S 1850 ISCommentsClose CommentsPermalink

112th CONGRESSCommentsClose CommentsPermalink

1st SessionCommentsClose CommentsPermalink

S. 1850CommentsClose CommentsPermalink

To expand and improve opportunities for beginning farmers and ranchers, and for other purposes.CommentsClose CommentsPermalink

IN THE SENATE OF THE UNITED STATESCommentsClose CommentsPermalink

November 10, 2011CommentsClose CommentsPermalink

Mr. HARKIN (for himself, Mr. CASEY, Mr. TESTER, Mr. BROWN of Ohio, Mr. LEAHY, Mr. FRANKEN, Mr. BINGAMAN, Ms. KLOBUCHAR, Mr. JOHNSON of South Dakota, and Mrs. BOXER) introduced the following bill; which was read twice and referred to the Committee on Agriculture, Nutrition, and ForestryCommentsClose CommentsPermalink

A BILLCommentsClose CommentsPermalink

To expand and improve opportunities for beginning farmers and ranchers, 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 ‘Beginning Farmer and Rancher Opportunity Act of 2011’.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

TITLE I--CONSERVATION

Subtitle A--Conservation Reserve Program

Sec. 101. Extension of conservation reserve program.CommentsClose CommentsPermalink





Sec. 102. Contracts.CommentsClose CommentsPermalink

Subtitle B--Farmland Protection Program

Sec. 111. Farmland protection program.CommentsClose CommentsPermalink

Subtitle C--Environmental Quality Incentives Program

Sec. 121. Establishment and administration of environmental quality incentives program.CommentsClose CommentsPermalink





Sec. 122. Conservation innovation grants and payments.CommentsClose CommentsPermalink

Subtitle D--Funding and Administration

Sec. 131. Funding of conservation programs under Food Security Act of 1985.CommentsClose CommentsPermalink





Sec. 132. Assistance to certain farmers or ranchers for conservation access.CommentsClose CommentsPermalink





Sec. 133. Comprehensive conservation planning.CommentsClose CommentsPermalink

TITLE II--CREDIT

Subtitle A--Farm Ownership Loans

Sec. 201. Direct farm ownership experience requirement.CommentsClose CommentsPermalink





Sec. 202. Conservation loan and loan guarantee program.CommentsClose CommentsPermalink





Sec. 203. Loan terms for down payment loan program.CommentsClose CommentsPermalink





Sec. 204. Definition of qualified beginning farmer or rancher.CommentsClose CommentsPermalink

Subtitle B--Operating Loans

Sec. 211. Young beginning farmer or rancher microloans.CommentsClose CommentsPermalink

Subtitle C--Administrative Provisions

Sec. 221. Beginning farmer and rancher individual development accounts pilot program.CommentsClose CommentsPermalink





Sec. 222. Transition to private commercial or other sources of credit.CommentsClose CommentsPermalink





Sec. 223. Loan authorization levels.CommentsClose CommentsPermalink





Sec. 224. Direct loans for beginning farmers and ranchers.CommentsClose CommentsPermalink





Sec. 225. Borrower training.CommentsClose CommentsPermalink

TITLE III--RURAL DEVELOPMENT

Sec. 301. Value-added producer grants.CommentsClose CommentsPermalink





Sec. 302. Use of loans and grants for entrepreneurial farm enterprises.CommentsClose CommentsPermalink

TITLE IV--RESEARCH, EDUCATION, AND EXTENSION

Sec. 401. Beginning farmer and rancher development program.CommentsClose CommentsPermalink





Sec. 402. Agriculture and Food Research Initiative.CommentsClose CommentsPermalink

TITLE V--CROP INSURANCE

Sec. 501. Sense of Congress on beginning farmer and rancher access to crop and revenue insurance.CommentsClose CommentsPermalink





Sec. 502. Risk management partnership programs.CommentsClose CommentsPermalink

TITLE VI--MISCELLANEOUS

Sec. 601. Small and beginning farmer and rancher coordinators.CommentsClose CommentsPermalink





Sec. 602. Military Veterans Agricultural Liaison.CommentsClose CommentsPermalink





Sec. 603. Budgetary effects.CommentsClose CommentsPermalink





Sec. 604. Effective date.CommentsClose CommentsPermalink

TITLE I--CONSERVATIONCommentsClose CommentsPermalink

Subtitle A--Conservation Reserve ProgramCommentsClose CommentsPermalink

SEC. 101. EXTENSION OF CONSERVATION RESERVE PROGRAM.

(a) In General- Section 1231(a) of the Food Security Act of 1985 (16 U.S.C. 3831(a)) is amended by striking ‘2012’ and inserting ‘2017’.CommentsClose CommentsPermalink





(b) Land Eligible for Enrollment in Conservation Reserve- Section 1231(b)(1)(B) of the Food Security Act of 1985 (16 U.S.C. 3831(b)(1)(B)) is amended by striking ‘Food, Conservation, and Energy Act of 2008’ and inserting ‘Beginning Farmer and Rancher Opportunity Act of 2011’.CommentsClose CommentsPermalink





(c) Maximum Enrollment of Acreage in Conservation Reserve- Section 1231(d) of the Food Security Act of 1985 (16 U.S.C. 3831(d)) is amended--CommentsClose CommentsPermalink





(1) by striking the first sentence; andCommentsClose CommentsPermalink





(2) in the second sentence, by striking ‘2010, 2011, and 2012’ and inserting ‘2010 through 2017’.CommentsClose CommentsPermalink





(d) Pilot Program for Enrollment of Wetland and Buffer Acreage in Conservation Reserve- Section 1231B of the Food Security Act of 1985 (16 U.S.C. 3831b) is amended--CommentsClose CommentsPermalink





(1) in subsection (a)(1), by striking ‘2012’ and inserting ‘2017’; andCommentsClose CommentsPermalink





(2) in subsection (b)(1)(C), by striking ‘2002 through 2007’ and inserting ‘2008 through 2012’.CommentsClose CommentsPermalink

SEC. 102. CONTRACTS.

Section 1235 of the Food Security Act of 1985 (16 U.S.C. 3835) is amended--CommentsClose CommentsPermalink





(1) in subsection (c)(1)(B), by striking clause (iii) and inserting the following:CommentsClose CommentsPermalink





‘(iii) to facilitate a transition of land subject to the contract from a retired or retiring owner or operator to a beginning farmer or rancher, socially disadvantaged farmer or rancher, or limited resource farmer or rancher who is or will be actively engaged in farming or ranching with respect to the land transferred under this subsection for the purpose of returning some or all of the land into production using sustainable grazing or crop production methods that meet or exceed the resource management system quality criteria for erosion, soil quality, water quality, and fish and wildlife; or’; andCommentsClose CommentsPermalink





(2) in subsection (f)(1)--CommentsClose CommentsPermalink





(A) in the matter preceding subparagraph (A), by striking ‘or socially disadvantaged farmer or rancher’ and inserting ‘socially disadvantaged farmer or rancher, or limited resource farmer or rancher who is or will be actively engaged in farming or ranching with respect to the land transferred under this subsection’; andCommentsClose CommentsPermalink





(B) by striking subparagraphs (C), (D), and (E) and inserting the following:CommentsClose CommentsPermalink





‘(C) require the covered farmer or rancher to develop and implement a comprehensive conservation plan that addresses all resource concerns and meets such sustainability criteria as the Secretary may establish;CommentsClose CommentsPermalink





‘(D) provide to the covered farmer or rancher an opportunity to enroll in the conservation stewardship program or the environmental quality incentives program at any time beginning on the date that is 1 year before the date of termination of the contract, including technical and financial assistance in the development of a comprehensive conservation plan;CommentsClose CommentsPermalink





‘(E) if the land transferred under this subsection remains in grass cover, provide to the covered farmer or rancher an opportunity to enroll in a long-term or permanent easement under the grassland reserve program or farmland protection program at any time beginning on the date that is 1 year before the date of termination of the contact; andCommentsClose CommentsPermalink





‘(F) continue to make annual payments to the retired or retiring owner or operator for not more than an additional 2 years after the date of termination of the contract, except that, in the case of a retired or retiring owner or operator who is a family member (as defined in section 1001) of the covered farmer or rancher, the additional payments shall be made only if title to the land is sold or transferred to the covered farmer or rancher on termination of the contract.’.CommentsClose CommentsPermalink

Subtitle B--Farmland Protection ProgramCommentsClose CommentsPermalink

SEC. 111. FARMLAND PROTECTION PROGRAM.

Section 1238I of the Food Security Act of 1985 (16 U.S.C. 3838i) is amended--CommentsClose CommentsPermalink





(1) in subsection (b), by inserting ‘to promote farm viability for future generations’ before the period at the end; andCommentsClose CommentsPermalink





(2) in subsection (g)(4)--CommentsClose CommentsPermalink





(A) in subparagraph (B), by striking ‘and’ at the end;CommentsClose CommentsPermalink





(B) by redesignating subparagraph (C) as subparagraph (D); andCommentsClose CommentsPermalink





(C) by inserting after subparagraph (B) the following:CommentsClose CommentsPermalink





‘(C) provide a funding priority, to the maximum extent practicable, for--CommentsClose CommentsPermalink





‘(i) eligible land for which there exists a farm or ranch succession plan or similar plan established to create opportunities for beginning farmers and ranchers and encourage farm viability for future generations;CommentsClose CommentsPermalink





‘(ii) easements that exercise an option to purchase at a price that is equal to the agricultural use value;CommentsClose CommentsPermalink





‘(iii) qualified beginning farmers or ranchers with contracts to purchase the land to be protected;CommentsClose CommentsPermalink





‘(iv) land owned by a nongovernmental organization that will be sold to a qualified beginning farmer or rancher;CommentsClose CommentsPermalink





‘(v) contemporaneous farm transfers of eligible land to qualified beginning farmers and ranchers that may not occur without the financial assistance of the program; andCommentsClose CommentsPermalink





‘(vi) other similar mechanisms to maintain the affordability of farm and ranch land for successive generations of farmers and ranchers; and’.CommentsClose CommentsPermalink

Subtitle C--Environmental Quality Incentives ProgramCommentsClose CommentsPermalink

SEC. 121. ESTABLISHMENT AND ADMINISTRATION OF ENVIRONMENTAL QUALITY INCENTIVES PROGRAM.

Section 1240B of the Food Security Act of 1985 (16 U.S.C. 3839aa-2) is amended--CommentsClose CommentsPermalink





(1) in subsection (a), by striking ‘2012’ and inserting ‘2017’;CommentsClose CommentsPermalink





(2) in subsection (d)(4)(B), by striking ‘30 percent’ and inserting ‘50 percent’; andCommentsClose CommentsPermalink





(3) in subsection (f), by striking ‘2012’ and inserting ‘2017’.CommentsClose CommentsPermalink

SEC. 122. CONSERVATION INNOVATION GRANTS AND PAYMENTS.

Section 1240H of the Food Security Act of 1985 (16 U.S.C. 3839aa-8) is amended--CommentsClose CommentsPermalink





(1) in subsection (a)(2)--CommentsClose CommentsPermalink





(A) in subparagraph (C), by striking ‘; and’ and inserting a semicolon;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) provide environmental and resource conservation benefits through increased participation by beginning farmers and ranchers and socially disadvantaged farmers and ranchers.’; andCommentsClose CommentsPermalink





(2) in subsection (b)(2), by striking ‘2012’ and inserting ‘2017’.CommentsClose CommentsPermalink

Subtitle D--Funding and AdministrationCommentsClose CommentsPermalink

SEC. 131. FUNDING OF CONSERVATION PROGRAMS UNDER FOOD SECURITY ACT OF 1985.

(a) In General- Section 1241(a) of the Food Security Act of 1985 (16 U.S.C. 3841(a)) is amended in the matter preceding paragraph (1) by striking ‘2012’ and inserting ‘2017’.CommentsClose CommentsPermalink





(b) Conservation Reserve Program- Section 1241(a)(1) of the Food Security Act of 1985 (16 U.S.C. 3841(a)(1)) is amended by striking ‘2012’ each place it appears and inserting ‘2017’.CommentsClose CommentsPermalink





(c) Environmental Quality Incentives Program- Section 1241(a)(6)(E) of the Food Security Act of 1985 (16 U.S.C. 3841(a)(6)(E)) is amended by striking ‘fiscal year 2012’ and inserting ‘each of fiscal years 2012 through 2017’.CommentsClose CommentsPermalink

SEC. 132. ASSISTANCE TO CERTAIN FARMERS OR RANCHERS FOR CONSERVATION ACCESS.

Section 1241(g) of the Food Security Act of 1985 (16 U.S.C. 3841(g)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (1)--CommentsClose CommentsPermalink





(A) by striking ‘2012’ and inserting ‘2017’; andCommentsClose CommentsPermalink





(B) by striking ‘5 percent’ each place it appears and inserting ‘10 percent’;CommentsClose CommentsPermalink





(2) in paragraph (2), by inserting ‘(but not earlier than 120 days after the date that funding for the fiscal year is allocated to the States)’ after ‘Secretary’;CommentsClose CommentsPermalink





(3) in paragraph (3), by inserting ‘(but not earlier than 120 days after the date that acres for the fiscal year are allocated to the States)’ after ‘Secretary’; andCommentsClose CommentsPermalink





(4) by adding at the end the following:CommentsClose CommentsPermalink





‘(4) PARTICIPATION BY BEGINNING AND SOCIALLY DISADVANTAGED FARMERS AND RANCHERS- Nothing in this subsection prohibits beginning or socially disadvantaged farmers or ranchers from participating in programs and receiving funding available under this title that is not reserved under paragraph (1).CommentsClose CommentsPermalink





‘(5) TECHNICAL ASSISTANCE- Within the funds reserved under paragraph (1), the Secretary shall allocate to the Natural Resources Conservation Service funding for technical assistance at a rate that is not more than 10 percent higher than the rate that would otherwise apply to allow the Service to provide additional technical assistance to beginning farmers or ranchers and socially disadvantaged farmers or ranchers to establish conservation plans.’.CommentsClose CommentsPermalink

SEC. 133. COMPREHENSIVE CONSERVATION PLANNING.

Section 1244(a) of the Food Security Act of 1985 (16 U.S.C. 3844(a)) is amended by adding at the end the following:CommentsClose CommentsPermalink





‘(3) COMPREHENSIVE CONSERVATION PLANNING- In carrying out this subsection, the Secretary shall provide technical and financial assistance using resources available under the environmental quality incentives program, conservation stewardship program, or such other programs as the Secretary may determine to covered persons who request the assistance to develop a comprehensive conservation plan for the farming or ranching operation of the covered person.’.CommentsClose CommentsPermalink

TITLE II--CREDITCommentsClose CommentsPermalink

Subtitle A--Farm Ownership LoansCommentsClose CommentsPermalink

SEC. 201. DIRECT FARM OWNERSHIP EXPERIENCE REQUIREMENT.

Section 302(b)(1) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1922(b)) is amended by striking ‘3 years’ and inserting ‘2 years’.CommentsClose CommentsPermalink

SEC. 202. CONSERVATION LOAN AND LOAN GUARANTEE PROGRAM.

Section 304 of the Consolidated Farm and Rural Development Act (7 U.S.C. 1924) is amended--CommentsClose CommentsPermalink





(1) in subsection (c)(2)--CommentsClose CommentsPermalink





(A) by striking ‘shall meet’ and inserting ‘shall--CommentsClose CommentsPermalink





‘(A) meet’;CommentsClose CommentsPermalink





(B) in subparagraph (A) (as so designated), by striking the period at the end and inserting ‘; and’; andCommentsClose CommentsPermalink





(C) by adding at the end the following:CommentsClose CommentsPermalink





‘(B) be the owner or operator of not larger than a family farm.’;CommentsClose CommentsPermalink





(2) in subsection (e)--CommentsClose CommentsPermalink





(A) by striking ‘The portion’ and inserting the following:CommentsClose CommentsPermalink





‘(1) IN GENERAL- Except as provided in paragraph (2), the portion’; andCommentsClose CommentsPermalink





(B) by adding at the end the following:CommentsClose CommentsPermalink





‘(2) BEGINNING AND SOCIALLY DISADVANTAGED FARMERS AND RANCHERS- In the case of beginning farmers or ranchers and socially disadvantaged farmers or ranchers, the portion of the loan the Secretary may guarantee under this section shall be 95 percent of the principal amount of the loan.’; andCommentsClose CommentsPermalink





(3) by striking subsection (h) and inserting the following:CommentsClose CommentsPermalink





‘(h) Funding-CommentsClose CommentsPermalink





‘(1) IN GENERAL- The Secretary may make or guarantee loans under this section for not more than $250,000,000 for each of fiscal years 2013 through 2017, of which, for each fiscal year, not more than 1/2 shall be used for direct loans and not more than 1/2 shall be used for guaranteed loans.CommentsClose CommentsPermalink





‘(2) QUALIFIED BEGINNING FARMERS AND RANCHERS-CommentsClose CommentsPermalink





‘(A) DIRECT LOANS- Of the amount made available for direct loans for a fiscal year under paragraph (1), the Secretary shall reserve for qualified beginning farmers and ranchers until April 1 of the fiscal year not less than 50 percent of the amount.CommentsClose CommentsPermalink





‘(B) GUARANTEED LOANS- Of the amount made available for guaranteed loans for a fiscal year under paragraph (1), the Secretary shall reserve for qualified beginning farmers and ranchers until April 1 of the fiscal year not less than 50 percent of the amount.’.CommentsClose CommentsPermalink

SEC. 203. LOAN TERMS FOR DOWN PAYMENT LOAN PROGRAM.

Section 310E(b)(1)(C) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1935(b)(1)(C)) is amended by striking ‘$500,000’ and inserting ‘$667,000’.CommentsClose CommentsPermalink

SEC. 204. DEFINITION OF QUALIFIED BEGINNING FARMER OR RANCHER.

Section 343(a)(11)(F) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1991(a)(11)(F)) is amended by striking ‘median’ and inserting ‘average’.CommentsClose CommentsPermalink

Subtitle B--Operating LoansCommentsClose CommentsPermalink

SEC. 211. YOUNG BEGINNING FARMER OR RANCHER MICROLOANS.

Section 311 of the Consolidated Farm and Rural Development Act (7 U.S.C. 1941) is amended by adding at the end the following:CommentsClose CommentsPermalink





‘(d) Young Beginning Farmer or Rancher Microloans-CommentsClose CommentsPermalink





‘(1) IN GENERAL- The Secretary may make microloans under this subtitle to beginning farmers or ranchers who are not less than 19 and not more than 35 years of age to enable the beginning farmers or ranchers to obtain flexible capital to finance operations.CommentsClose CommentsPermalink





‘(2) LIABILITY- In the case of a microloan under this subsection, the Secretary may accept the personal liability of a cosigner of the promissory note in addition to the personal liability of the borrower.CommentsClose CommentsPermalink





‘(3) PRINCIPAL BALANCE- The principal balance for a microloan made under this subsection shall not exceed $35,000.CommentsClose CommentsPermalink





‘(4) TERM- Loan repayment under this subsection shall be required in not less than 1 and not more than 7 years.CommentsClose CommentsPermalink





‘(5) INTEREST RATE- The interest rate on a loan made under this subsection shall not exceed the maximum interest rate that may be charged low income, limited resource borrowers under section 316(a)(2).CommentsClose CommentsPermalink





‘(6) BORROWER TRAINING-CommentsClose CommentsPermalink





‘(A) IN GENERAL- Subject to subparagraph (B), to be eligible for a microloan under this subsection, the borrower shall have successfully completed, or will complete within 1 year, borrower training described in section 359.CommentsClose CommentsPermalink





‘(B) WAIVERS- In carrying out subparagraph (A), the Secretary shall not grant a waiver described in section 359(f) except in the case of a borrower who successfully completed, or will complete within 1 year, an equivalent training program, including programs established under section 7405 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 3319f), as determined by the Secretary.’.CommentsClose CommentsPermalink

Subtitle C--Administrative ProvisionsCommentsClose CommentsPermalink

SEC. 221. BEGINNING FARMER AND RANCHER INDIVIDUAL DEVELOPMENT ACCOUNTS PILOT PROGRAM.

Section 333B of the Consolidated Farm and Rural Development Act (7 U.S.C. 1983b) is amended by striking subsection (h) and inserting the following:CommentsClose CommentsPermalink





‘(h) Funding- On October 1, 2012, and on each October 1 thereafter through October 1, 2016, of the funds of the Commodity Credit Corporation, the Secretary shall use to carry out this section $5,000,000, to remain available until expended.’.CommentsClose CommentsPermalink

SEC. 222. TRANSITION TO PRIVATE COMMERCIAL OR OTHER SOURCES OF CREDIT.

(a) Conditions for Direct Loans- Section 311(c) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1941(c)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (1)--CommentsClose CommentsPermalink





(A) in subparagraph (A), by striking the semicolon at the end and inserting ‘; and’;CommentsClose CommentsPermalink





(B) in subparagraph (B), by striking ‘; or’ at the end and inserting a period; andCommentsClose CommentsPermalink





(C) by striking subparagraph (C); andCommentsClose CommentsPermalink





(2) by striking paragraphs (3) and (4) and inserting the following:CommentsClose CommentsPermalink





‘(3) TERM LIMITS- Subject to paragraph (4), if a farmer or rancher has received a direct operating loan pursuant to this section in each of 9 consecutive years, the farmer or rancher may not receive a direct operating loan from the Secretary under this section for the next year.CommentsClose CommentsPermalink





‘(4) WAIVERS FOR FARM AND RANCH OPERATIONS ON TRIBAL LAND- The Secretary shall waive the limitation under paragraph (3) for a direct loan made under this subtitle to a farmer or rancher whose farm or ranch land is subject to the jurisdiction of an Indian tribe and whose loan is secured by 1 or more security instruments that are subject to the jurisdiction of an Indian tribe if the Secretary determines that commercial credit is not generally available for the farm or ranch operations.’.CommentsClose CommentsPermalink





(b) 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 amended by striking subsection (b) and inserting the following:CommentsClose CommentsPermalink





‘(b) Limitation on Period Borrowers Are Eligible for Guaranteed Assistance- If a borrower has received a guaranteed loan under this subtitle in each of 15 consecutive years, the borrower may not receive a loan guaranteed by the Secretary for the next year.’.CommentsClose CommentsPermalink

SEC. 223. 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 ‘$4,226,000,000 for each of fiscal years 2008 through 2012’ and inserting ‘$5,000,000,000 for each of fiscal years 2013 through 2017’;CommentsClose CommentsPermalink





(2) in subparagraph (A)--CommentsClose CommentsPermalink





(A) in the matter preceding clause (i), by striking ‘$1,200,000,000’ and inserting ‘$2,000,000,000’;CommentsClose CommentsPermalink





(B) in clause (i), by striking ‘$350,000,000’ and inserting ‘$750,000,000’; andCommentsClose CommentsPermalink





(C) in clause (ii), by striking ‘$850,000,000’ and inserting ‘$1,250,000,000’; andCommentsClose CommentsPermalink





(3) in subparagraph (B)--CommentsClose CommentsPermalink





(A) in the matter preceding clause (i), by striking ‘$3,026,000,000’ and inserting ‘$3,000,000,000’;CommentsClose CommentsPermalink





(B) in clause (i), by striking ‘$1,000,000,000’ and inserting ‘$1,500,000,000’; andCommentsClose CommentsPermalink





(C) in clause (ii), by striking ‘$2,026,000,000’ and inserting ‘$1,500,000,000’.CommentsClose CommentsPermalink

SEC. 224. DIRECT LOANS FOR BEGINNING FARMERS AND RANCHERS.

Section 346(b)(2)(A) of the Consolidated Farm and Rural Development Act (7 U.S.C. 1994(b)(2)(A)) is amended--CommentsClose CommentsPermalink





(1) in clause (i), by adding at the end the following:CommentsClose CommentsPermalink





‘(III) PRIORITY- In order to maximize the number of borrowers served under this clause, the Secretary--CommentsClose CommentsPermalink

‘(aa) shall give priority to borrowers who apply under the down payment loan program under section 310E or joint financing arrangements under section 307(a)(3)(D); andCommentsClose CommentsPermalink

‘(bb) may offer other financing options only if the Secretary determines that down payment or other participation loan options are not a viable approach for a particular borrower.’; andCommentsClose CommentsPermalink

(2) in clause (ii)(III), by striking ‘each of fiscal years 2008 through 2012’ and inserting ‘fiscal year 2008 and each fiscal year thereafter’.CommentsClose CommentsPermalink

SEC. 225. BORROWER TRAINING.

Section 359 of the Consolidated Farm and Rural Development Act (7 U.S.C. 2006a) is amended by adding at the end the following:CommentsClose CommentsPermalink





‘(g) Coordination- The Secretary shall coordinate the borrower training program under this section with the beginning farmer and rancher development program established under section 7405 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 3319f) to ensure, to the maximum extent practicable, that financial management training programs funded under the beginning farmer and rancher development program are designed in such a way that the financial management training programs will--CommentsClose CommentsPermalink





‘(1) meet borrower training requirements under this section; andCommentsClose CommentsPermalink





‘(2) qualify as beginning farmer and rancher development program projects covered by contracts under subsection (b).’.CommentsClose CommentsPermalink

TITLE III--RURAL DEVELOPMENTCommentsClose CommentsPermalink

SEC. 301. VALUE-ADDED PRODUCER GRANTS.

Section 231(b) of the Agricultural Risk Protection Act of 2000 (7 U.S.C. 1632a(b)) is amended--CommentsClose CommentsPermalink





(1) by striking paragraph (6) and inserting the following:CommentsClose CommentsPermalink





‘(6) PRIORITY-CommentsClose CommentsPermalink





‘(A) IN GENERAL- In awarding grants under this subsection, the Secretary shall give priority to projects that--CommentsClose CommentsPermalink





‘(i) contribute to increasing opportunities for operators of small- and medium-sized farms and ranches that are structured as a family farm; orCommentsClose CommentsPermalink





‘(ii) have applicants at least 1/4 of whom are beginning farmers or ranchers or socially disadvantaged farmers or ranchers.CommentsClose CommentsPermalink





‘(B) RANKING- In evaluating and ranking proposals under this subsection, the Secretary shall provide very substantial weight to the priorities described in subparagraph (A).’; andCommentsClose CommentsPermalink





(2) in paragraph (7)--CommentsClose CommentsPermalink





(A) in subparagraph (A)--CommentsClose CommentsPermalink





(i) by striking ‘October 1, 2008’ and inserting ‘October 1, 2012, and each October 1 thereafter through October 1, 2016’; andCommentsClose CommentsPermalink





(ii) by striking ‘$15,000,000’ and inserting ‘$30,000,000’;CommentsClose CommentsPermalink





(B) in subparagraph (B), by striking ‘2012’ and inserting ‘2017’; andCommentsClose CommentsPermalink





(C) in subparagraph (C)--CommentsClose CommentsPermalink





(i) in clause (i), by striking ‘benefit’ and inserting ‘have applicants at least 1/4 of whom are’; andCommentsClose CommentsPermalink





(ii) in clause (iii), by striking ‘June 30 of the fiscal year’ and inserting ‘the close of the annual proposal review process’.CommentsClose CommentsPermalink

SEC. 302. USE OF LOANS AND GRANTS FOR ENTREPRENEURIAL FARM ENTERPRISES.

Subtitle D of the Consolidated Farm and Rural Development Act is amended by inserting after section 365 (7 U.S.C. 2008) the following:CommentsClose CommentsPermalink

‘SEC. 366. USE OF LOANS AND GRANTS FOR ENTREPRENEURIAL FARM ENTERPRISES.

‘(a) In General- The Secretary shall approve grants and loans under any rural development program established under this title to support farm and farm-related business enterprises that--CommentsClose CommentsPermalink





‘(1) create new entrepreneurial employment opportunities for beginning farmers and ranchers;CommentsClose CommentsPermalink





‘(2) have the effect of--CommentsClose CommentsPermalink





‘(A) creating new small- and medium-size family farms;CommentsClose CommentsPermalink





‘(B) enhancing local and regional food systems;CommentsClose CommentsPermalink





‘(C) increasing value-added production and new markets;CommentsClose CommentsPermalink





‘(D) preserving farmland and rural heritage; andCommentsClose CommentsPermalink





‘(E) developing strong rural economies; andCommentsClose CommentsPermalink





‘(3) are consistent with the purposes of the program.CommentsClose CommentsPermalink





‘(b) Limitation- Loans or grants made under this section shall not be available for annual agricultural production purposes.’.CommentsClose CommentsPermalink

TITLE IV--RESEARCH, EDUCATION, AND EXTENSIONCommentsClose CommentsPermalink

SEC. 401. BEGINNING FARMER AND RANCHER DEVELOPMENT PROGRAM.

Section 7405 of the Farm Security and Rural Investment Act of 2002 (7 U.S.C. 3319f) is amended--CommentsClose CommentsPermalink





(1) in subsection (c)--CommentsClose CommentsPermalink





(A) in paragraph (1)--CommentsClose CommentsPermalink





(i) in subparagraph (Q), by striking ‘and’ after the semicolon at the end;CommentsClose CommentsPermalink





(ii) by redesignating subparagraph (R) as subparagraph (S); andCommentsClose CommentsPermalink





(iii) by inserting after subparagraph (Q) the following:CommentsClose CommentsPermalink





‘(R) agricultural rehabilitation and vocational training for veterans; and’;CommentsClose CommentsPermalink





(B) in paragraph (4)--CommentsClose CommentsPermalink





(i) by striking ‘To be eligible’ and inserting the following:CommentsClose CommentsPermalink





‘(A) IN GENERAL- Except as provided in subparagraph (B), to be eligible’; andCommentsClose CommentsPermalink





(ii) by adding at the end the following:CommentsClose CommentsPermalink





‘(B) EXCEPTIONS- The Secretary may waive or modify the matching requirement in subparagraph (A) if the Secretary determines a waiver or modification is necessary to effectively reach an underserved area or population.’;CommentsClose CommentsPermalink





(C) in paragraph (8)--CommentsClose CommentsPermalink





(i) in subparagraph (B), by striking ‘and’ after the semicolon at the end;CommentsClose CommentsPermalink





(ii) in subparagraph (C), by striking the period at the end and inserting ‘; and’; andCommentsClose CommentsPermalink





(iii) by adding at the end the following:CommentsClose CommentsPermalink





‘(D) military veteran beginning farmers and ranchers.’; andCommentsClose CommentsPermalink





(D) by adding at the end the following:CommentsClose CommentsPermalink





‘(11) INDIRECT COSTS- To help facilitate participation in the program under this subsection by nongovernmental and community-based nonprofit organizations, the Secretary shall provide for an optional 10 percent indirect cost option in lieu of a higher negotiated rate.’; andCommentsClose CommentsPermalink





(2) in subsection (h)--CommentsClose CommentsPermalink





(A) in paragraph (1), by striking ‘section--’ and all that follows through the period at the end and inserting ‘$25,000,000 for each of fiscal years 2013 through 2017.’; andCommentsClose CommentsPermalink





(B) in paragraph (2), by striking ‘2008 through 2012’ and inserting ‘2013 through 2017’.CommentsClose CommentsPermalink

SEC. 402. AGRICULTURE AND FOOD RESEARCH INITIATIVE.

Subsection (b) of the Competitive, Special, and Facilities Research Grant Act (7 U.S.C. 450i(b)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (2)(F)--CommentsClose CommentsPermalink





(A) by redesignating clauses (iii) through (vi) as clauses (iv) through (vii), respectively; andCommentsClose CommentsPermalink





(B) by inserting after clause (ii) the following:CommentsClose CommentsPermalink





‘(iii) new farming opportunities, including young, beginning, socially disadvantaged, and immigrant issues and farm transition, farm transfer, farm entry, and beginning farmer profitability issues;’;CommentsClose CommentsPermalink





(2) in paragraph (7), in the matter preceding subparagraph (A), by inserting ‘projects (including integrated projects)’ after ‘education’; andCommentsClose CommentsPermalink





(3) in paragraph (11)(A)--CommentsClose CommentsPermalink





(A) in the matter preceding clause (i), by striking ‘2008 through 2012’ and inserting ‘2013 through 2017’; andCommentsClose CommentsPermalink





(B) in clause (i), by striking ‘pursuant to’ and inserting ‘under’.CommentsClose CommentsPermalink

TITLE V--CROP INSURANCECommentsClose CommentsPermalink

SEC. 501. SENSE OF CONGRESS ON BEGINNING FARMER AND RANCHER ACCESS TO CROP AND REVENUE INSURANCE.

It is the sense of Congress that the Secretary of Agriculture should, to the maximum extent practicable, remove barriers and ensure effective access to crop and revenue insurance by beginning farmers and ranchers on terms that are fair and assist in the goal of increasing the number of new farming and ranching opportunities.CommentsClose CommentsPermalink

SEC. 502. RISK MANAGEMENT PARTNERSHIP PROGRAMS.

Section 522 of the Federal Crop Insurance Act (7 U.S.C. 1522) is amended--CommentsClose CommentsPermalink





(1) in subsection (d)--CommentsClose CommentsPermalink





(A) in paragraph (1)--CommentsClose CommentsPermalink





(i) by striking ‘priority given to risk’ and inserting ‘priority given to--CommentsClose CommentsPermalink





‘(A) risk’;CommentsClose CommentsPermalink





(ii) by striking the period at the end and inserting ‘; and’; andCommentsClose CommentsPermalink





(iii) by adding at the end the following:CommentsClose CommentsPermalink





‘(B) underserved producers, including beginning farmers and ranchers and socially disadvantaged farmers and ranchers.’;CommentsClose CommentsPermalink





(B) in paragraph (2)--CommentsClose CommentsPermalink





(i) by striking ‘options for producers’ and inserting ‘options for--CommentsClose CommentsPermalink





‘(A) producers’;CommentsClose CommentsPermalink





(ii) by striking the period at the end and inserting ‘; and’; andCommentsClose CommentsPermalink





(iii) by adding at the end the following:CommentsClose CommentsPermalink





‘(B) underserved producers, including beginning farmers and ranchers and socially disadvantaged farmers and ranchers.’; andCommentsClose CommentsPermalink





(C) by adding at the end 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 techniques, tools, and programs that are specifically targeted at--CommentsClose CommentsPermalink





‘(A) beginning farmers or ranchers;CommentsClose CommentsPermalink





‘(B) legal immigrant farmers or ranchers that are attempting to become established agricultural 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.’; andCommentsClose CommentsPermalink





(2) in subsection (e)(2)(A), by striking ‘$12,500,000 for fiscal year 2008’ and inserting ‘$15,000,000 for fiscal year 2013’.CommentsClose CommentsPermalink

TITLE VI--MISCELLANEOUSCommentsClose CommentsPermalink

SEC. 601. SMALL AND BEGINNING FARMER AND RANCHER COORDINATORS.

Section 226B of the Department of Agriculture Reorganization Act of 1994 (7 U.S.C. 6934) is amended--CommentsClose CommentsPermalink





(1) in subsection (c)(4), by inserting before the semicolon at the end the following: ‘, including review of rulemakings to provide an assessment and make recommendations regarding the impact of rules on small farms and ranches, beginning and socially disadvantaged farmers and ranchers, and related matters relevant to the structure of agriculture’;CommentsClose CommentsPermalink





(2) in subsection (e)(2)--CommentsClose CommentsPermalink





(A) by redesignating subparagraph (D) as subparagraph (E); andCommentsClose CommentsPermalink





(B) by inserting after subparagraph (C) the following:CommentsClose CommentsPermalink





‘(D) STATE SMALL AND BEGINNING FARMER AND RANCHER COORDINATOR-CommentsClose CommentsPermalink





‘(i) IN GENERAL- The Small Farms and Beginning Farmers and Ranchers Group shall designate a State small and beginning farmer and rancher coordinator from among the State office employees of the Farm Service Agency, the Natural Resources Conservation Service, the Risk Management Agency, the Rural Business-Cooperative Service, and the Rural Utilities Service.CommentsClose CommentsPermalink





‘(ii) TRAINING- The Small Farms and Beginning Farmers and Ranchers Group shall coordinate the development of a training plan so that each State coordinator shall receive sufficient training to have a general working knowledge of the programs and services available from each agency of the Department to assist small and beginning farmers and ranchers.CommentsClose CommentsPermalink





‘(iii) DUTIES- The coordinator shall--CommentsClose CommentsPermalink





‘(I) coordinate technical assistance at the State level to help small and beginning farmers and ranchers gain access to programs of the Department;CommentsClose CommentsPermalink





‘(II) develop and submit a State plan for approval by the Small Farms and Beginning Farmers and Ranchers Group to provide coordination to ensure adequate services to small and beginning farmers and ranchers at all county and area offices throughout the State;CommentsClose CommentsPermalink





‘(III) oversee implementation of the approved State plan; andCommentsClose CommentsPermalink





‘(IV) work with outreach coordinators in the State offices of the Farm Service Agency, the Natural Resources Conservation Service, the Risk Management Agency, the Rural Business-Cooperative Service, and the Rural Utilities Service to ensure appropriate information about technical assistance is available at outreach events and activities.’;CommentsClose CommentsPermalink





(3) in subsection (f), by striking paragraph (3); andCommentsClose CommentsPermalink





(4) by adding at the end the following:CommentsClose CommentsPermalink





‘(g) Authorization of Appropriations- There are authorized to be appropriated to carry out this section such sums as are necessary for each of fiscal years 2013 through 2017.’.CommentsClose CommentsPermalink

SEC. 602. MILITARY VETERANS AGRICULTURAL LIAISON.

(a) In General- Subtitle A of the Department of Agriculture Reorganization Act of 1994 is amended by inserting after section 218 (7 U.S.C. 6918) the following:CommentsClose CommentsPermalink

‘SEC. 219. MILITARY VETERANS AGRICULTURAL LIAISON.

‘(a) Authorization- The Secretary shall establish in the Department the position of Military Veterans Agricultural Liaison.CommentsClose CommentsPermalink





‘(b) Duties- The Military Veterans Agricultural Liaison shall--CommentsClose CommentsPermalink





‘(1) provide information to returning veterans about, and connect returning veterans with, beginning farmer training and agricultural vocational and rehabilitation programs appropriate to the needs and interests of returning veterans, including assisting veterans in using Federal veterans educational benefits for purposes relating to beginning a farming or ranching career;CommentsClose CommentsPermalink





‘(2) provide information to veterans concerning the availability of and eligibility requirements for participation in agricultural programs, with particular emphasis on beginning farmer and rancher programs;CommentsClose CommentsPermalink





‘(3) serving as a resource for assisting veteran farmers and ranchers, and potential farmers and ranchers, in applying for participation in agricultural programs; andCommentsClose CommentsPermalink





‘(4) advocating on behalf of veterans in interactions with employees of the Department.’.CommentsClose CommentsPermalink





(b) Conforming Amendments- Section 296(b) of the Department of Agriculture Reorganization Act of 1994 (7 U.S.C. 7014(b)) is amended--CommentsClose CommentsPermalink





(1) in paragraph (6), by striking ‘or’ after the semicolon at the end;CommentsClose CommentsPermalink





(2) in paragraph (7), by striking the period at the end and inserting ‘; or’; andCommentsClose CommentsPermalink





(3) by adding at the end the following:CommentsClose CommentsPermalink





‘(8) the authority of the Secretary to establish in the Department the position of Military Veterans Agricultural Liaison in accordance with section 219.’.CommentsClose CommentsPermalink

SEC. 603. BUDGETARY EFFECTS.

The budgetary effects of this Act, for the purpose of complying with the Statutory Pay-As-You-Go Act of 2010, shall be determined by reference to the latest statement titled ‘Budgetary Effects of PAYGO Legislation’ for this Act, submitted for printing in the Congressional Record by the Chairman of the Senate Budget Committee, provided that such statement has been submitted prior to the vote on passage.CommentsClose CommentsPermalink

SEC. 604. EFFECTIVE DATE.

This Act and the amendments made by this Act take effect on October 1, 2012.CommentsClose CommentsPermalink