associated with enrollment or participation in the program of those acres; andCommentsClose CommentsPermalink





`(D) establish a minimum contract value, to ensure equity for small acreage farms, including specialty crop and organic producers.CommentsClose CommentsPermalink





`(i) Acre Allocation-CommentsClose CommentsPermalink





`(1) INITIAL ALLOCATIONS TO STATES- In making allocations of acres to States to enroll in the conservation stewardship program, to the maximum extent practicable, the Secretary shall allocate to each State a number of acres equal to the proportion that--CommentsClose CommentsPermalink





`(A) the number of acres of eligible land in the State; bears toCommentsClose CommentsPermalink





`(B) the number of acres of eligible land in all States.CommentsClose CommentsPermalink





`(2) MINIMUM ACRE ALLOCATION- Of the acres allocated for each fiscal year, no State shall have allocated fewer than the lesser of--CommentsClose CommentsPermalink





`(A) 20,000 acres; orCommentsClose CommentsPermalink





`(B) 2.2 percent of the number of acres of eligible land in the State.CommentsClose CommentsPermalink





`(3) REALLOCATION TO STATES- For any fiscal year, acres not obligated under this subsection by a date determined by the Secretary through rulemaking shall be reallocated to each State that--CommentsClose CommentsPermalink





`(A) has obligated 100 percent of the initial allocation of the State; andCommentsClose CommentsPermalink





`(B) requests additional acres.CommentsClose CommentsPermalink

`SEC. 1240Y. REGULATIONS.

`Not later than 180 days after the date of enactment of this chapter, the Secretary shall promulgate such regulations as are necessary to carry out the program, including regulations that--CommentsClose CommentsPermalink





`(1) provide for adequate safeguards to protect the interests of tenants and sharecroppers, including provision for sharing payments, on a fair and equitable basis;CommentsClose CommentsPermalink





`(2) prescribe such other rules as the Secretary determines to be necessary to ensure a fair and reasonable application of the program; andCommentsClose CommentsPermalink





`(3) to the maximum extent practicable, eliminate duplication of planning activities under the program and comparable conservation programs.'.CommentsClose CommentsPermalink

Subchapter B--Environmental Quality Incentives Program

SEC. 2351. PURPOSES.

Section 1240 of the Food Security Act of 1985 (16 U.S.C. 3839aa) is amended--CommentsClose CommentsPermalink





(1) in the matter preceding paragraph (1), by inserting `, forest management,' after `agricultural production';CommentsClose CommentsPermalink





(2) in paragraph (3)--CommentsClose CommentsPermalink





(A) by inserting `, forest land,' after `grazing land'; andCommentsClose CommentsPermalink





(B) by inserting `pollinators,' after `wetland),'; andCommentsClose CommentsPermalink





(3) in paragraph (4)--CommentsClose CommentsPermalink





(A) by inserting `fuels management, forest management,' after `grazing management,'; andCommentsClose CommentsPermalink





(B) by inserting `and forested' after `agricultural'.CommentsClose CommentsPermalink

SEC. 2352. DEFINITIONS.

(a) Eligible Land- Section 1240A(2) of the Food Security Act of 1985 (16 U.S.C. 3838aa-1(2)) is amended--CommentsClose CommentsPermalink





(1) in subparagraph (A), by striking `commodities or livestock' and inserting `commodities, livestock, or forest-related products'; andCommentsClose CommentsPermalink





(2) in subparagraph (B)--CommentsClose CommentsPermalink





(A) by striking clause (v) and inserting the following:CommentsClose CommentsPermalink





`(v) nonindustrial private forest land;';CommentsClose CommentsPermalink





(B) by redesignating clause (vi) as clause (vii); andCommentsClose CommentsPermalink





(C) by inserting after clause (v) the following:CommentsClose CommentsPermalink





`(vi) land used for pond-raised aquaculture production; and'.CommentsClose CommentsPermalink





(b) Land Management Practice- Section 1240A(3) of the Food Security Act of 1985 (16 U.S.C. 3838aa-1(3)) is amended--CommentsClose CommentsPermalink





(1) by striking `The term' and inserting the following:CommentsClose CommentsPermalink





`(A) IN GENERAL- The term';CommentsClose CommentsPermalink





(2) by inserting `fuels management, forest management,' after `grazing management'; andCommentsClose CommentsPermalink





(3) by adding at the end the following:CommentsClose CommentsPermalink





`(B) FOREST MANAGEMENT- For purposes of subparagraph (A), forest management practices may include activities that the Secretary determines are necessary--CommentsClose CommentsPermalink





`(i) to improve water, soil, or air quality;CommentsClose CommentsPermalink





`(ii) to restore forest biodiversity;CommentsClose CommentsPermalink





`(iii) to control invasive species;CommentsClose CommentsPermalink





`(iv) to improve wildlife habitat; orCommentsClose CommentsPermalink





`(v) to achieve conservation priorities identified in an applicable forest resource assessment and plan.'.CommentsClose CommentsPermalink





(c) Practice- Section 1240A(5) of the Food Security Act of 1985 (16 U.S.C. 3838aa-1(5)) is amended by inserting `conservation planning practices,' after `land management practices,'.CommentsClose CommentsPermalink





(d) Custom Feeding Business- Section 1240A of the Food Security Act of 1985 (16 U.S.C. 3838aa-1) is amended--CommentsClose CommentsPermalink





(1) by redesignating paragraph (6) as paragraph (7); andCommentsClose CommentsPermalink





(2) by inserting after paragraph (5) the following:CommentsClose CommentsPermalink





`(6) PRODUCER- The term `producer' includes a custom feeding business and a contract grower or finisher.'.CommentsClose CommentsPermalink





(e) Structural Practice- Paragraph (7)(A) of section 1240A of the Food Security Act of 1985 (16 U.S.C. 3838aa-1) (as redesignated by subsection (d)(1)) is amended by inserting `firebreak, fuelbreak,' after `constructed wetland,'.CommentsClose CommentsPermalink

SEC. 2353. ESTABLISHMENT AND ADMINISTRATION OF ENVIRONMENTAL QUALITY INCENTIVES PROGRAM.

(a) Establishment- Section 1240B(a) of the Food Security Act of 1985 (16 U.S.C. 3839aa-2(a)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (1), by striking `2010' and inserting `2012'; andCommentsClose CommentsPermalink





(2) in paragraph (2)(B), by inserting `conservation plan or' after `develops a'.CommentsClose CommentsPermalink





(b) Practices and Term- Section 1240B(b) of the Food Security Act of 1985 (16 U.S.C. 3839aa-2(b)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (1), by inserting `conservation planning practices,' after `land management practices,'; andCommentsClose CommentsPermalink





(2) in paragraph (2)(B), by striking `10' and inserting `5'.CommentsClose CommentsPermalink





(c) Establishment and Administration- Section 1240B of the Food Security Act of 1985 (16 U.S.C. 3839aa-2) is amended--CommentsClose CommentsPermalink





(1) by striking subsection (c);CommentsClose CommentsPermalink





(2) in subsection (d)--CommentsClose CommentsPermalink





(A) in paragraph (2), by striking subparagraph (A) and inserting the following:CommentsClose CommentsPermalink





`(A) SOCIALLY DISADVANTAGED FARMERS OR RANCHERS AND BEGINNING FARMERS OR RANCHERS-CommentsClose CommentsPermalink





`(i) IN GENERAL- In the case of a producer that is a socially disadvantaged farmer or rancher or a beginning farmer or rancher, the Secretary may increase the amount that would otherwise be provided to the producer under paragraph (1) to--CommentsClose CommentsPermalink





`(I) not more than 90 percent; andCommentsClose CommentsPermalink





`(II) not less than 15 percent above the otherwise applicable rate.CommentsClose CommentsPermalink





`(ii) ADVANCE PAYMENTS- Not more than 30 percent of the amount determined under clause (i) may be provided in advance for the purpose of purchasing materials or contracting.';CommentsClose CommentsPermalink





(B) by striking paragraph (3) and inserting the following:CommentsClose CommentsPermalink





`(3) OTHER PAYMENTS- A producer shall not be eligible for cost-share payments for practices on eligible land under the program if the producer receives cost-share payments or other benefits for the same practice on the same land under another program.'; andCommentsClose CommentsPermalink





(C) by adding at the end the following:CommentsClose CommentsPermalink





`(4) GUARANTEED LOAN ELIGIBILITY- Notwithstanding section 333(1) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1983(1)), with respect to the cost of a loan, a producer with an application that meets the standards for a cost-share payment under this subsection but that is not approved by the Secretary shall receive priority consideration for a guaranteed loan under section 304 of that Act (7 U.S.C. 1924).';CommentsClose CommentsPermalink





(3) in subsection (e), by striking paragraph (2) and inserting the following:CommentsClose CommentsPermalink





`(2) SPECIAL RULE- In determining the amount and rate of incentive payments, the Secretary may accord great significance to a practice that promotes residue, nutrient, air quality, pest, or predator deterrence, including practices to deter predator species protected under the Endangered Species Act of 1973 (16 U.S.C. 1531 et seq.), gray wolves, grizzly bears, and black bears.';CommentsClose CommentsPermalink





(4) in subsection (g), by striking `2007' and inserting `2012';CommentsClose CommentsPermalink





(5) by redesignating subsections (d) through (h) as subsections (c) through (g), respectively; andCommentsClose CommentsPermalink





(6) by adding at the end the following:CommentsClose CommentsPermalink





`(h) Water Conservation or Irrigation Efficiency Practice-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Secretary may provide technical assistance, cost-share payments, and incentive payments to a producer for a water conservation or irrigation practice.CommentsClose CommentsPermalink





`(2) PRIORITY- In providing assistance and payments to producers for a water conservation or irrigation practice, the Secretary may give priority to applications in which--CommentsClose CommentsPermalink





`(A) there is an improvement in surface flows or a reduction in the use of groundwater in the agricultural operation of the producer, consistent with the law of the State in which the operation of the producer is located; orCommentsClose CommentsPermalink





`(B) the producer agrees not to use any associated water savings to bring new land, other than incidental land needed for efficient operations, under irrigated production, unless the producer is participating in a watershed-wide project that will effectively conserve water, as determined by the Secretary.'.CommentsClose CommentsPermalink

SEC. 2354. EVALUATION OF OFFERS AND PAYMENTS.

Section 1240C of the Food Security Act of 1985 (16 U.S.C. 3839aa-3) is amended--CommentsClose CommentsPermalink





(1) in paragraph (1), by striking `and' at the end;CommentsClose CommentsPermalink





(2) by redesignating paragraph (2) as paragraph (3); andCommentsClose CommentsPermalink





(3) by inserting after paragraph (1) the following:CommentsClose CommentsPermalink





`(2) improve conservation practices in place on the operation of the producer at the time the contract offer is accepted; and'.CommentsClose CommentsPermalink

SEC. 2355. DUTIES OF PRODUCERS.

Section 1240D(2) of the Food Security Act of 1985 (16 U.S.C. 3839aa-4(2)) is amended by striking `farm or ranch' and inserting `farm, ranch, or forest land'.CommentsClose CommentsPermalink

SEC. 2356. ENVIRONMENTAL QUALITY INCENTIVES PROGRAM PLAN.

Section 1240E(a) of the Food Security Act of 1985 (16 U.S.C. 3839aa-5(a)) is amended--CommentsClose CommentsPermalink





(1) in the matter preceding paragraph (1), by inserting `, or an entity described in section 1244(e) acting on behalf of producers,' after `producer';CommentsClose CommentsPermalink





(2) in paragraph (2), by striking `and' after the semicolon at the end;CommentsClose CommentsPermalink





(3) in paragraph (3), by striking the period at the end and inserting `; and'; andCommentsClose CommentsPermalink





(4) by adding at the end the following:CommentsClose CommentsPermalink





`(4) in the case of forest land, is consistent with a forest management plan that is approved by the Secretary, which may include--CommentsClose CommentsPermalink





`(A) a forest stewardship plan described in section 5 of the Cooperative Forestry Assistance Act of 1978 (16 U.S.C. 2103a);CommentsClose CommentsPermalink





`(B) another practice plan approved by the State forester; orCommentsClose CommentsPermalink





`(C) another plan determined appropriate by the Secretary.'.CommentsClose CommentsPermalink

SEC. 2357. LIMITATION ON PAYMENTS.

Section 1240G of the Food Security Act of 1985 (16 U.S.C. 3839aa-7) is amended--CommentsClose CommentsPermalink





(1) by striking `An individual' and inserting `(a) In General- Subject to section 1244(i), an individual'; andCommentsClose CommentsPermalink





(2) by adding at the end the following:CommentsClose CommentsPermalink





`(b) Producer Organizations- In the case of an entity described in section 1244(e), the limitation established under this section shall apply to each participating producer and not to the entity described in section 1244(e).'.CommentsClose CommentsPermalink

SEC. 2358. CONSERVATION INNOVATION GRANTS.

Section 1240H of the Food Security Act of 1985 (16 U.S.C. 3839aa-8) is amended--CommentsClose CommentsPermalink





(1) by striking subsection (a) and inserting the following:CommentsClose CommentsPermalink





`(a) In General- The Secretary may pay the cost of competitive grants that leverage Federal investment in environmental enhancement and protection through the program by--CommentsClose CommentsPermalink





`(1) stimulating the development of innovative technologies; andCommentsClose CommentsPermalink





`(2) transferring those technologies to agricultural and nonindustrial private forest land in production.'; andCommentsClose CommentsPermalink





(2) in subsection (b), by striking paragraph (2) and inserting the following:CommentsClose CommentsPermalink





`(2)(A) implement innovative conservation technologies, such as market systems for pollution reduction and practices for the storing of carbon in the soil;CommentsClose CommentsPermalink





`(B) provide a mechanism for transferring those technologies to agricultural and nonindustrial private forest land in production; andCommentsClose CommentsPermalink





`(C) increase environmental and resource conservation benefits through specialty crop production; and'.CommentsClose CommentsPermalink

SEC. 2359. GROUND AND SURFACE WATER CONSERVATION.

Section 1240I of the Food Security Act of 1985 (16 U.S.C. 3839aa-9) is amended to read as follows:CommentsClose CommentsPermalink

`SEC. 1240I. GROUND AND SURFACE WATER CONSERVATION.

`(a) Purposes- The purposes of this section are--CommentsClose CommentsPermalink





`(1) to improve irrigation systems;CommentsClose CommentsPermalink





`(2) to enhance irrigation efficiencies;CommentsClose CommentsPermalink





`(3) to assist producers in converting to--CommentsClose CommentsPermalink





`(A) the production of less water-intensive agricultural commodities; orCommentsClose CommentsPermalink





`(B) dryland farming;CommentsClose CommentsPermalink





`(4) to improve water storage capabilities through measures such as water banking and groundwater recharge and other related activities;CommentsClose CommentsPermalink





`(5) to mitigate the effects of drought;CommentsClose CommentsPermalink





`(6) to enhance fish and wildlife habitat associated with irrigation systems, including pivot corners and areas with irregular boundaries;CommentsClose CommentsPermalink





`(7) to conduct resource condition assessment and modeling relating to water conservation;CommentsClose CommentsPermalink





`(8) to assist producers in developing water conservation plans; andCommentsClose CommentsPermalink





`(9) to promote any other measures that improve groundwater and surface water conservation, as determined by the Secretary.CommentsClose CommentsPermalink





`(b) Definitions- In this section:CommentsClose CommentsPermalink





`(1) PARTNER-CommentsClose CommentsPermalink





`(A) IN GENERAL- The term `partner' means an entity that enters into a partnership agreement with the Secretary to carry out water conservation activities on a regional scale.CommentsClose CommentsPermalink





`(B) INCLUSIONS- The term `partner' includes--CommentsClose CommentsPermalink





`(i) an agricultural or silvicultural producer association or other group of producers;CommentsClose CommentsPermalink





`(ii) a State or unit of local government, including an irrigation company and a water district and canal company; orCommentsClose CommentsPermalink





`(iii) a federally recognized Indian tribe.CommentsClose CommentsPermalink





`(2) PARTNERSHIP AGREEMENT- The term `partnership agreement' means a cooperative or contribution agreement entered into between the Secretary and a partner.CommentsClose CommentsPermalink





`(3) REGIONAL WATER CONSERVATION ACTIVITY- The term `regional water conservation activity' means a water conservation activity carried out on a regional or other appropriate level, as determined by the Secretary, to benefit agricultural land.CommentsClose CommentsPermalink





`(c) Establishment- In carrying out the program under this chapter, the Secretary shall promote ground and surface water conservation--CommentsClose CommentsPermalink





`(1) by providing cost-share assistance and incentive payments to producers to carry out water conservation activities with respect to the agricultural operations of producers; andCommentsClose CommentsPermalink





`(2) by working cooperatively with partners, in accordance with subsection (d), on a regional level to benefit working agricultural land.CommentsClose CommentsPermalink





`(d) Partnership Agreements-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Secretary may enter into partnership agreements to meet the objectives of the program under this chapter.CommentsClose CommentsPermalink





`(2) APPLICATIONS- An application to the Secretary to enter into an agreement under paragraph (1) shall include--CommentsClose CommentsPermalink





`(A) a description of--CommentsClose CommentsPermalink





`(i) the geographical area;CommentsClose CommentsPermalink





`(ii) the current conditions;CommentsClose CommentsPermalink





`(iii) the water conservation objectives to be achieved; andCommentsClose CommentsPermalink





`(iv) the expected level of participation by producers;CommentsClose CommentsPermalink





`(B) a description of the partners collaborating to achieve the project objectives and the roles, responsibilities, and capabilities of each partner;CommentsClose CommentsPermalink





`(C) a description of--CommentsClose CommentsPermalink





`(i) the program resources requested from the Secretary; andCommentsClose CommentsPermalink





`(ii) the non-Federal resources that will be leveraged by the Federal contribution; andCommentsClose CommentsPermalink





`(D) other such elements as the Secretary considers necessary to adequately evaluate and competitively select applications for award.CommentsClose CommentsPermalink





`(e) Duties of the Secretary-CommentsClose CommentsPermalink





`(1) WATER CONSERVATION ACTIVITIES BY PRODUCERS- The Secretary shall select water conservation projects proposed by producers according to applicable requirements under the environmental quality incentives program established under this chapter.CommentsClose CommentsPermalink





`(2) REGIONAL WATER CONSERVATION ACTIVITIES-CommentsClose CommentsPermalink





`(A) COMPETITIVE PROCESS- The Secretary shall conduct a competitive process to select the regional water conservation activities for funding under this section.CommentsClose CommentsPermalink





`(B) PUBLIC AVAILABILITY- In carrying out the process, the Secretary shall make public the criteria used in evaluating applications.CommentsClose CommentsPermalink





`(C) PRIORITY- The Secretary may give a higher priority to proposals from partners that--CommentsClose CommentsPermalink





`(i) include high percentages of agricultural land and producers in a region or other appropriate area;CommentsClose CommentsPermalink





`(ii) result in high levels of on-the-ground water conservation activities;CommentsClose CommentsPermalink





`(iii) significantly enhance agricultural activity and related economic development;CommentsClose CommentsPermalink





`(iv) allow for monitoring and evaluation; andCommentsClose CommentsPermalink





`(v) assist producers in meeting Federal, State and local regulatory requirements.CommentsClose CommentsPermalink





`(D) ADMINISTRATION- The Secretary shall ensure that resources made available for regional water conservation activities under this section are delivered in accordance with applicable program rules.CommentsClose CommentsPermalink





`(f) Eastern Snake Plain Aquifer Pilot-CommentsClose CommentsPermalink





`(1) IN GENERAL- Of amounts made available under subsection (h), the Secretary shall reserve $2,000,000, to remain available until expended, for regional water conservation activities in the Eastern Snake Aquifer Region.CommentsClose CommentsPermalink





`(2) APPROVAL- The Secretary may approve regional water conservation activities under this subsection that address, in whole or in part, water quality issues.CommentsClose CommentsPermalink





`(g) Consistency With State Law- Any water conservation activity conducted under this section shall be consistent with applicable State water law.CommentsClose CommentsPermalink





`(h) Funding-CommentsClose CommentsPermalink





`(1) AVAILABILITY OF FUNDS- Of the funds of the Commodity Credit Corporation, in addition to amounts made available under section 1241(a) to carry out this chapter, the Secretary shall use $60,000,000 for each of fiscal years 2008 through 2012.CommentsClose CommentsPermalink





`(2) LIMITATION- None of the funds made available for regional water conservation activities under this section may be used to pay for the administrative expenses of partners.'.CommentsClose CommentsPermalink

SEC. 2360. ORGANIC CONVERSION.

The Food Security Act of 1985 is amended by inserting after section 1240I (16 U.S.C. 3839aa-9) the following:CommentsClose CommentsPermalink

`SEC. 1240J. ORGANIC CONVERSION.

`(a) Definitions- In this section:CommentsClose CommentsPermalink





`(1) NATIONAL ORGANIC PROGRAM- The term `national organic program' means the national organic program established under the Organic Foods Production Act of 1990 (7 U.S.C. 6501 et seq.).CommentsClose CommentsPermalink





`(2) ORGANIC SYSTEM PLAN- The term `organic system plan' means an organic plan approved under the national organic program.CommentsClose CommentsPermalink





`(b) Establishment- Under the environmental quality incentives program established under this chapter, not later than 180 days after the date of enactment of this section, the Secretary shall establish a program under which the Secretary shall provide cost-share and incentive payments to producers to promote conservation practices and activities for production systems undergoing conversion on some or all of the operations of the producer to organic production in accordance with the Organic Foods Production Act of 1990 (7 U.S.C. 6501 et seq.).CommentsClose CommentsPermalink





`(c) Organic Conversion Cost-Share and Incentive Payments- The Secretary shall provide organic conversion cost-share and incentive payments to producers that--CommentsClose CommentsPermalink





`(1) are converting to organic production systems, including producers with existing certified organic production for conversion to organic production of land and livestock not previously certified organic; andCommentsClose CommentsPermalink





`(2) enter into contracts with the Secretary for eligible practices and activities described in subsection (d).CommentsClose CommentsPermalink





`(d) Eligible Practices and Activities- Producers may use funds made available under subsection (c) for--CommentsClose CommentsPermalink





`(1) practices and activities during conversion to certified organic production that--CommentsClose CommentsPermalink





`(A) are required by, or consistent with, an approved organic system plan; andCommentsClose CommentsPermalink





`(B) protect resources of concern, as identified by the Secretary;CommentsClose CommentsPermalink





`(2) technical services, including the costs of developing an approved organic system plan; andCommentsClose CommentsPermalink





`(3) such other measures as the Secretary determines to be appropriate and consistent with an approved organic system plan.CommentsClose CommentsPermalink





`(e) Eligible Producers- To be eligible to receive cost-share and incentive payments under this section, a producer shall agree--CommentsClose CommentsPermalink





`(1) to develop and carry out conservation and environmental activities that--CommentsClose CommentsPermalink





`(A) are required by, or consistent with, an approved organic system plan; andCommentsClose CommentsPermalink





`(B) protect resources of concern, as identified by the Secretary;CommentsClose CommentsPermalink





`(2) to receive technical and educational assistance from the Secretary or from an organization, institute, or consultant with a cooperative agreement with the Secretary relating to--CommentsClose CommentsPermalink





`(A) the development of an organic system plan and the implementation of conservation practices and activities that are part of an organic system plan; orCommentsClose CommentsPermalink





`(B) other aspects of an organic system plan, including marketing, credit, business, and risk management plans; andCommentsClose CommentsPermalink





`(3) to submit annual verification by a certifying entity accredited by the Secretary to determine the compliance of the producer with organic certification requirements.CommentsClose CommentsPermalink





`(f) Term- A contract under this section shall have a term of--CommentsClose CommentsPermalink





`(1) not less than 3 years; andCommentsClose CommentsPermalink





`(2) not more than 4 years.CommentsClose CommentsPermalink





`(g) Limitations on Payments- As part of the payment limitation described in section 1240G, an individual or entity may not receive, directly or indirectly, cost-share or incentive payments under this section--CommentsClose CommentsPermalink





`(1) for a period of more than 4 years; orCommentsClose CommentsPermalink





`(2) that, in the aggregate and exclusive of technical assistance, exceed--CommentsClose CommentsPermalink





`(A) $20,000 per year; orCommentsClose CommentsPermalink





`(B) a total amount of $80,000.CommentsClose CommentsPermalink





`(h) Termination of Contracts- The Secretary may cancel or otherwise nullify a contract entered into under this section if the Secretary determines the producers are not pursuing organic certification.'.CommentsClose CommentsPermalink

SEC. 2361. CHESAPEAKE BAY WATERSHED CONSERVATION PROGRAM.

The Food Security Act of 1985 is amended by inserting after section 1240J (as added by section 2360) the following:CommentsClose CommentsPermalink

`SEC. 1240K. CHESAPEAKE BAY WATERSHED CONSERVATION PROGRAM.

`(a) Definition of Chesapeake Bay Watershed- In this section, the term `Chesapeake Bay watershed' includes all tributaries, backwaters, and side channels (including watersheds) draining into the Chesapeake Bay.CommentsClose CommentsPermalink





`(b) Establishment- The Secretary shall use the authorities granted under the environmental quality incentives program established under this chapter to address natural resource concerns relating to agricultural and nonindustrial private forest land in the Chesapeake Bay watershed.CommentsClose CommentsPermalink





`(c) Funding- Of the funds of the Commodity Credit Corporation, the Secretary shall use $165,000,000 to carry out this section for the period of fiscal years 2008 through 2012.'.CommentsClose CommentsPermalink

CHAPTER 3--FARMLAND PROTECTION

Subchapter A--Farmland Protection Program

SEC. 2371. FARMLAND PROTECTION PROGRAM.

(a) Definitions- Section 1238H of the Food Security Act of 1985 (16 U.S.C. 3838h) is amended--CommentsClose CommentsPermalink





(1) by striking paragraph (1) and inserting the following:CommentsClose CommentsPermalink





`(1) ELIGIBLE ENTITY- The term `eligible entity' means--CommentsClose CommentsPermalink





`(A) any agency of any State or local government or an Indian tribe (including a farmland protection board or land resource council established under State law); orCommentsClose CommentsPermalink





`(B) any organization that--CommentsClose CommentsPermalink





`(i) is organized for, and at all times since the formation of the organization has been operated principally for, 1 or more of the conservation purposes specified in clause (i), (ii), (iii), or (iv) of section 170(h)(4)(A) of the Internal Revenue Code of 1986;CommentsClose CommentsPermalink





`(ii) is an organization described in section 501(c)(3) of that Code that is exempt from taxation under section 501(a) of that Code; andCommentsClose CommentsPermalink





`(iii) is--CommentsClose CommentsPermalink





`(I) described in paragraph (1) or (2) of section 509(a) of that Code; orCommentsClose CommentsPermalink





`(II) described in section 509(a)(3), and is controlled by an organization described in section 509(a)(2), of that Code.'; andCommentsClose CommentsPermalink





(2) in paragraph (2)--CommentsClose CommentsPermalink





(A) in subparagraph (A), by striking clauses (i) and (ii) and inserting the following:CommentsClose CommentsPermalink





`(i) has prime, unique, or other productive soil;CommentsClose CommentsPermalink





`(ii) contains historical or archaeological resources; orCommentsClose CommentsPermalink





`(iii) furthers a State or local policy consistent with the purposes of the program.'; andCommentsClose CommentsPermalink





(B) in subparagraph (B)--CommentsClose CommentsPermalink





(i) in clause (iv), by striking `and' at the end;CommentsClose CommentsPermalink





(ii) by striking clause (v) and inserting the following:CommentsClose CommentsPermalink





`(v) forest land that--CommentsClose CommentsPermalink





`(I) contributes to the economic viability of an agricultural operation; orCommentsClose CommentsPermalink





`(II) serves as a buffer to protect an agricultural operation from development; andCommentsClose CommentsPermalink





`(vi) land that is incidental to land described in clauses (i) through (v), if the incidental land is determined by the Secretary to be necessary for the efficient administration of a conservation easement.'.CommentsClose CommentsPermalink





(b) Farmland Protection- Section 1238I of the Food Security Act of 1985 (16 U.S.C. 3838i) is amended--CommentsClose CommentsPermalink





(1) in subsection (a), by striking `purchase conservation easements' and all the follows through the end of the subsection and inserting `enter into cooperative agreements with eligible entities for the eligible entities to purchase permanent conservation easements or other interests in eligible land for the purpose of protecting the agricultural use and related conservation values of the land by limiting incompatible nonagricultural uses of the land.';CommentsClose CommentsPermalink





(2) by redesignating subsections (b) and (c) as subsections (e) and (f), respectively;CommentsClose CommentsPermalink





(3) by inserting after subsection (a) the following:CommentsClose CommentsPermalink





`(b) Terms and Conditions for Cooperative Agreements-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Secretary shall establish the terms and conditions of any cooperative agreement entered into under this subchapter under which the eligible entity shall use funds provided by the Secretary.CommentsClose CommentsPermalink





`(2) MINIMUM REQUIREMENTS- A cooperative agreement shall, at a minimum--CommentsClose CommentsPermalink





`(A) specify the qualifications of the eligible entity to carry out the responsibilities of the eligible entity under the program, including acquisition and management policies and procedures that ensure the long-term integrity of the conservation easement protections;CommentsClose CommentsPermalink





`(B) subject to subparagraph (C), identify a specific project or a range of projects funded under the agreement;CommentsClose CommentsPermalink





`(C) allow, upon mutual agreement of the parties, substitution of qualified projects that are identified at the time of substitution;CommentsClose CommentsPermalink





`(D) specify the manner in which the eligible entity will evaluate and report the use of funds to the Secretary;CommentsClose CommentsPermalink





`(E) allow the eligible entity flexibility to use the terms and conditions of the eligible entity for conservation easements and other purchases of interests in land, except that--CommentsClose CommentsPermalink





`(i) subject to clause (ii), each easement shall include a limitation on the total quantity of impervious surface of not more than--CommentsClose CommentsPermalink





`(I) 20 percent of the first 10 acres;CommentsClose CommentsPermalink





`(II) 5 percent of the next 90 acres; andCommentsClose CommentsPermalink





`(III) 1 percent of any additional acres; andCommentsClose CommentsPermalink





`(ii) the Secretary may waive a limitation under clause (i) after a determination by the Secretary that the eligible entity has in place a requirement that provides substantially-similar protection consistent with agricultural activities regarding the impervious surfaces to be allowed for any conservation easement or other interest in land purchases using funds provided under the program;CommentsClose CommentsPermalink





`(F) require appraisals of acquired interests in eligible land that comply with, at the option of the eligible entity--CommentsClose CommentsPermalink





`(i) the Uniform Standards of Professional Appraisal Practice; orCommentsClose CommentsPermalink





`(ii) other industry-approved standard, as determined by the Secretary; andCommentsClose CommentsPermalink





`(G) allow as part of the share of the eligible entity of the cost to purchase a conservation easement or other interest in eligible land described in subsection (a), that an eligible entity may include a charitable donation or qualified conservation contribution (as defined by section 170(h) of the Internal Revenue Code of 1986), from the private landowner from which the conservation easement will be purchased.CommentsClose CommentsPermalink





`(c) Cost Sharing-CommentsClose CommentsPermalink





`(1) IN GENERAL- Subject to paragraphs (2) and (3), the Secretary may provide a share of the purchase price of a conservation easement or other interest in land acquired by an eligible entity under the program.CommentsClose CommentsPermalink





`(2) MAXIMUM AMOUNT OF FAIR MARKET VALUE- The Secretary shall not pay more than 50 percent of the appraised fair market value of the acquisition under this subsection.CommentsClose CommentsPermalink





`(3) MINIMUM SHARE BY ELIGIBLE ENTITY- The eligible entity shall be required to provide a share of the cost under this subsection in an amount that is not less than the lesser of--CommentsClose CommentsPermalink





`(A) 1/2 of the purchase price of the acquisition;CommentsClose CommentsPermalink





`(B) if the landowner has made a donation of 25 percent or less of the appraised fair market value of the acquisition, an amount that, when combined with the donation, equals the amount of the payment by the Secretary; orCommentsClose CommentsPermalink





`(C) if the landowner has made a donation of more than 25 percent of the appraised fair market value of the acquisition, 1/3 of the purchase price of the acquisition.CommentsClose CommentsPermalink





`(d) Protection of Federal Investment-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Secretary shall ensure that the terms of an easement acquired by the eligible entity provides protection for the Federal investment through an executory limitation by the Federal Government.CommentsClose CommentsPermalink





`(2) RELATIONSHIP TO FEDERAL ACQUISITION OF REAL PROPERTY- The inclusion of a Federal executory limitation described in paragraph (1) shall--CommentsClose CommentsPermalink





`(A) not be considered the Federal acquisition of real property; andCommentsClose CommentsPermalink





`(B) not trigger any Federal appraisal or other real property requirements, including the Federal standards and procedures for land acquisition.'; andCommentsClose CommentsPermalink





(4) in subsection (f) (as redesignated by paragraph (2)), by striking `Cost Sharing- ' and all that follows through `BIDDING DOWN- ' and inserting `Bidding Down- '.CommentsClose CommentsPermalink

Subchapter B--Grassland Reserve Program

SEC. 2381. GRASSLAND RESERVE PROGRAM.

Subchapter C of chapter 2 of subtitle D of title XII of the Food Security Act of 1985 (16 U.S.C. 3838n et seq.) is amended to read as follows:CommentsClose CommentsPermalink

`Subchapter C--Grassland Reserve Program

`SEC. 1238N. DEFINITIONS.

`In this subchapter:CommentsClose CommentsPermalink





`(1) ELIGIBLE ENTITY- The term `eligible entity' means--CommentsClose CommentsPermalink





`(A) any agency of any State or local government or an Indian tribe (including a farmland protection board or land resource council established under State law); orCommentsClose CommentsPermalink





`(B) any organization that--CommentsClose CommentsPermalink





`(i) is organized for, and at all times since the formation of the organization has been operated principally for, 1 or more of the conservation purposes specified in clause (i), (ii), (iii), or (iv) of section 170(h)(4)(A) of the Internal Revenue Code of 1986;CommentsClose CommentsPermalink





`(ii) is an organization described in section 501(c)(3) of that Code that is exempt from taxation under section 501(a) of that Code; andCommentsClose CommentsPermalink





`(iii) is--CommentsClose CommentsPermalink





`(I) described in paragraph (1) or (2) of section 509(a) of that Code; orCommentsClose CommentsPermalink





`(II) described in section 509(a)(3), and is controlled by an organization described in section 509(a)(2), of that Code.CommentsClose CommentsPermalink





`(2) ELIGIBLE LAND- The term `eligible land' means private land that--CommentsClose CommentsPermalink





`(A) is grassland, rangeland, land that contains forbs, or shrub land (including improved rangeland and pastureland) for which grazing is the predominant use;CommentsClose CommentsPermalink





`(B) is located in an area that has been historically dominated by grassland, forbs, or shrub land, and the land potentially could provide habitat for animal or plant populations of significant ecological value if the land--CommentsClose CommentsPermalink





`(i) is retained in the current use of the land;CommentsClose CommentsPermalink





`(ii) is restored to a natural condition;CommentsClose CommentsPermalink





`(iii) contains historical or archeological resources;CommentsClose CommentsPermalink





`(iv) would further the goals and objectives of State, regional, and national fish, and wildlife conservation plans and initiatives; orCommentsClose CommentsPermalink





`(v) is incidental to land described in clauses (i) through (iv), if the incidental land is determined by the Secretary to be necessary for the efficient administration of an agreement or conservation easement.CommentsClose CommentsPermalink





`(3) PERMANENT CONSERVATION EASEMENT- The term `permanent conservation easement' means a conservation easement that is--CommentsClose CommentsPermalink





`(A) a permanent easement; orCommentsClose CommentsPermalink





`(B) in a State that imposes a maximum duration for easements, an easement for the maximum duration allowed under State law.CommentsClose CommentsPermalink

`SEC. 1238O. GRASSLAND RESERVE PROGRAM.

`(a) Establishment- The Secretary shall establish and carry out a grassland reserve program through which the Secretary shall provide payments and technical assistance to landowners to assist in restoring and conserving eligible land described in section 1238N(2).CommentsClose CommentsPermalink





`(b) Enrollment of Land-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Secretary may enroll eligible land in the program through--CommentsClose CommentsPermalink





`(A) an easement or contract described in paragraph (2); orCommentsClose CommentsPermalink





`(B) a cooperative agreement with an eligible entity.CommentsClose CommentsPermalink





`(2) OPTIONS- Eligible land enrolled in the program shall be subject to--CommentsClose CommentsPermalink





`(A) a 30-year contract;CommentsClose CommentsPermalink





`(B) a 30-year conservation easement; orCommentsClose CommentsPermalink





`(C) a permanent conservation easement.CommentsClose CommentsPermalink





`(3) ENROLLMENT OF CONSERVATION RESERVE ACREAGE-CommentsClose CommentsPermalink





`(A) IN GENERAL- Eligible land enrolled in the conservation reserve program established under subchapter B of chapter 1 may be enrolled into permanent conservation easements under this subchapter if--CommentsClose CommentsPermalink





`(i) the Secretary determines that the eligible land--CommentsClose CommentsPermalink





`(I) is of high ecological value; andCommentsClose CommentsPermalink





`(II) would be under significant threat of conversion to other uses if the conservation reserve program contract were terminated; andCommentsClose CommentsPermalink





`(ii) the landowner agrees to the enrollment.CommentsClose CommentsPermalink





`(B) MAXIMUM ENROLLMENT- The number of acres of conservation reserve program land enrolled under this paragraph in a calendar year shall not exceed the number of acres that could be funded by 10 percent of the total amount of funds available for this section for a fiscal year.CommentsClose CommentsPermalink





`(C) PROHIBITION ON DUPLICATE PAYMENTS- Eligible land enrolled in the program shall no longer be eligible for payments under the conservation reserve program.CommentsClose CommentsPermalink





`(c) Restoration Agreements- The Secretary may enter into a restoration agreement with a landowner, as determined appropriate by the Secretary.CommentsClose CommentsPermalink





`(d) Conservation Easement Title- The title holder of a conservation easement obtained under this subchapter may be--CommentsClose CommentsPermalink





`(1) the Secretary; orCommentsClose CommentsPermalink





`(2) an eligible entity.CommentsClose CommentsPermalink

`SEC. 1238P. DUTIES.

`(a) Duties of Landowners-CommentsClose CommentsPermalink





`(1) IN GENERAL- To become eligible to enroll eligible land through the grant of a conservation easement, the landowner shall--CommentsClose CommentsPermalink





`(A) create and record an appropriate deed restriction in accordance with applicable State law;CommentsClose CommentsPermalink





`(B) provide proof of clear title to the underlying fee interest in the eligible land that is subject of the conservation easement;CommentsClose CommentsPermalink





`(C) provide a written statement of consent to the easement signed by persons holding a security interest or any vested interest in the land;CommentsClose CommentsPermalink





`(D) grant the conservation easement to the Secretary or an eligible entity; andCommentsClose CommentsPermalink





`(E) comply with the terms of the conservation easement and any associated restoration agreement.CommentsClose CommentsPermalink





`(2) RESTORATION AGREEMENT- If a restoration agreement is required by the Secretary, the landowner shall develop and implement a restoration plan.CommentsClose CommentsPermalink





`(b) Duties of Secretary-CommentsClose CommentsPermalink





`(1) EVALUATION OF OFFERS-CommentsClose CommentsPermalink





`(A) IN GENERAL- The Secretary shall establish criteria to evaluate and rank applications for easements and contracts under this subchapter.CommentsClose CommentsPermalink





`(B) CONSIDERATIONS- In establishing the criteria, the Secretary shall emphasize support for--CommentsClose CommentsPermalink





`(i) grazing operations;CommentsClose CommentsPermalink





`(ii) plant and animal biodiversity;CommentsClose CommentsPermalink





`(iii) grassland, land that contains forbs, and shrubland under the greatest threat of conversion; andCommentsClose CommentsPermalink





`(iv) other considerations, as determined by the Secretary.CommentsClose CommentsPermalink





`(C) PRIORITY- In evaluating offers under this subchapter, the Secretary may give priority to applications that--CommentsClose CommentsPermalink





`(i) include a cash contribution from the eligible entity submitting the application; orCommentsClose CommentsPermalink





`(ii) leverage resources from other sources.CommentsClose CommentsPermalink





`(2) COMPENSATION-CommentsClose CommentsPermalink





`(A) IN GENERAL-CommentsClose CommentsPermalink





`(i) EASEMENTS AND CONTRACTS- In return for the granting of an easement, the Secretary shall provide to the landowner an amount that is equal to--CommentsClose CommentsPermalink





`(I) in the case of a permanent easement, the fair market value of the land less the grazing value of the land encumbered by the easement; andCommentsClose CommentsPermalink





`(II) in the case of a 30-year easement or 30-year contract, 30 percent of the fair market value of the land less the grazing value of the land for the period during which the land is encumbered by the easement.CommentsClose CommentsPermalink





`(ii) RESTORATION AGREEMENTS- In making cost-share payments for restoration agreements, the Secretary shall make payments to the landowner--CommentsClose CommentsPermalink





`(I) in the case of a permanent easement, in an amount that is not less than 90, but not more than 100, percent of the eligible costs; andCommentsClose CommentsPermalink





`(II) in the case of a 30-year easement or 30-year contract, in an amount that is not less than 50, but not more than 75, percent of the eligible costs.CommentsClose CommentsPermalink





`(B) DELIVERY OF PAYMENTS-CommentsClose CommentsPermalink





`(i) PAYMENT SCHEDULE- Except as otherwise provided in this subchapter, payments may be provided pursuant to an easement, contract, or other agreement, in not more than 30 annual payments, and in an equal or unequal amounts, as agreed to by the Secretary and the landowner.CommentsClose CommentsPermalink





`(ii) PAYMENTS TO OTHERS- If an owner that is entitled to a payment under this subchapter dies, becomes incompetent, is otherwise unable to receive the payment, or is succeeded by another person who renders or completes the required performance, the Secretary shall make the payment, in accordance with regulations promulgated by the Secretary and without regard to any other provision of law, in such manner as the Secretary determines is fair and reasonable after considering all the circumstances.CommentsClose CommentsPermalink





`(3) TECHNICAL ASSISTANCE- If a restoration agreement is required by the Secretary, the Secretary shall provide technical assistance to comply with the terms and conditions of the restoration agreement.CommentsClose CommentsPermalink

`SEC. 1238Q. TERMS AND CONDITIONS.

`(a) Terms and Conditions of Easement or Contracts- An easement or contract under this subchapter shall--CommentsClose CommentsPermalink





`(1) permit--CommentsClose CommentsPermalink





`(A) common grazing practices, including maintenance and necessary cultural practices, on the land in a manner that is consistent with maintaining the viability of grassland, forb, and shrub species appropriate to that locality;CommentsClose CommentsPermalink





`(B) haying, mowing, or harvesting for seed production, subject to appropriate restrictions during the nesting season for birds in the local area that are in significant decline or are conserved in accordance with Federal or State law, as determined by the State Conservationist; andCommentsClose CommentsPermalink





`(C) fire presuppression, rehabilitation, and construction of fire breaks and fences (including placement of the posts necessary for fences);CommentsClose CommentsPermalink





`(2) prohibit--CommentsClose CommentsPermalink





`(A) the production of crops (other than hay), fruit trees, vineyards, or any other agricultural commodity that is inconsistent with maintaining grazing land; andCommentsClose CommentsPermalink





`(B) except as permitted under a restoration plan, the conduct of any other activity that would be inconsistent with maintaining grazing land covered by the easement or agreement; andCommentsClose CommentsPermalink





`(3) include such additional provisions as the Secretary determines are appropriate to carry out or facilitate the administration of this subchapter.CommentsClose CommentsPermalink





`(b) Terms and Conditions of Cooperative Agreements-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Secretary shall establish the terms and conditions of any cooperative agreement entered into under this subchapter under which the eligible entity shall use funds provided by the Secretary.CommentsClose CommentsPermalink





`(2) MINIMUM REQUIREMENTS- A cooperative agreement shall, at a minimum--CommentsClose CommentsPermalink





`(A) specify the qualification of the eligible entity to carry out the responsibilities of the eligible entity under the program, including acquisition, monitoring, enforcement, and management policies and procedures that ensure the long-term integrity of the conservation easement protections;CommentsClose CommentsPermalink





`(B) subject to subparagraph (C), identify a specific project or a range of projects funded under the agreement;CommentsClose CommentsPermalink





`(C) allow, upon mutual agreement of the parties, substitution of qualified projects that are identified at the time of substitution;CommentsClose CommentsPermalink





`(D) specify the manner in which the eligible entity will evaluate and report the use of funds to the Secretary;CommentsClose CommentsPermalink





`(E) allow the eligible entity flexibility to develop and use terms and conditions for conservation easements and other purchases of interest in eligible land, if the Secretary finds the terms and conditions consistent with the purposes of the program and adequate to achieve and permit effective enforcement of the conservation purposes of the conservation easements or other interests;CommentsClose CommentsPermalink





`(F) require appraisals of acquired interests in eligible land that comply with a method approved by industry;CommentsClose CommentsPermalink





`(G) if applicable, allow as part of the share of the eligible entity of the cost to purchase a conservation easement or other interest in eligible land described in section 1238O(b), that an eligible entity may include a charitable donation or qualified conservation contribution (as defined by section 170(h) of the Internal Revenue Code of 1986), from the private landowner for which the conservation easement will be purchased; andCommentsClose CommentsPermalink





`(H) provide for a schedule of payments to an eligible entity, as agreed to by the Secretary and the eligible entity, over a term of not to exceed 30 years.CommentsClose CommentsPermalink





`(3) PROTECTION OF FEDERAL INVESTMENT-CommentsClose CommentsPermalink





`(A) IN GENERAL- The Secretary shall ensure that the terms of an easement acquired by the eligible entity provides protection for the Federal investment through an executory limitation by the Federal government.CommentsClose CommentsPermalink





`(B) RELATIONSHIP TO FEDERAL ACQUISITION OF REAL PROPERTY- The inclusion of an executory limitation described in subparagraph (A) shall--CommentsClose CommentsPermalink





`(i) not be considered the Federal acquisition of real property; andCommentsClose CommentsPermalink





`(ii) not trigger any Federal appraisal or other real property requirements, including the Federal standards and procedures for land acquisition.CommentsClose CommentsPermalink





`(C) TERMS OF RESTORATION AGREEMENT- A restoration agreement shall contain--CommentsClose CommentsPermalink





`(i) a statement of the conservation measures and practices that will be undertaken in regard to the eligible land subject to the conservation easement;CommentsClose CommentsPermalink





`(ii) restrictions on the use of the eligible land subject to the conservation easement; andCommentsClose CommentsPermalink





`(iii) a statement of the respective duties of the Secretary, landowner, and eligible entity, as appropriate.CommentsClose CommentsPermalink





`(c) Violation- If a violation occurs of the terms or conditions of a conservation easement, contract, cooperative agreement or restoration agreement entered into under this section--CommentsClose CommentsPermalink





`(1) the conservation easement, contract, cooperative agreement, or restoration agreement shall remain in force; andCommentsClose CommentsPermalink





`(2) the Secretary may require the owner or entity to refund all or part of any payments received by the owner under this subchapter, with interest on the payments as determined appropriate by the Secretary.'.CommentsClose CommentsPermalink

CHAPTER 4--OTHER CONSERVATION PROGRAMS

SEC. 2391. CONSERVATION SECURITY PROGRAM.

Subchapter A of chapter 2 of subtitle D of title XII of the Food Security Act of 1985 is amended by adding after section 1238C (16 U.S.C. 3838c) the following:CommentsClose CommentsPermalink

`SEC. 1238D. PERIOD OF EFFECTIVENESS.

`(a) In General- This subchapter, and the terms and conditions of the conservation security program, shall continue to apply to conservation security contracts entered into as of the date before the date of enactment of this section.CommentsClose CommentsPermalink





`(b) Payments- The Secretary shall make payments under this subchapter with respect to conservation security contracts described in subsection (a) during the term of the contracts.CommentsClose CommentsPermalink





`(c) Prohibition on New Contracts- A conservation security contract may not be entered into or renewed under this subchapter as of the date of enactment of this section.CommentsClose CommentsPermalink





`(d) Limitation- A contract described in subsection (a) may not be administered under the regulations issued under section 1240Y.'.CommentsClose CommentsPermalink

SEC. 2392. CONSERVATION OF PRIVATE GRAZING LAND.

Section 1240M(e) of the Food Security Act of 1985 (16 U.S.C. 3839bb(e)) is amended by striking `2007' and inserting `2012'.CommentsClose CommentsPermalink

SEC. 2393. REAUTHORIZATION OF WILDLIFE HABITAT INCENTIVE PROGRAM.

Section 1240N of the Food Security Act of 1985 (16 U.S.C. 3839bb-1) is amended--CommentsClose CommentsPermalink





(1) in subsection (b)--CommentsClose CommentsPermalink





(A) in the subsection heading, by striking `Cost-Share';CommentsClose CommentsPermalink





(B) in paragraph (1), by inserting `and incentive' after `cost-share'; andCommentsClose CommentsPermalink





(C) in paragraph (2)(B), by striking `15 percent' and inserting `25 percent'; andCommentsClose CommentsPermalink





(2) by adding at the end the following:CommentsClose CommentsPermalink





`(d) Fish and Wildlife Conservation Plans and Initiatives- In carrying out this section, the Secretary shall give priority to projects that would further the goals and objectives of State, regional, and national fish and wildlife conservation plans and initiatives.CommentsClose CommentsPermalink





`(e) Duration of Program- Using funds made available under section 1241(a)(7), the Secretary shall carry out the program during each of fiscal years 2008 through 2012.'.CommentsClose CommentsPermalink

SEC. 2394. GRASSROOTS SOURCE WATER PROTECTION PROGRAM.

Section 1240O of the Food Security Act of 1985 (16 U.S.C. 3839bb-2) is amended by striking subsection (b) and inserting the following:CommentsClose CommentsPermalink





`(b) Authorization of Appropriations- There is authorized to be appropriated to carry out this section $20,000,000 for each of fiscal years 2008 through 2012.'.CommentsClose CommentsPermalink

SEC. 2395. GREAT LAKES BASIN PROGRAM FOR SOIL EROSION AND SEDIMENT CONTROL.

Section 1240P(c) of the Food Security Act of 1985 (16 U.S.C. 3839bb-3(c)) is amended by striking `2007' and inserting `2012'.CommentsClose CommentsPermalink

SEC. 2396. FARM VIABILITY PROGRAM.

Section 1238J(b) of the Food Security Act of 1985 (16 U.S.C. 3838j(b)) is amended by striking `2007' and inserting `2012'.CommentsClose CommentsPermalink

SEC. 2397. DISCOVERY WATERSHED DEMONSTRATION PROGRAM.

Chapter 5 of subtitle D of title XII of the Food Security Act of 1985 (16 U.S.C. 3839bb et seq.) is amended by adding at the end the following:CommentsClose CommentsPermalink

`SEC. 1240Q. DISCOVERY WATERSHED DEMONSTRATION PROGRAM.

`(a) Establishment- The Secretary shall establish and carry out a demonstration program in not less than 30 small watersheds in States of the Upper Mississippi River basin to identify and promote the most cost-effective and efficient approaches to reducing the loss of nutrients to surface waters.CommentsClose CommentsPermalink





`(b) Purpose- The demonstration program shall demonstrate in small watersheds performance-based and market-based approaches--CommentsClose CommentsPermalink





`(1) to reduce the loss of nutrients to surface waters from agricultural land; andCommentsClose CommentsPermalink





`(2) to monitor the cost-effectiveness of management practices designed to reduce the loss of nutrients to surface waters from agricultural land.CommentsClose CommentsPermalink





`(c) Partnerships- In carrying out this section, the Secretary may establish or identify, as appropriate, partnerships to select the watersheds and to encourage cooperative effort among the Secretary and State, local, and nongovernmental organizations.CommentsClose CommentsPermalink





`(d) Selection of Small Watersheds- In selecting small watersheds for participation in the program, the Secretary shall consider the extent to which--CommentsClose CommentsPermalink





`(1) reducing nutrient losses to surface water in the small watershed would be likely to result in measurable improvements in water quality in the small watershed;CommentsClose CommentsPermalink





`(2) a demonstration project would use innovative approaches to attract a high level of producer participation in the small watershed to ensure success;CommentsClose CommentsPermalink





`(3) a demonstration project could be implemented through a third party, including a producer organization, farmer cooperative, conservation district, water utility, agency of State or local government, conservation organization, or other organization with appropriate expertise;CommentsClose CommentsPermalink





`(4) a demonstration project would leverage funding from State, local, and private sources;CommentsClose CommentsPermalink





`(5) a demonstration project would demonstrate market-based approaches to nutrient losses to surface waters;CommentsClose CommentsPermalink





`(6) baseline data related to water quality and agricultural practices and contributions from nonagricultural sources as relevant in the small watershed has been collected or could be readily collected; andCommentsClose CommentsPermalink





`(7) water quality monitoring infrastructure is in place or could reasonably be put in place in the small watershed.CommentsClose CommentsPermalink





`(e) Use of Funds-CommentsClose CommentsPermalink





`(1) IN GENERAL- Funding provided for the program under subsection(f) shall be used in not less than 30 small watersheds--CommentsClose CommentsPermalink





`(A) to provide technical assistance;CommentsClose CommentsPermalink





`(B) to provide and assess financial incentives to agricultural producers implementing conservation practices that reduce nutrient losses to surface waters;CommentsClose CommentsPermalink





`(C) to monitor the performance and costs of alternative nutrient management techniques, including soil tests, stalk tests, cover crops, soil amendments, buffers, and tillage practices; andCommentsClose CommentsPermalink





`(D) to share the cost of data collection, monitoring, and analysis.CommentsClose CommentsPermalink





`(2) PROHIBITION- None of the funds made available to carry out the program for each fiscal year may be used for administrative expenses.CommentsClose CommentsPermalink





`(f) Authorization of Appropriations- There are authorized to be appropriated such sums as are necessary to carry out this section.'.CommentsClose CommentsPermalink

SEC. 2398. EMERGENCY LANDSCAPE RESTORATION PROGRAM.

(a) In General- Chapter 5 of subtitle D of the Food Security Act of 1985 (16 U.S.C. 3839bb et seq.) (as amended by section 2386) is amended by adding at the end the following:CommentsClose CommentsPermalink

`SEC. 1240R. EMERGENCY LANDSCAPE RESTORATION PROGRAM.

`(a) Definition of Eligible Recipient- In this section, the term `eligible recipient' means--CommentsClose CommentsPermalink





`(1) an organization that is eligible for technical assistance and cost-share payments under this section and assists working agricultural land and nonindustrial private forest land, including--CommentsClose CommentsPermalink





`(A) a community-based association; andCommentsClose CommentsPermalink





`(B) a city, county, or regional government, including a watershed council and a conservation district; andCommentsClose CommentsPermalink





`(2) an individual who is eligible for technical assistance and cost-share payments under this section, including--CommentsClose CommentsPermalink





`(A) a producer;CommentsClose CommentsPermalink





`(B) a rancher;CommentsClose CommentsPermalink





`(C) an operator;CommentsClose CommentsPermalink





`(D) a nonindustrial private forest landowner; andCommentsClose CommentsPermalink





`(E) a landlord on working agricultural land.CommentsClose CommentsPermalink





`(b) Purpose- The purpose of the emergency landscape restoration program is to rehabilitate watersheds, nonindustrial private forest land, and working agricultural land adversely affected by natural catastrophic events, by--CommentsClose CommentsPermalink





`(1) providing a source of assistance for restoration of the land back to a productive state;CommentsClose CommentsPermalink





`(2) preventing further impairment of land and water, including prevention through the purchase of floodplain easements; andCommentsClose CommentsPermalink





`(3) providing further protection of natural resources.CommentsClose CommentsPermalink





`(c) Establishment- The Secretary, acting through the Natural Resources Conservation Service, shall carry out an emergency landscape restoration program under which technical assistance and cost-share payments are made available to eligible recipients to carry out remedial activities to restore landscapes damaged by--CommentsClose CommentsPermalink





`(1) fire;CommentsClose CommentsPermalink





`(2) drought;CommentsClose CommentsPermalink





`(3) flood;CommentsClose CommentsPermalink





`(4) hurricane force or excessive winds;CommentsClose CommentsPermalink





`(5) ice storms or blizzards; orCommentsClose CommentsPermalink





`(6) other resource-impacting natural events, as determined by the Secretary.CommentsClose CommentsPermalink





`(d) Prioritization- The Secretary shall provide the highest priority for those activities that protect human health and safety.CommentsClose CommentsPermalink





`(e) Technical Assistance and Cost-Share Payments-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Secretary shall provide technical assistance and cost-share payments in amounts of up to 75 percent of the cost of remedial activities described in paragraph (2) to rehabilitate watersheds, nonindustrial private forest land, and working agricultural land.CommentsClose CommentsPermalink





`(2) REMEDIAL ACTIVITIES- Remedial activities that are eligible for technical assistance and cost-share payments under this section include--CommentsClose CommentsPermalink





`(A) removal of debris from streams, agricultural land, and nonindustrial forest land, including--CommentsClose CommentsPermalink





`(i) the restoration of natural hydrology; andCommentsClose CommentsPermalink





`(ii) the removal of barriers for aquatic species;;CommentsClose CommentsPermalink





`(B) restoration of destabilized streambanks;CommentsClose CommentsPermalink





`(C) establishment of cover on critically eroding land;CommentsClose CommentsPermalink





`(D) restoration of fences;CommentsClose CommentsPermalink





`(E) construction of conservation structures;CommentsClose CommentsPermalink





`(F) provision of water for livestock in drought situations;CommentsClose CommentsPermalink





`(G) rehabilitation of farm or ranch land;CommentsClose CommentsPermalink





`(H) restoration of damaged nonindustrial private forest land, including--CommentsClose CommentsPermalink





`(i) the removal of damaged standing trees and downed timber; andCommentsClose CommentsPermalink





`(ii) site preparation, tree planting, direct seeding, and firebreaks;CommentsClose CommentsPermalink





`(I) the carrying out of emergency water conservation measures;CommentsClose CommentsPermalink





`(J) restoration of wildlife habitat and corridors;CommentsClose CommentsPermalink





`(K) livestock carcass removal and disposal; andCommentsClose CommentsPermalink





`(L) such other remedial activities as are determined by the Secretary.CommentsClose CommentsPermalink





`(f) Authorization of Appropriations- There are authorized to be appropriated to the Secretary to carry out this section such sums as are necessary for each of fiscal years 2008 through 2012, to remain available until expended.CommentsClose CommentsPermalink





`(g) Temporary Administration of Emergency Landscape Restoration Program-CommentsClose CommentsPermalink





`(1) IN GENERAL- During the period beginning on the date of enactment of this section and ending on the termination date described in paragraph (2), to ensure that technical assistance, cost-share payments, and other payments continue to be administered in an orderly manner until the date on which final regulations are promulgated to implement the emergency landscape restoration program, the Secretary shall, to the extent the terms and conditions of the programs described in clauses (i) and (ii) of subparagraph (A) are consistent with the emergency landscape restoration program, continue to--CommentsClose CommentsPermalink





`(A) provide technical assistance, cost-share payments, and other payments under the terms and conditions of--CommentsClose CommentsPermalink





`(i) the emergency conservation program established under title IV of the Agricultural Credit Act of 1978 (16 U.S.C. 2201 et seq.); andCommentsClose CommentsPermalink





`(ii) the emergency watershed protection program established under section 403 of the Agricultural Credit Act of 1978 (16 U.S.C. 2203); andCommentsClose CommentsPermalink





`(B) use for those purposes--CommentsClose CommentsPermalink





`(i) any funds made available under those programs; andCommentsClose CommentsPermalink





`(ii) as the Secretary determines to be necessary, any funds made available to carry out the emergency landscape restoration program.CommentsClose CommentsPermalink





`(2) TERMINATION OF AUTHORITY- The authority of the Secretary to carry out paragraph (1) shall terminate on the effective date of final regulations to implement the emergency landscape restoration program.'.CommentsClose CommentsPermalink





(b) Conforming Amendments-CommentsClose CommentsPermalink





(1) Effective on the effective date of final regulations to implement the emergency landscape restoration program under section 1240R of the Food Security Act of 1985 (as added by subsection (a)), title IV of the Agricultural Credit Act of 1978 (16 U.S.C. 2201 et seq.) is repealed.CommentsClose CommentsPermalink





(2) Section 1211(a)(3)(C) of the Food Security Act of 1985 (16 U.S.C. 3811(a)(3)(C)) is amended by inserting `section 1240R or' after `a payment under'.CommentsClose CommentsPermalink





(3) Section 1221(b)(3)(C) of the Food Security Act of 1985 (16 U.S.C. 3821(b)(3)(C)) is amended by inserting `section 1240R or' after `A payment under'.CommentsClose CommentsPermalink

SEC. 2399. VOLUNTARY PUBLIC ACCESS AND HABITAT INCENTIVE PROGRAM.

Chapter 5 of subtitle D of title XII of the Food Security Act of 1985 (16 U.S.C. 3839bb et seq.) (as amended by section 2387(a)) is amended by adding at the end the following:CommentsClose CommentsPermalink

`SEC. 1240S. VOLUNTARY PUBLIC ACCESS AND HABITAT INCENTIVE PROGRAM.

`(a) In General- The Secretary shall establish a voluntary public access program under which States and tribal governments may apply for grants to encourage owners and operators of privately-held farm, ranch, and forest land to voluntarily make that land available for access by the public for wildlife-dependent recreation, including hunting or fishing under programs administered by the States and tribal governments.CommentsClose CommentsPermalink





`(b) Applications- In submitting applications for a grant under the program, a State or tribal government shall describe--CommentsClose CommentsPermalink





`(1) the benefits that the State or tribal government intends to achieve by encouraging public access to private farm and ranch land for--CommentsClose CommentsPermalink





`(A) hunting and fishing; andCommentsClose CommentsPermalink





`(B) to the maximum extent practicable, other recreational purposes; andCommentsClose CommentsPermalink





`(2) the methods that will be used to achieve those benefits.CommentsClose CommentsPermalink





`(c) Priority- In approving applications and awarding grants under the program, the Secretary shall give priority to States and tribal governments that propose--CommentsClose CommentsPermalink





`(1) to maximize participation by offering a program the terms of which are likely to meet with widespread acceptance among landowners;CommentsClose CommentsPermalink





`(2) to ensure that land enrolled under the State or tribal government program has appropriate wildlife habitat;CommentsClose CommentsPermalink





`(3) to strengthen wildlife habitat improvement efforts on land enrolled in a special conservation reserve enhancement program described in section 1234(f)(3) by providing incentives to increase public hunting and other recreational access on that land;CommentsClose CommentsPermalink





`(4) to use additional Federal, State, tribal government, or private resources in carrying out the program; andCommentsClose CommentsPermalink





`(5) to make available to the public the location of land enrolled.CommentsClose CommentsPermalink





`(d) Relationship to Other Laws- Nothing in this section preempts a State or tribal government law (including any State or tribal government liability law).CommentsClose CommentsPermalink





`(e) Regulations- The Secretary shall promulgate such regulations as are necessary to carry out this section.'.CommentsClose CommentsPermalink

Subtitle E--Funding and Administration

SEC. 2401. FUNDING AND ADMINISTRATION.

Section 1241(a) of the Food Security Act of 1985 (16 U.S.C. 3841(a)) is amended--CommentsClose CommentsPermalink





(1) in the matter preceding paragraph (1), by striking `2007' and inserting `2012'; andCommentsClose CommentsPermalink





(2) by striking paragraphs (3) through (7) and inserting the following:CommentsClose CommentsPermalink





`(3) The conservation security program under subchapter A of chapter 2, using $2,317,000,000 to administer contracts entered into as of the day before the date of enactment of the Food and Energy Security Act of 2007, to remain available until expended.CommentsClose CommentsPermalink





`(4) The conservation stewardship program under subchapter B of chapter 6.CommentsClose CommentsPermalink





`(5) The farmland protection program under subchapter B of chapter 2, using, to the maximum extent practicable, $97,000,000 for each of fiscal years 2008 through 2012.CommentsClose CommentsPermalink





`(6) The grassland reserve program under subchapter C of chapter 2, using, to the maximum extent practicable, $240,000,000 for the period of fiscal years 2008 through 2012.CommentsClose CommentsPermalink





`(7) The environmental quality incentives program under chapter 4, using, to the maximum extent practicable--CommentsClose CommentsPermalink





`(A) $1,270,000,000 for each of fiscal years 2008 and 2009; andCommentsClose CommentsPermalink





`(B) $1,300,000,000 for each of fiscal years 2010 through 2012.CommentsClose CommentsPermalink





`(8) The wildlife habitat incentives program under section 1240N, using, to the maximum extent practicable, $85,000,000 for each of fiscal years 2008 through 2012.CommentsClose CommentsPermalink





`(9) The voluntary public access program under section 1240S, using, to the maximum extent practicable, $20,000,000 in each of fiscal years 2008 through 2012.'.CommentsClose CommentsPermalink

SEC. 2402. REGIONAL EQUITY.

Section 1241 of the Food Security Act of 1985 (16 U.S.C. 3841) is amended by striking subsection (d) and inserting the following:CommentsClose CommentsPermalink





`(d) Regional Equity-CommentsClose CommentsPermalink





`(1) IN GENERAL- Before April 1 of each fiscal year, the Secretary shall give priority for funding under the conservation programs under subtitle D and the agricultural management assistance program under section 524(b) of the Federal Crop Insurance Act (7 U.S.C. 1524(b)) (excluding the conservation reserve program under subchapter B of chapter 1 and the wetlands reserve program under subchapter C of chapter 1) to approved applications in any State that has not received, for the fiscal year, an aggregate amount of at least $15,000,000 for those conservation programs.CommentsClose CommentsPermalink





`(e) Specific Funding Allocations- In determining the specific funding allocations for each State under paragraph (1), the Secretary shall consider the respective demand for each program in each State.CommentsClose CommentsPermalink





`(f) Allocations Review and Update-CommentsClose CommentsPermalink





`(1) REVIEW- Not later than January 1, 2012, the Secretary shall conduct a review of conservation program allocation formulas to determine the sufficiency of the formulas in accounting for State-level economic factors, level of agricultural infrastructure, or related factors that affect conservation program costs.CommentsClose CommentsPermalink





`(2) UPDATE- The Secretary shall improve conservation program allocation formulas as necessary to ensure that the formulas adequately reflect the costs of carrying out the conservation programs.'.CommentsClose CommentsPermalink

SEC. 2403. CONSERVATION ACCESS.

Section 1241 of the Food Security Act of 1985 (16 U.S.C. 3841) (as amended by section 2402) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(g) Conservation Access-CommentsClose CommentsPermalink





`(1) ASSISTANCE TO ELIGIBLE FARMERS OR RANCHERS-CommentsClose CommentsPermalink





`(A) DEFINITION OF ELIGIBLE FARMER OR RANCHER- In this paragraph, the term `eligible farmer or rancher' means a farmer or rancher that, as determined by the Secretary--CommentsClose CommentsPermalink





`(i) derives or expects to derive more than 50 percent of the annual income of the farmer or rancher from agriculture (not including payments under the conservation reserve program established under subchapter B of chapter 1 of subtitle D); andCommentsClose CommentsPermalink





`(ii) is--CommentsClose CommentsPermalink





`(I) a beginning farmer or rancher (as defined in section 343 of the Consolidated Farm and Rural Development Act (7 U.S.C. 1991)), except that in determining whether the farmer or rancher qualifies as a beginning farmer or rancher, the Secretary may--CommentsClose CommentsPermalink

`(aa) employ a fair and reasonable test of net worth; andCommentsClose CommentsPermalink

`(bb) use such other criteria as the Secretary determines to be appropriate; orCommentsClose CommentsPermalink

`(II) a socially disadvantaged farmer or rancher (as defined in section 355(e) of the Consolidated Farm and Rural Development Act (7 U.S.C. 2003(e)).CommentsClose CommentsPermalink





`(B) ASSISTANCE- In the case of each program described in subsection (a), except as provided in paragraph (2), for each fiscal year in which funding is made available for the program, 10 percent of the funds available for the fiscal year shall be used by the Secretary to assist eligible farmers or ranchers.CommentsClose CommentsPermalink





`(2) ACREAGE PROGRAMS- In the case of the conservation reserve and wetlands reserve programs, 10 percent of the acreage authorized to be enrolled in any fiscal year shall be used to assist eligible farmers or ranchers.CommentsClose CommentsPermalink





`(3) REPOOLING- In any fiscal year, amounts not obligated under this subsection by a date determined by the Secretary shall be available for payments and technical assistance to all persons eligible for payments or technical assistance in that fiscal year under the program for which the amounts were originally made available under this title.CommentsClose CommentsPermalink





`(4) CONSERVATION INNOVATION GRANTS- Funding under paragraph (1) for conservation innovation grants under section 1240H may, in addition to purposes described in subsection (b) of that section, be used for--CommentsClose CommentsPermalink





`(A) technology transfer;CommentsClose CommentsPermalink





`(B) farmer-to-farmer workshops; andCommentsClose CommentsPermalink





`(C) demonstrations of innovative conservation practices.CommentsClose CommentsPermalink





`(5) TECHNICAL ASSISTANCE- The Secretary shall offer, to the maximum extent practicable, higher levels of technical assistance to beginning farmers or ranchers and socially disadvantaged farmers or ranchers than are otherwise made available to producers participating in programs under this title.CommentsClose CommentsPermalink





`(6) COOPERATIVE AGREEMENTS- The Secretary may develop and implement cooperative agreements with entities (including government agencies, extension entities, nongovernmental and community-based organizations, and educational institutions) with expertise in addressing the needs of beginning farmers or ranchers and socially disadvantaged farmers or ranchers to provide technical assistance, comprehensive conservation planning education, and sustainable agriculture training.'.CommentsClose CommentsPermalink

SEC. 2404. DELIVERY OF TECHNICAL ASSISTANCE.

Section 1242 of the Food Security Act of 1985 (16 U.S.C. 3842) is amended to read as follows:CommentsClose CommentsPermalink

`SEC. 1242. DELIVERY OF TECHNICAL ASSISTANCE.

`(a) Definition of Eligible Participant- In this section, the term `eligible participant' means--CommentsClose CommentsPermalink





`(1) an agricultural producer;CommentsClose CommentsPermalink





`(2) an eligible entity;CommentsClose CommentsPermalink





`(3) an eligible landowner; andCommentsClose CommentsPermalink





`(4) an interested organization.CommentsClose CommentsPermalink





`(b) Purpose- The purpose of technical assistance authorized by this title is to provide eligible participants with consistent, science-based, site-specific practices designed to achieve conservation objectives on land active in agricultural, forestry, or related uses.CommentsClose CommentsPermalink





`(c) Provision of Technical Assistance- The Secretary shall provide technical assistance under this title to an eligible participant--CommentsClose CommentsPermalink





`(1) directly;CommentsClose CommentsPermalink





`(2) through a contract or agreement with a third-party provider; orCommentsClose CommentsPermalink





`(3) at the option of the eligible participant, through a payment, as determined by the Secretary, to the eligible participant for an approved third-party provider, if available.CommentsClose CommentsPermalink





`(d) Certification of Third-Party Providers-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Secretary shall continue to carry out the technical service provider program established under regulations promulgated under subsection (b)(1) (as in existence on the day before the date of enactment of this subsection).CommentsClose CommentsPermalink





`(2) PURPOSE- The purpose of the technical service provider program shall be to increase the availability and range of technical expertise available to farmers, ranchers, and eligible landowners to plan and implement conservation measures.CommentsClose CommentsPermalink





`(3) EXPERTISE- In promulgating regulations to carry out this subsection, the Secretary shall--CommentsClose CommentsPermalink





`(A) ensure that persons with expertise in the technical aspects of conservation planning, watershed planning, and environmental engineering (including commercial entities, nonprofit entities, State or local governments or agencies, and other Federal agencies) are eligible to become approved providers of the technical assistance; andCommentsClose CommentsPermalink





`(B) to the maximum extent practicable--CommentsClose CommentsPermalink





`(i) provide national criteria for the certification of technical service providers; andCommentsClose CommentsPermalink





`(ii) approve any unique certification standards established at the State level.CommentsClose CommentsPermalink





`(4) SYSTEM ADMINISTRATION-CommentsClose CommentsPermalink





`(A) FUNDING- Effective for fiscal year 2008 and each subsequent fiscal year, funds of the Commodity Credit Corporation that are made available to carry out each of the programs specified in section 1241 shall be available for the provision of technical assistance from third-party providers under this section.CommentsClose CommentsPermalink





`(B) CONTRACT TERM- A contract under this section shall have a term that--CommentsClose CommentsPermalink





`(i) at a minimum, is equal to the period--CommentsClose CommentsPermalink





`(I) beginning on the date on which the contract is entered into; andCommentsClose CommentsPermalink





`(II) ending on the date that is 1 year after the date on which all activities in the contract have been completed;CommentsClose CommentsPermalink





`(ii) does not exceed 3 years; andCommentsClose CommentsPermalink





`(iii) can be renewed, as determined by the Secretary.CommentsClose CommentsPermalink





`(C) REVIEW OF CERTIFICATION REQUIREMENTS- Not later than 1 year after the date of enactment of this subsection, the Secretary shall--CommentsClose CommentsPermalink





`(i) review certification requirements for third-party providers; andCommentsClose CommentsPermalink





`(ii) make any adjustments considered necessary by the Secretary to improve participation.CommentsClose CommentsPermalink





`(D) ELIGIBLE ACTIVITIES- The Secretary may include in activities eligible for payment to a third-party provider--CommentsClose CommentsPermalink





`(i) education and outreach to eligible participants; andCommentsClose CommentsPermalink





`(ii) administrative services necessary to support conservation program implementation.CommentsClose CommentsPermalink





`(e) Availability of Technical Services-CommentsClose CommentsPermalink





`(1) AVAILABILITY-CommentsClose CommentsPermalink





`(A) IN GENERAL- In carrying out the programs under this title and the agricultural management assistance program under section 524 of the Federal Crop Insurance Act (7 U.S.C. 1524), the Secretary shall make technical services available to all eligible participants who are installing an eligible practice.CommentsClose CommentsPermalink





`(B) TECHNICAL SERVICE CONTRACTS- In any case in which financial assistance is not requested or is not provided under subparagraph (A), the Secretary may enter into a technical service contract with the applicable eligible participant for the purposes of assisting in the planning, design, or installation of an eligible practice.CommentsClose CommentsPermalink





`(2) REVIEW OF CONSERVATION PRACTICE STANDARDS-CommentsClose CommentsPermalink





`(A) IN GENERAL- The Secretary shall--CommentsClose CommentsPermalink





`(i) review conservation practice standards, including engineering design specifications, in effect on the date of enactment of this subsection;CommentsClose CommentsPermalink





`(ii) ensure, to the maximum extent practicable, the completeness and relevance of the standards to local agricultural, forestry, and natural resource needs, including specialty crops, native and managed pollinators, bioenergy crop production, forestry, and such other needs as are determined by the Secretary; andCommentsClose CommentsPermalink





`(iii) ensure that the standards provide for the optimal balance between meeting site-specific conservation needs and minimizing risks of design failure and associated costs of construction and installation.CommentsClose CommentsPermalink





`(B) CONSULTATION- In conducting the assessment under subparagraph (A), the Secretary shall consult with agricultural producers, crop consultants, cooperative extension and land grant universities, nongovernmental organizations, and other qualified entities.CommentsClose CommentsPermalink





`(C) EXPEDITED REVISION OF STANDARDS- If the Secretary determines under subparagraph (A) that revisions to the conservation practice standards, including engineering design specifications, are necessary, the Secretary shall establish an administrative process for expediting the revisions.CommentsClose CommentsPermalink





`(3) ADDRESSING CONCERNS OF SPECIALITY CROP, ORGANIC, AND PRECISION AGRICULTURE PRODUCERS-CommentsClose CommentsPermalink





`(A) IN GENERAL- The Secretary shall--CommentsClose CommentsPermalink





`(i) to the maximum extent practicable, fully incorporate specialty crop production, organic crop production, and precision agriculture into the conservation practice standards; andCommentsClose CommentsPermalink





`(ii) provide for the appropriate range of conservation practices and resource mitigation measures available to specialty crop, organic, and precision agriculture producers.CommentsClose CommentsPermalink





`(B) AVAILABILITY OF ADEQUATE TECHNICAL ASSISTANCE-CommentsClose CommentsPermalink





`(i) IN GENERAL- The Secretary shall ensure that adequate technical assistance is available for the implementation of conservation practices by specialty crop, organic, and precision agriculture producers through Federal conservation programs.CommentsClose CommentsPermalink





`(ii) REQUIREMENTS- In carrying out clause (i), the Secretary shall develop--CommentsClose CommentsPermalink





`(I) programs that meet specific needs of specialty crop, organic, and precision agriculture producers through cooperative agreements with other agencies and nongovernmental organizations; andCommentsClose CommentsPermalink





`(II) program specifications that allow for innovative approaches to engage local resources in providing technical assistance for planning and implementation of conservation practices.'.CommentsClose CommentsPermalink

SEC. 2405. ADMINISTRATIVE REQUIREMENTS FOR CONSERVATION PROGRAMS.

(a) Streamlined Application Process- Section 1244 of the Food Security Act of 1985 (16 U.S.C. 3844) is amended--CommentsClose CommentsPermalink





(1) by redesignating subsection (b) as subsection (c); andCommentsClose CommentsPermalink





(2) by inserting after subsection (a) the following:CommentsClose CommentsPermalink





`(b) Streamlined Application Process-CommentsClose CommentsPermalink





`(1) IN GENERAL- In carrying out each conservation program under this title, the Secretary shall ensure that the application process used by producers and landowners is streamlined to minimize complexity and eliminate redundancy.CommentsClose CommentsPermalink





`(2) REVIEW AND STREAMLINING-CommentsClose CommentsPermalink





`(A) REVIEW- The Secretary shall carry out a review of the application forms and processes for each conservation program covered by this subsection.CommentsClose CommentsPermalink





`(B) STREAMLINING- On completion of the review the Secretary shall revise application forms and processes, as necessary, to ensure that--CommentsClose CommentsPermalink





`(i) all required application information is essential for the efficient, effective, and accountable implementation of conservation programs;CommentsClose CommentsPermalink





`(ii) conservation program applicants are not required to provide information that is readily available to the Secretary through existing information systems of the Department of Agriculture;CommentsClose CommentsPermalink





`(iii) information provided by the applicant is managed and delivered efficiently for use in all stages of the application process, or for multiple applications; andCommentsClose CommentsPermalink





`(iv) information technology is used effectively to minimize data and information input requirements.CommentsClose CommentsPermalink





`(3) IMPLEMENTATION AND NOTIFICATION- Not later than 1 year after the date of enactment of the Food and Energy Security Act of 2007, the Secretary shall submit to Congress a written notification of completion of the requirements of this subsection.'.CommentsClose CommentsPermalink





(b) Administration- Section 1244 of the Food Security Act of 1985 (16 U.S.C. 3844) (as amended by subsection (a)) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(d) Cooperation Regarding Protection- In the case of a landowner who enrolls land in a conservation program authorized under this title that results in a net conservation benefit for a listed, candidate, or other species, the Secretary shall cooperate at the request of the landowner with the Secretary of the Interior and the Secretary of Commerce, as appropriate, to make available to the landowner safe harbor or similar assurances and protections under sections 7(b)(4) and 10(a), as applicable, of the Endangered Species Act of 1973 (16 U.S.C. 1536(b)(4), 1539(a)).CommentsClose CommentsPermalink





`(e) Eligibility of Producer Organizations-CommentsClose CommentsPermalink





`(1) IN GENERAL- In carrying out a conservation program administered by the Secretary, the Secretary shall accept applications from, and shall provide cost-share and incentive payments and other assistance to, producers who elect to apply through an organization that represents producers and of which producers make up a majority of the governing body, if the Secretary determines that--CommentsClose CommentsPermalink





`(A) the full objective of the proposed activity, practice, or plan cannot be realized without the participation of all or substantially all of the producers in the affected area; andCommentsClose CommentsPermalink





`(B) the benefits achieved through the proposed activity, practice, or plan are likely to be greater and to be delivered more cost-effectively if provided through a single organization with related conservation expertise and management experience.CommentsClose CommentsPermalink





`(2) LIMITATION- Any applicable payment limitation shall apply to each participating producer and not to the organization described in paragraph (1).CommentsClose CommentsPermalink





`(f) Partnerships and Cooperation-CommentsClose CommentsPermalink





`(1) IN GENERAL- In carrying out a program under subtitle D, the Secretary may designate special projects, as recommended if appropriate by the State Executive Director of the Conservationist, after consultation with the State technical committee, to enhance assistance provided to multiple producers to address conservation issues relating to agricultural and nonindustrial private forest management and production.CommentsClose CommentsPermalink





`(2) PURPOSES- The purposes of special projects carried out under this subsection shall be to achieve statewide or regional conservation objectives by--CommentsClose CommentsPermalink





`(A) encouraging producers to cooperate in the installation and maintenance of conservation practices that affect multiple agricultural operations;CommentsClose CommentsPermalink





`(B) encouraging producers to cooperate in meeting applicable Federal, State, and local regulatory requirements regarding natural resources and the environment;CommentsClose CommentsPermalink





`(C) encouraging producers to share information and technical and financial resources;CommentsClose CommentsPermalink





`(D) facilitating cumulative conservation benefits in geographic areas; andCommentsClose CommentsPermalink





`(E) promoting the development and demonstration of innovative conservation methods.CommentsClose CommentsPermalink





`(3) ELIGIBLE PARTNERS- State and local government entities (including irrigation and water districts and canal companies), Indian tribes, farmer cooperatives, institutions of higher education, nongovernmental organizations, and producer associations shall be eligible to apply under this subsection.CommentsClose CommentsPermalink





`(4) SPECIAL PROJECT APPLICATION- To apply for designation under paragraph (1), partners shall submit an application to the Secretary that includes--CommentsClose CommentsPermalink





`(A) a description of the geographic area, the current conditions, the conservation objectives to be achieved through the special project, and the expected level of participation by agricultural and nonindustrial private forest landowners;CommentsClose CommentsPermalink





`(B) a description of the partners collaborating to achieve the project objectives and the roles, responsibilities, and capabilities of the partners;CommentsClose CommentsPermalink





`(C) a description of the program resources requested from the Secretary, in relevant units, and the non-Federal resources that will be leveraged by the Federal contribution; andCommentsClose CommentsPermalink





`(D) such other information as the Secretary considers necessary.CommentsClose CommentsPermalink





`(5) DUTIES OF THE SECRETARY-CommentsClose CommentsPermalink





`(A) IN GENERAL- The Secretary shall enter into multiyear agreements with partners to facilitate the delivery of conservation program resources in a manner to achieve the purposes described in paragraph (2).CommentsClose CommentsPermalink





`(B) PROJECT SELECTION-CommentsClose CommentsPermalink





`(i) IN GENERAL- The Secretary shall conduct a competitive process to select projects funded under this subsection.CommentsClose CommentsPermalink





`(ii) FACTORS CONSIDERED- In conducting the process described in clause (i), the Secretary shall make public factors to be considered in evaluating applications.CommentsClose CommentsPermalink





`(iii) PRIORITY- The Secretary may give priority to applications based on the highest percentage of--CommentsClose CommentsPermalink





`(I) producers involved;CommentsClose CommentsPermalink





`(II) on-the-ground conservation to be implemented;CommentsClose CommentsPermalink





`(III) non-Federal resources to be leveraged; andCommentsClose CommentsPermalink





`(IV) other factors, as determined by the Secretary.CommentsClose CommentsPermalink





`(C) TECHNICAL AND FINANCIAL ASSISTANCE- The Secretary and partners shall provide appropriate technical and financial assistance to producers participating in a special project in an amount determined by the Secretary to be necessary to achieve the purposes described in paragraph (2).CommentsClose CommentsPermalink





`(D) FLEXIBILITY- The Secretary may adjust elements of the programs under this title to better reflect unique local circumstances and purposes, if the Secretary determines that such adjustments are necessary to achieve the purposes of this subsection.CommentsClose CommentsPermalink





`(E) ADMINISTRATION-CommentsClose CommentsPermalink





`(i) IN GENERAL- The Secretary shall ensure that resources made available under this subsection are delivered in accordance with applicable program rules.CommentsClose CommentsPermalink





`(ii) ADDITIONAL REQUIREMENTS- The Secretary may establish additional requirements beyond applicable program rules in order to effectively implement this subsection.CommentsClose CommentsPermalink





`(6) SPECIAL RULES APPLICABLE TO REGIONAL WATER ENHANCEMENT PROJECTS-CommentsClose CommentsPermalink





`(A) DEFINITIONS- In this paragraph:CommentsClose CommentsPermalink





`(i) ELIGIBLE PARTNER- The term `eligible partner' means--CommentsClose CommentsPermalink





`(I) an eligible partner identified in paragraph (3); andCommentsClose CommentsPermalink





`(II) a water or wastewater agency of a State.CommentsClose CommentsPermalink





`(ii) ELIGIBLE PROJECT-CommentsClose CommentsPermalink





`(I) IN GENERAL- The term `eligible project' means a project that is specifically targeted to improve water quality or quantity in an area.CommentsClose CommentsPermalink





`(II) INCLUSIONS- The term `eligible project' includes a project that involves--CommentsClose CommentsPermalink

`(aa) resource condition assessment and modeling;CommentsClose CommentsPermalink

`(bb) water quality, water quantity, or water conservation plan development;CommentsClose CommentsPermalink

`(cc) management system and environmental monitoring and evaluation;CommentsClose CommentsPermalink

`(dd) cost-share restoration or enhancement;CommentsClose CommentsPermalink

`(ee) incentive payments for land management practices;CommentsClose CommentsPermalink

`(ff) easement purchases;CommentsClose CommentsPermalink

`(gg) conservation contracts with landowners;CommentsClose CommentsPermalink

`(hh) improved irrigation systems;CommentsClose CommentsPermalink

`(ii) water banking and other forms of water transactions;CommentsClose CommentsPermalink

`(jj) groundwater recharge;CommentsClose CommentsPermalink

`(kk) stormwater capture; andCommentsClose CommentsPermalink

`(ll) other water-related activities that the Secretary determines will help to achieve the water quality or water quantity benefits identified in the agreement in subparagraph (E) on land described in paragraph (1).CommentsClose CommentsPermalink

`(B) REGIONAL WATER ENHANCEMENT PROCEDURES- With respect to proposals for eligible projects by eligible partners, the Secretary shall establish specific procedures (to be known collectively as `regional water enhancement procedures') in accordance with this paragraph.CommentsClose CommentsPermalink





`(C) MEANS- Regional water enhancement activities in a particular region shall be carried out through a combination of--CommentsClose CommentsPermalink





`(i) multiyear agreements between the Secretary and eligible partners;CommentsClose CommentsPermalink





`(ii) other regional water enhancement activities carried out by the Secretary; andCommentsClose CommentsPermalink





`(iii) regional water enhancement activities carried out by eligible partners through other means.CommentsClose CommentsPermalink





`(D) MULTIYEAR AGREEMENTS WITH ELIGIBLE PARTNERS-CommentsClose CommentsPermalink





`(i) SOLICITATION OF PROPOSALS- Not later than 90 days after the date of enactment of this subsection, the Secretary shall invite prospective eligible partners to submit proposals for regional water enhancement projects.CommentsClose CommentsPermalink





`(ii) ELEMENTS OF PROPOSALS- To be eligible for consideration for participation in the program, a proposal submitted by an eligible partner shall include--CommentsClose CommentsPermalink





`(I) identification of the exact geographic area for which the partnership is proposed, which may be based on--CommentsClose CommentsPermalink

`(aa) a watershed (or portion of a watershed);CommentsClose CommentsPermalink

`(bb) an irrigation, water, or drainage district;CommentsClose CommentsPermalink

`(cc) the service area of an irrigation water delivery entity; orCommentsClose CommentsPermalink

`(dd) some other geographic area with characteristics that make the area suitable for landscape-wide program implementation;CommentsClose CommentsPermalink

`(II) identification of the water quality or water quantity issues that are of concern in the area;CommentsClose CommentsPermalink





`(III) a method for determining a baseline assessment of water quality, water quantity, and other related resource conditions in the region;CommentsClose CommentsPermalink





`(IV) a detailed description of the proposed water quality or water quantity improvement activities to be undertaken in the area, including an estimated timeline and program resources for every activity; andCommentsClose CommentsPermalink





`(V) a description of the performance measures to be used to gauge the effectiveness of the water quality or water quantity improvement activities.CommentsClose CommentsPermalink





`(iii) SELECTION OF PROPOSALS- The Secretary shall award multiyear agreements competitively, with priority given, as determined by the Secretary, to selecting proposals that--CommentsClose CommentsPermalink





`(I) have the highest likelihood of improving the water quality or quantity issues of concern for the area;CommentsClose CommentsPermalink





`(II) involve multiple stakeholders and will ensure the highest level of participation by producers and landowners in the area through performance incentives to encourage adoption of specific practices in specific locations;CommentsClose CommentsPermalink





`(III) will result in the inclusion of the highest percentage of working agricultural land in the area;CommentsClose CommentsPermalink





`(IV) will result in the highest percentage of on-the-ground activities as compared to administrative costs;CommentsClose CommentsPermalink





`(V) will provide the greatest contribution to sustaining or enhancing agricultural or silvicultural production in the area; andCommentsClose CommentsPermalink





`(VI) include performance measures that will allow post-activity conditions to be satisfactorily measured to gauge overall effectiveness.CommentsClose CommentsPermalink





`(iv) DURATION-CommentsClose CommentsPermalink





`(I) IN GENERAL- Multiyear agreements under this subsection shall be for a period not to exceed 5 years.CommentsClose CommentsPermalink





`(II) EARLY TERMINATION- The Secretary may terminate a multiyear agreement before the end of the agreement if the Secretary determines that performance measures are not being met.CommentsClose CommentsPermalink





`(E) AGREEMENTS- Not later than 30 days after the date on which the Secretary awards an agreement under subparagraph (D), the Secretary shall enter into an agreement with the eligible partner that, at a minimum, contains--CommentsClose CommentsPermalink





`(i) a description of the respective duties and responsibilities of the Secretary and the eligible partner in carrying out the activities in the area; andCommentsClose CommentsPermalink





`(ii) the criteria that the Secretary will use to evaluate the overall effectiveness of the regional water enhancement activities funded by the multiyear agreement in improving the water quality or quantity conditions of the region relative to the performance measures in the proposal.CommentsClose CommentsPermalink





`(F) CONTRACTS WITH OTHER PARTIES- An agreement awarded under subparagraph (D) may provide for the use of third-party providers (including other eligible partners) to undertake specific regional water enhancement activities in a region on a contractual basis with the Secretary or the eligible partner.CommentsClose CommentsPermalink





`(G) CONSULTATION WITH OTHER AGENCIES- With respect to areas in which a Federal or State agency is, or will be, undertaking other water quality or quantity-related activities, the Secretary and the eligible partner may consult with the Federal or State agency in order to--CommentsClose CommentsPermalink





`(i) coordinate activities;CommentsClose CommentsPermalink





`(ii) avoid duplication; andCommentsClose CommentsPermalink





`(iii) ensure that water quality or quantity improvements attributable to the other activities are taken into account in the evaluation of the Secretary under subparagraph (E)(ii).CommentsClose CommentsPermalink





`(H) RELATIONSHIP TO OTHER PROGRAMS- The Secretary shall ensure that, to the extent that producers and landowners are individually participating in other programs under subtitle D in a region in which a regional water enhancement project is in effect, any improvements to water quality or water quantity attributable to the individual participation are included in the evaluation criteria developed under subparagraph (E)(ii).CommentsClose CommentsPermalink





`(I) CONSISTENCY WITH STATE LAW- Any water quality or water quantity improvement activity undertaken under this paragraph shall be consistent with State water laws.CommentsClose CommentsPermalink





`(7) FUNDING-CommentsClose CommentsPermalink





`(A) IN GENERAL- The Secretary shall use not more than 5 percent of the funds made available for conservation programs under subtitle D for each fiscal year under section 1241(a) to carry out activities that are authorized under this subsection.CommentsClose CommentsPermalink





`(B) PARTNERS- Overhead or administrative costs of partners may not be covered by funds provided through this subsection.CommentsClose CommentsPermalink





`(C) UNUSED FUNDING- Any funds made available for a fiscal year under subparagraph (A) that are not obligated by April 1 of the fiscal year may be used to carry out other activities under conservation programs under subtitle D during the fiscal year in which the funding becomes available.CommentsClose CommentsPermalink





`(g) Accuracy of Payments- Immediately after the date of enactment of this subsection, the Secretary shall implement policies and procedures to ensure proper payment of farm program benefits to producers participating in conservation easement programs and correct other management deficiencies identified in Report No. 50099-11-SF issued by the Department of Agriculture Office of Inspector General in August 2007.CommentsClose CommentsPermalink





`(h) Compliance and Performance- For each conservation program under this title, the Secretary shall develop procedures--CommentsClose CommentsPermalink





`(1) to monitor compliance with program requirements by landowners and eligible entities;CommentsClose CommentsPermalink





`(2) to measure program performance;CommentsClose CommentsPermalink





`(3) to demonstrate whether the long-term conservation benefits of the program are being achieved; andCommentsClose CommentsPermalink





`(4) to coordinate activities described in this subsection with the national conservation program authorized under section 5 of the Soil and Water Resources Conservation Act of 1977 (16 U.S.C. 2004).CommentsClose CommentsPermalink





`(i) Direct Attribution of Payments- In implementing payment limitations for any program under this title, the Secretary shall issue such regulations as are necessary to ensure that the total amount of payments are attributed to an individual by taking into account the direct and indirect ownership interests of the individual in an entity that is eligible to receive the payments.'.CommentsClose CommentsPermalink





(c) Conforming Amendments- Section 1234 of the Food Security Act of 1985 (16 U.S.C. 3834) is amended--CommentsClose CommentsPermalink





(1) in subsection (d)(3)(B), by striking `(f)(4)' and inserting `(f)(3)'; andCommentsClose CommentsPermalink





(2) in subsection (f)--CommentsClose CommentsPermalink





(A) in paragraph (1)--CommentsClose CommentsPermalink





(i) by striking `The total' and inserting `Subject to section 1244(i), the total'; andCommentsClose CommentsPermalink





(ii) by striking `a person' and inserting `an individual';CommentsClose CommentsPermalink





(B) by striking paragraph (2); andCommentsClose CommentsPermalink





(C) by redesignating paragraphs (3) and (4) as paragraphs (2) and (3), respectively.CommentsClose CommentsPermalink

SEC. 2406. CONSERVATION PROGRAMS IN ENVIRONMENTAL SERVICES MARKETS.

Subtitle E of the Food Security Act of 1985 (16 U.S.C. 3841 et seq.) is amended by adding at the end the following:CommentsClose CommentsPermalink

`SEC. 1245. CONSERVATION PROGRAMS IN ENVIRONMENTAL SERVICES MARKETS.

`(a) Framework-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Secretary shall establish a framework to facilitate the participation of farmers, ranchers, and forest landowners in emerging environmental services markets.CommentsClose CommentsPermalink





`(2) PROCESS- In carrying out paragraph (1), the Secretary shall use a collaborative process that includes representatives of--CommentsClose CommentsPermalink





`(A) farm, ranch, and forestry interests;CommentsClose CommentsPermalink





`(B) financial institutions involved in environmental services trading;CommentsClose CommentsPermalink





`(C) institutions of higher education with relevant expertise or experience;CommentsClose CommentsPermalink





`(D) nongovernmental organizations with relevant expertise or experience;CommentsClose CommentsPermalink





`(E) government agencies of relevant jurisdiction, including--CommentsClose CommentsPermalink





`(i) the Department of Commerce;CommentsClose CommentsPermalink





`(ii) the Department of Energy;CommentsClose CommentsPermalink





`(iii) the Department of the Interior;CommentsClose CommentsPermalink





`(iv) the Department of Transportation;CommentsClose CommentsPermalink





`(v) the Environmental Protection Agency; andCommentsClose CommentsPermalink





`(vi) the Corps of Engineers; andCommentsClose CommentsPermalink





`(F) other appropriate interests, as determined by the Secretary.CommentsClose CommentsPermalink





`(3) REQUIREMENTS-CommentsClose CommentsPermalink





`(A) DEFINITION OF STANDARD- In this paragraph, the term `standard' means a technical guideline that outlines accepted, science-based methods to quantify the environmental services benefits from agricultural and forest conservation and land management practices, as determined by the Secretary.CommentsClose CommentsPermalink





`(B) FRAMEWORK REQUIREMENTS- In establishing the framework under paragraph (1), the Secretary shall--CommentsClose CommentsPermalink





`(i) establish uniform standards;CommentsClose CommentsPermalink





`(ii) design accounting procedures to quantify environmental services benefits that would assist farmers, ranchers, and forest landowners in using the uniform standards to establish certifications, as defined in emerging environmental services markets;CommentsClose CommentsPermalink





`(iii) establish--CommentsClose CommentsPermalink





`(I) a protocol to report environmental services benefits; andCommentsClose CommentsPermalink





`(II) a registry to report and maintain the benefits for future use in emerging environmental services markets; andCommentsClose CommentsPermalink





`(iv) establish a process to verify that a farmer, rancher, or forest landowner that reports and maintains an environmental services benefit in the registry described in clause (iii)(II) has implemented the reported conservation or land management activity.CommentsClose CommentsPermalink





`(C) THIRD-PARTY SERVICE PROVIDERS- In developing the process described in subparagraph (B)(iv), the Secretary shall consider the role of third-party service providers.CommentsClose CommentsPermalink





`(4) COORDINATION- The Secretary shall coordinate and leverage activities in existence on the date of enactment of this section in agriculture and forestry relating to emerging environmental services markets.CommentsClose CommentsPermalink





`(5) PRIORITY- In establishing the framework under this subsection, the Secretary shall give priority to providing assistance to farmers, ranchers, and forest landowners participating in carbon markets.CommentsClose CommentsPermalink





`(b) Authority to Delegate- The Secretary may delegate any responsibility under this section to a relevant agency or office, as determined by the Secretary.CommentsClose CommentsPermalink





`(c) Reports to Congress-CommentsClose CommentsPermalink





`(1) STATUS OF COLLABORATIVE PROCESS- Not later than 90 days after the date of enactment of this section, the Secretary shall provide to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate information on the status of the collaborative process under subsection (a)(2).CommentsClose CommentsPermalink





`(2) INTERIM REPORT- Not later than 180 days after the date of enactment of this section, the Secretary shall submit to the committees of Congress described in paragraph (1) an interim report that--CommentsClose CommentsPermalink





`(A) describes the adequacy of existing research and methods to quantify environmental services benefits;CommentsClose CommentsPermalink





`(B) proposes methods--CommentsClose CommentsPermalink





`(i) to establish technical guidelines, accounting procedures, and reporting protocols; andCommentsClose CommentsPermalink





`(ii) to structure the registry; andCommentsClose CommentsPermalink





`(C) includes recommendations for actions to remove barriers for farmers, ranchers, and forest landowners to participation, reporting, registration, and verification relating to environmental services markets.CommentsClose CommentsPermalink





`(3) FINAL REPORT- Not later than 18 months after the date of enactment of this section, the Secretary shall submit to the committees of Congress described in paragraph (1) a report that describes--CommentsClose CommentsPermalink





`(A) the progress of the Secretary in meeting the requirements described in subsection (a)(3)(B);CommentsClose CommentsPermalink





`(B) the rates of participation of farmers, ranchers, and forest landowners in emerging environmental services markets; andCommentsClose CommentsPermalink





`(C) any recommendations of the Secretary relating to reauthorization of this section.CommentsClose CommentsPermalink





`(d) Funding- There are authorized to be appropriated to the Secretary to carry out this section such sums as are necessary for each of fiscal years 2008 through 2012.'.CommentsClose CommentsPermalink

Subtitle F--State Technical Committees

SEC. 2501. STATE TECHNICAL COMMITTEES.

(a) Standards- Section 1261 of the Food Security Act of 1985 (16 U.S.C. 3861(c)) is amended by striking subsection (b) and inserting the following:CommentsClose CommentsPermalink





`(b) Standards- Not later than 180 days after the date of enactment of the Food and Energy Security Act of 2007, the Secretary shall develop--CommentsClose CommentsPermalink





`(1) standard operating procedures to standardize the operations of State technical committees; andCommentsClose CommentsPermalink





`(2) standards to be used by the State technical committees in the development of technical guidelines under section 1262(b) for the implementation of the conservation provisions of this title.'.CommentsClose CommentsPermalink





(b) Composition- Section 1261(c) of the Food Security Act of 1985 (16 U.S.C. 3861(c)) is amended--CommentsClose CommentsPermalink





(1) by striking paragraphs (1) and (2) and inserting the following:CommentsClose CommentsPermalink





`(1) the Natural Resources Conservation Service;CommentsClose CommentsPermalink





`(2) the Farm Service Agency;';CommentsClose CommentsPermalink





(2) by striking paragraph (5) and inserting the following:CommentsClose CommentsPermalink





`(5) Rural Development agencies;';CommentsClose CommentsPermalink





(3) in paragraph (11), by striking `and' at the end;CommentsClose CommentsPermalink





(4) in paragraph (12), by striking the period at the end and inserting `; and'; andCommentsClose CommentsPermalink





(5) by adding at the end the following:CommentsClose CommentsPermalink





`(13) nonindustrial private forest land owners.'.CommentsClose CommentsPermalink





(c) FACA Requirements- Section 1262(e) of the Food Security Act of 1985 (16 U.S.C. 3862(e)) is amended--CommentsClose CommentsPermalink





(1) by striking `The committees' and inserting the following:CommentsClose CommentsPermalink





`(1) IN GENERAL- The committees'; andCommentsClose CommentsPermalink





(2) by adding at the end the following:CommentsClose CommentsPermalink





`(2) LOCAL WORKING GROUPS- For purposes of the Federal Advisory Committee Act (5 U.S.C. App.), any local working group established under this subtitle shall be considered to be a subcommittee of the applicable State technical committee.'.CommentsClose CommentsPermalink

Subtitle G--Other Authorities

SEC. 2601. AGRICULTURAL MANAGEMENT ASSISTANCE.

Section 524(b) of the Federal Crop Insurance Act (7 U.S.C. 1524(b)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (1), by inserting `Idaho' after `Delaware'; andCommentsClose CommentsPermalink





(2) in paragraph (4)(B), by striking `2007' each place it appears and inserting `2012'.CommentsClose CommentsPermalink

SEC. 2602. AGRICULTURE CONSERVATION EXPERIENCED SERVICES PROGRAM.

The Department of Agriculture Reorganization Act of 1994 (7 U.S.C. 6901 et seq.) is amended by adding at the end the following:CommentsClose CommentsPermalink

`SEC. 307. AGRICULTURE CONSERVATION EXPERIENCED SERVICES PROGRAM.

`(a) Establishment-CommentsClose CommentsPermalink





`(1) IN GENERAL- Notwithstanding any other provision of law relating to Federal grants, cooperative agreements, or contracts, there is established in the Department the agriculture conservation experienced services program (referred to in this section as the `ACE program').CommentsClose CommentsPermalink





`(2) AUTHORIZATION- Under the ACE program, the Secretary may offer to enter into agreements with nonprofit private agencies and organizations eligible to receive grants for the applicable fiscal year under title V of the Older Americans Act of 1965 (42 U.S.C. 3056 et seq.) to use the talents of individuals who are age 55 or older, to provide conservation technical assistance in support of the administration of conservation-related programs and authorities administered by the Secretary.CommentsClose CommentsPermalink





`(3) FUNDING- Agreements described in paragraph (2) may be carried out using funds made available to carry out--CommentsClose CommentsPermalink





`(A) the environmental quality incentives program of the comprehensive stewardship incentives program established under subchapter A of chapter 6 of subtitle D of title XII of the Food Security Act of 1985;CommentsClose CommentsPermalink





`(B) the Soil Conservation and Domestic Allotment Act (16 U.S.C. 590a et seq.); orCommentsClose CommentsPermalink





`(C) title V of the Older Americans Act of 1965 (42 U.S.C. 3056).CommentsClose CommentsPermalink





`(b) Determination- Prior to entering into an agreement described in subsection (a)(2), the Secretary shall determine that the agreement would not--CommentsClose CommentsPermalink





`(1) result in the displacement of individuals employed by the Department, including partial displacement through reduction of nonovertime hours, wages, or employment benefits;CommentsClose CommentsPermalink





`(2) result in the use of an individual covered by this section for a job or function in a case in which a Federal employee is in a layoff status from the same or a substantially-equivalent job or function with the Department; orCommentsClose CommentsPermalink





`(3) affect existing contracts for services.CommentsClose CommentsPermalink





`(c) Technical Assistance- The Secretary may make available to individuals providing technical assistance under an agreement authorized by this section appropriate conservation technical tools, including the use of agency vehicles necessary to carry out technical assistance in support of the conservation-related programs affected by the ACE program.'.CommentsClose CommentsPermalink

SEC. 2603. TECHNICAL ASSISTANCE.

(a) Soil Conservation and Domestic Allotment Act-CommentsClose CommentsPermalink





(1) PREVENTION OF SOIL EROSION-CommentsClose CommentsPermalink





(A) IN GENERAL- The first section of the Soil Conservation and Domestic Allotment Act (16 U.S.C. 590a) is amended--CommentsClose CommentsPermalink





(i) by striking `That it' and inserting the following:CommentsClose CommentsPermalink

`SECTION 1. PURPOSE.

`It'; andCommentsClose CommentsPermalink





(ii) in the matter preceding paragraph (1), by striking `and thereby to preserve natural resources,' and inserting `to preserve soil, water, and related resources, promote soil and water quality,'.CommentsClose CommentsPermalink





(B) POLICIES AND PURPOSES- Section 7(a)(1) of the Soil Conservation and Domestic Allotment Act (16 U.S.C. 590g(a)(1)) is amended by striking `fertility' and inserting `and water quality and related resources'.CommentsClose CommentsPermalink





(2) DEFINITIONS- Section 10 of the Soil Conservation and Domestic Allotment Act (16 U.S.C. 590j) is amended to read as follows:CommentsClose CommentsPermalink

`SEC. 10. DEFINITIONS.

`In this Act:CommentsClose CommentsPermalink





`(1) AGRICULTURAL COMMODITY- The term `agricultural commodity' means--CommentsClose CommentsPermalink





`(A) an agricultural commodity; andCommentsClose CommentsPermalink





`(B) any regional or market classification, type, or grade of an agricultural commodity.CommentsClose CommentsPermalink





`(2) TECHNICAL ASSISTANCE-CommentsClose CommentsPermalink





`(A) IN GENERAL- The term `technical assistance' means technical expertise, information, and tools necessary for the conservation of natural resources on land active in agricultural, forestry, or related uses.CommentsClose CommentsPermalink





`(B) INCLUSIONS- The term `technical assistance' includes--CommentsClose CommentsPermalink





`(i) technical services provided directly to farmers, ranchers, and other eligible entities, such as conservation planning, technical consultation, and assistance with design and implementation of conservation practices; andCommentsClose CommentsPermalink





`(ii) technical infrastructure, including activities, processes, tools, and agency functions needed to support delivery of technical services, such as technical standards, resource inventories, training, data, technology, monitoring, and effects analyses.'.CommentsClose CommentsPermalink





(b) Soil and Water Resources Conservation Act of 1977-CommentsClose CommentsPermalink





(1) CONGRESSIONAL FINDINGS- Section 2 of the Soil and Water Resources Conservation Act of 1977 (16 U.S.C. 2001) is amended--CommentsClose CommentsPermalink





(A) in paragraph (2), by striking `base, of the' and inserting `base of the'; andCommentsClose CommentsPermalink





(B) in paragraph (3), by striking `(3)' and all that follows through `Since individual' and inserting the following:CommentsClose CommentsPermalink





`(3) Appraisal and inventory of resources, assessment and inventory of conservation needs, evaluation of the effects of conservation practices, and analyses of alternative conservation programs are basic to effective soil, water, and related natural resource conservation.CommentsClose CommentsPermalink





`(4) Since individual'.CommentsClose CommentsPermalink





(2) CONTINUING APPRAISAL OF SOIL, WATER, AND RELATED RESOURCES- Section 5 of the Soil and Water Resources Conservation Act of 1977 (16 U.S.C. 2004) is amended--CommentsClose CommentsPermalink





(A) in subsection (a)--CommentsClose CommentsPermalink





(i) in paragraph (5), by striking `and' at the end;CommentsClose CommentsPermalink





(ii) in paragraph (6), by striking the period at the end and inserting `; and'; andCommentsClose CommentsPermalink





(iii) by adding at the end the following:CommentsClose CommentsPermalink





`(7) data on conservation plans, conservation practices planned or implemented, environmental outcomes, economic costs, and related matters under conservation programs administered by the Secretary.';CommentsClose CommentsPermalink





(B) by redesignating subsection (d) as subsection (e);CommentsClose CommentsPermalink





(C) by inserting after subsection (c) the following:CommentsClose CommentsPermalink





`(d) Evaluation of Appraisal- In conducting the appraisal described in subsection (a), the Secretary shall concurrently solicit and evaluate recommendations for improving the appraisal, including the content, scope, process, participation in, and other elements of the appraisal, as determined by the Secretary.'; andCommentsClose CommentsPermalink





(D) in subsection (e) (as redesignated by subparagraph (B)), by striking `December 31, 1979' and all that follows through `December 31, 2005' and inserting `December 31, 2010, December 31, 2015, December 31, 2020, and December 31, 2025'.CommentsClose CommentsPermalink





(3) SOIL AND WATER CONSERVATION PROGRAM- Section 6 of the Soil and Water Resources Conservation Act of 1977 (16 U.S.C. 2005) is amended--CommentsClose CommentsPermalink





(A) by redesignating subsection (b) as subsection (d);CommentsClose CommentsPermalink





(B) by inserting after subsection (a) the following:CommentsClose CommentsPermalink





`(b) Evaluation of Existing Conservation Programs- In evaluating existing conservation programs, the Secretary shall emphasize demonstration, innovation, and monitoring of specific program components in order to encourage further development and adoption of practices and performance-based standards.CommentsClose CommentsPermalink





`(c) Improvement to Program- In developing a national soil and water conservation program under subsection (a), the Secretary shall solicit and evaluate recommendations for improving the program, including the content, scope, process, participation in, and other elements of the program, as determined by the Secretary.'; andCommentsClose CommentsPermalink





(C) in subsection (d) (as redesignated by subparagraph (A)), by striking `December 31, 1979' and all that follows through `December 31, 2007' and inserting `December 31, 2011, December 31, 2016, December 31, 2021, and December 31, 2026'.CommentsClose CommentsPermalink





(4) REPORTS TO CONGRESS- Section 7 of the Soil and Water Resources Conservation Act of 1977 (16 U.S.C. 2006) is amended to read as follows:CommentsClose CommentsPermalink

`SEC. 7. REPORTS TO CONGRESS.

`(a) Appraisal- Not later than the date on which Congress convenes in 2011, 2016, 2021, and 2026, the President shall transmit to the Speaker of the House of Representatives and the President of the Senate the appraisal developed under section 5 and completed prior to the end of the previous year.CommentsClose CommentsPermalink





`(b) Program and Statement of Policy- Not later than the date on which Congress convenes in 2012, 2017, 2022, and 2027, the President shall transmit to the Speaker of the House of Representatives and the President of the Senate--CommentsClose CommentsPermalink





`(1) the initial program or updated program developed under section 6 and completed prior to the end of the previous year;CommentsClose CommentsPermalink





`(2) a detailed statement of policy regarding soil and water conservation activities of the Department of Agriculture; andCommentsClose CommentsPermalink





`(3) a special evaluation of the status, conditions, and trends of soil quality on cropland in the United States that addresses the challenges and opportunities for reducing soil erosion to tolerance levels.CommentsClose CommentsPermalink





`(c) Improvements to Appraisal and Program- Not later than the date on which Congress convenes in 2012, the Secretary shall submit to the Speaker of the House of Representatives and the President of the Senate a report describing the plans of the Department of Agriculture for improving the resource appraisal and national conservation program required under this Act, based on the recommendations received under sections 5(d) and 6(c).'.CommentsClose CommentsPermalink





(5) TERMINATION OF PROGRAM- Section 10 of the Soil and Water Resources Conservation Act of 1977 (16 U.S.C. 2009) is amended by striking `2008' and inserting `2028'.CommentsClose CommentsPermalink

SEC. 2604. SMALL WATERSHED REHABILITATION PROGRAM.

Section 14 of the Watershed Protection and Flood Prevention Act (16 U.S.C. 1012) is amended by striking subsection (h) and inserting the following:CommentsClose CommentsPermalink





`(h) Authorization of Appropriations- There are authorized to be appropriated such sums as are necessary to carry out this section for each of fiscal years 2008 through 2012.'.CommentsClose CommentsPermalink

SEC. 2605. RESOURCE CONSERVATION AND DEVELOPMENT PROGRAM.

(a) Locally Led Planning Process- Section 1528 of the Agriculture and Food Act of 1981 (16 U.S.C. 3451) is amended--CommentsClose CommentsPermalink





(1) in paragraph (1), in the matter preceding subparagraph (A), by striking `planning process' and inserting `locally led planning process';CommentsClose CommentsPermalink





(2) by redesignating paragraphs (8) and (9) as paragraphs (9) and (8), respectively, and moving those paragraphs so as to appear in numerical order;CommentsClose CommentsPermalink





(3) in paragraph (8) (as so redesignated)--CommentsClose CommentsPermalink





(A) by striking `(8) PLANNING PROCESS' and inserting `(8) LOCALLY LED PLANNING PROCESS'; andCommentsClose CommentsPermalink





(B) by striking `council' and inserting `locally led council'.CommentsClose CommentsPermalink





(b) Authorized Technical Assistance- Section 1528(13) of the Agriculture and Food Act of 1981 (16 U.S.C. 3451(13)) is amended by striking subparagraphs (C) and (D) and inserting the following:CommentsClose CommentsPermalink





`(C) providing assistance for the implementation of area plans and projects; andCommentsClose CommentsPermalink





`(D) providing services that involve the resources of Department of Agriculture programs in a local community, as defined in the locally led planning process.'.CommentsClose CommentsPermalink





(c) Improved Provision of Technical Assistance- Section 1531 of the Agriculture and Food Act of 1981 (16 U.S.C. 3454) is amended--CommentsClose CommentsPermalink





(1) by redesignating paragraphs (1) through (4) as clauses (i) through (iv), respectively, and indenting appropriately;CommentsClose CommentsPermalink





(2) by striking `In carrying' and inserting the following:CommentsClose CommentsPermalink





`(1) IN GENERAL- In carrying'; andCommentsClose CommentsPermalink





(3) by adding at the end the following:CommentsClose CommentsPermalink





`(b) Coordinator-CommentsClose CommentsPermalink





`(1) IN GENERAL- To improve the provision of technical assistance to councils under this subtitle, the Secretary shall designate for each council an individual to be the coordinator for the council.CommentsClose CommentsPermalink





`(2) RESPONSIBILITY- A coordinator for a council shall be directly responsible for the provision of technical assistance to the council.'.CommentsClose CommentsPermalink





(d) Program Evaluation- Section 1534 of the Agriculture and Food Act of 1981 (16 U.S.C. 3457) is repealed.CommentsClose CommentsPermalink

SEC. 2606. NATIONAL NATURAL RESOURCES CONSERVATION FOUNDATION.

(a) Advisory Functions- Section 353 of the Federal Agriculture Improvement and Reform Act of 1996 (16 U.S.C. 5802) is amended--CommentsClose CommentsPermalink





(1) in subsection (b)(3), by striking `agencies' and inserting `agencies, individuals,'; andCommentsClose CommentsPermalink





(2) by adding at the end the following:CommentsClose CommentsPermalink





`(d) Advisory Functions- Notwithstanding the requirements of the Federal Advisory Committee Act (5 U.S.C. App.), the Foundation may provide advice and recommendations to the Secretary.'.CommentsClose CommentsPermalink





(b) Gifts, Devises, and Bequests of Personal Property- Section 354 of the Federal Agriculture Improvement and Reform Act of 1996 (16 U.S.C. 5803) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(h) Gifts, Devises, and Bequests of Personal Property-CommentsClose CommentsPermalink





`(1) IN GENERAL- Prior to the appointment and initial meeting of the members of the Board and after the initial meeting of the Board, the Secretary may, on behalf of the Foundation--CommentsClose CommentsPermalink





`(A) accept, receive, and hold nonmonetary gifts, devises, or bequests of personal property; andCommentsClose CommentsPermalink





`(B) accept and receive monetary gifts, devises, or bequests.CommentsClose CommentsPermalink





`(2) HELD IN TRUST- Gifts, devises, or bequests of monetary and nonmonetary personal property shall--CommentsClose CommentsPermalink





`(A) be held in trust for the Foundation; andCommentsClose CommentsPermalink





`(B) shall not be--CommentsClose CommentsPermalink





`(i) considered gifts to the United States; orCommentsClose CommentsPermalink





`(ii) used for the benefit of the United States.CommentsClose CommentsPermalink





`(3) TREASURY ACCOUNT- The Secretary shall deposit monetary gifts, devises, and bequests to the Foundation in a special interest-bearing account in the Treasury of the United States.CommentsClose CommentsPermalink





`(4) INITIAL GIFTS, DEVISES, AND BEQUESTS-CommentsClose CommentsPermalink





`(A) IN GENERAL- The Secretary may use initial gifts, devises, or bequests received prior to the first meeting of the Board for any necessary expenses and activities related to the first meeting of the Board.CommentsClose CommentsPermalink





`(B) TRANSFER- Except with respect to any amounts expended under subparagraph (A), the Secretary shall, at the first meeting of the Board, transfer to the Foundation all gifts, devises, or bequests received prior to the first meeting of the Board.'.CommentsClose CommentsPermalink





(c) Officers and Employees- Section 355(b)(1) of the Federal Agriculture Improvement and Reform Act of 1996 (16 U.S.C. 5804(b)(1)) is amended--CommentsClose CommentsPermalink





(1) by striking `Foundation--' and all that follows through `shall not,' in subparagraph (A) and inserting `Foundation shall not';CommentsClose CommentsPermalink





(2) by striking `employee; and' and inserting `employee.'; andCommentsClose CommentsPermalink





(3) by striking subparagraph (B).CommentsClose CommentsPermalink





(d) Contracts and Agreements- Section 356 of the Federal Agriculture Improvement Reform Act of 1996 (16 U.S.C. 5805) is amended--CommentsClose CommentsPermalink





(1) in subsection (c)(7), by striking `State or local' and inserting `Federal, State, or local'; andCommentsClose CommentsPermalink





(2) in subsection (d)(2)--CommentsClose CommentsPermalink





(A) by striking `A gift' and inserting the following:CommentsClose CommentsPermalink





`(A) IN GENERAL- A gift'; andCommentsClose CommentsPermalink





(B) by adding at the end the following:CommentsClose CommentsPermalink





`(B) TAX STATUS- A gift, devise, or bequest to the Foundation shall be treated as a gift, devise, or bequest to an organization exempt from taxation under section 501(c)(3) of the Internal Revenue Code of 1986.'.CommentsClose CommentsPermalink





(e) Administrative Services and Support- Section 356 of the Federal Agriculture Improvement Reform Act of 1996 (16 U.S.C. 5806) is amended by striking `1996 through 1998' and inserting `2008 through 2012.'.CommentsClose CommentsPermalink

SEC. 2607. DESERT TERMINAL LAKES.

Section 2507 of the Farm Security and Rural Investment Act of 2002 (43 U.S.C. 2211 note; Public Law 107-171) is amended--CommentsClose CommentsPermalink





(1) by striking `(a)' and all that follows through `the Secretary of Agriculture' and inserting the following: `Subject to paragraph (1) of section 207 of Public Law 108-7 (117 Stat. 146), notwithstanding paragraph (3) of that section, on the date of enactment of the Food and Energy Security Act of 2007, the Secretary of Agriculture'; andCommentsClose CommentsPermalink





(2) by striking subsection (b).CommentsClose CommentsPermalink

SEC. 2608. CROP INSURANCE INELIGIBILITY RELATING TO CROP PRODUCTION ON NATIVE SOD.

(a) Federal Crop Insurance- Section 508 of the Federal Crop Insurance Act (7 U.S.C. 1508) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(o) Crop Insurance Ineligibility Relating to Crop Production on Native Sod-CommentsClose CommentsPermalink





`(1) DEFINITION OF NATIVE SOD- In this subsection, the term `native sod' means land--CommentsClose CommentsPermalink





`(A) on which the plant cover is composed principally of native grasses, grasslike plants, forbs, or shrubs suitable for grazing and browsing; andCommentsClose CommentsPermalink





`(B) that has never been used for production of an agricultural commodity.CommentsClose CommentsPermalink





`(2) INELIGIBILITY- Native sod acreage on which an agricultural commodity is planted for which a policy or plan of insurance is available under this title shall be ineligible for benefits under this Act.'.CommentsClose CommentsPermalink





(b) Noninsured Crop Disaster Assistance- Section 196(a) of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7333(a)) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(4) PROGRAM INELIGIBILITY RELATING TO CROP PRODUCTION ON NATIVE SOD-CommentsClose CommentsPermalink





`(A) DEFINITION OF NATIVE SOD- In this paragraph, the term `native sod' means land--CommentsClose CommentsPermalink





`(i) on which the plant cover is composed principally of native grasses, grasslike plants, forbs, or shrubs suitable for grazing and browsing; andCommentsClose CommentsPermalink





`(ii) that has never been used for production of an agricultural commodity.CommentsClose CommentsPermalink





`(B) INELIGIBILITY- Native sod acreage on which an agricultural commodity is planted for which a policy or plan of Federal crop insurance is available shall be ineligible for benefits under this section.'.CommentsClose CommentsPermalink





(c) Cropland Report-CommentsClose CommentsPermalink





(1) BASELINE- Not later than 180 days after the date of enactment of this Act, the Secretary shall submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report that describes the cropland acreage in each county and State, and the change in cropland acreage from the preceding year in each county and State, beginning with calendar year 1995 and including that information for the most recent year for which that information is available.CommentsClose CommentsPermalink





(2) ANNUAL UPDATES- Not later than January 1, 2008, and each January 1 thereafter through January 1, 2012, the Secretary shall submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report that describes--CommentsClose CommentsPermalink





(A) the cropland acreage in each county and State as of the date of submission of the report; andCommentsClose CommentsPermalink





(B) the change in cropland acreage from the preceding year in each county and State.CommentsClose CommentsPermalink

SEC. 2609. HIGH PLAINS WATER STUDY.

Notwithstanding any other provision of this Act, no person shall become ineligible for any program benefits under this Act or an amendment made by this Act solely as a result of participating in a 1-time study of recharge potential for the Ogallala Aquifer in the High Plains of the State of Texas.CommentsClose CommentsPermalink

SEC. 2610. PAYMENT OF EXPENSES.

Section 17(d) of the Federal Insecticide, Fungicide, and Rodenticide Act (7 U.S.C. 136o(d)) is amended--CommentsClose CommentsPermalink





(1) by striking `The Administrator' and inserting the following:CommentsClose CommentsPermalink





`(1) IN GENERAL- The Administrator'; andCommentsClose CommentsPermalink





(2) by adding at the end the following:CommentsClose CommentsPermalink





`(2) DEPARTMENT OF STATE EXPENSES- Any expenses incurred by an employee of the Environmental Protection Agency who participates in any international technical, economic, or policy review board, committee, or other official body that is meeting in relation to an international treaty shall be paid by the Department of State.'.CommentsClose CommentsPermalink

SEC. 2611. USE OF FUNDS IN BASIN FUNDS FOR SALINITY CONTROL ACTIVITIES UPSTREAM OF IMPERIAL DAM.

(a) In General- Section 202(a) of the Colorado River Basin Salinity Control Act (43 U.S.C. 1592(a)) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(7) BASIN STATES PROGRAM-CommentsClose CommentsPermalink





`(A) IN GENERAL- A Basin States Program that the Secretary, acting through the Bureau of Reclamation, shall implement to carry out salinity control activities in the Colorado River Basin using funds made available under section 205(f).CommentsClose CommentsPermalink





`(B) ASSISTANCE- The Secretary, in consultation with the Colorado River Basin Salinity Control Advisory Council, shall carry out this paragraph using funds described in subparagraph (A) directly or by providing grants, grant commitments, or advance funds to Federal or non-Federal entities under such terms and conditions as the Secretary may require.CommentsClose CommentsPermalink





`(C) ACTIVITIES- Funds described in subparagraph (A) shall be used to carry out, as determined by the Secretary--CommentsClose CommentsPermalink





`(i) cost-effective measures and associated works to reduce salinity from saline springs, leaking wells, irrigation sources, industrial sources, erosion of public and private land, or other sources;CommentsClose CommentsPermalink





`(ii) operation and maintenance of salinity control features constructed under the Colorado River Basin salinity control program; andCommentsClose CommentsPermalink





`(iii) studies, planning, and administration of salinity control activities.CommentsClose CommentsPermalink





`(D) REPORT-CommentsClose CommentsPermalink





`(i) IN GENERAL- Not later than 30 days before implementing the program established under this paragraph, the Secretary shall submit to the appropriate committees of Congress a planning report that describes the proposed implementation of the program.CommentsClose CommentsPermalink





`(ii) IMPLEMENTATION- The Secretary may not expend funds to implement the program established under this paragraph before the expiration of the 30-day period beginning on the date on which the Secretary submits the report, or any revision to the report, under clause (i).'.CommentsClose CommentsPermalink





(b) Conforming Amendments-CommentsClose CommentsPermalink





(1) Section 202 of the Colorado River Basin Salinity Control Act (43 U.S.C. 1592) is amended--CommentsClose CommentsPermalink





(A) in subsection (a), in the matter preceding paragraph (1), by striking `program' and inserting `programs'; andCommentsClose CommentsPermalink





(B) in subsection (b)(4)--CommentsClose CommentsPermalink





(i) by striking `program' and inserting `programs'; andCommentsClose CommentsPermalink





(ii) by striking `and (6)' and inserting `(6), and (7)'.CommentsClose CommentsPermalink





(2) Section 205 of the Colorado River Basin Salinity Control Act (43 U.S.C. 1595) is amended by striking subsection (f) and inserting the following:CommentsClose CommentsPermalink





`(f) Upfront Cost Share-CommentsClose CommentsPermalink





`(1) IN GENERAL- Effective beginning on the date of enactment of this paragraph, subject to paragraph (3), the cost share obligations required by this section shall be met through an upfront cost share from the Basin Funds, in the same proportions as the cost allocations required under subsection (a), as provided in paragraph (2).CommentsClose CommentsPermalink





`(2) BASIN STATES PROGRAM- The Secretary shall expend the required cost share funds described in paragraph (1) through the Basin States Program for salinity control activities established under section 202(a)(7).CommentsClose CommentsPermalink





`(3) EXISTING SALINITY CONTROL ACTIVITIES- The cost share contribution required by this section shall continue to be met through repayment in a manner consistent with this section for all salinity control activities for which repayment was commenced prior to the date of enactment of this paragraph.'.CommentsClose CommentsPermalink

SEC. 2612. GREAT LAKES COMMISSION.

(a) In General- The Secretary, in consultation with the Great Lakes Commission created by article IV of the Great Lakes Basin Compact (Public Law 90-419; 82 Stat. 415), and in cooperation with the Administrator of the Environmental Protection Agency and the Secretary of the Army, may carry out the Great Lakes basin program for soil erosion and sediment control (referred to in this section as the `program') to assist in implementing the recommendations of the Great Lakes Regional Collaboration Strategy to Restore and Protect the Great Lakes.CommentsClose CommentsPermalink





(b) Assistance- In carrying out the program, the Secretary may--CommentsClose CommentsPermalink





(1) provide project demonstration grants, provide technical assistance, and carry out information and education programs to improve water quality in the Great Lakes basin by reducing soil erosion and improving sediment control; andCommentsClose CommentsPermalink





(2) provide a priority for projects and activities that--CommentsClose CommentsPermalink





(A) directly reduce soil erosion or improve sediment control;CommentsClose CommentsPermalink





(B) reduce soil loss in degraded rural watersheds; orCommentsClose CommentsPermalink





(C) improve hydrologic conditions in urban watersheds.CommentsClose CommentsPermalink





(c) Authorization of Appropriations- There is authorized to be appropriated to carry out this section $5,000,000 for each of fiscal years 2007 through 2012.CommentsClose CommentsPermalink

SEC. 2613. TECHNICAL CORRECTIONS TO THE FEDERAL INSECTICIDE, FUNGICIDE, AND RODENTICIDE ACT.

(a) Pesticide Registration Service Fees- Section 33 of the Federal Insecticide, Fungicide, and Rodenticide Act (7 U.S.C. 136w-8) is amended--CommentsClose CommentsPermalink





(1) in subsection (b)(7)--CommentsClose CommentsPermalink





(A) in subparagraph (D)--CommentsClose CommentsPermalink





(i) by striking clause (i) and inserting the following:CommentsClose CommentsPermalink





`(i) IN GENERAL- The Administrator may exempt from, or waive a portion of, the registration service fee for an application for minor uses for a pesticide.'; andCommentsClose CommentsPermalink





(ii) in clause (ii), by inserting `or exemption' after `waiver'; andCommentsClose CommentsPermalink





(B) in subparagraph (E)--CommentsClose CommentsPermalink





(i) in the paragraph heading, by striking `WAIVER' and inserting `EXEMPTION';CommentsClose CommentsPermalink





(ii) by striking `waive the registration service fee for an application' and inserting `exempt an application from the registration service fee'; andCommentsClose CommentsPermalink





(iii) in clause (ii), by striking `waiver' and inserting `exemption'; andCommentsClose CommentsPermalink





(2) in subsection (m)(2), by striking `2008' each place it appears and inserting `2012'.CommentsClose CommentsPermalink





(b) Effective Date- The amendments made by subsection (a) take effect on October 1, 2007.CommentsClose CommentsPermalink

TITLE III--TRADE

Subtitle A--Food for Peace Act

SEC. 3001. SHORT TITLE.

(a) In General- Section 1 of the Agricultural Trade Development and Assistance Act of 1954 (7 U.S.C. 1691 note; 104 Stat. 3633) is amended by striking `Agricultural Trade Development and Assistance Act of 1954' and inserting `Food for Peace Act'.CommentsClose CommentsPermalink





(b) Conforming Amendments-CommentsClose CommentsPermalink





(1) IN GENERAL- Each provision of law described in paragraph (2) is amended--CommentsClose CommentsPermalink





(A) by striking `Agricultural Trade Development and Assistance Act of 1954' each place it appears and inserting `Food for Peace Act'; andCommentsClose CommentsPermalink





(B) in each section heading, by striking `agricultural trade development and assistance act of 1954' each place it appears and inserting `food for peace act'.CommentsClose CommentsPermalink





(2) PROVISIONS OF LAW- The provisions of law referred to in paragraph (1) are the following:CommentsClose CommentsPermalink





(A) The Agriculture and Food Act of 1981 (Public Law 97-98; 95 Stat. 1213).CommentsClose CommentsPermalink





(B) The Agricultural Act of 1949 (7 U.S.C. 1421 et seq.).CommentsClose CommentsPermalink





(C) Section 9(a) of the Military Construction Codification Act (7 U.S.C. 1704c).CommentsClose CommentsPermalink





(D) Section 201 of the Africa: Seeds of Hope Act of 1998 (7 U.S.C. 1721 note; Public Law 105-385).CommentsClose CommentsPermalink





(E) The Bill Emerson Humanitarian Trust Act (7 U.S.C. 1736f-1 et seq.).CommentsClose CommentsPermalink





(F) The Food for Progress Act of 1985 (7 U.S.C. 1736o).CommentsClose CommentsPermalink





(G) Section 3107 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 1736o-1).CommentsClose CommentsPermalink





(H) Sections 605B and 606C of the Act of August 28, 1954 (commonly known as the `Agricultural Act of 1954') (7 U.S.C. 1765b, 1766b).CommentsClose CommentsPermalink





(I) Section 206 of the Agricultural Act of 1956 (7 U.S.C. 1856).CommentsClose CommentsPermalink





(J) The Agricultural Competitiveness and Trade Act of 1988 (7 U.S.C. 5201 et seq.).CommentsClose CommentsPermalink





(K) The Agricultural Trade Act of 1978 (7 U.S.C. 5601 et seq.).CommentsClose CommentsPermalink





(L) The Export-Import Bank Act of 1945 (12 U.S.C. 635 et seq.).CommentsClose CommentsPermalink





(M) Section 301 of title 13, United States Code.CommentsClose CommentsPermalink





(N) Section 8 of the Endangered Species Act of 1973 (16 U.S.C. 1537).CommentsClose CommentsPermalink





(O) Section 604 of the Enterprise for the Americas Act of 1992 (22 U.S.C. 2077).CommentsClose CommentsPermalink





(P) Section 5 of the International Health Research Act of 1960 (22 U.S.C. 2103).CommentsClose CommentsPermalink





(Q) The Foreign Assistance Act of 1961 (22 U.S.C. 2151 et seq.).CommentsClose CommentsPermalink





(R) The Horn of Africa Recovery and Food Security Act (22 U.S.C. 2151 note; Public Law 102-274).CommentsClose CommentsPermalink





(S) Section 105 of the Mutual Educational and Cultural Exchange Act of 1961 (22 U.S.C. 2455).CommentsClose CommentsPermalink





(T) Section 35 of the Foreign Military Sales Act (22 U.S.C. 2775).CommentsClose CommentsPermalink





(U) The Support for East European Democracy (SEED) Act of 1989 (22 U.S.C. 5401 et seq.).CommentsClose CommentsPermalink





(V) Section 1707 of the Cuban Democracy Act of 1992 (22 U.S.C. 6006).CommentsClose CommentsPermalink





(W) The Cuban Liberty and Democratic Solidarity (LIBERTAD) Act of 1996 (22 U.S.C. 6021 et seq.).CommentsClose CommentsPermalink





(X) Section 902 of the Trade Sanctions Reform and Export Enhancement Act of 2000 (22 U.S.C. 7201).CommentsClose CommentsPermalink





(Y) Chapter 553 of title 46, United State Code.CommentsClose CommentsPermalink





(Z) Section 4 of the Strategic and Critical Materials Stock Piling Act (50 U.S.C. 98c).CommentsClose CommentsPermalink





(AA) The Food, Agriculture, Conservation, and Trade Act of 1990 (Public Law 101-624; 104 Stat. 3359).CommentsClose CommentsPermalink





(BB) Section 738 of the Agriculture, Rural Development, Food and Drug Administration, and Related Agencies Appropriations Act, 2001 (Public Law 106-387; 114 Stat. 1549A-34).CommentsClose CommentsPermalink





(c) References- Any reference in any Federal, State, tribal, or local law (including regulations) to the `Agricultural Trade Development and Assistance Act of 1954' shall be considered to be a reference to the `Food for Peace Act'.CommentsClose CommentsPermalink

SEC. 3002. UNITED STATES POLICY.

Section 2 of the Food for Peace Act (7 U.S.C. 1691) is amended--CommentsClose CommentsPermalink





(1) by striking paragraph (4); andCommentsClose CommentsPermalink





(2) by redesignating paragraphs (5) and (6) as paragraphs (4) and (5), respectively.CommentsClose CommentsPermalink

SEC. 3003. FOOD AID TO DEVELOPING COUNTRIES.

Section 3(b) of the Food for Peace Act (7 U.S.C. 1691a(b)) is amended by striking `(b)' and all that follows through paragraph (1) and inserting the following:CommentsClose CommentsPermalink





`(b) Sense of Congress- It is the sense of Congress that--CommentsClose CommentsPermalink





`(1) in negotiations with other countries at the Food Aid Convention, the World Trade Organization, the United Nations Food and Agriculture Organization, and other appropriate venues, the President shall--CommentsClose CommentsPermalink





`(A) seek commitments of higher levels of food aid by donors in order to meet the legitimate needs of developing countries;CommentsClose CommentsPermalink





`(B) ensure, to the maximum extent practicable, that humanitarian nongovernmental organizations, recipient country governments, charitable bodies, and international organizations shall continue--CommentsClose CommentsPermalink





`(i) to be eligible to receive resources based on assessments of need conducted by those organizations and entities; andCommentsClose CommentsPermalink





`(ii) to implement food aid programs in agreements with donor countries; andCommentsClose CommentsPermalink





`(C) ensure, to the maximum extent practicable, that options for providing food aid for emergency and nonemergency, or chronic, needs shall not be subject to limitation, including in-kind commodities, provision of funds for commodity procurement, and monetization of commodities, on the condition that the provision of those commodities or funds--CommentsClose CommentsPermalink





`(i) is based on assessments of need and intended to benefit the food security of or otherwise assist recipients, andCommentsClose CommentsPermalink





`(ii) is provided in a manner that avoids disincentives to local agricultural production and marketing and with minimal potential for disruption of commercial markets; and'.CommentsClose CommentsPermalink

SEC. 3004. TRADE AND DEVELOPMENT ASSISTANCE.

(a) Title I of the Food for Peace Act (7 U.S.C. 1701 et seq.) is amended in the title heading, by striking `TRADE AND DEVELOPMENT ASSISTANCE' and inserting `ECONOMIC ASSISTANCE AND FOOD SECURITY'.CommentsClose CommentsPermalink





(b) Section 101 of the Food for Peace Act (7 U.S.C. 1701) is amended in the section heading, by striking `trade and development assistance' and inserting `economic assistance and food security'.CommentsClose CommentsPermalink

SEC. 3005. AGREEMENTS REGARDING ELIGIBLE COUNTRIES AND PRIVATE ENTITIES.

Section 102 of the Food for Peace Act (7 U.S.C. 1702) is amended--CommentsClose CommentsPermalink





(1) in subsection (a)--CommentsClose CommentsPermalink





(A) by striking paragraph (1); andCommentsClose CommentsPermalink





(B) by redesignating paragraphs (2) and (3) as paragraphs (1) and (2), respectively; andCommentsClose CommentsPermalink





(2) by striking subsection (c).CommentsClose CommentsPermalink

SEC. 3006. USE OF LOCAL CURRENCY PAYMENTS.

Section 104(c) of the Food for Peace Act (7 U.S.C. 1704(c)) is amended--CommentsClose CommentsPermalink





(1) in the matter preceding paragraph (1), by inserting `, through agreements with recipient governments, private voluntary organizations, and cooperatives,' after `developing country';CommentsClose CommentsPermalink





(2) in paragraph (2)--CommentsClose CommentsPermalink





(A) in subparagraph (C), by striking `and' at the end;CommentsClose CommentsPermalink





(B) in subparagraph (D), by striking the period at the end and inserting `; and'; andCommentsClose CommentsPermalink





(C) by adding at the end the following:CommentsClose CommentsPermalink





`(E) the improvement of the trade capacity of the recipient country.';CommentsClose CommentsPermalink





(3) by striking paragraphs (1), (3), (4), (5), and (6); andCommentsClose CommentsPermalink





(4) by redesignating paragraphs (2), (7), (8), and (9) as paragraphs (1), (2), (3), and (4), respectively.CommentsClose CommentsPermalink

SEC. 3007. GENERAL AUTHORITY.

Section 201 of the Food for Peace Act (7 U.S.C. 1721) is amended--CommentsClose CommentsPermalink





(1) by striking paragraph (1) and inserting the following:CommentsClose CommentsPermalink





`(1) address famine and respond to emergency food needs arising from man-made and natural disasters;';CommentsClose CommentsPermalink





(2) in paragraph (5), by inserting `food security and support' after `promote'; andCommentsClose CommentsPermalink





(3) by striking paragraph (6) and inserting the following:CommentsClose CommentsPermalink





`(6) protect livelihoods, provide safety nets for food insecure populations, and encourage participation in educational, training, and other productive activities.'.CommentsClose CommentsPermalink

SEC. 3008. PROVISION OF AGRICULTURAL COMMODITIES.

Section 202 of the Food for Peace Act (7 U.S.C. 1722) is amended--CommentsClose CommentsPermalink





(1) in subsection (b)(2), by striking `may not deny a request for funds' and inserting `may not use as a sole rationale for denying a request for funds';CommentsClose CommentsPermalink





(2) in subsection (e)(1)--CommentsClose CommentsPermalink





(A) in the matter preceding subparagraph (A)--CommentsClose CommentsPermalink





(i) by striking `Of the funds made available in' and inserting `Of the total amount of funds made available from all sources for'; andCommentsClose CommentsPermalink





(ii) by striking `not less than 5 percent nor more than 10 percent' and inserting `not less than 7.5 percent';CommentsClose CommentsPermalink





(B) in subparagraph (A), by striking `and' at the end;CommentsClose CommentsPermalink





(C) by striking subparagraph (B) and inserting the following:CommentsClose CommentsPermalink





`(B) meeting specific administrative, management, personnel, programmatic, and operational activities, and internal transportation and distribution costs for carrying out new and existing programs in foreign countries under this title; and'CommentsClose CommentsPermalink





(D) by adding at the end the following:CommentsClose CommentsPermalink





`(C) improving and implementing methodologies for food aid programs, including needs assessments, monitoring, and evaluation.'; andCommentsClose CommentsPermalink





(3) by striking subsection (h) and inserting the following:CommentsClose CommentsPermalink





`(h) Food Aid Quality-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Administrator shall use funds made available for fiscal year 2008 and subsequent fiscal years to carry out this title--CommentsClose CommentsPermalink





`(A) to assess the types and quality of agricultural commodities and products donated for food aid;CommentsClose CommentsPermalink





`(B) to adjust products and formulations as necessary to cost-effectively meet nutrient needs of target populations; andCommentsClose CommentsPermalink





`(C) to pretest prototypes.CommentsClose CommentsPermalink





`(2) ADMINISTRATION- The Administrator--CommentsClose CommentsPermalink





`(A) shall carry out this subsection in consultation with and through an independent entity with proven impartial expertise in food aid commodity quality enhancements;CommentsClose CommentsPermalink





`(B) may enter into contracts to obtain the services of such an entity; andCommentsClose CommentsPermalink





`(C) shall consult with the Food Aid Consultative Group on how to carry out this subsection.CommentsClose CommentsPermalink





`(3) REPORTS- The Administrator shall submit to the Committees on Agriculture and Foreign Affairs of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate--CommentsClose CommentsPermalink





`(A) a report that describes the activities of the Administrator in carrying out paragraph (1) for fiscal year 2008; andCommentsClose CommentsPermalink





`(B) an annual report that describes the progress of the Administrator in addressing food aid quality issues.'.CommentsClose CommentsPermalink

SEC. 3009. MICROENTERPRISE ACTIVITIES.

Section 203(d)(2) of the Food for Peace Act (7 U.S.C.1723(d)(2)) is amended by inserting `, including activities involving microenterprise and village banking,' after `other developmental activities'.CommentsClose CommentsPermalink

SEC. 3010. LEVELS OF ASSISTANCE.

Section 204(a)(1) of the Food for Peace Act (7 U.S.C. 1724(a)(1)) is amended by striking `2007' and inserting `2012'.CommentsClose CommentsPermalink

SEC. 3011. FOOD AID CONSULTATIVE GROUP.

Section 205 of the Food for Peace Act (7 U.S.C. 1725) is amended--CommentsClose CommentsPermalink





(1) in subsection (b)--CommentsClose CommentsPermalink





(A) in paragraph (5), by striking `and' at the end;CommentsClose CommentsPermalink





(B) in paragraph (6), by striking the period and inserting `; and'; andCommentsClose CommentsPermalink





(C) by inserting at the end the following:CommentsClose CommentsPermalink





`(7) representatives from the maritime transportation sector involved in transporting agricultural commodities overseas for programs under this Act.';CommentsClose CommentsPermalink





(2) in subsection (d)--CommentsClose CommentsPermalink





(A) by striking `In preparing' and inserting the following:CommentsClose CommentsPermalink





`(1) IN GENERAL- In preparing';CommentsClose CommentsPermalink





(B) by striking `The Administrator' and inserting the following:CommentsClose CommentsPermalink





`(2) BIANNUAL CONSULTATION- The Administrator'; andCommentsClose CommentsPermalink





(C) by adding at the end the following:CommentsClose CommentsPermalink





`(3) CONSULTATION FOR DRAFT REGULATIONS- In addition to the meetings required under paragraph (2), the Administrator shall consult and meet with the Group--CommentsClose CommentsPermalink





`(A) before issuing the draft regulations to carry out the program described in section 209; andCommentsClose CommentsPermalink





`(B) during the public comment period relating to those draft regulations.'; andCommentsClose CommentsPermalink





(3) in subsection (f), by striking `2007' and inserting `2012'.CommentsClose CommentsPermalink

SEC. 3012. ADMINISTRATION.

Section 207 of the Food for Peace Act (7 U.S.C. 1726a) is amended--CommentsClose CommentsPermalink





(1) in subsection (a)(3), by striking `must be met for the approval of such proposal' and inserting `should be considered for a proposal in a future fiscal year';CommentsClose CommentsPermalink





(2) in subsection (c), by striking paragraph (3);CommentsClose CommentsPermalink





(3) by striking subsection (d) and inserting the following:CommentsClose CommentsPermalink





`(d) Timely Provision of Commodities- The Administrator, in consultation with the Secretary, shall develop procedures that ensure expedited processing of commodity call forwards in order to provide commodities overseas in a timely manner and to the extent feasible, according to planned delivery schedules.';CommentsClose CommentsPermalink





(4) in subsection (e)(2), by striking `December 1' and inserting `June 1'; andCommentsClose CommentsPermalink





(5) by adding at the end the following:CommentsClose CommentsPermalink





`(f) Program Oversight-CommentsClose CommentsPermalink





`(1) IN GENERAL- Funds made available to carry out this title may be used to pay the expenses of the United States Agency for International Development associated with program monitoring, evaluation, assessments, food aid data collection, and food aid information management and commodity reporting systems.CommentsClose CommentsPermalink





`(2) CONTRACT AUTHORITY-CommentsClose CommentsPermalink





`(A) IN GENERAL- Subject to subparagraphs (B) and (C) and notwithstanding any other provision of law, in carrying out administrative and management activities related to the implementation of programs under this title, the Administrator may contract with 1 or more individuals for personal service to be performed in recipient countries or neighboring countries.CommentsClose CommentsPermalink





`(B) PROHIBITION- Individuals contracting with the Administrator under subparagraph (A) shall not be considered to be employees of the United States Government for the purpose of any law administered by the Office of Personnel Management.CommentsClose CommentsPermalink





`(C) PERSONAL SERVICE- Subparagraph (A) does not limit the ability of the Administrator to contract with individuals for personal service under section 202(a).CommentsClose CommentsPermalink





`(g) Indirect Support Costs to the World Food Program of the United Nations-CommentsClose CommentsPermalink





`(1) IN GENERAL- Notwithstanding any other provision of law, in providing assistance under this title, the Administrator may make contributions to the World Food Program of the United Nations to the extent that the contributions are made in accordance with the rules and regulations of that program for indirect cost rates.CommentsClose CommentsPermalink





`(2) REPORT- The Administrator shall submit the Committees on Agriculture and Foreign Affairs of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate an annual report on the level of the contribution and the reasons for the level.CommentsClose CommentsPermalink





`(h) Indirect Support Costs to Cooperating Sponsors- Notwithstanding any other provision of law, the Administrator may pay to a private voluntary organization or cooperative indirect costs associated with any funds received or generated for programs, costs, or activities under this title, on the condition that the indirect costs are consistent with Office of Management and Budget cost principles.CommentsClose CommentsPermalink





`(i) Project Reporting-CommentsClose CommentsPermalink





`(1) IN GENERAL- In submitting project reports to the Administrator, a private voluntary organization or cooperative shall provide a copy of the report in such form as is necessary for the report to be displayed for public use on the website of the United States Agency for International Development.CommentsClose CommentsPermalink





`(2) CONFIDENTIAL INFORMATION- An organization or cooperative described in paragraph (1) may omit any confidential information from the copy of the report submitted for public display under that paragraph.'.CommentsClose CommentsPermalink

SEC. 3013. ASSISTANCE FOR STOCKPILING AND RAPID TRANSPORTATION, DELIVERY, AND DISTRIBUTION OF SHELF-STABLE PREPACKAGED FOODS.

Section 208(f) of the Food for Peace Act (7 U.S.C. 1726b(f)) is amended--CommentsClose CommentsPermalink





(1) by striking `$3,000,000' and inserting `$8,000,000'; andCommentsClose CommentsPermalink





(2) by striking `2007' and inserting `2012'.CommentsClose CommentsPermalink

SEC. 3014. PILOT PROGRAM FOR LOCAL PURCHASE.

Title II of the Food for Peace Act (7 U.S.C. 1721 et seq.) is amended by adding at the end the following:CommentsClose CommentsPermalink

`SEC. 209. PILOT PROGRAM FOR LOCAL PURCHASE.

`(a) Definitions- In this section:CommentsClose CommentsPermalink





`(1) ELIGIBLE COMMODITY- Notwithstanding section 402(2), the term `eligible commodity' means an agricultural commodity, or the product of an agricultural commodity, that is produced in--CommentsClose CommentsPermalink





`(A) the recipient country;CommentsClose CommentsPermalink





`(B) a low-income, developing country near the recipient country; orCommentsClose CommentsPermalink





`(C) Africa.CommentsClose CommentsPermalink





`(2) ELIGIBLE ORGANIZATION- The term `eligible organization' means--CommentsClose CommentsPermalink





`(A) an organization that is--CommentsClose CommentsPermalink





`(i) described in section 202(d); andCommentsClose CommentsPermalink





`(ii) subject to guidelines promulgated to carry out this section, including United States audit requirements that are applicable to non-governmental organizations; orCommentsClose CommentsPermalink





`(B) an intergovernmental organization, if the organization agrees to be subject to all requirements of this section, including any regulations promulgated or guidelines issued by the Administrator to carry out this section.CommentsClose CommentsPermalink





`(3) PILOT PROGRAM- The term `pilot program' means the pilot program established under subsection (b).CommentsClose CommentsPermalink





`(b) Establishment- Notwithstanding section 407(c)(1)(A), the Administrator, in consultation with the Secretary, shall establish a field-based pilot program for local and regional purchases of eligible commodities in accordance with this section.CommentsClose CommentsPermalink





`(c) Purposes- Eligible commodities under the pilot program shall be used solely--CommentsClose CommentsPermalink





`(1) to address severe food shortages caused by sudden events, including--CommentsClose CommentsPermalink





`(A) earthquakes, floods, and other unforeseen crises; orCommentsClose CommentsPermalink





`(B) human-made crises, such as conflicts;CommentsClose CommentsPermalink





`(2) to prevent or anticipate increasing food scarcity as the result of slow-onset events, such as drought, crop failures, pests, economic shocks, and diseases that result in an erosion of the capacity of communities and vulnerable populations to meet food needs;CommentsClose CommentsPermalink





`(3) to address recovery, resettlement, and reconstruction following 1 or more disasters or emergencies described in paragraph (1) or (2); andCommentsClose CommentsPermalink





`(4) to protect and improve livelihoods and food security, provide safety nets for food insecure or undernourished populations, and encourage participation in education and other productive activities.CommentsClose CommentsPermalink





`(d) Procurement- Subject to subsections (a), (b), (f), and (h) of section 403, eligible commodities under the pilot program shall for emergency situations be procured through the most effective 1 or more approaches or methodologies that are likely to expedite the provision of food aid to affected populations.CommentsClose CommentsPermalink





`(e) Review of Prior Local Cash Purchase Experience-CommentsClose CommentsPermalink





`(1) IN GENERAL- Not later than 30 days after the date of enactment of this section, the Administrator shall initiate the process to commission an external review of local cash purchase projects conducted before the date of enactment of this section by other donor countries, private voluntary organizations, and the World Food Program of the United Nations.CommentsClose CommentsPermalink





`(2) USE OF REVIEW- The Administrator shall use the results of the review to develop--CommentsClose CommentsPermalink





`(A) proposed guidelines under subsection (j); andCommentsClose CommentsPermalink





`(B) requests for applications under subsection (f).CommentsClose CommentsPermalink





`(3) REPORT- Not later than 270 days after the date of enactment of this section, the Administrator shall submit to the Committees on Agriculture and Foreign Affairs of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report containing the results of the review.CommentsClose CommentsPermalink





`(f) Grants to Eligible Organizations-CommentsClose CommentsPermalink





`(1) IN GENERAL- After the promulgation of final guidelines under subsection (j), the Administrator may seek applications from and provide grants to eligible organizations to carry out the pilot program.CommentsClose CommentsPermalink





`(2) COMPLETION REQUIREMENT- As a condition of receiving a grant under the pilot program, an eligible organization shall agree--CommentsClose CommentsPermalink





`(A) to complete all projects funded through the grant not later than September 30, 2011; andCommentsClose CommentsPermalink





`(B) to provide information about the results of the project in accordance with subsection (i).CommentsClose CommentsPermalink





`(3) OTHER REQUIREMENTS- Other requirements for submission of proposals for consideration under this title shall apply to the submission of an application for a grant under this section.CommentsClose CommentsPermalink





`(g) Project Diversity- In selecting projects to fund under the pilot program, the Administrator shall select a diversity of projects, including--CommentsClose CommentsPermalink





`(1) at least 1 project for each of the situations described in subsection (c);CommentsClose CommentsPermalink





`(2) at least 1 project carried out jointly with a project using agricultural commodities produced in the United States under this title;CommentsClose CommentsPermalink





`(3) at least 1 project carried out jointly with a project funded through grassroots efforts by agricultural producers through eligible United States organizations;CommentsClose CommentsPermalink





`(4) projects in both food surplus and food deficit regions, using regional procurement for food deficit regions; andCommentsClose CommentsPermalink





`(5) projects in diverse geographical regions, with most, but not all, projects located in Africa.CommentsClose CommentsPermalink





`(h) Information Required in Applications- In submitting an application under this section, an eligible organization shall--CommentsClose CommentsPermalink





`(1) request funding for up to 3 years; andCommentsClose CommentsPermalink





`(2) include in the application--CommentsClose CommentsPermalink





`(A) a description of the target population through a needs assessment and sufficient information to demonstrate that the situation is a situation described in subsection (c);CommentsClose CommentsPermalink





`(B) an assurance that the local or regional procurement--CommentsClose CommentsPermalink





`(i) is likely to expedite the provision of food aid to the affected population; andCommentsClose CommentsPermalink





`(ii) would meet the requirements of subsection (d);CommentsClose CommentsPermalink





`(C) a description of--CommentsClose CommentsPermalink





`(i) the quantities and types of eligible commodities that would be procured;CommentsClose CommentsPermalink





`(ii) the rationale for selecting those eligible commodities; andCommentsClose CommentsPermalink





`(iii) how the eligible commodities could be procured and delivered in a timely manner;CommentsClose CommentsPermalink





`(D) an analysis of the potential impact of the purchase of eligible commodities on the production, pricing, and marketing of the same and similar agricultural commodities in the country and localities in which the purchase will take place;CommentsClose CommentsPermalink





`(E) a description of food quality and safety assurance measures; andCommentsClose CommentsPermalink





`(F) a monitoring and evaluation plan that ensures collection of sufficient data--CommentsClose CommentsPermalink





`(i) to determine the full cost of procurement, delivery, and administration;CommentsClose CommentsPermalink





`(ii) to report on the agricultural production, marketing, and price impact of the local or regional purchases, including the impact on low-income consumers; andCommentsClose CommentsPermalink





`(iii) to provide sufficient information to support the completion of the report described in subsection (i).CommentsClose CommentsPermalink





`(i) Independent Evaluation and Report-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Administrator shall--CommentsClose CommentsPermalink





`(A) arrange for an independent evaluation of the pilot program; andCommentsClose CommentsPermalink





`(B) provide access to all records and reports for the completion of the evaluation.CommentsClose CommentsPermalink





`(2) REPORT- Not later than 4 years after the date of enactment of this section, the Administrator shall submit to the Committees on Agriculture and Foreign Affairs of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report that--CommentsClose CommentsPermalink





`(A) includes the analysis and findings of the independent evaluation;CommentsClose CommentsPermalink





`(B) assesses whether the requirements of this section have been met;CommentsClose CommentsPermalink





`(C) describes for each of the relevant markets in which the commodities were purchased--CommentsClose CommentsPermalink





`(i) prevailing and historic supply, demand, and price movements;CommentsClose CommentsPermalink





`(ii) impact on producer and consumer prices;CommentsClose CommentsPermalink





`(iii) government market interferences and other donor activities that may have affected the supply and demand in the area in which the local or regional purchase took place; andCommentsClose CommentsPermalink





`(iv) the quantities and types of eligible commodities procured in each market, the time frame for procurement, and the complete costs of the procurement (including procurement, storage, handling, transportation, and administrative costs);CommentsClose CommentsPermalink





`(D) assesses the impact of different methodologies and approaches on local and regional agricultural producers (including large and small producers), markets, low-income consumers, and program recipients;CommentsClose CommentsPermalink





`(E) assesses the time elapsed from initiation of the procurement process to delivery;CommentsClose CommentsPermalink





`(F) compares different methodologies used in terms of--CommentsClose CommentsPermalink





`(i) the benefits to local agriculture;CommentsClose CommentsPermalink





`(ii) the impact on markets and consumers;CommentsClose CommentsPermalink





`(iii) the time for procurement and delivery;CommentsClose CommentsPermalink





`(iv) quality and safety assurances; andCommentsClose CommentsPermalink





`(v) implementation costs; andCommentsClose CommentsPermalink





`(G) to the extent adequate information is available, includes a comparison of the different methodologies used by other donors to make local and regional purchases, including purchases conducted through the World Food Program of the United Nations.CommentsClose CommentsPermalink





`(j) Guidelines- Prior to approving projects or the procurement of eligible commodities under this section, not later than 1 year after the date of enactment of this section, the Administrator shall issue guidelines to carry out this section.CommentsClose CommentsPermalink





`(k) Authorization of Appropriations-CommentsClose CommentsPermalink





`(1) IN GENERAL- Subject to paragraph (2), for each of fiscal years 2008 through 2011, the Administrator may use to carry out this section not more than $25,000,000 of funds made available to carry out this title, to remain available until expended.CommentsClose CommentsPermalink





`(2) LIMITATION- No funds may be made available to carry out the pilot program unless the minimum tonnage requirements of section 204(a) are met.'.CommentsClose CommentsPermalink

SEC. 3015. GENERAL AUTHORITIES AND REQUIREMENTS.

(a) In General- Section 401 of the Food for Peace Act (7 U.S.C. 1731) is amended--CommentsClose CommentsPermalink





(1) by striking subsection (a);CommentsClose CommentsPermalink





(2) redesignating subsections (b) and (c) as subsections (a) and (b), respectively; andCommentsClose CommentsPermalink





(3) in subsection (b) (as so redesignated), by striking `(b)(1)' and inserting `(a)(1)'.CommentsClose CommentsPermalink





(b) Conforming Amendments-CommentsClose CommentsPermalink





(1) Section 406(a) of the Food for Peace Act (7 U.S.C. 1736(a)) is amended by striking `(that have been determined to be available under section 401(a))'.CommentsClose CommentsPermalink





(2) Subsection (e)(1) of the Food for Progress Act of 1985 (7 U.S.C. 1736o(e)(1)) is amended by striking `determined to be available under section 401 of the Food for Peace Act'.CommentsClose CommentsPermalink

SEC. 3016. USE OF COMMODITY CREDIT CORPORATION.

Section 406(b)(2) of the Food for Peace Act (7 U.S.C. 1736(b)(2)) is amended by inserting `, including the costs of carrying out section 415' before the semicolon.CommentsClose CommentsPermalink

SEC. 3017. ADMINISTRATIVE PROVISIONS.

Section 407 of the Food for Peace Act (7 U.S.C. 1736a) is amended--CommentsClose CommentsPermalink





(1) in subsection (c)(4)--CommentsClose CommentsPermalink





(A) by striking `2007' and inserting `2012';CommentsClose CommentsPermalink





(B) by striking `$2,000,000' and inserting `$4,000,000'; andCommentsClose CommentsPermalink





(C) by adding at the end the following:CommentsClose CommentsPermalink





`(5) NONEMERGENCY OR MULTIYEAR AGREEMENTS- Annual resource requests for ongoing nonemergency or multiyear agreements under title II shall be finalized not later than October 1 of the fiscal year in which the agricultural commodities will be shipped under the agreement.'; andCommentsClose CommentsPermalink





(2) in subsection (f)--CommentsClose CommentsPermalink





(A) in paragraph (2)--CommentsClose CommentsPermalink





(i) in subparagraph (B), by inserting `, and the amount of funds, tonnage levels, and types of activities for nonemergency programs under title II' before the semicolon;CommentsClose CommentsPermalink





(ii) in subparagraph (C), by inserting `, and a general description of the projects and activities implemented' before the semicolon; andCommentsClose CommentsPermalink





(iii) in subparagraph (D), by striking `achieving food security' and inserting `reducing food insecurity'; andCommentsClose CommentsPermalink





(B) in paragraph (3)--CommentsClose CommentsPermalink





(i) by striking `shall submit' and inserting the following: `shall--CommentsClose CommentsPermalink





`(A) submit';CommentsClose CommentsPermalink





(ii) by striking `January 15' and inserting `April 1'; andCommentsClose CommentsPermalink





(iii) by striking `of the Senate.' and inserting the following: `of the Senate; andCommentsClose CommentsPermalink





`(B) make the reports available to the public by electronic and other means.'.CommentsClose CommentsPermalink

SEC. 3018. EXPIRATION DATE.

Section 408 of the Food for Peace Act (7 U.S.C. 1736b) is amended by striking `2007' and inserting `2012'.CommentsClose CommentsPermalink

SEC. 3019. AUTHORIZATION OF APPROPRIATIONS.

Section 412 of the Food for Peace Act (7 U.S.C. 1736f) is amended by striking subsection (b) and inserting the following:CommentsClose CommentsPermalink





`(b) Minimum Level of Nonemergency Food Assistance- For each of fiscal years 2008 through 2012, of the amounts made available to carry out emergency and nonemergency food assistance programs under title II, not less than $600,000,000 for each of those fiscal years shall be obligated and expended for nonemergency food assistance programs under title II.'.CommentsClose CommentsPermalink

SEC. 3020. MICRONUTRIENT FORTIFICATION PROGRAMS.

Section 415 of the Food for Peace Act (7 U.S.C. 1736g-2) is amended--CommentsClose CommentsPermalink





(1) in subsection (a)--CommentsClose CommentsPermalink





(A) in paragraph (1), by striking `Not later than September 30, 2003, the Administrator, in consultation with the Secretary' and inserting `Not later than September 30, 2008, the Secretary, in consultation with the Administrator'; andCommentsClose CommentsPermalink





(B) in paragraph (2)--CommentsClose CommentsPermalink





(i) in subparagraph (A), by adding `and' after the semicolon at the end; andCommentsClose CommentsPermalink





(ii) by striking subparagraphs (B) and (C) and inserting the following:CommentsClose CommentsPermalink





`(B) assess and apply technologies and systems to improve and ensure the quality, shelf life, bioavailability, and safety of fortified food aid agricultural commodities, and products of those agricultural commodities, that are provided to developing countries, using recommendations included in the report entitled `Micronutrient Compliance Review of Fortified Public Law 480 Commodities', published in October 2001, with implementation by an independent entity with proven impartial experience and expertise in food aid commodity quality enhancements.';CommentsClose CommentsPermalink





(2) by striking subsection (b) and redesignating subsections (c) and (d) as subsections (b) and (c), respectively; andCommentsClose CommentsPermalink





(3) in subsection (c) (as redesignated by paragraph (2), by striking `2007' and inserting `2012'.CommentsClose CommentsPermalink

SEC. 3021. GERMPLASM CONSERVATION.

Title IV of the Food for Peace Act (7 U.S.C. 1731 et seq.) is amended by adding at the end the following:CommentsClose CommentsPermalink

`SEC. 417. GERMPLASM CONSERVATION.

`(a) Contribution- The Administrator of the United States Agency for International Development shall contribute funds to endow the Global Crop Diversity Trust (referred to in this section as the `Trust') to assist in the conservation of genetic diversity in food crops through the collection and storage of the germplasm of food crops in a manner that provides for--CommentsClose CommentsPermalink





`(1) the maintenance and storage of seed collections;CommentsClose CommentsPermalink





`(2) the documentation and cataloguing of the genetics and characteristics of conserved seeds to ensure efficient reference for researchers, plant breeders, and the public;CommentsClose CommentsPermalink





`(3) building the capacity of seed collection in developing countries;CommentsClose CommentsPermalink





`(4) making information regarding crop genetic data publicly available for researchers, plant breeders, and the public (including through the provision of an accessible Internet website);CommentsClose CommentsPermalink





`(5) the operation and maintenance of a back-up facility in which are stored duplicate samples of seeds, in the case of natural or man-made disasters; andCommentsClose CommentsPermalink





`(6) oversight designed to ensure international coordination of those actions and efficient, public accessibility to that diversity through a cost-effective system.CommentsClose CommentsPermalink





`(b) United States Contribution Limit- The aggregate contributions of funds of the Federal Government provided to the Trust shall not exceed 25 percent of the total of the funds contributed to the Trust from all sources.CommentsClose CommentsPermalink





`(c) Authorization of Appropriations- There is authorized to be appropriated to carry out this section $60,000,000 for the period of fiscal years 2008 through 2012.'.CommentsClose CommentsPermalink

SEC. 3022. JOHN OGONOWSKI AND DOUG BEREUTER FARMER-TO-FARMER PROGRAM.

Section 501 of the Food for Peace Act (7 U.S.C. 1737) is amended by striking `2007' each place it appears and inserting `2012'.CommentsClose CommentsPermalink

Subtitle B--Agricultural Trade Act of 1978 and Related Statutes

SEC. 3101. NONGOVERNMENTAL ORGANIZATION PARTICIPATION IN THE RESOLUTION OF TRADE DISPUTES.

Section 104 of the Agricultural Trade Act of 1978 (7 U.S.C. 5604) is amended--CommentsClose CommentsPermalink





(1) by striking `The Secretary shall' and inserting the following:CommentsClose CommentsPermalink





`(a) In General- The Secretary shall'; andCommentsClose CommentsPermalink





(2) by adding at the end the following:CommentsClose CommentsPermalink





`(b) Nongovernmental Organization Participation in the Resolution of Trade Disputes- The Secretary shall permit United States nongovernmental organizations to participate as part of the United States delegation attending formal sessions of dispute resolution panels involving United States agriculture under the auspices of the World Trade Organization if--CommentsClose CommentsPermalink





`(1) the 1 or more other members of the World Trade Organization involved in the dispute are expected to include private sector representatives in the delegations of the members to the sessions;CommentsClose CommentsPermalink





`(2) the United States nongovernmental organization has submitted public comments through the Federal Register that support the position of the United States Government in the case; andCommentsClose CommentsPermalink





`(3) the United States nongovernmental organization will provide for representation at the session a cleared adviser who is a member of the agricultural policy advisory committee or an agricultural technical advisory committee established under the Federal Advisory Committee Act (5 U.S.C. App.).'.CommentsClose CommentsPermalink

SEC. 3102. EXPORT CREDIT GUARANTEE PROGRAM.

(a) Repeal of Supplier Credit Guarantee Program and Intermediate Export Credit Guarantee Program- Section 202 of the Agricultural Trade Act of 1978 (7 U.S.C. 5622) is amended--CommentsClose CommentsPermalink





(1) in subsection (a)--CommentsClose CommentsPermalink





(A) in paragraph (1), by striking `The Commodity' and inserting `Subject to paragraph (2), the Commodity'; andCommentsClose CommentsPermalink





(B) by striking paragraphs (2) and (3) and inserting the following:CommentsClose CommentsPermalink





`(2) TENURE- Beginning with the 2013 fiscal year, credit terms described in paragraph (1) may not exceed a 180-day period.';CommentsClose CommentsPermalink





(2) by striking subsections (b) and (c);CommentsClose CommentsPermalink





(3) by redesignating subsections (d) through (l) as subsections (b) through (j), respectively; andCommentsClose CommentsPermalink





(4) by adding at the end the following:CommentsClose CommentsPermalink





`(k) Administration-CommentsClose CommentsPermalink





`(1) DEFINITION OF LONG TERM- In this subsection, the term `long term' means a period of 10 or more years.CommentsClose CommentsPermalink





`(2) GUARANTEES- In administering the export credit guarantees authorized under this section, the Secretary shall--CommentsClose CommentsPermalink





`(A) maximize the export sales of agricultural commodities;CommentsClose CommentsPermalink





`(B) maximize the export credit guarantees that are made available and used during the course of a fiscal year;CommentsClose CommentsPermalink





`(C) develop an approach to risk evaluation that facilitates accurate country risk designations and timely adjustments to the designations (on an ongoing basis) in response to material changes in country risk conditions, with ongoing opportunity for input and evaluation from the private sector;CommentsClose CommentsPermalink





`(D) adjust risk-based guarantees as necessary to ensure program effectiveness and United States competitiveness; andCommentsClose CommentsPermalink





`(E) work with industry to ensure that risk-based fees associated with the guarantees cover, but do not exceed, the operating costs and losses over the long term.'.CommentsClose CommentsPermalink





(b) Conforming Amendments- The Agricultural Trade Act of 1978 is amended--CommentsClose CommentsPermalink





(1) in section 202 (7 U.S.C. 5622)--CommentsClose CommentsPermalink





(A) in subsection (b)(4) (as redesignated by subsection (a)(3)), by striking `, consistent with the provisions of subsection (c)';CommentsClose CommentsPermalink





(B) in subsection (d) (as redesignated by subsection (a)(3))--CommentsClose CommentsPermalink





(i) by striking `(1)' and all that follows through `The Commodity' and inserting `The Commodity'; andCommentsClose CommentsPermalink





(ii) by striking paragraph (2); andCommentsClose CommentsPermalink





(C) in subsection (g)(2) (as redesignated by subsection (a)(3)), by striking `subsections (a) and (b)' and inserting `subsection (a)'; andCommentsClose CommentsPermalink





(2) in section 211, by striking subsection (b) and inserting the following:CommentsClose CommentsPermalink





`(b) Export Credit Guarantee Programs- The Commodity Credit Corporation shall make available for each of fiscal years 1996 through 2012 not less than $5,500,000,000 in credit guarantees under section 202(a).'.CommentsClose CommentsPermalink

SEC. 3103. MARKET ACCESS PROGRAM.

(a) Organic Commodities- Section 203(a) of the Agricultural Trade Act of 1978 (7 U.S.C. 5623(a)) is amended by inserting after `agricultural commodities' the following: `(including commodities that are organically produced (as defined in section 2103 of the Organic Foods Production Act of 1990 (7 U.S.C. 6502)))'.CommentsClose CommentsPermalink





(b) Funding- Section 211(c)(1)(A) of the Agricultural Trade Act of 1978 (7 U.S.C. 5641(c)(1)(A)) is amended by striking `, and $200,000,000 for each of fiscal years 2006 and 2007' and inserting `$200,000,000 for each of fiscal years 2006 and 2007, $210,000,000 for fiscal year 2008, $220,000,000 for fiscal year 2009, $230,000,000 for fiscal year 2010, $240,000,000 for fiscal year 2011, and $200,000,000 for fiscal year 2012 and each subsequent fiscal year'.CommentsClose CommentsPermalink

SEC. 3104. EXPORT ENHANCEMENT PROGRAM.

(a) In General- Section 301 of the Agricultural Trade Act of 1978 (7 U.S.C. 5651) is repealed.CommentsClose CommentsPermalink





(b) Conforming Amendments- The Agricultural Trade Act of 1978 is amended--CommentsClose CommentsPermalink





(1) in title III, by striking the title heading and inserting the following:CommentsClose CommentsPermalink

`TITLE III--BARRIERS TO EXPORTS';

(2) by redesignating section 302 as section 301;CommentsClose CommentsPermalink





(3) by striking section 303;CommentsClose CommentsPermalink





(4) in section 401 (7 U.S.C. 5661)--CommentsClose CommentsPermalink





(A) in subsection (a), by striking `section 201, 202, or 301' and inserting `section 201 or 202'; andCommentsClose CommentsPermalink





(B) in subsection (b), by striking `sections 201, 202, and 301' and inserting `sections 201 and 202'; andCommentsClose CommentsPermalink





(5) in section 402(a)(1) (7 U.S.C. 5662(a)(1)), by striking `sections 201, 202, 203, and 301' and inserting `sections 201, 202, and 203'.CommentsClose CommentsPermalink

SEC. 3105. VOLUNTARY CERTIFICATION OF CHILD LABOR STATUS OF AGRICULTURAL IMPORTS.

Section 414 of the Agricultural Trade Act of 1978 (7 U.S.C. 5674) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(d) Reducing Child Labor and Forced Labor-CommentsClose CommentsPermalink





`(1) DEFINITIONS- In this subsection:CommentsClose CommentsPermalink





`(A) CHILD LABOR- The term `child labor' means the worst forms of child labor as defined in International Labor Convention 182, the Convention Concerning the Prohibition and Immediate Action for the Elimination of the Worst Forms of Child Labor, done at Geneva on June 17, 1999.CommentsClose CommentsPermalink





`(B) FORCED LABOR- The term `forced labor' means all work or service--CommentsClose CommentsPermalink





`(i) that is exacted from any individual under menace of any penalty for non-performance of the work or service, and for which the individual does not offer himself or herself voluntarily, by coercion, debt bondage, involuntary servitude (as those terms are defined in section 103 of the Trafficking Victims Protection Act of 2000 (22 U.S.C. 7102)); andCommentsClose CommentsPermalink





`(ii) by 1 or more individuals who, at the time of production, were being subjected to a severe form of trafficking in persons (as that term is defined in that section).CommentsClose CommentsPermalink





`(2) DEVELOPMENT OF STANDARD SET OF PRACTICES-CommentsClose CommentsPermalink





`(A) IN GENERAL- The Secretary, in coordination with the Secretary of Labor, shall develop a standard set of practices for the production of agricultural commodities that are imported, sold, or marketed in the United States in order to reduce the likelihood that the agricultural commodities are produced with the use of forced labor or child labor.CommentsClose CommentsPermalink





`(B) REQUIREMENT- The standard set of practices shall be developed in accordance with the requirements of the Trafficking Victims Protection Act of 2000 (22 U.S.C. 7101 et seq.).CommentsClose CommentsPermalink





`(3) REQUIREMENTS- Not later than 3 years after the date of enactment of this subsection, the Secretary shall, with respect to the standard set of practices developed under paragraph (2), promulgate proposed regulations that shall, at a minimum, establish a voluntary certification program to enforce this subsection by--CommentsClose CommentsPermalink





`(A) requiring agricultural commodity traceability and inspection at all stages of the supply chain;CommentsClose CommentsPermalink





`(B) allowing for multistakeholder participation in the certification process;CommentsClose CommentsPermalink





`(C) providing for annual onsite inspection by a certifying agent, who shall be certified in accordance with the International Organization for Standardization Guide 65, of each affected worksite and handling operation;CommentsClose CommentsPermalink





`(D) incorporating a comprehensive conflict of interest policy for certifying agents, in accordance with section 2116(h) of the Organic Foods Production Act of 1990 (7 U.S.C. 6515(h)); andCommentsClose CommentsPermalink





`(E) providing an anonymous grievance procedure that--CommentsClose CommentsPermalink





`(i) is accessible by third parties to allow for the identification of new or continuing violations of the regulations; andCommentsClose CommentsPermalink





`(ii) provides protections for whistleblowers.CommentsClose CommentsPermalink





`(4) REPORTING REQUIREMENT- Not later than 180 days after the date of enactment of this subsection, and annually thereafter, the Secretary shall submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate, a report on the development and implementation of the standard set of practices under this subsection.'.CommentsClose CommentsPermalink

SEC. 3106. FOREIGN MARKET DEVELOPMENT COOPERATOR PROGRAM.

Section 703(a) of the Agricultural Trade Act of 1978 (7 U.S.C. 5723(a)) is amended by striking `amount of $34,500,000 for each of fiscal years 2002 through 2007' and inserting `amount of--CommentsClose CommentsPermalink





`(1) $39,500,000 for each of fiscal years 2008 and 2009;CommentsClose CommentsPermalink





`(2) $44,500,000 for fiscal year 2010; andCommentsClose CommentsPermalink





`(3) $34,500,000 for fiscal year 2011 and each subsequent fiscal year.'.CommentsClose CommentsPermalink

SEC. 3107. FOOD FOR PROGRESS ACT OF 1985.

The Food for Progress Act of 1985 (7 U.S.C. 1736o) is amended--CommentsClose CommentsPermalink





(1) by striking `2007' each place it appears and inserting `2012';CommentsClose CommentsPermalink





(2) in subsection (b)(5)--CommentsClose CommentsPermalink





(A) by striking subparagraphs (A), (B), and (F);CommentsClose CommentsPermalink





(B) in subparagraph (D), by inserting `and' after the semicolon;CommentsClose CommentsPermalink





(C) in subparagraph (E), by striking `; and' and inserting a period; andCommentsClose CommentsPermalink





(D) by redesignating subparagraphs (C), (D), and (E) as subparagraphs (A), (B), and (C), respectively; andCommentsClose CommentsPermalink





(3) in subsection (f), by striking paragraph (3) and inserting the following:CommentsClose CommentsPermalink





`(3) FUNDING LIMITATIONS- With respect to eligible commodities made available under section 416(b) of the Agricultural Act of 1949 (42 U.S.C. 1431(b)), unless authorized in advance in appropriation Acts--CommentsClose CommentsPermalink





`(A) for each of fiscal years 2008 through 2010, no funds of the Corporation in excess of $48,000,000 (exclusive of the cost of eligible commodities) may be used to carry out this section; andCommentsClose CommentsPermalink





`(B) for fiscal year 2011 and each fiscal year thereafter, no funds of the Corporation in excess of $40,000,000 (exclusive of the cost of eligible commodities) may be used to carry out this section.'.CommentsClose CommentsPermalink

SEC. 3108. MCGOVERN-DOLE INTERNATIONAL FOOD FOR EDUCATION AND CHILD NUTRITION PROGRAM.

Section 3107 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 1736o-1) is amended--CommentsClose CommentsPermalink





(1) in subsection (b), by inserting `in the Department of Agriculture' after `establish a program';CommentsClose CommentsPermalink





(2) in subsections (c)(2)(B), (f)(1), (h), (i), and (l)(1) by striking `President' each place it appears and inserting `Secretary';CommentsClose CommentsPermalink





(3) in subsection (d), by striking `The President shall designate 1 or more Federal agencies' and inserting `The Secretary shall';CommentsClose CommentsPermalink





(4) in paragraph (f)(2), by striking `implementing agency' and inserting `Secretary'; andCommentsClose CommentsPermalink





(5) in subsection (l)(2), by striking `such sums' and all that follows through `2007' and inserting `$300,000,000 for each of fiscal years 2008 through 2012'.CommentsClose CommentsPermalink

Subtitle C--Miscellaneous

SEC. 3201. BILL EMERSON HUMANITARIAN TRUST.

Section 302 of the Bill Emerson Humanitarian Trust Act (7 U.S.C. 1736f-1) is amended--CommentsClose CommentsPermalink





(1) in subsection (a), by striking `a trust stock' and all that follows through the end of the subsection and inserting the following: `a trust of commodities, for use as described in subsection (c), to consist of--CommentsClose CommentsPermalink





`(1) quantities equivalent to not more than 4,000,000 metric tons of commodities; orCommentsClose CommentsPermalink





`(2) any combination of funds and commodities equivalent to not more than 4,000,000 metric tons of commodities.';CommentsClose CommentsPermalink





(2) in subsection (b)--CommentsClose CommentsPermalink





(A) in paragraph (1)--CommentsClose CommentsPermalink





(i) in subparagraph (B)--CommentsClose CommentsPermalink





(I) by striking `replenish' each place it appears and inserting `reimburse'; andCommentsClose CommentsPermalink





(II) by striking `replenished' and inserting `reimbursed'; andCommentsClose CommentsPermalink





(ii) by striking subparagraph (D) and inserting the following:CommentsClose CommentsPermalink





`(D) funds made available--CommentsClose CommentsPermalink





`(i) under paragraph (2)(B);CommentsClose CommentsPermalink





`(ii) as a result of an exchange of any commodity held in the trust for an equivalent amount of funds from--CommentsClose CommentsPermalink





`(I) the Agricultural Trade Development and Assistance Act of 1954 (7 U.S.C. 1691 et seq.);CommentsClose CommentsPermalink





`(II) the McGovern-Dole International Food for Education and Child Nutrition Program established under section 3107 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 1736o-1); orCommentsClose CommentsPermalink





`(III) the market, if the Secretary determines that such a sale of the commodity on the market will not unduly disrupt domestic markets; andCommentsClose CommentsPermalink





`(iii) in the course of management of the trust or to maximize the value of the trust, in accordance with subsection (d)(3).'; andCommentsClose CommentsPermalink





(B) in paragraph (2)(B)--CommentsClose CommentsPermalink





(i) in the matter preceding clause (i), by striking `replenish' and inserting `reimburse';CommentsClose CommentsPermalink





(ii) in clause (i)--CommentsClose CommentsPermalink





(I) by striking `2007' each place it appears and inserting `2012';CommentsClose CommentsPermalink





(II) by striking `(c)(2)' and inserting `(c)(1)'; andCommentsClose CommentsPermalink





(III) by striking `and' at the end;CommentsClose CommentsPermalink





(iii) in clause (ii), by striking the period at the end and inserting `; or'; andCommentsClose CommentsPermalink





(iv) by adding at the end the following:CommentsClose CommentsPermalink





`(iii) from funds accrued through the management of the trust under subsection (d).';CommentsClose CommentsPermalink





(3) in subsection (c)--CommentsClose CommentsPermalink





(A) by striking paragraphs (1) and (2) and inserting the following:CommentsClose CommentsPermalink





`(1) RELEASES FOR EMERGENCY ASSISTANCE-CommentsClose CommentsPermalink





`(A) DEFINITION OF EMERGENCY-CommentsClose CommentsPermalink





`(i) IN GENERAL- In this paragraph, the term `emergency' means an urgent situation--CommentsClose CommentsPermalink





`(I) in which there is clear evidence that an event or series of events described in clause (ii) has occurred--CommentsClose CommentsPermalink

`(aa) that causes human suffering or imminently threatens human lives or livelihoods; andCommentsClose CommentsPermalink

`(bb) for which a government concerned has not the means to remedy; orCommentsClose CommentsPermalink

`(II) created by a demonstrably abnormal event or series of events that produces dislocation in the lives of residents of a country or region of a country on an exceptional scale.CommentsClose CommentsPermalink





`(ii) EVENT OR SERIES OF EVENTS- An event or series of events referred to in clause (i) includes 1 or more of--CommentsClose CommentsPermalink





`(I) a sudden calamity, such as an earthquake, flood, locust infestation, or similar unforeseen disaster;CommentsClose CommentsPermalink





`(II) a human-made emergency resulting in--CommentsClose CommentsPermalink

`(aa) a significant influx of refugees;CommentsClose CommentsPermalink

`(bb) the internal displacement of populations; orCommentsClose CommentsPermalink

`(cc) the suffering of otherwise affected populations;CommentsClose CommentsPermalink

`(III) food scarcity conditions caused by slow-onset events, such as drought, crop failure, pest infestation, and disease, that result in an erosion of the ability of communities and vulnerable populations to meet food needs; andCommentsClose CommentsPermalink





`(IV) severe food access or availability conditions resulting from sudden economic shocks, market failure, or economic collapse, that result in an erosion of the ability of communities and vulnerable populations to meet food needs.CommentsClose CommentsPermalink





`(B) RELEASES-CommentsClose CommentsPermalink





`(i) IN GENERAL- Any funds or commodities held in the trust may be released to provide assistance under title II of the Food for Peace Act (7 U.S.C. 1721 et seq.)--CommentsClose CommentsPermalink





`(I) to meet emergency needs, including during the period immediately preceding the emergency;CommentsClose CommentsPermalink





`(II) to respond to an emergency; orCommentsClose CommentsPermalink





`(III) for recovery and rehabilitation after an emergency.CommentsClose CommentsPermalink





`(ii) PROCEDURE- Subject to subparagraph (B), a release under clause (i) shall be carried out in the same manner, and pursuant to the same authority as provided in title II of that Act.CommentsClose CommentsPermalink





`(C) INSUFFICIENCY OF OTHER FUNDS- The funds and commodities held in the trust shall be made immediately available on a determination by the Administrator that funds available for emergency needs under title II of that Act (7 U.S.C. 1721 et seq.) for a fiscal year are insufficient to meet emergency needs during the fiscal year.'; andCommentsClose CommentsPermalink





(B) by redesignating paragraphs (3) through (5) as paragraphs (2) through (4), respectively;CommentsClose CommentsPermalink





(4) in subsection (d)--CommentsClose CommentsPermalink





(A) by redesignating paragraphs (1) through (3) as subparagraphs (A) through (C), respectively, and indenting the subparagraphs appropriately;CommentsClose CommentsPermalink





(B) by striking the subsection designation and heading and all that follows through `provide--' and inserting the following:CommentsClose CommentsPermalink





`(d) Management of Trust-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Secretary shall provide for the management of eligible commodities and funds held in the trust in a manner that is consistent with maximizing the value of the trust, as determined by the Secretary.CommentsClose CommentsPermalink





`(2) ELIGIBLE COMMODITIES- The Secretary shall provide--';CommentsClose CommentsPermalink





(C) in paragraph (2) (as redesignated by subparagraph (B))--CommentsClose CommentsPermalink





(i) in subparagraph (B) (as redesignated by subparagraph (A)), by striking `and' at the end;CommentsClose CommentsPermalink





(ii) in subparagraph (C) (as redesignated by subparagraph (A)), by striking the period at the end and inserting `; and'; andCommentsClose CommentsPermalink





(iii) by adding at the end the following:CommentsClose CommentsPermalink





`(D) for the management of price risks associated with commodities held or potentially held in the trust.'; andCommentsClose CommentsPermalink





(D) by adding at the end the following:CommentsClose CommentsPermalink





`(3) FUNDS-CommentsClose CommentsPermalink





`(A) REQUIREMENT- The Secretary shall maximize the value of funds held in the trust, to the maximum extent practicable.CommentsClose CommentsPermalink





`(B) RELEASES ON EMERGENCY- If any commodity is released from the trust in the case of an emergency under subsection (c), the Secretary shall transfer to the trust funds of the Commodity Credit Corporation in an amount equal to, as determined by the Secretary, the amount of storage charges that will be saved by Commodity Credit Corporation due to the emergency release.CommentsClose CommentsPermalink





`(C) EXCHANGES- If any commodity held in the trust is exchanged for funds under subsection (b)(1)(D)(ii)--CommentsClose CommentsPermalink





`(i) the funds shall be held in the trust until the date on which the funds are released in the case of an emergency under subsection (c); andCommentsClose CommentsPermalink





`(ii) the Secretary shall transfer to the trust funds of the Commodity Credit Corporation in an amount equal to, as determined by the Secretary, the amount of storage charges that will be saved by Commodity Credit Corporation due to the exchange.CommentsClose CommentsPermalink





`(D) INVESTMENT- The Secretary--CommentsClose CommentsPermalink





`(i) may invest funds held in the trust in any short-term obligation of the United States or any other low-risk short-term instrument or security insured by the Federal Government in which a regulated insurance company may invest under the laws of the District of Columbia; andCommentsClose CommentsPermalink





`(ii) shall not invest any funds held in the trust in real estate.';CommentsClose CommentsPermalink





(5) in subsection (f)(2)(A), by striking `replenish' and inserting `reimburse'; andCommentsClose CommentsPermalink





(6) in subsection (h)--CommentsClose CommentsPermalink





(A) in paragraph (1), by striking `replenish' and inserting `reimburse'; andCommentsClose CommentsPermalink





(B) in each of paragraphs (1) and (2), by striking `2007' each place it appears and inserting `2012'.CommentsClose CommentsPermalink

SEC. 3202. EMERGING MARKETS AND FACILITY GUARANTEE LOAN PROGRAM.

Section 1542 of the Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 5622 note; Public Law 101-624) is amended--CommentsClose CommentsPermalink





(1) in subsection (a), by striking `2007' and inserting `2012';CommentsClose CommentsPermalink





(2) in subsection (b)--CommentsClose CommentsPermalink





(A) in the first sentence, by redesignating paragraphs (1) and (2) as subparagraphs (A) and (B), respectively, and indenting appropriately;CommentsClose CommentsPermalink





(B) by striking `A portion' and inserting the following:CommentsClose CommentsPermalink





`(1) IN GENERAL- A portion';CommentsClose CommentsPermalink





(C) in the second sentence, by striking `The Commodity Credit Corporation' and inserting the following:CommentsClose CommentsPermalink





`(2) PRIORITY- The Commodity Credit Corporation'; andCommentsClose CommentsPermalink





(D) by adding at the end the following:CommentsClose CommentsPermalink





`(3) CONSTRUCTION WAIVER- The Secretary may waive any applicable requirements relating to the use of United States goods in the construction of a proposed facility, if the Secretary determines that--CommentsClose CommentsPermalink





`(A) goods from the United States are not available; orCommentsClose CommentsPermalink





`(B) the use of goods from the United States is not practicable.CommentsClose CommentsPermalink





`(4) TERM OF GUARANTEE- A facility payment guarantee under this subsection shall be for a term that is not more than the lesser of--CommentsClose CommentsPermalink





`(A) the term of the depreciation schedule of the facility assisted; orCommentsClose CommentsPermalink





`(B) 20 years.'; andCommentsClose CommentsPermalink





(3) in subsection (d)(1)(A)(i) by striking `2007' and inserting `2012'.CommentsClose CommentsPermalink

SEC. 3203. BIOTECHNOLOGY AND AGRICULTURAL TRADE PROGRAM.

Section 1543A(d) of the Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 5679(d)) is amended by striking `2007' and inserting `2012'.CommentsClose CommentsPermalink

SEC. 3204. TECHNICAL ASSISTANCE FOR THE RESOLUTION OF TRADE DISPUTES.

(a) In General- The Secretary may provide monitoring, analytic support, and other technical assistance to limited resource persons that are involved in trading agricultural commodities, as determined by the Secretary, to reduce trade barriers to the persons.CommentsClose CommentsPermalink





(b) Authorization of Appropriations- There are authorized to be appropriated such sums as are necessary to carry out this section.CommentsClose CommentsPermalink

TITLE IV--NUTRITION PROGRAMS

Subtitle A--Food and Nutrition Program

PART I--RENAMING OF FOOD STAMP PROGRAM

SEC. 4001. RENAMING OF FOOD STAMP PROGRAM.

(a) Short Title- The first section of the Food Stamp Act of 1977 (7 U.S.C. 2011 note; Public Law 88-525) is amended by striking `Food Stamp Act of 1977' and inserting `Food and Nutrition Act of 2007'.CommentsClose CommentsPermalink





(b) Program- The Food and Nutrition Act of 2007 (7 U.S.C. 2011 et seq.) (as amended by subsection (a)) is amended by striking `food stamp program' each place it appears and inserting `food and nutrition program'.CommentsClose CommentsPermalink

PART II--IMPROVING PROGRAM BENEFITS

SEC. 4101. EXCLUSION OF CERTAIN MILITARY PAYMENTS FROM INCOME.

Section 5(d) of the Food and Nutrition Act of 2007 (7 U.S.C. 2014(d)) is amended--CommentsClose CommentsPermalink





(1) by striking `(d) Household' and inserting `(d) Exclusions From Income- Household';CommentsClose CommentsPermalink





(2) by striking `only (1) any' and inserting `only--CommentsClose CommentsPermalink





`(1) any';CommentsClose CommentsPermalink





(3) by indenting each of paragraphs (2) through (18) so as to align with the margin of paragraph (1) (as amended by paragraph (1));CommentsClose CommentsPermalink





(4) by striking the comma at the end of each of paragraphs (1) through (16) and inserting a semicolon;CommentsClose CommentsPermalink





(5) in paragraph (3)--CommentsClose CommentsPermalink





(A) by striking `like (A) awarded' and inserting `like--CommentsClose CommentsPermalink





`(A) awarded';CommentsClose CommentsPermalink





(B) by striking `thereof, (B) to' and inserting `thereof;CommentsClose CommentsPermalink





`(B) to'; andCommentsClose CommentsPermalink





(C) by striking `program, and (C) to' and inserting `program; andCommentsClose CommentsPermalink





`(C) to';CommentsClose CommentsPermalink





(6) in paragraph (11), by striking `)), or (B) a' and inserting `)); orCommentsClose CommentsPermalink





`(B) a';CommentsClose CommentsPermalink





(7) in paragraph (17), by striking `, and' at the end and inserting a semicolon;CommentsClose CommentsPermalink





(8) in paragraph (18), by striking the period at the end and inserting `; and'; andCommentsClose CommentsPermalink





(9) by adding at the end the following:CommentsClose CommentsPermalink





`(19) any additional payment under chapter 5 of title 37, United States Code, or otherwise designated by the Secretary to be appropriate for exclusion under this paragraph, that is received by or from a member of the United States Armed Forces deployed to a designated combat zone, if the additional pay--CommentsClose CommentsPermalink





`(A) is the result of deployment to or service in a combat zone; andCommentsClose CommentsPermalink





`(B) was not received immediately prior to serving in a combat zone.'.CommentsClose CommentsPermalink

SEC. 4102. STRENGTHENING THE FOOD PURCHASING POWER OF LOW-INCOME AMERICANS.

Section 5(e)(1) of the Food and Nutrition Act of 2007 (7 U.S.C. 2014(e)(1)) is amended--CommentsClose CommentsPermalink





(1) in subparagraph (A)(ii), by striking `not less than $134' and all that follows through the end of the clause and inserting the following: `not less than--CommentsClose CommentsPermalink





`(I) for fiscal year 2008, $140, $239, $197, and $123, respectively; andCommentsClose CommentsPermalink





`(II) for fiscal year 2009 and each fiscal year thereafter, an amount that is equal to the amount from the previous fiscal year adjusted to the nearest lower dollar increment to reflect changes for the 12-month period ending on the preceding June 30 in the Consumer Price Index for All Urban Consumers published by the Bureau of Labor Statistics of the Department of Labor, for items other than food.';CommentsClose CommentsPermalink





(2) in subparagraph (B)(ii), by striking `not less than $269' and all that follows through the end of the clause and inserting the following: `not less than--CommentsClose CommentsPermalink





`(I) for fiscal year 2008, $281; andCommentsClose CommentsPermalink





`(II) for fiscal year 2009 and each fiscal year thereafter, an amount that is equal to the amount from the previous fiscal year adjusted to the nearest lower dollar increment to reflect changes for the 12-month period ending on the preceding June 30 in the Consumer Price Index for All Urban Consumers published by the Bureau of Labor Statistics of the Department of Labor, for items other than food.'; andCommentsClose CommentsPermalink





(3) by adding at the end the following:CommentsClose CommentsPermalink





`(C) REQUIREMENT- Each adjustment under subparagraphs (A)(ii)(II) and (B)(ii)(II) shall be based on the unrounded amount for the prior 12-month period.'.CommentsClose CommentsPermalink

SEC. 4103. SUPPORTING WORKING FAMILIES WITH CHILD CARE EXPENSES.

Section 5(e)(3)(A) of the Food and Nutrition Act of 2007 (7 U.S.C. 2014(e)(3)(A)) is amended by striking `, the maximum allowable level of which shall be $200 per month for each dependent child under 2 years of age and $175 per month for each other dependent,'.CommentsClose CommentsPermalink

SEC. 4104. ENCOURAGING RETIREMENT AND EDUCATION SAVINGS AMONG FOOD STAMP RECIPIENTS.

(a) Allowable Financial Resources- Section 5(g) of the Food and Nutrition Act of 2007 (7 U.S.C. 2014(g)) is amended--CommentsClose CommentsPermalink





(1) by striking `(g)(1) The Secretary' and inserting the following:CommentsClose CommentsPermalink





`(g) Allowable Financial Resources-CommentsClose CommentsPermalink





`(1) TOTAL AMOUNT-CommentsClose CommentsPermalink





`(A) IN GENERAL- The Secretary';CommentsClose CommentsPermalink





(2) in subparagraph (A) (as designated by paragraph (1))--CommentsClose CommentsPermalink





(A) by striking `$2,000' and inserting `$3,500 (as adjusted in accordance with subparagraph (B))'; andCommentsClose CommentsPermalink





(B) by striking `$3,000' and inserting `$4,500 (as adjusted in accordance with subparagraph (B))'; andCommentsClose CommentsPermalink





(3) by adding at the end the following:CommentsClose CommentsPermalink





`(B) ADJUSTMENT FOR INFLATION-CommentsClose CommentsPermalink





`(i) IN GENERAL- Beginning on October 1, 2007, and each October 1 thereafter, the amounts in subparagraph (A) shall be adjusted and rounded down to the nearest $250 to reflect changes for the 12-month period ending the preceding June in the Consumer Price Index for All Urban Consumers published by the Bureau of Labor Statistics of the Department of Labor.CommentsClose CommentsPermalink





`(ii) REQUIREMENT- Each adjustment under clause (i) shall be based on the unrounded amount for the prior 12-month period.'.CommentsClose CommentsPermalink





(b) Exclusion of Retirement Accounts From Allowable Financial Resources-CommentsClose CommentsPermalink





(1) IN GENERAL- Section 5(g)(2)(B)(v) of the Food and Nutrition Act of 2007 (7 U.S.C. 2014(g)(2)(B)(v)) is amended by striking `or retirement account (including an individual account)' and inserting `account'.CommentsClose CommentsPermalink





(2) MANDATORY AND DISCRETIONARY EXCLUSIONS- Section 5(g) of the Food and Nutrition Act of 2007 (7 U.S.C. 2014(g)) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(7) EXCLUSION OF RETIREMENT ACCOUNTS FROM ALLOWABLE FINANCIAL RESOURCES-CommentsClose CommentsPermalink





`(A) MANDATORY EXCLUSIONS- The Secretary shall exclude from financial resources under this subsection the value of--CommentsClose CommentsPermalink





`(i) any funds in a plan, contract, or account, described in sections 401(a), 403(a), 403(b), 408, 408A, 457(b), and 501(c)(18) of the Internal Revenue Code of 1986 and the value of funds in a Federal Thrift Savings Plan account as provided in section 8439 of title 5, United States Code; andCommentsClose CommentsPermalink





`(ii) any retirement program or account included in any successor or similar provision that may be enacted and determined to be exempt from tax under the Internal Revenue Code of 1986.CommentsClose CommentsPermalink





`(B) DISCRETIONARY EXCLUSIONS- The Secretary may exclude from financial resources under this subsection the value of any other retirement plans, contracts, or accounts (as determined by the Secretary).'.CommentsClose CommentsPermalink





(c) Exclusion of Education Accounts From Allowable Financial Resources- Section 5(g) of the Food and Nutrition Act of 2007 (7 U.S.C. 2014(g)) (as amended by subsection (b)) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(8) EXCLUSION OF EDUCATION ACCOUNTS FROM ALLOWABLE FINANCIAL RESOURCES-CommentsClose CommentsPermalink





`(A) MANDATORY EXCLUSIONS- The Secretary shall exclude from financial resources under this subsection the value of any funds in a qualified tuition program described in section 529 of the Internal Revenue Code of 1986 or in a Coverdell education savings account under section 530 of that Code.CommentsClose CommentsPermalink





`(B) DISCRETIONARY EXCLUSIONS- The Secretary may exclude from financial resources under this subsection the value of any other education programs, contracts, or accounts (as determined by the Secretary).'.CommentsClose CommentsPermalink

SEC. 4105. FACILITATING SIMPLIFIED REPORTING.

Section 6(c)(1)(A) of the Food and Nutrition Act of 2007 (7 U.S.C. 2015(c)(1)(A)) is amended--CommentsClose CommentsPermalink





(1) by striking `reporting by' and inserting `reporting';CommentsClose CommentsPermalink





(2) in clause (i), by inserting `for periods shorter than 4 months by' before `migrant';CommentsClose CommentsPermalink





(3) in clause (ii), by inserting `for periods shorter than 4 months by' before `households'; andCommentsClose CommentsPermalink





(4) in clause (iii), by inserting `for periods shorter than 1 year by' before `households'.CommentsClose CommentsPermalink

SEC. 4106. ACCRUAL OF BENEFITS.

Section 7(i) of the Food and Nutrition Act of 2007 (7 U.S.C. 2016(i)) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(12) RECOVERING ELECTRONIC BENEFITS-CommentsClose CommentsPermalink





`(A) IN GENERAL- A State agency shall establish a procedure for recovering electronic benefits from the account of a household due to inactivity.CommentsClose CommentsPermalink





`(B) BENEFIT STORAGE- A State agency may store recovered electronic benefits off-line in accordance with subparagraph (D), if the household has not accessed the account after 6 months.CommentsClose CommentsPermalink





`(C) BENEFIT EXPUNGING- A State agency shall expunge benefits that have not been accessed by a household after a period of 12 months.CommentsClose CommentsPermalink





`(D) NOTICE- A State agency shall--CommentsClose CommentsPermalink





`(i) send notice to a household the benefits of which are stored under subparagraph (B); andCommentsClose CommentsPermalink





`(ii) not later than 48 hours after request by the household, make the stored benefits available to the household.'.CommentsClose CommentsPermalink

SEC. 4107. ELIGIBILITY FOR UNEMPLOYED ADULTS.

(a) In General- Section 6(o) of the Food and Nutrition Act of 2007 (7 U.S.C. 2015(o)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (2), in the matter preceding subparagraph (A) by striking `3 months' and inserting `6 months'; andCommentsClose CommentsPermalink





(2) in paragraph (5), by striking subparagraph (C).CommentsClose CommentsPermalink





(b) Effective Date- The amendments made by subsection (a) take effect on October 1, 2008.CommentsClose CommentsPermalink

SEC. 4108. TRANSITIONAL BENEFITS OPTION.

Section 11(s)(1) of the Food and Nutrition Act of 2007 (7 U.S.C. 2020(s)(1)) is amended--CommentsClose CommentsPermalink





(1) by striking `benefits to a household'; and inserting `benefits--CommentsClose CommentsPermalink





`(A) to a household';CommentsClose CommentsPermalink





(2) by striking the period at the end and inserting `; or'; andCommentsClose CommentsPermalink





(3) by adding at the end the following:CommentsClose CommentsPermalink





`(B) at the option of the State, to a household with children that ceases to receive cash assistance under a State-funded public assistance program.'.CommentsClose CommentsPermalink

SEC. 4109. MINIMUM BENEFIT.

(a) In General- Section 8(a) of the Food and Nutrition Act of 2007 (7 U.S.C. 2017(a)) is amended by striking `$10 per month' and inserting `10 percent of the thrifty food plan for a household containing 1 member'.CommentsClose CommentsPermalink





(b) Effective Date- The amendment made by subsection (a) takes effect on October 1, 2008.CommentsClose CommentsPermalink

SEC. 4110. AVAILABILITY OF COMMODITIES FOR THE EMERGENCY FOOD ASSISTANCE PROGRAM.

(a) In General- Section 27(a) of the Food and Nutrition Act of 2007 (7 U.S.C. 2036(a)) is amended--CommentsClose CommentsPermalink





(1) by striking `(a) Purchase of Commodities' and all that follows through `through 2007' and inserting the following:CommentsClose CommentsPermalink





`(a) Purchase of Commodities-CommentsClose CommentsPermalink





`(1) IN GENERAL- Subject to paragraph (2), for fiscal year 2008 and each fiscal year thereafter'; andCommentsClose CommentsPermalink





(2) by adding at the end the following:CommentsClose CommentsPermalink





`(2) AMOUNTS- In addition to the amounts made available under paragraph (1), for fiscal year 2008 and each fiscal year thereafter, from amounts made available to carry out this Act, the Secretary shall use to carry out this subsection $110,000,000.'.CommentsClose CommentsPermalink





(b) Effective Date- The amendments made by subsection (a) take effect on the date of enactment of this Act.CommentsClose CommentsPermalink

PART III--IMPROVING PROGRAM OPERATIONS

SEC. 4201. TECHNICAL CLARIFICATION REGARDING ELIGIBILITY.

Section 6(k) of the Food and Nutrition Act of 2007 (7 U.S.C. 2015(k)) is amended--CommentsClose CommentsPermalink





(1) by redesignating paragraphs (1) and (2) as subparagraphs (A) and (B), respectively, and indenting appropriately;CommentsClose CommentsPermalink





(2) by striking `No member' and inserting the following:CommentsClose CommentsPermalink





`(1) IN GENERAL- No member'; andCommentsClose CommentsPermalink





(3) by adding at the end the following:CommentsClose CommentsPermalink





`(2) PROCEDURES- The Secretary shall issue consistent procedures--CommentsClose CommentsPermalink





`(A) to define the terms `fleeing' and `actively seeking' for purposes of this subsection; andCommentsClose CommentsPermalink





`(B) to ensure that State agencies use consistent procedures that disqualify individuals whom law enforcement authorities are actively seeking for the purpose of holding criminal proceedings against the individual.'.CommentsClose CommentsPermalink

SEC. 4202. ISSUANCE AND USE OF PROGRAM BENEFITS.

(a) In General- Section 7 of the Food and Nutrition Act of 2007 (7 U.S.C. 2016) is amended--CommentsClose CommentsPermalink





(1) by striking the section designation and heading and all that follows through `subsection (j)) shall be' and inserting the following:CommentsClose CommentsPermalink

`SEC. 7. ISSUANCE AND USE OF PROGRAM BENEFITS.

`(a) In General- Except as provided in subsection (i), EBT cards shall be';CommentsClose CommentsPermalink





(2) in subsection (b)--CommentsClose CommentsPermalink





(A) by striking `(b) Coupons' and inserting the following:CommentsClose CommentsPermalink





`(b) Use- Benefits'; andCommentsClose CommentsPermalink





(B) by striking the second proviso;CommentsClose CommentsPermalink





(3) in subsection (c)--CommentsClose CommentsPermalink





(A) by striking `(c) Coupons' and inserting the following:CommentsClose CommentsPermalink





`(c) Design-CommentsClose CommentsPermalink





`(1) IN GENERAL- EBT cards';CommentsClose CommentsPermalink





(B) in the first sentence, by striking `and define their denomination'; andCommentsClose CommentsPermalink





(C) by striking the second sentence and inserting the following:CommentsClose CommentsPermalink





`(2) PROHIBITION- The name of any public official shall not appear on any EBT card.';CommentsClose CommentsPermalink





(4) by striking subsection (d);CommentsClose CommentsPermalink





(5) in subsection (e)--CommentsClose CommentsPermalink





(A) by striking `coupons' each place it appears and inserting `benefits'; andCommentsClose CommentsPermalink





(B) by striking `coupon issuers' each place it appears and inserting `benefit issuers';CommentsClose CommentsPermalink





(6) in subsection (f)--CommentsClose CommentsPermalink





(A) by striking `coupons' each place it appears and inserting `benefits';CommentsClose CommentsPermalink





(B) by striking `coupon issuer' and inserting `benefit issuers';CommentsClose CommentsPermalink





(C) by striking `section 11(e)(20)' and inserting `section 11(e)(19).'; andCommentsClose CommentsPermalink





(D) by striking `and allotments';CommentsClose CommentsPermalink





(7) by striking subsection (g) and inserting the following:CommentsClose CommentsPermalink





`(g) Alternative Benefit Delivery-CommentsClose CommentsPermalink





`(1) IN GENERAL- If the Secretary determines, in consultation with the Inspector General of the Department of Agriculture, that it would improve the integrity of the food and nutrition program, the Secretary shall require a State agency to issue or deliver benefits using alternative methods.CommentsClose CommentsPermalink





`(2) NO IMPOSITION OF COSTS- The cost of documents or systems that may be required by this subsection may not be imposed upon a retail food store participating in the food and nutrition program.CommentsClose CommentsPermalink





`(3) DEVALUATION AND TERMINATION OF ISSUANCE OF PAPER COUPONS-CommentsClose CommentsPermalink





`(A) COUPON ISSUANCE- Effective on the date of enactment of the Food and Energy Security Act of 2007, no State shall issue any coupon, stamp, certificate, or authorization card to a household that receives food and nutrition benefits under this Act.CommentsClose CommentsPermalink





`(B) EBT CARDS- Effective beginning on the date that is 1 year after the date of enactment of the Food and Energy Security Act of 2007, only an EBT card issued under subsection (i) shall be eligible for exchange at any retail food store.CommentsClose CommentsPermalink





`(C) DE-OBLIGATION OF COUPONS- Coupons not redeemed during the 1-year period beginning on the date of enactment of the Food and Energy Security Act of 2007 shall--CommentsClose CommentsPermalink





`(i) no longer be an obligation of the Federal Government; andCommentsClose CommentsPermalink





`(ii) not be redeemable.';CommentsClose CommentsPermalink





(8) in subsection (h)(1), by striking `coupons' and inserting `benefits';CommentsClose CommentsPermalink





(9) in subsection (j)--CommentsClose CommentsPermalink





(A) in paragraph (2)(A)(ii), by striking `printing, shipping, and redeeming coupons' and inserting `issuing and redeeming benefits'; andCommentsClose CommentsPermalink





(B) in paragraph (5), by striking `coupon' and inserting `benefit';CommentsClose CommentsPermalink





(10) in subsection (k)--CommentsClose CommentsPermalink





(A) by striking `coupons in the form of' each place it appears and inserting `program benefits in the form of';CommentsClose CommentsPermalink





(B) by striking `a coupon issued in the form of' each place it appears and inserting `program benefits in the form of'; andCommentsClose CommentsPermalink





(C) in subparagraph (A), by striking `subsection (i)(11)(A)' and inserting `subsection (h)(11)(A)'; andCommentsClose CommentsPermalink





(11) by redesignating subsections (e) through (k) as subsections (d) through (j), respectively.CommentsClose CommentsPermalink





(b) Conforming Amendments-CommentsClose CommentsPermalink





(1) Section 3 of the Food and Nutrition Act of 2007 (7 U.S.C. 2012) is amended--CommentsClose CommentsPermalink





(A) in subsection (a), by striking `coupons' and inserting `benefits';CommentsClose CommentsPermalink





(B) by striking subsection (b) and inserting the following:CommentsClose CommentsPermalink





`(b) Benefit- The term `benefit' means the value of food and nutrition assistance provided to a household by means of--CommentsClose CommentsPermalink





`(1) an electronic benefit transfer under section 7(i); orCommentsClose CommentsPermalink





`(2) other means of providing assistance, as determined by the Secretary.';CommentsClose CommentsPermalink





(C) in subsection (c), in the first sentence, by striking `authorization cards' and inserting `benefits';CommentsClose CommentsPermalink





(D) in subsection (d), by striking `or access device' and all that follows through the end of the subsection and inserting a period;CommentsClose CommentsPermalink





(E) in subsection (e)--CommentsClose CommentsPermalink





(i) by striking `(e) `Coupon issuer' means' and inserting the following:CommentsClose CommentsPermalink





`(e) Benefit Issuer- The term `benefit issuer' means'; andCommentsClose CommentsPermalink





(ii) by striking `coupons' and inserting `benefits';CommentsClose CommentsPermalink





(F) in subsection (g)(7), by striking `subsection (r)' and inserting `subsection (j)';CommentsClose CommentsPermalink





(G) in subsection (i)(5)--CommentsClose CommentsPermalink





(i) in subparagraph (B), by striking `subsection (r)' and inserting `subsection (j)'; andCommentsClose CommentsPermalink





(ii) in subparagraph (D), by striking `coupons' and inserting `benefits';CommentsClose CommentsPermalink





(H) in subsection (j), by striking `(as that term is defined in subsection (p))';CommentsClose CommentsPermalink





(I) in subsection (k)--CommentsClose CommentsPermalink





(i) in paragraph (1)(A), by striking `subsection (u)(1)' and inserting `subsection (r)(1)';CommentsClose CommentsPermalink





(ii) in paragraph (2), by striking `subsections (g)(3), (4), (5), (7), (8), and (9) of this section' and inserting `paragraphs (3), (4), (5), (7), (8), and (9) of subsection (k)'; andCommentsClose CommentsPermalink





(iii) in paragraph (3), by striking `subsection (g)(6) of this section' and inserting `subsection (k)(6)';CommentsClose CommentsPermalink





(J) in subsection (t), by inserting `, including point of sale devices,' after `other means of access';CommentsClose CommentsPermalink





(K) in subsection (u), by striking `(as defined in subsection (g))'; andCommentsClose CommentsPermalink





(L) by adding at the end the following:CommentsClose CommentsPermalink





`(v) EBT Card- The term `EBT card' means an electronic benefit transfer card issued under section 7(i).'; andCommentsClose CommentsPermalink





(M) by redesignating subsections (a) through (v) as subsections (b), (d), (f), (g), (e), (h), (k), (l), (n), (o), (p), (q), (s), (t), (u), (v), (c), (j), (m), (a), (r), and (i), respectively, and moving so as to appear in alphabetical order.CommentsClose CommentsPermalink





(2) Section 4(a) of the Food and Nutrition Act of 2007 (7 U.S.C. 2013(a)) is amended--CommentsClose CommentsPermalink





(A) by striking `coupons' each place it appears and inserting `benefits'; andCommentsClose CommentsPermalink





(B) by striking `Coupons issued' and inserting `benefits issued'.CommentsClose CommentsPermalink





(3) Section 5 of the Food and Nutrition Act of 2007 (7 U.S.C. 2014) is amended--CommentsClose CommentsPermalink





(A) in subsection (a), by striking `section 3(i)(4)' and inserting `section 3(n)(4)';CommentsClose CommentsPermalink





(B) in subsection (h)(3)(B), in the second sentence, by striking `section 7(i)' and inserting `section 7(h)'; andCommentsClose CommentsPermalink





(C) in subsection (i)(2)(E), by striking `, as defined in section 3(i) of this Act,'.CommentsClose CommentsPermalink





(4) Section 6 of the Food and Nutrition Act of 2007 (7 U.S.C. 2015) is amended--CommentsClose CommentsPermalink





(A) in subsection (b)(1)--CommentsClose CommentsPermalink





(i) in subparagraph (B), by striking `coupons or authorization cards' and inserting `program benefits'; andCommentsClose CommentsPermalink





(ii) by striking `coupons' each place it appears and inserting `benefits'; andCommentsClose CommentsPermalink





(B) in subsection (d)(4)(L), by striking `section 11(e)(22)' and inserting `section 11(e)(19)'.CommentsClose CommentsPermalink





(5) Section 7(f) of the Food and Nutrition Act of 2007 (7 U.S.C. 2016(f)) is amended by striking `including any losses' and all that follows through `section 11(e)(20),'.CommentsClose CommentsPermalink





(6) Section 8 of the Food and Nutrition Act of 2007 (7 U.S.C. 2017) is amended--CommentsClose CommentsPermalink





(A) in subsection (b), by striking `, whether through coupons, access devices, or otherwise'; andCommentsClose CommentsPermalink





(B) in subsections (e)(1) and (f), by striking `section 3(i)(5)' each place it appears and inserting `section 3(n)(5)'.CommentsClose CommentsPermalink





(7) Section 9 of the Food and Nutrition Act of 2007 (7 U.S.C. 2018) is amended--CommentsClose CommentsPermalink





(A) by striking `coupons' each place it appears and inserting `benefits';CommentsClose CommentsPermalink





(B) in subsection (a)--CommentsClose CommentsPermalink





(i) in paragraph (1), by striking `coupon business' and inserting `benefit transactions'; andCommentsClose CommentsPermalink





(ii) by striking paragraph (3) and inserting the following:CommentsClose CommentsPermalink





`(3) AUTHORIZATION PERIODS- The Secretary shall establish specific time periods during which authorization to accept and redeem benefits shall be valid under the food and nutrition program.'; andCommentsClose CommentsPermalink





(C) in subsection (g), by striking `section 3(g)(9)' and inserting `section 3(k)(9)'.CommentsClose CommentsPermalink





(8) Section 10 of the Food and Nutrition Act of 2007 (7 U.S.C. 2019) is amended--CommentsClose CommentsPermalink





(A) by striking the section designation and heading and all that follows through `Regulations' and inserting the following:CommentsClose CommentsPermalink

`SEC. 10. REDEMPTION OF PROGRAM BENEFITS.

`Regulations';CommentsClose CommentsPermalink





(B) by striking `section 3(k)(4) of this Act' and inserting `section 3(p)(4)';CommentsClose CommentsPermalink





(C) by striking `section 7(i)' and inserting `section 7(h)'; andCommentsClose CommentsPermalink





(D) by striking `coupons' each place it appears and inserting `benefits'.CommentsClose CommentsPermalink





(9) Section 11 of the Food and Nutrition Act of 2007 (7 U.S.C. 2020) is amended--CommentsClose CommentsPermalink





(A) in subsection (d)--CommentsClose CommentsPermalink





(i) by striking `section 3(n)(1) of this Act' each place it appears and inserting `section 3(t)(1)'; andCommentsClose CommentsPermalink





(ii) by striking `section 3(n)(2) of this Act' each place it appears and inserting `section 3(t)(2)';CommentsClose CommentsPermalink





(B) in subsection (e)--CommentsClose CommentsPermalink





(i) in paragraph (8)(E), by striking `paragraph (16) or (20)(B)' and inserting `paragraph (15) or (18)(B)';CommentsClose CommentsPermalink





(ii) by striking paragraphs (15) and (19);CommentsClose CommentsPermalink





(iii) by redesignating paragraphs (16) through (18) and (20) through (25) as paragraphs (15) through (17) and (18) through (23), respectively; andCommentsClose CommentsPermalink





(iv) in paragraph (17) (as so redesignated), by striking `(described in section 3(n)(1) of this Act)' and inserting `described in section 3(t)(1)';CommentsClose CommentsPermalink





(C) in subsection (h), by striking `coupon or coupons' and inserting `benefits';CommentsClose CommentsPermalink





(D) by striking `coupon' each place it appears and inserting `benefit';CommentsClose CommentsPermalink





(E) by striking `coupons' each place it appears and inserting `benefits';CommentsClose CommentsPermalink





(F) in subsection (q), by striking `section 11(e)(20)(B)' and inserting `subsection (e)(18)(B)'CommentsClose CommentsPermalink





(10) Section 13 of the Food and Nutrition Act of 2007 (7 U.S.C. 2022) is amended by striking `coupons' each place it appears and inserting `benefits'.CommentsClose CommentsPermalink





(11) Section 15 of the Food and Nutrition Act of 2007 (7 U.S.C. 2024) is amended--CommentsClose CommentsPermalink





(A) in subsection (a), by striking `coupons' and inserting `benefits';CommentsClose CommentsPermalink





(B) in subsection (b)(1)--CommentsClose CommentsPermalink





(i) by striking `coupons, authorization cards, or access devices' each place it appears and inserting `benefits';CommentsClose CommentsPermalink





(ii) by striking `coupons or authorization cards' and inserting `benefits'; andCommentsClose CommentsPermalink





(iii) by striking `access device' each place it appears and inserting `benefit';CommentsClose CommentsPermalink





(C) in subsection (c), by striking `coupons' each place it appears and inserting `benefits';CommentsClose CommentsPermalink





(D) in subsection (d), by striking `Coupons' and inserting `Benefits';CommentsClose CommentsPermalink





(E) by striking subsections (e) and (f);CommentsClose CommentsPermalink





(F) by redesignating subsections (g) and (h) as subsections (e) and (f), respectively; andCommentsClose CommentsPermalink





(G) in subsection (e) (as so redesignated), by striking `coupon, authorization cards or access devices' and inserting `benefits'.CommentsClose CommentsPermalink





(12) Section 16(a) of the Food and Nutrition Act of 2007 (7 U.S.C. 2025(a)) is amended by striking `coupons' each place it appears and inserting `benefits'.CommentsClose CommentsPermalink





(13) Section 17 of the Food and Nutrition Act of 2007 (7 U.S.C. 2026) is amended--CommentsClose CommentsPermalink





(A) in subsection (a)(2), by striking `coupon' and inserting `benefit';CommentsClose CommentsPermalink





(B) in subsection (b)(1)--CommentsClose CommentsPermalink





(i) in subparagraph (B)--CommentsClose CommentsPermalink





(I) in clause (iv)--CommentsClose CommentsPermalink

(aa) in subclause (I), inserting `or otherwise providing benefits in a form not restricted to the purchase of food' after `of cash';CommentsClose CommentsPermalink

(bb) in subclause (III)(aa), by striking `section 3(i)' and inserting `section 3(n)'; andCommentsClose CommentsPermalink

(cc) in subclause (VII), by striking `section 7(j)' and inserting `section 7(i)'; andCommentsClose CommentsPermalink

(II) in clause (v)--CommentsClose CommentsPermalink

(aa) by striking `countersigned food coupons or similar'; andCommentsClose CommentsPermalink

(bb) by striking `food coupons' and inserting `EBT cards'; andCommentsClose CommentsPermalink

(ii) in subparagraph (C)(i)(I), by striking `coupons' and inserting `EBT cards';CommentsClose CommentsPermalink





(C) in subsection (f), by striking `section 7(g)(2)' and inserting `section 7(f)(2)'; andCommentsClose CommentsPermalink





(D) in subsection (j), by striking `coupon' and inserting `benefit'.CommentsClose CommentsPermalink





(14) Section 19(a)(2)(A)(ii) of the Food and Nutrition Act of 2007 (7 U.S.C. 2028(a)(2)(A)(ii)) is amended by striking `section 3(o)(4)' and inserting `section 3(u)(4)'.CommentsClose CommentsPermalink





(15) Section 21 of the Food and Nutrition Act of 2007 (7 U.S.C. 2030) is amended--CommentsClose CommentsPermalink





(A) in subsection (b)(2)(G)(i), by striking `and (19)' and inserting `(and (17)';CommentsClose CommentsPermalink





(B) in subsection (d)(3), by striking `food coupons' and inserting `EBT cards'; andCommentsClose CommentsPermalink





(C) by striking `coupons' each place it appears and inserting `EBT cards'.CommentsClose CommentsPermalink





(16) Section 22 of the Food and Nutrition Act of 2007 (7 U.S.C. 2031) is amended--CommentsClose CommentsPermalink





(A) by striking `food coupons' each place it appears and inserting `benefits';CommentsClose CommentsPermalink





(B) by striking `coupons' each place it appears and inserting `benefits'; andCommentsClose CommentsPermalink





(C) in subsection (g)(1)(A), by striking `coupon' and inserting `benefits'.CommentsClose CommentsPermalink





(17) Section 26(f)(3) of the Food and Nutrition Act of 2007 (7 U.S.C. 2035(f)(3)) is amended--CommentsClose CommentsPermalink





(A) in subparagraph (A), by striking `subsections (a) through (g)' and inserting `subsections (a) through (f)'; andCommentsClose CommentsPermalink





(B) in subparagraph (E), by striking `(16), (18), (20), (24), and (25)' and inserting `(15), (17), (18), (22), and (23)'.CommentsClose CommentsPermalink





(c) Conforming Cross-References-CommentsClose CommentsPermalink





(1) IN GENERAL-CommentsClose CommentsPermalink





(A) USE OF TERMS- Each provision of law described in subparagraph (B) is amended (as applicable)--CommentsClose CommentsPermalink





(i) by striking `coupons' each place it appears and inserting `benefits';CommentsClose CommentsPermalink





(ii) by striking `coupon' each place it appears and inserting `benefit';CommentsClose CommentsPermalink





(iii) by striking `food coupons' each place it appears and inserting `benefits';CommentsClose CommentsPermalink





(iv) in each section heading, by striking `food coupons' each place it appears and inserting `benefits';CommentsClose CommentsPermalink





(v) by striking `food stamp coupon' each place it appears and inserting `benefit'; andCommentsClose CommentsPermalink





(vi) by striking `food stamps' each place it appears and inserting `benefits'.CommentsClose CommentsPermalink





(B) PROVISIONS OF LAW- The provisions of law referred to in subparagraph (A) are the following:CommentsClose CommentsPermalink





(i) Section 2 of Public Law 103-205 (7 U.S.C. 2012 note; 107 Stat. 2418).CommentsClose CommentsPermalink





(ii) Section 1956(c)(7)(D) of title 18, United States Code.CommentsClose CommentsPermalink





(iii) Titles II through XIX of the Social Security Act (42 U.S.C. 401 et seq.).CommentsClose CommentsPermalink





(iv) Section 401(b)(3) of the Social Security Amendments of 1972 (42 U.S.C. 1382e note; Public Law 92-603).CommentsClose CommentsPermalink





(v) The Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.).CommentsClose CommentsPermalink





(vi) Section 802(d)(2)(A)(i)(II) of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 8011(d)(2)(A)(i)(II)).CommentsClose CommentsPermalink





(2) DEFINITION REFERENCES-CommentsClose CommentsPermalink





(A) Section 2 of Public Law 103-205 (7 U.S.C. 2012 note; 107 Stat. 2418) is amended by striking `section 3(k)(1)' and inserting `section 3(p)(1)'.CommentsClose CommentsPermalink





(B) Section 205 of the Food Stamp Program Improvements Act of 1994 (7 U.S.C. 2012 note; Public Law 103-225) is amended by striking `section 3(k) of such Act (as amended by section 201)' and inserting `section 3(p) of that Act'.CommentsClose CommentsPermalink





(C) Section 115 of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 (21 U.S.C. 862a) is amended--CommentsClose CommentsPermalink





(i) by striking `section 3(h)' each place it appears and inserting `section 3(l)'; andCommentsClose CommentsPermalink





(ii) in subsection (e)(2), by striking `section 3(m)' and inserting `section 3(s)'.CommentsClose CommentsPermalink





(D) Section 402(a) of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 (8 U.S.C. 1612(a)) is amended--CommentsClose CommentsPermalink





(i) in paragraph (2)(F)(ii), by striking `section 3(r)' and inserting `section 3(j)'; andCommentsClose CommentsPermalink





(ii) in paragraph (3)(B), by striking `section 3(h)' and inserting `section 3(l)'.CommentsClose CommentsPermalink





(E) Section 3803(c)(2)(C)(vii) of title 31, United States Code, is amended by striking `section 3(h)' and inserting `section 3(l)'.CommentsClose CommentsPermalink





(F) Section 303(d)(4) of the Social Security Act (42 U.S.C. 503(d)(4)) is amended by striking `section 3(n)(1)' and inserting `section 3(t)(1)'.CommentsClose CommentsPermalink





(G) Section 404 of the Social Security Act (42 U.S.C. 604) is amended by striking `section 3(h)' each place it appears and inserting `section 3(l)'.CommentsClose CommentsPermalink





(H) Section 531 of the Social Security Act (42 U.S.C. 654) is amended by striking `section 3(h)' each place it appears and inserting `section 3(l)'.CommentsClose CommentsPermalink





(I) Section 802(d)(2)(A)(i)(II) of the Cranston-Gonzalez National Affordable Housing Act (42 U.S.C. 8011(d)(2)(A)(i)(II)) is amended by striking `(as defined in section 3(e) of such Act)'.CommentsClose CommentsPermalink





(d) References- Any reference in any Federal, State, tribal, or local law (including regulations) to a `coupon', `authorization card', or other access device provided under the Food and Nutrition Act of 2007 (7 U.S.C. 2011 et seq.) shall be considered to be a reference to a `benefit' provided under that Act.CommentsClose CommentsPermalink

SEC. 4203. CLARIFICATION OF SPLIT ISSUANCE.

Section 7(h) of the Food and Nutrition Act of 2007 (7 U.S.C. 2016(h)) is amended by striking paragraph (2) and inserting the following:CommentsClose CommentsPermalink





`(2) REQUIREMENTS-CommentsClose CommentsPermalink





`(A) IN GENERAL- Any procedure established under paragraph (1) shall--CommentsClose CommentsPermalink





`(i) not reduce the allotment of any household for any period; andCommentsClose CommentsPermalink





`(ii) ensure that no household experiences an interval between issuances of more than 40 days.CommentsClose CommentsPermalink





`(B) MULTIPLE ISSUANCES- The procedure may include issuing benefits to a household in more than 1 issuance only when a benefit correction is necessary.'.CommentsClose CommentsPermalink

SEC. 4204. STATE OPTION FOR TELEPHONIC SIGNATURE.

Section 11(e)(2)(C) of the Food and Nutrition Act of 2007 (7 U.S.C. 2020(e)(2)(C)) is amended--CommentsClose CommentsPermalink





(1) by striking `Nothing in this Act' and inserting the following:CommentsClose CommentsPermalink





`(C) ELECTRONIC AND AUTOMATED SYSTEMS-CommentsClose CommentsPermalink





`(i) IN GENERAL- Nothing in this Act'; andCommentsClose CommentsPermalink





(2) by adding at the end the following:CommentsClose CommentsPermalink





`(ii) STATE OPTION FOR TELEPHONIC SIGNATURE- A State agency may establish a system by which an applicant household may sign an application through a recorded verbal assent over the telephone.CommentsClose CommentsPermalink





`(iii) REQUIREMENTS- A system established under clause (ii) shall--CommentsClose CommentsPermalink





`(I) record for future reference the verbal assent of the household member and the information to which assent was given;CommentsClose CommentsPermalink





`(II) include effective safeguards against impersonation, identity theft, and invasions of privacy;CommentsClose CommentsPermalink





`(III) not deny or interfere with the right of the household to apply in writing;CommentsClose CommentsPermalink





`(IV) promptly provide to the household member a written copy of the completed application, with instructions for a simple procedure for correcting any errors or omissions;CommentsClose CommentsPermalink





`(V) comply with paragraph (1)(B);CommentsClose CommentsPermalink





`(VI) satisfy all requirements for a signature on an application under this Act and other laws applicable to the food and nutrition program, with the date on which the household member provides verbal assent considered as the date of application for all purposes; andCommentsClose CommentsPermalink





`(VII) comply with such other standards as the Secretary may establish.'.CommentsClose CommentsPermalink

SEC. 4205. PRIVACY PROTECTIONS.

Section 11(e)(8) of the Food and Nutrition Act of 2007 (7 U.S.C. 2020(e)(8)) is amended--CommentsClose CommentsPermalink





(1) in the matter preceding subparagraph (A)--CommentsClose CommentsPermalink





(A) by striking `limit' and inserting `prohibit'; andCommentsClose CommentsPermalink





(B) by striking `to persons' and all that follows through `State programs';CommentsClose CommentsPermalink





(2) by redesignating subparagraphs (A) through (E) as subparagraphs (B) through (F), respectively;CommentsClose CommentsPermalink





(3) by inserting before subparagraph (B) (as so redesignated) the following:CommentsClose CommentsPermalink





`(A) the safeguards shall permit--CommentsClose CommentsPermalink





`(i) the disclosure of such information to persons directly connected with the administration or enforcement of the provisions of this Act, regulations issued pursuant to this Act, Federal assistance programs, or federally-assisted State programs; andCommentsClose CommentsPermalink





`(ii) the subsequent use of the information by persons described in clause (i) only for such administration or enforcement;'; andCommentsClose CommentsPermalink





(4) in subparagraph (F) (as so redesignated) by inserting `or subsection (u)' before the semicolon at the end.CommentsClose CommentsPermalink

SEC. 4206. STUDY ON COMPARABLE ACCESS TO FOOD AND NUTRITION ASSISTANCE FOR PUERTO RICO.

(a) In General- The Secretary shall carry out a study of the feasibility and effects of including the Commonwealth of Puerto Rico in the definition of the term `State' under section 3 of the Food and Nutrition Act of 2007 (7 U.S.C. 2012), in lieu of providing block grants under section 19 of that Act (7 U.S.C. 2028).CommentsClose CommentsPermalink





(b) Inclusions- The study shall include--CommentsClose CommentsPermalink





(1) an assessment of the administrative, financial management, and other changes that would be necessary for the Commonwealth to establish a comparable food and nutrition program, including compliance with appropriate program rules under the Food and Nutrition Act of 2007 (7 U.S.C. 2011 et seq,), such as--CommentsClose CommentsPermalink





(A) benefit levels under section 3(o) of that Act (7 U.S.C. 3012(o));CommentsClose CommentsPermalink





(B) income eligibility standards under sections 5(c) and 6 of that Act (7 U.S.C. 2014(c), 2015); andCommentsClose CommentsPermalink





(C) deduction levels under section 5(e) of that Act (7 U.S.C. 2014(e));CommentsClose CommentsPermalink





(2) an estimate of the impact on Federal and Commonwealth benefit and administrative costs;CommentsClose CommentsPermalink





(3) an assessment of the impact of the program on low-income Puerto Ricans, as compared to the program under section 19 of that Act (7 U.S.C. 2028);CommentsClose CommentsPermalink





(4) such other matters as the Secretary considers to be appropriate.CommentsClose CommentsPermalink





(c) Report- Not later than 1 year after the date of enactment of this Act, the Secretary shall submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report that describes the results of the study conducted under this section.CommentsClose CommentsPermalink





(d) Funding-CommentsClose CommentsPermalink





(1) IN GENERAL- On October 1, 2008, out of any funds in the Treasury not otherwise appropriated, the Secretary of the Treasury shall transfer to the Secretary to carry out this section $1,000,000, to remain available until expended.CommentsClose CommentsPermalink





(2) RECEIPT AND ACCEPTANCE- The Secretary shall be entitled to receive, shall accept, and shall use to carry out this section the funds transferred under paragraph (1), without further appropriation.CommentsClose CommentsPermalink

SEC. 4207. CIVIL RIGHTS COMPLIANCE.

Section 11 of the Food and Nutrition Act of 2007 (7 U.S.C. 2020) is amended by striking subsection (c) and inserting the following:CommentsClose CommentsPermalink





`(c) Civil Rights Compliance-CommentsClose CommentsPermalink





`(1) IN GENERAL- In the certification of applicant households for the food and nutrition program, there shall be no discrimination by reason of race, sex, religious creed, national origin, or political affiliation.CommentsClose CommentsPermalink





`(2) RELATION TO OTHER LAWS- The administration of the program by a State agency shall be consistent with the rights of households under the following laws (including implementing regulations):CommentsClose CommentsPermalink





`(A) The Age Discrimination Act of 1975 (42 U.S.C. 6101 et seq.).CommentsClose CommentsPermalink





`(B) Section 504 of the Rehabilitation Act of 1973 (29 U.S.C. 794).CommentsClose CommentsPermalink





`(C) The Americans with Disabilities Act of 1990 (42 U.S.C. 12101 et seq.).CommentsClose CommentsPermalink





`(D) Title VI of the Civil Rights Act of 1964 (42 U.S.C. 2000d et seq.).'.CommentsClose CommentsPermalink

SEC. 4208. EMPLOYMENT, TRAINING, AND JOB RETENTION.

Section 6(d)(4) of the Food and Nutrition Act of 2007 (7 U.S.C. 2015(d)(4)) is amended--CommentsClose CommentsPermalink





(1) in subparagraph (B)--CommentsClose CommentsPermalink





(A) by redesignating clause (vii) as clause (viii); andCommentsClose CommentsPermalink





(B) by inserting after clause (vi) the following:CommentsClose CommentsPermalink





`(vii) Programs intended to ensure job retention by providing job retention services, if the job retention services are provided for a period of not more than 90 days after an individual who received employment and training services under this paragraph gains employment.'; andCommentsClose CommentsPermalink





(2) in subparagraph (F), by adding at the end the following:CommentsClose CommentsPermalink





`(iii) Any individual voluntarily electing to participate in a program under this paragraph shall not be subject to the limitations described in clauses (i) and (ii).'.CommentsClose CommentsPermalink

SEC. 4209. CODIFICATION OF ACCESS RULES.

Section 11(e)(1)) of the Food and Nutrition Act of 2007 (7 U.S.C. 2020(e)(1)) is amended--CommentsClose CommentsPermalink





(1) by striking `shall (A) at' and inserting `shall--CommentsClose CommentsPermalink





`(A) at'; andCommentsClose CommentsPermalink





(2) by striking `and (B) use' and inserting `andCommentsClose CommentsPermalink





`(B) comply with regulations of the Secretary requiring the use of'.CommentsClose CommentsPermalink

SEC. 4210. EXPANDING THE USE OF EBT CARDS AT FARMERS' MARKETS.

(a) In General- For each of fiscal years 2008 through 2010, the Secretary shall make grants to pay 100 percent of the costs of eligible entities approved by the Secretary to carry out projects to expand the number of farmers' markets that accept EBT cards by--CommentsClose CommentsPermalink





(1) providing equipment and training necessary for farmers' markets to accept EBT cards;CommentsClose CommentsPermalink





(2) educating and providing technical assistance to farmers and farmers' market operators about the process and benefits of accepting EBT cards; orCommentsClose CommentsPermalink





(3) other activities considered to be appropriate by the Secretary.CommentsClose CommentsPermalink





(b) Limitation- A grant under this section--CommentsClose CommentsPermalink





(1) may not be made for the ongoing cost of carrying out any project; andCommentsClose CommentsPermalink





(2) shall only be provided to eligible entities that demonstrate a plan to continue to provide EBT card access at 1 or more farmers' markets following the receipt of the grant.CommentsClose CommentsPermalink





(c) Eligible Entities- To be eligible to receive a grant under this section, an entity shall be--CommentsClose CommentsPermalink





(1) a State agency administering the food and nutrition program established under the Food and Nutrition Act of 2007 (7 U.S.C. 2011 et seq.);CommentsClose CommentsPermalink





(2) a State agency or local government; orCommentsClose CommentsPermalink





(3) a private nonprofit entity that coordinates farmers' markets in a State in cooperation with a State or local government.CommentsClose CommentsPermalink





(d) Selection of Eligible Entities- The Secretary--CommentsClose CommentsPermalink





(1) shall develop criteria to select eligible entities to receive grants under this section; andCommentsClose CommentsPermalink





(2) may give preference to any eligible entity that consists of a partnership between a government entity and a nongovernmental entity.CommentsClose CommentsPermalink





(e) Mandatory Funding-CommentsClose CommentsPermalink





(1) IN GENERAL- On October 1, 2007, out of any funds in the Treasury not otherwise appropriated, the Secretary of the Treasury shall transfer to the Secretary of Agriculture to carry out this section $5,000,000, to remain available until expended.CommentsClose CommentsPermalink





(2) RECEIPT AND ACCEPTANCE- The Secretary shall be entitled to receive, shall accept, and shall use to carry out this section the funds transferred under paragraph (1), without further appropriation.CommentsClose CommentsPermalink

SEC. 4211. REVIEW OF MAJOR CHANGES IN PROGRAM DESIGN.

Section 11 of the Food and Nutrition Act of 2007 (7 U.S.C. 2020) is amended by striking subsection (a) and inserting the following:CommentsClose CommentsPermalink





`(a) State Responsibility-CommentsClose CommentsPermalink





`(1) IN GENERAL- The State agency of each participating State shall have responsibility for certifying applicant households and issuing EBT cards.CommentsClose CommentsPermalink





`(2) LOCAL ADMINISTRATION- The responsibility of the agency of the State government shall not be affected by whether the program is operated on a State-administered or county-administered basis, as provided under section 3(t)(1).CommentsClose CommentsPermalink





`(3) RECORDS-CommentsClose CommentsPermalink





`(A) IN GENERAL- Each State agency shall keep such records as may be necessary to determine whether the program is being conducted in compliance with this Act (including regulations issued under this Act).CommentsClose CommentsPermalink





`(B) INSPECTION AND AUDIT- Records described in subparagraph (A) shall--CommentsClose CommentsPermalink





`(i) be available for inspection and audit at any reasonable time;CommentsClose CommentsPermalink





`(ii) subject to subsection (e)(8), be available for review in any action filed by a household to enforce any provision of this Act (including regulations issued under this Act); andCommentsClose CommentsPermalink





`(iii) be preserved for such period of not less than 3 years as may be specified in regulations.CommentsClose CommentsPermalink





`(4) REVIEW OF MAJOR CHANGES IN PROGRAM DESIGN-CommentsClose CommentsPermalink





`(A) IN GENERAL- The Secretary shall develop standards for identifying major changes in the operations of a State agency, including--CommentsClose CommentsPermalink





`(i) large or substantially-increased numbers of low-income households that do not live in reasonable proximity to an office performing the major functions described in subsection (e);CommentsClose CommentsPermalink





`(ii) substantial increases in reliance on automated systems for the performance of responsibilities previously performed by personnel described in subsection (e)(6)(B);CommentsClose CommentsPermalink





`(iii) changes that potentially increase the difficulty of reporting information under subsection (e) or section 6(c); andCommentsClose CommentsPermalink





`(iv) changes that may disproportionately increase the burdens on any of the types of households described in subsection (e)(2)(A).CommentsClose CommentsPermalink





`(B) NOTIFICATION- If a State agency implements a major change in operations, the State agency shall--CommentsClose CommentsPermalink





`(i) notify the Secretary; andCommentsClose CommentsPermalink





`(ii) collect such information as the Secretary shall require to identify and correct any adverse effects on program integrity or access, including access by any of the types of households described in subsection (e)(2)(A).'.CommentsClose CommentsPermalink

SEC. 4212. PRESERVATION OF ACCESS AND PAYMENT ACCURACY.

Section 16 of the Food and Nutrition Act of 2007 (7 U.S.C. 2025) is amended by striking subsection (g) and inserting the following:CommentsClose CommentsPermalink





`(g) Cost Sharing for Computerization-CommentsClose CommentsPermalink





`(1) IN GENERAL- Except as provided in paragraphs (2) and (3), the Secretary is authorized to pay to each State agency the amount provided under subsection (a)(6) for the costs incurred by the State agency in the planning, design, development, or installation of 1 or more automatic data processing and information retrieval systems that the Secretary determines--CommentsClose CommentsPermalink





`(A) would assist in meeting the requirements of this Act;CommentsClose CommentsPermalink





`(B) meet such conditions as the Secretary prescribes;CommentsClose CommentsPermalink





`(C) are likely to provide more efficient and effective administration of the food and nutrition program;CommentsClose CommentsPermalink





`(D) would be compatible with other systems used in the administration of State programs, including the program funded under part A of title IV of the Social Security Act (42 U.S.C. 601 et seq.);CommentsClose CommentsPermalink





`(E) would be tested adequately before and after implementation, including through pilot projects in limited areas for major systems changes as determined under rules promulgated by the Secretary, data from which shall be thoroughly evaluated before the Secretary approves the system to be implemented more broadly; andCommentsClose CommentsPermalink





`(F) would be operated in accordance with an adequate plan for--CommentsClose CommentsPermalink





`(i) continuous updating to reflect changed policy and circumstances; andCommentsClose CommentsPermalink





`(ii) testing the effect of the system on access for eligible households and on payment accuracy.CommentsClose CommentsPermalink





`(2) LIMITATION- The Secretary shall not make payments to a State agency under paragraph (1) to the extent that the State agency--CommentsClose CommentsPermalink





`(A) is reimbursed for the costs under any other Federal program; orCommentsClose CommentsPermalink





`(B) uses the systems for purposes not connected with the food and nutrition program.'.CommentsClose CommentsPermalink

SEC. 4213. NUTRITION EDUCATION.

(a) Authority To Provide Nutrition Education- Section 4(a) of the Food and Nutrition Act of 2007 (7 U.S.C. 2013(a)) is amended in the first sentence by inserting `and through an approved State plan, nutrition education' after `an allotment'.CommentsClose CommentsPermalink





(b) Implementation- Section 11 of the Food and Nutrition Act of 2007 (7 U.S.C. 2020(f) is amended by striking subsection (f) and inserting the following:CommentsClose CommentsPermalink





`(f) Nutrition Education-CommentsClose CommentsPermalink





`(1) IN GENERAL- State agencies may implement a nutrition education program for individuals eligible for program benefits that promotes healthy food choices consistent with the most recent Dietary Guidelines for Americans published under section 301 of the National Nutrition Monitoring and Related Research Act of 1990 (7 U.S.C. 5341).CommentsClose CommentsPermalink





`(2) DELIVERY OF NUTRITION EDUCATION- State agencies may deliver nutrition education directly to eligible persons or through agreements with the Cooperative State Research, Education, and Extension Service, including through the expanded food and nutrition education under section 3(d) of the Act of May 8, 1914 (7 U.S.C. 343(d)), and other State and community health and nutrition providers and organizations.CommentsClose CommentsPermalink





`(3) NUTRITION EDUCATION STATE PLANS-CommentsClose CommentsPermalink





`(A) IN GENERAL- A State agency that elects to provide nutrition education under this subsection shall submit a nutrition education State plan to the Secretary for approval.CommentsClose CommentsPermalink





`(B) REQUIREMENTS- The plan shall--CommentsClose CommentsPermalink





`(i) identify the uses of the funding for local projects; andCommentsClose CommentsPermalink





`(ii) conform to standards established by the Secretary through regulations or guidance.CommentsClose CommentsPermalink





`(C) REIMBURSEMENT- State costs for providing nutrition education under this subsection shall be reimbursed pursuant to section 16(a).CommentsClose CommentsPermalink





`(4) NOTIFICATION- To the maximum extent practicable, State agencies shall notify applicants, participants, and eligible program participants of the availability of nutrition education under this subsection.'.CommentsClose CommentsPermalink

PART IV--IMPROVING PROGRAM INTEGRITY

SEC. 4301. MAJOR SYSTEMS FAILURES.

(a) In General- Section 13(b) of the Food and Nutrition Act of 2007 (7 U.S.C. 2022(b)) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(5) OVER ISSUANCES CAUSED BY SYSTEMIC STATE ERRORS-CommentsClose CommentsPermalink





`(A) IN GENERAL- If the Secretary determines that a State agency over issued benefits to a substantial number of households in a fiscal year as a result of a major systemic error by the State agency, as determined by the Secretary, the Secretary may prohibit the State agency from collecting these over issuances from some or all households.CommentsClose CommentsPermalink





`(B) PROCEDURES-CommentsClose CommentsPermalink





`(i) INFORMATION REPORTING BY STATES- Every State agency shall provide to the Secretary all information requested by the Secretary concerning the issuance of benefits to households by the State agency in the applicable fiscal year.CommentsClose CommentsPermalink





`(ii) FINAL DETERMINATION- After reviewing relevant information provided by a State agency, the Secretary shall make a final determination--CommentsClose CommentsPermalink





`(I) whether the State agency over issued benefits to a substantial number of households as a result of a systemic error in the applicable fiscal year; andCommentsClose CommentsPermalink





`(II) as to the amount of the over issuance in the applicable fiscal year for which the State agency is liable.CommentsClose CommentsPermalink





`(iii) ESTABLISHING A CLAIM- Upon determining under clause (ii) that a State agency has over issued benefits to households due to a major systemic error determined under subparagraph (A), the Secretary shall establish a claim against the State agency equal to the value of the over issuance caused by the systemic error.CommentsClose CommentsPermalink





`(iv) ADMINISTRATIVE AND JUDICIAL REVIEW- Administrative and judicial review, as provided in section 14, shall apply to the final determinations by the Secretary under clause (ii).CommentsClose CommentsPermalink





`(v) REMISSION TO THE SECRETARY-CommentsClose CommentsPermalink





`(I) DETERMINATION NOT APPEALED- If the determination of the Secretary under clause (ii) is not appealed, the State agency shall, as soon as practicable, remit to the Secretary the dollar amount specified in the claim under clause (iii).CommentsClose CommentsPermalink





`(II) DETERMINATION APPEALED- If the determination of the Secretary under clause (ii) is appealed, upon completion of administrative and judicial review under clause (iv), and a finding of liability on the part of the State, the appealing State agency shall, as soon as practicable, remit to the Secretary a dollar amount subject to the finding of the administrative and judicial review.CommentsClose CommentsPermalink





`(vi) ALTERNATIVE METHOD OF COLLECTION-CommentsClose CommentsPermalink





`(I) IN GENERAL- If a State agency fails to make a payment under clause (v) within a reasonable period of time, as determined by the Secretary, the Secretary may reduce any amount due to the State agency under any other provision of this Act by the amount due.CommentsClose CommentsPermalink





`(II) ACCRUAL OF INTEREST- During the period of time determined by the Secretary to be reasonable under subclause (I), interest in the amount owed shall not accrue.CommentsClose CommentsPermalink





`(vii) LIMITATION- Any liability amount established under section 16(c)(1)(C) shall be reduced by the amount of the claim established under this subparagraph.'.CommentsClose CommentsPermalink





(b) Conforming Amendment- Section 14(a)(6) of the Food and Nutrition Act of 2007 (7 U.S.C. 2023(a)(6)) is amended by striking `pursuant to section' and inserting `pursuant to section 13(b)(5) and'.CommentsClose CommentsPermalink

SEC. 4302. PERFORMANCE STANDARDS FOR BIOMETRIC IDENTIFICATION TECHNOLOGY.

Section 16 of the Food and Nutrition Act of 2007 (7 U.S.C. 2025) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(l) Performance Standards for Biometric Identification Technology-CommentsClose CommentsPermalink





`(1) DEFINITION OF BIOMETRIC IDENTIFICATION TECHNOLOGY- In this subsection, the term `biometric identification technology' means a technology that provides an automated method to identify an individual based on physical characteristics, such as fingerprints or retinal scans.CommentsClose CommentsPermalink





`(2) ADMINISTRATIVE FUNDS- The Secretary may not pay a State agency any amount for administrative costs for the development, purchase, administration, or other costs associated with the use of biometric identification technology unless the State agency has, under such terms and conditions as the Secretary considers appropriate--CommentsClose CommentsPermalink





`(A) provided to the Secretary an analysis of the cost-effectiveness of the use of the proposed biometric identification technology to detect fraud in carrying out the food and nutrition program;CommentsClose CommentsPermalink





`(B) demonstrated to the Secretary that the analysis is--CommentsClose CommentsPermalink





`(i) statistically valid; andCommentsClose CommentsPermalink





`(ii) based on appropriate and valid assumptions for the households served by the food and nutrition program;CommentsClose CommentsPermalink





`(C) demonstrated to the Secretary that--CommentsClose CommentsPermalink





`(i) the proposed biometric identification technology is cost-effective in reducing fraud; andCommentsClose CommentsPermalink





`(ii) there are no other technologies or fraud-detection methods that are at least as cost-effective in carrying out the purposes of the proposed biometric identification system; andCommentsClose CommentsPermalink





`(D) demonstrated to the Secretary that no information produced by or used in the biometric information technology system will be made available or used for any purpose other than a purpose allowed under section 11(e)(8).CommentsClose CommentsPermalink





`(3) STANDARDS- The Secretary shall establish uniform standards for the evaluation of cost-effectiveness analyses submitted to the Secretary under paragraph (2).'.CommentsClose CommentsPermalink

SEC. 4303. CIVIL PENALTIES AND DISQUALIFICATION OF RETAIL FOOD STORES AND WHOLESALE FOOD CONCERNS.

Section 12 of the Food and Nutrition Act of 2007 (7 U.S.C. 2021) is amended--CommentsClose CommentsPermalink





(1) by striking the section designation and heading and all that follows through the end of subsection (a) and inserting the following:CommentsClose CommentsPermalink

`SEC. 12. CIVIL PENALTIES AND DISQUALIFICATION OF RETAIL FOOD STORES AND WHOLESALE FOOD CONCERNS.

`(a) Disqualification-CommentsClose CommentsPermalink





`(1) IN GENERAL- An approved retail food store or wholesale food concern that violates a provision of this Act or a regulation under this Act may be--CommentsClose CommentsPermalink





`(A) disqualified for a specified period of time from further participation in the food and nutrition program; orCommentsClose CommentsPermalink





`(B) assessed a civil penalty of up to $100,000 for each violation.CommentsClose CommentsPermalink





`(2) REGULATIONS- Regulations promulgated under this Act shall provide criteria for the finding of a violation of, the suspension or disqualification of, and the assessment of a civil penalty against, a retail food store or wholesale food concern on the basis of evidence that may include facts established through on-site investigations, inconsistent redemption data, or evidence obtained through a transaction report under an electronic benefit transfer system.';CommentsClose CommentsPermalink





(2) in subsection (b)--CommentsClose CommentsPermalink





(A) by striking `(b) Disqualification' and inserting the following:CommentsClose CommentsPermalink





`(b) Period of Disqualification- Subject to subsection (c), a disqualification';CommentsClose CommentsPermalink





(B) in paragraph (1), by striking `of no less than six months nor more than five years' and inserting `not to exceed 5 years';CommentsClose CommentsPermalink





(C) in paragraph (2), by striking `of no less than twelve months nor more than ten years' and inserting `not to exceed 10 years';CommentsClose CommentsPermalink





(D) in paragraph (3)(B)--CommentsClose CommentsPermalink





(i) by inserting `or a finding of the unauthorized redemption, use, transfer, acquisition, alteration, or possession of EBT cards' after `concern' the first place it appears; andCommentsClose CommentsPermalink





(ii) by striking `civil money penalties' and inserting `civil penalties'; andCommentsClose CommentsPermalink





(E) by striking `civil money penalty' each place it appears and inserting `civil penalty';CommentsClose CommentsPermalink





(3) in subsection (c)--CommentsClose CommentsPermalink





(A) by striking `(c) The action' and inserting the following:CommentsClose CommentsPermalink





`(c) Civil Penalty and Review of Disqualification and Penalty Determinations-CommentsClose CommentsPermalink





`(1) CIVIL PENALTY- In addition to a disqualification under this section, the Secretary may assess a civil penalty in an amount not to exceed $100,000 for each violation.CommentsClose CommentsPermalink





`(2) REVIEW- The action'; andCommentsClose CommentsPermalink





(B) in paragraph (2) (as designated by subparagraph (A)), by striking `civil money penalty' and inserting `civil penalty';CommentsClose CommentsPermalink





(4) in subsection (d)--CommentsClose CommentsPermalink





(A) by striking `(d)' and all that follows through `. The Secretary shall' and inserting the following:CommentsClose CommentsPermalink





`(d) Conditions of Authorization-CommentsClose CommentsPermalink





`(1) IN GENERAL- As a condition of authorization to accept and redeem benefits, the Secretary may require a retail food store or wholesale food concern that, pursuant to subsection (a), has been disqualified for more than 180 days, or has been subjected to a civil penalty in lieu of a disqualification period of more than 180 days, to furnish a collateral bond or irrevocable letter of credit for a period of not more than 5 years to cover the value of benefits that the store or concern may in the future accept and redeem in violation of this Act.CommentsClose CommentsPermalink





`(2) COLLATERAL- The Secretary also may require a retail food store or wholesale food concern that has been sanctioned for a violation and incurs a subsequent sanction regardless of the length of the disqualification period to submit a collateral bond or irrevocable letter of credit.CommentsClose CommentsPermalink





`(3) BOND REQUIREMENTS- The Secretary shall';CommentsClose CommentsPermalink





(B) by striking `If the Secretary finds' and inserting the following:CommentsClose CommentsPermalink





`(4) FORFEITURE- If the Secretary finds'; andCommentsClose CommentsPermalink





(C) by striking `Such store or concern' and inserting the following:CommentsClose CommentsPermalink





`(5) HEARING- A store or concern described in paragraph (4)';CommentsClose CommentsPermalink





(5) in subsection (e), by striking `civil money penalty' each place it appears and inserting `civil penalty'; andCommentsClose CommentsPermalink





(6) by adding at the end the following:CommentsClose CommentsPermalink





`(h) Flagrant Violations-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Secretary, in consultation with the Inspector General of the Department of Agriculture, shall establish procedures under which the processing of program benefit redemptions for a retail food store or wholesale food concern may be immediately suspended pending administrative action to disqualify the retail food store or wholesale food concern.CommentsClose CommentsPermalink





`(2) REQUIREMENTS- Under the procedures described in paragraph (1), if the Secretary, in consultation with the Inspector General, determines that a retail food store or wholesale food concern is engaged in flagrant violations of this Act (including regulations promulgated under this Act), unsettled program benefits that have been redeemed by the retail food store or wholesale food concern--CommentsClose CommentsPermalink





`(A) may be suspended; andCommentsClose CommentsPermalink





`(B)(i) if the program disqualification is upheld, may be subject to forfeiture pursuant to subsection (g); orCommentsClose CommentsPermalink





`(ii) if the program disqualification is not upheld, shall be released to the retail food store or wholesale food concern.CommentsClose CommentsPermalink





`(3) NO LIABILITY FOR INTEREST- The Secretary shall not be liable for the value of any interest on funds suspended under this subsection.'.CommentsClose CommentsPermalink

SEC. 4304. FUNDING OF EMPLOYMENT AND TRAINING PROGRAMS.

(a) In General- Section 16(h)(1)(A) of the Food and Nutrition Act of 2007 (7 U.S.C. 2025(h)(1)(A)) is amended in subparagraph (A), by striking `to remain available until expended' and inserting `to remain available for 2 fiscal years'.CommentsClose CommentsPermalink





(b) Rescission of Funds- Notwithstanding any other provision of law, funds provided under section 16(h)(1)(A) of the Food and Nutrition Act of 2007 (7 U.S.C. 2025(h)(1)(A)) for any fiscal year before the fiscal year beginning October 1, 2007, shall be rescinded on the date of enactment of this Act, unless obligated by a State agency before that date.CommentsClose CommentsPermalink

SEC. 4305. ELIGIBILITY DISQUALIFICATION.

Section 6 of the Food and Nutrition Assistance Act of 2007 (7 U.S.C. 2015) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(p) Disqualification for Obtaining Cash by Destroying Food and Collecting Deposits- Any person who has been found by a State or Federal court or administrative agency or in a hearing under subsection (b) to have intentionally obtained cash by purchasing products with food and nutrition benefits that have containers that require return deposits, discarding the product, and returning the container for the deposit amount shall be ineligible for benefits under this Act for such period of time as the Secretary shall prescribe by regulation.CommentsClose CommentsPermalink





`(q) Disqualification for Sale of Food Purchased With Food and Nutrition Benefits- Subject to any requirements established by the Secretary, any person who has been found by a State or Federal court or administrative agency or in a hearing under subsection (b) to have intentionally sold any food that was purchased using food and nutrition benefits shall be ineligible for benefits under this Act for such period of time as the Secretary shall prescribe by regulation.'.CommentsClose CommentsPermalink

PART V--MISCELLANEOUS

SEC. 4401. DEFINITION OF STAPLE FOODS.

Subsection (r) of section 3 of the Food and Nutrition Act of 2007 (7 U.S.C. 2012) (as redesignated by section 4202(b)(1)(M)) is amended--CommentsClose CommentsPermalink





(1) by striking `(r)(1) Except' and inserting the following:CommentsClose CommentsPermalink





`(r) Staple Foods-CommentsClose CommentsPermalink





`(1) IN GENERAL- Except'; andCommentsClose CommentsPermalink





(2) by striking paragraph (2) and inserting the following:CommentsClose CommentsPermalink





`(2) EXCEPTIONS- The term `staple foods' does not include accessory food items, such as coffee, tea, cocoa, carbonate and uncarbonated drinks, candy, condiments, and spices, or dietary supplements.CommentsClose CommentsPermalink





`(3) DEPTH OF STOCK- The Secretary may issue regulations to define depth of stock to ensure that stocks of staple foods are available on a continuous basis.'.CommentsClose CommentsPermalink

SEC. 4402. ACCESSORY FOOD ITEMS.

Section 9(a) of the Food and Nutrition Act of 2007 (7 U.S.C. 2018(a)) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(4) ACCESSORY FOOD ITEMS-CommentsClose CommentsPermalink





`(A) IN GENERAL- Not later than 1 year after the date of enactment of this paragraph, the Secretary shall promulgate proposed regulations providing that a dietary supplement shall not be considered an accessory food item unless the dietary supplement--CommentsClose CommentsPermalink





`(i) contains folic acid or calcium in accordance with sections 101.72 and 101.79 of title 21, Code of Federal Regulations (as in effect on the date of enactment of this paragraph); andCommentsClose CommentsPermalink





`(ii) is a multivitamin-mineral supplement that--CommentsClose CommentsPermalink





`(I) provides at least 2/3 of the essential vitamins and minerals at 100 percent of the daily value levels, as determined by the Food and Drug Administration; andCommentsClose CommentsPermalink





`(II) does not exceed the daily upper limit for those nutrients for which an established daily upper limit has been determined by the Institute of Medicine of the National Academy of Sciences.CommentsClose CommentsPermalink





`(B) FINAL REGULATIONS- Not later than 2 years after the date of enactment of this paragraph, the Secretary shall promulgate final regulations in accordance with subparagraph (A).CommentsClose CommentsPermalink





`(C) PURCHASE OF DIETARY SUPPLEMENTS- No dietary supplements may be purchased using benefits under this Act until the earlier of--CommentsClose CommentsPermalink





`(i) the date on which the Secretary promulgates final regulations under subparagraph (B); orCommentsClose CommentsPermalink





`(ii) the date on which the Secretary certifies a voluntary system of labeling for the ready and accurate identification of eligible dietary supplements, as developed by the Secretary in consultation with the dietary supplement industry and dietary supplement retailers.'.CommentsClose CommentsPermalink

SEC. 4403. PILOT PROJECTS TO EVALUATE HEALTH AND NUTRITION PROMOTION IN THE FOOD AND NUTRITION PROGRAM.

Section 17 of the Food and Nutrition Act of 2007 (7 U.S.C. 2026) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(k) Pilot Projects To Evaluate Health and Nutrition Promotion in the Food and Nutrition Program-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Secretary shall carry out, under such terms and conditions as the Secretary considers to be appropriate, pilot projects to develop and test methods--CommentsClose CommentsPermalink





`(A) of using the food and nutrition program to improve the dietary and health status of households participating in the food and nutrition program; andCommentsClose CommentsPermalink





`(B) to reduce overweight, obesity, and associated co-morbidities in the United States.CommentsClose CommentsPermalink





`(2) PROJECTS- Pilot projects carried out under paragraph (1) may include projects to determine whether healthier food purchases by and healthier diets among households participating in the food and nutrition program result from projects that--CommentsClose CommentsPermalink





`(A) increase the food and nutrition assistance purchasing power of the participating households by providing increased food and nutrition assistance benefit allotments to the participating households;CommentsClose CommentsPermalink





`(B) increase access to farmers markets by participating households through the electronic redemption of food and nutrition assistance at the farmers markets;CommentsClose CommentsPermalink





`(C) provide incentives to authorized food and nutrition program vendors to increase the availability of healthy foods to participating households;CommentsClose CommentsPermalink





`(D) subject authorized food and nutrition program vendors to stricter vendor requirements with respect to carrying and stocking healthy foods;CommentsClose CommentsPermalink





`(E) provide incentives at the point of purchase to encourage participating households to purchase fruits, vegetables, or other healthy foods; orCommentsClose CommentsPermalink





`(F) provide to participating households integrated communication and education programs, including the provision of funding for a portion of a school based nutrition coordinator to implement a broad nutrition action plan and parent nutrition education programs in elementary schools, separately or in combination with pilot projects carried out under subparagraphs (A) through (E).CommentsClose CommentsPermalink





`(3) DURATION- A pilot project carried out under this subsection shall have a term of not more than 5 years.CommentsClose CommentsPermalink





`(4) EVALUATIONS AND REPORTS-CommentsClose CommentsPermalink





`(A) EVALUATIONS-CommentsClose CommentsPermalink





`(i) INDEPENDENT EVALUATION-CommentsClose CommentsPermalink





`(I) IN GENERAL- The Secretary shall provide for an independent evaluation of each pilot project under this subsection that measures the impact of the pilot program on health and nutrition as described in paragraph (1).CommentsClose CommentsPermalink





`(II) REQUIREMENT- The independent evaluation under subclause (I) shall use rigorous methodologies, particularly random assignment or other methods that are capable of producing scientifically-valid information regarding which activities are effective.CommentsClose CommentsPermalink





`(ii) COSTS- The Secretary may use funds provided to carry out this section to pay costs associated with monitoring and evaluating each pilot project.CommentsClose CommentsPermalink





`(B) REPORTS- Not later than 90 days after the last day of fiscal year 2008 and each fiscal year thereafter until the completion of the last evaluation under subparagraph (A), the Secretary shall submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report that includes a description of--CommentsClose CommentsPermalink





`(i) the status of each pilot project;CommentsClose CommentsPermalink





`(ii) the results of the evaluation completed during the previous fiscal year; andCommentsClose CommentsPermalink





`(iii) to the maximum extent practicable--CommentsClose CommentsPermalink





`(I) the impact of the pilot project on appropriate health, nutrition, and associated behavioral outcomes among households participating in the pilot project;CommentsClose CommentsPermalink





`(II) baseline information relevant to the stated goals and desired outcomes of the pilot project; andCommentsClose CommentsPermalink





`(III) equivalent information about similar or identical measures among control or comparison groups that did not participate in the pilot project.CommentsClose CommentsPermalink





`(5) FUNDING-CommentsClose CommentsPermalink





`(A) IN GENERAL- Out of any funds made available under section 18, the Secretary shall use $50,000,000 to carry out this section, to remain available until expended.CommentsClose CommentsPermalink





`(B) USE OF FUNDS- Of funds made available under subparagraph (A), the Secretary shall use not more than $25,000,000 to carry out a pilot project described in paragraph (2)(E).'.CommentsClose CommentsPermalink

SEC. 4404. BILL EMERSON NATIONAL HUNGER FELLOWS AND MICKEY LELAND INTERNATIONAL HUNGER FELLOWS.

(a) In General- The Food and Nutrition Act of 2007 (7 U.S.C. 2011 et seq.) is amended by adding at the end the following:CommentsClose CommentsPermalink

`SEC. 28. BILL EMERSON NATIONAL HUNGER FELLOWS AND MICKEY LELAND INTERNATIONAL HUNGER FELLOWS.

`(a) Short Title- This section may be cited as the `Bill Emerson National Hunger Fellows and Mickey Leland International Hunger Fellows Program Act of 2007'.CommentsClose CommentsPermalink





`(b) Findings- Congress finds that--CommentsClose CommentsPermalink





`(1) there is a critical need for compassionate individuals who are committed to assisting people who suffer from hunger to initiate and administer solutions to the hunger problem;CommentsClose CommentsPermalink





`(2) Bill Emerson, the distinguished late Representative from the 8th District of Missouri, demonstrated--CommentsClose CommentsPermalink





`(A) his commitment to solving the problem of hunger in a bipartisan manner;CommentsClose CommentsPermalink





`(B) his commitment to public service; andCommentsClose CommentsPermalink





`(C) his great affection for the institution and ideals of the United States Congress;CommentsClose CommentsPermalink





`(3) George T. (Mickey) Leland, the distinguished late Representative from the 18th District of Texas, demonstrated--CommentsClose CommentsPermalink





`(A) his compassion for those in need;CommentsClose CommentsPermalink





`(B) his high regard for public service; andCommentsClose CommentsPermalink





`(C) his lively exercise of political talents;CommentsClose CommentsPermalink





`(4) the special concern that Mr. Emerson and Mr. Leland demonstrated during their lives for the hungry and poor was an inspiration for others to work toward the goals of equality and justice for all;CommentsClose CommentsPermalink





`(5) these 2 outstanding leaders maintained a special bond of friendship regardless of political affiliation and worked together to encourage future leaders to recognize and provide service to others; andCommentsClose CommentsPermalink





`(6) it is especially appropriate to honor the memory of Mr. Emerson and Mr. Leland by creating a fellowship program to develop and train the future leaders of the United States to pursue careers in humanitarian service.CommentsClose CommentsPermalink





`(c) Definitions- In this subsection:CommentsClose CommentsPermalink





`(1) DIRECTOR- The term `Director' means the head of the Congressional Hunger Center.CommentsClose CommentsPermalink





`(2) FELLOW- The term `fellow' means--CommentsClose CommentsPermalink





`(A) a Bill Emerson Hunger Fellow; orCommentsClose CommentsPermalink





`(B) Mickey Leland Hunger FellowCommentsClose CommentsPermalink





`(3) FELLOWSHIP PROGRAMS- The term `Fellowship Programs' means the Bill Emerson National Hunger Fellowship Program and the Mickey Leland International Hunger Fellowship Program established under subsection (d)(1).CommentsClose CommentsPermalink





`(d) Fellowship Programs-CommentsClose CommentsPermalink





`(1) IN GENERAL- There is established the Bill Emerson National Hunger Fellowship Program and the Mickey Leland International Hunger Fellowship Program.CommentsClose CommentsPermalink





`(2) PURPOSES-CommentsClose CommentsPermalink





`(A) IN GENERAL- The purposes of the Fellowship Programs are--CommentsClose CommentsPermalink





`(i) to encourage future leaders of the United States--CommentsClose CommentsPermalink





`(I) to pursue careers in humanitarian and public service;CommentsClose CommentsPermalink





`(II) to recognize the needs of low-income people and hungry people;CommentsClose CommentsPermalink





`(III) to provide assistance to people in need; andCommentsClose CommentsPermalink





`(IV) to seek public policy solutions to the challenges of hunger and poverty;CommentsClose CommentsPermalink





`(ii) to provide training and development opportunities for such leaders through placement in programs operated by appropriate organizations or entities; andCommentsClose CommentsPermalink





`(iii) to increase awareness of the importance of public service.CommentsClose CommentsPermalink





`(B) BILL EMERSON HUNGER FELLOWSHIP PROGRAM- The purpose of the Bill Emerson Hunger Fellowship Program is to address hunger and poverty in the United States.CommentsClose CommentsPermalink





`(C) MICKEY LELAND HUNGER FELLOWSHIP PROGRAM- The purpose of the Mickey Leland Hunger Fellowship Program is to address international hunger and other humanitarian needs.CommentsClose CommentsPermalink





`(3) ADMINISTRATION-CommentsClose CommentsPermalink





`(A) IN GENERAL- Subject to subparagraph (B), the Secretary shall offer to enter into a contract with the Congressional Hunger Center to administer the Fellowship Programs.CommentsClose CommentsPermalink





`(B) TERMS OF CONTRACT- The terms of the contract entered into under subparagraph (A), including the length of the contract and provisions for the alteration or termination of the contract, shall be determined by the Secretary in accordance with this section.CommentsClose CommentsPermalink





`(e) Fellowships-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Director shall make available Bill Emerson Hunger Fellowships and Mickey Leland Hunger Fellowships in accordance with this subsection.CommentsClose CommentsPermalink





`(2) CURRICULUM-CommentsClose CommentsPermalink





`(A) IN GENERAL- The Fellowship Programs shall provide experience and training to develop the skills necessary to train fellows to carry out the purposes described in subsection (d)(2), including--CommentsClose CommentsPermalink





`(i) training in direct service programs for the hungry and other anti-hunger programs in conjunction with community-based organizations through a program of field placement; andCommentsClose CommentsPermalink





`(ii) providing experience in policy development through placement in a governmental entity or nongovernmental, nonprofit, or private sector organization.CommentsClose CommentsPermalink





`(B) WORK PLAN- To carry out subparagraph (A) and assist in the evaluation of the fellowships under paragraph (6), the Director shall, for each fellow, approve a work plan that identifies the target objectives for the fellow in the fellowship, including specific duties and responsibilities relating to those objectives.CommentsClose CommentsPermalink





`(3) PERIOD OF FELLOWSHIP-CommentsClose CommentsPermalink





`(A) BILL EMERSON HUNGER FELLOW- A Bill Emerson Hunger Fellowship awarded under this section shall be for not more than 15 months.CommentsClose CommentsPermalink





`(B) MICKEY LELAND HUNGER FELLOW- A Mickey Leland Hunger Fellowship awarded under this section shall be for not more than 2 years.CommentsClose CommentsPermalink





`(4) SELECTION OF FELLOWS-CommentsClose CommentsPermalink





`(A) IN GENERAL- Fellowships shall be awarded pursuant to a nationwide competition established by the Director.CommentsClose CommentsPermalink





`(B) QUALIFICATIONS- A successful program applicant shall be an individual who has demonstrated--CommentsClose CommentsPermalink





`(i) an intent to pursue a career in humanitarian services and outstanding potential for such a career;CommentsClose CommentsPermalink





`(ii) leadership potential or actual leadership experience;CommentsClose CommentsPermalink





`(iii) diverse life experience;CommentsClose CommentsPermalink





`(iv) proficient writing and speaking skills;CommentsClose CommentsPermalink





`(v) an ability to live in poor or diverse communities; andCommentsClose CommentsPermalink





`(vi) such other attributes as are considered to be appropriate by the Director.CommentsClose CommentsPermalink





`(5) AMOUNT OF AWARD-CommentsClose CommentsPermalink





`(A) IN GENERAL- A fellow shall receive--CommentsClose CommentsPermalink





`(i) a living allowance during the term of the Fellowship; andCommentsClose CommentsPermalink





`(ii) subject to subparagraph (B), an end-of-service award.CommentsClose CommentsPermalink





`(B) REQUIREMENT FOR SUCCESSFUL COMPLETION OF FELLOWSHIP- Each fellow shall be entitled to receive an end-of-service award at an appropriate rate for each month of satisfactory service completed, as determined by the Director.CommentsClose CommentsPermalink





`(C) TERMS OF FELLOWSHIP- A fellow shall not be considered an employee of--CommentsClose CommentsPermalink





`(i) the Department of Agriculture;CommentsClose CommentsPermalink





`(ii) the Congressional Hunger Center; orCommentsClose CommentsPermalink





`(iii) a host agency in the field or policy placement of the fellow.CommentsClose CommentsPermalink





`(D) RECOGNITION OF FELLOWSHIP AWARD-CommentsClose CommentsPermalink





`(i) EMERSON FELLOW- An individual awarded a fellowship from the Bill Emerson Hunger Fellowship shall be known as an `Emerson Fellow'.CommentsClose CommentsPermalink





`(ii) LELAND FELLOW- An individual awarded a fellowship from the Mickey Leland Hunger Fellowship shall be known as a `Leland Fellow'.CommentsClose CommentsPermalink





`(6) EVALUATIONS AND AUDITS- Under terms stipulated in the contract entered into under subsection (d)(3), the Director shall--CommentsClose CommentsPermalink





`(A) conduct periodic evaluations of the Fellowship Programs; andCommentsClose CommentsPermalink





`(B) arrange for annual independent financial audits of expenditures under the Fellowship Programs.CommentsClose CommentsPermalink





`(f) Authority-CommentsClose CommentsPermalink





`(1) IN GENERAL- Subject to paragraph (2), in carrying out this section, the Director may solicit, accept, use, and dispose of gifts, bequests, or devises of services or property, both real and personal, for the purpose of facilitating the work of the Fellowship Programs.CommentsClose CommentsPermalink





`(2) LIMITATION- Gifts, bequests, or devises of money and proceeds from sales of other property received as gifts, bequests, or devises shall be used exclusively for the purposes of the Fellowship Programs.CommentsClose CommentsPermalink





`(g) Report- The Director shall annually submit to the Secretary of Agriculture, the Committee on Agriculture of the House of Representatives, and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report that--CommentsClose CommentsPermalink





`(1) describes the activities and expenditures of the Fellowship Programs during the preceding fiscal year, including expenditures made from funds made available under subsection (h); andCommentsClose CommentsPermalink





`(2) includes the results of evaluations and audits required by subsection (f).CommentsClose CommentsPermalink





`(h) Authorization of Appropriations- There are authorized to be appropriated to the Secretary such sums as are necessary to carry out this section, to remain available until expended.'.CommentsClose CommentsPermalink





(b) Repeal- Section 4404 of the Farm Security and Rural Investment Act of 2002 (2 U.S.C. 1161) is repealed.CommentsClose CommentsPermalink

SEC. 4405. HUNGER-FREE COMMUNITIES.

(a) Definitions- In this section:CommentsClose CommentsPermalink





(1) DOMESTIC HUNGER GOAL- The term `domestic hunger goal' means--CommentsClose CommentsPermalink





(A) the goal of reducing hunger in the United States to at or below 2 percent by 2010; orCommentsClose CommentsPermalink





(B) the goal of reducing food insecurity in the United States to at or below 6 percent by 2010.CommentsClose CommentsPermalink





(2) EMERGENCY FEEDING ORGANIZATION- The term `emergency feeding organization' has the meaning given the term in section 201A of the Emergency Food Assistance Act of 1983 (7 U.S.C. 7501).CommentsClose CommentsPermalink





(3) FOOD SECURITY- The term `food security' means the state in which an individual has access to enough food for an active, healthy life.CommentsClose CommentsPermalink





(4) HUNGER-FREE COMMUNITIES GOAL- The term `hunger-free communities goal' means any of the 14 goals described in the H. Con. Res. 302 (102nd Congress).CommentsClose CommentsPermalink





(b) Hunger Reports-CommentsClose CommentsPermalink





(1) STUDY-CommentsClose CommentsPermalink





(A) TIMELINE-CommentsClose CommentsPermalink





(i) IN GENERAL- Not later than 1 year after the date of enactment of this Act, the Secretary shall conduct a study of major matters relating to the problem of hunger in the United States, as determined by the Secretary.CommentsClose CommentsPermalink





(ii) UPDATE- Not later than 5 years after the date on which the study under clause (i) is conducted, the Secretary shall update the study.CommentsClose CommentsPermalink





(B) MATTERS TO BE ASSESSED- The matters to be assessed by the Secretary in the study and update under this paragraph shall include--CommentsClose CommentsPermalink





(i) data on hunger and food insecurity in the United States;CommentsClose CommentsPermalink





(ii) measures carried out during the previous year by Federal, State, and local governments to achieve domestic hunger goals and hunger-free communities goals; andCommentsClose CommentsPermalink





(iii) measures that could be carried out by Federal, State, and local governments to achieve domestic hunger goals and hunger-free communities goals.CommentsClose CommentsPermalink





(2) RECOMMENDATIONS- The Secretary shall develop recommendations on--CommentsClose CommentsPermalink





(A) removing obstacles to achieving domestic hunger goals and hunger-free communities goals; andCommentsClose CommentsPermalink





(B) otherwise reducing domestic hunger.CommentsClose CommentsPermalink





(3) REPORT- The Secretary shall submit to the President and Congress--CommentsClose CommentsPermalink





(A) not later than 1 year after the date of enactment of this Act, a report that contains--CommentsClose CommentsPermalink





(i) a detailed statement of the results of the study, or the most recent update to the study, conducted under paragraph (1)(A); andCommentsClose CommentsPermalink





(ii) the most recent recommendations of the Secretary under paragraph (2); andCommentsClose CommentsPermalink





(B) not later than 5 years after the date of submission of the report under subparagraph (A), an update of the report.CommentsClose CommentsPermalink





(c) Hunger-Free Communities Collaborative Grants-CommentsClose CommentsPermalink





(1) DEFINITION OF ELIGIBLE ENTITY- In this subsection, the term `eligible entity' means a public food program service provider or a nonprofit organization, including but not limited to an emergency feeding organization, that demonstrates the organization has collaborated, or will collaborate, with 1 or more local partner organizations to achieve at least 1 hunger-free communities goal.CommentsClose CommentsPermalink





(2) PROGRAM AUTHORIZED-CommentsClose CommentsPermalink





(A) IN GENERAL- The Secretary shall use not more than 55 percent of any funds made available under subsection (f) to make grants to eligible entities to pay the Federal share of the costs of an activity described in paragraph (4).CommentsClose CommentsPermalink





(B) FEDERAL SHARE- The Federal share of the cost of carrying out an activity under this subsection shall not exceed 80 percent.CommentsClose CommentsPermalink





(C) NON-FEDERAL SHARE-CommentsClose CommentsPermalink





(i) CALCULATION- The non-Federal share of the cost of an activity under this subsection may be provided in cash or in kind, fairly evaluated, including facilities, equipment, or services.CommentsClose CommentsPermalink





(ii) SOURCES- Any entity may provide the non-Federal share of the cost of an activity under this subsection through a State government, a local government, or a private source.CommentsClose CommentsPermalink





(3) APPLICATION-CommentsClose CommentsPermalink





(A) IN GENERAL- To receive a grant under this subsection, an eligible entity shall submit an application to the Secretary at the time and in the manner and accompanied by any information the Secretary may require.CommentsClose CommentsPermalink





(B) CONTENTS- Each application submitted under subparagraph (A) shall--CommentsClose CommentsPermalink





(i) identify any activity described in paragraph (4) that the grant will be used to fund;CommentsClose CommentsPermalink





(ii) describe the means by which an activity identified under clause (i) will reduce hunger in the community of the eligible entity;CommentsClose CommentsPermalink





(iii) list any partner organizations of the eligible entity that will participate in an activity funded by the grant;CommentsClose CommentsPermalink





(iv) describe any agreement between a partner organization and the eligible entity necessary to carry out an activity funded by the grant; andCommentsClose CommentsPermalink





(v) if an assessment described in paragraph (4)(A) has been performed, include--CommentsClose CommentsPermalink





(I) a summary of that assessment; andCommentsClose CommentsPermalink





(II) information regarding the means by which the grant will help reduce hunger in the community of the eligible entity.CommentsClose CommentsPermalink





(C) PRIORITY- In making grants under this subsection, the Secretary shall give priority to eligible entities that--CommentsClose CommentsPermalink





(i) demonstrate in the application of the eligible entity that the eligible entity makes collaborative efforts to reduce hunger in the community of the eligible entity; andCommentsClose CommentsPermalink





(ii)(I) serve communities in which the rates of food insecurity, hunger, poverty, or unemployment are demonstrably higher than national average rates;CommentsClose CommentsPermalink





(II) provide evidence of long-term efforts to reduce hunger in the community;CommentsClose CommentsPermalink





(III) provide evidence of public support for the efforts of the eligible entity; orCommentsClose CommentsPermalink





(IV) demonstrate in the application of the eligible entity a commitment to achieving more than 1 hunger-free communities goal.CommentsClose CommentsPermalink





(4) USE OF FUNDS-CommentsClose CommentsPermalink





(A) ASSESSMENT OF HUNGER IN THE COMMUNITY-CommentsClose CommentsPermalink





(i) IN GENERAL- An eligible entity in a community that has not performed an assessment described in clause (ii) may use a grant received under this subsection to perform the assessment for the community.CommentsClose CommentsPermalink





(ii) ASSESSMENT- The assessment referred to in clause (ii) shall include--CommentsClose CommentsPermalink





(I) an analysis of the problem of hunger in the community served by the eligible entity;CommentsClose CommentsPermalink





(II) an evaluation of any facility and any equipment used to achieve a hunger-free communities goal in the community;CommentsClose CommentsPermalink





(III) an analysis of the effectiveness and extent of service of existing nutrition programs and emergency feeding organizations; andCommentsClose CommentsPermalink





(IV) a plan to achieve any other hunger-free communities goal in the community.CommentsClose CommentsPermalink





(B) ACTIVITIES- An eligible entity in a community that has submitted an assessment to the Secretary shall use a grant received under this subsection for any fiscal year for activities of the eligible entity, including--CommentsClose CommentsPermalink





(i) meeting the immediate needs of people in the community served by the eligible entity who experience hunger by--CommentsClose CommentsPermalink





(I) distributing food;CommentsClose CommentsPermalink





(II) providing community outreach; orCommentsClose CommentsPermalink





(III) improving access to food as part of a comprehensive service;CommentsClose CommentsPermalink





(ii) developing new resources and strategies to help reduce hunger in the community;CommentsClose CommentsPermalink





(iii) establishing a program to achieve a hunger-free communities goal in the community, including--CommentsClose CommentsPermalink





(I) a program to prevent, monitor, and treat children in the community experiencing hunger or poor nutrition; orCommentsClose CommentsPermalink





(II) a program to provide information to people in the community on hunger, domestic hunger goals, and hunger-free communities goals; andCommentsClose CommentsPermalink





(iv) establishing a program to provide food and nutrition services as part of a coordinated community-based comprehensive service.CommentsClose CommentsPermalink





(d) Hunger-Free Communities Infrastructure Grants-CommentsClose CommentsPermalink





(1) DEFINITION OF ELIGIBLE ENTITY- In this subsection, the term `eligible entity' means an emergency feeding organization (as defined in section 201A(4) of the Emergency Food Assistance Act of 1983 (7 U.S.C. 7501(4))).CommentsClose CommentsPermalink





(2) PROGRAM AUTHORIZED-CommentsClose CommentsPermalink





(A) IN GENERAL- The Secretary shall use not more than 45 percent of any funds made available under subsection (f) to make grants to eligible entities to pay the Federal share of the costs of an activity described in paragraph (4).CommentsClose CommentsPermalink





(B) FEDERAL SHARE- The Federal share of the cost of carrying out an activity under this subsection shall not exceed 80 percent.CommentsClose CommentsPermalink





(3) APPLICATION-CommentsClose CommentsPermalink





(A) IN GENERAL- To receive a grant under this subsection, an eligible entity shall submit an application to the Secretary at the time and in the manner and accompanied by any information the Secretary may require.CommentsClose CommentsPermalink





(B) CONTENTS- Each application submitted under subparagraph (A) shall--CommentsClose CommentsPermalink





(i) identify any activity described in paragraph (4) that the grant will be used to fund; andCommentsClose CommentsPermalink





(ii) describe the means by which an activity identified under clause (i) will reduce hunger in the community of the eligible entity.CommentsClose CommentsPermalink





(C) PRIORITY- In making grants under this subsection, the Secretary shall give priority to eligible entities the applications of which demonstrate 2 or more of the following:CommentsClose CommentsPermalink





(i) The eligible entity serves a community in which the rates of food insecurity, hunger, poverty, or unemployment are demonstrably higher than national average rates.CommentsClose CommentsPermalink





(ii) The eligible entity serves a community that has carried out long-term efforts to reduce hunger in the community.CommentsClose CommentsPermalink





(iii) The eligible entity serves a community that provides public support for the efforts of the eligible entity.CommentsClose CommentsPermalink





(iv) The eligible entity is committed to achieving more than 1 hunger-free communities goal.CommentsClose CommentsPermalink





(4) USE OF FUNDS- An eligible entity shall use a grant received under this subsection for any fiscal year to carry out activities of the eligible entity, including--CommentsClose CommentsPermalink





(A) constructing, expanding, or repairing a facility or equipment to support hunger relief agencies in the community;CommentsClose CommentsPermalink





(B) assisting an emergency feeding organization in the community in obtaining locally-produced produce and protein products; andCommentsClose CommentsPermalink





(C) assisting an emergency feeding organization in the community to process and serve wild game.CommentsClose CommentsPermalink





(e) Report- If funds are made available under subsection (f), not later than September 30, 2012, the Secretary shall submit to Congress a report describing--CommentsClose CommentsPermalink





(1) each grant made under this section, including--CommentsClose CommentsPermalink





(A) a description of any activity funded by such a grant; andCommentsClose CommentsPermalink





(B) the degree of success of each activity funded by such a grant in achieving hunger-free communities goals; andCommentsClose CommentsPermalink





(2) the degree of success of all activities funded by grants under this section in achieving domestic hunger goals.CommentsClose CommentsPermalink





(f) Authorization of Appropriations- There is authorized to be appropriated to carry out this section $50,000,000 for each of fiscal years 2008 through 2012.CommentsClose CommentsPermalink

SEC. 4406. STATE PERFORMANCE ON ENROLLING CHILDREN RECEIVING PROGRAM BENEFITS FOR FREE SCHOOL MEALS.

(a) In General- Not later than June 30 of each year, the Secretary shall submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report that assesses the effectiveness of each State in enrolling school-aged children in households receiving program benefits under the Food and Nutrition Act of 2007 (7 U.S.C. 2011 et seq.) (referred to in this section as `program benefits') for free school meals using direct certification.CommentsClose CommentsPermalink





(b) Specific Measures- The assessment of the Secretary of the performance of each State shall include--CommentsClose CommentsPermalink





(1) an estimate of the number of school-aged children, by State, who were members of a household receiving program benefits at any time in July, August, or September of the prior year;CommentsClose CommentsPermalink





(2) an estimate of the number of school-aged children, by State, who were directly certified as eligible for free lunches under the Richard B. Russell National School Lunch Act (42 U.S.C. 1751 et seq.), based on receipt of program benefits, as of October 1 of the prior year; andCommentsClose CommentsPermalink





(3) an estimate of the number of school-aged children, by State, who were members of a household receiving program benefits at any time in July, August, or September of the prior year who were not candidates for direct certification because on October 1 of the prior year the children attended a school operating under the special assistance provisions of section 11(a)(1) of the Richard B. Russell National School Lunch Act (42 U.S.C. 1759a) that is not operating in a base year.CommentsClose CommentsPermalink





(c) Performance Innovations- The report of the Secretary shall describe best practices from States with the best performance or the most improved performance from the previous year.CommentsClose CommentsPermalink

Subtitle B--Food Distribution Program on Indian Reservations

SEC. 4501. ASSESSING THE NUTRITIONAL VALUE OF THE FDPIR FOOD PACKAGE.

(a) In General- Section 4 of the Food and Nutrition Act of 2007 (7 U.S.C. 2013) is amended by striking subsection (b) and inserting the following:CommentsClose CommentsPermalink





`(b) Food Distribution Program on Indian Reservations-CommentsClose CommentsPermalink





`(1) IN GENERAL- Distribution of commodities, with or without the food and nutrition program, shall be made whenever a request for concurrent or separate food program operations, respectively, is made by a tribal organization.CommentsClose CommentsPermalink





`(2) ADMINISTRATION-CommentsClose CommentsPermalink





`(A) IN GENERAL- Subject to subparagraphs (B) and (C), in the event of distribution on all or part of an Indian reservation, the appropriate agency of the State government in the area involved shall be responsible for the distribution.CommentsClose CommentsPermalink





`(B) ADMINISTRATION BY TRIBAL ORGANIZATION- If the Secretary determines that a tribal organization is capable of effectively and efficiently administering a distribution described in paragraph (1), then the tribal organization shall administer the distribution.CommentsClose CommentsPermalink





`(C) PROHIBITION- The Secretary shall not approve any plan for a distribution described in paragraph (1) that permits any household on any Indian reservation to participate simultaneously in the food and nutrition program and the distribution of federally donated foods.CommentsClose CommentsPermalink





`(3) DISQUALIFIED PARTICIPANTS- An individual who is disqualified from participation in the food distribution program on Indian reservations under this subsection is not eligible to participate in the food and nutrition program under this Act.CommentsClose CommentsPermalink





`(4) ADMINISTRATIVE COSTS- The Secretary is authorized to pay such amounts for administrative costs and distribution costs on Indian reservations as the Secretary finds necessary for effective administration of such distribution by a State agency or tribal organization.CommentsClose CommentsPermalink





`(5) BISON MEAT- Subject to the availability of appropriations, the Secretary may purchase bison meat for recipients of food distributed under this subsection, including bison meat from--CommentsClose CommentsPermalink





`(A) Native American bison producers; andCommentsClose CommentsPermalink





`(B) producer-owned cooperatives of bison ranchers.CommentsClose CommentsPermalink





`(6) TRADITIONAL FOOD FUND-CommentsClose CommentsPermalink





`(A) IN GENERAL- Subject to the availability of appropriations, the Secretary shall establish a fund for use in purchasing traditional foods for recipients of food distributed under this subsection.CommentsClose CommentsPermalink





`(B) SURVEY- In carrying out this paragraph, the Secretary shall--CommentsClose CommentsPermalink





`(i) survey participants of the food distribution program on Indian reservations established under this subsection to determine which traditional foods are most desired by those participants; andCommentsClose CommentsPermalink





`(ii) purchase or offer to purchase those traditional foods that may be procured cost-effectively.CommentsClose CommentsPermalink





`(C) AUTHORIZATION OF APPROPRIATIONS- There is authorized to be appropriated to the Secretary to carry out this paragraph $5,000,000 for each of fiscal years 2008 through 2012.'.CommentsClose CommentsPermalink





(b) FDPIR Food Package- Not later than 180 days after the date of enactment of this Act, the Secretary of Agriculture shall submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report that describes--CommentsClose CommentsPermalink





(1) how the Secretary derives the process for determining the food package under the food distribution program on Indian reservations established under section 4(b) of the Food and Nutrition Act of 2007 (7 U.S.C. 2013(b)) (referred to in this subsection as the `food package');CommentsClose CommentsPermalink





(2) the extent to which the food package--CommentsClose CommentsPermalink





(A) addresses the nutritional needs of low-income Americans compared to the food and nutrition program, particularly for very low-income households;CommentsClose CommentsPermalink





(B) conforms (or fails to conform) to the 2005 Dietary Guidelines for Americans published under section 301 of the National Nutrition Monitoring and Related Research Act of 1990 (7 U.S.C. 5341);CommentsClose CommentsPermalink





(C) addresses (or fails to address) the nutritional and health challenges that are specific to Native Americans; andCommentsClose CommentsPermalink





(D) is limited by distribution costs or challenges of infrastructure;CommentsClose CommentsPermalink





(3) any plans of the Secretary to revise and update the food package to conform with the most recent Dietary Guidelines for Americans, including any costs associated with the planned changes; andCommentsClose CommentsPermalink





(4) if the Secretary does not plan changes to the food package, the rationale of the Secretary for retaining the food package.CommentsClose CommentsPermalink

Subtitle C--Administration of Emergency Food Assistance Program and Commodity Supplemental Food Program

SEC. 4601. EMERGENCY FOOD ASSISTANCE.

(a) State Plan- Section 202A of the Emergency Food Assistance Act of 1983 (7 U.S.C. 7503) is amended by striking subsection (a) and inserting the following:CommentsClose CommentsPermalink





`(a) Plans- To receive commodities under this Act, every 3 years, a State shall submit to the Secretary an operation and administration plan for the provision of assistance under this Act.'.CommentsClose CommentsPermalink





(b) Donated Wild Game- Section 204(a)(1) of the Emergency Food Assistance Act of 1983 (7 U.S.C. 7508(a)(1)) is amended in the first sentence by inserting `and donated wild game' before the period at the end.CommentsClose CommentsPermalink

SEC. 4602. COMMODITY SUPPLEMENTAL FOOD PROGRAM.

Section 5 of the Agriculture and Consumer Protection Act of 1973 (7 U.S.C. 612c note; Public Law 93-86) is amended by striking subsection (g) and inserting the following:CommentsClose CommentsPermalink





`(g) Prohibition- Notwithstanding any other provision of law (including regulations), the Secretary may not require a State or local agency to prioritize assistance to a particular group of individuals that are--CommentsClose CommentsPermalink





`(1) low-income persons aged 60 and older; orCommentsClose CommentsPermalink





`(2) women, infants, and children.'.CommentsClose CommentsPermalink

Subtitle D--Senior Farmers' Market Nutrition Program

SEC. 4701. EXCLUSION OF BENEFITS IN DETERMINING ELIGIBILITY FOR OTHER PROGRAMS.

(a) In General- Section 4402 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 3007) is amended--CommentsClose CommentsPermalink





(1) in subsection (a), by striking `each of fiscal years 2003 through 2007' and inserting `fiscal year 2008 and each fiscal year thereafter';CommentsClose CommentsPermalink





(2) by redesignating subsections (b) and (c) as subsections (c) and (e), respectively;CommentsClose CommentsPermalink





(3) by inserting after subsection (a) the following:CommentsClose CommentsPermalink





`(b) Additional Funds- In addition to the amounts made available under subsection (a), for fiscal year 2008 and each fiscal year thereafter, of the funds of the Commodity Credit Corporation, the Secretary of Agriculture shall use $10,000,000 to expand the program established under this section.'; andCommentsClose CommentsPermalink





(4) by inserting after subsection (c) (as redesignated by paragraph (2)) the following:CommentsClose CommentsPermalink





`(d) Exclusion of Benefits in Determining Eligibility for Other Programs- The value of any benefit provided under the program under this section shall not be taken into consideration in determining the eligibility of an individual for any other Federal or State assistance program.'.CommentsClose CommentsPermalink





(b) Effective Date- The amendments made by subsection (a) take effect on the date of enactment of this Act.CommentsClose CommentsPermalink

SEC. 4702. PROHIBITION ON COLLECTION OF SALES TAX.

Section 4402 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 3007) is amended by inserting after subsection (d) (as added by section 4701(a)(4)) the following:CommentsClose CommentsPermalink





`(e) Prohibition on Collection of Sales Tax- A State that collects any sales tax on the purchase of food using a benefit provided under the program under this section shall not be eligible to participate in the program.'.CommentsClose CommentsPermalink

Subtitle E--Reauthorization of Federal Food Assistance Programs

SEC. 4801. FOOD AND NUTRITION PROGRAM.

(a) Grants for Simple Application and Eligibility Determination Systems and Improved Access to Benefits- Section 11(t)(1) of the Food and Nutrition Act of 2007 (7 U.S.C. 2020(t)(1)) is amended by striking `For each of fiscal years 2003 through 2007' and inserting `For fiscal year 2008 and each fiscal year thereafter'.CommentsClose CommentsPermalink





(b) Funding of Employment and Training Programs- Section 16(h)(1) of the Food and Nutrition Act of 2007 (7 U.S.C. 2025(h)(1)) is amended--CommentsClose CommentsPermalink





(1) in subparagraph (A)(vii), by striking `for each of fiscal years 2002 through 2007' and inserting `for fiscal year 2008 and each fiscal year thereafter'; andCommentsClose CommentsPermalink





(2) in subparagraph (E)(i), by striking `for each of fiscal years 2002 through 2007' and inserting `for fiscal year 2008 and each fiscal year thereafter'.CommentsClose CommentsPermalink





(c) Reductions in Payments for Administrative Costs- Section 16(k)(3) of the Food and Nutrition Act of 2007 (7 U.S.C. 2025(k)(3)) is amended--CommentsClose CommentsPermalink





(1) in the first sentence of subparagraph (A), by striking `for each of fiscal years 1999 through 2007' and inserting `for fiscal year 2008 and each fiscal year thereafter'; andCommentsClose CommentsPermalink





(2) in subparagraph (B)(ii), by striking `through fiscal year 2007'.CommentsClose CommentsPermalink





(d) Cash Payment Pilot Projects- Section 17(b)(1)(B)(vi) of the Food and Nutrition Act of 2007 (7 U.S.C. 2026(b)(1)(B(vi)) is amended by striking `through October 1, 2007'.CommentsClose CommentsPermalink





(e) Authorization of Appropriations- Section 18(a)(1) of the Food and Nutrition Act of 2007 (7 U.S.C. 2027(a)(1)) is amended in the first sentence by striking `for each of the fiscal years 2003 through 2007' and inserting `for fiscal year 2008 and each fiscal year thereafter'.CommentsClose CommentsPermalink





(f) Consolidated Block Grants for Puerto Rico and American Samoa- Section 19(a)(2)(A)(ii) of the Food and Nutrition Act of 2007 (7 U.S.C. 2028(a)(2)(A)(ii)) by striking `for each of fiscal years 2004 through 2007' and inserting `for fiscal year 2008 and each fiscal year thereafter'.CommentsClose CommentsPermalink





(g) Assistance for Community Food Projects- Section 25 of the Food and Nutrition Act of 2007 (7 U.S.C. 2034) is amended--CommentsClose CommentsPermalink





(1) in subsection (b)(2), by striking subparagraph (B) and inserting the following:CommentsClose CommentsPermalink





`(B) $10,000,000 for each of fiscal years 2008 through 2012.'; andCommentsClose CommentsPermalink





(2) in subsection (h)(4), by striking `2007' and inserting `2012'.CommentsClose CommentsPermalink

SEC. 4802. COMMODITY DISTRIBUTION.

(a) Emergency Food Assistance- Section 204(a)(1) of the Emergency Food Assistance Act of 1983 (7 U.S.C. 7508(a)(1)) is amended in the first sentence by striking `$60,000,000 for each of the fiscal years 2003 through 2007' and inserting `$100,000,000 for fiscal year 2008 and each fiscal year thereafter'.CommentsClose CommentsPermalink





(b) Commodity Distribution Program- Section 4(a) of the Agriculture and Consumer Protection Act of 1973 (7 U.S.C. 612c note; Public Law 93-86) is amended in the first sentence by striking `years 1991 through 2007' and inserting `year 2008 and each fiscal year thereafter'.CommentsClose CommentsPermalink





(c) Commodity Supplemental Food Program- Section 5 of the Agriculture and Consumer Protection Act of 1973 (7 U.S.C. 612c note; Public Law 93-86) is amended--CommentsClose CommentsPermalink





(1) in subsection (a)--CommentsClose CommentsPermalink





(A) in paragraph (1), by striking `each of fiscal years 2003 through 2007' and inserting `fiscal year 2008 and each fiscal year thereafter'; andCommentsClose CommentsPermalink





(B) in paragraph (2)(B), by striking `(B) FISCAL YEARS 2004 THROUGH 2007- ' and all that follows through `2007' and inserting the following:CommentsClose CommentsPermalink





`(B) SUBSEQUENT FISCAL YEARS- For fiscal year 2004 and each subsequent fiscal year'; andCommentsClose CommentsPermalink





(2) in subsection (d)(2), by striking `each of the fiscal years 1991 through 2007' and inserting `fiscal year 2008 and each fiscal year thereafter'.CommentsClose CommentsPermalink





(d) Distribution of Surplus Commodities to Special Nutrition Projects- Section 1114(a)(2)(A) of the Agriculture and Food Act of 1981 (7 U.S.C. 1431e(2)(A)) is amended in the first sentence by striking `2007' and inserting `2012'.CommentsClose CommentsPermalink

SEC. 4803. NUTRITION INFORMATION AND AWARENESS PILOT PROGRAM.

Section 4403(f) of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 3171 note; Public Law 107-171) is amended by striking `2007' and inserting `2012'.CommentsClose CommentsPermalink

Subtitle F--Miscellaneous

SEC. 4901. PURCHASES OF LOCALLY GROWN FRUITS AND VEGETABLES.

Section 9(j) of the Richard B. Russell National School Lunch Act (42 U.S.C. 1758(j)) is amended to read as follows:CommentsClose CommentsPermalink





`(j) Purchases of Locally Grown Fruits and Vegetables- The Secretary shall--CommentsClose CommentsPermalink





`(1) encourage institutions receiving funds under this Act and the Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.) to purchase locally grown fruits and vegetables, to the maximum extent practicable and appropriate;CommentsClose CommentsPermalink





`(2) advise institutions participating in a program described in paragraph (1) of the policy described in that paragraph and post information concerning the policy on the website maintained by the Secretary; andCommentsClose CommentsPermalink





`(3) allow institutions receiving funds under this Act and the Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.), including the Department of Defense, to use a geographic preference for the procurement of locally grown fruits and vegetables.'.CommentsClose CommentsPermalink

SEC. 4902. HEALTHY FOOD EDUCATION AND PROGRAM REPLICABILITY.

Section 18(i) of the Richard B. Russell National School Lunch Act (42 U.S.C. 1769(i)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (1)(C), by inserting `promotes healthy food education in the school curriculum and' before `incorporates';CommentsClose CommentsPermalink





(2) by redesignating paragraph (2) as paragraph (3); andCommentsClose CommentsPermalink





(3) by inserting after paragraph (1) the following:CommentsClose CommentsPermalink





`(2) ADMINISTRATION- In providing grants under this subsection, the Secretary shall give priority to projects that can be replicated in schools.'.CommentsClose CommentsPermalink

SEC. 4903. FRESH FRUIT AND VEGETABLE PROGRAM.

(a) In General- The Richard B. Russell National School Lunch Act is amended by inserting after section 18 (42 U.S.C. 1769) the following:CommentsClose CommentsPermalink

`SEC. 19. FRESH FRUIT AND VEGETABLE PROGRAM.

`(a) In General- For the school year beginning July 2008 and each subsequent school year, the Secretary shall provide grants to States to carry out a program to make free fresh fruits and vegetables available in elementary schools (referred to in this section as the `program').CommentsClose CommentsPermalink





`(b) Program- A school participating in the program shall make free fresh fruits and vegetables available to students throughout the school day (or at such other times as are considered appropriate by the Secretary) in 1 or more areas designated by the school.CommentsClose CommentsPermalink





`(c) Funding to States-CommentsClose CommentsPermalink





`(1) MINIMUM GRANT- The Secretary shall provide to each of the 50 States and the District of Columbia an annual grant in an amount equal to 1 percent of the funds made available for a fiscal year to carry out the program.CommentsClose CommentsPermalink





`(2) ADDITIONAL FUNDING- Of the funds remaining after grants are made under paragraph (1), the Secretary shall allocate additional funds to each State that is operating a school lunch program under section 4 based on the proportion that--CommentsClose CommentsPermalink





`(A) the population of the State; bears toCommentsClose CommentsPermalink





`(B) the population of the United States.CommentsClose CommentsPermalink





`(d) Selection of Schools-CommentsClose CommentsPermalink





`(1) IN GENERAL- In selecting schools to participate in the program, each State shall--CommentsClose CommentsPermalink





`(A) ensure that each school chosen to participate in the program is a school--CommentsClose CommentsPermalink





`(i) except as provided in paragraph (2), in which not less than 50 percent of the students are eligible for free or reduced price meals under this Act; andCommentsClose CommentsPermalink





`(ii) that submits an application in accordance with subparagraph (C); andCommentsClose CommentsPermalink





`(B) to the maximum extent practicable, give the highest priority to schools with the highest proportion of children who are eligible for free or reduced price meals under this Act;CommentsClose CommentsPermalink





`(C) solicit applications from interested schools that include--CommentsClose CommentsPermalink





`(i) information pertaining to the percentage of students enrolled in the school submitting the application who are eligible for free or reduced price school lunches under this Act;CommentsClose CommentsPermalink





`(ii) a certification of support for participation in the program signed by the school food manager, the school principal, and the district superintendent (or equivalent positions, as determined by the school); andCommentsClose CommentsPermalink





`(iii) such other information as may be requested by the Secretary;CommentsClose CommentsPermalink





`(D) give priority to schools that submit a plan for implementation of the program that includes a partnership with 1 or more entities that provide non-Federal resources (including entities representing the fruit and vegetable industry) for--CommentsClose CommentsPermalink





`(i) the acquisition, handling, promotion, or distribution of fresh and dried fruits and fresh vegetables; orCommentsClose CommentsPermalink





`(ii) other support that contributes to the purposes of the program;CommentsClose CommentsPermalink





`(E) give priority to schools that provide evidence of efforts to integrate activities carried out under this section with other efforts to promote sound health and nutrition, reduce overweight and obesity, or promote physical activity; andCommentsClose CommentsPermalink





`(F) ensure that each school selected is an elementary school.CommentsClose CommentsPermalink





`(2) EXCEPTION- Clause (i) of paragraph (1)(A) shall not apply to a State if the State does not have a sufficient number of schools that meet the requirement of that clause.CommentsClose CommentsPermalink





`(3) CONSORTIA- A consortia of schools may apply for funding under this section.CommentsClose CommentsPermalink





`(e) Notice of Availability- To be eligible to participate in the program, a school shall widely publicize within the school the availability of free fresh fruits and vegetables under the program.CommentsClose CommentsPermalink





`(f) Per-Student Grant- The per-student grant provided to a school under this section shall be--CommentsClose CommentsPermalink





`(1) determined by a State agency; andCommentsClose CommentsPermalink





`(2) not less than $50, nor more than $75, annually.CommentsClose CommentsPermalink





`(g) Limitation- To the maximum extent practicable, each State agency shall ensure that in making available to students the fruits and vegetables provided under this section, schools participating in the program offer the fruits and vegetables separately from meals otherwise provided at the school under this Act or the Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.).CommentsClose CommentsPermalink





`(h) Schools on Indian Reservations- The Secretary shall ensure that not less than 100 of the schools chosen to participate in the program are schools operated on Indian reservations.CommentsClose CommentsPermalink





`(i) Evaluation and Reports-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Secretary shall conduct an evaluation of the program, including a determination as to whether children experienced, as a result of participating in the program--CommentsClose CommentsPermalink





`(A) increased consumption of fruits and vegetables;CommentsClose CommentsPermalink





`(B) other dietary changes, such as decreased consumption of less nutritious foods; andCommentsClose CommentsPermalink





`(C) such other outcomes as are considered appropriate by the Secretary.CommentsClose CommentsPermalink





`(2) REPORT- Not later than September 30, 2011, the Secretary shall submit to the Committee on Education and Labor of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate, a report that describes the results of the evaluation under paragraph (1).CommentsClose CommentsPermalink





`(j) Funding-CommentsClose CommentsPermalink





`(1) IN GENERAL- Out of any funds in the Treasury not otherwise appropriated, the Secretary of the Treasury shall transfer to the Secretary to carry out this section--CommentsClose CommentsPermalink





`(A) on October 1, 2007, $225,000,000; andCommentsClose CommentsPermalink





`(B) on October 1, 2008, and each October 1 thereafter, the amount made available for the preceding fiscal year, as adjusted to reflect changes for the 12-month period ending the preceding June 30 in the Consumer Price Index for All Urban Consumers published by the Bureau of Labor Statistics of the Department of Labor, for items other than food.CommentsClose CommentsPermalink





`(2) EVALUATION FUNDING- On October 1, 2007, out of any funds in the Treasury not otherwise appropriated, the Secretary of the Treasury shall transfer to the Secretary to carry out the evaluation required under subsection (i), $3,000,000, to remain available until expended.CommentsClose CommentsPermalink





`(3) RECEIPT AND ACCEPTANCE- The Secretary shall be entitled to receive, shall accept, and shall use to carry out this section any funds transferred for that purpose, without further appropriation.CommentsClose CommentsPermalink





`(4) AUTHORIZATION OF APPROPRIATIONS- In addition to any other amounts made available to carry out this section, there are authorized to be appropriated such sums as are necessary to expand the program established under this section.CommentsClose CommentsPermalink





`(5) ADMINISTRATIVE COSTS- Of funds made available to carry out this section for a fiscal year, the Secretary may use not more than $500,000 for the administrative costs of carrying out the program.CommentsClose CommentsPermalink





`(6) REALLOCATION-CommentsClose CommentsPermalink





`(A) AMONG STATES- The Secretary may reallocate any amounts made available to carry out this section that are not obligated or expended by a date determined by the Secretary.CommentsClose CommentsPermalink





`(B) WITHIN STATES- A State that receives a grant under this section may reallocate any amounts made available under the grant that are not obligated or expended by a date determined by the Secretary.'.CommentsClose CommentsPermalink





(b) Conforming Amendments- Section 18 of the Richard B. Russell National School Lunch Act (42 U.S.C. 1769) is amended--CommentsClose CommentsPermalink





(1) by striking subsection (g); andCommentsClose CommentsPermalink





(2) by redesignating subsections (h) through (k) as subsections (g) through (j), respectively.CommentsClose CommentsPermalink

SEC. 4904. BUY AMERICAN REQUIREMENTS.

(a) Findings- Congress finds that--CommentsClose CommentsPermalink





(1) Federal law requires that commodities and products purchased with Federal funds be, to the maximum extent practicable, of domestic origin;CommentsClose CommentsPermalink





(2) Federal Buy American statutory requirements seek to ensure that purchases made with Federal funds benefit domestic producers; andCommentsClose CommentsPermalink





(3) the Richard B. Russell National School Lunch Act (42 U.S.C. 1751 et seq.) requires the use of domestic food products for all meals served under the school lunch program, including food products purchased with local funds.CommentsClose CommentsPermalink





(b) Buy American Statutory Requirements- It is the sense of Congress that the Secretary should undertake training, guidance, and enforcement of the various Buy American statutory requirements and regulations in effect on the date of enactment of this Act, including requirements of--CommentsClose CommentsPermalink





(1) the Richard B. Russell National School Lunch Act (42 U.S.C. 1751 et seq.); andCommentsClose CommentsPermalink





(2) the Department of Defense fresh fruit and vegetable distribution program.CommentsClose CommentsPermalink

SEC. 4905. MINIMUM PURCHASES OF FRUITS, VEGETABLES, AND NUTS THROUGH SECTION 32 TO SUPPORT DOMESTIC NUTRITION ASSISTANCE PROGRAMS.

(a) Minimum Funding for Purchases of Fruits, Vegetables, and Nuts- In lieu of the purchases of fruits, vegetables, and nuts required by section 10603 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 612c-4), the Secretary shall purchase fruits, vegetables, and nuts for the purpose of providing nutritious foods for use in domestic nutrition assistance programs, using, of the funds made available under section 32 of the Act of August 24, 1935 (7 U.S.C. 612c), the following amounts:CommentsClose CommentsPermalink





(1) $390,000,000 for fiscal year 2008.CommentsClose CommentsPermalink





(2) $393,000,000 for fiscal year 2009.CommentsClose CommentsPermalink





(3) $399,000,000 for fiscal year 2010.CommentsClose CommentsPermalink





(4) $403,000,000 for fiscal year 2011.CommentsClose CommentsPermalink





(5) $406,000,000 for fiscal year 2012 and each fiscal year thereafter.CommentsClose CommentsPermalink





(b) Form of Purchases- Fruits, vegetables, and nuts may be purchased under this section in frozen, canned, dried, or fresh form.CommentsClose CommentsPermalink





(c) Value-Added Products- The Secretary may offer value-added products containing fruits, vegetables, or nuts under this section, taking into consideration--CommentsClose CommentsPermalink





(1) whether demand exists for the value-added product; andCommentsClose CommentsPermalink





(2) the interests of entities that receive fruits, vegetables, and nuts under this section.CommentsClose CommentsPermalink

SEC. 4906. CONFORMING AMENDMENTS TO RENAMING OF FOOD STAMP PROGRAM.

(a) In General-CommentsClose CommentsPermalink





(1) Section 4 of the Food and Nutrition Act of 2007 (7 U.S.C. 2013) is amended in the section heading by striking `FOOD STAMP PROGRAM' and inserting `FOOD AND NUTRITION PROGRAM'.CommentsClose CommentsPermalink





(2) Section 5(h)(2)(A) of the Food and Nutrition Act of 2007 (7 U.S.C. 2014(h)(2)(A)) is amended by striking `Food Stamp Disaster Task Force' and inserting `Food and Nutrition Disaster Task Force'.CommentsClose CommentsPermalink





(3) Section 6 of the Food and Nutrition Act of 2007 (7 U.S.C. 2015) is amended--CommentsClose CommentsPermalink





(A) in subsection (d)(3), by striking `eligible for food stamps' and inserting `eligible to receive food and nutrition assistance';CommentsClose CommentsPermalink





(B) in subsection (g), by striking `food stamps' and inserting `food and nutrition assistance';CommentsClose CommentsPermalink





(C) in subsection (j), in the subsection heading, by striking `Food Stamp' and inserting `Food and Nutrition'; andCommentsClose CommentsPermalink





(D) in subsection (o)--CommentsClose CommentsPermalink





(i) in paragraph (2), by striking `food stamp benefits' and inserting `food and nutrition assistance'; andCommentsClose CommentsPermalink





(ii) in paragraph (6)--CommentsClose CommentsPermalink





(I) in subparagraph (A)--CommentsClose CommentsPermalink

(aa) in clause (i), by striking `food stamps' and inserting `food and nutrition assistance'; andCommentsClose CommentsPermalink

(bb) in clause (ii)--CommentsClose CommentsPermalink

(AA) in the matter preceding subclause (I), by striking `a food stamp recipient' and inserting `a member of a household that receives food and nutrition assistance'; andCommentsClose CommentsPermalink

(BB) by striking `food stamp benefits' each place it appears and inserting `food and nutrition assistance'; andCommentsClose CommentsPermalink

(II) in subparagraphs (D) and (E), by striking `food stamp recipients' each place it appears and inserting `members of households that receive food and nutrition assistance'.CommentsClose CommentsPermalink





(4) Section 7 of the Food and Nutrition Act of 2007 (7 U.S.C. 2016) (as amended by section 4202(a)(11)) is amended--CommentsClose CommentsPermalink





(A) in subsection (h)--CommentsClose CommentsPermalink





(i) in paragraph (3)(B)(ii), by striking `food stamp households' and inserting `households receiving food and nutrition assistance'; andCommentsClose CommentsPermalink





(ii) in paragraph (7), by striking `food stamp issuance' and inserting `food and nutrition assistance issuance'; andCommentsClose CommentsPermalink





(B) in subsection (j)--CommentsClose CommentsPermalink





(i) in paragraph (2), by striking `food stamp benefits' and inserting `food and nutrition assistance benefits'; andCommentsClose CommentsPermalink





(ii) in paragraph (3), by striking `food stamp retail' and inserting `food and nutrition assistance retail'.CommentsClose CommentsPermalink





(5) Section 9(b)(1) of that Food and Nutrition Act of 2007 (7 U.S.C. 2018(b)(1)) is amended by striking `food stamp households' and inserting `households that receive food and nutrition assistance'.CommentsClose CommentsPermalink





(6) Section 11 of the Food and Nutrition Act of 2007 (7 U.S.C. 2020) (as amended by section 4202(b)(9)(B)(III)) is amended--CommentsClose CommentsPermalink





(A) in subsection (e)--CommentsClose CommentsPermalink





(i) in paragraph (2)--CommentsClose CommentsPermalink





(I) in subparagraph (A), by striking `food stamp offices' and inserting `food and nutrition assistance offices'; andCommentsClose CommentsPermalink





(II) in subparagraph (B)--CommentsClose CommentsPermalink

(aa) in clause (iii), by striking `food stamp office' and inserting `food and nutrition assistance office';CommentsClose CommentsPermalink

(bb) in clause (v)(II), by striking `food stamps' and inserting `food and nutrition assistance'; andCommentsClose CommentsPermalink

(cc) in clause (vii), by striking `food stamp offices' and inserting `food and nutrition assistance offices';CommentsClose CommentsPermalink

(ii) in paragraph (14), by striking `food stamps' and inserting `food and nutrition assistance';CommentsClose CommentsPermalink





(iii) in paragraph (15), by striking `food stamps' and inserting `food and nutrition assistance'; andCommentsClose CommentsPermalink





(iv) in paragraph (23)--CommentsClose CommentsPermalink





(I) in the matter preceding subparagraph (A), by striking `Simplified Food Stamp Program' and inserting `Simplified Food and Nutrition Assistance Program'; andCommentsClose CommentsPermalink





(II) in subparagraph (A), by striking `food stamp benefits' and inserting `food and nutrition assistance';CommentsClose CommentsPermalink





(B) in subsection (k), by striking `may issue, upon request by the State agency, food stamps' and inserting `may provide, on request by the State agency, food and nutrition assistance';CommentsClose CommentsPermalink





(C) in subsection (l), by striking `food stamp participation' and inserting `food and nutrition program participation';CommentsClose CommentsPermalink





(D) in subsections (q) and (r), in the subsection headings, by striking `Food Stamps' each place it appears and inserting `Food and Nutrition Assistance';CommentsClose CommentsPermalink





(E) in subsection (s), by striking `food stamp benefits' each place it appears and inserting `food and nutrition assistance'; andCommentsClose CommentsPermalink





(F) in subsection (t)(1)--CommentsClose CommentsPermalink





(i) in subparagraph (A), by striking `food stamp application' and inserting `food and nutrition assistance application'; andCommentsClose CommentsPermalink





(ii) in subparagraph (B), by striking `food stamp benefits' and inserting `food and nutrition assistance'.CommentsClose CommentsPermalink





(7) Section 14(b) of the Food and Nutrition Act of 2007 (7 U.S.C. 2023(b)) is amended by striking `food stamp allotments' and inserting `food and nutrition assistance'.CommentsClose CommentsPermalink





(8) Section 16 of the Food and Nutrition Act of 2007 (7 U.S.C. 2025) is amended--CommentsClose CommentsPermalink





(A) in subsection (a)(4), by striking `food stamp informational activities' and inserting `informational activities relating to the food and nutrition program';CommentsClose CommentsPermalink





(B) in subsection (c)(9)(C), by striking `food stamp caseload' and inserting `the caseload under the food and nutrition program'; andCommentsClose CommentsPermalink





(C) in subsection (h)(1)(E)(i), by striking `food stamp recipients' and inserting `households receiving food and nutrition assistance'.CommentsClose CommentsPermalink





(9) Section 17 of the Food and Nutrition Act of 2007 (7 U.S.C. 2026) is amended--CommentsClose CommentsPermalink





(A) in subsection (a)(2), by striking `food stamp benefits' each place it appears and inserting `food and nutrition assistance benefits';CommentsClose CommentsPermalink





(B) in subsection (b)--CommentsClose CommentsPermalink





(i) in paragraph (1)--CommentsClose CommentsPermalink





(I) in subparagraph (A), by striking `food stamp benefits' and inserting `food and nutrition assistance'; andCommentsClose CommentsPermalink





(II) in subparagraph (B)--CommentsClose CommentsPermalink

(aa) in clause (ii)(II), by striking `food stamp recipients' and inserting `food and nutrition assistance recipients';CommentsClose CommentsPermalink

(bb) in clause (iii)(I), by striking `the State's food stamp households' and inserting `the number of households in the State receiving food and nutrition assistance'; andCommentsClose CommentsPermalink

(cc) in clause (iv)(IV)(bb), by striking `food stamp deductions' and inserting `food and nutrition assistance deductions';CommentsClose CommentsPermalink

(ii) in paragraph (2), by striking `food stamp benefits' and inserting `food and nutrition assistance'; andCommentsClose CommentsPermalink





(iii) in paragraph (3)--CommentsClose CommentsPermalink





(I) in subparagraph (A), by striking `food stamp employment' and inserting `food and nutrition program employment';CommentsClose CommentsPermalink





(II) in subparagraph (B), by striking `food stamp recipients' and inserting `food and nutrition assistance recipients';CommentsClose CommentsPermalink





(III) in subparagraph (C), by striking `food stamps' and inserting `food and nutrition assistance'; andCommentsClose CommentsPermalink





(IV) in subparagraph (D), by striking `food stamp benefits' and inserting `food and nutrition assistance benefits';CommentsClose CommentsPermalink





(C) in subsection (c), by striking `food stamps' and inserting `food and nutrition assistance';CommentsClose CommentsPermalink





(D) in subsection (d)--CommentsClose CommentsPermalink





(i) in paragraph (1)(B), by striking `food stamp benefits' and inserting `food and nutrition assistance';CommentsClose CommentsPermalink





(ii) in paragraph (2)--CommentsClose CommentsPermalink





(I) in subparagraph (A), by striking `food stamp allotments' each place it appears and inserting `food and nutrition assistance'; andCommentsClose CommentsPermalink





(II) in subparagraph (C)(ii), by striking `food stamp benefit' and inserting `food and nutrition assistance'; andCommentsClose CommentsPermalink





(iii) in paragraph (3)(E), by striking `food stamp benefits' and inserting `food and nutrition assistance';CommentsClose CommentsPermalink





(E) in subsections (e) and (f), by striking `food stamp benefits' each place it appears and inserting `food and nutrition assistance';CommentsClose CommentsPermalink





(F) in subsection (g), in the first sentence, by striking `receipt of food stamp' and inserting `receipt of food and nutrition assistance'; andCommentsClose CommentsPermalink





(G) in subsection (j), by striking `food stamp agencies' and inserting `food and nutrition program agencies'.CommentsClose CommentsPermalink





(10) Section 18(a)(3)(A)(ii) of the Food and Nutrition Act of 2007 (7 U.S.C. 2027(a)(3)(A)(ii)) is amended by striking `food stamps' and inserting `food and nutrition assistance'.CommentsClose CommentsPermalink





(11) Section 21(d)(3) of the Food and Nutrition Act of 2007 (7 U.S.C. 2030(d)(3)) is amended by striking `food stamp benefits' and inserting `food and nutrition assistance'.CommentsClose CommentsPermalink





(12) Section 22 of the Food and Nutrition Act of 2007 (7 U.S.C. 2031) is amended--CommentsClose CommentsPermalink





(A) in the section heading, by striking `FOOD STAMP PORTION OF MINNESOTA FAMILY INVESTMENT PLAN' and inserting `FOOD AND NUTRITION ASSISTANCE PORTION OF MINNESOTA FAMILY INVESTMENT PROJECT';CommentsClose CommentsPermalink





(B) in subsections (b)(12) and (d)(3), by striking `the Food Stamp Act, as amended,' each place it appears and inserting `this Act'; andCommentsClose CommentsPermalink





(C) in subsection (g)(1), by striking `the Food Stamp Act of 1977 (7 U.S.C. 2011 et seq.)' and inserting `this Act'.CommentsClose CommentsPermalink





(13) Section 26 of the Food and Nutrition Act of 2007 (7 U.S.C. 2035) is amended--CommentsClose CommentsPermalink





(A) in the section heading, by striking `SIMPLIFIED FOOD STAMP PROGRAM' and inserting `SIMPLIFIED FOOD AND NUTRITION PROGRAM'; andCommentsClose CommentsPermalink





(B) in subsection (b), by striking `simplified food stamp program' and inserting `simplified food and nutrition program'.CommentsClose CommentsPermalink





(b) Conforming Cross-References-CommentsClose CommentsPermalink





(1) IN GENERAL- Each provision of law described in paragraph (2) is amended (as applicable)--CommentsClose CommentsPermalink





(A) by striking `food stamp program' each place it appears and inserting `food and nutrition program';CommentsClose CommentsPermalink





(B) by striking `Food Stamp Act of 1977' each place it appears and inserting `Food and Nutrition Act of 2007';CommentsClose CommentsPermalink





(C) by striking `Food Stamp Act' each place it appears and inserting `Food and Nutrition Act of 2007';CommentsClose CommentsPermalink





(D) by striking `food stamp' each place it appears and inserting `food and nutrition assistance';CommentsClose CommentsPermalink





(E) by striking `food stamps' each place it appears and inserting `food and nutrition assistance';CommentsClose CommentsPermalink





(F) in each applicable title, subtitle, chapter, subchapter, and section heading, by striking `food stamp' each place it appears and inserting `food and nutrition assistance';CommentsClose CommentsPermalink





(G) in each applicable subsection and appropriations heading, by striking `Food Stamp' each place it appears and inserting `Food and Nutrition Assistance';CommentsClose CommentsPermalink





(H) in each applicable heading other than a title, subtitle, chapter, subchapter, section, subsection, or appropriations heading, by striking `FOOD STAMP' each place it appears and inserting `FOOD AND NUTRITION ASSISTANCE';CommentsClose CommentsPermalink





(I) in each applicable title, subtitle, chapter, subchapter, and section heading, by striking `food stamps' each place it appears and inserting `food and nutrition assistance';CommentsClose CommentsPermalink





(J) in each applicable subsection and appropriations heading, by striking `Food Stamps' each place it appears and inserting `Food and Nutrition Assistance'; andCommentsClose CommentsPermalink





(K) in each applicable heading other than a title, subtitle, chapter, subchapter, section, subsection, or appropriations heading, by striking `FOOD STAMPS' each place it appears and inserting `FOOD AND NUTRITION ASSISTANCE'.CommentsClose CommentsPermalink





(2) PROVISIONS OF LAW- The provisions of law referred to in paragraph (1) are the following:CommentsClose CommentsPermalink





(A) The Hunger Prevention Act of 1988 (Public Law 100-435; 102 Stat. 1645).CommentsClose CommentsPermalink





(B) The Food Stamp Program Improvements Act of 1994 (Public Law 103-225; 108 Stat. 106).CommentsClose CommentsPermalink





(C) Title IV of the Farm Security and Rural Investment Act of 2002 (Public Law 107-171; 116 Stat. 305).CommentsClose CommentsPermalink





(D) Section 2 of Public Law 103-205 (7 U.S.C. 2012 note).CommentsClose CommentsPermalink





(E) Section 807(b) of the Stewart B. McKinney Homeless Assistance Act (7 U.S.C. 2014 note; Public Law 100-77).CommentsClose CommentsPermalink





(F) The Electronic Benefit Transfer Interoperability and Portability Act of 2000 (Public Law 106-171; 114 Stat. 3).CommentsClose CommentsPermalink





(G) Section 502(b) of the Agricultural Research, Extension, and Education Reform Act of 1998 (7 U.S.C. 2025 note; Public Law 105-185).CommentsClose CommentsPermalink





(H) The National Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3101 et seq.).CommentsClose CommentsPermalink





(I) The Emergency Food Assistance Act of 1983 (7 U.S.C. 7501 et seq.).CommentsClose CommentsPermalink





(J) The Immigration and Nationality Act (8 U.S.C. 1101 et seq.).CommentsClose CommentsPermalink





(K) Section 8119 of the Department of Defense Appropriations Act, 1999 (10 U.S.C. 113 note; Public Law 105-262).CommentsClose CommentsPermalink





(L) The Armored Car Industry Reciprocity Act of 1993 (15 U.S.C. 5901 et seq.).CommentsClose CommentsPermalink





(M) Title 18, United States Code.CommentsClose CommentsPermalink





(N) The Higher Education Act of 1965 (20 U.S.C. 1001 et seq.).CommentsClose CommentsPermalink





(O) The Internal Revenue Code of 1986.CommentsClose CommentsPermalink





(P) Section 650 of the Treasury and General Government Appropriations Act, 2000 (26 U.S.C. 7801 note; Public Law 106-58).CommentsClose CommentsPermalink





(Q) The Wagner-Peysner Act (29 U.S.C. 49 et seq.).CommentsClose CommentsPermalink





(R) The Workforce Investment Act of 1998 (29 U.S.C. 2801 et seq.).CommentsClose CommentsPermalink





(S) Title 31, United States Code.CommentsClose CommentsPermalink





(T) Title 37, United States Code.CommentsClose CommentsPermalink





(U) The Public Health Service Act (42 U.S.C. 201 et seq.).CommentsClose CommentsPermalink





(V) Titles II through XIX of the Social Security Act (42 U.S.C. 401 et seq.).CommentsClose CommentsPermalink





(W) Section 406 of the Family Support Act of 1988 (Public Law 100-485; 102 Stat. 2400).CommentsClose CommentsPermalink





(X) Section 232 of the Social Security Act Amendments of 1994 (42 U.S.C. 1314a).CommentsClose CommentsPermalink





(Y) The United States Housing Act of 1937 (42 U.S.C. 1437 et seq.).CommentsClose CommentsPermalink





(Z) The Richard B. Russell National School Lunch Act (42 U.S.C. 1751 et seq.).CommentsClose CommentsPermalink





(AA) The Child Nutrition Act of 1966 (42 U.S.C. 1771 et seq.).CommentsClose CommentsPermalink





(BB) The Older Americans Act of 1965 (42 U.S.C. 3001 et seq.).CommentsClose CommentsPermalink





(CC) Section 208 of the Intergovernmental Personnel Act of 1970 (42 U.S.C. 4728).CommentsClose CommentsPermalink





(DD) The Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.).CommentsClose CommentsPermalink





(EE) The Low-Income Home Energy Assistance Act of 1981 (42 U.S.C. 8621 et seq.).CommentsClose CommentsPermalink





(FF) Section 658K of the Child Care and Development Block Grant Act of 1990 (42 U.S.C. 9858i).CommentsClose CommentsPermalink





(GG) The Alaska Native Claims Settlement Act (43 U.S.C. 1601 et seq.).CommentsClose CommentsPermalink





(HH) Public Law 95-348 (92 Stat. 487).CommentsClose CommentsPermalink





(II) The Agriculture and Food Act of 1981 (Public Law 97-98; 95 Stat. 1213).CommentsClose CommentsPermalink





(JJ) The Disaster Assistance Act of 1988 (Public Law 100-387; 102 Stat. 924).CommentsClose CommentsPermalink





(KK) The Food, Agriculture, Conservation, and Trade Act of 1990 (Public Law 101-624; 104 Stat. 3359).CommentsClose CommentsPermalink





(LL) The Cranston-Gonzalez National Affordable Housing Act (Public Law 101-625; 104 Stat. 4079).CommentsClose CommentsPermalink





(MM) Section 388 of the Persian Gulf Conflict Supplemental Authorization and Personnel Benefits Act of 1991 (Public Law 102-25; 105 Stat. 98).CommentsClose CommentsPermalink





(NN) The Food, Agriculture, Conservation, and Trade Act Amendments of 1991 (Public Law 102-237; 105 Stat. 1818).CommentsClose CommentsPermalink





(OO) The Act of March 26, 1992 (Public Law 102-265; 106 Stat. 90).CommentsClose CommentsPermalink





(PP) Public Law 105-379 (112 Stat. 3399).CommentsClose CommentsPermalink





(QQ) Section 101(c) of the Emergency Supplemental Act, 2000 (Public Law 106-246; 114 Stat. 528).CommentsClose CommentsPermalink





(c) References- Any reference in any Federal, State, tribal, or local law (including regulations) to the `food stamp program' established under the Food and Nutrition Act of 2007 (7 U.S.C. 2011 et seq.) shall be considered to be a reference to the `food and nutrition program' established under that Act.CommentsClose CommentsPermalink

SEC. 4907. EFFECTIVE AND IMPLEMENTATION DATES.

(a) General Effective Date- Except as otherwise provided in this title, this title and the amendments made by this title take effect on April 1, 2008.CommentsClose CommentsPermalink





(b) Implementation of Improvements to Program Benefits-CommentsClose CommentsPermalink





(1) IN GENERAL- A State agency may implement the amendments made by part II of subtitle A beginning on a date (as determined by the State agency) during the period beginning on April 1, 2008, and ending on October 1, 2008.CommentsClose CommentsPermalink





(2) CERTIFICATION PERIOD- At the option of a State agency, the State agency may implement 1 or more of the amendments made by sections 4103 and 4104 for a certification period that begins not earlier than the implementation date determined by the State under paragraph (1).CommentsClose CommentsPermalink

SEC. 4908. APPLICATION.

(a) In General- Notwithstanding any other provision of this title or amendments made by this title, the amendments made by the provisions described in subsection (b) shall be in effect during the period beginning on the date of enactment of this Act (or such other effective date as is otherwise provided in this title) and ending on September 30, 2012.CommentsClose CommentsPermalink





(b) Provisions- The provisions referred to in subsection (a) are--CommentsClose CommentsPermalink





(1) section 4101;CommentsClose CommentsPermalink





(2) section 4102;CommentsClose CommentsPermalink





(3) section 4103;CommentsClose CommentsPermalink





(4) section 4104;CommentsClose CommentsPermalink





(5) section 4107;CommentsClose CommentsPermalink





(6) section 4108;CommentsClose CommentsPermalink





(7) section 4109;CommentsClose CommentsPermalink





(8) section 4110(a)(2);CommentsClose CommentsPermalink





(9) section 4208;CommentsClose CommentsPermalink





(10) section 4701(a)(3);CommentsClose CommentsPermalink





(11) section 4801(g); andCommentsClose CommentsPermalink





(12) section 4903.CommentsClose CommentsPermalink

TITLE V--CREDIT

Subtitle A--Farm Ownership Loans

SEC. 5001. DIRECT LOANS.

Section 302 of the Consolidated Farm and Rural Development Act (7 U.S.C. 1922) is amended--CommentsClose CommentsPermalink





(1) by striking the section designation and heading and all that follows through `(a) The Secretary is authorized to' and inserting the following:CommentsClose CommentsPermalink

`SEC. 302. PERSONS ELIGIBLE FOR REAL ESTATE LOANS.

`(a) In General- The Secretary may'; andCommentsClose CommentsPermalink





(2) in subsection (a)(2), by inserting `, taking into consideration all farming experience of the applicant, without regard to any lapse between farming experiences' after `farming operations'.CommentsClose CommentsPermalink

SEC. 5002. PURPOSES OF LOANS.

Section 303(a)(1) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1923(a)(1)) is amended--CommentsClose CommentsPermalink





(1) in subparagraph (D), by striking `or' at the end;CommentsClose CommentsPermalink





(2) in subparagraph (E), by striking the period at the end and inserting `; or'; andCommentsClose CommentsPermalink





(3) by adding at the end the following:CommentsClose CommentsPermalink





`(F) refinancing guaranteed farm ownership loans of qualified beginning farmers and ranchers under this subtitle that were used to carry out purposes described in subparagraphs (A) through (E).'.CommentsClose CommentsPermalink

SEC. 5003. SOIL AND WATER CONSERVATION AND PROTECTION.

Section 304 of the Consolidated Farm and Rural Development Act (7 U.S.C. 1924) is amended--CommentsClose CommentsPermalink





(1) in subsection (a)--CommentsClose CommentsPermalink





(A) in paragraph (4), by inserting `or conversion to a certified organic farm in accordance with the Organic Foods Production Act of 1990 (7 U.S.C. 6501 et seq.)' after `systems';CommentsClose CommentsPermalink





(B) in paragraph (5), by striking `and' at the end;CommentsClose CommentsPermalink





(C) by redesignating paragraph (6) as paragraph (7); andCommentsClose CommentsPermalink





(D) by inserting after paragraph (5) the following:CommentsClose CommentsPermalink





`(6) the implementation of 1 or more practices under the environmental quality section of the comprehensive stewardship incentives program established under subchapter A of chapter 6 of subtitle D of title XII of the Food Security Act of 1985; and'; andCommentsClose CommentsPermalink





(2) by striking subsections (b) and (c) and inserting the following:CommentsClose CommentsPermalink





`(b) Priority- In making or guaranteeing loans under this section, the Secretary shall give priority to--CommentsClose CommentsPermalink





`(1) qualified beginning farmers or ranchers and socially disadvantaged farmers or ranchers;CommentsClose CommentsPermalink





`(2) owners or tenants who use the loans to convert to sustainable or organic agricultural production systems;CommentsClose CommentsPermalink





`(3) producers who use the loans to build conservation structures or establish conservation practices to comply with section 1212 of the Food Security Act of 1985 (16 U.S.C. 3812); andCommentsClose CommentsPermalink





`(4) producers who have a certification from the Natural Resources Conservation Service issued pursuant to section 1240B(d) of the Food Security Act of 1985.'.CommentsClose CommentsPermalink

SEC. 5004. LIMITATIONS ON AMOUNT OF FARM OWNERSHIP LOANS.

Section 305(a)(2) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1925(a)(2)) is amended by striking `$200,000' and inserting `$300,000'.CommentsClose CommentsPermalink

SEC. 5005. DOWN PAYMENT LOAN PROGRAM.

Section 310E of the Consolidated Farm and Rural Development Act (7 U.S.C. 1935) is amended--CommentsClose CommentsPermalink





(1) in subsection (a)(1), by inserting `and socially disadvantaged farmers and ranchers' after `ranchers';CommentsClose CommentsPermalink





(2) in subsection (b)--CommentsClose CommentsPermalink





(A) by striking paragraph (1) and inserting the following:CommentsClose CommentsPermalink





`(1) PRINCIPAL-CommentsClose CommentsPermalink





`(A) PURCHASE PRICE OF $500,000 OR LESS- Each loan made under this section for a purchase price that is $500,000 or less, shall be in an amount that does not exceed 45 percent of the lesser of--CommentsClose CommentsPermalink





`(i) the purchase price; orCommentsClose CommentsPermalink





`(ii) the appraised value of the farm or ranch to be acquired.CommentsClose CommentsPermalink





`(B) PURCHASE PRICE GREATER THAN $500,000- Each loan made under this section for a purchase price that is greater than $500,000, shall be in an amount that does not exceed 45 percent of the lesser of--CommentsClose CommentsPermalink





`(i) $500,000; orCommentsClose CommentsPermalink





`(ii) the appraised value of the farm or ranch to be acquired.';CommentsClose CommentsPermalink





(B) by striking paragraph (2) and inserting the following:CommentsClose CommentsPermalink





`(2) INTEREST RATE- The interest rate on any loan made by the Secretary under this section shall be a rate equal to the greater of--CommentsClose CommentsPermalink





`(A) the difference obtained by subtracting 400 basis points from the interest rate for regular farm ownership loans under this subtitle; orCommentsClose CommentsPermalink





`(B) 2 percent.'; andCommentsClose CommentsPermalink





(C) in paragraph (3), by striking `15' and inserting `20';CommentsClose CommentsPermalink





(3) in subsection (c)--CommentsClose CommentsPermalink





(A) in paragraph (1), by striking `10 percent' and inserting `5 percent';CommentsClose CommentsPermalink





(B) by striking paragraph (2);CommentsClose CommentsPermalink





(C) by redesignating paragraph (3) as paragraph (2); andCommentsClose CommentsPermalink





(D) in subparagraph (B) of paragraph (2) (as so redesignated), by striking `15-year' and inserting `20-year'; andCommentsClose CommentsPermalink





(4) in subsection (d)--CommentsClose CommentsPermalink





(A) in paragraph (3), by striking the `and' at the end;CommentsClose CommentsPermalink





(B) in paragraph (4), by striking the period at the end and inserting `; and'; andCommentsClose CommentsPermalink





(C) by adding at the end the following:CommentsClose CommentsPermalink





`(5) establish annual performance goals to promote the use of the down payment loan program and other joint financing participation loans as the preferred choice for direct real estate loans made by any lender to a qualified beginning farmer or rancher or socially disadvantaged farmer or rancher.'.CommentsClose CommentsPermalink

SEC. 5006. BEGINNING FARMER OR RANCHER CONTRACT LAND SALES PROGRAM.

Section 310F of the Consolidated Farm and Rural Development Act (7 U.S.C. 1936) is amended to read as follows:CommentsClose CommentsPermalink

`SEC. 310F. BEGINNING FARMER OR RANCHER CONTRACT LAND SALES PROGRAM.

`(a) In General- Subject to subsection (c), the Secretary shall, in accordance with each condition described in subsection (b), provide a prompt payment guarantee for any loan made by a private seller of farmland or ranch land to a qualified beginning farmer or rancher on a contract land sale basis.CommentsClose CommentsPermalink





`(b) Conditions for Guarantee- To receive a guarantee for a loan by the Secretary under subsection (a)--CommentsClose CommentsPermalink





`(1) the qualified beginning farmer or rancher shall--CommentsClose CommentsPermalink





`(A) on the date on which the contract land sale that is the subject of the loan is complete, own and operate the farmland or ranch land that is the subject of the contract land sale;CommentsClose CommentsPermalink





`(B) on the date on which the contract land sale that is the subject of the loan is commenced--CommentsClose CommentsPermalink





`(i) have a credit history that--CommentsClose CommentsPermalink





`(I) includes a record of satisfactory debt repayment, as determined by the Secretary; andCommentsClose CommentsPermalink





`(II) is acceptable to the Secretary; andCommentsClose CommentsPermalink





`(ii) demonstrate to the Secretary that the qualified beginning farmer or rancher is unable to obtain sufficient credit without a guarantee to finance any actual need of the qualified beginning farmer or rancher at a reasonable rate or term;CommentsClose CommentsPermalink





`(2) the loan made by the private seller of farmland or ranch land to the qualified beginning farmer or rancher on a contract land sale basis shall meet applicable underwriting criteria, as determined by the Secretary; andCommentsClose CommentsPermalink





`(3) to carry out the loan--CommentsClose CommentsPermalink





`(A) a commercial lending institution shall agree to serve as an escrow agent; orCommentsClose CommentsPermalink





`(B) the private seller of farmland or ranch land, in cooperation with the qualified beginning farmer or rancher, shall use an appropriate alternate arrangement, as determined by the Secretary.CommentsClose CommentsPermalink





`(c) Limitations-CommentsClose CommentsPermalink





`(1) DOWN PAYMENT- The Secretary shall not guarantee a loan made by a private seller of farmland or ranch land to a qualified beginning farmer or rancher under subsection (a) if the contribution of the qualified beginning farmer or rancher to the down payment for the farmland or ranch land that is the subject of the contract land sale would be an amount less than 5 percent of the purchase price of the farmland or ranch land.CommentsClose CommentsPermalink





`(2) MAXIMUM PURCHASE PRICE- The Secretary shall not guarantee a loan made by a private seller of farmland or ranch land to a qualified beginning farmer or rancher under subsection (a) if the purchase price or the appraisal value of the farmland or ranch land that is the subject of the contract land sale is an amount greater than $500,000.CommentsClose CommentsPermalink





`(d) Period of Guarantee- The Secretary shall guarantee a loan made by a private seller of farmland or ranch land to a qualified beginning farmer or rancher under subsection (a) for a 10-year period beginning on the date on which the Secretary guarantees the loan.CommentsClose CommentsPermalink





`(e) Prompt Payment Guarantee- The Secretary shall provide to a private seller of farmland or ranch land who makes a loan to a qualified beginning farmer or rancher that is guaranteed by the Secretary, a prompt payment guarantee, which shall cover--CommentsClose CommentsPermalink





`(1) 3 amortized annual installments; orCommentsClose CommentsPermalink





`(2) an amount equal to 3 annual installments (including an amount equal to the total cost of any tax and insurance incurred during the period covered by the annual installments).'.CommentsClose CommentsPermalink

Subtitle B--Operating Loans

SEC. 5101. FARMING EXPERIENCE AS ELIGIBILITY REQUIREMENT.

Section 311 of the Consolidated Farm and Rural Development Act (7 U.S.C. 1941) is amended--CommentsClose CommentsPermalink





(1) by striking the section designation and all that follows through `(a) The Secretary is authorized to' and inserting the following:CommentsClose CommentsPermalink

`SEC. 311. PERSONS ELIGIBLE FOR LOANS.

`(a) In General- The Secretary may';CommentsClose CommentsPermalink





(2) in subsection (a)(2), by inserting `, taking into consideration all farming experience of the applicant, without regard to any lapse between farming experiences' after `farming operations'; andCommentsClose CommentsPermalink





(3) in subsection (c)(1)(C), by striking `6' and inserting `7'.CommentsClose CommentsPermalink

SEC. 5102. LIMITATIONS ON AMOUNT OF OPERATING LOANS.

Section 313(a)(1) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1943(a)(1)) is amended by striking `$200,000' and inserting `$300,000'.CommentsClose CommentsPermalink

SEC. 5103. LIMITATION ON PERIOD BORROWERS ARE ELIGIBLE FOR GUARANTEED ASSISTANCE.

Section 319 of the Consolidated Farm and Rural Development Act (7 U.S.C. 1949) is repealed.CommentsClose CommentsPermalink

Subtitle C--Administrative Provisions

SEC. 5201. BEGINNING FARMER AND RANCHER INDIVIDUAL DEVELOPMENT ACCOUNTS PILOT PROGRAM.

The Consolidated Farm and Rural Development Act is amended by adding after section 333A (7 U.S.C. 1983a) the following:CommentsClose CommentsPermalink

`SEC. 333B. BEGINNING FARMER AND RANCHER INDIVIDUAL DEVELOPMENT ACCOUNTS PILOT PROGRAM.

`(a) Definitions- In this section:CommentsClose CommentsPermalink





`(1) DEMONSTRATION PROGRAM- The term `demonstration program' means a demonstration program carried out by a qualified entity under the pilot program established in subsection (b)(1).CommentsClose CommentsPermalink





`(2) ELIGIBLE PARTICIPANT- The term `eligible participant' means a qualified beginning farmer or rancher that--CommentsClose CommentsPermalink





`(A) lacks significant financial resources or assets; andCommentsClose CommentsPermalink





`(B) has an income that is less than--CommentsClose CommentsPermalink





`(i) 80 percent of the median income of the area in which the eligible participant is located; orCommentsClose CommentsPermalink





`(ii) 200 percent of the most recent annual Federal Poverty Income Guidelines published by the Department of Health and Human Services for that area.CommentsClose CommentsPermalink





`(3) INDIVIDUAL DEVELOPMENT ACCOUNT- The term `individual development account' means a savings account described in subsection (b)(4)(A).CommentsClose CommentsPermalink





`(4) QUALIFIED ENTITY-CommentsClose CommentsPermalink





`(A) IN GENERAL- The term `qualified entity' means--CommentsClose CommentsPermalink





`(i) 1 or more organizations--CommentsClose CommentsPermalink





`(I) described in section 501(c)(3) of the Internal Revenue Code of 1986; andCommentsClose CommentsPermalink





`(II) exempt from taxation under section 501(a) of such Code; orCommentsClose CommentsPermalink





`(ii) a State, local, or tribal government submitting an application jointly with an organization described in clause (i).CommentsClose CommentsPermalink





`(B) NO PROHIBITION ON COLLABORATION- An organization described in subparagraph (A)(i) may collaborate with a financial institution or for-profit community development corporation to carry out the purposes of this section.CommentsClose CommentsPermalink





`(b) Pilot Program-CommentsClose CommentsPermalink





`(1) IN GENERAL- The Secretary shall establish a pilot program to be known as the `New Farmer Individual Development Accounts Pilot Program' under which the Secretary shall work through qualified entities to establish demonstration programs--CommentsClose CommentsPermalink





`(A) of at least 5 years in duration; andCommentsClose CommentsPermalink





`(B) in at least 15 States.CommentsClose CommentsPermalink





`(2) COORDINATION- The Secretary shall operate the pilot program through, and in coordination with the farm loan programs of, the Farm Service Agency.CommentsClose CommentsPermalink





`(3) RESERVE FUNDS-CommentsClose CommentsPermalink





`(A) IN GENERAL- Each demonstration program shall establish a reserve fund consisting of a non-Federal match of 25 percent of the total amount of the grant awarded to the demonstration program under this section.CommentsClose CommentsPermalink





`(B) FEDERAL FUNDS- After a demonstration program has deposited in the reserve fund the non-Federal matching funds described in subparagraph (A), the Secretary shall provide to the demonstration program for deposit in the reserve fund the total amount of the grant awarded under this section.CommentsClose CommentsPermalink





`(C) USE OF FUNDS- Of funds deposited in a reserve fund under subparagraphs (A) and (B), a demonstration program--CommentsClose CommentsPermalink





`(i) may use up to 20 percent for administrative expenses; andCommentsClose CommentsPermalink





`(ii) shall use the remainder to make matching awards described in paragraph (4)(B)(ii)(I).CommentsClose CommentsPermalink





`(D) INTEREST- Any interest earned on amounts in a reserve fund established under subparagraph (A) may be used as additional matching funds for, or to administer, the demonstration program.CommentsClose CommentsPermalink





`(E) GUIDANCE- The Secretary shall implement guidance regarding the investment requirements of reserve funds established under this paragraph.CommentsClose CommentsPermalink





`(4) INDIVIDUAL DEVELOPMENT ACCOUNTS-CommentsClose CommentsPermalink





`(A) IN GENERAL- A qualified entity receiving a grant under this section shall establish and administer an individual development account for each eligible participant.CommentsClose CommentsPermalink





`(B) CONTRACT REQUIREMENTS- To be eligible to receive funds under this section from a qualified entity, each eligible participant shall enter into a contract with a qualified entity under which--CommentsClose CommentsPermalink





`(i) the eligible participant shall agree--CommentsClose CommentsPermalink





`(I) to deposit a certain amount of funds of the eligible participant in a personal savings account, as prescribed by the contractual agreement between the eligible participant and the qualified entity; andCommentsClose CommentsPermalink





`(II) to use the funds described in subclause (I) only for 1 or more eligible expenditures described in paragraph (5)(A); andCommentsClose CommentsPermalink





`(ii) the qualified entity shall agree--CommentsClose CommentsPermalink





`(I) to deposit not later than 1 month after a deposit described in clause (i)(I) at least a 100-percent, and up to a 300-percent, match of that amount into the individual development account established for the eligible participant;CommentsClose CommentsPermalink





`(II) with uses of funds proposed by the eligible participant; andCommentsClose CommentsPermalink





`(III) to complete qualified financial training.CommentsClose CommentsPermalink





`(C) LIMITATION-CommentsClose CommentsPermalink





`(i) IN GENERAL- A qualified entity administering a demonstration program may provide not more than $9,000 for each fiscal year in matching funds to any eligible participant.CommentsClose CommentsPermalink





`(ii) TREATMENT OF AMOUNT- An amount provided under clause (i) shall not be considered to be a gift or loan for mortgage purposes.CommentsClose CommentsPermalink





`(D) INTEREST- Any interest earned on amounts in an individual development account shall be compounded with amounts otherwise deposited in the individual development account.CommentsClose CommentsPermalink





`(5) ELIGIBLE EXPENDITURES-CommentsClose CommentsPermalink





`(A) IN GENERAL- An eligible expenditure described in this subparagraph is an expenditure--CommentsClose CommentsPermalink





`(i) to purchase farmland or make a down payment on an accepted purchase offer for farmland;CommentsClose CommentsPermalink





`(ii) to make mortgage payments for up to 180 days after the date of purchase of farmland;CommentsClose CommentsPermalink





`(iii) to purchase farm equipment or production, storage, or marketing infrastructure or buy into an existing value-added business;CommentsClose CommentsPermalink





`(iv) to purchase breeding stock or fruit or nut trees or trees to harvest for timber;CommentsClose CommentsPermalink





`(v) to pay training or mentorship expenses to facilitate specific entrepreneurial agricultural activities; andCommentsClose CommentsPermalink





`(vi) for other similar expenditures, as determined by the Secretary.CommentsClose CommentsPermalink





`(B) TIMING-CommentsClose CommentsPermalink





`(i) IN GENERAL- An eligible expenditure may be made at any time during the 2-year period beginning on the date on which the last matching funds are provided under paragraph (4)(B)(ii)(I).CommentsClose CommentsPermalink





`(ii) UNEXPENDED FUNDS- Funds remaining in an individual development account after the period described in clause (i) shall revert to the reserve fund of the demonstration program.CommentsClose CommentsPermalink





`(C) PROHIBITION- An eligible participant that uses funds in an individual development account for an eligible expenditure described in subparagraph (A)(viii) shall not be eligible to receive funds for a substantially similar purpose (as determined by the Secretary) under the national organic program established under the Organic Foods Production Act of 1990 (7 U.S.C. 6501 et seq.).CommentsClose CommentsPermalink





`(c) Applications-CommentsClose CommentsPermalink





`(1) ANNOUNCEMENT OF DEMONSTRATION PROGRAMS- Not later than 180 days after the date of enactment of this section, the Secretary shall--CommentsClose CommentsPermalink





`(A) publicly announce the availability of funding under this section for demonstration programs; andCommentsClose CommentsPermalink





`(B) ensure that applications to carry out demonstration programs are widely available to qualified entities.CommentsClose CommentsPermalink





`(2) SUBMISSION- Not later than 270 days after the date of enactment of this section, a qualified entity may submit to the Secretary an application to carry out a demonstration program.CommentsClose CommentsPermalink





`(3) CRITERIA- In considering whether to approve an application to carry out a demonstration program, the Secretary shall assess--CommentsClose CommentsPermalink





`(A) the degree to which the demonstration program described in the application is likely to aid eligible participants in successfully pursuing new farming opportunities;CommentsClose CommentsPermalink





`(B) the experience and ability of the qualified entity to responsibly administer the project;CommentsClose CommentsPermalink





`(C) the experience and ability of the qualified entity in recruiting, educating, and assisting eligible participants to increase economic independence and pursue or advance farming opportunities;CommentsClose CommentsPermalink





`(D) the aggregate amount of direct funds from non-Federal public sector and private sources that are formally committed to the demonstration program as matching contributions;CommentsClose CommentsPermalink





`(E) the adequacy of the plan for providing information relevant to an evaluation of the demonstration program; andCommentsClose CommentsPermalink





`(F) such other factors as the Secretary considers to be appropriate.CommentsClose CommentsPermalink





`(4) PREFERENCES- In considering an application to conduct a demonstration program under this part, the Secretary shall give preference to an application from a qualified entity that demonstrates--CommentsClose CommentsPermalink





`(A) a track record of serving clients targeted by the program, including, as appropriate, socially disadvantaged farmers and ranchers; andCommentsClose CommentsPermalink





`(B) expertise in dealing with financial management aspects of farming.CommentsClose CommentsPermalink





`(5) APPROVAL-CommentsClose CommentsPermalink





`(A) IN GENERAL- Not later than 1 year after the date of enactment of this section, in accordance with this section, the Secretary shall, on a competitive basis, approve such applications to conduct demonstration programs as the Secretary considers appropriate.CommentsClose CommentsPermalink





`(B) DIVERSITY- The Secretary shall ensure, to the maximum extent practicable, that approved applications involve demonstration programs for a range of geographic areas and diverse populations.CommentsClose CommentsPermalink





`(6) TERM OF AUTHORITY- If the Secretary approves an application to carry out a demonstration program, the Secretary shall authorize the applying qualified entity to carry out the project for a period of 5 years, plus an additional 2 years for the making of eligible expenditures in accordance with subsection (b)(5)(B).CommentsClose CommentsPermalink





`(d) Grant Authority-CommentsClose CommentsPermalink





`(1) IN GENERAL- For each year during which a demonstration program is carried out under this section, the Secretary shall make a grant to the qualified entity authorized to carry out the demonstration program.CommentsClose CommentsPermalink





`(2) MAXIMUM AMOUNT OF GRANTS- The aggregate amount of grant funds provided to a demonstration program carried out under this section shall not exceed $300,000.CommentsClose CommentsPermalink





`(e) Reports-CommentsClose CommentsPermalink





`(1) ANNUAL PROGRESS REPORTS-CommentsClose CommentsPermalink





`(A) IN GENERAL- Not later than 60 days after the end of the calendar year in which the Secretary authorizes a qualified entity to carry out a demonstration program, and annually thereafter until the conclusion of the demonstration program, the qualified entity shall prepare an annual report that includes, for the period covered by the report--CommentsClose CommentsPermalink





`(i) an evaluation of the progress of the demonstration program;CommentsClose CommentsPermalink





`(ii) information about the demonstration program and eligible participants;CommentsClose CommentsPermalink





`(iii) the number and characteristics of individuals that have made 1 or more deposits into an individual development account;CommentsClose CommentsPermalink





`(iv) the amounts in the reserve fund established with respect to the program;CommentsClose CommentsPermalink





`(v) the amounts deposited in the individual development accounts;CommentsClose CommentsPermalink





`(vi) the amounts withdrawn from the individual development accounts and the purposes for which the amounts were withdrawn;CommentsClose CommentsPermalink





`(vii) the balances remaining in the individual development accounts; andCommentsClose CommentsPermalink





`(viii) such other information as the Secretary may require.CommentsClose CommentsPermalink





`(B) SUBMISSION OF REPORTS- A qualified entity shall submit each report required under subparagraph (A) to the Secretary.CommentsClose CommentsPermalink





`(2) REPORTS BY THE SECRETARY- Not later than 1 year after the date on which all demonstration programs under this section are concluded, the Secretary shall submit to Congress a final report that describes the results and findings of all reports and evaluations carried out under this section.CommentsClose CommentsPermalink





`(f) Regulations- In carrying out this section, the Secretary may promulgate regulations to ensure that the program includes provisions for--CommentsClose CommentsPermalink





`(1) the termination of demonstration programs;CommentsClose CommentsPermalink





`(2) control of the reserve funds in the case of such a termination;CommentsClose CommentsPermalink





`(3) transfer of demonstration programs to other qualified entities; andCommentsClose CommentsPermalink





`(4) remissions from a reserve fund to the Secretary in a case in which a demonstration program is terminated without transfer to a new qualified entity.CommentsClose CommentsPermalink





`(g) Funding-CommentsClose CommentsPermalink





`(1) AUTHORIZATION OF APPROPRIATIONS- There is authorized to be appropriated to carry out this section $10,000,000 for each of fiscal years 2008 through 2012.CommentsClose CommentsPermalink





`(2) ADMINISTRATION AND TRAINING- Of the total funds made available under paragraph (1) and in addition to any other available funds, not more than 10 percent may be used by the Secretary--CommentsClose CommentsPermalink





`(A) to administer the pilot program; andCommentsClose CommentsPermalink





`(B) to provide training, or hire 1 or more consultants to provide training, to instruct qualified entities in carrying out demonstration programs, including payment of reasonable costs incurred with respect to that training for--CommentsClose CommentsPermalink





`(i) staff or consultant travel;CommentsClose CommentsPermalink





`(ii) lodging;CommentsClose CommentsPermalink





`(iii) meals; andCommentsClose CommentsPermalink





`(iv) materials.'.CommentsClose CommentsPermalink

SEC. 5202. INVENTORY SALES PREFERENCES; LOAN FUND SET-ASIDES.

(a) Inventory Sales Preferences- Section 335(c) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1985(c)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (1)--CommentsClose CommentsPermalink





(A) in subparagraph (B)--CommentsClose CommentsPermalink





(i) in the subparagraph heading, by inserting `; SOCIALLY DISADVANTAGED FARMER OR RANCHER' after `OR RANCHER';CommentsClose CommentsPermalink





(ii) in clause (i), by inserting `or a socially disadvantaged farmer or rancher' after `or rancher';CommentsClose CommentsPermalink





(iii) in clause (ii), by inserting `or socially disadvantaged farmer or rancher' after `or rancher';CommentsClose CommentsPermalink





(iv) in clause (iii), by inserting `or a socially disadvantaged farmer or rancher' after `or rancher'; andCommentsClose CommentsPermalink





(v) in clause (iv), by inserting `and socially disadvantaged farmers and ranchers' after `and ranchers'; andCommentsClose CommentsPermalink





(B) in subparagraph (C), by inserting `or a socially disadvantaged farmer or rancher' after `or rancher';CommentsClose CommentsPermalink





(2) in paragraph (5)(B)--CommentsClose CommentsPermalink





(A) in clause (i)--CommentsClose CommentsPermalink





(i) in the clause heading, by inserting `; SOCIALLY DISADVANTAGED FARMER OR RANCHER' after `OR RANCHER';CommentsClose CommentsPermalink





(ii) by inserting `or a socially disadvantaged farmer or rancher' after `a beginning farmer or rancher'; andCommentsClose CommentsPermalink





(iii) by inserting `or the socially disadvantaged farmer or rancher' after `the beginning farmer or rancher'; andCommentsClose CommentsPermalink





(B) in clause (ii)--CommentsClose CommentsPermalink





(i) in the matter preceding subclause (I), by inserting `or a socially disadvantaged farmer or rancher' after `or rancher'; andCommentsClose CommentsPermalink





(ii) in subclause (II), by inserting `or the socially disadvantaged farmer or rancher' after `or rancher'; andCommentsClose CommentsPermalink





(3) in paragraph (6)--CommentsClose CommentsPermalink





(A) in subparagraph (A), by inserting `or a socially disadvantaged farmer or rancher' after `or rancher'; andCommentsClose CommentsPermalink





(B) in subparagraph (C)--CommentsClose CommentsPermalink





(i) in clause (i)(I), by inserting `and socially disadvantaged farmers and ranchers' after `and ranchers'; andCommentsClose CommentsPermalink





(ii) in clause (ii), by inserting `or socially disadvantaged farmers or ranchers' after `or ranchers'.CommentsClose CommentsPermalink





(b) Loan Fund Set-Asides- Section 346(b)(2) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1994(b)(2)) is amended--CommentsClose CommentsPermalink





(1) in subparagraph (A)--CommentsClose CommentsPermalink





(A) in clause (i)--CommentsClose CommentsPermalink





(i) in subclause (I), by striking `70 percent' and inserting `an amount that is not less than 75 percent of the total amount'; andCommentsClose CommentsPermalink





(ii) in subclause (II)--CommentsClose CommentsPermalink





(I) in the subclause heading, by inserting `; JOINT FINANCING ARRANGEMENTS' after `PAYMENT LOANS';CommentsClose CommentsPermalink





(II) by striking `60 percent' and inserting `an amount not less than 2/3 of the amount'; andCommentsClose CommentsPermalink





(III) by inserting `and joint financing arrangements under section 307(a)(3)(D)' after `section 310E'; andCommentsClose CommentsPermalink





(B) in clause (ii)(III), by striking `2003 through 2007, 35 percent' and inserting `2008 through 2012, an amount that is not less than 50 percent of the total amount'; andCommentsClose CommentsPermalink





(2) in subparagraph (B)(i), by striking `25 percent' and inserting `an amount that is not less than 40 percent of the total amount'.CommentsClose CommentsPermalink

SEC. 5203. TRANSITION TO PRIVATE COMMERCIAL OR OTHER SOURCES OF CREDIT.

Subtitle D of the Consolidated Farm and Rural Development Act is amended by inserting after section 344 (7 U.S.C. 1992) the following:CommentsClose CommentsPermalink

`SEC. 345. TRANSITION TO PRIVATE COMMERCIAL OR OTHER SOURCES OF CREDIT.

`(a) In General- In making or insuring a farm loan under subtitle A or B, the Secretary shall establish a plan and promulgate regulations (including performance criteria) that promote the goal of transitioning borrowers to private commercial credit and other sources of credit in the shortest practicable period of time.CommentsClose CommentsPermalink





`(b) Coordination- In carrying out this section, the Secretary shall integrate and coordinate the transition policy described in subsection (a) with--CommentsClose CommentsPermalink





`(1) the borrower training program established by section 359;CommentsClose CommentsPermalink





`(2) the loan assessment process established by section 360;CommentsClose CommentsPermalink





`(3) the supervised credit requirement established by section 361;CommentsClose CommentsPermalink





`(4) the market placement program established by section 362; andCommentsClose CommentsPermalink





`(5) other appropriate programs and authorities, as determined by the Secretary.'.CommentsClose CommentsPermalink

SEC. 5204. LOAN AUTHORIZATION LEVELS.

Section 346(b)(1) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1994(b)(1)) is amended--CommentsClose CommentsPermalink





(1) in the matter preceding subparagraph (A), by striking `$3,796,000,000 for each of fiscal years 2003 through 2007' and inserting `$4,226,000,000 for each of fiscal years 2008 through 2012'; andCommentsClose CommentsPermalink





(2) in subparagraph (A)--CommentsClose CommentsPermalink





(A) in the matter preceding clause (i), by striking `$770,000,000' and inserting `$1,200,000,000';CommentsClose CommentsPermalink





(B) in clause (i), by striking `$205,000,000' and inserting `$350,000,000'; andCommentsClose CommentsPermalink





(C) in clause (ii), by striking `$565,000,000' and inserting `$850,000,000'.CommentsClose CommentsPermalink

SEC. 5205. INTEREST RATE REDUCTION PROGRAM.

Section 351(a) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1999(a)) is amended--CommentsClose CommentsPermalink





(1) in the subsection heading, by inserting `and Availability' after `Establishment';CommentsClose CommentsPermalink





(2) by striking `The Secretary' and inserting the following:CommentsClose CommentsPermalink





`(1) ESTABLISHMENT- The Secretary'; andCommentsClose CommentsPermalink





(3) by adding at the end the following:CommentsClose CommentsPermalink





`(2) AVAILABILITY- The program established under paragraph (1) shall be available with respect to new guaranteed operating loans or guaranteed operating loans restructured under this title after the date of enactment of this paragraph that meet the requirements of subsection (b).'.CommentsClose CommentsPermalink

SEC. 5206. DEFERRAL OF SHARED APPRECIATION RECAPTURE AMORTIZATION.

Section 353(e)(7)(D) of the Consolidated Farm and Rural Development Act (7 U.S.C. 2001(e)(7)(D)) is amended--CommentsClose CommentsPermalink





(1) in the subparagraph heading, by inserting `AND DEFERRAL' after `REAMORTIZATION'; andCommentsClose CommentsPermalink





(2) in clause (ii)--CommentsClose CommentsPermalink





(A) by redesignating subclause (II) as subclause (III); andCommentsClose CommentsPermalink





(B) by inserting after subclause (I) the following:CommentsClose CommentsPermalink





`(II) TERM OF DEFERRAL- The term of a deferral under this subparagraph shall not exceed 1 year.'.CommentsClose CommentsPermalink

SEC. 5207. RURAL DEVELOPMENT, HOUSING, AND FARM LOAN PROGRAM ACTIVITIES.

Subtitle D of the Consolidated Farm and Rural Development Act is amended by inserting after section 364 (7 U.S.C. 2006f) the following:CommentsClose CommentsPermalink

`SEC. 365. RURAL DEVELOPMENT, HOUSING, AND FARM LOAN PROGRAM ACTIVITIES.

`The Secretary may not complete a study of, or enter into a contract with a private party to carry out, without specific authorization in a subsequent Act of Congress, a competitive sourcing activity of the Secretary, including support personnel of the Department of Agriculture, relating to rural development, housing, or farm loan programs.'.CommentsClose CommentsPermalink

Subtitle D--Farm Credit

SEC. 5301. AUTHORITY TO PASS ALONG COST OF INSURANCE PREMIUMS.

(a) In General- Section 1.12(b) of the Farm Credit Act of 1971 (12 U.S.C. 2020(b)) is amended--CommentsClose CommentsPermalink





(1) in the first sentence, by striking `Each Farm' and inserting the following;CommentsClose CommentsPermalink





`(1) IN GENERAL- Each Farm'; andCommentsClose CommentsPermalink





(2) by striking the second sentence and inserting the following:CommentsClose CommentsPermalink





`(2) COMPUTATION- The assessment on any association or other financing institution described in paragraph (1) for any period shall be computed in an equitable manner, as determined by the Corporation.'.CommentsClose CommentsPermalink





(b) Rules and Regulations- Section 5.58(10) of the Farm Credit Act of 1971 (12 U.S.C. 2277a-7(10)) is amended by inserting `and section 1.12(b)' after `part'.CommentsClose CommentsPermalink

SEC. 5302. TECHNICAL CORRECTION.

Section 3.3(b) of the Farm Credit Act of 1971 (12 U.S.C. 2124(b)) is amended in the first sentence by striking `per' and inserting `par'.CommentsClose CommentsPermalink

SEC. 5303. CONFIRMATION OF CHAIRMAN.

Section 5.8(a) of the Farm Credit Act of 1971 (12 U.S.C. 2242(a)) is amended in the fifth sentence by inserting `by and with the advice and consent of the Senate,' after `designated by the President,'.CommentsClose CommentsPermalink

SEC. 5304. PREMIUMS.

(a) Amount in Fund Not Exceeding Secure Base Amount- Section 5.55(a) of the Farm Credit Act of 1971 (12 U.S.C. 2277a--4(a)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (1)--CommentsClose CommentsPermalink





(A) in the matter preceding subparagraph (A)--CommentsClose CommentsPermalink





(i) by striking `paragraph (2)' and inserting `paragraph (3)'; andCommentsClose CommentsPermalink





(ii) by striking `annual' ; andCommentsClose CommentsPermalink





(B) by striking subparagraphs (A) through (D) and inserting the following:CommentsClose CommentsPermalink





`(A) the average outstanding insured obligations issued by the bank for the calendar year, after deducting from the obligations the percentages of the guaranteed portions of loans and investments described in paragraph (2), multiplied by 0.0020; andCommentsClose CommentsPermalink





`(B) the product obtained by multiplying--CommentsClose CommentsPermalink





`(i) the sum of--CommentsClose CommentsPermalink





`(I) the average principal outstanding for the calendar year on loans made by the bank that are in nonaccrual status; andCommentsClose CommentsPermalink





`(II) the average amount outstanding for the calendar year of other-than-temporarily impaired investments made by the bank; byCommentsClose CommentsPermalink





`(ii) 0.0010.';CommentsClose CommentsPermalink





(2) by striking paragraph (4);CommentsClose CommentsPermalink





(3) by redesignating paragraphs (2) and (3) as paragraphs (3) and (4), respectively;CommentsClose CommentsPermalink





(4) by inserting after paragraph (1) the following:CommentsClose CommentsPermalink





`(2) DEDUCTIONS FROM AVERAGE OUTSTANDING INSURED OBLIGATIONS- The average outstanding insured obligations issued by the bank for the calendar year referred to in paragraph (1)(A) shall be reduced by deducting from the obligations the sum of (as determined by the Corporation)--CommentsClose CommentsPermalink





`(A) 90 percent of each of --CommentsClose CommentsPermalink





`(i) the average principal outstanding for the calendar year on the guaranteed portions of Federal government-guaranteed loans made by the bank that are in accrual status; andCommentsClose CommentsPermalink





`(ii) the average amount outstanding for the calendar year of the guaranteed portions of Federal government-guaranteed investments made by the bank that are not permanently impaired; andCommentsClose CommentsPermalink





`(B) 80 percent of each of--CommentsClose CommentsPermalink





`(i) the average principal outstanding for the calendar year on the guaranteed portions of State government-guaranteed loans made by the bank that are in accrual status; andCommentsClose CommentsPermalink





`(ii) the average amount outstanding for the calendar year of the guaranteed portions of State government-guaranteed investments made by the bank that are not permanently impaired.';CommentsClose CommentsPermalink





(5) in paragraph (3) (as redesignated by paragraph (3)), by striking `annual'; andCommentsClose CommentsPermalink





(6) in paragraph (4) (as redesignated by paragraph (3))--CommentsClose CommentsPermalink





(A) in the paragraph heading, by inserting `OR INVESTMENTS' after `LOANS'; andCommentsClose CommentsPermalink





(B) in the matter preceding subparagraph (A), by striking `As used' and all that follows through `guaranteed--' and inserting `In this section, the term `government-guaranteed', when applied to a loan or an investment, means a loan, credit, or investment, or portion of a loan, credit, or investments, that is guaranteed--'.CommentsClose CommentsPermalink





(b) Amount in Fund Exceeding Secure Base Amount- Section 5.55(b) of the Farm Credit Act of 1971 (12 U.S.C. 2277a-4(b)) is amended by striking `annual'.CommentsClose CommentsPermalink





(c) Secure Base Amount- Section 5.55(c) of the Farm Credit Act of 1971 (12 U.S.C. 2277a-4(c)) is amended--CommentsClose CommentsPermalink





(1) by striking `For purposes' and inserting the following:CommentsClose CommentsPermalink





`(1) IN GENERAL- For purposes';CommentsClose CommentsPermalink





(2) by striking `(adjusted downward' and all that follows through `by the Corporation)' and inserting `(as adjusted under paragraph (2))'; andCommentsClose CommentsPermalink





(3) by adding at the end the following:CommentsClose CommentsPermalink





`(2) ADJUSTMENT- The aggregate outstanding insured obligations of all insured System banks under paragraph (1) shall be adjusted downward to exclude an amount equal to the sum of (as determined by the Corporation)--CommentsClose CommentsPermalink





`(A) 90 percent of each of--CommentsClose CommentsPermalink





`(i) the guaranteed portions of principal outstanding on Federal government-guaranteed loans in accrual status made by the banks; andCommentsClose CommentsPermalink





`(ii) the guaranteed portions of the amount of Federal government-guaranteed investments made by the banks that are not permanently impaired; andCommentsClose CommentsPermalink





`(B) 80 percent of each of--CommentsClose CommentsPermalink





`(i) the guaranteed portions of principal outstanding on State government-guaranteed loans in accrual status made by the banks; andCommentsClose CommentsPermalink





`(ii) the guaranteed portions of the amount of State government-guaranteed investments made by the banks that are not permanently impaired.'.CommentsClose CommentsPermalink





(d) Determination of Loan and Investment Amounts- Section 5.55(d) of the Farm Credit Act of 1971 (12 U.S.C. 2277a-4(d)) is amended--CommentsClose CommentsPermalink





(1) in the paragraph heading, by striking `Principal Outstanding' and inserting `Loan and Investment Amounts';CommentsClose CommentsPermalink





(2) in the matter preceding paragraph (1), by striking `For the purpose' and all that follows through `made--' and inserting `For the purpose of subsections (a) and (c), the principal outstanding on all loans made by an insured System bank, and the amount outstanding on all investments made by an insured System bank, shall be determined based on--';CommentsClose CommentsPermalink





(3) by inserting `all loans or investments made' before `by' the first place it appears in each of paragraph (1), (2), and (3); andCommentsClose CommentsPermalink





(4) in paragraphs (1) and (2), by inserting `or investments' after `that is able to make such loans' each place it appears.CommentsClose CommentsPermalink





(e) Allocation to System Institutions of Excess Reserves- Section 5.55(e) of the Farm Credit Act of 1971 (12 U.S.C. 2277a-4(e)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (3), by striking `the average secure base amount for the calendar year (as calculated on an average daily balance basis)' and inserting `the secure base amount';CommentsClose CommentsPermalink





(2) in paragraph (4), by striking subparagraph (B) and inserting the following:CommentsClose CommentsPermalink





`(B) there shall be credited to the Allocated Insurance Reserves Account of each insured System bank an amount that bears the same ratio to the total amount (less any amount credited under subparagraph (A)) as--CommentsClose CommentsPermalink





`(i) the average principal outstanding for the calendar year on insured obligations issued by the bank (after deducting from the principal the percentages of the guaranteed portions of loans and investments described in subsection (a)(2)); bears toCommentsClose CommentsPermalink





`(ii) the average principal outstanding for the calendar year on insured obligations issued by all insured System banks (after deducting from the principal the percentages of the guaranteed portions of loans and investments described in subsection (a)(2)).'; andCommentsClose CommentsPermalink





(3) in paragraph (6)--CommentsClose CommentsPermalink





(A) in subparagraph (A)--CommentsClose CommentsPermalink





(i) in the matter preceding clause (i), by striking `beginning more' and all that follows through `January 1, 2005';CommentsClose CommentsPermalink





(ii) by striking clause (i) and inserting the following:CommentsClose CommentsPermalink





`(i) subject to subparagraph (D), pay to each insured System bank, in a manner determined by the Corporation, an amount equal to the balance in the Allocated Insurance Reserves Account of the System bank; and'; andCommentsClose CommentsPermalink





(iii) in clause (ii)--CommentsClose CommentsPermalink





(I) by striking `subparagraphs (C), (E), and (F)' and inserting `subparagraphs (C) and (E)'; andCommentsClose CommentsPermalink





(II) by striking `, of the lesser of--' and all that follows through the end of subclause (II) and inserting `at the time of the termination of the Financial Assistance Corporation, of the balance in the Allocated Insurance Reserves Account established under paragraph (1)(B).';CommentsClose CommentsPermalink





(B) in subparagraph (C)--CommentsClose CommentsPermalink





(i) in clause (i), by striking `(in addition to the amounts described in subparagraph (F)(ii))'; andCommentsClose CommentsPermalink





(ii) by striking clause (ii) and inserting the following:CommentsClose CommentsPermalink





`(iii) TERMINATION OF ACCOUNT- On disbursement of amount equal to $56,000,000, the Corporation shall--CommentsClose CommentsPermalink





`(I) close the Account established under paragraph (1)(B); andCommentsClose CommentsPermalink





`(II) transfer any remaining funds in the Account to the remaining Allocated Insurance Reserves Accounts in accordance with paragraph (4)(B) for the calendar year in which the transfer occurs.'.CommentsClose CommentsPermalink





(C) by striking subparagraph (F).CommentsClose CommentsPermalink

SEC. 5305. CERTIFICATION OF PREMIUMS.

(a) Filing Certified Statement- Section 5.56 of the Farm Credit Act of 1971 (12 U.S.C. 2277a-5) is amended by striking subsection (a) and inserting the following:CommentsClose CommentsPermalink





`(a) Filing Certified Statement- On a date to be determined in the sole discretion of the Board of Directors of the Corporation, each insured System bank that became insured before the beginning of the period for which premiums are being assessed (referred to in this section as the `period') shall file with the Corporation a certified statement showing--CommentsClose CommentsPermalink





`(1) the average outstanding insured obligations for the period issued by the bank;CommentsClose CommentsPermalink





`(2)(A) the average principal outstanding for the period on the guaranteed portion of Federal government-guaranteed loans that are in accrual status; andCommentsClose CommentsPermalink





`(B) the average amount outstanding for the period of Federal government-guaranteed investments that are not permanently impaired (as defined in section 5.55(a)(4));CommentsClose CommentsPermalink





`(3)(A) the average principal outstanding for the period on State government-guaranteed loans that are in accrual status; andCommentsClose CommentsPermalink





`(B) the average amount outstanding for the period of State government-guaranteed investments that are not permanently impaired (as defined in section 5.55(a)(4));CommentsClose CommentsPermalink





`(4)(A) the average principal outstanding for the period on loans that are in nonaccrual status; andCommentsClose CommentsPermalink





`(B) the average amount outstanding for the period of other-than-temporarily impaired investments; andCommentsClose CommentsPermalink





`(5) the amount of the premium due the Corporation from the bank for the period.'.CommentsClose CommentsPermalink





(b) Premium Payments- Section 5.56 of the Farm Credit Act of 1971 (12 U.S.C. 2277a-5(c)) is amended by striking subsection (c) and inserting the following:CommentsClose CommentsPermalink





`(c) Premium Payments-CommentsClose CommentsPermalink





`(1) IN GENERAL- Except as provided in paragraph (2), each insured System bank shall pay to the Corporation the premium payments required under subsection (a), not more frequently than once in each calendar quarter, in such manner and at such 1 or more times as the Board of Directors shall prescribe.CommentsClose CommentsPermalink





`(2) PREMIUM AMOUNT- The amount of the premium shall be established not later than 60 days after filing the certified statement specifying the amount of the premium.'.CommentsClose CommentsPermalink





(c) Subsequent Premium Payments- Section 5.56 of the Farm Credit Act of 1971 (12 U.S.C. 2277a-5) is amended--CommentsClose CommentsPermalink





(1) by striking subsection (d); andCommentsClose CommentsPermalink





(2) by redesignating subsection (e) as subsection (d).CommentsClose CommentsPermalink

SEC. 5306. RURAL UTILITY LOANS.

(a) Definition of Qualified Loan- Section 8.0(9) of the Farm Credit Act of 1971 (12 U.S.C. 2279aa(9)) is amended--CommentsClose CommentsPermalink





(1) in subparagraph (A)(iii), by striking `or' at the end;CommentsClose CommentsPermalink





(2) in subparagraph (B)(ii), by striking the period at the end and inserting `; or'; andCommentsClose CommentsPermalink





(3) by adding at the end the following:CommentsClose CommentsPermalink





`(C) that is a loan, or an interest in a loan, for an electric or telephone facility by a cooperative lender to a borrower that has received, or is eligible to receive, a loan under the Rural Electrification Act of 1936 (7 U.S.C. 901 et seq.).'.CommentsClose CommentsPermalink





(b) Guarantee of Qualified Loans- Section 8.6(a)(1) of the Farm Credit Act of 1971 (12 U.S.C. 2279aa-6(a)(1)) is amended by inserting `applicable' before `standards' each place it appears in subparagraphs (A) and (B)(i).CommentsClose CommentsPermalink





(c) Standards for Qualified Loans- Section 8.8 of the Farm Credit Act of 1971 (12 U.S.C. 2279aa-8) is amended--CommentsClose CommentsPermalink





(1) in subsection (a)--CommentsClose CommentsPermalink





(A) by striking the first sentence and inserting the following:CommentsClose CommentsPermalink





`(1) IN GENERAL- The Corporation shall establish underwriting, security appraisal, and repayment standards for qualified loans taking into account the nature, risk profile, and other differences between different categories of qualified loans.CommentsClose CommentsPermalink





`(2) SUPERVISION, EXAMINATION, AND REPORT OF CONDITION- The standards shall be subject to the authorities of the Farm Credit Administration under section 8.11.'; andCommentsClose CommentsPermalink





(B) in the last sentence, by striking `In establishing' and inserting the following:CommentsClose CommentsPermalink





`(3) MORTGAGE LOANS- In establishing';CommentsClose CommentsPermalink





(2) in subsection (b)--CommentsClose CommentsPermalink





(A) in the matter preceding paragraph (1), by inserting `with respect to loans secured by agricultural real estate' after `subsection (a)'; andCommentsClose CommentsPermalink





(B) in paragraph (5)--CommentsClose CommentsPermalink





(i) by striking `borrower' the first place it appears and inserting `farmer or rancher'; andCommentsClose CommentsPermalink





(ii) by striking `site' and inserting `farm or ranch';CommentsClose CommentsPermalink





(3) in subsection (c)(1), by inserting `secured by agricultural real estate' after `A loan';CommentsClose CommentsPermalink





(4) by striking subsection (d); andCommentsClose CommentsPermalink





(5) by redesignating subsection (e) as subsection (d).CommentsClose CommentsPermalink





(d) Risk-Based Capital Levels- Section 8.32(a)(1) of the Farm Credit Act of 1971 (12 U.S.C. 2279bb-1(a)(1)) is amended--CommentsClose CommentsPermalink





(1) by striking `With respect' and inserting the following:CommentsClose CommentsPermalink





`(A) IN GENERAL- With respect'; andCommentsClose CommentsPermalink





(2) by adding at the end the following:CommentsClose CommentsPermalink





`(B) RURAL UTILITY LOANS- With respect to securities representing an interest in, or obligation backed by, a pool of qualified loans described in section 8.0(9)(C) owned or guaranteed by the Corporation, losses occur at a rate of default and severity reasonably related to risks in electric and telephone facility loans (as applicable), as determined by the Director.'.CommentsClose CommentsPermalink

SEC. 5307. EQUALIZATION OF LOAN-MAKING POWERS OF CERTAIN DISTRICT ASSOCIATIONS.

(a) In General- The Farm Credit Act of 1971 is amended by inserting after section 7.6 (12 U.S.C. 2279b) the following:CommentsClose CommentsPermalink

`SEC. 7.7. EQUALIZATION OF LOAN-MAKING POWERS OF CERTAIN DISTRICT ASSOCIATIONS.

`(a) Equalization of Loan-Making Powers-CommentsClose CommentsPermalink





`(1) IN GENERAL-CommentsClose CommentsPermalink





`(A) FEDERAL LAND BANK OR CREDIT ASSOCIATION- Subject to paragraph (2), any association that under its charter has title II lending authority and that owns, is owned by, or is under common ownership with, a Federal land bank association authorized as of January 1, 2007, to make long-term loans under title I in the geographic area described in subsection (b) may make short- and intermediate-term loans and otherwise operate as a production credit association under title II in the geographic area.CommentsClose CommentsPermalink





`(B) PRODUCTION CREDIT ASSOCIATIONS- Subject to paragraph (2), any association that under its charter has title I lending authority and that owns, is owned by, or is under common ownership with, a production credit association authorized as of January 1, 2007, to make short- and intermediate-term loans under title II in the geographic area described in subsection (b) may make long-term loans and otherwise operate as a Federal land bank association or Federal land credit association under title I in the geographic area.CommentsClose CommentsPermalink





`(C) FARM CREDIT BANK- The Farm Credit Bank with which any association had a written financing agreement as of January 1, 2007, may make loans and extend other similar financial assistance with respect to, and may purchase, any loans made under the new authority provided under subparagraph (A) or (B) by an association that owns, is owned by, or is under common ownership with, the association.CommentsClose CommentsPermalink





`(2) REQUIRED APPROVALS- An association may exercise the additional authority provided for in paragraph (1) only after the exercise of the authority is approved by--CommentsClose CommentsPermalink





`(A) the board of directors of the association; andCommentsClose CommentsPermalink





`(B) a majority of the voting stockholders of the association (or, if the association is a subsidiary of another association, the voting stockholders of the parent association) voting, in person or by proxy, at a duly authorized meeting of stockholders.CommentsClose CommentsPermalink





`(b) Applicability- This section applies only to associations the chartered territory of which is in the geographic area served by the Federal intermediate credit bank that merged with a Farm Credit Bank under section 410(e)(1) of the Agricultural Credit Act of 1987 (12 U.S.C. 2011 note; Public Law 100-233).'.CommentsClose CommentsPermalink





(b) Charter Amendments- Section 5.17(a) of the Farm Credit Act of 1971 (12 U.S.C. 2252(a)) is amended by adding at the end the following:CommentsClose CommentsPermalink





`(15)(A) Approve amendments to the charters of institutions of the Farm Credit System to implement the equalization of loan-making powers of a Farm Credit System association under section 7.7.CommentsClose CommentsPermalink





`(B) Amendments described in subparagraph (A) to the charters of an association and the related Farm Credit Bank shall be approved by the Farm Credit Administration on the date on which the Farm Credit Administration receives all approvals required by section 7.7(a)(2).'.CommentsClose CommentsPermalink





(c) Conforming Amendments-CommentsClose CommentsPermalink