2000
[DOCID: f:s1246pcs.txt]
Calendar No. 102
107th CONGRESS
1st Session
S. 1246
To respond to the continuing economic crisis adversely affecting
American agricultural producers.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
July 25, 2001
Mr. Harkin, from the Committee on Agriculture, Nutrition, and Forestry,
reported the following original bill; which was read twice and placed
on the calendar
_______________________________________________________________________
A BILL
To respond to the continuing economic crisis adversely affecting
American agricultural producers.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) Short Title.--This Act may be cited as the ``Emergency
Agricultural Assistance Act of 2001''.
(b) Table of Contents.--The table of contents of this Act is as
follows:
Sec. 1. Short title; table of contents.
TITLE I--MARKET LOSS ASSISTANCE
Sec. 101. Market loss assistance.
Sec. 102. Oilseeds.
Sec. 103. Peanuts.
Sec. 104. Sugar.
Sec. 105. Honey.
Sec. 106. Wool and mohair.
Sec. 107. Cottonseed.
Sec. 108. Commodity purchases.
Sec. 109. Loan deficiency payments.
Sec. 110. Milk.
Sec. 111. Pulse crops.
Sec. 112. Tobacco.
Sec. 113. Apples.
TITLE II--CONSERVATION
Sec. 201. Conservation reserve program.
Sec. 202. Wetlands reserve program.
Sec. 203. Environmental quality incentives program.
Sec. 204. Wildlife Habitat Incentive Program.
Sec. 205. Farmland protection program.
Sec. 206. Risk management conservation assistance.
TITLE III--NUTRITION
Sec. 301. Bonus commodities.
Sec. 302. Information and assistance concerning reimbursement options.
Sec. 303. Distribution of commodities.
Sec. 304. Seniors Farmers' Market Nutrition Pilot Program.
TITLE IV--CREDIT AND RURAL DEVELOPMENT
Subtitle A--Credit
Sec. 401. Farm energy emergency loans.
Sec. 402. Definition of rural area for community programs guaranteed
loans.
Subtitle B--Rural Development
Sec. 411. Value-added intermediary relending program.
Sec. 412. Business and industry loans.
Sec. 413. Value-added agricultural product market development grants.
Sec. 414. Regulations; notice of acceptance of applications.
Sec. 415. Funding.
TITLE V--RESEARCH
Sec. 501. Sustainable agriculture technology development and transfer
program.
Sec. 502. Senior Scientific Research Service.
TITLE VI--DISASTER ASSISTANCE
Sec. 601. Crop and pasture flood compensation program.
Sec. 602. Purchase of floodplain easements.
Sec. 603. Compensation of producers for forage losses due to army
worms.
TITLE VII--MISCELLANEOUS
Sec. 701. National organic certification cost-share program.
Sec. 702. Use of value-added commodities.
TITLE VII--ADMINISTRATION
Sec. 801. Obligation period.
Sec. 802. Commodity Credit Corporation.
Sec. 803. Regulations.
TITLE I--MARKET LOSS ASSISTANCE
SEC. 101. MARKET LOSS ASSISTANCE.
(a) In General.--The Secretary of Agriculture (referred to in this
Act as the ``Secretary'') shall use funds of the Commodity Credit
Corporation to provide assistance in the form of a market loss
assistance payment to owners and producers on a farm that are eligible
for a final payment for fiscal year 2001 under a production flexibility
contract for the farm under the Agricultural Market Transition Act (7
U.S.C. 7201 et seq.).
(b) Amount and Manner.--In providing payments under this section,
the Secretary shall--
(1) use the same contract payment rates as are used under
section 802(b) of the Agriculture, Rural Development, Food and
Drug Administration, and Related Agencies Appropriations Act,
2000 (7 U.S.C. 1421 note; Public Law 106-78); and
(2) provide the payments in a manner that is consistent
with section 802(c) of that Act.
SEC. 102. OILSEEDS.
(a) In General.--The Secretary shall use $500,000,000 of funds of
the Commodity Credit Corporation to make payments to producers of the
2001 crop of oilseeds that are eligible to obtain a marketing
assistance loan under section 131 of the Agricultural Market Transition
Act (7 U.S.C. 7231).
(b) Computation.--A payment to producers on a farm under this
section for an oilseed shall be equal to the product obtained by
multiplying--
(1) a payment rate determined by the Secretary;
(2) the acreage of the producers on the farm for the
oilseed, as determined under subsection (c); and
(3) the yield of the producers on the farm for the oilseed,
as determined under subsection (d).
(c) Acreage.--
(1) In general.--Except as provided in paragraph (2), the
acreage of the producers on the farm for an oilseed under
subsection (b)(2) shall be equal to the number of acres planted
to the oilseed by the producers on the farm during the 1998,
1999, or 2000 crop year, whichever is greatest, as reported by
the producers on the farm to the Secretary (including any
acreage reports that are filed late).
(2) New producers.--In the case of producers on a farm that
planted acreage to an oilseed during the 2001 crop year but not
the 1998, 1999, or 2000 crop year, the acreage of the producers
for the oilseed under subsection (b)(2) shall be equal to the
number of acres planted to the oilseed by the producers on the
farm during the 2001 crop year, as reported by the producers on
the farm to the Secretary (including any acreage reports that
are filed late).
(d) Yield.--
(1) Soybeans.--Except as provided in paragraph (3), in the
case of soybeans, the yield of the producers on a farm under
subsection (b)(3) shall be equal to the greater of--
(A) the average county yield per harvested acre for
each of the 1996 through 2000 crop years, excluding the
crop year with the greatest yield per harvested acre
and the crop year with the lowest yield per harvested
acre; or
(B) the actual yield of the producers on the farm
for the 1998, 1999, or 2000 crop year.
(2) Other oilseeds.--Except as provided in paragraph (3),
in the case of oilseeds other than soybeans, the yield of the
producers on a farm under subsection (b)(3) shall be equal to
the greater of--
(A) the average national yield per harvested acre
for each of the 1996 through 2000 crop years, excluding
the crop year with the greatest yield per harvested
acre and the crop year with the lowest yield per
harvested acre; or
(B) the actual yield of the producers on the farm
for the 1998, 1999, or 2000 crop year.
(3) New producers.--In the case of producers on a farm that
planted acreage to an oilseed during the 2001 crop year but not
the 1998, 1999, or 2000 crop year, the yield of the producers
on a farm under subsection (b)(3) shall be equal to the greater
of--
(A) the average county yield per harvested acre for
each of the 1996 through 2000 crop years, excluding the
crop year with the greatest yield per harvested acre
and the crop year with the lowest yield per
2000
harvested
acre; or
(B) the actual yield of the producers on the farm
for the 2001 crop.
(4) Data source.--To the maximum extent available, the
Secretary shall use data provided by the National Agricultural
Statistics Service to carry out this subsection.
SEC. 103. PEANUTS.
The Secretary shall use $55,210,000 of funds of the Commodity
Credit Corporation to provide a supplemental payment under section
204(a) of the Agricultural Risk Protection Act of 2000 (7 U.S.C. 1421
note; Public Law 106-224) to producers of quota peanuts or additional
peanuts for the 2000 crop year that received a payment under that
section.
SEC. 104. SUGAR.
(a) Marketing Assessment.--Section 156(f) of the Agricultural
Market Transition Act (7 U.S.C. 7272(f)) shall not apply with respect
to the 2001 crop of sugarcane and sugar beets.
(b) Emergency Financial Assistance for 2000 Crop of Sugar Beets.--
Notwithstanding section 815(d)(1) of the Agriculture, Rural
Development, Food and Drug Administration, and Related Agencies
Appropriations Act, 2001 (114 Stat. 1549, 1549A-56), in making payments
under that section for quality losses for the 2000 crop of sugar beets
of producers on a farm in an area covered by Manager's Bulletin MGR-01-
010 issued by the Federal Crop Insurance Corporation on March 2, 2001--
(1) the Secretary shall calculate the amount of a quality
loss, regardless of whether the sugar beets are processed, on
an aggregate basis by cooperative;
(2) the Secretary shall make the quality loss payments to a
cooperative for distribution to cooperative members; and
(3) the amount of a quality loss, regardless of whether the
sugar beets are processed, shall be equal to the difference
between--
(A) the per unit payment that the producers on the
farm would have received for the crop from the
cooperative if the crop had not suffered a quality
loss; and
(B) the average per unit payment that the producers
on the farm received from the cooperative for the
affected sugar beets.
SEC. 105. HONEY.
(a) In General.--The Secretary shall use funds of the Commodity
Credit Corporation to make nonrecourse loans available to producers of
the 2001 crop of honey on fair and reasonable terms and conditions, as
determined by the Secretary.
(b) Loan Rate.--The loan rate for a loan under subsection (a) for
honey shall be equal to 85 percent of the simple average price received
by producers of honey, as determined by the Secretary, during the
marketing years for the immediately preceding 5 crops of honey,
excluding the year in which the average price was the highest and the
year in which the average price was the lowest.
SEC. 106. WOOL AND MOHAIR.
(a) In General.--The Secretary shall use $16,940,000 of funds of
the Commodity Credit Corporation to provide a supplemental payment
under section 814 of the Agriculture, Rural Development, Food and Drug
Administration, and Related Agencies Appropriations Act, 2001 (114
Stat. 1549, 1549A-55), to producers of wool, and producers of mohair,
for the 2000 marketing year that received a payment under that section.
(b) Payment Rate.--The Secretary shall adjust the payment rate
specified in that section to reflect the amount made available for
payments under this section.
SEC. 107. COTTONSEED.
(a) Fiscal Year 2001.--The Secretary shall use $34,000,000 of funds
of the Commodity Credit Corporation for fiscal year 2001 to provide
assistance to producers and first handlers of the 2000 crop of
cottonseed.
(b) Fiscal Year 2002.--The Secretary shall use $66,000,000 of funds
of the Commodity Credit Corporation for fiscal year 2002 to provide
assistance to producers and first handlers of the 2001 crop of
cottonseed.
SEC. 108. COMMODITY PURCHASES.
(a) In General.--The Secretary shall use $220,000,000 of funds of
the Commodity Credit Corporation to purchase agricultural commodities,
especially agricultural commodities that have experienced low prices
during the 2000 or 2001 crop years, such as apples, apricots,
asparagus, bell peppers, bison meat, black beans, black-eyed peas,
blueberries (wild and cultivated), cabbage, cantaloupe, cauliflower,
chickpeas, cranberries, cucumbers, dried plums, dry peas, eggplants,
lemons, lentils, melons, onions, peaches (including freestone), pears,
potatoes (summer and fall), pumpkins, raisins, raspberries, red tart
cherries, snap beans, spinach, strawberries, sweet corn, tomatoes, and
watermelons.
(b) Geographic Diversity.--The Secretary is encouraged to purchase
agricultural commodities under this section in a manner that reflects
the geographic diversity of agricultural production in the United
States, particularly agricultural production in the Northeast and Mid-
Atlantic States.
(c) Other Purchases.--The Secretary shall ensure that purchases of
agricultural commodities under this section are in addition to
purchases by the Secretary under any other law.
(d) Transportation and Distribution Costs.--The Secretary may use
not more than $20,000,000 of the funds made available under subsection
(a) to provide assistance to States to cover costs incurred by the
States in transporting and distributing agricultural commodities
purchased under this section.
(e) Purchases for School Nutrition Programs.--The Secretary shall
use not less than $55,000,000 of the funds made available under
subsection (a) to purchase agricultural commodities of the type
distributed under section 6(a) of the Richard B. Russell National
School Lunch Act (42 U.S.C. 1755(a)) for distribution to schools and
service institutions in accordance with section 6(a) of that Act.
SEC. 109. LOAN DEFICIENCY PAYMENTS.
Section 135(a)(2) of the Agricultural Market Transition Act (7
U.S.C. 7235(a)(2)) is amended by striking ``2000 crop year'' and
inserting ``each of the 2000 and 2001 crop years''.
SEC. 110. MILK.
(a) Extension of Milk Price Support Program.--Section 141 of the
Agricultural Market Transition Act (7 U.S.C. 7251) is amended by
striking ``2001'' each place it appears in subsections (b)(4) and (h)
and inserting ``2002''.
(b) Repeal of Recourse Loan Program for Processors.--Section 142 of
the Agricultural Market Transition Act (7 U.S.C. 7252) is repealed.
SEC. 111. PULSE CROPS.
(a) In General.--The Secretary shall use $20,000,000 of funds of
the Commodity Credit Corporation to provide assistance in the form of a
market loss assistance payment to owners and producers on a farm that
grow dry peas, lentils, or chickpeas (collectively referred to in this
section as a ``pulse crop'').
(b) Computation.--A payment to owners and producers on a farm under
this section for a pulse crop shall be equal to the product obtained by
multiplying--
(1) a payment rate determined by the Secretary; by
(2) the acreage of the producers on the farm for the pulse
crop determined under subsection (c).
(c) Acreage.--
(1) In general.--The acreage of the producers on the farm
for a pulse crop under subsection (b)(2) shall be equal to the
number of acres planted to the pulse crop by the owners and
producers on the farm during the 1998, 1999, or 2000 crop year,
whichever is greatest.
(2) Basis.--For the purpose of paragraph (1), the number of
acres planted to a pulse crop by the owners and producers on
the farm for a crop year shall be based on (as determined by
the Secretary)--
(A) the number of acres planted to the pulse crop
for the crop year, as reported to the Secretary by the
owners and producers on the farm, including any acreage
that is included in reports that are filed late; or
(B) the number of acres planted to the pulse crop
2000
for the crop year for the purpose of the Federal crop
insurance program established under the Federal Crop
Insurance Act (7 U.S.C. 1501 et seq.).
SEC. 112. TOBACCO.
(a) Tobacco Payments.--
(1) Definitions.--In this subsection:
(A) Eligible person.--The term ``eligible person''
means a person that--
(i) owns a farm for which, regardless of
temporary transfers or undermarketings, a basic
quota or allotment for eligible tobacco is
established for the 2001 crop year under part I
of subtitle B of title III of the Agricultural
Adjustment Act of 1938 (7 U.S.C. 1311 et seq.);
(ii) controls the farm from which, under
the quota or allotment for the relevant period,
eligible tobacco is marketed, could have been
marketed, or can be marketed, taking into
account temporary transfers; or
(iii) grows, could have grown, or can grow
eligible tobacco that is marketed, could have
been marketed, or can be marketed under the
quota or allotment for the 2001 crop year,
taking into account temporary transfers.
(B) Eligible tobacco.--The term ``eligible
tobacco'' means each of the following kinds of tobacco:
(i) Flue-cured tobacco, comprising types
11, 12, 13, and 14.
(ii) Fire-cured tobacco, comprising types
21, 22, and 23.
(iii) Dark air-cured tobacco, comprising
types 35 and 36.
(iv) Virginia sun-cured tobacco, comprising
type 37.
(v) Burley tobacco, comprising type 31.
(vi) Cigar-filler and cigar-binder tobacco,
comprising types 42, 43, 44, 54, and 55.
(2) Payments.--Not later than September 30, 2002, the
Secretary shall use funds of the Commodity Credit Corporation
to make payments under this subsection.
(3) Poundage payment quantities.--For the purposes of this
subsection, individual tobacco quotas and allotments shall be
converted to poundage payment quantities as follows:
(A) Flue-cured and burley tobacco.--In the case of
Flue-cured tobacco (types 11, 12, 13, and 14) and
Burley tobacco (type 31), the poundage payment quantity
shall equal the number of pounds of the basic poundage
quota of the kind of tobacco, irrespective of temporary
transfers or undermarketings, under part I of subtitle
B of title III of the Agricultural Adjustment Act of
1938 (7 U.S.C. 1311 et seq.) for the 2001 crop year.
(B) Other kinds of eligible tobacco.--In the case
of each other kind of eligible tobacco, individual
allotments shall be converted to poundage payment
quantities by multiplying--
(i) the number of acres that may,
irrespective of temporary transfers or
undermarketings, be devoted, without penalty,
to the production of the kind of tobacco under
the allotment under part I of subtitle B of
title III of the Agricultural Adjustment Act of
1938 (7 U.S.C. 1311 et seq.) for the 2001 crop
year; by
(ii)(I) in the case of fire-cured tobacco
(type 21), 1,630 pounds per acre;
(II) in the case of fire-cured tobacco
(types 22 and 23), 2,601 pounds per acre;
(III) in the case of dark air-cured tobacco
(types 35 and 36), 2,337 pounds per acre;
(IV) in the case of Virginia sun-cured
tobacco (type 37), 1,512 pounds per acre; and
(V) in the case of cigar-filler and cigar-
binder tobacco (types 42, 43, 44, 54, and 55),
2,165 pounds per acre.
(4) Available payment amounts.--The available payment
amount for pounds of a payment quantity under paragraph (2)
shall be equal to--
(A) in the case of fire-cured tobacco (types 21,
22, and 23) and dark air-cured tobacco (types 35 and
36), 16.12 cents per pound; and
(B) in the case of each other kind of eligible
tobacco not covered by subparagraph (A), 8.06 cents per
pound.
(5) Division of payments among eligible persons.--
(A) In general.--Payments available with respect to
a pound of payment quantity, as determined under
paragraph (4), shall be made available to eligible
persons in accordance with this paragraph.
(B) Flue-cured and cigar tobacco.--In the case of
payments made available in a State under paragraph (2)
for Flue-cured tobacco (types 11, 12, 13, and 14) and
cigar-filler and cigar-binder tobacco (types 42, 43,
44, 54, and 55), the Secretary shall distribute (as
determined by the Secretary)--
(i) 50 percent of the payments to eligible
persons that are owners described in paragraph
(1)(A)(i); and
(ii) 50 percent of the payments to eligible
persons that are growers described in paragraph
(1)(A)(iii).
(C) Other kinds of eligible tobacco.--In the case
of payments made available in a State under paragraph
(2) for each other kind of eligible tobacco not covered
by subparagraph (A), the Secretary shall distribute (as
determined by the Secretary)--
(i) 33\1/3\ percent of the payments to
eligible persons that are owners described in
paragraph (1)(A)(i);
(ii) 33\1/3\ percent of the payments to
eligible persons that are controllers described
in paragraph (1)(A)(ii); and
(iii) 33\1/3\ percent of the payments to
eligible persons that are growers described in
paragraph (1)(A)(iii).
(6) Standards.--In carrying out this subsection, the
Secretary shall use, to the maximum extent practicable, the
same standards for payments that were used for making payments
under section 204(b) of the Agricultural Risk Protection Act of
2000 (7 U.S.C. 1421 note; Public Law 106-224).
(7) Judicial review.--A determination by the Secretary
under this subsection shall not be subject to judicial review.
(b) Grading of Price-Support Tobacco.--
(1) In general.--Not later than November 30, 2001, the
Secretary shall conduct a referendum among producers of each
kind of tobacco that is eligible for price support under the
Agricultural Act of 1949 (7 U.S.C. 1421 et seq.) to determine
whether the producers favor the mandatory grading of the
tobacco by the Secretary.
(2) Mandatory gradin
2000
g.--If the Secretary determines that
mandatory grading of each kind of tobacco described in
paragraph (1) is favored by a majority of the producers voting
in the referendum, effective for the 2002 and subsequent
marketing years, the Secretary shall ensure that all kinds of
the tobacco are graded at the time of sale.
(3) Judicial review.--A determination by the Secretary
under this subsection shall not be subject to judicial review.
SEC. 113. APPLES.
(a) In General.--The Secretary shall use $150,000,000 of funds of
the Commodity Credit Corporation to make payments to apple producers to
provide relief for the loss of markets during the 2000 crop year.
(b) Payment Quantity.--
(1) In general.--Subject to paragraph (2), the payment
quantity of apples for which the producers on a farm are
eligible for payments under this section shall be equal to the
quantity of the 2000 crop of apples produced by the producers
on the farm.
(2) Maximum quantity.--The payment quantity of apples for
which the producers on a farm are eligible for payments under
this section shall not exceed 5,000,000 pounds of apples
produced on the farm.
(c) Limitations.--Subject to subsection (b)(2), the Secretary shall
not establish a payment limitation, or gross income eligibility
limitation, with respect to payments made under this section.
(d) Applicability.--This section applies only with respect to the
2000 crop of apples and producers of that crop.
TITLE II--CONSERVATION
SEC. 201. CONSERVATION RESERVE PROGRAM.
(a) Technical Assistance.--Notwithstanding section 11 of the
Commodity Credit Corporation Charter Act (15 U.S.C. 714i), in addition
to amounts made available under section 801 of the Agriculture, Rural
Development, Food and Drug Administration, and Related Agencies
Appropriations Act, 2001 (114 Stat. 1549, 1549A-49), the Secretary
shall use $44,000,000 of funds of the Commodity Credit Corporation to
provide technical assistance under the conservation reserve program
established under subchapter B of chapter 1 of subtitle D of title XII
of the Food Security Act of 1985 (16 U.S.C. 3831 et seq.).
(b) Extension of Contracts.--Notwithstanding section 1231(e)(1) of
the Food Security Act of 1985 (16 U.S.C. 3831(e)(1)), an owner or
operator that has entered into a contract under the conservation
reserve program that would otherwise expire during calendar year 2001
may extend the contract for 1 year.
(c) Payments.--
(1) In general.--Subject to paragraph (2), during the 2001
and 2002 calendar years, the Secretary shall include among
practices that are eligible for payments under the conservation
reserve program--
(A) the preservation of shallow water areas for
wildlife;
(B) the establishment of permanent vegetative
cover, such as contour grass strips and cross-wind trap
strips; and
(C) the preservation of wellhead protection areas.
(2) Other practices.--The Secretary shall administer
paragraph (1) in a manner that does not reduce the amount of
payments made by the Secretary for other practices under the
conservation reserve program.
(d) Pilot Program for Enrollment of Wetland and Buffer Acreage in
Conservation Reserve.--
(1) In general.--Section 1231(h)(4)(B) of the Food Security
Act of 1985 (16 U.S.C. 3831(h)(4)(B)) is amended by inserting
``(which may include emerging vegetation in water)'' after
``vegetative cover''.
(2) Conforming amendment.--Section 1232(a)(4) of the Food
Security Act of 1985 (16 U.S.C. 3832(a)(4)) is amended by
inserting ``(which may include emerging vegetation in water)''
after ``vegetative cover''.
SEC. 202. WETLANDS RESERVE PROGRAM.
(a) Maximum Enrollment.--Notwithstanding section 1237(b)(1) of the
Food Security Act of 1985 (16 U.S.C. 3837(b)(1)) and section 808 of the
Agriculture, Rural Development, Food and Drug Administration, and
Related Agencies Appropriations Act, 2001 (114 Stat. 1549, 1549A-52),
subject to subsection (b), the Secretary shall use $200,000,000 of
funds of the Commodity Credit Corporation for enrollment of additional
acres beginning in fiscal year 2002 in the wetlands reserve program
established under subchapter C of chapter 1 of subtitle D of title XII
of the Food Security Act of 1985 (16 U.S.C. 3837 et seq.).
(b) Technical Assistance; Monitoring and Maintenance Expenses.--
Notwithstanding section 11 of the Commodity Credit Corporation Charter
Act (15 U.S.C. 714i), of the funds made available under subsection (a),
the Secretary shall use--
(1) not less than $12,000,000, but not more than
$15,000,000, to provide technical assistance under the wetlands
reserve program; and
(2) not less than $8,000,000, but not more than
$10,000,000, for monitoring and maintenance expenses incurred
by the Secretary for land enrolled in the wetlands reserve
program as of the date of enactment of this Act.
SEC. 203. ENVIRONMENTAL QUALITY INCENTIVES PROGRAM.
In addition to amounts made available under section 1241 of the
Food Security Act of 1985 (16 U.S.C. 3841), the Secretary shall use
$250,000,000 of funds of the Commodity Credit Corporation to carry out
the environmental quality incentives program established under chapter
4 of subtitle D of title XII of the Food Security Act of 1985 (16
U.S.C. 3839aa et seq.).
SEC. 204. WILDLIFE HABITAT INCENTIVE PROGRAM.
In addition to amounts made available under section 387(c) of the
Federal Agriculture Improvement and Reform Act of 1996 (16 U.S.C.
3836a(c)), the Secretary shall use $7,000,000 of funds of the Commodity
Credit Corporation to carry out the Wildlife Habitat Incentive Program
established under section 387 of that Act.
SEC. 205. FARMLAND PROTECTION PROGRAM.
(a) In General.--In addition to amounts made available under
section 388(c) of the Federal Agriculture Improvement and Reform Act of
1996 (16 U.S.C. 3830 note; Public Law 104-127) and section 211(a) of
the Agricultural Risk Protection Act of 2000 (16 U.S.C. 3830 note;
Public Law 106-224), the Secretary shall use $40,000,000 of funds of
the Commodity Credit Corporation to make payments under the farmland
protection program established under section 388 of the Federal
Agriculture Improvement and Reform Act of 1996 to--
(1) any agency of any State or local government, or
federally recognized Indian tribe, including farmland
protection boards and land resource councils established under
State law; and
(2) any organization that--
(A) is organized for, and at all times since the
formation of the organization has been operated
principally for, 1 or more of the conservation purposes
specified in clauses (i), (ii), and (iii) of section
170(h)(4)(A) of the Internal Revenue Code of 1986;
(B) is an organization described in section
501(c)(3) of that Code that is exempt from taxation
under section 501(a) of that Code;
(C) is described in section 509(a)(2) of that Code;
or
(D) is described in section 509(a)(3) of that Code
and is controlled by an organization described in
section 509(a)(2) of that Code.
(b) Technical Assistance.--Notwithstanding section 11 of the
Commodity Credit Corporation Charter Act (15 U.S.C. 714i), of the funds
made available under subsection (a), the Secretary may use not more
than $3,000,000 to provide technical assistance under the farmland
protection program.
SEC. 206. RISK MANAGEMENT CONSERVATION ASSISTANCE.
(a) In General.--N
2000
otwithstanding sections 201 through 205, subject
to subsection (d), of the amount of funds made available under this
title (other than section 201(a)), the Secretary shall use $100,000,000
to address critical risk management needs (including such needs under
programs specified in subsection (b)) in States that are described in
section 522(c)(1)(A) of the Federal Crop Insurance Act (7 U.S.C.
1522(c)(1)(A)).
(b) Minimum Amount.--Subject to subsection (d), the minimum amount
each State described in subsection (a) shall receive under subsection
(a) shall be $5,000,000.
(c) Programs.--For the purpose of subsection (a), the programs
specified in this subsection are--
(1) the wetlands reserve program established under
subchapter C of chapter 1 of subtitle D of title XII of the
Food Security Act of 1985 (16 U.S.C. 3837 et seq.);
(2) the environmental quality incentives program
established under chapter 4 of subtitle D of title XII of the
Food Security Act of 1985 (16 U.S.C. 3839aa et seq.);
(3) the Wildlife Habitat Incentive Program established
under section 387 of the Federal Agriculture Improvement and
Reform Act of 1996 (16 U.S.C. 3836a); and
(4) the farmland protection program established under
section 388 of the Federal Agriculture Improvement and Reform
Act of 1996 (16 U.S.C. 3830 note; Public Law 104-127).
(d) Other States.--The Secretary shall use any funds made available
under subsection (a) that have not been obligated by June 1, 2002, to
provide assistance under the environmental quality incentives program
established under chapter 4 of subtitle D of title XII of the Food
Security Act of 1985 (16 U.S.C. 3839aa et seq.) in States that are not
described in section 522(c)(1)(A) of the Federal Crop Insurance Act (7
U.S.C. 1522(c)(1)(A)).
TITLE III--NUTRITION
SEC. 301. BONUS COMMODITIES.
Section 6(e)(1)(B) of the Richard B. Russell National School Lunch
Act (42 U.S.C. 1755(e)(1)(B)) is amended by striking ``2001'' and
inserting ``2002''.
SEC. 302. INFORMATION AND ASSISTANCE CONCERNING REIMBURSEMENT OPTIONS.
Section 11(f) of the Richard B. Russell National School Lunch Act
(42 U.S.C. 1759a(f)) is amended--
(1) in paragraph (1)(E), by striking ``2001'' and inserting
``2003''; and
(2) in paragraph (2)--
(A) by striking subparagraph (A) and inserting the
following:
``(A) In general.--The Secretary shall submit to
the Committee on Education and the Workforce of the
House of Representatives and the Committee on
Agriculture, Nutrition and Forestry of the Senate--
``(i) not later than January 1, 2003, an
interim report on the activities of the State
agencies receiving grants under this
subsection; and
``(ii) not later than January 1, 2004, a
final report on the activities of the State
agencies receiving grants under this
subsection.''; and
(B) in subparagraph (B), by striking ``report'' and
inserting ``reports''.
SEC. 303. DISTRIBUTION OF COMMODITIES.
(a) In General.--The Secretary shall use $10,000,000 of funds of
the Commodity Credit Corporation to cover direct and indirect costs
related to the processing, transportation, and distribution of
commodities to eligible recipient agencies under the Emergency Food
Assistance Act of 1983 (7 U.S.C. 7501 et seq.).
(b) Allocation.--Funds made available under subsection (a) shall be
allocated to States in accordance with section 204(a) of the Emergency
Food Assistance Act of 1983 (7 U.S.C. 7508(a)).
SEC. 304. SENIORS FARMERS' MARKET NUTRITION PILOT PROGRAM.
The Secretary shall use $20,000,000 of funds of the Commodity
Credit Corporation to carry out the Seniors Farmers' Market Nutrition
Pilot Program announced on November 2, 2000 (65 Fed. Reg. 65825).
TITLE IV--CREDIT AND RURAL DEVELOPMENT
Subtitle A--Credit
SEC. 401. FARM ENERGY EMERGENCY LOANS.
(a) In General.--Section 321(a) of the Consolidated Farm and Rural
Development Act (7 U.S.C. 1961(a)) is amended--
(1) in the first sentence--
(A) by striking ``aquaculture operations have'' and
inserting ``aquaculture operations (i) have''; and
(B) by striking ``the Disaster Relief and Emergency
Assistance Act:'' and inserting ``the Robert T.
Stafford Disaster Relief and Emergency Assistance Act
(42 U.S.C. 5121 et seq.), or (ii) have suffered or are
likely to suffer substantial economic injury on or
after June 1, 2000, as the result of a sharp and
significant increase in energy costs or input costs
from energy sources occurring on or after June 1, 2000,
in connection with an energy emergency declared by the
President or the Secretary:'';
(2) in the third sentence, by striking ``the Disaster
Relief and Emergency Assistance Act'' and inserting ``the
Robert T. Stafford Disaster Relief and Emergency Assistance Act
(42 U.S.C. 5121 et seq.) or by an energy emergency declared by
the President or the Secretary''; and
(3) in the fourth sentence--
(A) by inserting ``or energy emergency'' after
``natural disaster'' each place it appears; and
(B) by inserting ``or declaration'' after
``emergency designation''.
(b) Funding.--Funds available for emergency loans under subtitle C
of the Consolidated Farm and Rural Development Act (7 U.S.C. 1961 et
seq.) to meet the needs resulting from natural disasters shall be
available to carry out the amendments made by subsection (a).
(c) Guidelines.--Not later than 30 days after the date of enactment
of this Act, the Secretary shall issue such guidelines as the Secretary
determines to be necessary to carry out the amendments made by
subsection (a).
(d) Report.--Not later than 18 months after the date of final
publication by the Secretary of the guidelines issued under subsection
(c), the Secretary shall submit to the Committee on Agriculture of the
House of Representatives and the Committee on Agriculture, Nutrition,
and Forestry of the Senate a report on the effectiveness of loans made
available as a result of the amendments made by subsection (a),
together with recommendations for improvements to the loans, if any.
SEC. 402. DEFINITION OF RURAL AREA FOR COMMUNITY PROGRAMS GUARANTEED
LOANS.
(a) In General.--Section 730 of the Agriculture, Rural Development,
Food and Drug Administration, and Related Agencies Appropriations Act,
2000 (Public Law 106-78; 113 Stat. 1164; 7 U.S.C. 2009 note), is
amended by inserting ``(other than the Community Programs Guaranteed
Loans program)'' after ``Housing Service''.
(b) Conforming Amendment.--Section 735 of the Agriculture, Rural
Development, Food and Drug Administration, and Related Agencies
Appropriations Act, 1999 (Public Law 105-277; 112 Stat. 2681-29), is
repealed.
Subtitle B--Rural Development
SEC. 411. VALUE-ADDED INTERMEDIARY RELENDING
PROGRAM.
Section 310B of the Consolidated Farm and Rural Development Act (7
U.S.C. 1932) is amended by adding at the end the following:
``(h) Value-Added Intermediary Relending Program.--
``(1) In general.--In accordance with this subsection, the
Secretary shall make loans under the intermediary relending
program established under section 1323(b)(2)(C) of the Food
Security Act of 1985 (7 U.S.C. 1932 note; Public Law 99-198).
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``(2) Loans.--Using funds made available to carry out this
subsection, the Secretary shall make loans to eligible
intermediaries to make loans to ultimate recipients, under the
terms and conditions of the intermediary relending program,
for projects to establish, enlarge, and operate enterprises that add
value to agricultural commodities and products of agricultural
commodities.
``(3) Eligible intermediaries.--Intermediaries that shall
be eligible to receive loans under paragraph (2) shall include
State agencies.
``(4) Preference for bioenergy projects.--In making loans
using loan funds made available under paragraph (2), an
eligible intermediary shall give preference to bioenergy
projects in accordance with regulations promulgated by the
Secretary.
``(5) Composition of capital.--The capital for a project
carried out by an ultimate recipient and assisted with loan
funds made available under paragraph (2) shall be comprised
of--
``(A) not more than 15 percent of the total cost of
a project; and
``(B) not less than 50 percent of the equity funds
provided by agricultural producers.
``(6) Loan conditions.--
``(A) Terms of loans.--A loan made to an
intermediary using loan funds made available under
paragraph (2) shall have a term of not exceed 30 years.
``(B) Interest.--The interest rate on such a loan
shall be--
``(i) in the case of each of the first 2
years of the loan period, 0 percent; and
``(ii) in the case of each of the remaining
years of the loan period, 2 percent.
``(7) Limitations on amount of loan funds provided.--
``(A) In general.--Except as provided in
subparagraph (B), an intermediary or ultimate recipient
shall be eligible to receive not more than $2,000,000
of the loan funds made available under paragraph (2).
``(B) State agencies.--Subparagraph (A) shall not
apply in the case of a State agency with respect to
loan funds provided to the State agency as an
intermediary.''.
SEC. 412. BUSINESS AND INDUSTRY LOANS.
(a) In General.--The Secretary shall use funds made available under
section 415(a)(2) to pay the cost of business and industry guaranteed
loans under section 310B(a)(1) of the Consolidated Farm and Rural
Development Act (7 U.S.C. 1932(a)(1)).
(b) Use of Funds.--To the maximum extent practicable, loan funds
made available under subsection (a) shall be used in conjunction with
value-added intermediary relending program loan funds made available by
section 310B(h) of the Consolidated Farm and Rural Development Act (as
added by section 411), except that the aggregate of all such loan funds
(including the amount of guaranteed loans) made available for a project
shall comprise not more than 65 percent of the cost of a project.
(c) Fees.--Section 310B(a) of the Consolidated Farm and Rural
Development Act (7 U.S.C. 1932(a)) is amended by adding at the end the
following: ``The amount of a fee paid by a borrower to the Secretary
for a business and industry direct or guaranteed loan under paragraph
(1) shall not exceed 2 percent of the amount of the loan.''.
SEC. 413. VALUE-ADDED AGRICULTURAL PRODUCT MARKET DEVELOPMENT GRANTS.
The Secretary shall use funds made available under section
415(a)(3) to award grants for projects under the terms and conditions
provided in section 231(a) of the Agricultural Risk Protection Act of
2000 (Public Law 106-224; 7 U.S.C. 1621 note), except that the
Secretary shall give preference to bioenergy projects.
SEC. 414. REGULATIONS; NOTICE OF ACCEPTANCE OF
APPLICATIONS.
(a) In General.--Not later than 75 days after the date of enactment
of this Act, the Secretary shall promulgate final regulations to carry
out this subtitle and the amendments made by this subtitle.
(b) Notice of Acceptance of Applications.--Not later than 20 days
after the date of promulgation of regulations under subsection (a), the
Secretary shall publish in the Federal Register a notice that the
Secretary is accepting applications for grants and loans for which
funds are made available under this subtitle and the amendments made by
this subtitle.
SEC. 415. FUNDING.
(a) In General.--On October 1, 2001, out of any funds in the
Treasury not otherwise appropriated, the Secretary of the Treasury
shall transfer to the Secretary--
(1) $18,000,000 for the cost of loans to carry out section
310B(h) of the Consolidated Farm and Rural Development Act (as
added by section 411);
(2) $5,000,000 for the cost of loans to carry out section
412; and
(3) $20,000,000 to carry out section 413.
(b) Entitlement.--The Secretary shall be entitled to receive the
funds transferred under subsection (a) and shall accept the funds.
(c) Availability of New Budget Authority.--For the purposes of
section 504(b)(1) of the Federal Credit Reform Act of 1990 (2 U.S.C.
661c(b)(1)), this section shall be considered to be an appropriations
Act.
TITLE V--RESEARCH
SEC. 501. SUSTAINABLE AGRICULTURE TECHNOLOGY
DEVELOPMENT AND TRANSFER PROGRAM.
In addition to funds made available under section 1629(i) of the
Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C.
5832(i)), the Secretary shall use $3,000,000 of funds of the Commodity
Credit Corporation for fiscal year 2002 to make producer grants under
chapter 3 of subtitle B of title XVI of that Act (7 U.S.C. 5831 et
seq.).
SEC. 502. SENIOR SCIENTIFIC RESEARCH SERVICE.
Subtitle B of title VI of the Agricultural Research, Extension, and
Education Reform Act of 1998 (7 U.S.C. 7651 et seq.) is amended by
adding at the end the following:
``SEC. 620. SENIOR SCIENTIFIC RESEARCH SERVICE.
``(a) In General.--There is established in the Department of
Agriculture the Senior Scientific Research Service (referred to in this
section as the `Service').
``(b) Members.--
``(1) In general.--Subject to paragraphs (2) through (4),
the Secretary shall appoint the members of the Service.
``(2) Qualifications.--To be eligible for appointment to
the Service, an individual shall--
``(A) have conducted outstanding research in the
field of agriculture or forestry;
``(B) have earned a doctoral level degree at an
institution of higher education (as defined in section
101 of the Higher Education Act of 1965 (20 U.S.C.
1001)); and
``(C) meet qualification standards prescribed by
the Director of the Office of Personnel Management for
appointment to a position at level GS-15 of the General
Schedule.
``(3) Number.--The Secretary shall appoint not more than
100 individuals to serve as members of the Service at any time.
``(4) Other requirements.--Subject to subsection (d)(2),
the Secretary may appoint and employ a member of the Service
without regard to--
``(A) the provisions of title 5, United States
Code, governing appointments in the competitive
service;
``(B) the provisions of subchapter I of chapter 35
of title 5, United States Code, relating to retention
preference;
``(C) the provisions of chapter 43 of title 5,
United States Code, relating to performance appraisal
and performance actions;
``(D) the provisio
2000
ns of chapter 51 and subchapter
III of chapter 53 of title 5, United States Code,
relating to classification and General Schedule pay
rates; and
``(E) the provisions of chapter 75 of title 5,
United States Code, relating to adverse actions.
``(c) Performance Appraisal System.--The Secretary shall develop a
performance appraisal system for members of the Service that is
designed to--
``(1) provide for the systematic appraisal of the
employment performance of the members; and
``(2) encourage excellence in employment performance by the
members.
``(d) Compensation.--
``(1) In general.--Subject to paragraph (2), the Secretary
shall determine the compensation of members of the Service.
``(2) Limitations.--The rate of pay for a member of the
Service shall--
``(A) not be less than the minimum rate payable for
a position at level GS-15 of the General Schedule; and
``(B) not be more than the rate payable for a
position at level I of the Executive Schedule, unless
the rate is approved by the President under section
5377(d)(2) of title 5, United States Code.
``(e) Retirement Contributions.--
``(1) In general.--On the request of a member of the
Service who was an employee of an institution of higher
education (as defined in section 101 of the Higher Education
Act of 1965 (20 U.S.C. 1001)) immediately prior to appointment
as a member of the Service and who retains the right to
continue to make contributions to the retirement system of the
institution, the Secretary may contribute an amount not to
exceed 10 percent of the basic pay of the member to the
retirement system of the institution on behalf of the member.
``(2) Federal retirement system.--
``(A) In general.--Subject to subparagraph (B), a
member for whom a contribution is made under paragraph
(1) shall not, as a result of serving as a member of
the Service, be covered by, or earn service credit
under, chapter 83 or 84 of title 5, United States Code.
``(B) Annual leave.--Service of a member of the
Service described in subparagraph (A) shall be
creditable for determining years of service under
section 6303(a) of title 5, United States Code.
``(f) Involuntary Separation.--
``(1) In general.--Subject to paragraph (2) and
notwithstanding the provisions of title 5, United States Code,
governing appointment in the competitive service, in the case
of an individual who is separated from the Service
involuntarily and without cause--
``(A) the Secretary may appoint the individual to a
position in the competitive civil service at level GS-
15 of the General Schedule; and
``(B) the appointment shall be a career
appointment.
``(2) Excepted civil service.--In the case of an individual
described in paragraph (1) who immediately prior to appointment
as a member of the Service was not a career appointee in the
civil service or the Senior Executive Service, the appointment
of the individual under paragraph (1)--
``(A) shall be to the excepted civil service; and
``(B) may not exceed a period of 2 years.''.
TITLE VI--DISASTER ASSISTANCE
SEC. 601. CROP AND PASTURE FLOOD COMPENSATION
PROGRAM.
(a) Definition of Covered Land.--In this section:
(1) In general.--The term ``covered land'' means land
that--
(A) was unusable for agricultural production during
the 2001 crop year as the result of flooding;
(B) was used for agricultural production during at
least 1 of the 1992 through 2000 crop years; and
(C) is a contiguous parcel of land of at least 1
acre.
(2) Exclusions.--The term ``covered land'' excludes any
land for which a producer is insured, enrolled, or assisted
during the 2001 crop year under--
(A) a policy or plan of insurance authorized under
the Federal Crop Insurance Act (7 U.S.C. 1501 et seq.);
(B) the noninsured crop assistance program operated
under section 196 of the Agricultural Market Transition
Act (7 U.S.C. 7333);
(C) any crop disaster program established for the
2001 crop year;
(D) the conservation reserve program established
under subchapter B of chapter 1 of subtitle D of title
XII of the Food Security Act of 1985 (16 U.S.C. 3831 et
seq.);
(E) the wetlands reserve program established under
subchapter C of chapter 1 of subtitle D of title XII of
the Food Security Act of 1985 (16 U.S.C. 3837 et seq.);
(F) any emergency watershed protection program or
Federal easement program that prohibits crop production
or grazing; or
(G) any other Federal or State water storage
program, as determined by the Secretary.
(b) Compensation.--The Secretary shall use not more than
$24,000,000 of funds of the Commodity Credit Corporation to compensate
producers with covered land for losses from long-term flooding.
(c) Payment Rate.--The payment rate for compensation provided to a
producer under this section shall be equal to the average county cash
rental rate per acre established by the National Agricultural
Statistics Service for the 2001 crop year.
(d) Payment Limitation.--The total amount of payments made to a
person (as defined in section 1001(5) of the Food Security Act of 1985
(7 U.S.C. 1308(5))) under this section may not exceed $40,000.
SEC. 602. PURCHASE OF FLOODPLAIN EASEMENTS.
(a) In General.--The Secretary shall use $10,000,000 of funds of
the Commodity Credit Corporation for fiscal year 2002 to purchase
permanent easements under the emergency watershed protection program.
(b) Priority.--In carrying out this section, the Secretary shall
provide a higher priority to the purchase of easements on floodplains
of the Mississippi River and the Missouri River.
SEC. 603. COMPENSATION OF PRODUCERS FOR FORAGE LOSSES DUE TO ARMY
WORMS.
(a) In General.--The Secretary shall use not more than $25,000,000
of funds of the Commodity Credit Corporation to provide payments to
producers of forage crops for losses due to army worms.
(b) Amount.--
(1) In general.--The amount of a payment made to a producer
under this section shall be equal to 65 percent of the average
price received by producers of a forage crop in the crop year
(as determined under paragraph (2)) for any deficiency in
production greater than 35 percent of the established yield for
the crop for the crop year, as determined by the Secretary.
(2) Average price.--For the purpose of paragraph (1), the
average price received by producers of a forage crop shall be
equal to the simple average price received by producers of the
crop, as determined by the Secretary, during the immediately
preceding 5 crop years, excluding the year in which the average
price was the highest and the year in which the average price
was the lowest.
(3) Administration.--Except as provided in paragraph (1),
the amount of a payment made to a producer under this section
shall be made in a
10c6
ccordance with the terms and conditions
specified in section 196 of the Agricultural Market Transition
Act (7 U.S.C. 7333).
TITLE VII--MISCELLANEOUS
SEC. 701. NATIONAL ORGANIC CERTIFICATION COST-SHARE PROGRAM.
(a) In General.--The Secretary (acting through the Agricultural
Marketing Service) shall use $3,500,000 of funds of the Commodity
Credit Corporation for fiscal year 2002 to establish a national organic
certification cost-share program to assist producers and handlers of
agricultural products in obtaining certification under the national
organic production program established under the Organic Foods
Production Act of 1990 (7 U.S.C. 6501 et seq.).
(b) Federal Share.--
(1) In general.--Subject to paragraph (2), the Secretary
shall pay under this section not more than 75 percent of the
costs incurred by a producer or handler in obtaining
certification under the national organic production program, as
certified to and approved by the Secretary.
(2) Maximum amount.--The maximum amount of a payment made
to a producer or handler under this section shall be $500.
SEC. 702. USE OF VALUE-ADDED COMMODITIES.
Section 204(b)(1) of the Agricultural Trade Development and
Assistance Act of 1954 (7 U.S.C. 1724(b)(1)) is amended by inserting
``(including crude degummed soybean oil and soybean meal)'' after
``processed, fortified, or bagged commodities''.
TITLE VII--ADMINISTRATION
SEC. 801. OBLIGATION PERIOD.
(a) Fiscal Year 2001.--Except as otherwise provided in this Act,
the Secretary and the Commodity Credit Corporation shall obligate and
expend funds only during fiscal year 2001 to carry out the following:
(1) Section 101.
(2) Section 107(a).
(b) Fiscal Year 2002.--
(1) In general.--Except as otherwise provided in this Act,
the Secretary and the Commodity Credit Corporation shall
obligate and, to the maximum extent practicable, expend funds
during fiscal year 2002 to carry out the following:
(A) Title I (other than sections 101 and 107(a)).
(B) Title II.
(C) Sections 303 and 304.
(D) Subtitle B of title IV.
(E) Section 501.
(F) Title VI.
(G) Section 701.
(2) Availability.--Funds described in paragraph (1) shall
remain available until expended.
SEC. 802. COMMODITY CREDIT CORPORATION.
Except as otherwise provided in this Act, the Secretary shall use
the funds, facilities, and authorities of the Commodity Credit
Corporation to carry out this Act.
SEC. 803. REGULATIONS.
(a) In General.--The Secretary may promulgate such regulations as
are necessary to implement this Act and the amendments made by this
Act.
(b) Procedure.--The promulgation of the regulations and
administration of the amendments made by this Act 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'').
(c) Congressional Review of Agency Rulemaking.--In carrying out
this section, the Secretary shall use the authority provided under
section 808 of title 5, United States Code.
Calendar No. 102
107th CONGRESS
1st Session
S. 1246
_______________________________________________________________________
A BILL
To respond to the continuing economic crisis
adversely affecting American agricultural producers.
_______________________________________________________________________
July 25, 2001
Read twice and placed on the calendar
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