[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2213 Introduced in House (IH)]







107th CONGRESS
  1st Session
                                H. R. 2213

   To respond to the continuing economic crisis adversely affecting 
                    American agricultural producers.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             June 19, 2001

 Mr. Combest introduced the following bill; which was referred to the 
                        Committee on Agriculture

_______________________________________________________________________

                                 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 ``Crop Year 2001 
Agricultural Economic Assistance Act''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents.
                    TITLE I--AGRICULTURAL ASSISTANCE

Sec. 101. Market loss assistance.
Sec. 102. Oilseeds.
Sec. 103. Other commodities.
Sec. 104. Payments in lieu of loan deficiency payments for grazed 
                            acreage.
Sec. 105. Expansion of producers eligible for loan deficiency payments.
Sec. 106. Loan deficiency payments and marketing loan gains.
Sec. 107. Milk price support program.
                        TITLE II--ADMINISTRATION

Sec. 201. Regulations.
Sec. 202. Commodity Credit Corporation reimbursement.
Sec. 203. Technical corrections regarding existing cotton producer 
                            indemnity fund.

                    TITLE I--AGRICULTURAL 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.
    (c) Timing.--The Secretary shall make the payments required by this 
section not earlier than September 1, 2001, but not later than 
September 30, 2001.

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.--Except as provided in paragraph (3), 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 greatest of--
                    (A) the average county yield per harvested acre for 
                each of the 1996 through 2000 crop years, excluding the 
                crop year with the highest 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 greatest of--
                    (A) the average national yield per harvested acre 
                for each of the 1996 through 2000 crop years, excluding 
                the crop year with the highest 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 highest 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 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.
    (e) Timing.--The Secretary shall make the payments required by this 
section not earlier than October 1, 2001, but not later than September 
30, 2002.

SEC. 103. OTHER COMMODITIES.

    (a) Surplus Specialty Crop Purchases.--
            (1) Purchases required.--The Secretary shall use 
        $220,000,000 of funds of the Commodity Credit Corporation to 
        purchase specialty crops that have experienced low prices 
        during the 2000 or 2001 crop years, including apples, apricots, 
        black-eyed peas, cherries, chickpeas, citrus, cranberries, 
        dried plums, dry peas, grapefruit, lentils, melons, onions, 
        peaches, pears, potatoes, raisins, and raspberries. The 
        Secretary shall ensure that purchases of specialty crops under 
        this subsection will not displace purchases by the Secretary 
        under any other law.
            (2) Assistance to states.--The Secretary may use up to 
        $20,000,000 of the amount made available under paragraph (1) to 
        provide assistance to States to cover costs incurred by the 
        States in transporting and distributing the commodities 
        purchased pursuant to such paragraph.
            (3) Timing.--The Secretary shall make the purchases 
        required by this subsection not earlier than October 1, 2001, 
        but not later than September 30, 2002.
    (b) Peanuts.--The Secretary shall use funds of the Commodity Credit 
Corporation to provide payments to producers of peanuts for the 2001 
crop year. The amount of the payment made to producers on a farm shall 
be equal to the product obtained by multiplying--
            (1) the quantity of peanuts actually produced by the 
        producers on the farm; and
            (2) a payment rate equal to $30.00 per ton.
    (c) Animal Fiber Production.--The Secretary shall use funds of the 
Commodity Credit Corporation to make payments to producers of wool, and 
producers of mohair, for the 2001 marketing year. The payment rate 
shall be equal to--
            (1) in the case of wool, 20 cents per pound; and
            (2) in the case of mohair, 40 cents per pound.
    (d) Sugar.--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 
sugar beets and sugarcane.
    (e) Tobacco.--
            (1) Additional payment under existing authority.--The 
        Secretary shall use $129,000,000 of funds of the Commodity 
        Credit Corporation to make additional payments under section 
        204(b) of the Agricultural Risk Protection Act of 2000 (Public 
        Law 106-224; 7 U.S.C. 1421 note) to eligible persons, as 
        defined in paragraph (1)(A) of such section. The requirements 
        applicable to the allocation of these funds among States, among 
        farms in a State, and among eligible persons, as specified in 
        paragraphs (3), (4), and (5) of such section, shall be adjusted 
        by the Secretary to reflect the additional amount made 
        available for payments under such section.
            (2) Timing.--Notwithstanding the payment dates specified in 
        section 204(b) of the Agricultural Risk Protection Act of 2000, 
        of the amount made available under paragraph (1), the Secretary 
        shall--
                    (A) expend $34,000,000 before September 30, 2001; 
                and
                    (B) expend the remainder during the period 
                beginning on October 1, 2001, and ending on September 
                30, 2002.

SEC. 104. PAYMENTS IN LIEU OF LOAN DEFICIENCY PAYMENTS FOR GRAZED 
              ACREAGE.

    (a) Eligible Producers.--Effective for the 2002 crop year, in the 
case of a producer that would be eligible for a loan deficiency payment 
under section 135 of the Agricultural Market Transition Act (7 U.S.C. 
7235) for wheat, barley, or oats, but that elects to use acreage 
planted to the wheat, barley, or oats for the grazing of livestock, the 
Secretary shall make a payment to the producer under this section if 
the producer enters into an agreement with the Secretary to forgo any 
other harvesting of the wheat, barley, or oats on that acreage.
    (b) Payment Amount.--The amount of a payment made to a producer on 
a farm under this section shall be equal to the amount determined by 
multiplying--
            (1) the loan deficiency payment rate determined under 
        section 135(c) of the Agricultural Market Transition Act (7 
        U.S.C. 7235(c)) in effect, as of the date of the agreement, for 
        the county in which the farm is located; by
            (2) the payment quantity determined by multiplying--
                    (A) the quantity of the grazed acreage on the farm 
                with respect to which the producer elects to forgo 
                harvesting of wheat, barley, or oats; and
                    (B) the established yield for the crop on the farm, 
                as determined by the Secretary.
    (c) Time, Manner, and Availability of Payment.--
            (1) Time and manner.--A payment under this section shall be 
        made at the same time and in the same manner as loan deficiency 
        payments are made under section 135 of the Agricultural Market 
        Transition Act (7 U.S.C. 7235), except that the payment shall 
        be made not later than September 30, 2002.
            (2) Availability.--The Secretary shall establish an 
        availability period for the payment authorized by this section 
        that, subject to the date specified in paragraph (1), is 
        consistent with the availability period for wheat, barley, and 
        oats established by the Secretary for marketing assistance 
        loans authorized by subtitle C of the Agricultural Market 
        Transition Act (7 U.S.C. 7231 et seq.).
    (d) Prohibition on Crop Insurance Coverage.--A 2002 crop of wheat, 
barley, or oats planted on acreage that a producer elects, in the 
agreement required by subsection (a), to use for the grazing of 
livestock in lieu of any other harvesting of the crop shall not be 
eligible for insurance under the Federal Crop Insurance Act (7 U.S.C. 
1501 et seq.) or noninsured crop assistance under section 196 of the 
Agricultural Market Transition Act (7 U.S.C. 7333).
    (e) Funding.--The Secretary shall use funds of the Commodity Credit 
Corporation to carry out this section.

SEC. 105. EXPANSION OF PRODUCERS ELIGIBLE FOR 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 ``2000 and 2001 crop years''.

SEC. 106. LOAN DEFICIENCY PAYMENTS AND MARKETING LOAN GAINS.

    (a) Payment Limitations.--Notwithstanding section 1001(2) of the 
Food Security Act of 1985 (7 U.S.C. 1308(1)), the total amount of the 
payments specified in section 1001(3) of that Act that a person shall 
be entitled to receive for one or more contract commodities and 
oilseeds under the Agricultural Market Transition Act (7 U.S.C. 7201 et 
seq.) during the 2001 crop year may not exceed $150,000.
    (b) Treatment of Producers Who Lost Beneficial Interest.--The 
Secretary shall allow a producer that marketed or redeemed a quantity 
of an eligible 2001 crop for which the producer did not receive, either 
because of operation of section 1001(2) of the Food Security Act of 
1985 (7 U.S.C. 1308(2)) or for any other reason, a loan deficiency 
payment or marketing loan gain under section 134 or 135 of the 
Agricultural Market Transition Act (7 U.S.C. 7234, 7235) before the 
quantity was marketed or redeemed to receive such payment or gain as of 
the date on which the quantity was marketed or redeemed.

SEC. 107. MILK PRICE SUPPORT PROGRAM.

    (a) Extension of Program.--Section 141 of the Agricultural Market 
Transition Act (7 U.S.C. 7251) is amended--
            (1) in subsection (b), by adding at the end the following 
        new paragraph:
            ``(5) During the period beginning on January 1, 2002, and 
        ending on August 31, 2002, $9.90.''; and
            (2) in subsection (h), by striking ``December 31, 2001'' 
        both places it appears and inserting ``August 31, 2002''.
    (b) Repeal of Recourse Loan Program for Processors.--Section 142 of 
the Agricultural Market Transition Act (7 U.S.C. 7252(e)) is repealed.

                        TITLE II--ADMINISTRATION

SEC. 201. REGULATIONS.

    (a) Promulgation.--As soon as practicable after the date of the 
enactment of this Act, the Secretary and the Commodity Credit 
Corporation, as appropriate, shall promulgate such regulations as are 
necessary to implement this Act and the amendments made by this Act. 
The promulgation of the regulations and administration of 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'').
    (b) 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.

SEC. 202. COMMODITY CREDIT CORPORATION REIMBURSEMENT.

    (a) Reimbursement Requirement.--Out of any moneys in the Treasury 
not otherwise appropriated, the Secretary of the Treasury shall use 
such sums as may be necessary to reimburse the Commodity Credit 
Corporation for net realized losses sustained, but not previously 
reimbursed, under title I.
    (b) Timing.--
            (1) Fiscal year 2001.--The reimbursement required under 
        subsection (a) shall be provided not later than September 30, 
        2001, to offset the losses of the Commodity Credit Corporation 
        sustained on account of the Secretary's use of Commodity Credit 
        Corporation funds--
                    (A) to provide market loss assistance under section 
                101; and
                    (B) to provide the payments required under section 
                103(e) before the deadline specified in paragraph 
                (2)(A) of such section.
            (2) Fiscal year 2002.--The reimbursement required under 
        subsection (a) for other Commodity Credit Corporation losses 
        sustained under title I shall be provided not earlier than 
        October 1, 2001, but not later than September 30, 2002.

SEC. 203. TECHNICAL CORRECTIONS REGARDING EXISTING COTTON PRODUCER 
              INDEMNITY FUND.

    (a) Conditions on Payment to State.--Subsection (b) of section 1121 
of the Agriculture, Rural Development, Food and Drug Administration, 
and Related Agencies Appropriations Act, 1999 (as contained in section 
101(a) of division A of Public Law 105-277 (7 U.S.C. 1421 note), and as 
amended by section 754 of the Agriculture, Rural Development, Food and 
Drug Administration, and Related Agencies Appropriations Act, 2001 (as 
enacted by Public Law 106-387; 114 Stat. 1549A-42), is amended to read 
as follows:
    ``(b) Conditions on Payment to State.--The Secretary of Agriculture 
shall make the payment to the State of Georgia under subsection (a) 
only if the State--
            ``(1) contributes $5,000,000 to the indemnity fund and 
        agrees to expend all amounts in the indemnity fund by not later 
        than January 1, 2002 (or as soon as administratively practical 
        thereafter), to provide compensation to cotton producers as 
        provided in such subsection;
            ``(2) requires the recipient of a payment from the 
        indemnity fund to repay the State, for deposit in the indemnity 
        fund, the amount of any duplicate payment the recipient 
        otherwise recovers for such loss of cotton, or the loss of 
        proceeds from the sale of cotton, up to the amount of the 
payment from the indemnity fund; and
            ``(3) agrees to deposit in the indemnity fund the proceeds 
        of any bond collected by the State for the benefit of 
        recipients of payments from the indemnity fund, to the extent 
        of such payments.''.
    (b) Additional Disbursements From the Indemnity Fund.--Subsection 
(d) of such section is amended to read as follows:
    ``(d) Additional Disbursement to Cotton Ginners.--The State of 
Georgia shall use funds remaining in the indemnity fund, after the 
provision of compensation to cotton producers in Georgia under 
subsection (a) (including cotton producers who file a contingent claim, 
as defined and provided in section 5.1 of chapter 19 of title 2 of the 
Official Code of Georgia), to compensate cotton ginners (as defined and 
provided in such section) that--
            ``(1) incurred a loss as the result of--
                    ``(A) the business failure of any cotton buyer 
                doing business in Georgia; or
                    ``(B) the failure or refusal of any such cotton 
                buyer to pay the contracted price that had been agreed 
                upon by the ginner and the buyer for cotton grown in 
                Georgia on or after January 1, 1997, and had been 
                purchased or contracted by the ginner from cotton 
                producers in Georgia;
            ``(2) paid cotton producers the amount which the cotton 
        ginner had agreed to pay for such cotton received from such 
        cotton producers in Georgia; and
            ``(3) satisfy the procedural requirements and deadlines 
        specified in chapter 19 of title 2 of the Official Code of 
        Georgia applicable to cotton ginner claims.''.
    (c) Conforming Amendment.--Subsection (c) of such section is 
amended by striking ``Upon the establishment of the indemnity fund, and 
not later than October 1, 1999, the'' and inserting ``The''.
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