Legislación
US (United States) Code. Title 7. Chapter 100: Agricultural market transition
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7 USC CHAPTER 100 - AGRICULTURAL MARKET TRANSITION 01/06/03
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TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
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CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
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SUBCHAPTER I - SHORT TITLE, PURPOSE, AND DEFINITIONS
Sec.
7201. Short title and purpose.
(a) Short title.
(b) Purpose.
7202. Definitions.
SUBCHAPTER II - PRODUCTION FLEXIBILITY CONTRACTS
7211. Authorization for use of production flexibility contracts.
(a) Offer and terms.
(b) Eligible owners and producers described.
(c) Tenants and sharecroppers.
(d) Eligible cropland described.
(e) Quantity of eligible cropland covered by
contract.
(f) Voluntary reduction in contract acreage.
7212. Elements of contracts.
(a) Time for contracting.
(b) Duration of contract.
(c) Estimation of contract payments.
(d) Time for payment.
7213. Amounts available for contract payments.
(a) Fiscal year amounts.
(b) Allocation.
(c) Adjustment.
(d) Additional rice allocation.
(e) Exclusion of certain amounts from contract
payments.
(f) Effect of payment limitation.
7214. Determination of contract payments under contracts.
(a) Individual payment quantity of contract
commodities.
(b) Annual payment quantity of contract commodities.
(c) Annual payment rate.
(d) Annual payment amount.
(e) Reduction in payment amount.
(f) Assignment of contract payments.
(g) Sharing of contract payments.
7215. Applicability of payment limitations.
7216. Violations of contract.
(a) Termination of contract for violation.
(b) Refund or adjustment.
(c) Foreclosure.
(d) Review.
7217. Transfer or change of interest in lands subject to contract.
(a) Termination.
(b) Modification.
(c) Exception.
7218. Planting flexibility.
(a) Permitted crops.
(b) Limitations and exceptions regarding fruits and
vegetables.
SUBCHAPTER III - NONRECOURSE MARKETING ASSISTANCE LOANS AND LOAN
DEFICIENCY PAYMENTS
7231. Availability of nonrecourse marketing assistance loans.
(a) Nonrecourse loans available.
(b) Eligible production.
(c) Compliance with conservation and wetlands
requirements.
(d) Additional outlays prohibited.
7232. Loan rates for marketing assistance loans.
(a) Wheat.
(b) Feed grains.
(c) Upland cotton.
(d) Extra long staple cotton.
(e) Rice.
(f) Oilseeds.
7233. Term of loans.
(a) Term of loan.
(b) Special rule for cotton.
(c) Extensions prohibited.
7234. Repayment of loans.
(a) Repayment rates for wheat, feed grains, and
oilseeds.
(b) Repayment rates for upland cotton and rice.
(c) Repayment rates for extra long staple cotton.
(d) Prevailing world market price.
(e) Adjustment of prevailing world market price for
upland cotton.
7235. Loan deficiency payments.
(a) Availability of loan deficiency payments.
(b) Computation.
(c) Loan payment rate.
(d) Exception for extra long staple cotton.
(e) Transition.
(f) Beneficial interest.
(g) Effective date for payment rate determination.
7236. Special marketing loan provisions for upland cotton.
(a) Cotton user marketing certificates.
(b) Special import quota.
(c) Limited global import quota for upland cotton.
7236a. Special competitive provisions for extra long staple cotton.
(a) Competitiveness program.
(b) Payments under program; trigger.
(c) Eligible recipients.
(d) Payment amount.
(e) Form of payment.
7237. Availability of recourse loans for high moisture feed grains
and seed cotton and other fibers.
(a) High moisture feed grains.
(b) Recourse loans available for seed cotton.
(c) Recourse loans available for mohair.
(d) Repayment rates.
SUBCHAPTER IV - OTHER COMMODITIES
PART A - DAIRY
7251. Milk price support program.
(a) Support activities.
(b) Rate.
(c) Purchase prices.
(d) Special rule for butter and nonfat dry milk
purchase prices.
(e) Refunds of 1995 and 1996 assessments.
(f) Commodity Credit Corporation.
(g) Omitted.
(h) Period of effectiveness.
7252. Repealed.
7253. Consolidation and reform of Federal milk marketing orders.
(a) Amendment of orders.
(b) Expedited process.
(c) Failure to timely consolidate orders.
(d) Report regarding further reforms.
7254. Effect on fluid milk standards in State of California.
7255. Milk manufacturing marketing adjustment.
(a) Maximum allowances established.
(b) ''Manufacturing allowance'' defined.
(c) Effect of violation.
(d) Effective date; implementation.
7256. Northeast Interstate Dairy Compact.
7257. Authority to assist in establishment and maintenance of one
or more export trading companies.
7258. Standby authority to indicate entity best suited to provide
international market development and export services.
(a) Indication of entity best suited to assist
international market development for and export
of United States dairy products.
(b) Funding of export activities.
(c) Application of section.
7259. Study and report regarding potential impact of Uruguay Round
on prices, income, and government purchases.
(a) Study.
(b) Report.
(c) Rule of construction.
PART B - SUGAR
7271. Repealed.
7272. Sugar program.
(a) Sugarcane.
(b) Sugar beets.
(c) Loan rate adjustments.
(d) Term of loans.
(e) Loan type; processor assurances.
(f) Loans for in-process sugar.
(g) Avoiding forfeitures; Corporation inventory
disposition.
(h) Information reporting.
(i) Substitution of refined sugar.
(j) Effective period.
SUBCHAPTER V - ADMINISTRATION
7281. Administration.
(a) Use of Commodity Credit Corporation.
(b) Omitted.
(c) Determinations by Secretary.
(d) Regulations.
7282. Adjustments of loans.
(a) Adjustment authority.
(b) Manner of adjustment.
(c) Adjustment on county basis.
7283. Commodity Credit Corporation interest rate.
(a) In general.
(b) Sugar.
7284. Personal liability of producers for deficiencies.
(a) In general.
(b) Limitations.
(c) Acquisition of collateral.
(d) Sugarcane and sugar beets.
7285. Commodity Credit Corporation sales price restrictions.
(a) General sales authority.
(b) Nonapplication of sales price restrictions.
(c) Presidential disaster areas.
(d) Efficient operations.
7286. Commodity certificates.
(a) In general.
(b) Methods of payment.
(c) Administration.
SUBCHAPTER VI - PERMANENT PRICE SUPPORT AUTHORITY
7301. Suspension and repeal of permanent price support authority.
(a) Agricultural Adjustment Act of 1938.
(b) Agricultural Act of 1949.
(c) Suspension of certain quota provisions.
7302. Effect of chapter.
(a) Effect on prior crops.
(b) Liability.
SUBCHAPTER VII - COMMISSION ON 21ST CENTURY PRODUCTION AGRICULTURE
7311. Establishment.
7312. Composition.
(a) Membership and appointment.
(b) Qualifications.
(c) Term of members; vacancies.
(d) Time for appointment; first meeting.
(e) Chairperson.
7313. Comprehensive review of past and future of production
agriculture.
(a) Initial review.
(b) Subsequent review.
(c) Recommendations.
7314. Reports.
(a) Report on initial review.
(b) Report on subsequent review.
7315. Powers.
(a) Hearings.
(b) Assistance from other agencies.
(c) Mail.
(d) Assistance from Secretary.
7316. Commission procedures.
(a) Meetings.
(b) Quorum.
7317. Personnel matters.
(a) Compensation.
(b) Staff.
(c) Detailed personnel.
7318. Termination of Commission.
SUBCHAPTER VIII - MISCELLANEOUS COMMODITY PROVISIONS
7331. Options pilot program.
(a) Pilot programs authorized.
(b) Distribution of pilot program.
(c) Eligible participants.
(d) Notice to producers.
(e) Contracts.
(f) Eligible markets.
(g) Recordkeeping.
(h) Use of Commodity Credit Corporation.
7332. Risk management education.
7333. Administration and operation of noninsured crop assistance
program.
(a) Operation and administration of program.
(b) Application for noninsured crop disaster
assistance.
(c) Loss requirements.
(d) Payment.
(e) Yield determinations.
(f) Contract payments.
(g) Use of Commodity Credit Corporation.
(h) Exclusions.
(i) Payment and income limitations.
(j) Omitted.
(k) Service fee.
7334. Flood risk reduction.
(a) In general.
(b) Duties of producers.
(c) Duties of Secretary.
(d) Commodity Credit Corporation.
(e) Additional payments.
(f) Limitation on payments.
-SECREF-
CHAPTER REFERRED TO IN OTHER SECTIONS
This chapter is referred to in sections 1308-3, 1508, 1515, 7334
of this title; title 16 sections 3811, 3821, 3839bb.
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7 USC SUBCHAPTER I - SHORT TITLE, PURPOSE, AND
DEFINITIONS 01/06/03
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TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER I - SHORT TITLE, PURPOSE, AND DEFINITIONS
.
-HEAD-
SUBCHAPTER I - SHORT TITLE, PURPOSE, AND DEFINITIONS
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7 USC Sec. 7201 01/06/03
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TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER I - SHORT TITLE, PURPOSE, AND DEFINITIONS
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Sec. 7201. Short title and purpose
-STATUTE-
(a) Short title
This chapter may be cited as the ''Agricultural Market Transition
Act''.
(b) Purpose
It is the purpose of this chapter -
(1) to authorize the use of binding production flexibility
contracts between the United States and agricultural producers to
support farming certainty and flexibility while ensuring
continued compliance with farm conservation and wetland
protection requirements;
(2) to make nonrecourse marketing assistance loans and loan
deficiency payments available for certain crops;
(3) to improve the operation of farm programs for milk,
peanuts, and sugar; and
(4) to establish a commission to undertake a comprehensive
review of past and future production agriculture in the United
States.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 101, Apr. 4, 1996, 110 Stat. 896.)
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REFERENCES IN TEXT
This chapter, referred to in text, was in the original ''this
title'', meaning title I of Pub. L. 104-127, Apr. 4, 1996, 110
Stat. 896, which enacted this chapter and section 6933 of this
title, amended sections 1308, 1308-1, 1308-3, 1358-1, 1358b, 1358c,
1359a, 1373, 1441, 1445j, 1508, 1516, 4504, 6401, 6402, 6413, 6414,
and 6932 of this title and sections 713a-14, 714b, 714i, and 714k
of Title 15, Commerce and Trade, repealed sections 1426, 1433f,
1441-2, 1444-2, 1444f, 1445b-3a, 1445c-3, 1445h, 1446e to 1446h,
and 1519 of this title, enacted provisions set out as notes under
sections 1373, 1446e, 1446e-1, and 1508 of this title, and repealed
provisions set out as a note under section 1421 of this title. For
complete classification of title I to the Code, see Tables.
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SHORT TITLE OF 1998 AMENDMENT
Pub. L. 105-228, Sec. 1, Aug. 12, 1998, 112 Stat. 1516, provided
that: ''This Act (amending section 7212 of this title) may be cited
as the 'Emergency Farm Financial Relief Act'.''
SHORT TITLE
Section 1(a) of Pub. L. 104-127 provided that: ''This Act (see
Tables for classification) may be cited as the 'Federal Agriculture
Improvement and Reform Act of 1996'.''
SEVERABILITY
Section 928 of Pub. L. 104-127 provided that: ''If any provision
of this Act (see Short Title note above) or the application thereof
to any person or circumstance is held invalid, the invalidity shall
not affect other provisions or applications of this Act that can be
given effect without regard to the invalid provision or
application, and to this end the provisions of this Act are
severable.''
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7 USC Sec. 7202 01/06/03
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TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER I - SHORT TITLE, PURPOSE, AND DEFINITIONS
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Sec. 7202. Definitions
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In this chapter:
(1) Agricultural Act of 1949
Except in section 7301 of this title, the term ''Agricultural
Act of 1949'' means the Agricultural Act of 1949 (7 U.S.C. 1421
et seq.), as in effect prior to the suspensions under section
7301(b)(1) of this title.
(2) Considered planted
The term ''considered planted'' means acreage that is
considered planted under title V of the Agricultural Act of 1949
(7 U.S.C. 1461 et seq.) and such other acreage as the Secretary
considers fair and equitable.
(3) Contract
The terms ''contract'' and ''production flexibility contract''
mean a production flexibility contract entered into under section
7211 of this title.
(4) Contract acreage
The term ''contract acreage'' means 1 or more crop acreage
bases established for contract commodities under title V of the
Agricultural Act of 1949 (7 U.S.C. 1461 et seq.) that would have
been in effect for the 1996 crop (but for suspension under
section 7301(b)(1) of this title).
(5) Contract commodity
The term ''contract commodity'' means wheat, corn, grain
sorghum, barley, oats, upland cotton, and rice.
(6) Contract payment
The term ''contract payment'' means a payment made under this
subchapter (FOOTNOTE 1) pursuant to a contract.
(FOOTNOTE 1) So in original. Probably should be ''chapter''.
(7) Department
The term ''Department'' means the Department of Agriculture.
(8) Extra long staple cotton
The term ''extra long staple cotton'' means cotton that -
(A) is produced from pure strain varieties of the Barbadense
species or any hybrid thereof, 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; and
(B) is ginned on a roller-type gin or, if authorized by the
Secretary, ginned on another type gin for experimental
purposes.
(9) Farm program payment yield
The term ''farm program payment yield'' means the farm program
payment yield established for the 1995 crop of a contract
commodity under section 505 of the Agricultural Act of 1949 (7
U.S.C. 1465). The Secretary shall adjust the farm program payment
yield for the 1995 crop of a contract commodity to account for
any additional yield payments made with respect to that crop
under subsection (b)(2) of the section.
(10) Loan commodity
The term ''loan commodity'' means each contract commodity,
extra long staple cotton, and oilseed.
(11) Oilseed
The term ''oilseed'' means a crop of soybeans, sunflower seed,
rapeseed, canola, safflower, flaxseed, mustard seed, or, if
designated by the Secretary, other oilseeds.
(12) Producer
The term ''producer'' means an owner, operator, landlord,
tenant, or sharecropper who shares in the risk of producing a
crop and who is entitled to share in the crop available for
marketing from the farm, or would have shared had the crop been
produced. In determining whether a grower of hybrid seed is a
producer, the Secretary shall not take into consideration the
existence of a hybrid seed contract.
(13) Secretary
The term ''Secretary'' means the Secretary of Agriculture.
(14) State
The term ''State'' means each of the several States of the
United States, the District of Columbia, the Commonwealth of
Puerto Rico, and any other territory or possession of the United
States.
(15) United States
The term ''United States'', when used in a geographical sense,
means all of the States.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 102, Apr. 4, 1996, 110 Stat. 897.)
-REFTEXT-
REFERENCES IN TEXT
For definition of ''this chapter'', referred to in text, see note
set out under section 7201 of this title.
The Agricultural Act of 1949, referred to in pars. (1), (2), and
(4), is act Oct. 31, 1949, ch. 792, 63 Stat. 1051, as amended,
which is classified principally to chapter 35A (Sec. 1421 et seq.)
of this title. Title V of the Act, which was classified generally
to subchapter IV (Sec. 1461 et seq.) of chapter 35A of this title,
was omitted from the Code. For complete classification of this Act
to the Code, see Short Title note set out under section 1421 of
this title and Tables.
Section 505 of the Agricultural Act of 1949 (7 U.S.C. 1465),
referred to in par. (9), was omitted from the Code.
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SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 7911, 7916 of this title.
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7 USC SUBCHAPTER II - PRODUCTION FLEXIBILITY CONTRACTS 01/06/03
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TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER II - PRODUCTION FLEXIBILITY CONTRACTS
.
-HEAD-
SUBCHAPTER II - PRODUCTION FLEXIBILITY CONTRACTS
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7 USC Sec. 7211 01/06/03
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TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER II - PRODUCTION FLEXIBILITY CONTRACTS
-HEAD-
Sec. 7211. Authorization for use of production flexibility
contracts
-STATUTE-
(a) Offer and terms
The Secretary shall offer to enter into a production flexibility
contract with an eligible owner or producer described in subsection
(b) of this section on a farm containing eligible cropland. Under
the terms of a contract, the owner or producer shall agree, in
exchange for annual contract payments, to -
(1) 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.);
(2) comply with applicable wetland protection requirements
under subtitle C of title XII of the Act (16 U.S.C. 3821 et
seq.);
(3) comply with the planting flexibility requirements of
section 7218 of this title; and
(4) use the land subject to the contract for an agricultural or
related activity, but not for a nonagricultural commercial or
industrial use, as determined by the Secretary.
(b) Eligible owners and producers described
The following producers and owners shall be eligible to enter
into a contract:
(1) An owner of eligible cropland who assumes all or a part of
the risk of producing a crop.
(2) A producer (other than an owner) on eligible cropland with
a share-rent lease of the eligible cropland, regardless of the
length of the lease, if the owner enters into the same contract.
(3) A producer (other than an owner) on eligible cropland who
cash rents the eligible cropland under a lease expiring on or
after September 30, 2002, in which case the owner is not required
to enter into the contract.
(4) A producer (other than an owner) on eligible cropland who
cash rents the eligible cropland under a lease expiring before
September 30, 2002. The owner of the eligible cropland may also
enter into the same contract. If the producer elects to enroll
less than 100 percent of the eligible cropland in the contract,
the consent of the owner is required.
(5) An owner of eligible cropland who cash rents the eligible
cropland and the lease term expires before September 30, 2002, if
the tenant declines to enter into a contract. In the case of an
owner covered by this paragraph, contract payments shall not
begin under a contract until the lease held by the tenant ends.
(6) An owner or producer described in any preceding paragraph
regardless of whether the owner or producer purchased
catastrophic risk protection for a 1996 crop under section
1508(b) of this title.
(c) Tenants and sharecroppers
In carrying out this subchapter, the Secretary shall provide
adequate safeguards to protect the interests of tenants and
sharecroppers.
(d) Eligible cropland described
Land shall be considered to be cropland eligible for coverage
under a contract only if the land has contract acreage attributable
to the land and -
(1) for at least 1 of the 1991 through 1995 crops, at least a
portion of the land was enrolled in the acreage reduction program
authorized for a crop of a contract commodity under section 101B,
103B, 105B, or 107B of the Agricultural Act of 1949 or was
considered planted;
(2) was subject to a conservation reserve contract under
section 1231 of the Food Security Act of 1985 (16 U.S.C. 3831)
whose term expired, or was voluntarily terminated, on or after
January 1, 1995; or
(3) is released from coverage under a conservation reserve
contract by the Secretary during the period beginning on January
1, 1995, and ending on the date specified in section 7212(a)(2)
of this title.
(e) Quantity of eligible cropland covered by contract
Subject to subsection (b)(4) of this section, an owner or
producer may enroll as contract acreage all or a portion of the
eligible cropland on the farm.
(f) Voluntary reduction in contract acreage
Subject to subsection (b)(4) of this section, an owner or
producer who enters into a contract may subsequently reduce the
quantity of contract acreage covered by the contract.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 111, Apr. 4, 1996, 110 Stat. 898.)
-REFTEXT-
REFERENCES IN TEXT
The Food Security Act of 1985, referred to in subsec. (a)(1),
(2), is Pub. L. 99-198, Dec. 23, 1985, 99 Stat. 1354, as amended.
Subtitles B and C of title XII of the Act are classified generally
to subchapters II (Sec. 3811 et seq.) and III (Sec. 3821 et seq.),
respectively, of chapter 58 of Title 16, Conservation. For complete
classification of this Act to the Code, see Short Title of 1985
Amendment note set out under section 1281 of this title and Tables.
This subchapter, referred to in subsec. (c), was in the original
''this subtitle'', meaning subtitle B (Sec. 111-118) of title I of
Pub. L. 104-127, Apr. 4, 1996, 110 Stat. 898, which enacted this
subchapter and amended sections 1308, 1308-1, and 1308-3 of this
title. For complete classification of subtitle B to the Code, see
Tables.
Sections 101B, 103B, 105B, and 107B of the Agricultural Act of
1949, referred to in subsec. (d)(1), were classified to sections
1441-2, 1444-2, 1444f, and 1445b-3a, respectively, of this title
prior to repeal by section 7301(b)(2)(A)-(D) of this title.
-MISC2-
VIOLATION OF CONTRACT; DENIAL OF FUNDS FOR SALARIES
Pub. L. 104-180, title VII, Sec. 726, Aug. 6, 1996, 110 Stat.
1600, provided that: ''None of the funds made available in this Act
(see Tables for classification) may be used to pay the salaries of
employees of the Department of Agriculture who make payments
pursuant to a production flexibility contract entered into under
section 111 of the Federal Agriculture Improvement and Reform Act
of 1996 (Public Law 104-127; 7 U.S.C. 7211) when it is made known
to the Federal official having authority to obligate or expend such
funds that the land covered by that production flexibility contract
is not being used for the production of an agricultural commodity
or is not devoted to a conserving use, unless it is also made known
to that Federal official that the lack of agricultural production
or the lack of a conserving use is a consequence of drought, flood,
or other natural disaster.''
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 7202, 7216, 7917 of this
title.
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7 USC Sec. 7212 01/06/03
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TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER II - PRODUCTION FLEXIBILITY CONTRACTS
-HEAD-
Sec. 7212. Elements of contracts
-STATUTE-
(a) Time for contracting
(1) Commencement
To the extent practicable, the Secretary shall commence
entering into contracts not later than 45 days after April 4,
1996.
(2) Deadline
Except as provided in paragraph (3), the Secretary may not
enter into a contract after August 1, 1996.
(3) Conservation reserve lands
(A) In general
At the beginning of each fiscal year, the Secretary shall
allow an eligible owner or producer on a farm covered by a
conservation reserve contract entered into under section 3831
of title 16 that terminates after the date specified in
paragraph (2) to enter into or expand a production flexibility
contract to cover the contract acreage of the farm that was
subject to the former conservation reserve contract.
(B) Amount
Contract payments made for contract acreage under this
paragraph shall be made at the rate and amount applicable to
the annual contract payment level for the applicable crop. For
the fiscal year in which the conservation reserve contract is
terminated, the owner or producer subject to the production
flexibility contract may elect to receive either contract
payments or a prorated payment under the conservation reserve
contract, but not both.
(b) Duration of contract
(1) Beginning date
The term of a contract shall begin with -
(A) the 1996 crop of a contract commodity; or
(B) in the case of acreage that was subject to a conservation
reserve contract described in subsection (a)(3) of this
section, the date the production flexibility contract was
entered into or expanded to cover the acreage.
(2) Ending date
The term of a contract shall extend through the 2002 crop,
unless earlier terminated by the owner or producer.
(c) Estimation of contract payments
At the time the Secretary enters into a contract, the Secretary
shall provide an estimate of the minimum contract payments
anticipated to be made during at least the first fiscal year for
which contract payments will be made.
(d) Time for payment
(1) In general
An annual contract payment shall be made not later than
September 30 of each of fiscal years 1996 through 2002.
(2) Advance payments
(A) Fiscal year 1996
At the option of the owner or producer, 50 percent of the
contract payment for fiscal year 1996 shall be made not later
than 30 days after the date on which the contract is entered
into and approved by the Secretary and the owner or producer.
(B) Subsequent fiscal years
At the option of the owner or producer for fiscal year 1997
and each subsequent fiscal year, 50 percent of the annual
contract payment shall be made on December 15 or January 15 of
the fiscal year. The owner or producer may change the date
selected under this subparagraph for a subsequent fiscal year
by providing advance notice to the Secretary.
(3) Special rule
Notwithstanding the requirements for making an annual contract
payment specified in paragraphs (1) and (2), at the option of the
owner or producer, the Secretary shall pay the full amount (or
such portion as the owner or producer may specify) of the
contract payment required to be paid for any of fiscal years 1999
through 2002 at such time or times during that fiscal year as the
owner or producer may specify.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 112, Apr. 4, 1996, 110 Stat. 899;
Pub. L. 105-228, Sec. 2, Aug. 12, 1998, 112 Stat. 1516; Pub. L.
106-78, title VIII, Sec. 811, Oct. 22, 1999, 113 Stat. 1181.)
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AMENDMENTS
1999 - Subsec. (d)(3). Pub. L. 106-78, in par. heading, struck
out ''for fiscal year 1999'' after ''rule'' and, in text,
substituted ''any of fiscal years 1999 through 2002'' for ''fiscal
year 1999''.
1998 - Subsec. (d)(3). Pub. L. 105-228 added par. (3).
PRODUCTION FLEXIBILITY CONTRACT PAYMENTS
Pub. L. 106-170, title V, Sec. 525, Dec. 17, 1999, 113 Stat.
1928, as amended by Pub. L. 107-147, title IV, Sec. 417(24)(A),
Mar. 9, 2002, 116 Stat. 57, provided that: ''Any option to
accelerate the receipt of any payment under a production
flexibility contract which is payable under the Federal Agriculture
Improvement and Reform Act of 1996 (7 U.S.C. 7201 et seq.), as in
effect on the date of the enactment of this Act (Dec. 17, 1999),
shall be disregarded in determining the taxable year for which such
payment is properly includible in gross income for purposes of the
Internal Revenue Code of 1986 (26 U.S.C. 1 et seq.).''
Pub. L. 105-277, div. J, title II, Sec. 2012, Oct. 21, 1998, 112
Stat. 2681-902, provided that:
''(a) In General. - The options under paragraphs (2) and (3) of
section 112(d) of the Federal Agriculture Improvement and Reform
Act of 1996 (7 U.S.C. 7212(d)(2) and (3)), as in effect on the date
of the enactment of this Act (Oct. 21, 1998), shall be disregarded
in determining the taxable year for which any payment under a
production flexibility contract under subtitle B of title I of such
Act (7 U.S.C. 7211 et seq.) (as so in effect) is properly
includible in gross income for purposes of the Internal Revenue
Code of 1986 (26 U.S.C. 1 et seq.).
''(b) Effective Date. - Subsection (a) shall apply to taxable
years ending after December 31, 1995.''
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in section 7211 of this title.
-CITE-
7 USC Sec. 7213 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER II - PRODUCTION FLEXIBILITY CONTRACTS
-HEAD-
Sec. 7213. Amounts available for contract payments
-STATUTE-
(a) Fiscal year amounts
The Secretary shall, to the maximum extent practicable, expend
the following amounts to satisfy the obligations of the Secretary
under all contracts:
(1) For fiscal year 1996, $5,570,000,000.
(2) For fiscal year 1997, $5,385,000,000.
(3) For fiscal year 1998, $5,800,000,000.
(4) For fiscal year 1999, $5,603,000,000.
(5) For fiscal year 2000, $5,130,000,000.
(6) For fiscal year 2001, $4,130,000,000.
(7) For fiscal year 2002, $4,008,000,000.
(b) Allocation
The amount made available for a fiscal year under subsection (a)
of this section shall be allocated as follows:
(1) For wheat, 26.26 percent.
(2) For corn, 46.22 percent.
(3) For grain sorghum, 5.11 percent.
(4) For barley, 2.16 percent.
(5) For oats, 0.15 percent.
(6) For upland cotton, 11.63 percent.
(7) For rice, 8.47 percent.
(c) Adjustment
The Secretary shall adjust the amounts allocated for each
contract commodity under subsection (b) of this section for a
particular fiscal year by -
(1) adding an amount equal to the sum of all repayments of
deficiency payments required under section 114(a)(2) of the
Agricultural Act of 1949 (7 U.S.C. 1445j(a)(2)) for the
commodity;
(2) adding an amount equal to the sum of all refunds of
contract payments received during the preceding fiscal year under
section 7216 of this title for the commodity; and
(3) subtracting an amount equal to the amount, if any,
necessary during that fiscal year to satisfy payment requirements
for the commodity under sections 103B, 105B, or 107B of the
Agricultural Act of 1949 for the 1994 and 1995 crop years.
(d) Additional rice allocation
In addition to the adjustments required under subsection (c) of
this section, the amount allocated under subsection (b) of this
section for rice contract payments shall be increased by $8,500,000
for each of fiscal years 1997 through 2002.
(e) Exclusion of certain amounts from contract payments
Any amount added pursuant to paragraphs (1) and (2) of subsection
(c) of this section to the amount available under subsection (a) of
this section for a fiscal year and paid to owners and producers
under a contract shall not be treated as a contract payment for
purposes of section 7215 of this title or section 1308(1) (FOOTNOTE
1) of this title. However, the amount of a payment covered by this
subsection may not exceed $50,000 per person.
(FOOTNOTE 1) See References in text below.
(f) Effect of payment limitation
The amount available under subsection (a) of this section for a
fiscal year shall be reduced by an amount equal to the total amount
of contract payments for the fiscal year that owners and producers
forgo as a result of operation of the payment limitation under
section 1308(1) (FOOTNOTE 1) of this title.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 113, Apr. 4, 1996, 110 Stat. 900.)
-REFTEXT-
REFERENCES IN TEXT
Sections 103B, 105B, and 107B of the Agricultural Act of 1949,
referred to in subsec. (c)(3), were classified to sections 1444-2,
1444f, and 1445b-3a, respectively, of this title prior to repeal by
section 7301(b)(2)(A)-(D) of this title.
Section 1308(1) of this title, referred to in subsecs. (e), (f),
was repealed by Pub. L. 107-171, title I, Sec. 1603(a), May 13,
2002, 116 Stat. 213.
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 7214, 7334, 7917 of this
title.
-CITE-
7 USC Sec. 7214 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER II - PRODUCTION FLEXIBILITY CONTRACTS
-HEAD-
Sec. 7214. Determination of contract payments under contracts
-STATUTE-
(a) Individual payment quantity of contract commodities
For each contract, the payment quantity of a contract commodity
for each fiscal year shall be equal to the product of -
(1) 85 percent of the contract acreage; and
(2) the farm program payment yield.
(b) Annual payment quantity of contract commodities
The payment quantity of each contract commodity covered by all
contracts for each fiscal year shall be equal to the sum of the
amounts calculated under subsection (a) of this section for each
individual contract.
(c) Annual payment rate
The payment rate for a contract commodity for each fiscal year
shall be equal to -
(1) the amount made available under section 7213 of this title
for the contract commodity for the fiscal year; divided by
(2) the amount determined under subsection (b) of this section
for the fiscal year.
(d) Annual payment amount
The amount to be paid under a contract in effect for each fiscal
year with respect to all contract commodities covered by the
contract shall be equal to the sum of the products of -
(1) the payment quantity determined under subsection (a) of
this section for each of the contract commodities covered by the
contract; and
(2) the corresponding payment rate for the contract commodity
in effect under subsection (c) of this section.
(e) Reduction in payment amount
The contract payment determined under subsection (d) of this
section for an owner or producer for a fiscal year shall be
immediately reduced by the amount of any repayment of deficiency
payments that is required under section 114(a)(2) of the
Agricultural Act of 1949 (7 U.S.C. 1445j(a)(2)) and is not repaid
as of the date the contract payment is determined. The Secretary
shall be required to collect the required repayment, or any claim
based on the required repayment, as soon as the contract payment is
determined.
(f) Assignment of contract payments
The provisions of section 590h(g) of title 16 (relating to
assignment of payments) shall apply to contract payments under this
section. The owner or producer making the assignment, or the
assignee, shall provide the Secretary with notice, in such manner
as the Secretary may require in the contract, of any assignment
made under this subsection.
(g) Sharing of contract payments
The Secretary shall provide for the sharing of contract payments
among the owners and producers subject to the contract on a fair
and equitable basis.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 114, Apr. 4, 1996, 110 Stat. 901.)
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 7911, 7916 of this title.
-CITE-
7 USC Sec. 7215 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER II - PRODUCTION FLEXIBILITY CONTRACTS
-HEAD-
Sec. 7215. Applicability of payment limitations
-STATUTE-
Sections 1308 through 1308-3 of this title shall be applicable to
contract payments made under this subchapter.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 115(a), Apr. 4, 1996, 110 Stat.
902.)
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in section 7213 of this title.
-CITE-
7 USC Sec. 7216 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER II - PRODUCTION FLEXIBILITY CONTRACTS
-HEAD-
Sec. 7216. Violations of contract
-STATUTE-
(a) Termination of contract for violation
Except as provided in subsection (b) of this section, if an owner
or producer subject to a contract violates a requirement of the
contract specified in section 7211(a) of this title, the Secretary
shall terminate the contract with respect to the owner or producer
on each farm in which the owner or producer has an interest. On
the termination, the owner or producer shall forfeit all rights to
receive future contract payments on each farm in which the owner or
producer has an interest and shall refund to the Secretary all
contract payments received by the owner or producer during the
period of the violation, together with interest on the contract
payments as determined by the Secretary.
(b) Refund or adjustment
If the Secretary determines that a violation does not warrant
termination of the contract under subsection (a) of this section,
the Secretary may require the owner or producer subject to the
contract -
(1) to refund to the Secretary that part of the contract
payments received by the owner or producer during the period of
the violation, together with interest on the contract payments as
determined by the Secretary; or
(2) to accept a reduction in the amount of future contract
payments that is proportionate to the severity of the violation,
as determined by the Secretary.
(c) Foreclosure
(1) Effect of foreclosure
An owner or producer subject to a contract may not be required
to make repayments to the Secretary of amounts received under the
contract if the contract acreage has been foreclosed on and the
Secretary determines that forgiving the repayments is appropriate
to provide fair and equitable treatment.
(2) Resumption of operation
This subsection shall not void the responsibilities of the
owner or producer under the contract if the owner or producer
continues or resumes operation, or control, of the contract
acreage. On the resumption of operation or control over the
contract acreage by the owner or producer, the provisions of the
contract in effect on the date of the foreclosure shall apply.
(d) Review
A determination of the Secretary under this section shall be
considered to be an adverse decision for purposes of the
availability of administrative review of the determination.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 116, Apr. 4, 1996, 110 Stat. 903.)
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in section 7213 of this title.
-CITE-
7 USC Sec. 7217 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER II - PRODUCTION FLEXIBILITY CONTRACTS
-HEAD-
Sec. 7217. Transfer or change of interest in lands subject to
contract
-STATUTE-
(a) Termination
Except as provided in subsection (c) of this section, a transfer
of (or change in) the interest of an owner or producer subject to a
contract in the contract acreage covered by the contract shall
result in the termination of the contract with respect to the
acreage, unless the transferee or owner of the acreage agrees to
assume all obligations under the contract. The termination shall
be effective on the date of the transfer or change.
(b) Modification
At the request of the transferee or owner, the Secretary may
modify the contract if the modifications are consistent with the
objectives of this subchapter, as determined by the Secretary.
(c) Exception
If an owner or producer who is entitled to a contract payment
dies, becomes incompetent, or is otherwise unable to receive the
contract payment, the Secretary shall make the payment, in
accordance with regulations prescribed by the Secretary.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 117, Apr. 4, 1996, 110 Stat. 904.)
-CITE-
7 USC Sec. 7218 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER II - PRODUCTION FLEXIBILITY CONTRACTS
-HEAD-
Sec. 7218. Planting flexibility
-STATUTE-
(a) Permitted crops
Subject to subsection (b) of this section, any commodity or crop
may be planted on contract acreage on a farm.
(b) Limitations and exceptions regarding fruits and vegetables
(1) Limitations
The planting of fruits and vegetables (other than lentils, mung
beans, and dry peas) shall be prohibited on contract acreage.
(2) Exceptions
Paragraph (1) shall not limit the planting of a fruit or
vegetable -
(A) in any region in which there is a history of
double-cropping of contract commodities with fruits or
vegetables, as determined by the Secretary, in which case the
double-cropping shall be permitted;
(B) on a farm that the Secretary determines has a history of
planting fruits or vegetables on contract acreage, except that
a contract payment shall be reduced by an acre for each acre
planted to the fruit or vegetable; or
(C) by a producer who the Secretary determines has an
established planting history of a specific fruit or vegetable,
except that -
(i) the quantity planted may not exceed the producer's
average annual planting history of the fruit or vegetable in
the 1991 through 1995 crop years (excluding any crop year in
which no plantings were made), as determined by the
Secretary; and
(ii) a contract payment shall be reduced by an acre for
each acre planted to the fruit or vegetable.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 118, Apr. 4, 1996, 110 Stat. 904.)
-MISC1-
CONTRACT PAYMENTS FOR WILD RICE ACREAGE
Pub. L. 106-78, title VII, Sec. 727, Oct. 22, 1999, 113 Stat.
1164, provided that: ''None of the funds appropriated or otherwise
available to the Department of Agriculture in fiscal year 2000 or
thereafter may be used to administer the provision of contract
payments to a producer under the Agricultural Market Transition Act
(7 U.S.C. 7201 et seq.) for contract acreage on which wild rice is
planted unless the contract payment is reduced by an acre for each
contract acre planted to wild rice.''
Similar provisions were contained in the following prior
appropriations acts:
Pub. L. 105-277, div. A, Sec. 101(a) (title VII, Sec. 727), Oct.
21, 1998, 112 Stat. 2681, 2681-28.
Pub. L. 105-86, title VII, Sec. 734, Nov. 18, 1997, 111 Stat.
2110.
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in section 7211 of this title.
-CITE-
7 USC SUBCHAPTER III - NONRECOURSE MARKETING ASSISTANCE
LOANS AND LOAN DEFICIENCY PAYMENTS 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER III - NONRECOURSE MARKETING ASSISTANCE LOANS AND LOAN
DEFICIENCY PAYMENTS
.
-HEAD-
SUBCHAPTER III - NONRECOURSE MARKETING ASSISTANCE LOANS AND LOAN
DEFICIENCY PAYMENTS
-SECREF-
SUBCHAPTER REFERRED TO IN OTHER SECTIONS
This subchapter is referred to in sections 7286, 7931, 8001 of
this title; title 31 section 3720B.
-CITE-
7 USC Sec. 7231 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER III - NONRECOURSE MARKETING ASSISTANCE LOANS AND LOAN
DEFICIENCY PAYMENTS
-HEAD-
Sec. 7231. Availability of nonrecourse marketing assistance loans
-STATUTE-
(a) Nonrecourse loans available
For each of the 1996 through 2002 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. The loans shall be made under terms and
conditions that are prescribed by the Secretary and at the loan
rate established under section 7232 of this title for the loan
commodity.
(b) Eligible production
The following production shall be eligible for a marketing
assistance loan under subsection (a) of this section:
(1) In the case of a marketing assistance loan for a contract
commodity, any production by a producer on a farm containing
eligible cropland covered by a production flexibility contract.
(2) In the case of a marketing assistance loan for extra long
staple cotton and oilseeds, any production.
(c) Compliance with conservation and wetlands requirements
As a condition of the receipt of a marketing assistance loan
under subsection (a) of this section, 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.
(d) Additional outlays prohibited
The Secretary shall carry out this subchapter in such a manner
that there are no additional outlays under this subchapter as a
result of the reconstitution of a farm that occurs as a result of
the combination of another farm that does not contain eligible
cropland covered by a production flexibility contract.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 131, Apr. 4, 1996, 110 Stat. 905.)
-REFTEXT-
REFERENCES IN TEXT
The Food Security Act of 1985, referred to in subsec. (c), is
Pub. L. 99-198, Dec. 23, 1985, 99 Stat. 1354, as amended.
Subtitles B and C of title XII of the Act are classified generally
to subchapters II (Sec. 3811 et seq.) and III (Sec. 3821 et seq.),
respectively, of chapter 58 of Title 16, Conservation. For complete
classification of this Act to the Code, see Short Title of 1985
Amendment note set out under section 1281 of this title and Tables.
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 7232, 7233, 7234, 7235,
7237, 7286, 7931, 7934 of this title.
-CITE-
7 USC Sec. 7232 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER III - NONRECOURSE MARKETING ASSISTANCE LOANS AND LOAN
DEFICIENCY PAYMENTS
-HEAD-
Sec. 7232. Loan rates for marketing assistance loans
-STATUTE-
(a) Wheat
(1) Loan rate
Subject to paragraph (2), the loan rate for a marketing
assistance loan under section 7231 of this title for wheat shall
be -
(A) not less than 85 percent of the simple average price
received by producers of wheat, as determined by the Secretary,
during the marketing years for the immediately preceding 5
crops of wheat, excluding the year in which the average price
was the highest and the year in which the average price was the
lowest in the period; but
(B) not more than $2.58 per bushel.
(2) Stocks to use ratio adjustment
If the Secretary estimates for any marketing year that the
ratio of ending stocks of wheat to total use for the marketing
year will be -
(A) equal to or greater than 30 percent, the Secretary may
reduce the loan rate for wheat for the corresponding crop by an
amount not to exceed 10 percent in any year;
(B) less than 30 percent but not less than 15 percent, the
Secretary may reduce the loan rate for wheat for the
corresponding crop by an amount not to exceed 5 percent in any
year; or
(C) less than 15 percent, the Secretary may not reduce the
loan rate for wheat for the corresponding crop.
(b) Feed grains
(1) Loan rate for corn
Subject to paragraph (2), the loan rate for a marketing
assistance loan under section 7231 of this title for corn shall
be -
(A) not less than 85 percent of the simple average price
received by producers of corn, as determined by the Secretary,
during the marketing years for the immediately preceding 5
crops of corn, excluding the year in which the average price
was the highest and the year in which the average price was the
lowest in the period; but
(B) not more than $1.89 per bushel.
(2) Stocks to use ratio adjustment
If the Secretary estimates for any marketing year that the
ratio of ending stocks of corn to total use for the marketing
year will be -
(A) equal to or greater than 25 percent, the Secretary may
reduce the loan rate for corn for the corresponding crop by an
amount not to exceed 10 percent in any year;
(B) less than 25 percent but not less than 12.5 percent, the
Secretary may reduce the loan rate for corn for the
corresponding crop by an amount not to exceed 5 percent in any
year; or
(C) less than 12.5 percent, the Secretary may not reduce the
loan rate for corn for the corresponding crop.
(3) Other feed grains
The loan rate for a marketing assistance loan under section
7231 of this title for grain sorghum, barley, and oats,
respectively, shall be established at such level as the Secretary
determines is fair and reasonable in relation to the rate that
loans are made available for corn, taking into consideration the
feeding value of the commodity in relation to corn.
(c) Upland cotton
(1) Loan rate
Subject to paragraph (2), the loan rate for a marketing
assistance loan under section 7231 of this title for upland
cotton shall be established by the Secretary at such loan rate,
per pound, as will reflect for the base quality of upland cotton,
as determined by the Secretary, at average locations in the
United States a rate that is not less than the smaller of -
(A) 85 percent of the average price (weighted by market and
month) of the base quality of cotton as quoted in the
designated United States spot markets during 3 years of the
5-year period ending July 31 of the year preceding the year in
which the crop is planted, excluding the year in which the
average price was the highest and the year in which the average
price was the lowest in the period; or
(B) 90 percent of the average, for the 15-week period
beginning July 1 of the year preceding the year in which the
crop is planted, of the 5 lowest-priced growths of the growths
quoted for Middling 1 3/32-inch cotton C.I.F. Northern Europe
(adjusted downward by the average difference during the period
April 15 through October 15 of the year preceding the year in
which the crop is planted between the average Northern European
price quotation of such quality of cotton and the market
quotations in the designated United States spot markets for the
base quality of upland cotton), as determined by the Secretary.
(2) Limitations
The loan rate for a marketing assistance loan for upland cotton
shall not be less than $0.50 per pound or more than $0.5192 per
pound.
(d) Extra long staple cotton
The loan rate for a marketing assistance loan under section 7231
of this title for extra long staple cotton shall be -
(1) not less than 85 percent of the simple average price
received by producers of extra long staple cotton, as determined
by the Secretary, during 3 years of the 5-year period ending July
31 of the year preceding the year in which the crop is planted,
excluding the year in which the average price was the highest and
the year in which the average price was the lowest in the period;
but
(2) not more than $0.7965 per pound.
(e) Rice
The loan rate for a marketing assistance loan under section 7231
of this title for rice shall be $6.50 per hundredweight.
(f) Oilseeds
(1) Soybeans
The loan rate for a marketing assistance loan under section
7231 of this title for soybeans shall be -
(A) not less than 85 percent of the simple average price
received by producers of soybeans, as determined by the
Secretary, during the marketing years for the immediately
preceding 5 crops of soybeans, excluding the year in which the
average price was the highest and the year in which the average
price was the lowest in the period; but
(B) not less than $4.92 or more than $5.26 per bushel.
(2) Sunflower seed, canola, rapeseed, safflower, mustard seed,
and flaxseed
The loan rate for a marketing assistance loan under section
7231 of this title for sunflower seed, canola, rapeseed,
safflower, mustard seed, and flaxseed, individually, shall be -
(A) not less than 85 percent of the simple average price
received by producers of sunflower seed, individually, as
determined by the Secretary, during the marketing years for the
immediately preceding 5 crops of sunflower seed, individually,
excluding the year in which the average price was the highest
and the year in which the average price was the lowest in the
period; but
(B) not less than $0.087 or more than $0.093 per pound.
(3) Other oilseeds
The loan rates for a marketing assistance loan under section
7231 of this title for other oilseeds shall be established at
such level as the Secretary determines is fair and reasonable in
relation to the loan rate available for soybeans, except in no
event shall the rate for the oilseeds (other than cottonseed) be
less than the rate established for soybeans on a per-pound basis
for the same crop.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 132, Apr. 4, 1996, 110 Stat. 905.)
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 7231, 7234, 7235, 7236 of
this title.
-CITE-
7 USC Sec. 7233 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER III - NONRECOURSE MARKETING ASSISTANCE LOANS AND LOAN
DEFICIENCY PAYMENTS
-HEAD-
Sec. 7233. Term of loans
-STATUTE-
(a) Term of loan
In the case of each loan commodity (other than upland cotton or
extra long staple cotton), a marketing assistance loan under
section 7231 of this title 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.
(b) Special rule for cotton
A marketing assistance loan for upland cotton or extra long
staple cotton shall have a term of 10 months beginning on the first
day of the month in which the loan is made.
(c) Extensions prohibited
The Secretary may not extend the term of a marketing assistance
loan for any loan commodity.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 133, Apr. 4, 1996, 110 Stat. 907.)
-CITE-
7 USC Sec. 7234 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER III - NONRECOURSE MARKETING ASSISTANCE LOANS AND LOAN
DEFICIENCY PAYMENTS
-HEAD-
Sec. 7234. Repayment of loans
-STATUTE-
(a) Repayment rates for wheat, feed grains, and oilseeds
The Secretary shall permit a producer to repay a marketing
assistance loan under section 7231 of this title for wheat, corn,
grain sorghum, barley, oats, and oilseeds at a rate that is the
lesser of -
(1) the loan rate established for the commodity under section
7232 of this title, plus interest (as determined by the
Secretary); or
(2) a rate that the Secretary determines will -
(A) minimize potential loan forfeitures;
(B) minimize the accumulation of stocks of the commodity by
the Federal Government;
(C) minimize the cost incurred by the Federal Government in
storing the commodity; and
(D) allow the commodity produced in the United States to be
marketed freely and competitively, both domestically and
internationally.
(b) Repayment rates for upland cotton and rice
The Secretary shall permit producers to repay a marketing
assistance loan under section 7231 of this title for upland cotton
and rice at a rate that is the lesser of -
(1) the loan rate established for the commodity under section
7232 of this title, plus interest (as determined by the
Secretary); or
(2) the prevailing world market price for the commodity
(adjusted to United States quality and location), as determined
by the Secretary.
(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 7232 of this title, plus interest (as determined by
the Secretary).
(d) Prevailing world market price
For purposes of this section and section 7236 of this title, the
Secretary shall prescribe by regulation -
(1) a formula to determine the prevailing world market price
for each loan commodity, adjusted to United States quality and
location; and
(2) a mechanism by which the Secretary shall announce
periodically the prevailing world market price for each loan
commodity.
(e) Adjustment of prevailing world market price for upland cotton
(1) In general
During the period ending July 31, 2003, the prevailing world
market price for upland cotton (adjusted to United States quality
and location) established under subsection (d) of this section
shall be further adjusted if -
(A) the adjusted prevailing world market price is less than
115 percent of the loan rate for upland cotton established
under section 7232 of this title, as determined by the
Secretary; and
(B) 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 C.I.F. Northern Europe is
greater than the Friday through Thursday average price of the 5
lowest-priced growths of upland cotton, as quoted for Middling
(M) 1 3/32-inch cotton, delivered C.I.F. Northern Europe
(referred to in this section as the ''Northern Europe price'').
(2) Further adjustment
Except as provided in paragraph (3), the adjusted prevailing
world market price for upland cotton shall be further adjusted on
the basis of some or all of the following data, as available:
(A) The United States share of world exports.
(B) The current level of cotton export sales and cotton
export shipments.
(C) Other data determined by the Secretary to be relevant in
establishing an accurate prevailing world market price for
upland cotton (adjusted to United States quality and location).
(3) Limitation on further adjustment
The adjustment under paragraph (2) may not exceed the
difference between -
(A) the Friday through Thursday average price for the
lowest-priced United States growth as quoted for Middling 1
3/32-inch cotton delivered C.I.F. Northern Europe; and
(B) the Northern Europe price.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 134, Apr. 4, 1996, 110 Stat. 908.)
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 7235, 7934 of this title.
-CITE-
7 USC Sec. 7235 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER III - NONRECOURSE MARKETING ASSISTANCE LOANS AND LOAN
DEFICIENCY PAYMENTS
-HEAD-
Sec. 7235. Loan deficiency payments
-STATUTE-
(a) Availability of loan deficiency payments
Except as provided in subsection (d) of this section, the
Secretary may make loan deficiency payments available to -
(1) producers who, although eligible to obtain a marketing
assistance loan under section 7231 of this title with respect to
a loan commodity, agree to forgo obtaining the loan for the
commodity in return for payments under this section; and
(2) effective only for the 2000 and 2001 crop years, producers
that, although not eligible to obtain such a marketing assistance
loan under section 7231 of this title, produce a contract
commodity.
(b) Computation
A loan deficiency payment under this section shall be computed by
multiplying -
(1) the loan payment rate determined under subsection (c) of
this section for the loan commodity; by
(2) the quantity of the loan commodity produced by the eligible
producers, excluding any quantity for which the producers obtain
a loan under section 7231 of this title.
(c) Loan payment rate
For purposes of this section, the loan payment rate shall be the
amount by which -
(1) the loan rate established under section 7232 of this title
for the loan commodity; exceeds
(2) the rate at which a loan for the commodity may be repaid
under section 7234 of this title.
(d) Exception for extra long staple cotton
This section shall not apply with respect to extra long staple
cotton.
(e) Transition
A payment to a producer eligible for a payment under subsection
(a)(2) of this section that harvested a commodity on or before the
date that is 30 days after the promulgation of the regulations
implementing subsection (a)(2) of this section shall be determined
as the date the producer lost beneficial interest in the commodity,
as determined by the Secretary.
(f) Beneficial interest
Subject to subsection (e) of this section, a producer shall be
eligible for a payment under this section only if the producer has
a beneficial interest in the commodity, as determined by the
Secretary.
(g) Effective date for payment rate determination
For the 2001 crop year, 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
using the payment rate in effect under subsection (c) of this
section as of the earlier of the following:
(1) The date on which the producers marketed or otherwise lost
beneficial interest in the crop of the loan commodity, as
determined by the Secretary.
(2) The date the producers requested the payment.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 135, Apr. 4, 1996, 110 Stat. 909;
Pub. L. 106-224, title II, Sec. 206, June 20, 2000, 114 Stat. 405;
Pub. L. 107-171, title I, Sec. 1205(f)(2), May 13, 2002, 116 Stat.
159.)
-MISC1-
AMENDMENTS
2002 - Subsec. (a)(2). Pub. L. 107-171, Sec. 1205(f)(2)(A),
substituted ''2000 and 2001 crop years'' for ''2000 crop year''.
Subsec. (g). Pub. L. 107-171, Sec. 1205(f)(2)(B), added subsec.
(g).
2000 - Subsec. (a). Pub. L. 106-224, Sec. 206(a), designated
existing provisions as par. (1) and added par. (2).
Subsec. (b)(2). Pub. L. 106-224, Sec. 206(b), substituted
''produced by the eligible producers, excluding any quantity for
which the producers obtain a loan under section 7231 of this
title.'' for ''that the producers on a farm are eligible to place
under loan but for which the producers forgo obtaining the loan in
return for payments under this section.''
Subsecs. (e), (f). Pub. L. 106-224, Sec. 206(c), added subsecs.
(e) and (f).
-CITE-
7 USC Sec. 7236 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER III - NONRECOURSE MARKETING ASSISTANCE LOANS AND LOAN
DEFICIENCY PAYMENTS
-HEAD-
Sec. 7236. Special marketing loan provisions for upland cotton
-STATUTE-
(a) Cotton user marketing certificates
(1) Issuance
During the period ending July 31, 2003, the Secretary shall
issue marketing certificates or cash payments, at the option of
the recipient, to domestic users and exporters for documented
purchases by domestic users and sales for export by exporters
made in the week following a consecutive 4-week period in which -
(A) 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 C.I.F. Northern Europe
exceeds the Northern Europe price by more than 1.25 cents per
pound; and
(B) the prevailing world market price for upland cotton
(adjusted to United States quality and location) does not
exceed 134 percent of the loan rate for upland cotton
established under section 7232 of this title.
(2) Value of certificates or payments
The value of the marketing certificates or cash payments shall
be based on the amount of the difference (reduced by 1.25 cents
per pound) in the prices during the 4th week of the consecutive
4-week period multiplied by the quantity of upland cotton
included in the documented sales.
(3) Administration of marketing certificates
(A) Redemption, marketing, or exchange
The Secretary shall establish procedures for redeeming
marketing certificates for cash or marketing or exchange of the
certificates for agricultural commodities owned by the
Commodity Credit Corporation or pledged to the Commodity Credit
Corporation as collateral for a loan in such manner, and at
such price levels, as the Secretary determines will best
effectuate the purposes of cotton user marketing certificates,
including enhancing the competitiveness and marketability of
United States cotton. Any price restrictions that would
otherwise apply to the disposition of agricultural commodities
by the Commodity Credit Corporation shall not apply to the
redemption of certificates under this subsection.
(B) Designation of commodities and products
To the extent practicable, the Secretary shall permit owners
of certificates to designate the commodities and products,
including storage sites, the owners would prefer to receive in
exchange for certificates.
(C) Transfers
Marketing certificates issued to domestic users and exporters
of upland cotton may be transferred to other persons in
accordance with regulations issued by the Secretary.
(b) Special import quota
(1) Establishment
(A) In general
The President shall carry out an import quota program during
the period ending July 31, 2003, as provided in this
subsection.
(B) Program requirements
Except as provided in subparagraph (C), 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 C.I.F. Northern
Europe, adjusted for the value of any certificate issued under
subsection (a) of this section, exceeds the Northern Europe
price by more than 1.25 cents per pound, there shall
immediately be in effect a special import quota.
(C) Tight domestic supply
During any month for which the Secretary estimates the
season-ending United States upland cotton stocks-to-use ratio,
as determined under subparagraph (D), to be below 16 percent,
the Secretary, in making the determination under subparagraph
(B), shall not adjust 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 C.I.F. Northern
Europe, for the value of any certificates issued under
subsection (a) of this section.
(D) Season-ending United States stocks-to-use ratio
For the purposes of making estimates under subparagraph (C),
the Secretary shall, on a monthly basis, estimate and report
the season-ending United States upland cotton stocks-to-use
ratio, excluding projected raw cotton imports but including the
quantity of raw cotton that has been imported into the United
States during the marketing year.
(2) Quantity
The quota shall be equal to 1 week's consumption of upland
cotton by domestic mills at the seasonally adjusted average rate
of the most recent 3 months for which data are available.
(3) Application
The quota shall apply to upland cotton purchased not later than
90 days after the date of the Secretary's announcement under
paragraph (1) and entered into the United States not later than
180 days after the date.
(4) Overlap
A special quota period may be established that overlaps any
existing quota period if required by paragraph (1), except that a
special quota period may not be established under this subsection
if a quota period has been established under subsection (c) of
this section.
(5) Preferential tariff treatment
The quantity under a special import quota shall be considered
to be an in-quota quantity for purposes of -
(A) section 2703(d) of title 19;
(B) section 3203 of title 19;
(C) section 2463(d) of title 19; and
(D) General Note 3(a)(iv) to the Harmonized Tariff Schedule.
(6) ''Special import quota'' defined
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.
(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 5 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.
(c) Limited global import quota for upland cotton
(1) In general
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 such 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:
(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.
(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.
(C) Preferential tariff treatment
The quantity under a limited global import quota shall be
considered to be an in-quota quantity for purposes of -
(i) section 2703(d) of title 19;
(ii) section 3203 of title 19;
(iii) section 2463(d) of title 19; and
(iv) General Note 3(a)(iv) to the Harmonized Tariff
Schedule.
(D) Definitions
In this subsection:
(i) 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 -
(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;
(II) production of the current crop; and
(III) imports to the latest date available during the
marketing year.
(ii) Demand
The term ''demand'' means -
(I) the average seasonally adjusted annual rate of
domestic mill consumption during the most recent 3 months
for which data are available; and
(II) the larger of -
(aa) average exports of upland cotton during the
preceding 6 marketing years; or
(bb) cumulative exports of upland cotton plus
outstanding export sales for the marketing year in which
the quota is established.
(iii) 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.
(E) 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.
(2) No overlap
Notwithstanding paragraph (1), a quota period may not be
established that overlaps an existing quota period or a special
quota period established under subsection (b) of this section.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 136, Apr. 4, 1996, 110 Stat. 909;
Pub. L. 105-86, title VII, Sec. 731, Nov. 18, 1997, 111 Stat. 2108;
Pub. L. 105-277, div. A, Sec. 101(a) (title VII, Sec. 762), Oct.
21, 1998, 112 Stat. 2681, 2681-36; Pub. L. 106-78, title VIII, Sec.
806, Oct. 22, 1999, 113 Stat. 1179.)
-REFTEXT-
REFERENCES IN TEXT
The Harmonized Tariff Schedule, referred to in subsecs. (b)(5)(D)
and (c)(1)(C)(iv), is not set out in the Code. See Publication of
Harmonized Tariff Schedule note set out under section 1202 of Title
19, Customs Duties.
-MISC2-
AMENDMENTS
1999 - Subsec. (a)(1). Pub. L. 106-78, Sec. 806(a)(1),
substituted ''or cash payments, at the option of the recipient,''
for ''or cash payments'' in introductory provisions.
Subsec. (a)(1)(A), (2). Pub. L. 106-78, Sec. 806(a)(2),
substituted ''1.25 cents per pound'' for ''3 cents per pound''.
Subsec. (a)(3)(A). Pub. L. 106-78, Sec. 806(a)(3)(A), substituted
''owned by the Commodity Credit Corporation or pledged to the
Commodity Credit Corporation as collateral for a loan in such
manner, and at such price levels, as the Secretary determines will
best effectuate the purposes of cotton user marketing certificates,
including enhancing the competitiveness and marketability of United
States cotton'' for ''owned by the Commodity Credit Corporation in
such manner, and at such price levels, as the Secretary determines
will best effectuate the purposes of cotton user marketing
certificates'' in first sentence.
Subsec. (a)(3)(B). Pub. L. 106-78, Sec. 806(a)(3)(B), struck out
at end ''If any certificate is not presented for redemption,
marketing, or exchange within a reasonable number of days after the
issuance of the certificate (as determined by the Secretary),
reasonable costs of storage and other carrying charges, as
determined by the Secretary, shall be deducted from the value of
the certificate for the period beginning after the reasonable
number of days and ending with the date of the presentation of the
certificate to the Commodity Credit Corporation.''
Subsec. (a)(4). Pub. L. 106-78, Sec. 806(a)(4), struck out
heading and text of par. (4). Text read as follows: ''Total
expenditures under this subsection shall not exceed $701,000,000
during fiscal years 1996 through 2002.''
Subsec. (b)(1). Pub. L. 106-78, Sec. 806(b)(1), added par. (1)
and struck out heading and text of former par. (1). Text read as
follows: ''The President shall carry out an import quota program
that provides that, during the period ending July 31, 2003,
whenever the Secretary determines and announces that for any
consecutive 10-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 C.I.F.
Northern Europe, adjusted for the value of any certificates issued
under subsection (a) of this section, exceeds the Northern Europe
price by more than 3 cents per pound, there shall immediately be in
effect a special import quota.''
Subsec. (b)(7). Pub. L. 106-78, Sec. 806(b)(2), added par. (7).
1998 - Subsecs. (a)(1)(A), (2), (b)(1). Pub. L. 105-277
substituted ''3 cents'' for ''1.25 cents''.
1997 - Subsec. (a)(1). Pub. L. 105-86, Sec. 731(1), in
introductory provisions substituted ''During'' for ''Subject to
paragraph (4), during'' and in subpar. (B) substituted ''134'' for
''130''.
Subsec. (a)(4), (5). Pub. L. 105-86, Sec. 731(2), (3)
redesignated par. (5) as (4) and struck out heading and text of
former par. (4). Text read as follows: ''The Secretary shall not
issue marketing certificates or cash payments under paragraph (1)
if, for the immediately preceding consecutive 10-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 C.I.F. Northern Europe, adjusted for the value of
any certificate issued under this subsection, exceeds the Northern
Europe price by more than 1.25 cents per pound.''
EFFECTIVE DATE OF 1997 AMENDMENT
Section 731 of Pub. L. 105-86 provided that the amendment made by
that section is effective Oct. 1, 1998.
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in section 7234 of this title.
-CITE-
7 USC Sec. 7236a 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER III - NONRECOURSE MARKETING ASSISTANCE LOANS AND LOAN
DEFICIENCY PAYMENTS
-HEAD-
Sec. 7236a. Special competitive provisions for extra long staple
cotton
-STATUTE-
(a) Competitiveness program
Notwithstanding any other provision of law, during the period
beginning on October 1, 1999, and ending on July 31, 2003, the
Secretary shall carry out a program to maintain and expand the
domestic use of extra long staple cotton produced in the United
States, to increase exports of extra long staple cotton produced in
the United States, and to ensure that extra long staple cotton
produced in the United States remains competitive in world markets.
(b) Payments under program; trigger
Under the program, the Secretary shall make payments available
under this section whenever -
(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;
and
(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.
(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 who enter into an agreement with the Commodity Credit
Corporation to participate in the program under this section.
(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) of this
section 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.
(e) Form of payment
Payments under this section shall be made through the issuance of
cash or marketing certificates, at the option of eligible
recipients of the payments.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 136A, as added Pub. L. 106-113,
div. B, Sec. 1000(a)(5) (title I, Sec. 104(c)), Nov. 29, 1999, 113
Stat. 1536, 1501A-291.)
-CITE-
7 USC Sec. 7237 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER III - NONRECOURSE MARKETING ASSISTANCE LOANS AND LOAN
DEFICIENCY PAYMENTS
-HEAD-
Sec. 7237. Availability of recourse loans for high moisture feed
grains and seed cotton and other fibers
-STATUTE-
(a) High moisture feed grains
(1) Recourse loans available
For each of the 1996 through 2002 crops of corn and grain
sorghum, the Secretary shall make available recourse loans, as
determined by the Secretary, to producers on a farm containing
eligible cropland covered by a production flexibility contract
who -
(A) normally harvest all or a portion of their crop of corn
or grain sorghum in a high moisture state;
(B) present -
(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; or
(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;
(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; and
(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.
(2) 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 -
(A) the acreage of the corn or grain sorghum in a high
moisture state harvested on the producer's farm; by
(B) the lower of the farm program payment yield 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.
(3) ''High moisture state'' defined
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 7231 of this title.
(b) Recourse loans available for seed cotton
(1) Upland cotton
For each of the 1996 through 2002 crops of upland cotton, the
Secretary shall make available recourse seed cotton loans, as
determined by the Secretary, to producers on a farm containing
eligible cropland covered by a production flexibility contract.
(2) Extra long staple cotton
For each of the 1996 through 2002 crops of extra long staple
cotton, the Secretary shall make available recourse seed cotton
loans, as determined by the Secretary, on any production.
(c) Recourse loans available for mohair
(1) Recourse loans available
Notwithstanding any other provision of law, during fiscal year
1999, the Secretary shall make available recourse loans, as
determined by the Secretary, to producers of mohair produced
during or before that fiscal year.
(2) Loan rate
The loan rate for a loan under paragraph (1) shall be equal to
$2.00 per pound.
(3) Term of loan
A loan under paragraph (1) shall have a term of 1 year
beginning on the first day of the first month after the month in
which the loan is made.
(4) Waiver of interest
Notwithstanding subsection (d) of this section, the Secretary
shall not charge interest on a loan made under paragraph (1).
(d) 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 (as determined by the Secretary).
-SOURCE-
(Pub. L. 104-127, title I, Sec. 137, Apr. 4, 1996, 110 Stat. 912;
Pub. L. 105-277, div. A, Sec. 101(a) (title XI, Sec. 1126), Oct.
21, 1998, 112 Stat. 2681, 2681-46.)
-MISC1-
AMENDMENTS
1998 - Pub. L. 105-277, Sec. 101(a) (title XI, Sec. 1126(1)),
inserted ''and other fibers'' after ''seed cotton'' in section
catchline.
Subsecs. (c), (d). Pub. L. 105-277, Sec. 101(a) (title XI, Sec.
1126(2), (3)), added subsec. (c) and redesignated former subsec.
(c) as (d).
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in section 7939 of this title.
-CITE-
7 USC SUBCHAPTER IV - OTHER COMMODITIES 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER IV - OTHER COMMODITIES
.
-HEAD-
SUBCHAPTER IV - OTHER COMMODITIES
-CITE-
7 USC Part A - Dairy 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER IV - OTHER COMMODITIES
Part A - Dairy
.
-HEAD-
Part A - Dairy
-CITE-
7 USC Sec. 7251 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER IV - OTHER COMMODITIES
Part A - Dairy
-HEAD-
Sec. 7251. Milk price support program
-STATUTE-
(a) Support activities
The Secretary of Agriculture shall support the price of milk
produced in the 48 contiguous States through the purchase of
cheese, butter, and nonfat dry milk produced from the milk.
(b) Rate
The price of milk shall be supported at the following rates per
hundredweight for milk containing 3.67 percent butterfat:
(1) During calendar year 1996, $10.35.
(2) During calendar year 1997, $10.20.
(3) During calendar year 1998, $10.05.
(4) During each of calendar years 1999 through 2001, $9.90.
(5) During the period beginning on January 1, 2002, and ending
on May 31, 2002, $9.90.
(c) Purchase prices
The support purchase prices under this section for each of the
products of milk (butter, cheese, and nonfat dry milk) announced by
the Secretary shall be the same for all of that product sold by
persons offering to sell the product to the Secretary. The purchase
prices shall be sufficient to enable plants of average efficiency
to pay producers, on average, a price that is not less than the
rate of price support for milk in effect under subsection (b) of
this section.
(d) Special rule for butter and nonfat dry milk purchase prices
(1) Allocation of purchase prices
The Secretary may allocate the rate of price support between
the purchase prices for nonfat dry milk and butter in a manner
that will result in the lowest level of expenditures by the
Commodity Credit Corporation or achieve such other objectives as
the Secretary considers appropriate. Not later than 10 days
after making or changing an allocation, the Secretary shall
notify the Committee on Agriculture of the House of
Representatives and the Committee on Agriculture, Nutrition, and
Forestry of the Senate of the allocation. Section 553 of title 5
shall not apply with respect to the implementation of this
section.
(2) Timing of purchase price adjustments
The Secretary may make any such adjustments in the purchase
prices for nonfat dry milk and butter the Secretary considers to
be necessary not more than twice in each calendar year.
(e) Refunds of 1995 and 1996 assessments
(1) Refund required
The Secretary shall provide for a refund of the entire
reduction required under section 204(h)(2) of the Agricultural
Act of 1949 (7 U.S.C. 1446e(h)(2)), as in effect on the day
before the amendment made by subsection (g) of this section, in
the price of milk received by a producer during calendar year
1995 or 1996, if the producer provides evidence that the producer
did not increase marketings in calendar year 1995 or 1996 when
compared to calendar year 1994 or 1995, respectively.
(2) Exception
This subsection shall not apply with respect to a producer for
a particular calendar year if the producer has already received a
refund under section 204(h) of the Agricultural Act of 1949 for
the same fiscal year before the effective date of this section.
(3) Treatment of refund
A refund under this subsection shall not be considered as any
type of price support or payment for purposes of sections 3811
and 3821 of title 16.
(f) Commodity Credit Corporation
The Secretary shall carry out the program authorized by this
section through the Commodity Credit Corporation.
(g) Omitted
(h) Period of effectiveness
This section (other than subsection (g) of this section) shall be
effective only during the period beginning on the first day of the
first month beginning after April 4, 1996, and ending on May 31,
2002. The program authorized by this section shall terminate on May
31, 2002, and shall be considered to have expired notwithstanding
section 907 of title 2.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 141, Apr. 4, 1996, 110 Stat. 914;
Pub. L. 106-78, title VIII, Sec. 807(a), Oct. 22, 1999, 113 Stat.
1181; Pub. L. 106-387, Sec. 1(a) (title VII, Sec. 742(a)), Oct. 28,
2000, 114 Stat. 1549, 1549A-35; Pub. L. 107-76, title VII, Sec.
772(a), Nov. 28, 2001, 115 Stat. 745.)
-REFTEXT-
REFERENCES IN TEXT
Section 204 of the Agricultural Act of 1949, referred to in
subsec. (e)(1), (2), was classified to section 1446e of this title
prior to repeal by subsec. (g) of this section. See Codification
note below.
-COD-
CODIFICATION
Section is comprised of section 141 of Pub. L. 104-127. Subsec.
(g) of section 141 of Pub. L. 104-127 repealed section 1446e of
this title and enacted provisions set out as a note under section
1446e of this title.
-MISC3-
AMENDMENTS
2001 - Subsec. (b)(5). Pub. L. 107-76, Sec. 772(a)(1), added par.
(5).
Subsec. (h). Pub. L. 107-76, Sec. 772(a)(2), substituted ''May
31, 2002'' for ''December 31, 2001'' in two places.
2000 - Subsec. (b)(4). Pub. L. 106-387, Sec. 1(a) (title VII,
Sec. 742(a)(1)), substituted ''through 2001'' for ''and 2000''.
Subsec. (h). Pub. L. 106-387, Sec. 1(a) (title VII, Sec.
742(a)(2)), substituted ''2001'' for ''2000'' in two places.
1999 - Subsec. (b)(4). Pub. L. 106-78, Sec. 807(a)(1),
substituted ''each of calendar years 1999 and 2000'' for ''calendar
year 1999''.
Subsec. (h). Pub. L. 106-78, Sec. 807(a)(2), substituted ''2000''
for ''1999'' in two places.
-CITE-
7 USC Sec. 7252 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER IV - OTHER COMMODITIES
Part A - Dairy
-HEAD-
Sec. 7252. Repealed. Pub. L. 107-76, title VII, Sec. 772(b), Nov.
28, 2001, 115 Stat. 745
-MISC1-
Section, Pub. L. 104-127, title I, Sec. 142, Apr. 4, 1996, 110
Stat. 915; Pub. L. 106-78, title VIII, Sec. 807(b), Oct. 22, 1999,
113 Stat. 1181; Pub. L. 106-387, Sec. 1(a) (title VII, Sec.
742(b)), Oct. 28, 2000, 114 Stat. 1549, 1549A-35, related to
recourse loan program for commercial processors of dairy products.
-CITE-
7 USC Sec. 7253 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER IV - OTHER COMMODITIES
Part A - Dairy
-HEAD-
Sec. 7253. Consolidation and reform of Federal milk marketing
orders
-STATUTE-
(a) Amendment of orders
(1) Required consolidation
The Secretary shall amend Federal milk marketing orders issued
under section 608c of this title to limit the number of Federal
milk marketing orders to not less than 10 and not more than 14
orders.
(2) Inclusion of California as separate order
Upon the petition and approval of California dairy producers in
the manner provided in section 608c of this title, the Secretary
shall designate the State of California as a separate Federal
milk marketing order. The order covering California shall have
the right to reblend and distribute order receipts to recognize
quota value.
(3) Related issues addressed in consolidation
Among the issues the Secretary is authorized to implement as
part of the consolidation of Federal milk marketing orders are
the following:
(A) The use of utilization rates and multiple basing points
for the pricing of fluid milk.
(B) The use of uniform multiple component pricing when
developing 1 or more basic formula prices for manufacturing
milk.
(4) Effect of existing law
In implementing the consolidation of Federal milk marketing
orders and related reforms under this subsection, the Secretary
may not consider, or base any decision on, the table contained in
section 608c(5)(A) of this title.
(b) Expedited process
(1) Use of informal rulemaking
To implement the consolidation of Federal milk marketing orders
and related reforms under subsection (a) of this section, the
Secretary shall use the notice and comment procedures provided in
section 553 of title 5.
(2) Time limitations
(A) Proposed amendments
The Secretary shall announce the proposed amendments to be
made under subsection (a) of this section not later than 2
years after April 4, 1996.
(B) Final amendments
The Secretary shall implement the amendments not later than 3
years after April 4, 1996.
(3) Effect of court order
The actions authorized by this subsection are intended to
ensure the timely publication and implementation of new and
amended Federal milk marketing orders. In the event that the
Secretary is enjoined or otherwise restrained by a court order
from publishing or implementing the consolidation and related
reforms under subsection (a) of this section, the length of time
for which that injunction or other restraining order is effective
shall be added to the time limitations specified in paragraph (2)
thereby extending those time limitations by a period of time
equal to the period of time for which the injunction or other
restraining order is effective.
(c) Failure to timely consolidate orders
If the Secretary fails to implement the consolidation required
under subsection (a)(1) of this section within the time period
required under subsection (b)(2)(B) of this section (plus any
additional period provided under subsection (b)(3) of this
section), the Secretary may not assess or collect assessments from
milk producers or handlers under such section 608c of this title
for marketing order administration and services provided under such
section after the end of that period until the consolidation is
completed. The Secretary may not reduce the level of services
provided under the section on account of the prohibition against
assessments, but shall rather cover the cost of marketing order
administration and services through funds available for the
Agricultural Marketing Service of the Department.
(d) Report regarding further reforms
(1) Report required
Not later than April 1, 1997, the Secretary shall submit to
Congress a report -
(A) reviewing the Federal milk marketing order system
established pursuant to section 608c of this title in light of
the reforms required by subsection (a) of this section;
(B) describing the efforts underway and the progress made in
implementing the reforms required by subsection (a) of this
section; and
(C) containing such recommendations as the Secretary
considers appropriate for further improvements and reforms to
the Federal milk marketing order system.
(2) Effect of other laws
Any limitation imposed by Act of Congress on the conduct or
completion of reports to Congress shall not apply to the report
required under this section, unless the limitation specifically
refers to this section.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 143, Apr. 4, 1996, 110 Stat. 915.)
-MISC1-
USE OF OPTION 1A AS PRICE STRUCTURE FOR CLASS I MILK UNDER
CONSOLIDATED FEDERAL MILK MARKETING ORDERS
Pub. L. 106-113, div. B, Sec. 1000(a)(8) (Sec. 1), Nov. 29,
1999, 113 Stat. 1536, 1501A-517, provided that:
''(a) Final Rule Defined. - In this section, the term 'final
rule' means the final rule for the consolidation and reform of
Federal milk marketing orders that was published in the Federal
Register on September 1, 1999 (64 Fed. Reg. 47897-48021), to comply
with section 143 of the Federal Agriculture Improvement and Reform
Act of 1996 (7 U.S.C. 7253).
''(b) Implementation of Final Rule for Milk Order Reform. -
Subject to subsection (c), the final rule shall take effect, and be
implemented by the Secretary of Agriculture, on the first day of
the first month beginning at least 30 days after the date of the
enactment of this Act (Nov. 29, 1999).
''(c) Use of Option 1A for Pricing Class I Milk. - In lieu of the
Class I price differentials specified in the final rule, the
Secretary of Agriculture shall price fluid or Class I milk under
the Federal milk marketing orders using the Class I price
differentials identified as Option 1A 'Location-Specific
Differentials Analysis' in the proposed rule published in the
Federal Register on January 30, 1998 (63 Fed. Reg. 4802, 4809),
except that the Secretary shall include the corrections and
modifications to such Class I differentials made by the Secretary
through April 2, 1999.
''(d) Effect of Prior Announcement of Minimum Prices. - If the
Secretary of Agriculture announces minimum prices for milk under
Federal milk marketing orders pursuant to section 1000.50 of title
7, Code of Federal Regulations, before the effective date specified
in subsection (b), the minimum prices so announced before that date
shall be the only applicable minimum prices under Federal milk
marketing orders for the month or months for which the prices have
been announced.
''(e) Implementation of Requirement. - The implementation of the
final rule, as modified by subsection (c), shall not be subject to
any of the following:
''(1) The notice and hearing requirements of section 8c(3) of
the Agricultural Adjustment Act (7 U.S.C. 608c(3)), reenacted
with amendments by the Agricultural Marketing Agreement Act of
1937, or the notice and comment provisions of section 553 of
title 5, United States Code.
''(2) A referendum conducted by the Secretary of Agriculture
pursuant to subsections (17) or (19) of section 8c of the
Agricultural Adjustment Act (7 U.S.C. 608c), reenacted with
amendments by the Agricultural Marketing Agreement Act of 1937.
''(3) 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.
''(4) Chapter 35 of title 44, United States Code (commonly
known as the Paperwork Reduction Act).
''(5) Any decision, restraining order, or injunction issued by
a United States court before the date of the enactment of this
Act (Nov. 29, 1999).''
FURTHER RULEMAKING TO DEVELOP PRICING METHODS FOR CLASS III AND
CLASS IV MILK UNDER MARKETING ORDERS
Pub. L. 106-113, div. B, Sec. 1000(a)(8) (Sec. 2), Nov. 29,
1999, 113 Stat. 1536, 1501A-518, provided that:
''(a) Congressional Finding. - The Class III and Class IV milk
pricing formulas included in the final decision for the
consolidation and reform of Federal milk marketing orders, as
published in the Federal Register on April 2, 1999 (64 Fed. Reg.
16025), do not adequately reflect public comment on the original
proposed rule published in the Federal Register on January 30, 1998
(63 Fed. Reg. 4802), and are sufficiently different from the
proposed rule and any comments submitted with regard to the
proposed rule that further emergency rulemaking is merited.
''(b) Rulemaking Required. - The Secretary of Agriculture shall
conduct rulemaking, on the record after an opportunity for an
agency hearing, to reconsider the Class III and Class IV milk
pricing formulas included in the final rule for the consolidation
and reform of Federal milk marketing orders that was published in
the Federal Register on September 1, 1999 (64 Fed. Reg.
47897-48021).
''(c) Time Period for Rulemaking. - On December 1, 2000, the
Secretary of Agriculture shall publish in the Federal Register a
final decision on the Class III and Class IV milk pricing
formulas. The resulting formulas shall take effect, and be
implemented by the Secretary, on January 1, 2001.
''(d) Effect of Court Order. - The actions authorized by
subsections (b) and (c) are intended to ensure the timely
publication and implementation of new pricing formulas for Class
III and Class IV milk. In the event that the Secretary of
Agriculture is enjoined or otherwise restrained by a court order
from implementing a final decision within the time period specified
in subsection (c), the length of time for which that injunction or
other restraining order is effective shall be added to the time
limitations specified in subsection (c) thereby extending those
time limitations by a period of time equal to the period of time
for which the injunction or other restraining order is effective.
''(e) Failure To Timely Complete Rulemaking. - If the Secretary
of Agriculture fails to implement new Class III and Class IV milk
pricing formulas within the time period required under subsection
(c) (plus any additional period provided under subsection (d)), the
Secretary may not assess or collect assessments from milk producers
or handlers under section 8c of the Agricultural Adjustment Act (7
U.S.C. 608c), reenacted with amendments by the Agricultural
Marketing Agreement Act of 1937, for marketing order administration
and services provided under such section after the end of that
period until the pricing formulas are implemented. The Secretary
may not reduce the level of services provided under that section on
account of the prohibition against assessments, but shall rather
cover the cost of marketing order administration and services
through funds available for the Agricultural Marketing Service of
the Department.
''(f) Implementation of Requirement. - The implementation of the
final decision on new Class III and Class IV milk pricing formulas
shall not be subject to congressional review under chapter 8 of
title 5, United States Code.''
-CITE-
7 USC Sec. 7254 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER IV - OTHER COMMODITIES
Part A - Dairy
-HEAD-
Sec. 7254. Effect on fluid milk standards in State of California
-STATUTE-
Nothing in this Act or any other provision of law shall be
construed to preempt, prohibit, or otherwise limit the authority of
the State of California, directly or indirectly, to establish or
continue to effect any law, regulation, or requirement regarding -
(1) the percentage of milk solids or solids not fat in fluid
milk products sold at retail or marketed in the State of
California; or
(2) the labeling of such fluid milk products with regard to
milk solids or solids not fat.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 144, Apr. 4, 1996, 110 Stat. 917.)
-CITE-
7 USC Sec. 7255 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER IV - OTHER COMMODITIES
Part A - Dairy
-HEAD-
Sec. 7255. Milk manufacturing marketing adjustment
-STATUTE-
(a) Maximum allowances established
No State shall provide for a manufacturing allowance for the
processing of milk in excess of -
(1) $1.65 per hundredweight of milk for milk manufactured into
butter and nonfat dry milk; and
(2) $1.80 per hundredweight of milk for milk manufactured into
cheese.
(b) ''Manufacturing allowance'' defined
In this section, the term ''manufacturing allowance'' means -
(1) the amount by which the product price value of butter and
nonfat dry milk manufactured from a hundred pounds of milk
containing 3.5 pounds of butterfat and 8.7 pounds of milk solids
not fat resulting from a State's yield and product price formulas
exceeds the class price for the milk used to produce those
products; or
(2) the amount by which the product price value of cheese
manufactured from a hundred pounds of milk containing 3.5 pounds
of butterfat and 8.7 pounds of milk solids not fat resulting from
a State's yield and product price formulas exceeds the class
price for the milk used to produce cheese.
(c) Effect of violation
If the Secretary determines following a hearing that a State has
in effect a manufacturing allowance that exceeds the manufacturing
allowance authorized in subsection (a) of this section, the
Secretary shall suspend purchases of cheddar cheese, butter, and
nonfat dry milk produced in that State until such time as the State
complies with such subsection.
(d) Effective date; implementation
This section (other than subsection (e) (FOOTNOTE 1) of this
section) shall be effective during the period beginning on the
first day of the first month beginning after April 4, 1996, and
ending on December 31, 1999. During that period, the Secretary may
exercise the authority provided to the Secretary under this section
without regard to the issuance of regulations intended to carry out
this section.
(FOOTNOTE 1) See Codification note below.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 145, Apr. 4, 1996, 110 Stat. 917.)
-COD-
CODIFICATION
Section is comprised of section 145 of Pub. L. 104-127. Subsec.
(e) of section 145 of Pub. L. 104-127 repealed section 1446e-1 of
this title and enacted provisions set out as a note under section
1446e-1 of this title.
-CITE-
7 USC Sec. 7256 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER IV - OTHER COMMODITIES
Part A - Dairy
-HEAD-
Sec. 7256. Northeast Interstate Dairy Compact
-STATUTE-
Congress hereby consents to the Northeast Interstate Dairy
Compact entered into among the States of Connecticut, Maine,
Massachusetts, New Hampshire, Rhode Island and Vermont as specified
in section 1(b) Senate Joint Resolution 28 of the 104th Congress,
as placed on the calendar of the Senate, subject to the following
conditions:
(1) Finding of compelling public interest
Based upon a finding by the Secretary of a compelling public
interest in the Compact region, the Secretary may grant the
States that have ratified the Northeast Interstate Dairy Compact,
as of April 4, 1996, the authority to implement the Northeast
Interstate Dairy Compact.
(2) Limitation on manufacturing price
The Northeast Interstate Dairy Compact Commission shall not
regulate Class II, Class III, or Class III-A milk used for
manufacturing purposes or any other milk, other than Class I
(fluid) milk, as defined by a Federal milk marketing order issued
under section 608c of this title.
(3) Duration
Consent for the Northeast Interstate Dairy Compact shall
terminate on September 30, 2001.
(4) Additional States
Delaware, New Jersey, New York, Pennsylvania, Maryland, and
Virginia are the only additional States that may join the
Northeast Interstate Dairy Compact, individually or otherwise, if
upon entry the State is contiguous to a participating State and
if Congress consents to the entry of the State into the Compact
after April 4, 1996.
(5) Compensation of Commodity Credit Corporation
Before the end of each fiscal year that a Compact price
regulation is in effect, the Northeast Interstate Dairy Compact
Commission shall compensate the Commodity Credit Corporation for
the cost of any purchases of milk and milk products by the
Corporation that result from the projected rate of increase in
milk production for the fiscal year within the Compact region in
excess of the projected national average rate of the increase in
milk production, as determined by the Secretary.
(6) Milk marketing order Administrator
At the request of the Northeast Interstate Dairy Compact
Commission, the Administrator of the applicable Federal milk
marketing order issued under section 608c(5) (FOOTNOTE 1) of this
title shall provide technical assistance to the Compact
Commission and be compensated for that assistance.
(FOOTNOTE 1) See References in Text note below.
(7) Further conditions
The Northeast Interstate Dairy Compact Commission shall not
prohibit or in any way limit the marketing in the Compact region
of any milk or milk product produced in any other production area
in the United States. The Compact Commission shall respect and
abide by the ongoing procedures between Federal milk marketing
orders with respect to the sharing of proceeds from sales within
the Compact region of bulk milk, packaged milk, or producer milk
originating from outside of the Compact region. The Compact
Commission shall not use compensatory payments under section
10(6) of the Compact as a barrier to the entry of milk into the
Compact region or for any other purpose. Establishment of a
Compact over-order price, in itself, shall not be considered a
compensatory payment or a limitation or prohibition on the
marketing of milk.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 147, Apr. 4, 1996, 110 Stat. 919;
Pub. L. 106-113, div. B, Sec. 1000(a)(8) (Sec. 4), Nov. 29, 1999,
113 Stat. 1536, 1501A-520.)
-REFTEXT-
REFERENCES IN TEXT
Senate Joint Resolution 28 of the 104th Congress, referred to in
text, which would have granted consent of the Congress to the
Northeast Interstate Dairy Compact, was not enacted into law during
the 104th Congress.
Section 608c(5) of this title, referred to in par. (6), was in
the original ''section 8(c)5 of the Agricultural Adjustment Act (7
U.S.C. 608c), reenacted with amendments by the Agricultural
Marketing Agreement Act of 1937,'' which was translated as meaning
section 8c(5) of the Agricultural Adjustment Act, to reflect the
probable intent of Congress.
-MISC2-
AMENDMENTS
1999 - Par. (3). Pub. L. 106-113 substituted ''on September 30,
2001.'' for ''concurrent with the Secretary's implementation of the
dairy pricing and Federal milk marketing order consolidation and
reforms under section 7253 of this title.''
-CITE-
7 USC Sec. 7257 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER IV - OTHER COMMODITIES
Part A - Dairy
-HEAD-
Sec. 7257. Authority to assist in establishment and maintenance of
one or more export trading companies
-STATUTE-
The Secretary of Agriculture shall, consistent with the
obligations of the United States as a member of the World Trade
Organization, provide such advice and assistance to the United
States dairy industry as may be necessary to enable that industry
to establish and maintain one or more export trading companies
under the Export Trading Company Act of 1982 (15 U.S.C. 4001 et
seq.) for the purpose of facilitating the international market
development for and exportation of dairy products produced in the
United States.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 149, Apr. 4, 1996, 110 Stat. 921.)
-REFTEXT-
REFERENCES IN TEXT
The Export Trading Company Act of 1982, referred to in text, is
title I of Pub. L. 97-290, Oct. 8, 1982, 96 Stat. 1233, as amended,
which is classified generally to subchapter I (Sec. 4001 et seq.)
of chapter 66 of Title 15, Commerce and Trade. For complete
classification of this Act to the Code, see Short Title note set
out under section 4001 of Title 15 and Tables.
-CITE-
7 USC Sec. 7258 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER IV - OTHER COMMODITIES
Part A - Dairy
-HEAD-
Sec. 7258. Standby authority to indicate entity best suited to
provide international market development and export services
-STATUTE-
(a) Indication of entity best suited to assist international market
development for and export of United States dairy products
The Secretary of Agriculture shall indicate which entity or
entities autonomous of the Government of the United States, which
seeks such a designation, is best suited to facilitate the
international market development for and exportation of United
States dairy products, if the Secretary determines that -
(1) the United States dairy industry has not established an
export trading company under the Export Trading Company Act of
1982 (15 U.S.C. 4001 et seq.) for the purpose of facilitating the
international market development for an exportation of dairy
products produced in the United States on or before June 30,
1997; or
(2) the quantity of exports of United States dairy products
during the 12-month period preceding July 1, 1998 does not exceed
the quantity of exports of United States dairy products during
the 12-month period preceding July 1, 1997 by 1.5 billion pounds
(milk equivalent, total solids basis).
(b) Funding of export activities
The Secretary shall assist the entity or entities identified
under subsection (a) of this section in identifying sources of
funding for the activities specified in subsection (a) of this
section from within the dairy industry and elsewhere.
(c) Application of section
This section shall apply only during the period beginning on July
1, 1997 and ending on September 30, 2000.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 150, Apr. 4, 1996, 110 Stat. 921.)
-REFTEXT-
REFERENCES IN TEXT
The Export Trading Company Act of 1982, referred to in subsec.
(a)(1), is title I of Pub. L. 97-290, Oct. 8, 1982, 96 Stat. 1233,
as amended, which is classified generally to subchapter I (Sec.
4001 et seq.) of chapter 66 of Title 15, Commerce and Trade. For
complete classification of this Act to the Code, see Short Title
note set out under section 4001 of Title 15 and Tables.
-CITE-
7 USC Sec. 7259 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER IV - OTHER COMMODITIES
Part A - Dairy
-HEAD-
Sec. 7259. Study and report regarding potential impact of Uruguay
Round on prices, income, and government purchases
-STATUTE-
(a) Study
The Secretary of Agriculture shall conduct a study, on a variety
by variety of cheese basis, to determine the potential impact on
milk prices in the United States, dairy producer income, and
Federal dairy program costs, of the allocation of additional cheese
granted access to the United States as a result of the obligations
of the United States as a member of the World Trade Organization.
(b) Report
Not later than June 30, 1997, the Secretary shall report to the
Committee on Agriculture, Nutrition, and Forestry of the Senate and
the Committee on Agriculture of the House of Representatives the
results of the study conducted under this section.
(c) Rule of construction
Any limitation imposed by Act of Congress on the conduct or
completion of studies or reports to Congress shall not apply to the
study and report required under this section, unless the limitation
specifically refers to this section.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 151, Apr. 4, 1996, 110 Stat. 922.)
-CITE-
7 USC Part B - Sugar 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER IV - OTHER COMMODITIES
Part B - Sugar
.
-HEAD-
Part B - Sugar
-CITE-
7 USC Sec. 7271 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER IV - OTHER COMMODITIES
Part B - Sugar
-HEAD-
Sec. 7271. Repealed. Pub. L. 107-171, title I, Sec. 1310(a)(1), May
13, 2002, 116 Stat. 182
-MISC1-
Section, Pub. L. 104-127, title I, Sec. 155, Apr. 4, 1996, 110
Stat. 922, related to Secretary making nonrecourse loans available
to producers of quota peanuts.
-CITE-
7 USC Sec. 7272 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER IV - OTHER COMMODITIES
Part B - Sugar
-HEAD-
Sec. 7272. Sugar program
-STATUTE-
(a) Sugarcane
The Secretary shall make loans available to processors of
domestically grown sugarcane at a rate equal to 18 cents per pound
for raw cane sugar.
(b) Sugar beets
The Secretary shall make loans available to processors of
domestically grown sugar beets at a rate equal to 22.9 cents per
pound for refined beet sugar.
(c) Loan rate adjustments
(1) In general
The Secretary may reduce the loan rate specified in subsection
(a) of this section for domestically grown sugarcane and
subsection (b) of this section for domestically grown sugar beets
if the Secretary determines that negotiated reductions in export
subsidies and domestic subsidies provided for sugar of other
major sugar growing, producing, and exporting countries in the
aggregate exceed the commitments made as part of the Agreement on
Agriculture.
(2) Extent of reduction
The Secretary shall not reduce the loan rate under subsection
(a) or (b) of this section below a rate that provides an equal
measure of support to that provided by other major sugar growing,
producing, and exporting countries, based on an examination of
both domestic and export subsidies subject to reduction in the
Agreement on Agriculture.
(3) Announcement of reduction
The Secretary shall announce any loan rate reduction to be made
under this subsection as far in advance as is practicable.
(4) Definitions
In this subsection:
(A) Agreement on Agriculture
The term ''Agreement on Agriculture'' means the Agreement on
Agriculture referred to in section 3511(d)(2) of title 19, or
any amendatory or successor agreement.
(B) Major sugar countries
The term ''major sugar growing, producing, and exporting
countries'' means -
(i) the countries of the European Union; and
(ii) the 10 foreign countries not covered by subparagraph
(A) that the Secretary determines produce the greatest
quantity of sugar.
(d) Term of loans
(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 -
(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;
or
(B) the end of the fiscal year in which the loan is made.
(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 -
(A) be made at the loan rate in effect at the time the second
loan is made; and
(B) mature in 9 months less the quantity of time that the
first loan was in effect.
(e) Loan type; processor assurances
(1) Nonrecourse loans
The Secretary shall carry out this section through the use of
nonrecourse loans.
(2) Processor assurances
(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.
(B) Minimum payments
(i) In general
Subject to clause (ii), the Secretary may establish
appropriate minimum payments for purposes of this paragraph.
(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.
(iii) Effect of disaster
The Secretary may not bar a beet sugar processor from
eligibility to obtain a loan under this section because of
the failure of the processor to provide the appropriate
minimum payment established under this subsection if the
failure -
(I) occurred during a crop year prior to May 13, 2002;
and
(II) was related, at least in part, to the effects of a
natural disaster, including damage from freeze.
(3) Administration
The Secretary may not impose or enforce any prenotification
requirement, or similar administrative requirement not otherwise
in effect on May 13, 2002, 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.
(f) Loans for in-process sugar
(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) of this section.
(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.
(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.
(4) Further processing on forfeiture
(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) of this section.
(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.
(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 -
(i) the difference between -
(I) the loan rate for raw cane sugar or refined beet
sugar, as appropriate; and
(II) the loan rate the processor received under paragraph
(3); by
(ii) the quantity of sugar transferred to the Secretary.
(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) of this
section for the raw cane sugar or refined beet sugar, as
appropriate.
(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) of this section.
(g) Avoiding forfeitures; Corporation inventory disposition
(1) In general
Subject to subsection (e)(3) of this section, 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.
(2) Inventory disposition
(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.
(B) Additional authority
The authority provided under this paragraph is in addition to
any authority of the Commodity Credit Corporation under any
other law.
(h) Information reporting
(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.
(2) Duty of producers to report
(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.
(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.
(3) Duty of importers to report
(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.
(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.
(4) Penalty
Any person willfully failing or refusing to furnish the
information, or furnishing willfully any false information, shall
be subject to a civil penalty of not more than $10,000 for each
such violation.
(5) 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.
(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.
(j) Effective period
This section shall be effective only for the 1996 through 2007
crops of sugar beets and sugarcane.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 156, Apr. 4, 1996, 110 Stat. 931;
Pub. L. 106-387, Sec. 1(a) (title VIII, Sec. 836), Oct. 28, 2000,
114 Stat. 1549, 1549A-62; Pub. L. 107-171, title I, Sec. 1401(a),
May 13, 2002, 116 Stat. 183.)
-REFTEXT-
REFERENCES IN TEXT
The Harmonized Tariff Schedule of the United States, referred to
in subsec. (i), is not set out in the Code. See Publication of
Harmonized Tariff Schedule note set out under section 1202 of Title
19, Customs Duties.
-MISC2-
AMENDMENTS
2002 - Pub. L. 107-171 reenacted section catchline and amended
text generally, substituting substantially similar provisions in
subsecs. (a), (b), (d), (e), and (h), and substituting in subsec.
(c) provisions relating to loan rate adjustments for provisions
relating to reduction in loan rates, in subsec. (f) provisions
relating to loans for in-process sugar for provisions for marketing
assessment, in subsec. (g) provisions relating to avoiding
forfeitures and corporate inventory disposition for provisions
relating to forfeiture penalty, in subsec. (i) provisions relating
to substitution of refined sugar for provisions relating to crops,
and adding subsec. (j).
2000 - Subsec. (e)(1). Pub. L. 106-387, Sec. 1(a) (title VIII,
Sec. 836(1)(B)), substituted ''The'' for ''Subject to paragraph
(2), the''.
Pub. L. 106-387, Sec. 1(a) (title VIII, Sec. 836(1)(A)),
substituted ''nonrecourse'' for ''recourse''.
Subsec. (e)(2), (3). Pub. L. 106-387, Sec. 1(a) (title VIII, Sec.
836(2)-(4)), redesignated par. (3) as (2), substituted ''The
Secretary shall'' for ''If the Secretary is required under
paragraph (2) to make nonrecourse loans available during a fiscal
year or to change recourse loans into nonrecourse loans, the
Secretary shall'', and struck out heading and text of former par.
(2). Text read as follows: ''During any fiscal year in which the
tariff rate quota for imports of sugar into the United States is
established at, or is increased to, a level in excess of 1,500,000
short tons raw value, the Secretary shall carry out this section by
making available nonrecourse loans. Any recourse loan previously
made available by the Secretary under this section during the
fiscal year shall be changed by the Secretary into a nonrecourse
loan.''
EFFECTIVE DATE OF ASSESSMENT TERMINATION
Pub. L. 107-171, title I, Sec. 1401(b), May 13, 2002, 116 Stat.
187, provided that: ''Subsection (f) of section 156 of the Federal
Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7272(f)),
as in effect immediately before the enactment of the Farm Security
and Rural Investment Act of 2002 (Pub. L. 107-171), is deemed to
have been repealed effective as of October 1, 2001.''
REGULATIONS
Pub. L. 106-387, Sec. 1(a) (title VIII, Sec. 840), Oct. 28, 2000,
114 Stat. 1549, 1549A-63, provided that: ''As soon as practicable
after the date of enactment of this Act (Oct. 28, 2000), the
Secretary and the Commodity Credit Corporation, as appropriate,
shall issue such regulations as are necessary to implement sections
804, 805, 806, 809, 810, 811, 812, 814, 815, 816, 836, 837, 838,
839, 841, 843, 844, and 845 of this title (amending this section
and section 3720B of Title 31, Money and Finance, enacting
provisions set out as notes under section 3720B of Title 31, and
amending provisions set out as a note under section 1421 of this
title): Provided, That the issuance of the regulations shall be
made without regard to: (1) the notice and comment provisions of
section 553 of title 5, United States Code; (2) 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; and (3) chapter 35 of title 44,
United States Code (commonly known as the 'Paperwork Reduction
Act'): Provided further, That in carrying out this section, the
Secretary shall use the authority provided under section 808 of
title 5, United States Code.''
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 1359bb, 7283 of this
title.
-CITE-
7 USC SUBCHAPTER V - ADMINISTRATION 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER V - ADMINISTRATION
.
-HEAD-
SUBCHAPTER V - ADMINISTRATION
-CITE-
7 USC Sec. 7281 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER V - ADMINISTRATION
-HEAD-
Sec. 7281. Administration
-STATUTE-
(a) Use of Commodity Credit Corporation
The Secretary shall carry out this chapter through the Commodity
Credit Corporation.
(b) Omitted
(c) Determinations by Secretary
A determination made by the Secretary under this chapter shall be
final and conclusive.
(d) Regulations
Not later than 90 days after April 4, 1996, the Secretary and the
Commodity Credit Corporation, as appropriate, shall issue such
regulations as are necessary to implement this chapter. The
issuance of the regulations shall be made without regard to -
(1) the notice and comment provisions of section 553 of title
5;
(2) 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;
and
(3) chapter 35 of title 44, United States Code (commonly know
(FOOTNOTE 1) as the ''Paperwork Reduction Act'').
(FOOTNOTE 1) So in original. Probably should be ''known''.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 161, Apr. 4, 1996, 110 Stat. 934.)
-REFTEXT-
REFERENCES IN TEXT
For definition of ''this chapter'', referred to in text, see note
set out under section 7201 of this title.
-COD-
CODIFICATION
Section is comprised of section 161 of Pub. L. 104-127. Subsec.
(b) of section 161 of Pub. L. 104-127 amended sections 714b, 714i,
and 714k of Title 15, Commerce and Trade.
-CITE-
7 USC Sec. 7282 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER V - ADMINISTRATION
-HEAD-
Sec. 7282. Adjustments of loans
-STATUTE-
(a) Adjustment authority
The Secretary may make appropriate adjustments in the loan rates
for any commodity for differences in grade, type, quality,
location, and other factors.
(b) Manner of adjustment
The adjustments under the authority of this section shall, to the
maximum extent practicable, be made in such 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 as provided in this chapter and title I of the Farm
Security and Rural Investment Act of 2002 (7 U.S.C. 7901 et seq.).
(c) Adjustment on county basis
The Secretary may establish loan rates for a crop for producers
in individual counties in a manner that results in the lowest such
rate being 95 percent of the national average loan rate, except
that such action shall not result in an increase in outlays.
Adjustments under this subsection shall not result in an increase
in the national average loan rate for any year.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 162, Apr. 4, 1996, 110 Stat. 935;
Pub. L. 107-171, title I, Sec. 1606, May 13, 2002, 116 Stat. 218.)
-REFTEXT-
REFERENCES IN TEXT
For definition of ''this chapter'', referred to in subsec. (b),
see note set out under section 7201 of this title.
The Farm Security and Rural Investment Act of 2002, referred to
in subsec. (b), is Pub. L. 107-171, May 13, 2002, 116 Stat. 134.
Title I of the Act is classified principally to chapter 106 (Sec.
7901 et seq.) of this title. For complete classification of this
Act to the Code, see Short Title note under section 7901 of this
title and Tables.
-MISC2-
AMENDMENTS
2002 - Subsec. (b). Pub. L. 107-171 substituted ''this chapter
and title I of the Farm Security and Rural Investment Act of 2002''
for ''this chapter''.
-CITE-
7 USC Sec. 7283 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER V - ADMINISTRATION
-HEAD-
Sec. 7283. Commodity Credit Corporation interest rate
-STATUTE-
(a) In general
Notwithstanding any other provision of law, the monthly Commodity
Credit Corporation interest rate applicable to loans provided for
agricultural commodities by the Corporation shall be 100 basis
points greater than the rate determined under the applicable
interest rate formula in effect on October 1, 1995.
(b) Sugar
For purposes of this section, raw cane sugar, refined beet sugar,
and in-process sugar eligible for a loan under section 7272 of this
title shall not be considered an agricultural commodity.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 163, Apr. 4, 1996, 110 Stat. 935;
Pub. L. 107-171, title I, Sec. 1401(c), May 13, 2002, 116 Stat.
187.)
-MISC1-
AMENDMENTS
2002 - Pub. L. 107-171 designated existing provisions as subsec.
(a), inserted heading, and added subsec. (b).
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 7934, 7939, 7957 of this
title.
-CITE-
7 USC Sec. 7284 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER V - ADMINISTRATION
-HEAD-
Sec. 7284. Personal liability of producers for deficiencies
-STATUTE-
(a) In general
Except as provided in subsection (b) of this section, no producer
shall be personally liable for any deficiency arising from the sale
of the collateral securing any nonrecourse loan made under this
chapter and title I of the Farm Security and Rural Investment Act
of 2002 (7 U.S.C. 7901 et seq.) unless the loan was obtained
through a fraudulent representation by the producer.
(b) Limitations
Subsection (a) of this section shall not prevent the Commodity
Credit Corporation or the Secretary from requiring a producer to
assume liability for -
(1) a deficiency in the grade, quality, or quantity of a
commodity stored on a farm or delivered by the producer;
(2) a failure to properly care for and preserve a commodity; or
(3) a failure or refusal to deliver a commodity in accordance
with a program established under this chapter and title I of the
Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7901 et
seq.).
(c) Acquisition of collateral
In the case of a nonrecourse loan made under this chapter and
title I of the Farm Security and Rural Investment Act of 2002 (7
U.S.C. 7901 et seq.) or the Commodity Credit Corporation Charter
Act (15 U.S.C. 714 et seq.), if the Commodity Credit Corporation
acquires title to the unredeemed collateral, the Corporation shall
be under no obligation to pay for any market value that the
collateral may have in excess of the loan indebtedness.
(d) Sugarcane and sugar beets
A security interest obtained by the Commodity Credit Corporation
as a result of the execution of a security agreement by the
processor of sugarcane or sugar beets shall be superior to all
statutory and common law liens on raw cane sugar and refined beet
sugar in favor of the producers of sugarcane and sugar beets and
all prior recorded and unrecorded liens on the crops of sugarcane
and sugar beets from which the sugar was derived.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 164, Apr. 4, 1996, 110 Stat. 935;
Pub. L. 107-171, title I, Sec. 1607, May 13, 2002, 116 Stat. 218.)
-REFTEXT-
REFERENCES IN TEXT
For definition of ''this chapter'', referred to in text, see note
set out under section 7201 of this title.
The Farm Security and Rural Investment Act of 2002, referred to
in subsecs. (a), (b)(3), and (c), is Pub. L. 107-171, May 13, 2002,
116 Stat. 134. Title I of the Act is classified principally to
chapter 106 (Sec. 7901 et seq.) of this title. For complete
classification of this Act to the Code, see Short Title note under
section 7901 of this title and Tables.
The Commodity Credit Corporation Charter Act, referred to in
subsec. (c), is act June 29, 1948, ch. 704, 62 Stat. 1070, as
amended, which is classified generally to subchapter II (Sec. 714
et seq.) of chapter 15 of Title 15, Commerce and Trade. For
complete classification of this Act to the Code, see Short Title
note set out under section 714 of title 15 and Tables.
-MISC2-
AMENDMENTS
2002 - Subsecs. (a), (b)(3), (c). Pub. L. 107-171 substituted
''this chapter and title I of the Farm Security and Rural
Investment Act of 2002'' for ''this chapter''.
-CITE-
7 USC Sec. 7285 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER V - ADMINISTRATION
-HEAD-
Sec. 7285. Commodity Credit Corporation sales price restrictions
-STATUTE-
(a) General sales authority
The Commodity Credit Corporation may sell any commodity owned or
controlled by the Corporation at any price that the Secretary
determines will maximize returns to the Corporation.
(b) Nonapplication of sales price restrictions
Subsection (a) of this section shall not apply to -
(1) a sale for a new or byproduct use;
(2) a sale of peanuts or oilseeds for the extraction of oil;
(3) a sale for seed or feed if the sale will not substantially
impair any loan program;
(4) a sale of a commodity that has substantially deteriorated
in quality or as to which there is a danger of loss or waste
through deterioration or spoilage;
(5) a sale for the purpose of establishing a claim arising out
of a contract or against a person who has committed fraud,
misrepresentation, or other wrongful act with respect to the
commodity;
(6) a sale for export, as determined by the Corporation; and
(7) a sale for other than a primary use.
(c) Presidential disaster areas
(1) In general
Notwithstanding subsection (a) of this section, on such terms
and conditions as the Secretary may consider in the public
interest, the Corporation may make available any commodity or
product owned or controlled by the Corporation for use in
relieving distress -
(A) in any area in the United States (including the Virgin
Islands) declared by the President to be an acute distress area
because of unemployment or other economic cause, if the
President finds that the use will not displace or interfere
with normal marketing of agricultural commodities; and
(B) in connection with any major disaster determined by the
President to warrant assistance by the Federal Government under
the Robert T. Stafford Disaster Relief and Emergency Assistance
Act (42 U.S.C. 5121 et seq.).
(2) Costs
Except on a reimbursable basis, the Corporation shall not bear
any costs in connection with making a commodity available under
paragraph (1) beyond the cost of the commodity to the Corporation
incurred in -
(A) the storage of the commodity; and
(B) the handling and transportation costs in making delivery
of the commodity to designated agencies at 1 or more central
locations in each State or other area.
(d) Efficient operations
Subsection (a) of this section shall not apply to the sale of a
commodity the disposition of which is desirable in the interest of
the effective and efficient conduct of the operations of the
Corporation because of the small quantity of the commodity
involved, or because of the age, location, or questionable
continued storability of the commodity.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 165, Apr. 4, 1996, 110 Stat. 936.)
-REFTEXT-
REFERENCES IN TEXT
The Robert T. Stafford Disaster Relief and Emergency Assistance
Act, referred to in subsec. (c)(1)(B), is Pub. L. 93-288, May 22,
1974, 88 Stat. 143, as amended, which is classified principally to
chapter 68 (Sec. 5121 et seq.) of Title 42, The Public Health and
Welfare. For complete classification of this Act to the Code, see
Short Title note set out under section 5121 of Title 42 and Tables.
-CITE-
7 USC Sec. 7286 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER V - ADMINISTRATION
-HEAD-
Sec. 7286. Commodity certificates
-STATUTE-
(a) In general
In making in-kind payments under subchapter III of this chapter
and subtitle (FOOTNOTE 1) B and C of title I of the Farm Security
and Rural Investment Act of 2002 (7 U.S.C. 7931 et seq., 7951 et
seq.), the Commodity Credit Corporation may -
(FOOTNOTE 1) So in original. Probably should be ''subtitles''.
(1) acquire and use commodities that have been pledged to the
Commodity Credit Corporation as collateral for loans made by the
Corporation;
(2) use other commodities owned by the Commodity Credit
Corporation; and
(3) redeem negotiable marketing certificates for cash under
terms and conditions established by the Secretary.
(b) Methods of payment
The Commodity Credit Corporation may make in-kind payments -
(1) by delivery of the commodity at a warehouse or other
similar facility;
(2) by the transfer of negotiable warehouse receipts;
(3) by the issuance of negotiable certificates, which the
Commodity Credit Corporation shall exchange for a commodity owned
or controlled by the Corporation in accordance with regulations
promulgated by the Corporation; or
(4) by such other methods as the Commodity Credit Corporation
determines appropriate to promote the efficient, equitable, and
expeditious receipt of the in-kind payments so that a person
receiving the payments receives the same total return as if the
payments had been made in cash.
(c) Administration
(1) Form
At the option of a producer, the Commodity Credit Corporation
shall make negotiable certificates authorized under subsection
(b)(3) of this section available to the producer, in the form of
program payments or by sale, in a manner that the Corporation
determines will encourage the orderly marketing of commodities
pledged as collateral for loans made to producers under
subchapter III of this chapter and subtitle (FOOTNOTE 1) B and C
of title I of the Farm Security and Rural Investment Act of 2002
(7 U.S.C. 7931 et seq., 7951 et seq.).
(2) Transfer
A negotiable certificate issued in accordance with this
subsection may be transferred to another person in accordance
with regulations promulgated by the Secretary.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 166, as added Pub. L. 106-78, title
VIII, Sec. 812, Oct. 22, 1999, 113 Stat. 1181; amended Pub. L.
107-171, title I, Sec. 1608, May 13, 2002, 116 Stat. 218.)
-REFTEXT-
REFERENCES IN TEXT
The Farm Security and Rural Investment Act of 2002, referred to
in subsecs. (a) and (c)(1), is Pub. L. 107-171, May 13, 2002, 116
Stat. 134. Subtitle B of title I of the Act is classified generally
to subchapter II (Sec. 7931 et seq.) of chapter 106 of this title.
Subtitle C of title I of the Act is classified principally to
subchapter III (Sec. 7951 et seq.) of chapter 106 of this title.
For complete classification of this Act to the Code, see Short
Title note set out under section 7901 of this title and Tables.
-MISC2-
AMENDMENTS
2002 - Subsecs. (a), (c)(1). Pub. L. 107-171 substituted
''subchapter III of this chapter and subtitle B and C of title I of
the Farm Security and Rural Investment Act of 2002'' for
''subchapter III of this chapter''.
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 7931, 7957 of this title.
-CITE-
7 USC SUBCHAPTER VI - PERMANENT PRICE SUPPORT AUTHORITY 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER VI - PERMANENT PRICE SUPPORT AUTHORITY
.
-HEAD-
SUBCHAPTER VI - PERMANENT PRICE SUPPORT AUTHORITY
-CITE-
7 USC Sec. 7301 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER VI - PERMANENT PRICE SUPPORT AUTHORITY
-HEAD-
Sec. 7301. Suspension and repeal of permanent price support
authority
-STATUTE-
(a) Agricultural Adjustment Act of 1938
(1) Suspensions
The following provisions of the Agricultural Adjustment Act of
1938 (7 U.S.C. 1281 et seq.) shall not be applicable to the 1996
through 2001 crops of loan commodities, peanuts, and sugar and
shall not be applicable to milk during the period beginning on
April 4, 1996, and ending on December 31, 2002:
(A) Parts II through V of subtitle B of title III (7 U.S.C.
1326-1351) (7 U.S.C. 1321 et seq., 1331 et seq., 1341 et seq.,
1351).
(B) Subsections (a) through (j) of section 358 (7 U.S.C.
1358). (FOOTNOTE 1)
(FOOTNOTE 1) See References in Text note below.
(C) Subsections (a) through (h) of section 358a (7 U.S.C.
1358a). (FOOTNOTE 1)
(D) Subsections (a), (b), (d), and (e) of section 358d (7
U.S.C. 1359). (FOOTNOTE 1)
(E) Part VII of subtitle B of title III (7 U.S.C.
1359aa-1359jj).
(F) In the case of peanuts, part I of subtitle C of title III
(7 U.S.C. 1361-1368).
(G) In the case of upland cotton, section 377 (7 U.S.C.
1377).
(H) Subtitle D of title III (7 U.S.C. 1379a-1379j).
(I) Title IV (7 U.S.C. 1401-1407).
(2) Omitted
(b) Agricultural Act of 1949
(1) Suspensions
The following provisions of the Agricultural Act of 1949 (7
U.S.C. 1421 et seq.) shall not be applicable to the 1996 through
2002 crops of loan commodities, peanuts, and sugar and shall not
be applicable to milk during the period beginning on April 4,
1996, and ending on December 31, 2002:
(A) Section 101 (7 U.S.C. 1441).
(B) Section 103(a) (7 U.S.C. 1444(a)).
(C) Section 105 (7 U.S.C. 1444b).
(D) Section 107 (7 U.S.C. 1445a).
(E) Section 110 (7 U.S.C. 1445e).
(F) Section 112 (7 U.S.C. 1445g).
(G) Section 115 (7 U.S.C. 1445k).
(H) Section 201 (7 U.S.C. 1446).
(I) Title III (7 U.S.C. 1447-1449).
(J) Title IV (7 U.S.C. 1421-1433d), other than sections 404,
412, and 416 (7 U.S.C. 1424, 1429, and 1431).
(K) Title V (7 U.S.C. 1461-1469).
(L) Title VI (7 U.S.C. 1471-1471j).
(2) Repeals
The following provisions of the Agricultural Act of 1949 (7
U.S.C. 1421 et seq.) are repealed:
(A) Section 101B (7 U.S.C. 1441-2).
(B) Section 103B (7 U.S.C. 1444-2).
(C) Section 105B (7 U.S.C. 1444f).
(D) Section 107B (7 U.S.C. 1445b-3a).
(E) Section 108B (7 U.S.C. 1445c-3).
(F) Section 113 (7 U.S.C. 1445h).
(G) Subsections (b) and (c) of section 114 (7 U.S.C. 1445j).
(H) Sections 205, 206, and 207 (7 U.S.C. 1446f, 1446g, and
1446h).
(I) Sections 406 and 427 (7 U.S.C. 1426 and 1433f).
(3) Omitted
(c) Suspension of certain quota provisions
Section 1340 of this title shall not be applicable to the crops
of wheat planted for harvest in the calendar years 1996 through
2002.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 171, Apr. 4, 1996, 110 Stat. 937;
Pub. L. 107-171, title I, Sec. 1602(d), May 13, 2002, 116 Stat.
213.)
-REFTEXT-
REFERENCES IN TEXT
The Agricultural Adjustment Act of 1938, referred to in subsec.
(a)(1), is act Feb. 16, 1938, ch. 30, 52 Stat. 31, as amended,
which is classified principally to chapter 35 (Sec. 1281 et seq.)
of this title. Parts II through V and VII of subtitle B of title
III of the Act are classified generally to subparts II (Sec. 1321
et seq.), III (Sec. 1331 et seq.), IV (Sec. 1341 et seq.), V (Sec.
1351, which was omitted from the Code), and VII (Sec. 1359aa et
seq.), respectively, of part B of subchapter II of chapter 35 of
this title. Part I of subtitle C of title III of the Act is
classified generally to subpart I (Sec. 1361 et seq.) of part C of
subchapter II of chapter 35 of this title. Subtitle D of title III
of the Act is classified generally to part D (Sec. 1379a et seq.)
of subchapter II of chapter 35 of this title. Title IV of the Act
was classified generally to subchapter III (Sec. 1401 et seq.) of
chapter 35 of this title, and was omitted from the Code. For
complete classification of this Act to the Code, see section 1281
of this title and Tables.
Sections 1358, 1358a, and 1359 of this title, referred to in
subsec. (a)(1)(B)-(D), were repealed by Pub. L. 107-171, title I,
Sec. 1309(a)(1), May 13, 2002, 116 Stat. 179.
The Agricultural Act of 1949, referred to in subsec. (b)(1), (2),
is act Oct. 31, 1949, ch. 792, 63 Stat. 1051, as amended, which is
classified principally to chapter 35A (Sec. 1421 et seq.) of this
title. Title III of the Act is classified generally to sections
1447 to 1449 of this title. Title IV of the Act is classified
principally to subchapter I (Sec. 1421 et seq.) of chapter 35A of
this title. Title V of the Act, which was classified generally to
subchapter IV (Sec. 1461 et seq.) of chapter 35A of this title, was
omitted from the Code. Title VI of the Act is classified generally
to subchapter V (Sec. 1471 et seq.) of chapter 35A of this title.
For complete classification of this Act to the Code, see Short
Title note set out under section 1421 of this title and Tables.
-COD-
CODIFICATION
Section is comprised of section 171 of Pub. L. 104-127. Subsec.
(a)(2) of section 171 of Pub. L. 104-127 amended section 1373 of
this title and enacted provisions set out as a note under section
1373 of this title. Subsec. (b)(3) of section 171 of Pub. L.
104-127 amended section 1441 of this title.
-MISC3-
AMENDMENTS
2002 - Subsec. (a)(1). Pub. L. 107-171 substituted ''1996 through
2001'' for ''1996 through 2002''.
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 7202, 7901 of this title;
title 2 section 907.
-CITE-
7 USC Sec. 7302 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER VI - PERMANENT PRICE SUPPORT AUTHORITY
-HEAD-
Sec. 7302. Effect of chapter
-STATUTE-
(a) Effect on prior crops
Except as otherwise specifically provided in this chapter and
notwithstanding any other provision of law, this chapter and the
amendments made by this chapter shall not affect the authority of
the Secretary to carry out a price support or production adjustment
program for any of the 1991 through 1995 crops of an agricultural
commodity established under a provision of law in effect
immediately before April 4, 1996.
(b) Liability
A provision of this chapter or an amendment made by this chapter
shall not affect the liability of any person under any provision of
law as in effect before April 4, 1996.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 172, Apr. 4, 1996, 110 Stat. 938.)
-REFTEXT-
REFERENCES IN TEXT
For definition of ''this chapter'', referred to in text, see note
set out under section 7201 of this title.
-CITE-
7 USC SUBCHAPTER VII - COMMISSION ON 21 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER VII - COMMISSION ON 21
.
-HEAD-
SUBCHAPTER VII - COMMISSION ON 21 st CENTURY PRODUCTION
AGRICULTURE
-CITE-
7 USC Sec. 7311 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER VII - COMMISSION ON 21
-HEAD-
Sec. 7311. Establishment
-STATUTE-
There is established a commission to be known as the ''Commission
on 21st Century Production Agriculture'' (in this subchapter
referred to as the ''Commission'').
-SOURCE-
(Pub. L. 104-127, title I, Sec. 181, Apr. 4, 1996, 110 Stat. 938.)
-CITE-
7 USC Sec. 7312 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER VII - COMMISSION ON 21
-HEAD-
Sec. 7312. Composition
-STATUTE-
(a) Membership and appointment
The Commission shall be composed of 11 members, appointed as
follows:
(1) Three members shall be appointed by the President.
(2) Four members shall be appointed by the Chairman of the
Committee on Agriculture of the House of Representatives in
consultation with the ranking minority member of the Committee.
(3) Four members shall be appointed by the Chairman of the
Committee on Agriculture, Nutrition, and Forestry of the Senate
in consultation with the ranking minority member of the
Committee.
(b) Qualifications
At least 1 of the members appointed under each of paragraphs (1),
(2), and (3) of subsection (a) of this section shall be an
individual who is primarily involved in production agriculture.
All other members of the Commission shall be appointed from among
individuals having knowledge and experience in agricultural
production, marketing, finance, or trade.
(c) Term of members; vacancies
A member of the Commission shall be appointed for the life of the
Commission. A vacancy on the Commission shall not affect its
powers, but shall be filled in the same manner as the original
appointment was made.
(d) Time for appointment; first meeting
The members of the Commission shall be appointed not later than
October 1, 1997. The Commission shall convene its first meeting to
carry out its duties under this subchapter 30 days after 6 members
of the Commission have been appointed.
(e) Chairperson
The chairperson of the Commission shall be designated jointly by
the Chairman of the Committee on Agriculture of the House of
Representatives and the Chairman of the Committee on Agriculture,
Nutrition, and Forestry of the Senate from among the members of the
Commission.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 182, Apr. 4, 1996, 110 Stat. 938.)
-CITE-
7 USC Sec. 7313 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER VII - COMMISSION ON 21
-HEAD-
Sec. 7313. Comprehensive review of past and future of production
agriculture
-STATUTE-
(a) Initial review
The Commission shall conduct a comprehensive review of changes in
the condition of production agriculture in the United States since
April 4, 1996, and the extent to which the changes are the result
of this chapter and the amendments made by this chapter. The
review shall include the following:
(1) An assessment of the initial success of production
flexibility contracts in supporting the economic viability of
farming in the United States.
(2) An assessment of economic risks to farms delineated by size
of farm operation (such as small, medium, or large farms) and
region of production.
(3) An assessment of the food security situation in the United
States in the areas of trade, consumer prices, international
competitiveness of United States production agriculture, food
supplies, and humanitarian relief.
(4) An assessment of the changes in farmland values and
agricultural producer incomes since April 4, 1996.
(5) An assessment of the extent to which regulatory relief for
agricultural producers has been enacted and implemented,
including the application of cost/benefit principles in the
issuance of agricultural regulations.
(6) An assessment of the extent to which tax relief for
agricultural producers has been enacted in the form of capital
gains tax reductions, estate tax exemptions, and mechanisms to
average tax loads over high- and low-income years.
(7) An assessment of the effect of any Federal Government
interference in agricultural export markets, such as the
imposition of trade embargoes, and the degree of implementation
and success of international trade agreements and United States
export programs.
(8) An assessment of the likely effect of the sale, lease, or
transfer of farm poundage quota for peanuts across State lines.
(b) Subsequent review
The Commission shall conduct a comprehensive review of the future
of production agriculture in the United States and the appropriate
role of the Federal Government in support of production
agriculture. The review shall include the following:
(1) An assessment of changes in the condition of production
agriculture in the United States since the initial review
conducted under subsection (a) of this section.
(2) Identification of the appropriate future relationship of
the Federal Government with production agriculture after 2002.
(3) An assessment of the personnel and infrastructure
requirements of the Department of Agriculture necessary to
support the future relationship of the Federal Government with
production agriculture.
(4) An assessment of economic risks to farms delineated by size
of farm operation (such as small, medium, or large farms) and
region of production.
(c) Recommendations
In carrying out the subsequent review under subsection (b) of
this section, the Commission shall develop specific recommendations
for legislation to achieve the appropriate future relationship of
the Federal Government with production agriculture identified under
subsection (a)(2) of this section.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 183, Apr. 4, 1996, 110 Stat. 939.)
-REFTEXT-
REFERENCES IN TEXT
For definition of ''this chapter'', referred to in subsec. (a),
see note set out under section 7201 of this title.
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in section 7314 of this title.
-CITE-
7 USC Sec. 7314 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER VII - COMMISSION ON 21
-HEAD-
Sec. 7314. Reports
-STATUTE-
(a) Report on initial review
Not later than June 1, 1998, the Commission shall submit to the
President, the Committee on Agriculture of the House of
Representatives, and the Committee on Agriculture, Nutrition, and
Forestry of the Senate a report containing the results of the
initial review conducted under section 7313(a) of this title.
(b) Report on subsequent review
Not later than January 1, 2001, the Commission shall submit to
the President and the congressional committees specified in
subsection (a) of this section a report containing the results of
the subsequent review conducted under section 7313(b) of this
title.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 184, Apr. 4, 1996, 110 Stat. 940.)
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in section 7318 of this title.
-CITE-
7 USC Sec. 7315 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER VII - COMMISSION ON 21
-HEAD-
Sec. 7315. Powers
-STATUTE-
(a) Hearings
The Commission may, for the purpose of carrying out this
subchapter, conduct such hearings, sit and act at such times, take
such testimony, and receive such evidence, as the Commission
considers appropriate.
(b) Assistance from other agencies
The Commission may secure directly from any department or agency
of the Federal Government such information as may be necessary for
the Commission to carry out its duties under this subchapter. On
the request of the chairperson of the Commission, the head of the
department or agency shall, to the extent permitted by law, furnish
such information to the Commission.
(c) Mail
The Commission may use the United States mails in the same manner
and under the same conditions as the departments and agencies of
the Federal Government.
(d) Assistance from Secretary
The Secretary shall provide to the Commission appropriate office
space and such reasonable administrative and support services as
the Commission may request.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 185, Apr. 4, 1996, 110 Stat. 940.)
-CITE-
7 USC Sec. 7316 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER VII - COMMISSION ON 21
-HEAD-
Sec. 7316. Commission procedures
-STATUTE-
(a) Meetings
The Commission shall meet on a regular basis (as determined by
the chairperson) and at the call of the chairperson or a majority
of its members.
(b) Quorum
A majority of the members of the Commission shall constitute a
quorum for the transaction of business.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 186, Apr. 4, 1996, 110 Stat. 941.)
-CITE-
7 USC Sec. 7317 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER VII - COMMISSION ON 21
-HEAD-
Sec. 7317. Personnel matters
-STATUTE-
(a) Compensation
Each member of the Commission shall serve without compensation,
but shall be allowed travel expenses including per diem in lieu of
subsistence, as authorized by section 5703 of title 5, when engaged
in the performance of Commission duties.
(b) Staff
(1) Appointment
The Commission shall appoint a staff director, who shall be
paid at a rate not to exceed the maximum rate of basic pay under
section 5376 of title 5, and such professional and clerical
personnel as may be reasonable and necessary to enable the
Commission to carry out its duties under this subchapter without
regard to the provisions of title 5 governing appointments in the
competitive service, and without regard to the provisions of
chapter 51 and subchapter III of chapter 53 of such title, or any
other provision of law, relating to the number, classification,
and General Schedule rates.
(2) Limitation on compensation
No employee appointed under this subsection (other than the
staff director) may be compensated at a rate to exceed the
maximum rate applicable to level GS-15 of the General Schedule.
(c) Detailed personnel
On the request of the chairperson of the Commission, the head of
any department or agency of the Federal Government is authorized to
detail, without reimbursement, any personnel of the department or
agency to the Commission to assist the Commission in carrying out
its duties under this section. The detail of any individual may
not result in the interruption or loss of civil service status or
other privilege of the individual.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 187, Apr. 4, 1996, 110 Stat. 941.)
-REFTEXT-
REFERENCES IN TEXT
The provisions of title 5 governing appointments in the
competitive service, referred to in subsec. (b)(1), are classified
generally to section 3301 et seq. of Title 5, Government
Organization and Employees.
The General Schedule, referred to in subsec. (b), is set out
under section 5332 of Title 5.
-CITE-
7 USC Sec. 7318 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER VII - COMMISSION ON 21
-HEAD-
Sec. 7318. Termination of Commission
-STATUTE-
The Commission shall terminate on submission of the final report
required by section 7314 of this title.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 188, Apr. 4, 1996, 110 Stat. 941.)
-CITE-
7 USC SUBCHAPTER VIII - MISCELLANEOUS COMMODITY
PROVISIONS 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER VIII - MISCELLANEOUS COMMODITY PROVISIONS
.
-HEAD-
SUBCHAPTER VIII - MISCELLANEOUS COMMODITY PROVISIONS
-CITE-
7 USC Sec. 7331 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER VIII - MISCELLANEOUS COMMODITY PROVISIONS
-HEAD-
Sec. 7331. Options pilot program
-STATUTE-
(a) Pilot programs authorized
Until December 31, 2002, the Secretary of Agriculture may conduct
a pilot program for 1 or more agricultural commodities supported
under this chapter to ascertain whether futures and options
contracts can provide producers with reasonable protection from the
financial risks of fluctuations in price, yield, and income
inherent in the production and marketing of the commodities. The
pilot program shall be an alternative to other related programs of
the Department of Agriculture.
(b) Distribution of pilot program
For each agricultural commodity included in the pilot program,
the Secretary may operate the pilot program in not more than 300
counties, except that not more than 25 of the counties may be
located in any 1 State. The pilot program for a commodity shall not
be operated in any county for more than 3 of the 1996 through 2002
calendar years.
(c) Eligible participants
In operating the pilot program, the Secretary may enter into
contract with a producer who -
(1) is eligible for a production flexibility contract, a
marketing assistance loan, or other assistance under this
chapter;
(2) volunteers to participate in the pilot program during any
calendar year in which a county in which the farm of the producer
is located is included in the pilot program;
(3) operates a farm located in a county selected for the pilot
program; and
(4) meets such other eligibility requirements as the Secretary
may establish.
(d) Notice to producers
The Secretary shall provide notice to each producer participating
in the pilot program that -
(1) the participation of the producer is voluntary; and
(2) neither the United States, the Commodity Credit
Corporation, the Federal Crop Insurance Corporation, the
Department of Agriculture, nor any other Federal agency is
authorized to guarantee that participants in the pilot program
will be better or worse off financially as a result of
participation in the pilot program than the producer would have
been if the producer had not participated in the pilot program.
(e) Contracts
The Secretary shall set forth in each contract under the pilot
program the terms and conditions for participation in the pilot
program and the notice required by subsection (d) of this section.
(f) Eligible markets
Trades for futures and options contracts under the pilot program
shall be carried out on commodity futures and options markets
designated as contract markets under the Commodity Exchange Act (7
U.S.C. 1 et seq.).
(g) Recordkeeping
A producer participating in the pilot program shall compile,
maintain, and submit (or authorize the compilation, maintenance,
and submission) of such documentation as the regulations governing
the pilot program require.
(h) Use of Commodity Credit Corporation
The Secretary shall fund and operate the pilot program through
the Commodity Credit Corporation, except that the amount of
Commodity Credit Corporation funds used to carry out this section
shall not exceed, to the maximum extent practicable, $9,000,000 for
fiscal year 2001, $15,000,000 for fiscal year 2002, and $2,000,000
for fiscal year 2003. To the maximum extent practicable, the
Secretary shall operate the pilot program in a budget neutral
manner.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 191, Apr. 4, 1996, 110 Stat. 941;
Pub. L. 106-224, title I, Sec. 134, June 20, 2000, 114 Stat. 388.)
-REFTEXT-
REFERENCES IN TEXT
For definition of ''this chapter'', referred to in subsecs. (a)
and (c)(1), see note set out under section 7201 of this title.
The Commodity Exchange Act, referred to in subsec. (f), is act
Sept. 21, 1922, ch. 369, 42 Stat. 998, as amended, which is
classified generally to chapter 1 (Sec. 1 et seq.) of this title.
For complete classification of this Act to the Code, see section 1
of this title and Tables.
-COD-
CODIFICATION
Section is comprised of section 191 of Pub. L. 104-127. Subsec.
(i) of section 191 of Pub. L. 104-127 repealed provisions set out
as a note under section 1421 of this title.
-MISC3-
AMENDMENTS
2000 - Subsec. (b). Pub. L. 106-224, Sec. 134(1), substituted
''300 counties, except that not more than 25'' for ''100 counties,
except that not more than 6'' in first sentence.
Subsec. (c)(2). Pub. L. 106-224, Sec. 134(2), inserted before
semicolon at end ''during any calendar year in which a county in
which the farm of the producer is located is included in the pilot
program''.
Subsec. (h). Pub. L. 106-224, Sec. 134(3), inserted before period
at end of first sentence '', except that the amount of Commodity
Credit Corporation funds used to carry out this section shall not
exceed, to the maximum extent practicable, $9,000,000 for fiscal
year 2001, $15,000,000 for fiscal year 2002, and $2,000,000 for
fiscal year 2003''.
EFFECTIVE DATE OF 2000 AMENDMENT
Amendment by Pub. L. 106-224 effective Oct. 1, 2000, see section
171(b)(1)(A) of Pub. L. 106-224, set out as a note under section
1501 of this title.
-CITE-
7 USC Sec. 7332 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER VIII - MISCELLANEOUS COMMODITY PROVISIONS
-HEAD-
Sec. 7332. Risk management education
-STATUTE-
In consultation with the Commodity Futures Trading Commission,
the Secretary shall provide such education in management of the
financial risks inherent in the production and marketing of
agricultural commodities as the Secretary considers appropriate.
As part of such educational activities, the Secretary may develop
and implement programs to facilitate the participation of
agricultural producers in commodity futures trading programs,
forward contracting options, and insurance protection programs by
assisting and training producers in the usage of such programs. In
implementing this authority, the Secretary may use existing
research and extension authorities and resources of the Department
of Agriculture.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 192, Apr. 4, 1996, 110 Stat. 942.)
-CITE-
7 USC Sec. 7333 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER VIII - MISCELLANEOUS COMMODITY PROVISIONS
-HEAD-
Sec. 7333. Administration and operation of noninsured crop
assistance program
-STATUTE-
(a) Operation and administration of program
(1) In general
In the case of an eligible crop described in paragraph (2), the
Secretary of Agriculture shall operate a noninsured crop disaster
assistance program to provide coverage equivalent to the
catastrophic risk protection otherwise available under section
1508(b) of this title. The Secretary shall carry out this
section through the Consolidated Farm Service Agency (in this
section referred to as the ''Agency'').
(2) Eligible crops
(A) In general
In this section, the term ''eligible crop'' means each
commercial crop or other agricultural commodity (except
livestock) -
(i) for which catastrophic risk protection under section
1508(b) of this title is not available; and
(ii) that is produced for food or fiber.
(B) Crops specifically included
The term ''eligible crop'' shall include floricultural,
ornamental nursery, and Christmas tree crops, turfgrass sod,
seed crops, aquaculture (including ornamental fish), sea grass
and sea oats, and industrial crops.
(C) Combination of similar types or varieties
At the option of the Secretary, all types or varieties of a
crop or commodity, described in subparagraphs (A) and (B), may
be considered to be a single eligible crop under this section.
(3) Cause of loss
To qualify for assistance under this section, the losses of the
noninsured commodity shall be due to drought, flood, or other
natural disaster, as determined by the Secretary.
(b) Application for noninsured crop disaster assistance
(1) Timely application
To be eligible for assistance under this section, a producer
shall submit an application for noninsured crop disaster
assistance at a local office of the Department. The application
shall be in such form, contain such information, and be submitted
not later than 30 days before the beginning of the coverage
period, as determined by the Secretary.
(2) Records
To be eligible for assistance under this section, a producer
shall provide annually to the Secretary records of crop acreage,
acreage yields, and production for each crop, as required by the
Secretary.
(3) Acreage reports
A producer shall provide annual reports on acreage planted or
prevented from being planted, as required by the Secretary, by
the designated acreage reporting date for the crop and location
as established by the Secretary.
(c) Loss requirements
(1) Cause
To be eligible for assistance under this section, a producer of
an eligible crop shall have suffered a loss of a noninsured
commodity as the result of a cause described in subsection (a)(3)
of this section.
(2) Assistance
On making a determination described in subsection (a)(3) of
this section, the Secretary shall provide assistance under this
section to producers of an eligible crop that have suffered a
loss as a result of the cause described in subsection (a)(3) of
this section.
(3) Prevented planting
Subject to paragraph (1), the Secretary shall make a prevented
planting noninsured crop disaster assistance payment if the
producer is prevented from planting more than 35 percent of the
acreage intended for the eligible crop because of drought, flood,
or other natural disaster, as determined by the Secretary.
(4) Area trigger
The Secretary shall provide assistance to individual producers
without any requirement of an area loss.
(d) Payment
The Secretary shall make available to a producer eligible for
noninsured assistance under this section a payment computed by
multiplying -
(1) the quantity that is less than 50 percent of the
established yield for the crop; by
(2)(A) in the case of each of the 1996 through 1998 crop years,
60 percent of the average market price for the crop (or any
comparable coverage determined by the Secretary); or
(B) in the case of each of the 1999 and subsequent crop years,
55 percent of the average market price for the crop (or any
comparable coverage determined by the Secretary); by
(3) a payment rate for the type of crop (as determined by the
Secretary) that -
(A) in the case of a crop that is produced with a significant
and variable harvesting expense, reflects the decreasing cost
incurred in the production cycle for the crop that is -
(i) harvested;
(ii) planted but not harvested; and
(iii) prevented from being planted because of drought,
flood, or other natural disaster (as determined by the
Secretary); and
(B) in the case of a crop that is not produced with a
significant and variable harvesting expense, as determined by
the Secretary.
(e) Yield determinations
(1) Establishment
The Secretary shall establish farm yields for purposes of
providing noninsured crop disaster assistance under this section.
(2) Actual production history
The Secretary shall determine yield coverage using the actual
production history of the producer over a period of not less than
the 4 previous consecutive crop years and not more than 10
consecutive crop years. Subject to paragraph (3), the yield for
the year in which noninsured crop disaster assistance is sought
shall be equal to the average of the actual production history of
the producer during the period considered.
(3) Assignment of yield
If a producer does not submit adequate documentation of
production history to determine a crop yield under paragraph (2),
the Secretary shall assign to the producer a yield equal to not
less than 65 percent of the transitional yield of the producer
(adjusted to reflect actual production reflected in the records
acceptable to the Secretary for continuous years), as specified
in regulations issued by the Secretary based on production
history requirements.
(4) Prohibition on assigned yields in certain counties
(A) In general
(i) Documentation
If sufficient data are available to demonstrate that the
acreage of a crop in a county for the crop year has increased
by more than 100 percent over any year in the preceding 7
crop years or, if data are not available, if the acreage of
the crop in the county has increased significantly from the
previous crop years, a producer must provide such detailed
documentation of production costs, acres planted, and yield
for the crop year for which benefits are being claimed as is
required by the Secretary. If the Secretary determines that
the documentation provided is not sufficient, the Secretary
may require documenting proof that the crop, had the crop
been harvested, could have been marketed at a reasonable
price.
(ii) Prohibition
Except as provided in subparagraph (B), a producer who
produces a crop on a farm located in a county described in
clause (i) may not obtain an assigned yield.
(B) Exception
A crop or a producer shall not be subject to this subsection
if -
(i) the planted acreage of the producer for the crop has
been inspected by a third party acceptable to the Secretary;
or
(ii)(I) the County Executive Director and the State
Executive Director recommend an exemption from the
requirement to the Administrator of the Agency; and
(II) the Administrator approves the recommendation.
(5) Limitation on receipt of subsequent assigned yield
A producer who receives an assigned yield for the current year
of a natural disaster because required production records were
not submitted to the local office of the Department shall not be
eligible for an assigned yield for the year of the next natural
disaster unless the required production records of the previous 1
or more years (as applicable) are provided to the local office.
(6) Yield variations due to different farming practices
The Secretary shall ensure that noninsured crop disaster
assistance accurately reflects significant yield variations due
to different farming practices, such as between irrigated and
nonirrigated acreage.
(f) Contract payments
A producer who has received a guaranteed payment for production,
as opposed to delivery, of a crop pursuant to a contract shall have
the production of the producer adjusted upward by the amount of the
production equal to the amount of the contract payment received.
(g) Use of Commodity Credit Corporation
The Secretary may use the funds of the Commodity Credit
Corporation to carry out this section.
(h) Exclusions
Noninsured crop disaster assistance under this section shall not
cover losses due to -
(1) the neglect or malfeasance of the producer;
(2) the failure of the producer to reseed to the same crop in
those areas and under such circumstances where it is customary to
reseed; or
(3) the failure of the producer to follow good farming
practices, as determined by the Secretary.
(i) Payment and income limitations
(1) Definitions
In this subsection:
(A) Person
The term ''person'' has the meaning provided the term in
regulations issued by the Secretary. The regulations shall
conform, to the extent practicable, to the regulations defining
the term ''person'' issued under section 1308 of this title.
(B) Qualifying gross revenues
The term ''qualifying gross revenues'' means -
(i) if a majority of the gross revenue of the person is
received from farming, ranching, and forestry operations, the
gross revenue from the farming, ranching, and forestry
operations of the person; and
(ii) if less than a majority of the gross revenue of the
person is received from farming, ranching, and forestry
operations, the gross revenue of the person from all sources.
(2) Payment limitation
The total amount of payments that a person shall be entitled to
receive annually under this section may not exceed $100,000.
(3) Limitation on multiple benefits for same loss
(A) In general
Except as provided in subparagraph (B), if a producer who is
eligible to receive benefits under this section is also
eligible to receive assistance for the same loss under any
other program administered by the Secretary, the producer shall
be required to elect whether to receive benefits under this
section or under the other program, but not both.
(B) Exception
Subparagraph (A) shall not apply to emergency loans under
subtitle C of the Consolidated Farm and Rural Development Act
(7 U.S.C. 1961 et seq.).
(4) Income limitation
A person who has qualifying gross revenues in excess of the
amount specified in section 2266(a) of the Food, Agriculture,
Conservation, and Trade Act of 1990 (7 U.S.C. 1421 note) (as in
effect on November 28, 1990) during the taxable year (as
determined by the Secretary) shall not be eligible to receive any
noninsured assistance payment under this section.
(5) Regulations
The Secretary shall issue regulations prescribing such rules as
the Secretary determines necessary to ensure a fair and equitable
application of section 1308 of this title, the general payment
limitation regulations of the Secretary, and the limitations
established under this subsection.
(j) Omitted
(k) Service fee
(1) In general
To be eligible to receive assistance for an eligible crop for a
crop year under this section, a producer shall pay to the
Secretary (at the time at which the producer submits the
application under subsection (b)(1) of this section) a service
fee for the eligible crop in an amount that is equal to the
lesser of -
(A) $100 per crop per county; or
(B) $300 per producer per county, but not to exceed a total
of $900 per producer.
(2) Waiver
The Secretary shall waive the service fee required under
paragraph (1) in the case of a limited resource farmer, as
defined by the Secretary.
(3) Use
The Secretary shall deposit service fees collected under this
subsection in the Commodity Credit Corporation Fund.
-SOURCE-
(Pub. L. 104-127, title I, Sec. 196, Apr. 4, 1996, 110 Stat. 947;
Pub. L. 105-277, div. A, Sec. 101(a) (title VIII, Sec. 803(b)),
Oct. 21, 1998, 112 Stat. 2681, 2681-38; Pub. L. 106-224, title I,
Sec. 109, June 20, 2000, 114 Stat. 371; Pub. L. 107-171, title X,
Sec. 10101, May 13, 2002, 116 Stat. 488.)
-REFTEXT-
REFERENCES IN TEXT
The Consolidated Farm and Rural Development Act, referred to in
subsec. (i)(3)(B), is title III of Pub. L. 87-128, Aug. 8, 1961, 75
Stat. 307, as amended. Subtitle C of the Act is classified
generally to subchapter III (Sec. 1961 et seq.) of chapter 50 of
this title. For complete classification of this Act to the Code,
see Short Title note set out under section 1921 of this title and
Tables.
Section 2266(a) of the Food, Agriculture, Conservation, and Trade
Act of 1990, referred to in subsec. (i)(4), is section 2266(a) of
Pub. L. 101-624, which was set out in a note under section 1421 of
this title, prior to repeal by Pub. L. 103-354, title I, Sec.
119(c), Oct. 13, 1994, 108 Stat. 3208.
-COD-
CODIFICATION
Section is comprised of section 196 of Pub. L. 104-127. Subsec.
(j) of section 196 of Pub. L. 104-127 repealed section 1519 of this
title.
-MISC3-
AMENDMENTS
2002 - Subsec. (a)(2)(B). Pub. L. 107-171 inserted ''sea grass
and sea oats,'' after ''fish),''.
2000 - Subsec. (a)(2)(C). Pub. L. 106-224, Sec. 109(a), added
subpar. (C).
Subsec. (b)(1). Pub. L. 106-224, Sec. 109(b), substituted ''not
later than 30 days before the beginning of the coverage period, as
determined by the Secretary'' for ''at such time as the Secretary
may require'' in second sentence.
Subsec. (b)(2). Pub. L. 106-224, Sec. 109(c)(1), added par. (2)
and struck out heading and text of former par. (2). Text read as
follows: ''A producer shall provide records, as required by the
Secretary, of crop acreage, acreage yields, and production.''
Subsec. (b)(3). Pub. L. 106-224, Sec. 109(c)(2), inserted
''annual'' after ''shall provide''.
Subsec. (c). Pub. L. 106-224, Sec. 109(d), added subsec. (c) and
struck out heading and text of former subsec. (c), which authorized
noninsured crop disaster assistance if average yield fell below 65
percent of expected yield, if producer was prevented from planting
more than 35 percent of intended acreage, or if total quantity of
harvest was less than 50 percent of expected yield.
Subsec. (k). Pub. L. 106-224, Sec. 109(e), added subsec. (k).
1998-Subsec. (i)(3). Pub. L. 105-277 designated existing
provisions as subpar. (A), inserted heading, substituted ''Except
as provided in subparagraph (B), if a producer'' for ''If a
producer'', and added subpar. (B).
EFFECTIVE DATE OF 2000 AMENDMENT
Amendment by Pub. L. 106-224 applicable beginning with the 2001
crop of an agricultural commodity, see section 171(b)(2)(G) of Pub.
L. 106-224, set out as a note under section 1501 of this title.
SAVINGS CLAUSE
Section as in effect on day before June 20, 2000, to continue to
apply with respect to 1999 crop year, and to apply with respect to
2000 crop year, to extent application of an amendment by Pub. L.
106-224 is delayed under section 171(b) or by terms of the
amendment, see section 173 of Pub. L. 106-224, set out as a note
under section 1501 of this title.
-SECREF-
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 1506, 1508a, 1515, 1522,
7936 of this title.
-CITE-
7 USC Sec. 7334 01/06/03
-EXPCITE-
TITLE 7 - AGRICULTURE
CHAPTER 100 - AGRICULTURAL MARKET TRANSITION
SUBCHAPTER VIII - MISCELLANEOUS COMMODITY PROVISIONS
-HEAD-
Sec. 7334. Flood risk reduction
-STATUTE-
(a) In general
During fiscal years 1996 through 2002, the Secretary of
Agriculture (referred to in this section as the ''Secretary'') may
enter into a contract with a producer on a farm who has contract
acreage under the Agricultural Market Transition Act (7 U.S.C. 7201
et seq.) that is frequently flooded.
(b) Duties of producers
Under the terms of the contract, with respect to acres that are
subject to the contract, the producer must agree to -
(1) the termination of any contract acreage and production
flexibility contract under the Agricultural Market Transition Act
(7 U.S.C. 7201 et seq.);
(2) forgo loans for contract commodities, oilseeds, and extra
long staple cotton;
(3) not apply for crop insurance issued or reinsured by the
Secretary;
(4) comply with applicable highly erodible land and wetlands
conservation compliance requirements established under title XII
of the Food Security Act of 1985 (16 U.S.C. 3801 et seq.);
(5) not apply for any conservation program payments from the
Secretary;
(6) not apply for disaster program benefits provided by the
Secretary; and
(7) refund the payments, with interest, issued under the flood
risk reduction contract to the Secretary, if the producer
violates the terms of the contract or if the producer transfers
the property to another person who violates the contract.
(c) Duties of Secretary
In return for a contract entered into by a producer under this
section, the Secretary shall pay the producer an amount that is not
more than 95 percent of projected contract payments under the
Agricultural Market Transition Act (7 U.S.C. 7201 et seq.) that the
Secretary estimates the producer would otherwise have received
during the period beginning at the time the contract is entered
into under this section and ending September 30, 2002.
(d) Commodity Credit Corporation
The Secretary shall carry out the program authorized by this
section (other than subsection (e) of this section) through the
Commodity Credit Corporation.
(e) Additional payments
(1) In general
Subject to the availability of advanced appropriations, the
Secretary may make payments to a producer described in subsection
(a) of this section, in addition to the payments provided under
subsection (c) of this section, to offset other estimated Federal
Government outlays on frequently flooded land.
(2) Authorization of appropriations
There are authorized to be appropriated such sums as are
necessary to carry out paragraph (1).
(f) Limitation on payments
Amounts made available for production flexibility contracts under
section 7213 of this title shall be reduced by an amount that is
equal to the contract payments that producers forgo under
subsection (b)(1) of this section.
-SOURCE-
(Pub. L. 104-127, title III, Sec. 385, Apr. 4, 1996, 110 Stat.
1016.)
-REFTEXT-
REFERENCES IN TEXT
The Agricultural Market Transition Act, referred to in subsecs.
(a), (b)(1), and (c), is title I of Pub. L. 104-127, Apr. 4, 1996,
110 Stat. 896, which is classified principally to this chapter.
For complete classification of this Act to the Code, see References
in Text note set out under section 7201 of this title and Tables.
The Food Security Act of 1985, referred to in subsec. (b)(4), is
Pub. L. 99-198, Dec. 23, 1985, 99 Stat. 1354, as amended. Title
XII of the Act, popularly known as the ''Sodbuster Law'', is
classified principally to chapter 58 (Sec. 3801 et seq.) of Title
16, Conservation. For complete classification of this Act to the
Code, see Short Title of 1985 Amendment note set out under section
1281 of this title and Tables.
-COD-
CODIFICATION
Section was enacted as part of title III of the Federal
Agriculture Improvement and Reform Act of 1996, and not as part of
title I of the Act, known as the Agricultural Market Transition
Act, which comprises this chapter.
-CITE-
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Enviado por: | El remitente no desea revelar su nombre |
Idioma: | inglés |
País: | Estados Unidos |