[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2646 Introduced in House (IH)]







107th CONGRESS
  1st Session
                                H. R. 2646

To provide for the continuation of agricultural programs through fiscal 
                               year 2011.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             July 26, 2001

  Mr. Combest (for himself and Mr. Stenholm) introduced the following 
        bill; which was referred to the Committee on Agriculture

_______________________________________________________________________

                                 A BILL


 
To provide for the continuation of agricultural programs through fiscal 
                               year 2011.

    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 ``Agricultural Act 
of 2001''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:
Sec. 1. Short title; table of contents.
                      TITLE I--COMMODITY PROGRAMS

Sec. 100. Definitions.
   Subtitle A--Fixed Decoupled Payments and Counter-Cyclical Payments

Sec. 101. Payments to eligible producers.
Sec. 102. Establishment of payment yield.
Sec. 103. Establishment of base acres and payment acres for a farm.
Sec. 104. Availability of fixed, decoupled payments.
Sec. 105. Availability of counter-cyclical payments.
Sec. 106. Producer agreement required as condition on provision of 
                            fixed, decoupled payments and counter-
                            cyclical payments.
Sec. 107. Planting flexibility.
Sec. 108. Relation to remaining payment authority under production 
                            flexibility contracts.
Sec. 109. Payment limitations.
Sec. 110. Period of effectiveness.
  Subtitle B--Marketing Assistance Loans and Loan Deficiency Payments

Sec. 121. Availability of nonrecourse marketing assistance loans for 
                            covered commodities.
Sec. 122. Loan rates for nonrecourse marketing assistance loans.
Sec. 123. Term of loans.
Sec. 124. Repayment of loans.
Sec. 125. Loan deficiency payments.
Sec. 126. Payments in lieu of loan deficiency payments for grazed 
                            acreage.
Sec. 127. Special marketing loan provisions for upland cotton.
Sec. 128. Special competitive provisions for extra long staple cotton.
Sec. 129. Availability of recourse loans for high moisture feed grains 
                            and seed cotton and other fibers.
Sec. 130. Availability of nonrecourse marketing assistance loans for 
                            wool and mohair.
Sec. 131. Availability of nonrecourse marketing assistance loans for 
                            honey.
                     Subtitle C--Other Commodities

                            Chapter 1--Dairy

Sec. 141. Milk price support program.
Sec. 142. Repeal of recourse loan program for processors.
Sec. 143. Dairy export incentive program.
Sec. 144. Fluid milk promotion.
Sec. 145. Dairy product mandatory reporting.
Sec. 146. Funding of dairy promotion and research program.
                            Chapter 2--Sugar

Sec. 151. Sugar program.
Sec. 152. Reauthorize provisions of Agricultural Adjustment Act of 1938 
                            regarding sugar.
Sec. 153. Storage facility loans.
                           Chapter 3--Peanuts

Sec. 161. Definitions.
Sec. 162. Establishment of payment yield, peanut acres, and payment 
                            acres for a farm.
Sec. 163. Availability of fixed, decoupled payments for peanuts.
Sec. 164. Availability of counter-cyclical payments for peanuts.
Sec. 165. Producer agreement required as condition on provision of 
                            fixed, decoupled payments and counter-
                            cyclical payments.
Sec. 166. Planting flexibility.
Sec. 167. Marketing assistance loans and loan deficiency payments for 
                            peanuts.
Sec. 168. Quality improvement.
Sec. 169. Payment limitations.
Sec. 170. Termination of marketing quota programs for peanuts and 
                            compensation to peanut quota holders for 
                            loss of quota asset value.
                       Subtitle D--Administration

Sec. 181. Administration generally.
Sec. 182. Extension of suspension of permanent price support authority.
Sec. 183. Limitations.
Sec. 184. Adjustments of loans.
Sec. 185. Personal liability of producers for deficiencies.
Sec. 186. Extension of existing administrative authority regarding 
                            loans.
Sec. 187. Assignment of payments.
                         TITLE II--CONSERVATION

                         Subtitle A--Definition

Sec. 201. Definition of agricultural commodity.
                Subtitle B--Wetland Conservation Program

Sec. 211. Ineligibility for certain loans and payments.
     Subtitle C--Environmental Conservation Acreage Reserve Program

Sec. 221. Elimination of general provisions.
                Subtitle D--Conservation Reserve Program

Sec. 231. Reauthorization.
Sec. 232. Enrollment.
Sec. 233. Duties of owners and operators.
Sec. 234. Duties of the Secretary.
Sec. 235. Acceptance of contract offers.
Sec. 236. Contracts.
                  Subtitle E--Wetlands Reserve Program

Sec. 241. Enrollment.
Sec. 242. Easements and agreements.
Sec. 243. Duties of the Secretary.
Sec. 244. Payment limitation.
Sec. 245. Changes in ownership; agreement modification; termination.
          Subtitle F--Environmental Quality Incentives Program

Sec. 251. Purposes.
Sec. 252. Definitions.
Sec. 253. Establishment and administration.
Sec. 254. Evaluation of offers and payments.
Sec. 255. Duties of producers.
Sec. 256. Environmental Quality Incentives Program plan.
Sec. 257. Duties of the Secretary.
Sec. 258. Limitation on payments.
Sec. 259. Groundwater conservation.
                 Subtitle G--Funding and Administration

Sec. 261. Reauthorization.
Sec. 262. Funding.
Sec. 263. Allocation for livestock production.
Sec. 264. Use of other agencies.
Sec. 265. Administration and technical assistance.
                       Subtitle H--Other Programs

Sec. 271. Wildlife Habitat Incentives Program.
Sec. 272. Farmland Protection Program.
Sec. 273. Resource Conservation and Development Program.
Sec. 274. Grassland Reserve Program.
Sec. 275. Farmland Stewardship Program.
Sec. 276. Small Watershed Rehabilitation Program.
                   Subtitle I--Availability of Funds

Sec. 281. Availability of funds appropriated pursuant to the Soil 
                            Conservation and Domestic Allotment Act.
                          Subtitle K--Repeals

Sec. 291. Provisions of Food Security Act of 1985.
                            TITLE III--TRADE

Sec. 301. Market Access Program.
Sec. 302. Food for Progress.
Sec. 303. Export Enhancement Program.
Sec. 304. Foreign Market Development Cooperator Program.
Sec. 305. Export Credit Guarantee Program.
Sec. 306. PL 480.
Sec. 307. Emerging markets.
Sec. 308. Bill Emerson Humanitarian Trust.
Sec. 309. Technical assistance for specialty crops.
                      TITLE IV--NUTRITION PROGRAMS

                     Subtitle A--Food Stamp Program

Sec. 401. Simplified definition of income.
Sec. 402. Standard deduction.
Sec. 403. Transitional food stamps for families moving from welfare.
Sec. 404. Quality control systems.
Sec. 405. Simplified application and eligibility determination systems.
Sec. 406. Authorization of appropriations.
                   Subtitle B--Commodity Distribution

Sec. 441. Distribution of surplus commodities to special nutrition 
                            projects.
Sec. 442. Commodity supplemental food program.
Sec. 443. Emergency food assistance.
                  Subtitle C--Miscellaneous Provisions

Sec. 461. Hunger fellowship program.
Sec. 462. General effective date.
                            TITLE V--CREDIT

Sec. 501. Eligibility of limited liability companies for farm ownership 
                            loans, farm operating loans, and emergency 
                            loans.
Sec. 502. Suspension of limitation on period for which borrowers are 
                            eligible for guaranteed assistance.
Sec. 503. Administration of certified lenders and preferred certified 
                            lenders programs.
Sec. 504. Simplified loan guarantee application available for loans of 
                            greater amounts.
Sec. 505. Elimination of requirement that Secretary require county 
                            committees to certify in writing that 
                            certain loan reviews have been conducted.
Sec. 506. Authority to reduce percentage of loan guaranteed if borrower 
                            income is insufficient to service debt.
Sec. 507. Timing of loan assessments.
Sec. 508. Making and servicing of loans by personnel of State, county, 
                            or area committees.
Sec. 509. Eligibility of employees of State, county, or area committee 
                            for loans and loan guarantees.
Sec. 510. Emergency loans in response to an economic emergency 
                            resulting from sharply increasing energy 
                            costs.
Sec. 511. Extension of authority to contract for servicing of farmer 
                            program loans.
Sec. 512. Authorization for loans.
Sec. 513. Reservation of funds for direct operating loans for beginning 
                            farmers and ranchers.
Sec. 514. Extension of Interest Rate Reduction Program.
Sec. 515. Increase in duration of loans under Down Payment Loan 
                            Program.
Sec. 516. Horse breeder loans.
                      TITLE VI--RURAL DEVELOPMENT

Sec. 601. Funding for rural local television broadcast signal loan 
                            guarantees.
Sec. 602. Value-added agricultural product market development grants.
Sec. 603. Agriculture innovation center demonstration program.
Sec. 604. Funding of community water assistance grant program.
Sec. 605. Loan guarantees for the financing of the purchase of 
                            renewable energy systems.
Sec. 606. Loans and loan guarantees for renewable energy systems.
Sec. 607. Rural business opportunity grants.
Sec. 608. Grants for water systems for rural and native villages in 
                            Alaska.
Sec. 609. Rural cooperative development grants.
Sec. 610. National reserve account of Rural Development Trust Fund.
Sec. 611. Rural venture capital demonstration program.
Sec. 612. Increase in limit on certain loans for rural development.
Sec. 613. Pilot program for development and implementation of strategic 
                            regional development plans.
Sec. 614. Grants to nonprofit organizations to finance the 
                            construction, refurbishing, and servicing 
                            of individually-owned household water well 
                            systems in rural areas for individuals with 
                            low or moderate incomes.
Sec. 615. National Rural Development Partnership.
                TITLE VII--RESEARCH AND RELATED MATTERS

                         Subtitle A--Extensions

Sec. 700. Market expansion research.
Sec. 701. National Rural Information Center Clearinghouse.
Sec. 702. Grants and fellowships for food and agricultural sciences 
                            education.
Sec. 703. Policy research centers.
Sec. 704. Human nutrition intervention and health promotion research 
                            program.
Sec. 705. Pilot research program to combine medical and agricultural 
                            research.
Sec. 706. Nutrition education program.
Sec. 707. Continuing animal health and disease research programs.
Sec. 708. Appropriations for research on national or regional problems.
Sec. 709. Grants to upgrade agricultural and food sciences facilities 
                            at 1890 land-grant colleges, including 
                            Tuskegee University.
Sec. 710. National research and training centennial centers at 1890 
                            land-grant institutions.
Sec. 711. Hispanic-serving institutions.
Sec. 712. Competitive grants for international agricultural science and 
                            education programs.
Sec. 713. University research.
Sec. 714. Extension service.
Sec. 715. Supplemental and alternative crops.
Sec. 716. Aquaculture research facilities.
Sec. 717. Rangeland research.
Sec. 718. National genetics resources program.
Sec. 719. High-priority research and extension initiatives.
Sec. 720. Nutrient management research and extension initiative.
Sec. 721. Agricultural telecommunications program.
Sec. 722. Alternative Agricultural Research And Commercialization 
                            Revolving Fund.
Sec. 723. Assistive technology program for farmers with disabilities.
Sec. 724. Partnerships for high-value agricultural product quality 
                            research.
Sec. 725. Biobased products.
Sec. 726. Integrated research, education, and extension competitive 
                            grants program.
Sec. 727. Institutional capacity building grants.
Sec. 728. 1994 Institution research grants.
Sec. 729. Endowment for 1994 Institutions.
Sec. 730. Precision agriculture.
Sec. 731. Thomas Jefferson Initiative for Crop Diversification.
Sec. 732. Support for research regarding diseases of wheat, triticale, 
                            and barley caused by Fusarium graminearum 
                            or by Tilletia indica.
Sec. 733. Office of Pest Management policy.
Sec. 734. National Agricultural Research, Extension, Education, and 
                            Economics Advisory Board.
Sec. 735. Grants for research on production and marketing of alcohols 
                            and industrial hydrocarbons from 
                            agricultural commodities and forest 
                            products.
Sec. 736. Biomass research and development.
Sec. 737. Agricultural experiment stations research facilities.
Sec. 738. Competitive, Special, and Facilities Research Grants National 
                            Research Initiative.
Sec. 739. Federal agricultural research facilities authorization of 
                            appropriations.
                       Subtitle B--Modifications

Sec. 741. Equity in Educational Land-Grant Status Act of 1994.
Sec. 742. National Agricultural Research, Extension, and Teaching 
                            Policy Act of 1977.
Sec. 743. Agricultural Research, Extension, and Education Reform Act of 
                            1998.
Sec. 744. Food, Agriculture, Conservation, and Trade Act of 1990.
Sec. 745. National Agricultural Research, Extension, and Teaching 
                            Policy Act of 1977.
Sec. 746. Biomass research and development.
Sec. 747. Biotechnology risk assessment research.
Sec. 748. Competitive, special, and facilities research grants.
Sec. 749. Matching funds requirement for research and extension 
                            activities of 1890 Institutions.
Sec. 750. Initiative for future agriculture and food systems.
Sec. 751. Carbon cycle research.
Sec. 752. Definition of food and agricultural sciences.
Sec. 753. Federal extension service.
                      Subtitle C--Related Matters

Sec. 761. Resident instruction at land-grant colleges in United States 
                            territories.
Sec. 762. Declaration of extraordinary emergency and resulting 
                            authorities.
        Subtitle D--Repeal of Certain Activities and Authorities

Sec. 771. Food Safety Research Information Office and National 
                            Conference.
Sec. 772. Reimbursement of expenses under Sheep Promotion, Research, 
                            and Information Act of 1994.
Sec. 773. National genetic resources program.
Sec. 774. National Advisory Board on Agricultural Weather.
Sec. 775. Agricultural information exchange with Ireland.
Sec. 776. Pesticide resistance study.
Sec. 777. Expansion of education study.
Sec. 778. Support for Advisory Board.
Sec. 779. Task force on 10-year strategic plan for agricultural 
                            research facilities.
              Subtitle E--Agriculture Facility Protection

Sec. 790. Additional protections for animal or agricultural 
                            enterprises, research facilities, and other 
                            entities.
                    TITLE VIII--FORESTRY INITIATIVES

Sec. 801. Repeal of forestry incentives program and stewardship 
                            incentive program.
Sec. 802. Establishment of forest land enhancement program.
Sec. 803. Renewable resources extension activities.
Sec. 804. Enhanced community fire protection.
Sec. 805. International forestry program.
Sec. 806. Long-term forest stewardship contracts for hazardous fuels 
                            removal and implementation of National Fire 
                            Plan.
Sec. 807. McIntire-Stennis cooperative forestry research program.
                   TITLE IX--MISCELLANEOUS PROVISIONS

                  Subtitle A--Tree Assistance Program

Sec. 901. Eligibility.
Sec. 902. Assistance.
Sec. 903. Limitation on assistance.
Sec. 904. Definitions.
Sec. 905. Duplicative payments.
                       Subtitle B--Other Matters

Sec. 911. Hazardous fuel reduction grants to prevent wildfire disasters 
                            and transform hazardous fuels to electric 
                            energy, useful heat, or transportation 
                            fuels.
Sec. 912. Bioenergy program.
Sec. 913. Availability of section 32 funds.
Sec. 914. Seniors farmers' market nutrition program.
Sec. 915. Federal marketing order for cane berries.

                      TITLE I--COMMODITY PROGRAMS

SEC. 100. DEFINITIONS.

    In this title (other than chapter 3 of subtitle C):
            (1) Agricultural act of 1949.--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 171 
        of the Federal Agriculture Improvement and Reform Act of 1996 
        (7 U.S.C. 7301).
            (2) Base acres.--The term ``base acres'', with respect to a 
        covered commodity on a farm, means the number of acres 
established under section 103 with respect to the commodity upon the 
election made by the producers on the farm under subsection (a) of such 
section.
            (3) Counter-cyclical payment.--The term ``counter-cyclical 
        payment'' means a payment made to producers under section 105.
            (4) Covered commodity.--The term ``covered commodity'' 
        means wheat, corn, grain sorghum, barley, oats, upland cotton, 
        rice, soybeans, and other oilseeds.
            (5) Effective price.--The term ``effective price'', with 
        respect to a covered commodity for a crop year, means the price 
        calculated by the Secretary under section 105 to determine 
        whether counter-cyclical payments are required to be made for 
        that crop year.
            (6) Eligible producer.--The term ``eligible producer'' 
        means a producer described in section 101(a).
            (7) Fixed, decoupled payment.--The term ``fixed, decoupled 
        payment'' means a payment made to producers under section 104.
            (8) Other oilseed.--The term ``other oilseed'' means a crop 
        of sunflower seed, rapeseed, canola, safflower, flaxseed, 
        mustard seed, or, if designated by the Secretary, another 
        oilseed.
            (9) Payment acres.--The term ``payment acres'' means 85 
        percent of the base acres of a covered commodity on a farm, as 
        established under section 103, upon which fixed, decoupled 
        payments and counter-cyclical payments are to be made.
            (10) Payment yield.--The term ``payment yield'' means the 
        yield established under section 102 for a farm for a covered 
        commodity.
            (11) 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 
        and shall ensure that program requirements do not adversely 
        affect the ability of the grower to receive a payment under 
        this title.
            (12) Secretary.--The term ``Secretary'' means the Secretary 
        of Agriculture.
            (13) 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.
            (14) Target price.--The term ``target price'' means the 
        price per bushel (or other appropriate unit in the case of 
        upland cotton, rice, and other oilseeds) of a covered commodity 
        used to determine the payment rate for counter-cyclical 
        payments.
            (15) United states.--The term ``United States'', when used 
        in a geographical sense, means all of the States.

   Subtitle A--Fixed Decoupled Payments and Counter-Cyclical Payments

SEC. 101. PAYMENTS TO ELIGIBLE PRODUCERS.

    (a) Payments Required.--Beginning with the 2002 crop of covered 
commodities, the Secretary shall make fixed decoupled payments and 
counter-cyclical payments under this subtitle--
            (1) to producers on a farm that were parties to a 
        production flexibility contract under section 111 of the 
        Federal Agriculture Improvement and Reform Act of 1996 (7 
        U.S.C. 7211) for fiscal year 2002; and
            (2) to other producers on farms in the United States as 
        described in section 103(a).
    (b) Tenants and Sharecroppers.--In carrying out this title, the 
Secretary shall provide adequate safeguards to protect the interests of 
tenants and sharecroppers.
    (c) Sharing of Payments.--The Secretary shall provide for the 
sharing of fixed, decoupled payments and counter-cyclical payments 
among the eligible producers on a farm on a fair and equitable basis.

SEC. 102. ESTABLISHMENT OF PAYMENT YIELD.

    (a) Establishment and Purpose.--For the purpose of making fixed 
decoupled payments and counter-cyclical payments under this subtitle, 
the Secretary shall provide for the establishment of a payment yield 
for each farm for each covered commodity in accordance with this 
section.
    (b) Use of Farm Program Payment Yield.--Except as otherwise 
provided in this section, the payment yield for each of the 2002 
through 2011 crops of a covered commodity for a farm shall be the farm 
program payment yield in effect for the 2002 crop of the covered 
commodity under section 505 of the Agricultural Act of 1949 (7 U.S.C. 
1465).
    (c) Farms Without Farm Program Payment Yield.--In the case of a 
farm for which a farm program payment yield is unavailable for a 
covered commodity (other than soybeans or other oilseeds), the 
Secretary shall establish an appropriate payment yield for the covered 
commodity on the farm taking in consideration the farm program payment 
yields applicable to the commodity under subsection (b) for similar 
farms in the area.
    (d) Payment Yields for Oilseeds.--
            (1) Average yield.--In the case of soybeans and each other 
        oilseed, the Secretary shall establish a payment yield for a 
        farm for the oilseed by first determining the average yield for 
        the oilseed on the farm for the 1998 through 2001 crop years, 
        excluding any crop year in which the yield was zero. If, for 
        any of these four crop years in which the oilseed was planted, 
        the farm would have satisfied the eligibility criteria 
        established to carry out section 1102 of the Agriculture, Rural 
        Development, Food and Drug Administration, and Related Agencies 
        Appropriations Act, 1999 (Public Law 105-277; 7 U.S.C. 1421 
        note), the Secretary shall assign a yield for that year equal 
        to 65 percent of the county yield.
            (2) Reduction.--The Secretary shall reduce the average 
        yield determined under paragraph (1) for the oilseed by a 
percentage equal to the percentage increase in national average yields 
for the oilseed between the following two periods:
                    (A) The 1981 through 1985 crops.
                    (B) The 1998 through 2001 crops.

SEC. 103. ESTABLISHMENT OF BASE ACRES AND PAYMENT ACRES FOR A FARM.

    (a) Election by Producers of Base Acre Calculation Method.--For the 
purpose of making fixed decoupled payments and counter-cyclical 
payments with respect to a farm, the Secretary shall give producers on 
the farm an opportunity to elect one of the following as the method by 
which the base acres of all covered commodities on the farm are to be 
determined:
            (1) The four-year average of acreage actually planted on 
        the farm to a covered commodity for harvest, grazing, haying, 
        silage, or other similar purposes during crop years 1998, 1999, 
        2000, and 2001 and any acreage on the farm that the producers 
        were prevented from planting during such crop years to the 
        covered commodity because of drought, flood, or other natural 
        disaster, or other condition beyond the control of the 
        producer, as determined by the Secretary.
            (2) The contract acreage (as defined in section 102 of the 
        Federal Agriculture Improvement and Reform Act of 1996 (7 
        U.S.C. 7202)) used by the Secretary to calculate the fiscal 
        year 2002 payment that, subject to section 109, would be made 
        under section 114 of such Act (7 U.S.C. 7214) for the covered 
        commodity on the farm.
    (b) Single Election; Time for Election.--The opportunity to make 
the election described in subsection (a) shall be available to 
producers on a farm only once. The producers shall notify the Secretary 
of the election made by the producers under such subsection not later 
than 180 days after the date of the enactment of this Act.
    (c) Effect of Failure To Make Election.--If the producers on a farm 
fail to make the election under subsection (a), or fail to timely 
notify the Secretary of the selected option as required by subsection 
(b), the producers shall be deemed to have made the election described 
in subsection (a)(2) to determine base acres for all covered 
commodities on the farm.
    (d) Application of Election to All Covered Commodities.--The 
election made under subsection (a) or deemed to be made under 
subsection (c) with respect to a farm shall apply to all of the covered 
commodities on the farm. Producers may not make the election described 
in subsection (a)(1) for one covered commodity and the election 
described in subsection (a)(2) for other covered commodities on the 
farm.
    (e) Treatment of Conservation Reserve Contract Acreage.--
            (1) In general.--In the case of producers on a farm that 
        make the election described in subsection (a)(2), the Secretary 
        shall provide for an adjustment in the base acres for the farm 
        whenever either of the following circumstances occur:
                    (A) A conservation reserve contract entered into 
                under section 1231 of the Food Security Act of 1985 (16 
                U.S.C. 3831) with respect to the farm expires or is 
                voluntarily terminated.
                    (B) Cropland is released from coverage under a 
                conservation reserve contract by the Secretary.
            (2) Special payment rules.--For the fiscal year and crop 
        year in which a base acre adjustment under paragraph (1) is 
        first made, the producers on the farm shall elect to receive 
        either fixed decoupled payments and counter-cyclical payments 
        with respect to the acreage added to the farm under this 
        subsection or a prorated payment under the conservation reserve 
        contract, but not both.
    (f) Payments Acres.--The payment acres for a covered commodity on a 
farm shall be equal to 85 percent of the base acres for the commodity.
    (g) Prevention of Excess Payment Acres.--
            (1) Required reduction.--If the sum of the base acres for a 
        farm, together with the acreage described in paragraph (2), 
        exceeds the actual cropland acreage of the farm, the Secretary 
        shall make such reductions in the quantity of base acres for 
        the farm as may be necessary so that the sum of the base acres 
        and acreage described in paragraph (2) does not exceed the 
        actual cropland acreage of the farm.
            (2) Other acreage.--For purposes of paragraph (1), the 
        Secretary shall include the following:
                    (A) Any peanut acreage for the farm under chapter 3 
                of subtitle C.
                    (B) Any acreage on the farm enrolled in the 
                conservation reserve program or wetlands reserve 
                program under chapter 1 of subtitle D of title XII of 
                the Food Security Act of 1985 (16 U.S.C. 3830 et seq.).
                    (C) Any other acreage on the farm enrolled in a 
                conservation program for which payments are made in 
                exchange for not producing an agricultural commodity on 
                the acreage.

SEC. 104. AVAILABILITY OF FIXED, DECOUPLED PAYMENTS.

    (a) Payment Required.--For each of the 2002 through 2011 crop years 
of each covered commodity, the Secretary shall make fixed, decoupled 
payments to eligible producers.
    (b) Payment Rate.--The payment rates used to make fixed, decoupled 
payments with respect to covered commodities for a crop year are as 
follows:
            (1) Wheat, $0.53 per bushel.
            (2) Corn, $0.30 per bushel.
            (3) Grain sorghum, $0.36 per bushel.
            (4) Barley, $0.25 per bushel.
            (5) Oats, $0.025 per bushel.
            (6) Upland cotton, $0.0667 per pound.
            (7) Rice, $2.35 per hundredweight.
            (8) Soybeans, $0.42 per bushel.
            (9) Other oilseeds, $0.0074 per pound.
    (c) Payment Amount.--The amount of the fixed, decoupled payment to 
be paid to the eligible producers on a farm for a covered commodity for 
a crop year shall be equal to the product of the following:
            (1) The payment rate specified in subsection (b).
            (2) The payment acres of the covered commodity on the farm.
            (3) The payment yield for the covered commodity for the 
        farm.
    (d) Time for Payment.--
            (1) General rule.--Fixed, decoupled payments shall be paid 
        not later than September 30 of each of fiscal years 2002 
        through 2011. In the case of the 2002 crop, payments may begin 
        to be made on or after December 1, 2001.
            (2) Advance payments.--At the option of an eligible 
        producer, 50 percent of the fixed, decoupled payment for a 
        fiscal year shall be paid on a date selected by the producer. 
        The selected date shall be on or after December 1 of that 
        fiscal year, and the producer may change the selected date for 
        a subsequent fiscal year by providing advance notice to the 
        Secretary.
            (3) Repayment of advance payments.--If a producer that 
        receives an advance fixed, decoupled payment for a fiscal year 
        ceases to be an eligible producer before the date the fixed, 
        decoupled payment would otherwise have been made by the 
        Secretary under paragraph (1), the producer shall be 
        responsible for repaying the Secretary the full amount of the 
        advance payment.

SEC. 105. AVAILABILITY OF COUNTER-CYCLICAL PAYMENTS.

    (a) Payment Required.--The Secretary shall make counter-cyclical 
payments with respect to a covered commodity whenever the Secretary 
determines that the effective price for the commodity is less than the 
target price for the commodity.
    (b) Effective Price.--For purposes of subsection (a), the effective 
price for a covered commodity is equal to the sum of the following:
            (1) The higher of the following:
                    (A) The national average market price received by 
                producers during the 12-month marketing year for the 
                commodity, as determined by the Secretary.
                    (B) The national average loan rate for a marketing 
                assistance loan for the covered commodity in effect for 
                the same period under subtitle B.
            (2) The payment rate in effect for the covered commodity 
        under section 104 for the purpose of making fixed, decoupled 
        payments with respect to the commodity.
    (c) Target Price.--For purposes of subsection (a), the target 
prices for covered commodities are as follows:
            (1) Wheat, $4.04 per bushel.
            (2) Corn, $2.78 per bushel.
            (3) Grain sorghum, $2.64 per bushel.
            (4) Barley, $2.39 per bushel.
            (5) Oats, $1.47 per bushel.
            (6) Upland cotton, $0.736 per pound.
            (7) Rice, $10.82 per hundredweight.
            (8) Soybeans, $5.86 per bushel.
            (9) Other oilseeds, $0.1036 per pound.
    (d) Payment Rate.--The payment rate used to make counter-cyclical 
payments with respect to a covered commodity for a crop year shall be 
equal to the difference between--
            (1) the target price for the commodity; and
            (2) the effective price determined under subsection (b) for 
        the commodity.
    (e) Payment Amount.--The amount of the counter-cyclical payment to 
be paid to the eligible producers on a farm for a covered commodity for 
a crop year shall be equal to the product of the following:
            (1) The payment rate specified in subsection (d).
            (2) The payment acres of the covered commodity on the farm.
            (3) The payment yield for the covered commodity for the 
        farm.
    (f) Time for Payments.--
            (1) General rule.--The Secretary shall make counter-
        cyclical payments under this section for a crop of a covered 
        commodity as soon as possible after determining under 
        subsection (a) that such payments are required for that crop 
        year.
            (2) Partial payment.--The Secretary may permit, and, if so 
        permitted, an eligible producer may elect to receive, up to 50 
        percent of the projected counter-cyclical payment, as 
        determined by the Secretary, to be made under this section for 
        a crop of a covered commodity upon completion of the first six 
        months of the marketing year for that crop. The producer shall 
        repay to the Secretary the amount, if any, by which the partial 
        payment exceeds the actual counter-cyclical payment to be made 
        for that marketing year.
    (g) Special Rule for Currently Undesignated Oilseed.--If the 
Secretary uses the authority under section 100(8) to designate another 
oilseed as an oilseed for which counter-cyclical payments may be made, 
the Secretary may modify the target price specified in subsection 
(c)(9) that would otherwise apply to that oilseed as the Secretary 
considers appropriate.

SEC. 106. PRODUCER AGREEMENT REQUIRED AS CONDITION ON PROVISION OF 
              FIXED, DECOUPLED PAYMENTS AND COUNTER-CYCLICAL PAYMENTS.

    (a) Compliance With Certain Requirements.--
            (1) Requirements.--Before the producers on a farm may 
        receive fixed, decoupled payments or counter-cyclical payments 
        with respect to the farm, the producers shall agree, in 
        exchange for the payments--
                    (A) to comply with applicable conservation 
                requirements under subtitle B of title XII of the Food 
                Security Act of 1985 (16 U.S.C. 3811 et seq.);
                    (B) to comply with applicable wetland protection 
                requirements under subtitle C of title XII of the Act 
                (16 U.S.C. 3821 et seq.);
                    (C) to comply with the planting flexibility 
                requirements of section 107; and
                    (D) to use the land on the farm, in an amount equal 
                to the base acres, for an agricultural or conserving 
                use, and not for a nonagricultural commercial or 
                industrial use, as determined by the Secretary.
            (2) Compliance.--The Secretary may issue such rules as the 
        Secretary considers necessary to ensure producer compliance 
        with the requirements of paragraph (1).
    (b) Effect of Foreclosure.--A producer may not be required to make 
repayments to the Secretary of fixed, decoupled payments and counter-
cyclical payments if the farm has been foreclosed on and the Secretary 
determines that forgiving the repayments is appropriate to provide fair 
and equitable treatment. This subsection shall not void the 
responsibilities of the producer under subsection (a) if the producer 
continues or resumes operation, or control, of the farm. On the 
resumption of operation or control over the farm by the producer, the 
requirements of subsection (a) in effect on the date of the foreclosure 
shall apply.
    (c) Transfer or Change of Interest in Farm.--
            (1) Termination.--Except as provided in paragraph (4), a 
        transfer of (or change in) the interest of a producer in base 
        acres for which fixed, decoupled payments or counter-cyclical 
        payments are made shall result in the termination of the 
        payments with respect to the base acres, unless the transferee 
        or owner of the acreage agrees to assume all obligations under 
        subsection (a). The termination shall be effective on the date 
        of the transfer or change.
            (2) Transfer of payment base.--There is no restriction on 
        the transfer of a farm's base acres or payment yield as part of 
        a change in the producers on the farm.
            (3) Modification.--At the request of the transferee or 
        owner, the Secretary may modify the requirements of subsection 
        (a) if the modifications are consistent with the objectives of 
        such subsection, as determined by the Secretary.
            (4) Exception.--If a producer entitled to a fixed, 
        decoupled payment or counter-cyclical payment dies, becomes 
        incompetent, or is otherwise unable to receive the payment, the 
        Secretary shall make the payment, in accordance with 
        regulations prescribed by the Secretary.
    (d) Acreage Reports.--
            (1) In general.--As a condition on the receipt of any 
        benefits under this subtitle or subtitle B, the Secretary shall 
        require producers to submit to the Secretary acreage reports.
            (2) Conforming Amendment.--Section 15 of the Agricultural 
        Marketing Act (12 U.S.C. 1141j) is amended by striking 
        subsection (d).
    (e) 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.

SEC. 107. PLANTING FLEXIBILITY.

    (a) Permitted Crops.--Subject to subsection (b), any commodity or 
crop may be planted on base acres 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 base acres.
            (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 covered 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 base acres, 
                except that fixed, decoupled payments and counter-
                cyclical payments 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) fixed, decoupled payments and counter-
                        cyclical payments shall be reduced by an acre 
                        for each acre planted to the fruit or 
                        vegetable.

SEC. 108. RELATION TO REMAINING PAYMENT AUTHORITY UNDER PRODUCTION 
              FLEXIBILITY CONTRACTS.

    (a) Termination of Superseded Payment Authority.--Notwithstanding 
section 113(a)(7) of the Federal Agriculture Improvement and Reform Act 
of 1996 (7 U.S.C. 7213(a)(7)) or any other provision of law, the 
Secretary shall not make payments for fiscal year 2002 after the date 
of the enactment of this Act under production flexibility contracts 
entered into under section 111 of such Act (7 U.S.C. 7211).
    (b) Contract Payments Made Before Enactment.--If, on or before the 
date of the enactment of this Act, a producer receives all or any 
portion of the payment authorized for fiscal year 2002 under a 
production flexibility contract, the Secretary shall reduce the amount 
of the fixed, decoupled payment otherwise due the producer for that 
same fiscal year by the amount of the fiscal year 2002 payment 
previously received by the producer.

SEC. 109. PAYMENT LIMITATIONS.

    Sections 1001 through 1001C of the Food Security Act of 1985 (7 
U.S.C. 1308 through 1308-3) shall apply to fixed, decoupled payments 
and counter-cyclical payments. A producer eligible to receive a fixed, 
decoupled payment or counter-cyclical payment satisfies the 
requirements of section 1001A(b) of such Act.

SEC. 110. PERIOD OF EFFECTIVENESS.

    This subtitle shall be effective beginning with the 2002 crop year 
of each covered commodity through the 2011 crop year.

  Subtitle B--Marketing Assistance Loans and Loan Deficiency Payments

SEC. 121. AVAILABILITY OF NONRECOURSE MARKETING ASSISTANCE LOANS FOR 
              COVERED COMMODITIES.

    (a) Nonrecourse Loans Available.--
            (1) Availability.--For each of the 2002 through 2011 crops 
        of each covered commodity, the Secretary shall make available 
        to producers on a farm nonrecourse marketing assistance loans 
        for covered 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 122 
        for the covered commodity.
            (2) Inclusion of extra long staple cotton.--In this 
        subtitle, the term ``covered commodity'' includes extra long 
        staple cotton.
    (b) Eligible Production.--Any production of a covered commodity on 
a farm shall be eligible for a marketing assistance loan under 
subsection (a).
    (c) Treatment of Certain Commingled Commodities.--In carrying out 
this subtitle, the Secretary shall make loans to a producer that is 
otherwise eligible to obtain a marketing assistance loan, but for the 
fact the covered commodity owned by the producer is commingled with 
covered commodities of other producers in facilities unlicensed for the 
storage of agricultural commodities by the Secretary or a State 
licensing authority, if the producer obtaining the loan agrees to 
immediately redeem the loan collateral in accordance with section 166 
of the Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 
7286).
    (d) Compliance With Conservation and Wetlands Requirements.--As a 
condition of the receipt of a marketing assistance loan under 
subsection (a), the producer shall comply with applicable conservation 
requirements under subtitle B of title XII of the Food Security Act of 
1985 (16 U.S.C. 3811 et seq.) and applicable wetland protection 
requirements under subtitle C of title XII of the Act (16 U.S.C. 3821 
et seq.) during the term of the loan.
    (e) Definition of Extra Long Staple Cotton.--In this subtitle, the 
term ``extra long staple cotton'' means cotton that--
            (1) 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
            (2) is ginned on a roller-type gin or, if authorized by the 
        Secretary, ginned on another type gin for experimental 
        purposes.
    (e) Termination of Superseded Loan Authority.--Notwithstanding 
section 131 of the Federal Agriculture Improvement and Reform Act of 
1996 (7 U.S.C. 7231), nonrecourse marketing assistance loans shall not 
be made for the 2002 crop of covered commodities under subtitle C of 
title I of such Act.

SEC. 122. LOAN RATES FOR NONRECOURSE MARKETING ASSISTANCE LOANS.

    (a) Wheat.--
            (1) Loan rate.--Subject to paragraph (2), the loan rate for 
        a marketing assistance loan under section 121 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 five 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 and grain sorghum.--Subject to 
        paragraph (2), the loan rate for a marketing assistance loan 
        under section 121 for corn and grain sorghum shall be--
                    (A) not less than 85 percent of the simple average 
                price received by producers of corn or grain sorghum, 
                respectively, as determined by the Secretary, during 
                the marketing years for the immediately preceding five 
                crops of the covered commodity, 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 or grain sorghum 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 the covered 
                commodity 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 the 
                covered commodity 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 the covered commodity for the 
                corresponding crop.
            (3) Other feed grains.--The loan rate for a marketing 
        assistance loan under section 121 for barley and oats shall 
        be--
                    (A) 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, but
                    (B) not more than--
                            (i) $1.65 per bushel for barley; and
                            (ii) $1.21 per bushel for oats.
    (c) Upland Cotton.--
            (1) Loan rate.--Subject to paragraph (2), the loan rate for 
        a marketing assistance loan under section 121 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 three years of the five-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 five 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 121 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 three years of the five-
        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 121 for rice shall be $6.50 per hundredweight.
    (f) Oilseeds.--
            (1) Soybeans.--The loan rate for a marketing assistance 
        loan under section 121 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 five 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 more than $4.92 per bushel.
            (2) Other oilseeds.--The loan rate for a marketing 
        assistance loan under section 121 for other oilseeds shall be--
                    (A) not less than 85 percent of the simple average 
                price received by producers of the other oilseed, as 
                determined by the Secretary, during the marketing years 
                for the immediately preceding five crops of the other 
                oilseed, 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 $0.087 per pound.

SEC. 123. TERM OF LOANS.

    (a) Term of Loan.--In the case of each covered commodity (other 
than upland cotton or extra long staple cotton), a marketing assistance 
loan under section 121 shall have a term of nine 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 covered commodity.

SEC. 124. REPAYMENT OF LOANS.

    (a) Repayment Rates for Wheat, Feed Grains, and Oilseeds.--The 
Secretary shall permit a producer to repay a marketing assistance loan 
under section 121 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 122, 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 121 for upland cotton and rice at a rate that is the lesser 
of--
            (1) the loan rate established for the commodity under 
        section 122, 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 122, plus 
interest (as determined by the Secretary).
    (d) Prevailing World Market Price.--For purposes of this section 
and section 127, the Secretary shall prescribe by regulation--
            (1) a formula to determine the prevailing world market 
        price for each covered 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 covered 
        commodity.
    (e) Adjustment of Prevailing World Market Price for Upland 
Cotton.--
            (1) In general.--During the period beginning on the date of 
        the enactment of this Act and ending July 31, 2012, the 
        prevailing world market price for upland cotton (adjusted to 
        United States quality and location) established under 
        subsection (d) 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 122, 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.

SEC. 125. LOAN DEFICIENCY PAYMENTS.

    (a) Availability of Loan Deficiency Payments.--Except as provided 
in subsection (d), the Secretary may make loan deficiency payments 
available to producers who, although eligible to obtain a marketing 
assistance loan under section 121 with respect to a covered commodity, 
agree to forgo obtaining the loan for the commodity in return for 
payments under this section.
    (b) Computation.--A loan deficiency payment under this section 
shall be computed by multiplying--
            (1) the loan payment rate determined under subsection (c) 
        for the covered commodity; by
            (2) the quantity of the covered commodity produced by the 
        eligible producers, excluding any quantity for which the 
        producers obtain a loan under section 121.
    (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 122 for the 
        covered commodity; exceeds
            (2) the rate at which a loan for the commodity may be 
        repaid under section 124.
    (d) Exception for Extra Long Staple Cotton.--This section shall not 
apply with respect to extra long staple cotton.
    (e) Time for Payment.--The Secretary shall make a payment under 
this section to a producer with respect to a quantity of a covered 
commodity as of the earlier of the following:
            (1) The date on which the producer marketed or otherwise 
        lost beneficial interest in the commodity, as determined by the 
        Secretary.
            (2) The date the producer requests the payment.

SEC. 126. PAYMENTS IN LIEU OF LOAN DEFICIENCY PAYMENTS FOR GRAZED 
              ACREAGE.

    (a) Eligible Producers.--Effective for the 2002 through 2011 crop 
years, in the case of a producer that would be eligible for a loan 
deficiency payment under section 125 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 125(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 payment yield for that covered commodity on 
                the farm.
    (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 125.
            (2) Availability.--The Secretary shall establish an 
        availability period for the payment authorized by this section 
        that is consistent with the availability period for wheat, 
        barley, and oats established by the Secretary for marketing 
        assistance loans authorized by this subtitle.
    (d) Prohibition on Crop Insurance or Noninsured Crop Assistance.--A 
2002 through 2011 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 Federal Agriculture Improvement and Reform Act 
of 1996 (7 U.S.C. 7333).

SEC. 127. SPECIAL MARKETING LOAN PROVISIONS FOR UPLAND COTTON.

    (a) Cotton User Marketing Certificates.--
            (1) Issuance.--During the period beginning on the date of 
        the enactment of this Act and ending July 31, 2012, 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 four-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 122.
            (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 fourth week of the consecutive four-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 beginning on the 
                date of the enactment of this Act and ending July 31, 
                2012, as provided in this subsection.
                    (B) Program requirements.--Except as provided in 
                subparagraph (C), whenever the Secretary determines and 
                announces that for any consecutive four-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), 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).
                    (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 one week's 
        consumption of upland cotton by domestic mills at the 
        seasonally adjusted average rate of the most recent three 
        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).
            (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 213(d) of the Caribbean Basin Economic 
                Recovery Act (19 U.S.C. 2703(d));
                    (B) section 204 of the Andean Trade Preference Act 
                (19 U.S.C. 3203);
                    (C) section 503(d) of the Trade Act of 1974 (19 
                U.S.C. 2463(d)); and
                    (D) General Note 3(a)(iv) to the Harmonized Tariff 
                Schedule.
            (6) Definition.--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 five week's consumption of upland cotton by 
        domestic mills at the seasonally adjusted average rate of the 
        three 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 three 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 213(d) of the Caribbean Basin 
                        Economic Recovery Act (19 U.S.C. 2703(d));
                            (ii) section 204 of the Andean Trade 
                        Preference Act (19 U.S.C. 3203);
                            (iii) section 503(d) of the Trade Act of 
                        1974 (19 U.S.C. 2463(d)); 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 
                                three months for which data are 
                                available; and
                                    (II) the larger of--
                                            (aa) average exports of 
                                        upland cotton during the 
                                        preceding six 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).

SEC. 128. SPECIAL COMPETITIVE PROVISIONS FOR EXTRA LONG STAPLE COTTON.

    (a) Competitiveness Program.--Notwithstanding any other provision 
of law, during the period beginning on the date of the enactment of 
this Act and ending on July 31, 2012, 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 four-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) during the fourth week of the consecutive four-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 four-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.

SEC. 129. AVAILABILITY OF RECOURSE LOANS FOR HIGH MOISTURE FEED GRAINS 
              AND SEED COTTON AND OTHER FIBERS.

    (a) High Moisture Feed Grains.--
            (1) Recourse loans available.--For each of the 2002 through 
        2011 crops of corn and grain sorghum, the Secretary shall make 
        available recourse loans, as determined by the Secretary, to 
        producers on a farm 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 121.
    (b) Recourse Loans Available for Seed Cotton.--For each of the 2002 
through 2011 crops of upland cotton and extra long staple cotton, the 
Secretary shall make available recourse seed cotton loans, as 
determined by the Secretary, on any production.
    (c) Repayment Rates.--Repayment of a recourse loan made under this 
section shall be at the loan rate established for the commodity by the 
Secretary, plus interest (as determined by the Secretary).
    (d) Termination of Superseded Loan Authority.--Notwithstanding 
section 137 of the Federal Agriculture Improvement and Reform Act of 
1996 (7 U.S.C. 7237), recourse loans shall not be made for the 2002 
crop of corn, grain sorghum, and seed cotton under such section.

SEC. 130. AVAILABILITY OF NONRECOURSE MARKETING ASSISTANCE LOANS FOR 
              WOOL AND MOHAIR.

    (a) Nonrecourse Loans Available.--During the 2002 through 2011 
marketing years for wool and mohair, the Secretary shall make available 
to producers on a farm nonrecourse marketing assistance loans for wool 
and mohair produced on the farm during that marketing year.
    (b) Loan Rate.--The loan rate for a loan under subsection (a) shall 
be not more than--
            (1) $1.00 per pound for graded wool;
            (2) $0.40 per pound for nongraded wool; and
            (3) $4.20 per pound for mohair.
    (c) Term of Loan.--A loan under subsection (a) shall have a term of 
one year beginning on the first day of the first month after the month 
in which the loan is made.
    (d) Repayment Rates.--The Secretary shall permit a producer to 
repay a marketing assistance loan under subsection (a) for wool or 
mohair at a rate that is the lesser of--
            (1) the loan rate established for the commodity under 
        subsection (b), 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.
    (e) Loan Deficiency Payments.--
            (1) Availability.--The Secretary may make loan deficiency 
        payments available to producers that, although eligible to 
        obtain a marketing assistance loan under this section, agree to 
        forgo obtaining the loan in return for payments under this 
        section.
            (2) Computation.--A loan deficiency payment under this 
        subsection shall be computed by multiplying--
                    (A) the loan payment rate in effect under paragraph 
                (3) for the commodity; by
                    (B) the quantity of the commodity produced by the 
                eligible producers, excluding any quantity for which 
                the producers obtain a loan under this subsection.
            (3) Loan payment rate.--For purposes of this subsection, 
        the loan payment rate for wool or mohair shall be the amount by 
        which--
                    (A) the loan rate in effect for the commodity under 
                subsection (b); exceeds
                    (B) the rate at which a loan for the commodity may 
                be repaid under subsection (d).
            (4) Time for payment.--The Secretary shall make a payment 
        under this subsection to a producer with respect to a quantity 
        of a wool or mohair as of the earlier of the following:
                    (A) The date on which the producer marketed or 
                otherwise lost beneficial interest in the wool or 
                mohair, as determined by the Secretary.
                    (B) The date the producer requests the payment.
    (f) Limitations.--The marketing assistance loan gains and loan 
deficiency payments that a person may receive for wool and mohair under 
this section shall be subject to a separate payment limitation, but in 
the same dollar amount, as the payment limitation that applies to 
marketing assistance loans and loan deficiency payments received by 
producers of other agricultural commodities in the same marketing year.

SEC. 131. AVAILABILITY OF NONRECOURSE MARKETING ASSISTANCE LOANS FOR 
              HONEY.

    (a) Nonrecourse Loans Available.--During the 2002 through 2011 crop 
years for honey, the Secretary shall make available to producers on a 
farm nonrecourse marketing assistance loans for honey produced on the 
farm during that crop year.
    (b) Loan Rate.--The loan rate for a marketing assistance loan for 
honey under subsection (a) shall be equal to $0.60 cents per pound.
    (c) Term of Loan.--A marketing assistance loan under subsection (a) 
shall have a term of one year beginning on the first day of the first 
month after the month in which the loan is made.
    (d) Repayment Rates.--The Secretary shall permit a producer to 
repay a marketing assistance loan for honey under subsection (a) at a 
rate that is the lesser of--
            (1) the loan rate for honey, plus interest (as determined 
        by the Secretary); or
            (2) the prevailing domestic market price for honey, as 
        determined by the Secretary.
    (e) Loan Deficiency Payments.--
            (1) Availability.--The Secretary may make loan deficiency 
        payments available to any producer of honey that, although 
        eligible to obtain a marketing assistance loan under subsection 
        (a), agrees to forgo obtaining the loan in return for a payment 
        under this subsection.
            (2) Computation.--A loan deficiency payment under this 
        subsection shall be determined by multiplying--
                    (A) the loan payment rate determined under 
                paragraph (3); by
                    (B) the quantity of honey that the producer is 
                eligible to place under loan, but for which the 
                producer forgoes obtaining the loan in return for a 
                payment under this subsection.
            (3) Loan payment rate.--For the purposes of this 
        subsection, the loan payment rate shall be the amount by 
        which--
                    (A) the loan rate established under subsection (b); 
                exceeds
                    (B) the rate at which a loan may be repaid under 
                subsection (d).
            (4) Time for payment.--The Secretary shall make a payment 
        under this subsection to a producer with respect to a quantity 
        of a honey as of the earlier of the following:
                    (A) The date on which the producer marketed or 
                otherwise lost beneficial interest in the honey, as 
                determined by the Secretary.
                    (B) The date the producer requests the payment.
    (f) Limitations.--The marketing assistance loan gains and loan 
deficiency payments that a person may receive for a crop of honey under 
this section shall be subject to a separate payment limitation, but in 
the same dollar amount, as the payment limitation that applies to 
marketing assistance loans and loan deficiency payments received by 
producers of other agricultural commodities in the same crop year.
    (g) Prevention of Forfeitures.--The Secretary shall carry out this 
section in such a manner as to minimize forfeitures of honey marketing 
assistance loans.

                     Subtitle C--Other Commodities

                            CHAPTER 1--DAIRY

SEC. 141. MILK PRICE SUPPORT PROGRAM.

    (a) Support Activities.--During the period beginning on January 1, 
2002, and ending on December 31, 2011, 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.--During the period specified in subsection (a), the price 
of milk shall be supported at a rate equal to $9.90 per hundredweight 
for milk containing 3.67 percent butterfat.
    (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).
    (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, United States 
        Code, 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) Commodity Credit Corporation.--The Secretary shall carry out 
the program authorized by this section through the Commodity Credit 
Corporation.

SEC. 142. REPEAL OF RECOURSE LOAN PROGRAM FOR PROCESSORS.

    Section 142 of the Federal Agriculture Improvement and Reform Act 
of 1996 (7 U.S.C. 7252) is repealed.

SEC. 143. DAIRY EXPORT INCENTIVE PROGRAM.

    Section 153(a) of the Food Security Act of 1985 (15 U.S.C. 713a-
14(a)) is amended by striking ``2002'' and inserting ``2011''.

SEC. 144. FLUID MILK PROMOTION.

    (a) Definition of Fluid Milk Product.--Section 1999C of the Fluid 
Milk Promotion Act of 1990 (7 U.S.C. 6402) is amended by striking 
paragraph (3) and inserting the following new paragraph:
            ``(3) Fluid milk product.--The term `fluid milk product' 
        has the meaning given such term--
                    ``(A) in section 1000.15 of title 7, Code of 
                Federal Regulations, subject to such amendments as may 
                be made from time to time; or
                    ``(B) in any successor regulation providing a 
                definition of such term that is promulgated pursuant to 
                the Agricultural Adjustment Act (7 U.S.C. 601 et seq.), 
                reenacted with amendments by the Agricultural Marketing 
                Agreement Act of 1937.''.
    (b) Definition of Fluid Milk Processor.--Section 1999C(4) of the 
Fluid Milk Promotion Act of 1990 (7 U.S.C. 6402(4)) is amended by 
striking ``500,000'' and inserting ``3,000,000''.
    (c) Elimination of Order Termination Date.--Section 1999O of the 
Fluid Milk Promotion Act of 1990 (7 U.S.C. 6414) is amended--
            (1) by striking subsection (a); and
            (2) by redesignating subsections (b) and (c) as subsections 
        (a) and (b), respectively.

SEC. 145. DAIRY PRODUCT MANDATORY REPORTING.

    Section 273(b)(1)(B) of the Agricultural Marketing Act of 1946 (7 
U.S.C. 1637b(b)(1)(B)) is amended--
            (1) by inserting ``and substantially identical products 
        designated by the Secretary'' after ``dairy products'' the 
        first place it appears; and
            (2) by inserting ``and such substantially identical 
        products'' after ``dairy products'' the second place it 
        appears.

SEC. 146. FUNDING OF DAIRY PROMOTION AND RESEARCH PROGRAM.

    (a) Definitions.--Section 111 of the Dairy Production Stabilization 
Act of 1983 (7 U.S.C. 4502) is amended--
            (1) in subsection (k), by striking ``and'' at the end;
            (2) in subsection (l), by striking the period at the end 
        and inserting a semicolon; and
            (3) by adding at the end the following:
            ``(m) the term `imported dairy product' means any dairy 
        product that is imported into the United States, including 
        dairy products imported into the United States in the form of--
                    ``(1) milk, cream, and fresh and dried dairy 
                products;
                    ``(2) butter and butterfat mixtures;
                    ``(3) cheese; and
                    ``(4) casein and mixtures;
            ``(n) the term `importer' means a person that imports an 
        imported dairy product into the United States; and
            ``(o) the term `Customs' means the United States Customs 
        Service.''.
    (b) Representation of Importers on Board.--Section 113(b) of the 
Dairy Production Stabilization Act of 1983 (7 U.S.C. 4504(b)) is 
amended--
            (1) by inserting ``National Dairy Promotion and Research 
        Board.--'' after ``(b)'';
            (2) by designating the first through ninth sentences as 
        paragraphs (1) through (5) and paragraphs (7) through (10), 
        respectively, and indenting the paragraphs appropriately;
            (3) in paragraph (2) (as so designated), by striking 
        ``Members'' and inserting ``Except as provided in paragraph 
        (6), the members''; and
            (4) by inserting after paragraph (5) (as so designated) the 
        following:
            ``(6) Importers.--
                    ``(A) Representation.--The Secretary shall appoint 
                not more than 2 members who represent importers of 
                dairy products and are subject to assessments under the 
                order, to reflect the proportion of domestic production 
                and imports supplying the United States market, which 
                shall be based on the Secretary's determination of the 
                average volume of domestic production of dairy products 
                proportionate to the average volume of imports of dairy 
                products in the United States over the previous three 
                years.
                    ``(B) Additional members; nominations.--The members 
                appointed under this paragraph--
                            ``(i) shall be in addition to the total 
                        number of members appointed under paragraph 
                        (2); and
                            ``(ii) shall be appointed from nominations 
                        submitted by importers under such procedures as 
                        the Secretary determines to be appropriate.''.
    (c) Importer Assessment.--Section 113(g) of the Dairy Production 
Stabilization Act of 1983 (7 U.S.C. 4504(g)) is amended--
            (1) by inserting ``Assessments.--'' after ``(g)'';
            (2) by designating the first through fifth sentences as 
        paragraphs (1) through (5), respectively, and indenting 
        appropriately; and
            (3) by adding at the end the following:
            ``(6) Importers.--
                    ``(A) In general.--The order shall provide that 
                each importer of imported dairy products shall pay an 
                assessment to the Board in the manner prescribed by the 
                order.
                    ``(B) Time for payment.--The assessment on imported 
                dairy products shall be paid by the importer to Customs 
                at the time of the entry of the products into the 
                United States and shall be remitted by Customs to the 
                Board. For purposes of this subparagraph, entry of the 
                products into the United States shall be deemed to have 
                occurred when the products are released from custody of 
                Customs and introduced into the stream of commerce 
                within the United States. Importers include persons who 
                hold title to foreign-produced dairy products 
                immediately upon release by Customs, as well as persons 
                who act on behalf of others, as agents, brokers, or 
                consignees, to secure the release of dairy products 
                from Customs and the introduction of the released dairy 
                products into the stream of commerce.
                    ``(C) Rate.--The rate of assessment on imported 
                dairy products shall be determined in the same manner 
                as the rate of assessment per hundredweight or the 
                equivalent of milk.
                    ``(D) Value of products.--For the purpose of 
                determining the assessment on imported dairy products 
                under subparagraph (C), the value to be placed on 
                imported dairy products shall be established by the 
                Secretary in a fair and equitable manner.
                    ``(E) Use of Assessments on Imported Dairy.--
                Assessments collected on imported dairy products shall 
                not be used for foreign market promotion.''.
    (d) Records.--Section 113(k) of the Dairy Production Stabilization 
Act of 1983 (7 U.S.C. 4504(k)) is amended in the first sentence by 
striking ``person receiving'' and inserting ``importer of imported 
dairy products, each person receiving''.
    (e) Importer Eligibility To Vote in Referendum.--Section 116(b) of 
the Dairy Promotion Stabilization Act of 1983 (7 U.S.C. 4507(b)) is 
amended--
            (1) in the first sentence--
                    (A) by inserting after ``of producers'' the 
                following: ``and importers''; and
                    (B) by inserting after ``the producers'' the 
                following: ``and importers''; and
            (2) in the second sentence, by inserting after ``commercial 
        use'' the following: ``and importers voting in the referendum 
        (who have been engaged in the importation of dairy products 
        during the same representative period, as determined by the 
        Secretary).''.
    (f) Conforming Amendments To Reflect Addition of Importers.--
Section 110(b) of the Dairy Production Stabilization Act of 1983 (7 
U.S.C. 4501(b)) is amended--
            (1) in the first sentence--
                    (A) by inserting after ``commercial use'' the 
                following: ``and on imported dairy products''; and
                    (B) by striking ``products produced in the United 
                States.'' and inserting ``products.''; and
            (2) in the second sentence, by inserting after ``produce 
        milk'' the following: ``or the right of any person to import 
        dairy products''.

                            CHAPTER 2--SUGAR

SEC. 151. SUGAR PROGRAM.

    (a) Continuation of Program.--Subsection (i) of section 156 of the 
Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7251) 
is amended--
            (1) by striking ``(other than subsection (f))''; and
            (2) by striking ``2002 crops'' and inserting ``2011 
        crops''.
    (b) Termination of Marketing Assessment.--Effective as of October 
1, 2001, subsection (f) of such section is repealed.
    (c) Loan Rate Adjustments.--Subsection (c) of such section is 
amended--
            (1) by striking ``Reduction in Loan Rates'' and inserting 
        ``Loan Rate Adjustments''; and
            (2) in paragraph (1)--
                    (A) by striking ``Reduction required'' and 
                inserting ``Possible reduction''; and
                    (B) by striking ``shall'' and inserting ``may''.
    (d) Notification.--Subsection (e) of such section is amended by 
adding at the end the following new paragraph:
            ``(3) Prevention of onerous notification requirements.--The 
        Secretary may not impose or enforce any prenotification or 
        similar administrative requirement that has the effect of 
        preventing a processor from choosing to forfeit the loan 
        collateral upon the maturity of the loan.''.
    (e) In Process Sugar.--Such section is further amended by inserting 
after subsection (e) the following new subsection (f):
    ``(f) Loans for In-Process Sugar.--
            ``(1) Availability; rate.--The Secretary shall make 
        nonrecourse loans available to processors of domestically grown 
        sugarcane and sugar beets for in-process sugars and syrups 
        derived from such crops. The loan rate shall be equal to 80 
        percent of the loan rate applicable to raw cane sugar or 
        refined beet sugar, depending on the source material for the 
        in-process sugars and syrups.
            ``(2) Further processing upon forfeiture.--As a condition 
        on the forfeiture of in-process sugars and syrups serving as 
        collateral for a loan under paragraph (1), 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). 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 Corporation, which shall make a payment to the 
        processor in an amount equal to the difference between the loan 
        rate for raw cane sugar or refined beet sugar, whichever 
        applies, and the loan rate the processor received under 
        paragraph (1).
            ``(3) Loan conversion.--If the processor does not forfeit 
        the collateral as described in paragraph (2), 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 then obtain a loan 
        under subsection (a) or (b) on the raw cane sugar or refined 
        beet sugar, as appropriate.
            ``(4) Definition.--In this subsection the term `in-process 
        sugars and syrups' does not include raw sugar, liquid sugar, 
        invert sugar, invert syrup, or other finished products that are 
        otherwise eligible for loans under subsection (a) or (b).''.
    (f) Administration of Program.--Such section is further amended by 
adding at the end the following new subsection:
    ``(j) Avoiding Forfeitures; Corporation Inventory Disposition.--
            ``(1) No cost.--To the maximum extent practicable, the 
        Secretary shall operate the sugar 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.--In support of the objective 
        specified in paragraph (1), the Commodity Credit Corporation 
        may accept bids for commodities in the inventory of the 
        Corporation from (or otherwise make available such commodities, 
        on appropriate terms and conditions, to) processors of 
        sugarcane and processors of sugar beets (when the processors 
        are acting in conjunction with the producers of the sugarcane 
        or sugar beets processed by such processors) in return for the 
        reduction of production of raw cane sugar or refined beet 
        sugar, as appropriate. The authority provided under this 
        paragraph is in addition to any authority of the Corporation 
        under any other law.''.
    (g) Information Reporting.--Subsection (h) of such section is 
amended--
            (1) by redesignating paragraphs (2) and (3) as paragraphs 
        (4) and (5), respectively;
            (2) by inserting after paragraph (1) the following new 
        paragraphs:
            ``(2) Duty of producers to report.--
                    ``(A) Proportionate share states.--The Secretary 
                shall require a producer of sugarcane located in a 
                State (other than Puerto Rico) in which there are in 
                excess of 250 sugarcane producers to report, in the 
                manner prescribed by the Secretary, the producer's 
                sugarcane yields and acres planted to sugarcane.
                    ``(B) Other states.--The Secretary may require 
                producers of sugarcane or sugar beets not covered by 
                paragraph (1) to report, in the manner prescribed by 
                the Secretary, each producer's sugarcane or sugar beet 
                yields and acres planted to sugarcane or sugar beets, 
                respectively.
            ``(3) Duty of importers to report.--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, except such sugars, syrups, or molasses 
        that are within the quantities of tariff-rate quotas that are 
        at the lower rate of duties, to report, in the manner 
        prescribed by the Secretary, the quantities of such products 
        imported and the sugar content or equivalent of such 
        products.''; and
            (3) in paragraph (5), as so redesignated, by striking 
        ``paragraph (1)'' and inserting ``this subsection''.
    (h) Interest Rate.--Section 163 of the Federal Agriculture 
Improvement and Reform Act of 1996 (7 U.S.C. 7283) is amended by adding 
at the end the following new sentence: ``For purposes of this section, 
raw cane sugar, refined beet sugar, and in process sugar eligible for a 
loan under section 156 shall not be considered an agricultural 
commodity.''.

SEC. 152. REAUTHORIZE PROVISIONS OF AGRICULTURAL ADJUSTMENT ACT OF 1938 
              REGARDING SUGAR.

    (a) Information Reporting.--Section 359a of the Agricultural 
Adjustment Act of 1938 (7 U.S.C. 1359aa) is repealed.
    (b) Estimates.--Section 359b of the Agricultural Adjustment Act of 
1938 (7 U.S.C. 1359bb) is amended:
            (1) in the section heading--
                    (A) by inserting ``flexible'' before ``marketing''; 
                and
                    (B) by striking ``and crystalline fructose'';
            (2) in subsection (a)--
                    (A) in paragraph (1)--
                            (i) by striking ``Before'' and inserting 
                        ``Not later than August 1 before'';
                            (ii) by striking ``1992 through 1998'' and 
                        inserting ``2002 through 2011'';
                            (iii) in subparagraph (A), by striking 
                        ``(other than sugar'' and all that follows 
                        through ``stocks'';
                            (iv) by redesignating subparagraphs (B) and 
                        (C) as subparagraphs (C) and (E), respectively;
                            (v) by inserting after subparagraph (A) the 
                        following:
                    ``(B) the quantity of sugar that would provide for 
                reasonable carryover stocks;'';
                            (vi) in subparagraph (C), as so 
                        redesignated--
                                    (I) by striking ``or'' through 
                                ``beets''; and
                                    (II) by striking the ``and'' 
                                following the semicolon;
                            (vii) by inserting after subparagraph (C), 
                        as so redesignated, the following:
                    ``(D) the quantity of sugar that will be available 
                from the domestic processing of sugarcane and sugar 
                beets; and''; and
                            (viii) in subparagraph (E), as so 
                        redesignated--
                                    (I) by striking ``quantity of 
                                sugar'' and inserting ``quantity of 
                                sugars, syrups, and molasses'';
                                    (II) by inserting ``human'' after 
                                ``imported for'';
                                    (III) by inserting after 
                                ``consumption'' the following: ``or to 
                                be used for the extraction of sugar for 
                                human consumption'';
                                    (IV) by striking ``year'' and 
                                inserting ``year, whether such articles 
                                are under a tariff-rate quota or are in 
                                excess or outside of a tariff rate 
                                quota''; and
                                    (V) by striking ``in (other than 
                                sugar'' and all that follows through 
                                ``carry-in stocks'';
                    (B) by redesignating paragraph (2) as paragraph 
                (3);
                    (C) by inserting after paragraph (1) the following 
                new paragraph:
            ``(2) Exclusion.--The estimates in this section shall not 
        include sugar imported for the production of polyhydric alcohol 
        or to be refined and re-exported in refined form or in sugar 
        containing products.'';
                    (D) in paragraph (3), as so redesignated--
                            (i) by amending the heading to read 
                        ``reestimates''; and
                            (ii) by inserting ``as necessary, but'' 
                        after ``a fiscal year'';
            (3) in subsection (b)--
                    (A) by striking paragraph (1) and inserting the 
                following new paragraph:
            ``(1) In general.--By the beginning of each fiscal year, 
        the Secretary shall establish for that fiscal year appropriate 
        allotments under section 359c for the marketing by processors 
        of sugar processed from sugar beets and from domestically-
        produced sugarcane at a level that the Secretary estimates will 
        result in no forfeitures of sugar to the Commodity Credit 
        Corporation under the loan program for sugar.''; and
                    (B) in paragraph (2), by striking ``or crystalline 
                fructose'';
            (4) by striking subsection (c);
            (5) by redesignating subsection (d) as subsection (c); and
            (6) in subsection (c), as so redesignated--
                    (A) by striking paragraph (2);
                    (B) by redesignating paragraphs (3) and (4) as 
                paragraphs (2) and (3), respectively; and
                    (C) in paragraph (2), as so redesignated--
                            (i) by striking ``or manufacturer'' through 
                        ``(2)''; and
                            (ii) by striking ``or crystalline 
                        fructose''.
    (c) Establishment.--Section 359c of the Agricultural Adjustment Act 
of 1938 (7 U.S.C. 1359cc) is amended--
            (1) in the section heading by inserting ``flexible'' after 
        ``of'';
            (2) in subsection (a), by inserting ``flexible'' after 
        ``establish'';
            (3) in subsection (b)--
                    (A) in paragraph (1)(A), by striking ``1,250,000'' 
                and inserting ``1,532,000''; and
                    (B) in paragraph (2), by striking ``to the maximum 
                extent practicable'';
            (4) by striking subsection (c) and inserting the following 
        new subsection:
    ``(c) Marketing Allotment for Sugar Derived From Sugar Beets and 
Marketing Allotment for Sugar Derived From Sugarcane.--The overall 
allotment quantity for the fiscal year shall be allotted among--
            ``(1) sugar derived from sugarbeets by establishing a 
        marketing allotment for a fiscal year at a quantity equal to 
        the product of multiplying the overall allotment quantity for 
        the fiscal year by the percentage of 54.35; and
            ``(2) sugar derived from sugarcane by establishing a 
        marketing allotment for a fiscal year at a quantity equal to 
        the product of multiplying the overall allotment quantity for 
        the fiscal year by the percentage of 45.65.'';
            (5) by amending subsection (d) to read as follows:
    ``(d) Filling Cane Sugar and Beet Sugar Allotments.--Each marketing 
allotment for cane sugar established under this section may only be 
filled with sugar processed from domestically grown sugarcane, and each 
marketing allotment for beet sugar established under this section may 
only be filled with sugar domestically processed from sugar beets.'';
            (6) by striking subsection (e);
            (7) by redesignating subsection (f) as subsection (e);
            (8) in subsection (e), as so redesignated--
                    (A) by inserting ``(1) In general.--'' before ``The 
                allotment for sugar'' and indenting such paragraph 
                appropriately;
                    (B) in such paragraph (1)--
                            (i) by striking ``the 5'' and inserting 
                        ``the'';
                            (ii) by inserting after ``sugarcane is 
                        produced,'' the following: ``after a hearing, 
                        if requested by the affected sugar cane 
                        processors and growers, and on such notice as 
                        the Secretary by regulation may prescribe,'';
                            (iii) by striking ``on the basis of past 
                        marketings'' and all that follows through 
                        ``allotments'', and inserting ``as provided in 
                        this subsection and section 
                        359(d)(a)(2)(A)(iv)''; and
                    (C) by inserting after paragraph (1) the following 
                new paragraphs:
            ``(2) Offshore allotment.--
                    ``(A) Collectively.--Prior to the allotment of 
                sugar derived from sugarcane to any other State, 
                325,000 short tons, raw value shall be allotted to the 
                offshore States.
                    ``(B) Individually.--The collective offshore State 
                allotment provided for under subparagraph (A) shall be 
                further allotted among the offshore States in which 
                sugarcane is produced, after a hearing if requested by 
                the affected sugar cane processors and growers, and on 
                such notice as the Secretary by regulation may 
                prescribe, in a fair and equitable manner on the basis 
                of--
                            ``(i) past marketings of sugar, based on 
                        the average of the 2 highest years of 
                        production of raw cane sugar from the 1996 
                        through 2000 crops;
                            ``(ii) the ability of processors to market 
                        the sugar covered under the allotments for the 
                        crop year; and
                            ``(iii) past processings of sugar from 
                        sugarcane based on the 3 year average of the 
                        crop years 1998 through 2000.
            ``(3) Mainland allotment.--The allotment for sugar derived 
        from sugarcane, less the amount provided for under paragraph 
        (2), shall be allotted among the mainland States in the United 
        States in which sugarcane is produced, after a hearing if 
        requested by the affected sugar cane processors and growers, 
and on such notice as the Secretary by regulation may prescribe, in a 
fair and equitable manner on the basis of--
                    ``(A) past marketings of sugar, based on the 
                average of the 2 highest years of production of raw 
                cane sugar from the 1996 through 2000 crops;
                    ``(B) the ability of processors to market the sugar 
                covered under the allotments for the crop year; and
                    ``(C) past processings of sugar from sugarcane, 
                based on the 3 crop years with the greatest processings 
                (in the mainland States collectively) during the 1991 
                through 2000 crop years.'';
            (9) by inserting after subsection (e), as so redesignated, 
        the following new subsection (f):
    ``(f) Filling Cane Sugar Allotments.--Except as otherwise provided 
in section 359e, a State cane sugar allotment established under 
subsection (e) for a fiscal year may be filled only with sugar 
processed from sugarcane grown in the State covered by the 
allotment.'';
            (10) in subsection (g)--
                    (A) in paragraph (1), by striking ``359b(a)(2)--'' 
                through the end of subparagraph (C) and inserting 
                ``359b(a)(3), adjust upward or downward marketing 
                allotments in a fair and equitable manner'';
                    (B) in paragraph (2) by striking ``359f(b)'' and 
                inserting ``359f(c)''; and
                    (C) in paragraph (3)--
                            (i) by striking ``Reductions'' and 
                        inserting ``Carry-over of reductions'';
                            (ii) by inserting after ``this subsection, 
                        if'' the following: ``at the time of the 
                        reduction'';
                            (iii) by striking ``price support'' and 
                        inserting ``nonrecourse'';
                            (iv) by striking ``206'' through ``the 
                        allotment'' and inserting ``156 of the 
                        Agricultural Market Transition Act (7 U.S.C. 
                        7272),''; and
                            (v) by striking ``, if any,''; and
            (11) by amending subsection (h) to read as follows:
    ``(h) Suspension of Allotments.--Whenever the Secretary estimates, 
or reestimates, under section 359b(a), or has reason to believe that 
imports of sugars, syrups or molasses for human consumption or to be 
used for the extraction of sugar for human consumption, whether under a 
tariff-rate quota or in excess or outside of a tariff-rate quota, will 
exceed 1.532 million short tons, raw value equivalent, and that such 
imports would lead to a reduction of the overall allotment quantity, 
the Secretary shall suspend the marketing allotments until such time as 
such imports have been restricted, eliminated, or otherwise reduced to 
or below the level of 1.532 million tons.''.
    (d) Allocation.--Section 359d of the Agricultural Adjustment Act of 
1938 (7 U.S.C. 1359dd) is amended--
            (1) in subsection (a)(2)(A)--
                    (A) by inserting ``(i) In general.--'' before ``The 
                Secretary shall'' and indenting such clause 
                appropriately;
                    (B) in clause (i), as so designated--
                            (ii) by striking ``interested parties'' and 
                        inserting ``the affected sugar cane processors 
                        and growers'';
                            (iii) by striking ``by taking'' through 
                        ``allotment allocated.'' and inserting ``with 
                        this subparagraph.''; and
                            (iv) by inserting at the end the following 
                        new sentence: ``Each such allocation shall be 
                        subject to adjustment under section 359c(g).'';
                    (C) by inserting after clause (i) the following new 
                clause:
                            ``(ii) Multiple processor states.--Except 
                        as provided in clause (iii), the Secretary 
                        shall allocate the allotment for cane sugar 
                        among multiple cane sugar processors in a 
                        single State based upon--
                                    ``(I) past marketings of sugar, 
                                based on the average of the 2 highest 
                                years of production of raw cane sugar 
                                from among the 1996 through 2000 crops;
                                    ``(II) the ability of processors to 
                                market sugar covered by that portion of 
                                the allotment allocated for the crop 
                                year;
                                    ``(III) past processings of sugar 
                                from sugarcane, based on the average of 
                                the 3 highest years from among crop 
                                years 1996 through 2000; and
                                    ``(IV) however, only with respect 
                                to allotments under subclauses (I), 
                                (II), and (III) attributable to the 
                                former operations of the Talisman 
                                processing facility, shall be allocated 
                                among processors in the State 
                                coincident with the provisions of the 
                                agreements of March 25 and March 26, 
                                1999, between the affected processors 
                                and the Department of the Interior.
                            ``(iii) Proportionate share states.--In the 
                        case of States subject to section 359f(c), the 
                        Secretary shall allocate the allotment for cane 
                        sugar among multiple cane sugar processors in a 
                        single state based upon--
                                    ``(I) past marketings of sugar, 
                                based on the average of the two highest 
                                years of production of raw cane sugar 
                                from among the 1997 through 2001 crop 
                                years;
                                    ``(II) the ability of processors to 
                                market sugar covered by that portion of 
                                the allotments allocated for the crop 
                                year; and
                                    ``(III) past processings of sugar 
                                from sugarcane, based on the average of 
                                the two highest crop years from the 
                                five crop years 1997 through 2001.
                            ``(iv) New entrants.--Notwithstanding 
                        clauses (ii) and (iii), the Secretary, on 
                        application of any processor that begins 
                        processing sugarcane on or after the date of 
                        enactment of this clause, and after a hearing 
                        if requested by the affected sugarcane 
                        processors and growers, and on such notice as 
                        the Secretary by regulation may prescribe, may 
                        provide such processor with an allocation which 
                        provides a fair, efficient and equitable 
                        distribution of the allocations from the 
                        allotment for the State in which the processor 
                        is located and, in the case of proportionate 
                        share States, shall establish proportionate 
                        shares in an amount sufficient to produce the 
                        sugarcane required to satisfy such allocations. 
                        However, the allotment for a new processor 
                        under this clause shall not exceed 50,000 short 
                        tons, raw value.
    ``(v) Transfer of ownership.--Except as otherwise provided in 
section 359f(c)(8), in the event that a sugarcane processor is sold or 
otherwise transferred to another owner, or closed as part of an 
affiliated corporate group processing consolidation, the Secretary 
shall transfer the allotment allocation for the processor to the 
purchaser, new owner, or successor in interest, as applicable, of the 
processor.''; and
            (2) in subsection (a)(2)(B)--
                    (A) by striking ``interested parties'' and 
                inserting ``the affected sugar beet processors and 
                growers''; and
                    (B) by striking ``processing capacity'' through 
                ``allotment allocated'' and inserting the following: 
                ``the marketings of sugar processed from sugar beets of 
                any or all of the 1996 through 2000 crops, and such 
                other factors as the Secretary may deem appropriate 
                after consultation with the affected sugar beet 
                processors and growers. However, in the case of any 
                processor which has started processing sugar beets 
                after January 1, 1996, the Secretary shall provide such 
                processor with an allocation which provides a fair, 
                efficient and equitable distribution of the 
                allocations.''.
    (e) Reassignment.--Section 359e(b) of the Agricultural Adjustment 
Act of 1938 (7 U.S.C. 1359ee(b)) is amended--
            (1) in paragraph (1)--
                    (A) in subparagraph (B) by striking the ``and'' 
                after the semicolon;
                    (B) by redesignating subparagraph (C) as 
                subparagraph (D);
                    (C) by inserting after subparagraph (B) the 
                following new subparagraph:
                    ``(C) if after the reassignments, the deficit 
                cannot be completely eliminated, the Secretary shall 
                reassign the estimated quantity of the deficit to the 
                sale of any inventories of sugar held by the Commodity 
                Credit Corporation; and''; and
                    (D) in subparagraph (D), as so redesignated, by 
                inserting ``and sales'' after ``reassignments''; and
            (2) in paragraph (2)--
                    (A) in subparagraph (A) by striking the ``and'' 
                after the semicolon;
                    (B) in subparagraph (B), by striking ``reassign the 
                remainder to imports.'' and inserting ``use the 
                estimated quantity of the deficit for the sale of any 
                inventories of sugar held by the Commodity Credit 
                Corporation; and''; and
                    (C) by inserting after subparagraph (B) the 
                following new subparagraph:
                    ``(C) if after such reassignments and sales, the 
                deficit cannot be completely eliminated, the Secretary 
                shall reassign the remainder to imports.''.
    (f) Producer Provisions.--Section 359f of the Agricultural 
Adjustment Act of 1938 (7 U.S.C. 1359ff) is amended--
            (1) in subsection (a)--
                    (A) by striking ``processor's allocation'' in the 
                second sentence and inserting ``allocation to the 
                processor''; and
                    (B) by inserting after ``request of either party'' 
                the following: ``, and such arbitration should be 
                completed within 45 days, but not more than 60 days, of 
                the request'';
            (2) by redesignating subsection (b) as subsection (c);
            (3) by inserting after subsection (a) the following new 
        subsection:
    ``(b) Sugar Beet Processing Facility Closures.-- In the event that 
a sugar beet processing facility is closed and the sugar beet growers 
who previously delivered beets to such facility desire to deliver their 
beets to another processing company:
            ``(1) Such growers may petition the Secretary to modify 
        existing allocations to accommodate such a transition; and
            ``(2) The Secretary may increase the allocation to the 
        processing company to which the growers desire to deliver their 
        sugar beets, and which the processing company agrees to accept, 
        not to exceed its processing capacity, to accommodate the 
        change in deliveries.
            ``(3) Such increased allocation shall be deducted from the 
        allocation to the company that owned the processing facility 
        that has been closed and the remaining allocation will be 
        unaffected.
            ``(4) The Secretary's determination on the issues raised by 
        the petition shall be made within 60 days of the filing of the 
        petition.'';
            (4) in subsection (c), as so redesignated--
                    (A) in paragraph (3)(A), by striking ``the 
                preceding five years'' and inserting ``the two highest 
                years from among the years 1999, 2000, and 2001'';
                    (B) in paragraph (4), subparagraph (A), by striking 
                ``each'' through ``in effect'' and inserting ``the two 
                highest of the three (3) crop years 1999, 2000, and 
                2001''; and
                    (C) by inserting after paragraph (7) the following 
                new paragraph:
            ``(8) Processing facility closures.--In the event that a 
        sugarcane processing facility subject to this subsection is 
        closed and the sugarcane growers who previously delivered 
        sugarcane to such facility desire to deliver their sugarcane to 
        another processing company--
                    ``(A) such growers may petition the Secretary to 
                modify existing allocations to accommodate such a 
                transition;
                    ``(B) the Secretary may increase the allocation to 
                the processing company to which the growers desire to 
                deliver the sugarcane, and which the processing company 
                agrees to accept, not to exceed its processing 
                capacity, to accommodate the change in deliveries;
                    ``(C) such increased allocation shall be deducted 
                from the allocation to the company that owned the 
                processing facility that has been closed and the 
                remaining allocation will be unaffected; and
                    ``(D) the Secretary's determination on the issues 
                raised by the petition shall be made within 60 days of 
                the filing of the petition.''.
    (g) Conforming Amendments.--(1) The heading of part VII of subtitle 
B of Title III of the Agricultural Adjustment Act of 1938 (7 U.S.C. 
359aa et seq.) is amended to read as follows:

         ``PART VII--FLEXIBLE MARKETING ALLOTMENTS FOR SUGAR''.

    (2) Section 359g of the Agricultural Adjustment Act of 1938 (7 
U.S.C. 1359gg) is amended--
            (A) by striking ``359f'' each place it appears and 
        inserting ``359f(c);
            (B) in subsection (b), by striking ``3 consecutive'' and 
        inserting ``5 consecutive''; and
            (C) in subsection (c), by inserting ``or adjusted'' after 
        ``share established''.
    (3) Section 359j(c) of the Agricultural Adjustment Act of 1938 (7 
U.S.C. 1359jj) is amended--
            (2) by amending the heading to read ``Definitions.--'';
                    (B) by striking ``Notwithstanding'' and inserting 
                the following:
            ``(1) United states and state.--Notwithstanding''; and
                    (C) by inserting after such paragraph (1) the 
                following new paragraph:
            ``(2) Offshore states.--For purposes of this part, the term 
        `offshore States' means the sugarcane producing States located 
        outside of the continental United States.''.
    (h) Lifting of Suspension.--Section 171(a)(1)(E) of the Federal 
Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7301(a)(1)(E)) 
is amended by inserting before the period at the end the following: ``, 
but only with respect to sugar marketings through fiscal year 2002''.

SEC. 153. STORAGE FACILITY LOANS.

    (a) Storage Facility Loan Program.--Notwithstanding any other 
provision of law and as soon as practicable after the date of enactment 
of this section, the Commodity Credit Corporation shall amend part 1436 
of title 7, Code of Federal Regulations, to establish a sugar storage 
facility loan program to provide financing for processors of 
domestically-produced sugarcane and sugar beets to build or upgrade 
storage and handling facilities for raw sugars and refined sugars.
    (b) Eligible Processors.--Storage facility loans shall be made 
available to any processor of domestically produced sugarcane or sugar 
beets that has a satisfactory credit history, determines a need for 
increased storage capacity (taking into account the effects of 
marketing allotments), and demonstrates an ability to repay the loan.
    (c) Term of Loans.--Storage facility loans shall be for a minimum 
of seven years, and shall be in such amounts and on such terms and 
conditions (including down payment, security requirements, and eligible 
equipment) as are normal, customary, and appropriate for the size and 
commercial nature of the borrower.
    (d) Administration.--The sugar storage facility loan program shall 
be administered using the services, facilities, funds, and authorities 
of the Commodity Credit Corporation.

                           CHAPTER 3--PEANUTS

SEC. 161. DEFINITIONS.

    In this chapter:
            (1) Counter-cyclical payment.--The term ``counter-cyclical 
        payment'' means a payment made to producers under section 164.
            (2) Effective price.--The term ``effective price'' means 
        the price calculated by the Secretary under section 164 for 
        peanuts to determine whether counter-cyclical payments are 
        required to be made under such section for a crop year.
            (3) Eligible peanut producer.--The term ``eligible 
        producer'' means a producer on a farm in the United States that 
        produced or attempted to produce peanuts during any or all of 
        crop years 1998, 1999, 2000, and 2001.
            (4) Fixed, decoupled payment.--The term ``fixed, decoupled 
        payment'' means a payment made to producers under section 163.
            (5) Payment acres.--The term ``payment acres'' means 85 
        percent of the peanut acres on a farm, as established under 
        section 162, upon which fixed, decoupled payments and counter-
        cyclical payments are to be made.
            (6) Peanut acres.--The term ``peanut acres'' means the 
        number of acres planted and prevented from being planted to 
        peanuts for harvest on the farm over a certain number of crop 
        years, as established under section 162.
            (7) Payment yield.--The term ``payment yield'' means the 
        yield established under section 162 for a farm for peanuts.
            (8) Producer.--The term ``producer'' means an owner, 
        operator, landlord, tenant, or sharecropper who shares in the 
        risk of producing a crop of peanuts and who is entitled to 
        share in the crop available for marketing from the farm, or 
        would have shared had the crop been produced.
            (9) Secretary.--The term ``Secretary'' means the Secretary 
        of Agriculture.
            (10) 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.
            (11) Target price.--The term ``target price'' means the 
        price per ton of peanuts used to determine the payment rate for 
        counter-cyclical payments.
            (12) United states.--The term ``United States'', when used 
        in a geographical sense, means all of the States.

SEC. 162. ESTABLISHMENT OF PAYMENT YIELD, PEANUT ACRES, AND PAYMENT 
              ACRES FOR A FARM.

    (a) Establishment of Payment Yield.--
            (1) Establishment and purpose.--For the purpose of making 
        fixed decoupled payments and counter-cyclical payments to 
        eligible peanut producers under this chapter, the Secretary 
        shall provide for the establishment of a payment yield for each 
        peanut farm in accordance with this subsection.
            (2) Average yield.--The Secretary shall establish a payment 
        yield for peanuts on a farm by first determining the average 
        yield for peanuts on the farm for the 1998 through 2001 crop 
        years, excluding any crop year in which the yield was zero. If, 
        for any of these four crop years in which peanuts were planted, 
        the farm would have satisfied the eligibility criteria 
        established to carry out section 1102 of the Agriculture, Rural 
        Development, Food and Drug Administration, and Related Agencies 
        Appropriations Act, 1999 (7 U.S.C. 1421 note; Public Law 105-
        277), the Secretary shall assign a yield for that year equal to 
        65 percent of the county yield, as determined by the Secretary.
    (b) Peanuts Acres.--The peanut acres for a farm shall be equal to 
the four-year average of acreage actually planted on the farm in 
peanuts for harvest during crop years 1998, 1999, 2000, and 2001 and 
any acreage on the farm that the producers were prevented from planting 
to peanuts during such crop years because of drought, flood, or other 
natural disaster, or other condition beyond the control of the 
producer, as determined by the Secretary.
    (c) Payments Acres.--The payment acres for peanuts on a farm shall 
be equal to 85 percent of the peanut acres for the farm.
    (d) Prevention of Excess Payment Acres.--
            (1) Required reduction.--If the sum of the peanut acres for 
        a farm, together with the acreage described in paragraph (2), 
        exceeds the actual cropland acreage of the farm, the Secretary 
        shall make such reductions in the quantity of peanut acres for 
        the farm as may be necessary so that the sum of the peanut 
        acres and acreage described in paragraph (2) does not exceed 
        the actual cropland acreage of the farm.
            (2) Other acreage.--For purposes of paragraph (1), the 
        Secretary shall include the following:
                    (A) Any base acres for the farm under subtitle A.
                    (B) Any acreage on the farm enrolled in the 
                conservation reserve program or wetlands reserve 
                program under chapter 1 of subtitle D of title XII of 
                the Food Security Act of 1985 (16 U.S.C. 3830 et seq.).
                    (C) Any other acreage on the farm enrolled in a 
                conservation program for which payments are made in 
                exchange for not producing an agricultural commodity on 
                the acreage.

SEC. 163. AVAILABILITY OF FIXED, DECOUPLED PAYMENTS FOR PEANUTS.

    (a) Payment Required.--For each of the 2002 through 2011 crop 
years, the Secretary shall make fixed, decoupled payments to eligible 
peanut producers on a farm.
    (b) Payment Rate.--The payment rate used to make fixed, decoupled 
payments with respect to peanuts for a crop year shall be equal to $36 
per ton.
    (c) Payment Amount.--The amount of the fixed, decoupled payment to 
be paid to the eligible peanut producers on a farm for a covered 
commodity for a crop year shall be equal to the product of the 
following:
            (1) The payment rate specified in subsection (b).
            (2) The payment acres on the farm.
            (3) The payment yield for the farm.
    (d) Time for Payment.--
            (1) General rule.--Fixed, decoupled payments shall be paid 
        not later than September 30 of each of fiscal years 2002 
        through 2011. In the case of the 2002 crop, payments may begin 
        to be made on or after December 1, 2001.
            (2) Advance payments.--At the option of an eligible peanut 
        producer, 50 percent of the fixed, decoupled payment for a 
        fiscal year shall be paid on a date selected by the producer. 
        The selected date shall be on or after December 1 of that 
        fiscal year, and the producer may change the selected date for 
        a subsequent fiscal year by providing advance notice to the 
        Secretary.
            (3) Repayment of advance payments.--If a producer that 
        receives an advance fixed, decoupled payment for a fiscal year 
        ceases to be an eligible peanut producer before the date the 
        fixed, decoupled payment would otherwise have been made by the 
        Secretary under paragraph (1), the producer shall be 
        responsible for repaying the Secretary the full amount of the 
        advance payment.

SEC. 164. AVAILABILITY OF COUNTER-CYCLICAL PAYMENTS FOR PEANUTS.

    (a) Payment Required.--During the 2002 through 2011 crop years for 
peanuts, the Secretary shall make counter-cyclical payments with 
respect to peanuts whenever the Secretary determines that the effective 
price for peanuts is less than the target price.
    (b) Effective Price.--For purposes of subsection (a), the effective 
price for peanuts is equal to the sum of the following:
            (1) The higher of the following:
                    (A) The national average market price received by 
                producers during the 12-month marketing year for 
                peanuts, as determined by the Secretary.
                    (B) The national average loan rate for a marketing 
                assistance loan for peanuts in effect for the same 
                period under this chapter.
            (2) The payment rate in effect under section 163 for the 
        purpose of making fixed, decoupled payments.
    (c) Target Price.--For purposes of subsection (a), the target price 
for peanuts shall be equal to $480 per ton.
    (d) Payment Rate.--The payment rate used to make counter-cyclical 
payments for a crop year shall be equal to the difference between--
            (1) the target price; and
            (2) the effective price determined under subsection (b).
    (e) Payment Amount.--The amount of the counter-cyclical payment to 
be paid to the eligible peanut producers on a farm for a crop year 
shall be equal to the product of the following:
            (1) The payment rate specified in subsection (d).
            (2) The payment acres on the farm.
            (3) The payment yield for the farm.
    (f) Time for Payments.--
            (1) General rule.--The Secretary shall make counter-
        cyclical payments under this section for a peanut crop as soon 
        as possible after determining under subsection (a) that such 
        payments are required for that crop year.
            (2) Partial payment.--The Secretary may permit, and, if so 
        permitted, an eligible peanut producer may elect to receive, up 
        to 50 percent of the projected counter-cyclical payment, as 
        determined by the Secretary, to be made under this section for 
        a peanut crop upon completion of the first six months of the 
        marketing year for that crop. The producer shall repay to the 
        Secretary the amount, if any, by which the partial payment 
        exceeds the actual counter-cyclical payment to be made for that 
        crop.

SEC. 165. PRODUCER AGREEMENT REQUIRED AS CONDITION ON PROVISION OF 
              FIXED, DECOUPLED PAYMENTS AND COUNTER-CYCLICAL PAYMENTS.

    (a) Compliance With Certain Requirements.--
            (1) Requirements.--Before the producers on a farm may 
        receive fixed, decoupled payments or counter-cyclical payments 
        with respect to the farm, the producers shall agree, in 
        exchange for the payments--
                    (A) to comply with applicable conservation 
                requirements under subtitle B of title XII of the Food 
                Security Act of 1985 (16 U.S.C. 3811 et seq.);
                    (B) to comply with applicable wetland protection 
                requirements under subtitle C of title XII of the Act 
                (16 U.S.C. 3821 et seq.);
                    (C) to comply with the planting flexibility 
                requirements of section 166; and
                    (D) to use the land on the farm, in an amount equal 
                to the peanut acres, for an agricultural or conserving 
                use, and not for a nonagricultural commercial or 
                industrial use, as determined by the Secretary.
            (2) Compliance.--The Secretary may issue such rules as the 
        Secretary considers necessary to ensure producer compliance 
        with the requirements of paragraph (1).
    (b) Effect of Foreclosure.--A producer may not be required to make 
repayments to the Secretary of fixed, decoupled payments and counter-
cyclical payments if the farm has been foreclosed on and the Secretary 
determines that forgiving the repayments is appropriate to provide fair 
and equitable treatment. This subsection shall not void the 
responsibilities of the producer under subsection (a) if the producer 
continues or resumes operation, or control, of the farm. On the 
resumption of operation or control over the farm by the producer, the 
requirements of subsection (a) in effect on the date of the foreclosure 
shall apply.
    (c) Transfer or Change of Interest in Farm.--
            (1) Termination.--Except as provided in paragraph (4), a 
        transfer of (or change in) the interest of a producer in peanut 
        acres for which fixed, decoupled payments or counter-cyclical 
        payments are made shall result in the termination of the 
        payments with respect to the peanut acres, unless the 
        transferee or owner of the acreage agrees to assume all 
        obligations under subsection (a). The termination shall be 
        effective on the date of the transfer or change.
            (2) Transfer of payment base.--There is no restriction on 
        the transfer of a farm's peanut acres or payment yield as part 
        of a change in the producers on the farm.
            (3) Modification.--At the request of the transferee or 
        owner, the Secretary may modify the requirements of subsection 
        (a) if the modifications are consistent with the objectives of 
        such subsection, as determined by the Secretary.
            (4) Exception.--If a producer entitled to a fixed, 
        decoupled payment or counter-cyclical payment dies, becomes 
        incompetent, or is otherwise unable to receive the payment, the 
        Secretary shall make the payment, in accordance with 
        regulations prescribed by the Secretary.
    (d) Acreage Reports.--As a condition on the receipt of any benefits 
under this chapter, the Secretary shall require producers to submit to 
the Secretary acreage reports.
    (e) Tenants and Sharecroppers.--In carrying out this chapter, the 
Secretary shall provide adequate safeguards to protect the interests of 
tenants and sharecroppers.
    (f) Sharing of Payments.--The Secretary shall provide for the 
sharing of fixed, decoupled payments and counter-cyclical payments 
among the eligible peanut producers on a farm on a fair and equitable 
basis.

SEC. 166. PLANTING FLEXIBILITY.

    (a) Permitted Crops.--Subject to subsection (b), any commodity or 
crop may be planted on peanut acres 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 peanut acres.
            (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 peanuts 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 peanut 
                acres, except that fixed, decoupled payments and 
                counter-cyclical payments 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) fixed, decoupled payments and counter-
                        cyclical payments shall be reduced by an acre 
                        for each acre planted to the fruit or 
                        vegetable.

SEC. 167. MARKETING ASSISTANCE LOANS AND LOAN DEFICIENCY PAYMENTS FOR 
              PEANUTS.

    (a) Nonrecourse Loans Available.--
            (1) Availability.--For each of the 2002 through 2011 crops 
        of peanuts, the Secretary shall make available to producers on 
        a farm nonrecourse marketing assistance loans for peanuts 
        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 subsection (b).
            (2) Eligible production.--Any production of peanuts on a 
        farm shall be eligible for a marketing assistance loan under 
        this subsection.
            (3) Treatment of certain commingled commodities.--In 
        carrying out this subsection, the Secretary shall make loans to 
        a producer that is otherwise eligible to obtain a marketing 
        assistance loan, but for the fact the peanuts owned by the 
        producer are commingled with other peanuts in facilities 
        unlicensed for the storage of agricultural commodities by the 
        Secretary or a State licensing authority, if the producer 
        obtaining the loan agrees to immediately redeem the loan 
        collateral in accordance with section 166 of the Federal 
        Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7286).
            (4) Options for obtaining loan.--A marketing assistance 
        loan under this subsection, and loan deficiency payments under 
        subsection (e), may be obtained at the option of the producer 
        through--
                    (A) a designated marketing association of peanut 
                producers that is approved by the Secretary;
                    (B) a loan servicing agent approved by the 
                Secretary; or
                    (C) the Farm Service Agency.
            (5) Loan servicing agent.--As a condition of the 
        Secretary's approval of an entity to serve as a loan servicing 
        agent or to handle or store peanuts for producers that receive 
        any marketing loan benefits, the entity shall agree to provide 
        adequate storage (if available) and handling of peanuts at the 
        commercial rate to other approved loan servicing agents and 
        marketing associations.
    (b) Loan Rate.--The loan rate for a marketing assistance loan under 
for peanuts subsection (a) shall be equal to $350 per ton.
    (c) Term of Loan.--
            (1) In general.--A marketing assistance loan for peanuts 
        under subsection (a) shall have a term of nine months beginning 
        on the first day of the first month after the month in which 
        the loan is made.
            (2) Extensions prohibited.--The Secretary may not extend 
        the term of a marketing assistance loan under subsection (a).
    (d) Repayment Rate.--The Secretary shall permit producers to repay 
a marketing assistance loan for peanuts under subsection (a) at a rate 
that is the lesser of--
            (1) the loan rate established for the commodity under 
        subsection (b), 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 peanuts 
                by the Federal Government;
                    (C) minimize the cost incurred by the Federal 
                Government in storing peanuts; and
                    (D) allow peanuts produced in the United States to 
                be marketed freely and competitively, both domestically 
                and internationally.
    (e) Loan Deficiency Payments.--
            (1) Availability.--The Secretary may make loan deficiency 
        payments available to producers who, although eligible to 
        obtain a marketing assistance loan for peanuts under subsection 
        (a), agree to forgo obtaining the loan for the peanuts in 
        return for payments under this subsection.
            (2) Computation.--A loan deficiency payment under this 
        subsection shall be computed by multiplying--
                    (A) the loan payment rate determined under 
                paragraph (3) for peanuts; by
                    (B) the quantity of the peanuts produced by the 
                eligible producers, excluding any quantity for which 
                the producers obtain a loan under subsection (a).
            (3) Loan payment rate.--For purposes of this subsection, 
        the loan payment rate shall be the amount by which--
                    (A) the loan rate established under subsection (b); 
                exceeds
                    (B) the rate at which a loan may be repaid under 
                subsection (d).
            (4) Time for payment.--The Secretary shall make a payment 
        under this subsection to a producer with respect to a quantity 
        of peanuts as of the earlier of the following:
                    (A) The date on which the producer marketed or 
                otherwise lost beneficial interest in the peanuts, as 
                determined by the Secretary.
                    (B) The date the producer requests the payment.
    (f) Compliance With Conservation and Wetlands Requirements.--As a 
condition of the receipt of a marketing assistance loan under 
subsection (a), the producer shall comply with applicable conservation 
requirements under subtitle B of title XII of the Food Security Act of 
1985 (16 U.S.C. 3811 et seq.) and applicable wetland protection 
requirements under subtitle C of title XII of the Act (16 U.S.C. 3821 
et seq.) during the term of the loan.
    (g) Reimbursable Agreements and Payment of Expenses.--To the extent 
practicable, the Secretary shall implement any reimbursable agreements 
or provide for the payment of expenses under this chapter in a manner 
that is consistent with such activities in regard to other commodities.
    (h) Termination of Superseded Price Support Authority.--
            (1) Repeal.--Section 155 of the Federal Agriculture 
        Improvement and Reform Act of 1996 (7 U.S.C. 7271) is repealed.
            (2) Conforming amendments.--The Agricultural Act of 1949 (7 
        U.S.C. 1441 et seq.) is amended--
                    (A) in section 101(b) (7 U.S.C. 1441(b)), by 
                striking ``and peanuts''; and
                    (B) in section 408(c) (7 U.S.C. 1428(c)), by 
                striking ``peanuts,''.

SEC. 168. QUALITY IMPROVEMENT.

    (a) Official Inspection.--
            (1) Mandatory inspection.--All peanuts placed under a 
        marketing assistance loan under section 167 shall be officially 
        inspected and graded by Federal or State inspectors.
            (2) Optional inspection.--Peanuts not placed under a 
        marketing assistance loan may be graded at the option of the 
        producer.
    (b) Termination of Peanut Administrative Committee.--The Peanut 
Administrative Committee established under Marketing Agreement No. 
1436, which regulates the quality of domestically produced peanuts 
under the Agricultural Adjustment Act (7 U.S.C. 601 et seq.), reenacted 
with amendments by the Agricultural Marketing Agreement Act of 1937, is 
terminated.
    (c) Establishment of Peanut Standards Board.--The Secretary shall 
establish a Peanut Standards Board for the purpose of assisting in the 
establishment of quality standards with respect to peanuts. The 
authority of the Board is limited to assisting in the establishment of 
quality standards for peanuts. The members of the Board should fairly 
reflect all segments of the peanut industry.
    (d) Effective Date.--This section shall take effect with the 2002 
crop of peanuts.

SEC. 169. PAYMENT LIMITATIONS.

    For purposes of sections 1001 through 1001C of the Food Security 
Act of 1985 (7 U.S.C. 1308 through 1308-3), separate payment 
limitations shall apply to peanuts with respect to--
            (1) fixed, decoupled payments;
            (2) counter-cyclical payments; and
            (3) limitations on marketing loan gains and loan deficiency 
        payments.

SEC. 170. TERMINATION OF MARKETING QUOTA PROGRAMS FOR PEANUTS AND 
              COMPENSATION TO PEANUT QUOTA HOLDERS FOR LOSS OF QUOTA 
              ASSET VALUE.

    (a) Repeal of Marketing Quota.--Part VI of subtitle B of title III 
of the Agricultural Adjustment Act of 1938 (7 U.S.C. 1357-1359a), 
relating to peanuts, is repealed.
    (b) Compensation Required.--During fiscal years 2002 through 2006, 
the Secretary shall make payments under this section to eligible peanut 
quota holders to compensate them for the lost value of the quota on 
account of the repeal of the marketing quota program for peanuts under 
subsection (a).
    (c) Time for Payment.--The payments required by this section shall 
be provided in five equal installments not later than September 30 of 
each of fiscal years 2002 through 2006.
    (d) Payment Amount.--The amount of the payment for a fiscal year to 
a peanut quota holder under this section shall be equal to the product 
obtained by multiplying--
            (1) $0.10 per pound; by
            (2) the actual farm poundage quota (excluding seed and 
        experimental peanuts) established for the peanut quota holder's 
        farm under section 358-1(b) of the Agricultural Adjustment Act 
        of 1938 (7 U.S.C. 1358-1(b)) for the 2001 marketing year.
    (e) Assignment of Payments.--The provisions of section 8(g) of the 
Soil Conservation and Domestic Allotment Act (16 U.S.C. 590h(g)), 
relating to assignment of payments, shall apply to the payments made to 
peanut quota holders under this section. The peanut quota holder making 
the assignment, or the assignee, shall provide the Secretary with 
notice, in such manner as the Secretary may require, of any assignment 
made under this subsection.
    (f) Peanut Quota Holder Defined.--In this section, the term 
``peanut quota holder'' means a person or enterprise that owns a farm 
that--
            (1) was eligible, immediately before the date of the 
        enactment of this Act, to have a peanut quota established upon 
        it;
            (2) if there are not quotas currently established, would be 
        eligible to have a quota established upon it for the succeeding 
        crop year, in the absence of the amendment made by subsection 
        (a); or
            (3) is otherwise a farm that was eligible for such a quota 
        at the time the general quota establishment authority was 
        repealed.
The Secretary shall apply this definition without regard to temporary 
leases or transfers or quotas for seed or experimental purposes.

                       Subtitle D--Administration

SEC. 181. ADMINISTRATION GENERALLY.

    (a) Use of Commodity Credit Corporation.--The Secretary shall carry 
out this title through the Commodity Credit Corporation.
    (b) Determinations by Secretary.--A determination made by the 
Secretary under this title shall be final and conclusive.
    (c) Regulations.--Not later than 90 days after the date of the 
enactment of this Act, the Secretary and the Commodity Credit 
Corporation, as appropriate, shall issue such regulations as are 
necessary to implement this title. 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 
        know as the ``Paperwork Reduction Act'').
    (d) Protection of Producers.--The protection afforded producers 
that elect the option to accelerate the receipt of any payment under a 
production flexibility contract payable under the Federal Agriculture 
Improvement and Reform Act of 1996 (7 U.S.C. 7212 note) shall also 
apply to the advance payment of fixed, decoupled payments and counter-
cyclical payments.

SEC. 182. EXTENSION OF SUSPENSION OF PERMANENT PRICE SUPPORT AUTHORITY.

    (a) Agricultural Adjustment Act of 1938.--Section 171(a)(1) of the 
Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 
7301(a)(1)) is amended by striking ``2002'' both places it appears and 
inserting ``2011''.
    (b) Agricultural Act of 1949.--Section 171(b)(1) of the Federal 
Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7301(b)(1)) is 
amended by striking ``2002'' both places it appears and inserting 
``2011''.
    (c) Suspension of Certain Quota Provisions.--Section 171(c) of the 
Federal Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 
7301(c)) is amended by striking ``2002'' and inserting ``2011''.

SEC. 183. LIMITATIONS.

    (a) Limitation on Amounts Received.--Section 1001 of the Food 
Security Act of 1985 (7 U.S.C. 1308) is amended--
            (1) in paragraph (1)--
                    (A) by striking ``payments under production 
                flexibility contracts'' and inserting ``fixed, 
                decoupled payments'';
                    (B) by striking ``contract payments made under the 
                Agricultural Market Transition Act to a person under 1 
                or more production flexibility contracts'' and 
                inserting ``fixed, decoupled payments made to a 
                person'';
                    (C) by striking ``4'' and inserting ``5'';
            (2) in paragraphs (2) and (3)--
                    (A) by striking ``payments specified'' and all that 
                follows through ``and oilseeds'' and inserting 
                ``following payments that a person shall be entitled to 
                receive'';
                    (B) by striking the period at the end of paragraph 
                (2) and all that follows through ``the following'' in 
                paragraph (3);
                    (C) by striking ``section 131'' and all that 
                follows through ``section 132'' and inserting ``section 
                121 of the Agricultural Act of 2001 for a crop of any 
                covered commodity at a lower level than the original 
                loan rate established for the commodity under section 
                122''; and
                    (D) by striking ``section 135'' and inserting 
                ``section 125''; and
            (3) by inserting after paragraph (2) the following new 
        paragraph (3):
            ``(3) Limitation on counter-cyclical payments.--The amount 
        specified in paragraph (2) is the limit on the total amount of 
        counter-cyclical payments that a person may receive during any 
        crop year.''.
    (b) Definitions.--Paragraph (4) of section 1001 of the Food 
Security Act of 1985 (7 U.S.C. 1308) is amended to read as follows:
            ``(4) Definitions.--In this title, the terms `covered 
        commodity', `counter-cyclical payment', and `fixed, decoupled 
        payment' have the meaning given those terms in section 100 of 
        the Agricultural Act of 2001.''.
    (c) Transition.--Section 1001 of the Food Security Act of 1985 (7 
U.S.C. 1308), as in effect on the day before the date of the enactment 
of this Act, shall continue to apply with respect to fiscal year 2001 
and the 2001 crop of any covered commodity.

SEC. 184. ADJUSTMENTS OF LOANS.

    Section 162(b) of the Federal Agriculture Improvement and Reform 
Act of 1996 (7 U.S.C. 7282(b)) is amended by striking ``this title'' 
and inserting ``this title and title I of the Agricultural Act of 
2001''.

SEC. 185. PERSONAL LIABILITY OF PRODUCERS FOR DEFICIENCIES.

    Section 164 of the Federal Agriculture Improvement and Reform Act 
of 1996 (7 U.S.C. 7284) is amended by striking ``this title'' both 
places it appears and inserting ``this title and title I of the 
Agricultural Act of 2001''.

SEC. 186. EXTENSION OF EXISTING ADMINISTRATIVE AUTHORITY REGARDING 
              LOANS.

    Section 166 of the Federal Agriculture Improvement and Reform Act 
of 1996 (7 U.S.C. 7286) is amended by striking ``subtitle C'' both 
places it appears and inserting ``subtitle C of this title and title I 
of the Agricultural Act of 2001''.

SEC. 187. ASSIGNMENT OF PAYMENTS.

    The provisions of section 8(g) of the Soil Conservation and 
Domestic Allotment Act (16 U.S.C. 590h(g)), relating to assignment of 
payments, shall apply to payments made under the authority of this Act. 
The producer making the assignment, or the assignee, shall provide the 
Secretary with notice, in such manner as the Secretary may require, of 
any assignment made under this section.

                         TITLE II--CONSERVATION

                         Subtitle A--Definition

SEC. 201. DEFINITION OF AGRICULTURAL COMMODITY.

    Section 1201(a)(1) of the Food Security Act of 1985 (16 U.S.C. 
3801(a)(1)) is amended to read as follows:
    ``(1) Agricultural commodity.--The term `agricultural commodity' 
means any agricultural commodity planted or produced in a State.''.

                Subtitle B--Wetland Conservation Program

SEC. 211. INELIGIBILITY FOR CERTAIN LOANS AND PAYMENTS.

    Section 1221(b) of the Food Security Act of 1985 (16 U.S.C. 
3821(b)) is amended by inserting ``relating to any commodity produced 
during that crop year by such person'' before ``for which the person''.

     Subtitle C--Environmental Conservation Acreage Reserve Program

SEC. 221. ELIMINATION OF GENERAL PROVISIONS.

    Chapter 1 of subtitle D of title XII of the Food Security Act of 
1985 is amended--
            (1) by striking the heading for subchapter A;
            (2) by striking section 1230 (16 U.S.C. 3830);
            (3) in section 1230A (16 U.S.C. 3830a), by striking 
        ``chapter'' each place it appears and inserting ``title'';
            (4) by redesignating section 1230A as section 1244; and
            (5) by transferring section 1244 (as so redesignated) to 
        the end of subtitle E.

                Subtitle D--Conservation Reserve Program

SEC. 231. REAUTHORIZATION.

    Section 1231 of the Food Security Act of 1985 (16 U.S.C. 3831) is 
amended in each of subsections (a), (b)(3), and (d), by striking 
``2002'' and inserting ``2011''.

SEC. 232. ENROLLMENT.

    (a) Eligibility.--Section 1231(b) of the Food Security Act of 1985 
(16 U.S.C. 3831(b)) is amended--
            (1) by striking paragraphs (2) and (3) and inserting the 
        following:
            ``(2) marginal pasturelands devoted to natural vegetation 
        in or near riparian areas or for similar water quality 
        purposes;'';
            (2) in paragraph (4)--
                    (A) by striking subparagraph (A) and inserting the 
                following:
                    ``(A) if the Secretary determines that--
                            ``(i) the lands contribute to the 
                        degradation of soil, water, or air quality, or 
                        would pose an on-site or off-site environmental 
                        threat to soil, water, or air quality if 
                        permitted to remain in agricultural production; 
                        and
                            ``(ii) soil, water, and air quality 
                        objectives with respect to the land cannot be 
                        achieved under the environmental quality 
                        incentives program established under chapter 
                        4;'';
                    (B) by striking ``or'' at the end of subparagraph 
                (C);
                    (C) by striking the period at the end of 
                subparagraph (D) and inserting ``; or''; and
                    (D) by adding at the end the following:
                    ``(E) if the Secretary determines that enrollment 
                of such lands would contribute to conservation of 
                ground or surface water.''; and
            (3) by redesignating paragraph (4) as paragraph (3).
    (b) Increase in Maximum Enrollment.--Section 1231(d) of such Act 
(16 U.S.C. 3831(d)) is amended by striking ``36,400,000'' and inserting 
``40,000,000''.
    (c) Eligibility on Contract Expiration.--Section 1231(f) of such 
Act (16 U.S.C. 3831(f)) is amended to read as follows:
    ``(f) Eligibility on Contract Expiration.--On the expiration of a 
contract entered into under this subchapter, the land subject to the 
contract shall be eligible to be re-enrolled in the conservation 
reserve.''.
    (d) Balance Among Contracts Awarded.--
            (1) In general.--Section 1231 of such Act (16 U.S.C. 3831) 
        is amended by adding at the end the following:
    ``(i) Balance Among Contracts Awarded.--In determining the 
acceptability of contract offers under this subchapter, the Secretary 
shall balance conservation interests in soil erosion, water quality, 
and wildlife habitat.''.
            (2) Regulations.--Not later than 180 days after the date of 
        the enactment of this Act, the Secretary of Agriculture shall 
        issue final regulations implementing section 1231(i) of the 
        Food Security Act of 1985, as added by paragraph (1) of this 
        subsection.

SEC. 233. DUTIES OF OWNERS AND OPERATORS.

    Section 1232 of the Food Security Act of 1985 (16 U.S.C. 3832) is 
amended--
            (1) in subsection (a)--
                    (A) in paragraph (3), by inserting ``as described 
                in section 1232(a)(7) or for other purposes'' before 
                ``as permitted'';
                    (B) in paragraph (4), by inserting ``where 
                practicable, or maintain existing cover'' before ``on 
                such land''; and
                    (C) in paragraph (7), by striking ``Secretary--'' 
                and all that follows and inserting ``Secretary may 
                permit--
                    ``(A) managed grazing and limited haying, in which 
                case the Secretary shall reduce the rental payment 
                otherwise payable under the contract by an amount 
                commensurate with the economic value of the activity;
                    ``(B) wind turbines for the provision of wind 
                energy, whether or not commercial in nature; and
                    ``(C) land subject to the contract to be harvested 
                for recovery of biomass used in energy production, in 
                which case the Secretary shall reduce the rental 
                payment otherwise payable under the contract by an 
                amount commensurate with the economic value of such 
                activity;''; and
            (2) by striking subsections (c) and (d) and redesignating 
        subsection (e) as subsection (c).

SEC. 234. DUTIES OF THE SECRETARY.

    Section 1233 of the Food Security Act of 1985 (16 U.S.C. 3833) is 
amended--
            (1) in paragraph (1), by adding ``and'' at the end;
            (2) in paragraph (2), by striking ``; and'' and inserting a 
        period; and
            (3) striking paragraph (3).

SEC. 235. ACCEPTANCE OF CONTRACT OFFERS.

    Section 1234(c) of the Food Security Act of 1985 (16 U.S.C. 
3834(c)) is amended by striking paragraph (3).

SEC. 236. CONTRACTS.

    (a) In General.--Section 1235 of the Food Security Act of 1985 (16 
U.S.C. 3835) is amended--
            (1) in subsection (a)(1)--
                    (A) in subparagraph (A), by adding ``or'' at the 
                end;
                    (B) by striking subparagraphs (B) and (C); and
                    (C) by redesignating subparagraph (D) and 
                subparagraph (B).
            (2) by adding at the end the following:
    ``(f) Restoration of Base.--On the expiration of a contract entered 
into under this subchapter, the Secretary shall restore the base, 
contract acreage, quota, or allotment history applicable to the land 
when the contract was entered into.''.
    (b) Conservation Reserve Payment.--Subchapter B of chapter 1 of 
subtitle D of title XII of such Act (16 U.S.C. 3831-3836) is amended by 
striking ``rental payment'' each place it appears and inserting 
``conservation reserve payment''.

                  Subtitle E--Wetlands Reserve Program

SEC. 241. ENROLLMENT.

    (a) Maximum.--Section 1237(b) of the Food Security Act of 1985 (16 
U.S.C. 3837(b)) is amended by striking paragraph (1) and inserting the 
following:
            ``(1) Annual enrollment.--In addition to any acres enrolled 
        in the wetlands reserve program as of the end of a calendar 
        year, the Secretary may in the succeeding calendar year enroll 
        in the program a number of additional acres equal to--
                    ``(A) if the succeeding calendar year is calendar 
                year 2002, 150,000;
                    ``(B) if the succeeding calendar year is a calendar 
                year after calendar year 2002--
                            ``(i) 150,000; plus
                            ``(ii) the amount (if any) by which 
                        150,000, multiplied by the number of calendar 
                        years in the period that begins with calendar 
                        year 2002 and ends with the calendar year 
                        preceding such succeeding calendar year, 
                        exceeds the total number of acres added to the 
                        reserve during the period.''.
    (b) Methods.--Section 1237(b)(2) of such Act (16 U.S.C. 3837(b)(2)) 
is amended to read as follows:
            ``(2) Methods of enrollment.--The Secretary shall enroll 
        acreage into the wetlands reserve program through the use of 
        easements, restoration cost share agreements, or both.''.
    (c) Eligibility.--Section 1237 of such Act (16 U.S.C. 3837) is 
amended by striking subsections (c), (d), and (e) and inserting the 
following:
    ``(c) Priority.--For purposes of enrolling acreage in the wetlands 
reserve program, the Secretary shall give priority to land that 
maximizes wetland functions and values.
    ``(d) Ineligible Land.--The Secretary may not acquire an easement 
under this chapter on land which is--
            ``(1) enrolled in the conservation reserve program 
        established under subchapter B; or
            ``(2) subject to a contract under the environmental quality 
        incentives program established by chapter 4.''.
    (d) Conforming Amendments.--Section 1237 of such Act (16 U.S.C. 
3837) is amended--
            (1) by redesignating subsection (f) as subsection (e); and
            (2) by striking subsection (g).

SEC. 242. EASEMENTS AND AGREEMENTS.

    Section 1237A of the Food Security Act of 1985 (16 U.S.C. 3837a) is 
amended--
            (1) in subsection (b), by striking paragraph (2) and 
        inserting the following:
            ``(2) prohibits the alteration of wildlife habitat and 
        other natural features of such land, unless specifically 
        permitted by the plan;'';
            (2) in subsection (e), by striking paragraph (2) and 
        inserting the following:
            ``(2) shall be consistent with applicable State law.'';
            (3) by striking subsections (c) and (h) and redesignating 
        subsections (d) through (g) as subsections (c) through (f), 
        respectively.

SEC. 243. DUTIES OF THE SECRETARY.

    Section 1237C of the Food Security Act of 1985 (16 U.S.C. 3837c) is 
amended--
            (1) in subsection (a)--
                    (A) by striking ``shall--'' and all that follows 
                through ``(1)'' and inserting ``shall''; and
                    (B) by striking ``interest;'' and all that follows 
                and inserting ``interest.''; and
            (2) by striking subsection (d).

SEC. 244. PAYMENT LIMITATION.

    Section 1237D(c)(1) of the Food Security Act of 1985 (16 U.S.C. 
3837d(c)(1)) is amended by striking ``easement payments'' and inserting 
``payments''.

SEC. 245. CHANGES IN OWNERSHIP; AGREEMENT MODIFICATION; TERMINATION.

    Section 1237E(a) of the Food Security Act of 1985 (16 U.S.C. 
3837e(a)) is amended to read as follows:
    ``(a) Limitations.--No easement shall be created under this 
subchapter on land that has changed ownership in the preceding 12 
months unless--
            ``(1) the new ownership was acquired by will or succession 
        as a result of the death of the previous owner; or
            ``(2) the ownership change occurred due to foreclosure on 
        the land and the owner of the land immediately before the 
        foreclosure exercises a right of redemption from the mortgage 
        holder in accordance with State law.''.

          Subtitle F--Environmental Quality Incentives Program

SEC. 251. PURPOSES.

    Section 1240 of the Food Security Act of 1985 (16 U.S.C. 3839aa) is 
amended--
            (1) by striking ``to--'' and all that follows through 
        ``provides--'' and inserting ``provide--'';
            (2) by striking ``that face the most serious threats to'' 
        and inserting ``to address environmental needs and provide 
        benefits to air,'';
            (3) by redesignating the subparagraphs (A) through (D) that 
        follow the matter amended by paragraph (2) of this section as 
        paragraphs (1) through (4), respectively;
                    (4) by moving each of such redesignated provisions 
                2 ems to the left; and
                    (5) by striking ``farmers and ranchers'' each place 
                it appears and inserting ``producers''.

SEC. 252. DEFINITIONS.

    Section 1240A of the Food Security Act of 1985 (16 U.S.C. 3839aa-1) 
is amended--
            (1) in paragraph (1)--
                    (A) by inserting ``non-industrial private forest 
                land,'' before ``and other land''; and
                    (B) by striking ``poses a serious threat'' and all 
                that follows and inserting ``provides increased 
                environmental benefits to air, soil, water, or related 
                resources.'';
            (2) in paragraph (4), by inserting ``, including non-
        industrial private forestry'' before the period; and
            (3) in paragraph (5), by striking ``permanent wildlife 
        habitat,''.

SEC. 253. ESTABLISHMENT AND ADMINISTRATION.

    (a) Reauthorization.--Section 1240B(a)(1) of the Food Security Act 
of 1985 (16 U.S.C. 3839aa-2(a)(1)) is amended by striking ``2002'' and 
inserting ``2011''.
    (b) Term of Contracts.--Section 1240B(b)(2) of such Act (16 U.S.C. 
3839aa-2(b)(2)) is amended by striking ``not less than 5, nor more than 
10, years'' and inserting ``not less than 1 year, nor more than 10 
years''.
    (c) Structural Practices.--Section 1240B(c)(1)(B) of such Act (16 
U.S.C. 3839aa-2(c)(1)(B)) is amended to read as follows:
                    ``(B) achieving the purposes established under this 
                subtitle.''.
    (d) Elimination of Certain Limitations on Eligibility for Cost-
Share Payments.--Section 1240B(e)(1) of such Act (16 U.S.C. 3839aa-
2(e)(1)) is amended--
            (1) by striking subparagraph (B) and redesignating 
        subparagraph (C) as subparagraph (B); and
            (2) in subparagraph (B) (as so redesignated), by striking 
        ``or 3''.
    (e) Incentive Payments.--Section 1240B of such Act (16 U.S.C. 
3839aa-2) is amended--
            (1) in subsection (e)--
                    (A) in the subsection heading, by striking ``, 
                Incentive Payments,''; and
                    (B) by striking paragraph (2); and
            (2) by redesignating subsection (f) as subsection (g) and 
        inserting after subsection (e) the following:
    ``(f) Farmland Conservation Incentive Payments.--
            ``(1) In general.--The Secretary may make incentive 
        payments in an amount and at a rate determined by the Secretary 
        to be necessary to encourage a producer to perform multiple 
        land management practices and to promote the enhancement of 
        soil, water, air, and related resources.
            ``(2) Special rule.--In determining the amount and rate of 
        incentive payments, the Secretary may accord great weight to 
        those practices that include residue, nutrient, pest, invasive 
        species, and air quality management.''.

SEC. 254. EVALUATION OF OFFERS AND PAYMENTS.

    Section 1240C of the Food Security Act of 1985 (16 U.S.C. 3839aa-3) 
is amended by striking paragraphs (1) through (3) and inserting the 
following:
            ``(1) aid farmers and ranchers in complying with this title 
        and Federal and State environmental laws, and encourage 
        environmental enhancement and conservation; and
            ``(2) maximize the beneficial usage of animal manure and 
        other similar soil amendments which improve soil health, tilth, 
        and water-holding capacity.''.

SEC. 255. DUTIES OF PRODUCERS.

    Section 1240D of the Food Security Act of 1985 (16 U.S.C. 3839aa-4) 
is amended by striking paragraph (2) and redesignating paragraphs (3) 
through (6) as paragraphs (2) through (5), respectively.

SEC. 256. ENVIRONMENTAL QUALITY INCENTIVES PROGRAM PLAN.

    Section 1240E(a) of the Food Security Act of 1985 (16 U.S.C. 
3839aa-5(a)) is amended by striking ``that incorporates such 
conservation practices'' and all that follows and inserting ``that 
provides or will continue to provide increased environmental benefits 
to air, soil, water, or related resources.''.

SEC. 257. DUTIES OF THE SECRETARY.

    Section 1240F of the Food Security Act of 1985 (16 U.S.C. 3839aa-6) 
is amended by striking paragraphs (2) and (3) and redesignating 
paragraphs (4) and (5) as paragraphs (2) and (3), respectively.

SEC. 258. LIMITATION ON PAYMENTS.

    Section 1240G of the Food Security Act of 1985 (16 U.S.C. 3839aa-7) 
is amended--
            (1) in subsection (a)--
                    (A) in paragraph (1), by striking ``$10,000'' and 
                inserting ``$50,000''; and
                    (B) in paragraph (2), by striking ``$50,000'' and 
                inserting ``$200,000'';
            (2) in subsection (b), by striking ``the maximization of 
        environmental benefits per dollar expended and''; and
            (3) by striking subsection (c).

SEC. 259. GROUNDWATER CONSERVATION.

    Section 1240H of the Food Security Act of 1985 (16 U.S.C. 3839aa-8) 
is amended to read as follows:

``SEC. 1240H. GROUNDWATER CONSERVATION.

    ``The Secretary may use $67,500,000 of the funds of the Commodity 
Credit Corporation in each of fiscal years 2002 through 2011 to provide 
cost-share payments and low-interest loans to encourage groundwater 
conservation, including irrigation system improvement, and to provide 
incentive payments for capping wells, reducing use of water for 
irrigation, and switching from irrigation to dryland farming.''.

                 Subtitle G--Funding and Administration

SEC. 261. REAUTHORIZATION.

    Section 1241(a) of the Food Security Act of 1985 (16 U.S.C. 
3841(a)) is amended by striking ``2002'' and inserting ``2011''.

SEC. 262. FUNDING.

    Section 1241(b)(1) of the Food Security Act of 1985 (16 U.S.C. 
3841(b)(1)) is amended--
            (1) by striking ``and'' the 1st place it appears;
            (2) by striking ``$130,000,000'' and all that follows 
        through ``2002'' and inserting ``$200,000,000 for fiscal year 
        2001, and $1,200,000,000 for each of fiscal years 2002 through 
        2011''.

SEC. 263. ALLOCATION FOR LIVESTOCK PRODUCTION.

    Section 1241(b)(2) of the Food Security Act of 1985 (16 U.S.C. 
3841(b)(2)) is amended by striking ``2002'' and inserting ``2011''.

SEC. 264. USE OF OTHER AGENCIES.

    Section 1242(a) of the Food Security Act of 1985 (16 U.S.C. 
3842(a)) is amended to read as follows:
    ``(a) Principal Agency.--The Secretary shall use the Farm Service 
Agency in carrying out subtitles B and C, and subchapter B of chapter 
1, and chapters 2 and 4, of subtitle D.''.

SEC. 265. ADMINISTRATION AND TECHNICAL ASSISTANCE.

    (a) Broadening of Exception to Acreage Limitation.--Section 
1243(b)(2) of the Food Security Act of 1985 (16 U.S.C. 3843(b)(2)) is 
amended by striking ``that--'' and all that follows and inserting 
``that the action would not adversely affect the local economy of the 
county.''.
    (b) Rules Governing Provision of Technical Assistance.--Section 
1243(d) of the Food Security Act of 1985 (16 U.S.C. 3843(d)) is amended 
to read as follows:
    ``(d) Rules Governing Provision of Technical Assistance.--
            ``(1) In general.--The Secretary shall provide technical 
        assistance under this title to a producer eligible for such 
        assistance, by providing the assistance directly or, at the 
        option of the producer, through an approved third party if 
        available.
            ``(2) Amount.--The Secretary shall determine the amount of 
        technical assistance to be provided to a producer under this 
        title, and on making the determination, shall make the amount 
        available to--
                    ``(A) if the producer has selected an approved 
                third party to provide the assistance, such approved 
                third party; or
                    ``(B) otherwise, the Natural Resources Conservation 
                Service.
            ``(3) Funding source; limitation.--
                    ``(A) Use of ccc funds.--Subject to subparagraph 
                (B), the Secretary may use not more than $100,000,000 
                of funds of the Commodity Credit Corporation for each 
                of fiscal years 2002 through 2011 to carry out this 
                subsection.
                    ``(B) Limitation.--The total amount expended under 
                this subsection for fiscal years 2002 through 2011 may 
                not exceed $850,000,000.
            ``(4) Certification of third-party providers.--
                    ``(A) In general.--Not later than 6 months after 
                the date of the enactment of this Act, the Secretary of 
                Agriculture shall, by regulation, establish a system 
                for approving persons to provide technical assistance 
                pursuant to this title. In the system, the Secretary 
                shall give priority to a person who has a memorandum of 
                understanding regarding the provision of technical 
                assistance in place with the Secretary before the date 
                of the enactment of this subsection.
                    ``(B) Expertise required.--In prescribing such 
                regulations, the Secretary shall ensure that persons 
                with expertise in the technical aspects of conservation 
                planning, watershed planning, environmental 
                engineering, including commercial entities, nonprofit 
                entities, State or local governments or agencies, and 
                other Federal agencies, are eligible to become approved 
                providers of such technical assistance.''.
    (b) Conforming Amendments.--
            (1) Highly erodible land conservation.--Section 1213(e) of 
        such Act (16 U.S.C. 3812a(e)) is amended to read as follows:
    ``(e) Technical Assistance.--A producer who is receiving a benefit 
under this subtitle shall be eligible to receive technical assistance 
in accordance with section 1243(d) throughout the development, 
revision, and application of the conservation plan and any conservation 
system of the producer.''.
            (2) Conservation reserve program.--Section 1233 of such Act 
        (16 U.S.C. 3833) is amended--
                    (A) by inserting ``(a) In General.--'' before ``In 
                return'';
                    (B) by adding ``and'' at the end of paragraph (1);
                    (C) by striking ``; and'' at the end of paragraph 
                (2)(B) and inserting a period;
                    (D) by striking paragraph (3); and
                    (E) by adding after and below the end the 
                following:
    ``(b) Technical Assistance.--An owner or operator who is receiving 
a benefit under this subtitle shall be eligible to receive technical 
assistance in accordance with section 1243(d) to assist the owner or 
operator in carrying out a contract entered into under section 1232.''.
            (3) Wetlands reserve program.--Section 1237C(b) of such Act 
        (16 U.S.C. 3837c(b)) is amended--
                    (A) in the subsection heading, by striking ``and 
                Technical Assistance''; and
                    (B) by striking paragraph (3) and inserting the 
                following:
            ``(2) Technical assistance.--A producer who is receiving a 
        benefit under this subtitle shall be eligible to receive 
        technical assistance in accordance with section 1243(d) to 
        assist the producer in complying with the terms of easements 
        and restoration cost share agreements under this subchapter.''.
            (4) Environmental quality incentives program.--
                    (A) In general.--Section 1240B of such Act (16 
                U.S.C. 3839aa-2) is amended--
                            (i) in subsection (a)(1), by striking 
                        ``technical assistance,''; and
                            (ii) in subsection (e)--
                                    (I) in the subsection heading, by 
                                striking ``and Technical Assistance''; 
                                and
                                    (II) by striking paragraph (3) and 
                                inserting the following:
            ``(2) Technical assistance.--A producer who is receiving a 
        benefit under this subtitle shall be eligible to receive 
        technical assistance in accordance with section 1243(d) to 
        assist the producer in writing and developing proposals and 
        plans for contracts under this chapter, and in the 
        implementation of structural practices and land management 
        practices covered by such contracts.''.
                    (B) Conforming amendments.--Section 1241(b) of such 
                Act (16 U.S.C. 3841(b)) is amended--
                            (i) in paragraph (1), by striking 
                        ``technical assistance,''; and
                            (ii) in paragraph (2), by striking 
                        ``technical assistance'' and all that follows 
                        through ``education'' and inserting ``cost-
                        share payments and incentive payments''.

                       Subtitle H--Other Programs

SEC. 271. WILDLIFE HABITAT INCENTIVES PROGRAM.

    Section 387(c) of the Federal Agriculture Improvement and Reform 
Act of 1996 (16 U.S.C. 3836a(c)) is amended to read as follows:
    ``(c) Funding.--To carry out this section, there shall be made 
available $25,000,000 for each of fiscal years 2002 through 2011, from 
funds made available from the Commodity Credit Corporation.''.

SEC. 272. FARMLAND PROTECTION PROGRAM.

    Section 388 of the Federal Agriculture Improvement and Reform Act 
of 1996 (16 U.S.C. 3830 note) is amended to read as follows:
    ``(c) Funding.--The Secretary shall use not more than $50,000,000 
of the funds of the Commodity Credit Corporation in each of fiscal 
years 2002 through 2011 to carry out this section.''.

SEC. 273. RESOURCE CONSERVATION AND DEVELOPMENT PROGRAM.

    (a) Purpose.--Section 1528 of the Agriculture and Food Act of 1981 
(16 U.S.C. 3451) is amended--
            (1) by striking the section heading and all that follows 
        through ``Sec. 1528. It is the purpose'' and inserting the 
        following:

``SEC. 1528. STATEMENT OF PURPOSE.

    ``It is the purpose''; and
            (2) by inserting ``through designated RC&D councils'' 
        before ``in rural areas''.
    (b) Definitions.--Section 1529 of such Act (16 U.S.C. 3452) is 
amended--
            (1) by striking the section heading and all that follows 
        through ``Sec. 1529. As used in this subtitle--'' and inserting 
        the following:

``SEC. 1529. DEFINITIONS.

    ``In this title:'';
            (2) in paragraph (1)--
                    (A) in the matter preceding subparagraph (A), by 
                inserting ``RC&D council'' before ``area plan'';
                    (B) in subparagraph (B), by striking ``through 
                control of nonpoint sources of pollution'';
                    (C) in subparagraph (C)--
                            (i) by striking ``natural resources based'' 
                        and inserting ``resource-based'';
                            (ii) by striking ``development of 
                        aquaculture,'';
                            (iii) by striking ``and satisfaction'' and 
                        inserting ``satisfaction''; and
                            (iv) by inserting ``food security, economic 
                        development, and education'' before the 
                        semicolon; and
                    (D) in subparagraph (D), by striking ``other'' and 
                inserting ``land management'';
            (3) in paragraph (3), by striking ``any State, local unit 
        of government, or local nonprofit organization'' and inserting 
        ``the designated RC&D council'';
            (4) by striking paragraphs (4) through (6) and inserting 
        the following:
            ``(4)(A) The term `financial assistance' means the 
        Secretary may--
                    ``(i) provide funds directly to RC&D councils or 
                associations of RC&D councils through grants, 
                cooperative agreements, and interagency agreements that 
                directly implement RC&D area plans; and
                    ``(ii) may join with other federal agencies through 
                interagency agreements and other arrangements as needed 
                to carry out the program's purpose.
            ``(B) Funds may be used for such things as--
                    ``(i) technical assistance;
                    ``(ii) financial assistance in the form of grants 
                for planning, analysis and feasibility studies, and 
                business plans;
                    ``(iii) training and education; and
                    ``(iv) all costs associated with making such 
                services available to RC&D councils or RC&D 
                associations.
            ``(5) The term `RC&D council' means the responsible 
        leadership of the RC&D area. RC&D councils and associations are 
        non-profit entities whose members are volunteers and include 
        local civic and elected officials. Affiliations of RC&D 
        councils are formed in states and regions.'';
            (5) in paragraph (8), by inserting ``and federally 
        recognized Indian tribes'' before the period;
            (6) in paragraph (9), by striking ``works of improvement'' 
        and inserting ``projects'';
            (7) by redesignating paragraphs (7) through (9) as 
        paragraphs (6) through (8), respectively; and
            (8) by striking paragraph (10) and inserting the following:
            ``(9) The term `project' means any action taken by a 
        designated RC&D council that achieves any of the elements 
        identified under paragraph (1).''.
    (c) Establishment and Scope.--Section 1530 of such Act (16 U.S.C. 
3453) is amended--
            (1) by striking the section heading and all that follows 
        through ``Sec. 1530. The Secretary'' and inserting the 
        following:

``SEC. 1530. ESTABLISHMENT AND SCOPE.

    ``The Secretary''; and
            (2) by striking ``the technical and financial assistance 
        necessary to permit such States, local units of government, and 
        local nonprofit organizations'' and inserting ``through 
        designated RC&D councils the technical and financial assistance 
        necessary to permit such RC&D Councils''.
    (d) Selection of Designated Areas.--Section 1531 of such Act (16 
U.S.C. 3454) is amended by striking the section heading and all that 
follows through ``Sec. 1531. The Secretary'' and inserting the 
following:

``SEC. 1531. SELECTION OF DESIGNATED AREAS.

    ``The Secretary''.
    (e) Authority of Secretary.--Section 1532 of such Act (16 U.S.C. 
3455) is amended--
            (1) by striking the section heading and all that follows 
        through ``Sec. 1532. In carrying'' and inserting the following:

``SEC. 1532. AUTHORITY OF SECRETARY.

    ``In carrying'';
            (2) in each of paragraphs (1) and (3)--
                    (A) by striking ``State, local unit of government, 
                or local nonprofit organization'' and inserting ``RC&D 
                council''; and
                    (B) by inserting ``RC&D council'' before ``area 
                plan'';
            (3) in paragraph (2), by inserting ``RC&D council'' before 
        ``area plans''; and
            (4) in paragraph (4), by striking ``States, local units of 
        government, and local nonprofit organizations'' and inserting 
        ``RC&D councils or affiliations of RC&D councils''.
    (f) Technical and Financial Assistance.--Section 1533 of such Act 
(16 U.S.C. 3456) is amended--
            (1) by striking the section heading and all that follows 
        through ``Sec. 1533. (a) Technical'' and inserting the 
        following:

``SEC. 1533. TECHNICAL AND FINANCIAL ASSISTANCE.

    ``(a) Technical'';
            (2) in subsection (a)--
                    (A) by striking ``State, local unit of government, 
                or local nonprofit organization to assist in carrying 
                out works of improvement specified in an'' and 
                inserting ``RC&D councils or affiliations of RC&D 
                councils to assist in carrying out a project specified 
                in a RC&D council'';
                    (B) in paragraph (1)--
                            (i) by striking ``State, local unit of 
                        government, or local nonprofit organization'' 
                        and inserting ``RC&D council or affiliate''; 
                        and
                            (ii) by striking ``works of improvement'' 
                        each place it appears and inserting 
                        ``project'';
                    (C) in paragraph (2)--
                            (i) by striking ``works of improvement'' 
                        and inserting ``project''; and
                            (ii) by striking ``State, local unit of 
                        government, or local nonprofit organization'' 
                        and inserting ``RC&D council'';
                    (D) in paragraph (3), by striking ``works of 
                improvement'' and all that follows and inserting 
                ``project concerned is necessary to accomplish and RC&D 
                council area plan objective'';
                    (E) in paragraph (4), by striking ``the works of 
                improvement provided for in the'' and inserting ``the 
                project provided for in the RC&D council'';
                    (F) in paragraph (5), by inserting ``federally 
                recognized Indian tribe'' before ``or local'' each 
                place it appears; and
                    (G) in paragraph (6), by inserting ``RC&D council'' 
                before ``area plan'';
            (3) in subsection (b), by striking ``works of improvement'' 
        and inserting ``project''; and
            (4) in subsection (c), by striking ``any State, local unit 
        of government, or local nonprofit organization to carry out 
        any'' and inserting ``RC&D council to carry out any RC&D 
        council''.
    (g) Resource Conservation and Development Policy Board.--Section 
1534(b) of such Act (16 U.S.C. 3457(b)) is amended--
            (1) by striking the section heading and all that follows 
        through ``Sec. 1534. (a) The Secretary'' and inserting the 
        following:

``SEC. 1534. RESOURCE CONSERVATION AND DEVELOPMENT POLICY BOARD.

    ``(a) The Secretary''; and
            (2) by striking ``seven''.
    (h) Program Evaluation.--Section 1535 of such Act (16 U.S.C. 3458) 
is amended--
            (1) by striking the section heading and all that follows 
        through ``Sec. 1535. The Secretary'' and inserting the 
        following:

``SEC. 1535. PROGRAM EVALUATION.

    ``The Secretary'';
            (2) by inserting ``with assistance from RC&D councils'' 
        before ``provided'';
            (3) by inserting ``federally recognized Indian tribes,'' 
        before ``local units''; and
            (4) by striking ``1986'' and inserting ``2007''.
    (i) Limitation on Assistance.--Section 1536 of such Act (16 U.S.C. 
3458) is amended by striking the section heading and all that follows 
through ``Sec. 1536. The program'' and inserting the following:

``SEC. 1536. LIMITATION ON ASSISTANCE.

    ``The program''.
    (j) Supplemental Authority of the Secretary.--Section 1537 of such 
Act (16 U.S.C. 3460) is amended--
            (1) by striking the section heading and all that follows 
        through ``Sec. 1537. The authority'' and inserting the 
        following:

``SEC. 1537. SUPPLEMENTAL AUTHORITY OF SECRETARY.

    ``The authority''; and
            (2) by striking ``States, local units of government, and 
        local nonprofit organizations'' and inserting ``RC&D 
        councils''.
    (k) Authorization of Appropriations.--Section 1538 of such Act (16 
U.S.C. 3461) is amended--
            (1) by striking the section heading and all that follows 
        through ``Sec. 1538. There are'' and inserting the following:

``SEC. 1537. AUTHORIZATION OF APPROPRIATIONS.

    ``There are''; and
            (2) by striking ``for each of the fiscal years 1996 through 
        2002''.

SEC. 274. GRASSLAND RESERVE PROGRAM.

    Chapter 1 of subtitle D of title XII of the Food Security Act of 
1985 (16 U.S.C. 3830-3837f) is amended by adding at the end the 
following:

               ``Subchapter D--Grassland Reserve Program

``SEC. 1238. GRASSLAND RESERVE PROGRAM.

    ``(a) Establishment.--The Secretary, acting through the Farm 
Service Agency, shall establish a grassland reserve program (referred 
to in this subchapter as the `program') to assist owners in restoring 
and conserving eligible land described in subsection (c).
    ``(b) Enrollment Conditions.--
            ``(1) Maximum enrollment.--The total number of acres 
        enrolled in the program shall not exceed 2,000,000 acres, not 
        more than 1,000,000 of which shall be restored grassland, and 
        not more than 1,000,000 of which shall be virgin (never 
        cultivated) grassland.
            ``(2) Methods of enrollment.--The Secretary shall enroll in 
        the program for a willing owner not less than 100 contiguous 
        acres of land west of the 90th meridian or not less than 50 
        contiguous acres of land east of the 90th meridian through 10-
        year, 15-year, or 20-year contracts.
    ``(c) Eligible Land.--Land shall be eligible to be enrolled in the 
program if the Secretary determines that--
            ``(1) the land is natural grass or shrubland; or
            ``(2) the land--
                    ``(A) is located in an area that has been 
                historically dominated by natural grass or shrubland; 
                and
                    ``(B) has potential to serve as habitat for animal 
                or plant populations of significant ecological value if 
                the land is restored to natural grass or shrubland.

``SEC. 1238A. CONTRACTS AND AGREEMENTS.

    ``(a) Requirements of Landowner.--To be eligible to enroll land in 
the program, the owner of the land shall--
            ``(1) agree to comply with the terms of the contract and 
        related restoration agreements; and
            ``(2) agree to the suspension of any existing cropland base 
        and allotment history for the land under any program 
        administered by the Secretary.
    ``(b) Terms of Contract.--A contract under subsection (a) shall--
            ``(1) permit--
                    ``(A) common grazing practices on the land in a 
                manner that is consistent with maintaining the 
                viability of natural grass and shrub species indigenous 
                to that locality;
                    ``(B) haying, mowing, or haying for seed 
                production, except that such uses shall not be 
                permitted until after the end of the nesting season for 
                birds in the local area which are in significant 
                decline or are conserved pursuant to State or Federal 
                law, as determined by the Natural Resources 
                Conservation Service State conservationist; and
                    ``(C) construction of fire breaks and fences, 
                including placement of the posts necessary for fences;
            ``(2) prohibit--
                    ``(A) the production of row-crops, fruit trees, 
                vineyards, or any other agricultural commodity that 
                requires breaking the soil surface; and
                    ``(B) the conduct of any other activities that 
                would disturb the surface of the land covered by the 
                contract, including--
                            ``(i) plowing; and
                            ``(ii) disking; and
            ``(3) include such additional provisions as the Secretary 
        determines are appropriate to carry out or facilitate the 
        administration of this subchapter.
    ``(c) Ranking Contract Applications.--
            ``(1) Establishment of criteria.--The Secretary shall 
        establish criteria to evaluate and rank applications for 
        contracts under this subchapter.
            ``(2) Emphasis.--In establishing the criteria, the 
        Secretary shall emphasize support for native grass and 
        shrubland, grazing operations, and plant and animal 
        biodiversity.
    ``(d) Restoration Agreements.--The Secretary shall prescribe the 
terms by which grassland that is subject to a contract under the 
program shall be restored. The agreement shall include duties of the 
land owner and the Secretary, including the Federal share of 
restoration payments and technical assistance.
    ``(e) Violations.--On the violation of the terms or conditions of a 
contract or restoration agreement entered into under this section--
            ``(1) the contract shall remain in force; and
            ``(2) the Secretary may require the owner to refund all or 
        part of any payments received by the owner under this 
        subchapter, with interest on the payments as determined 
        appropriate by the Secretary.

``SEC. 1238B. DUTIES OF SECRETARY.

    ``(a) In General.--In return for the granting of a contract by an 
owner under this subchapter, the Secretary shall make contract payments 
and payments of the Federal share of restoration and provide technical 
assistance to the owner in accordance with this section.
    ``(b) Contract Payments.--In return for the granting of contract by 
an owner under this subchapter, the Secretary shall make annual 
contract payments to the owner in an amount that is not more than 75 
percent of the grazing value of the land.
    ``(c) Federal Share of Restoration.--The Secretary shall make 
payments to the owner of not more than--
            ``(1) in the case of virgin (never cultivated) grassland, 
        90 percent of the costs of carrying out measures and practices 
        necessary to restore grassland functions and values; or
            ``(2) in the case of restored grassland, 75 percent of such 
        costs.
    ``(d) Technical Assistance.--A landowner who is receiving a benefit 
under this subchapter shall be eligible to receive technical assistance 
in accordance with section 1243(d) to assist the owner or operator in 
carrying out a contract entered into under this subchapter.
    ``(e) Payments to Others.--If an owner who is entitled to a payment 
under this subchapter dies, becomes incompetent, is otherwise unable to 
receive the payment, or is succeeded by another person who renders or 
completes the required performance, the Secretary shall make the 
payment, in accordance with regulations promulgated by the Secretary 
and without regard to any other provision of law, in such manner as the 
Secretary determines is fair and reasonable in light of all the 
circumstances.''.

SEC. 275. FARMLAND STEWARDSHIP PROGRAM.

    Subtitle D of title XII of the Food Security Act of 1985 (16 U.S.C. 
3830-3839bb) is amended by inserting after chapter 1 (and the matter 
added by section 274 of this Act) the following:

               ``CHAPTER 2--FARMLAND STEWARDSHIP PROGRAM

``SEC. 1239. DEFINITIONS.

    ``In this chapter:
            ``(1) Agreement.--The terms `farmland stewardship 
        agreement' and `agreement' mean a stewardship contract 
        authorized by this chapter.
            ``(2) Contracting agency.--The term `contracting agency' 
        means a local conservation district, resource conservation and 
        development district, local office of the Department of 
        Agriculture, other participating government agency, or other 
        nongovernmental organization that is designated by the 
        Secretary to enter into farmland stewardship agreements on 
        behalf of the Secretary.
            ``(3) Eligible agricultural lands.--The term `eligible 
        agricultural lands' means private lands that are in primarily 
        native or natural condition or are classified as cropland, 
        pastureland, grazing lands, timberlands, or other lands as 
        specified by the Secretary that--
                    ``(A) contain wildlife habitat, wetlands, or other 
                natural resources; or
                    ``(B) provide benefits to the public at large, such 
                as--
                            ``(i) conservation of soil, water, and 
                        related resources;
                            ``(ii) water quality protection or 
                        improvement;
                            ``(iii) control of invasive and exotic 
                        species;
                            ``(iv) wetland restoration, protection, and 
                        creation; and
                            ``(v) wildlife habitat development and 
                        protection;
                            ``(vi) preservation of open spaces, or 
                        prime, unique, or other productive farm lands; 
                        and
                            ``(vii) and other similar conservation 
                        purposes.
            ``(4) Farmland stewardship program; program.--The terms 
        `Farmland Stewardship Program' and `Program' mean the 
        conservation program of the Department of Agriculture 
        established by this chapter.

``SEC. 1239A. ESTABLISHMENT AND PURPOSE OF PROGRAM.

    ``(a) Establishment.--The Secretary shall establish a conservation 
program of the Department of Agriculture, to be known as the Farmland 
Stewardship Program, that is designed to more precisely tailor and 
target existing conservation programs to the specific conservation 
needs and opportunities presented by individual parcels of eligible 
agricultural lands.
    ``(b) Relation to Other Conservation Programs.--Under the Farmland 
Stewardship Program, the Secretary may implement, or combine together, 
the features of--
            ``(1) the Wetlands Reserve Program;
            ``(2) the Wildlife Habitat Incentives Program;
            ``(3) the Forest Land Enhancement Program;
            ``(4) the Farmland Protection Program; or
            ``(5) other conservation programs administered by other 
        Federal agencies and State and local government entities, where 
        feasible and with the consent of the administering agency or 
        government.
    ``(c) Funding Sources.--
            ``(1) In general.--The Farmland Stewardship Program and 
        agreements under the Program shall be funded by the Secretary 
        using--
                    ``(A) the funding authorities of the conservation 
                programs that are implemented in whole, or in part, 
through the use of agreements or easements; and
                    ``(B) such funds as are provided to carry out the 
                programs specified in paragraphs (1) through (4) of 
                subsection (b).
            ``(2) Cost-sharing.--It shall be a requirement of the 
        Farmland Stewardship Program that the majority of the funds to 
        carry out the Program must come from other existing 
        conservation programs, which may be Federal, State, regional, 
        local, or private, that are combined into and made a part of an 
        agreement, or from matching funding contributions made by 
        State, regional, or local agencies and divisions of government 
        or from private funding sources.
    ``(d) Personnel Costs.--The Secretary may use the Natural Resources 
Conservation Service to carry out the Farmland Stewardship Program.
    ``(e) Technical Assistance.--An owner or operator who is receiving 
a benefit under this chapter shall be eligible to receive technical 
assistance in accordance with section 1243(d) to assist the owner or 
operator in carrying out a contract entered into under this chapter.

``SEC. 1239B. USE OF FARMLAND STEWARDSHIP AGREEMENTS.

    ``(a) Agreements Authorized.--The Secretary shall carry out the 
Farmland Stewardship Program by entering into stewardship contracts as 
determined by the Secretary, to be known as farmland stewardship 
agreements, with the owners or operators of eligible agricultural lands 
to maintain and protect for the natural and agricultural resources on 
the lands.
    ``(b) Basic Purposes.--An agreement with the owner or operator of 
eligible agricultural lands shall be used--
            ``(1) to negotiate a mutually agreeable set of guidelines, 
        practices, and procedures under which conservation practices 
        will be provided by the owner or operator to protect, maintain, 
        and, where possible, improve, the natural resources on the 
        lands covered by the agreement in return for annual payments to 
        the owner or operator;
            ``(2) to implement a conservation program or series of 
        programs where there is no such program or to implement 
        conservation management activities where there is no such 
        activity; and
            ``(3) to expand conservation practices and resource 
        management activities to a property where it is not possible at 
        the present time to negotiate or reach agreement on a public 
        purchase of a fee-simple or less-than-fee interest in the 
        property for conservation purposes.
    ``(c) Modification of Other Conservation Program Elements.--If 
most, but not all, of the limitations, conditions, and requirements of 
a conservation program that is implemented in whole, or in part, 
through the Farmland Stewardship Program are met with respect to a 
parcel of eligible agricultural lands, and the purposes to be achieved 
by the agreement to be entered into for such lands are consistent with 
the purposes of the conservation program, then the Secretary may waive 
any remaining limitations, conditions, or requirements of the 
conservation program that would otherwise prohibit or limit the 
agreement.
    ``(d) State and Local Conservation Priorities.--To the maximum 
extent practicable, agreements shall address the conservation 
priorities established by the State and locality in which the eligible 
agricultural lands are located.
    ``(e) Watershed Enhancement.--To the extent practicable, the 
Secretary shall encourage the development of Farmland Stewardship 
Program applications on a watershed basis.

``SEC. 1239C. PARTNERSHIP APPROACH TO PROGRAM.

    ``(a) Authority of Secretary Exercised Through Partnerships.--The 
Secretary may administer agreements under the Farmland Stewardship 
Program in partnership with other Federal, State, and local agencies 
whose programs are incorporated into the Program under section 1239A.
    ``(b) Designation and Use of Contracting Agencies.--Subject to 
subsection (c), the Secretary may authorize a local conservation 
district, resource conservation & development district, nonprofit 
organization, or local office of the Department of Agriculture or other 
participating government agency to enter into and administer agreements 
under the Program as a contracting agency on behalf of the Secretary.
    ``(c) Conditions on Designation.--The Secretary may designate an 
eligible district or office as a contracting agency under subsection 
(b) only if the district of office--
            ``(1) submits a written request for such designation to the 
        Secretary;
            ``(2) affirms that it is willing to follow all guidelines 
        for executing and administering an agreement, as promulgated by 
        the Secretary;
            ``(3) demonstrates to the satisfaction of the Secretary 
        that it has established working relationships with owners and 
        operators of eligible agricultural lands, and based on the 
        history of these working relationships, demonstrates that it 
        has the ability to work with owners and operators of eligible 
        agricultural lands in a cooperative manner;
            ``(4) affirms its responsibility for preparing all 
        documentation for the agreement, negotiating its terms with an 
        owner or operator, monitoring compliance, making annual reports 
        to the Secretary, and administering the agreement throughout 
        its full term; and
            ``(5) demonstrates to the satisfaction of the Secretary 
        that it has or will have the necessary staff resources and 
        expertise to carry out its responsibilities under paragraphs 
        (3) and (4).

``SEC. 1239D. PARTICIPATION OF OWNERS AND OPERATORS OF ELIGIBLE 
              AGRICULTURAL LANDS.

    ``(a) Application and Approval Process.--To participate in the 
Farmland Stewardship Program, an owner or operator of eligible 
agricultural lands shall--
            ``(1) submit to the Secretary an application indicating 
        interest in the Program and describing the owner's or 
        operator's property, its resources, and their ecological and 
        agricultural values;
            ``(2) submit to the Secretary a list of services to be 
        provided, a management plan to be implemented, or both, under 
        the proposed agreement;
            ``(3) if the application and list are accepted by the 
        Secretary, enter into an agreement that details the services to 
        be provided, management plan to be implemented, or both, and 
        requires compliance with the other terms of the agreement.
    ``(b) Application on Behalf of an Owner or Operator.--A designated 
contracting agency may submit the application required by subsection 
(a) on behalf of an owner or operator if the contracting agency has 
secured the consent of the owner or operator to enter into an 
agreement.''.

SEC. 276. SMALL WATERSHED REHABILITATION PROGRAM.

    Section 14(h) of the Watershed Protection and Flood Prevention Act 
(16 U.S.C. 1012(h)) is amended--
            (1) by adding ``and'' at the end of paragraph (1); and
            (2) by striking all that follows paragraph (1) and 
        inserting the following:
            ``(2) $15,000,000 for fiscal year 2002 and each succeeding 
        fiscal year.''.

                   Subtitle I--Availability of Funds

SEC. 281. AVAILABILITY OF FUNDS APPROPRIATED PURSUANT TO THE SOIL 
              CONSERVATION AND DOMESTIC ALLOTMENT ACT.

    Section 6 of the Soil Conservation and Domestic Allotment Act (16 
U.S.C. 590f) is amended--
            (1) in the 1st undesignated paragraph, by inserting ``(a)'' 
        before ``There'';
            (2) in the 2nd undesignated paragraph, by inserting ``(b)'' 
        before ``Appropriations''; and
            (3) by adding at the end the following:
    ``(c) Funds made available to carry out the purposes of this Act 
may be used, to the extent determined by the Secretary of Agriculture 
to be necessary, by the agency of the Department of Agriculture to 
which the funds are appropriated, to provide technical assistance to 
owners and operators of land to achieve the objectives of any 
conservation program administered by the Secretary of Agriculture.''.

                          Subtitle K--Repeals

SEC. 291. PROVISIONS OF FOOD SECURITY ACT OF 1985.

    (a) Wetlands Mitigation Banking Program.--Section 1222 of the Food 
Security Act of 1985 (16 U.S.C. 3822) is amended by striking subsection 
(k).
    (b) Payment Limitations Under the Conservation Reserve Program.--
Section 1234(f) of such Act (16 U.S.C. 3837d(c)) is amended by striking 
paragraph (3).
    (c) Base History Provision.--
            (1) Repeal.--Section 1236 of such Act (16 U.S.C. 3836) is 
        repealed.
            (2) Conforming amendment.--Section 1232(a)(5) of such Act 
        (16 U.S.C. 3832(a)(5)) is amended by striking ``in addition to 
        the remedies provided under section 1236(d),''.
    (d) Payment Limitations Under the Wetlands Reserve Program.--
Section 1237D(c) of such Act (16 U.S.C. 3837d(c)) is amended by 
striking paragraph (3).
    (e) Environmental Easement Program.--
            (1) Repeal.--Chapter 3 of subtitle D of title XII of such 
        Act (16 U.S.C. 3839-3839d) is repealed.
            (2) Conforming amendment.--Section 1243(a)(3) of such Act 
        (16 U.S.C. 3843(a)(3)) is amended by striking ``or 3''.
    (f) Conservation Farm Option.--Chapter 5 of subtitle D of title XII 
of such Act (16 U.S.C. 3839bb) is repealed.
    (g) Tree Planting Initiative.--Section 1256 of such Act (16 U.S.C. 
2101 note) is repealed.

                            TITLE III--TRADE

SEC. 301. MARKET ACCESS PROGRAM.

    Section 211(c)(1) of the Agricultural Trade Act of 1978 (7 U.S.C. 
5641(c)(1)) is amended--
            (1) by striking ``and not more'' and inserting ``not 
        more'';
            (2) by inserting ``and not more than $200,000,000 for each 
        of fiscal years 2002 through 2011,'' after ``2002''; and
            (3) by striking ``2002'' and inserting ``2001''.

SEC. 302. FOOD FOR PROGRESS.

    (a) In General.--Subsections (f)(3), (g), (k), and (l)(1) of 
section 1110 of the Food Security Act of 1985 (7 U.S.C. 1736o) are each 
amended by striking ``2002'' and inserting ``2011''.
    (b) Increase in Funding.--Section 1110(l)(1) of the Food Security 
Act of 1985 (7 U.S.C. 1736o(l)(1)) is amended by striking ``fiscal year 
1999'' and inserting ``fiscal years 2002 through 2011''.
    (c) Exclusion From Limitation.--Section 1110(e)(2) of the Food 
Security Act of 1985 (7 U.S.C. 1736o(e)(2)) is amended by inserting ``, 
and subsection (g) does not apply to such commodities furnished on a 
grant basis or on credit terms under title I of the Agricultural Trade 
Development Act of 1954'' before the final period.
    (d) Transportation Costs.--Section 1110(f)(3) of the Food Security 
Act of 1985 (7 U.S.C. 1736o) is amended by striking ``$30,000,000'' and 
inserting ``$35,000,000''.
    (e) Multiyear Basis.--Section 1110(j) of the Food Security Act of 
1985 (7 U.S.C. 17360(j)) is amended--
            (1) by striking ``may'' and inserting ``is encouraged''; 
        and
            (2) by inserting ``to'' before ``approved''.
    (f) New Provisions.--Section 1110 of the Food Security Act of 1985 
(7 U.S.C. 17360) is amended by adding at the end the following:
    ``(p) The Secretary is encouraged to finalize program agreements 
and resource requests for programs under this section before the 
beginning of the relevant fiscal year. By November 1 of the relevant 
fiscal year, the Secretary shall provide to the Committee on 
Agriculture of the House of Representatives, and the Committee on 
Agriculture, Nutrition, and Forestry of the Senate a list of approved 
programs, countries, and commodities, and the total amounts of funds 
approved for transportation and administrative costs, under this 
section.''.

SEC. 303. EXPORT ENHANCEMENT PROGRAM.

    Section 301(e)(1)(G) of the Agricultural Trade Act of 1978 (7 
U.S.C. 5651(e)(1)(G)) is amended by inserting ``and for each fiscal 
year thereafter through fiscal year 2011'' after ``2002''.

SEC. 304. FOREIGN MARKET DEVELOPMENT COOPERATOR PROGRAM.

    Section 703 of the Agricultural Trade Act of 1978 (7 U.S.C. 5723) 
is amended--
            (1) by inserting ``(a) Prior Years.--'';
            (2) by striking ``2002'' and inserting ``2001''; and
            (3) by adding at the end the following new subsection:
    ``(b) Fiscal 2002 and Later.--For each of fiscal years 2002 through 
2011 there are authorized to be appropriated such sums as may be 
necessary to carry out this title, and, in addition to any sums so 
appropriated, the Secretary shall use $35,000,000 of the funds of, or 
an equal value of the commodities of, the Commodity Credit Corporation 
to carry out this title.

SEC. 305. EXPORT CREDIT GUARANTEE PROGRAM.

    (a) Reauthorization.--Section 211(b)(1) of the Agricultural Trade 
Act of 1978 (7 U.S.C. 5641(b)(1)) is amended by striking ``2002'' and 
inserting ``2011''.
    (b) Processed and High Value Products.--Section 202(k)(1) of the 
Agricultural Trade Act of 1978 (7 U.S.C. 5622(k)(1)) is amended by 
striking ``, 2001, and 2002'' and inserting ``through 2011''.

SEC. 306. PL 480.

    The Agricultural Trade Development and Assistance Act of 1954 (7 
U.S.C. 1691 et seq.) is amended--
            (1) in section 204(a), by striking ``2002'' each place it 
        appears and inserting ``2011'';
            (2) in section 208(f), by striking ``2002'' and inserting 
        ``2011'';
            (3) in section 407(c)(4), by striking ``2001 and 2002'' and 
        inserting ``2001 through 2011'';
            (4) in section 408, by striking ``2002'' and inserting 
        ``2011''; and
            (5) in section 501(c), by striking ``2002'' and inserting 
        ``2011''.

SEC. 307. EMERGING MARKETS.

    Section 1542 of the Food, Agriculture, Conservation, and Trade Act 
of 1990 (7 U.S.C. 5622n) is amended in subsections (a) and 
(d)(1)(A)(i), by striking ``2002'' and inserting ``2011''.

SEC. 308. BILL EMERSON HUMANITARIAN TRUST.

    Subsections (b)(2)(i), (h)(1), and (h)(2) of section 302 of the 
Bill Emerson Humanitarian Trust Act (7 U.S.C. 1736f-1) are each amended 
by striking ``2002'' and inserting ``2011''.

SEC. 309. TECHNICAL ASSISTANCE FOR SPECIALTY CROPS.

    (a) Establishment.--The Secretary of Agriculture shall establish an 
export assistance program (referred to in this section as the 
``program'') to address unique barriers that prohibit or threaten the 
export of United States specialty crops.
    (b) Purpose.--The program shall provide direct assistance through 
public and private sector projects and technical assistance to remove, 
resolve, or mitigate sanitary and phytosanitary and related barriers to 
trade.
    (c) Priority.--The program shall address time sensitive and 
strategic market access projects based on--
            (1) trade effect on market retention, market access, and 
        market expansion; and
            (2) trade impact.
    (d) Funding.--The Secretary shall make available $3,000,000 for 
each of fiscal years 2002 through 2011 of the funds of, or an equal 
value of commodities owned by, the Commodity Credit Corporation.

                      TITLE IV--NUTRITION PROGRAMS

                     Subtitle A--Food Stamp Program

SEC. 401. SIMPLIFIED DEFINITION OF INCOME.

    Section 5(d) of the Food Stamp Act of 1977 (7 U.S.C. 2014(d)) is 
amended--
            (1) in paragraph (3)--
                    (A) by striking ``and (C)'' and inserting ``(C)''; 
                and
                    (B) by inserting after ``premiums,'' the following:
``(D) to the extent that any other educational loans on which payment 
is deferred, grants, scholarships, fellowships, veterans' educational 
benefits, and the like, are required to be excluded under title XIX of 
the Social Security Act, the state agency may exclude it under this 
subsection,'';
            (2) by striking ``and (15)'' and inserting ``(15)'';
            (3) by inserting before the period at the end the 
        following:
``; (16) any state complementary assistance program payments that are 
excluded pursuant to subsections (a) and (b) of section 1931 of title 
XIX of the Social Security Act; and (17) at the option of the State 
agency, any types of income that the State agency does not consider 
when determining eligibility for cash assistance under a program funded 
under part A of title IV of the Social Security Act (42 U.S.C. 601 et 
seq.) or medical assistance under section 1931 of the Social Security 
Act (42 U.S.C. 1396u-1), except that this paragraph shall not authorize 
a State agency to exclude earned income, payments under title I, II, 
IV, X, XIV, or XVI of the Social Security Act, or such other types of 
income whose consideration the Secretary determines essential to 
equitable determinations of eligibility and benefit levels except to 
the extent that those types of income may be excluded under other 
paragraphs of this subsection''.

SEC. 402. STANDARD DEDUCTION.

    Section 5(e)(1) of the Food Stamp Act of 1977 (7 U.S.C. 2014(e)(1)) 
is amended--
            (1) by striking ``of $134, $229, $189, $269, and $118'' and 
        inserting ``equal to 9.7 percent of the eligibility limit 
        established under section 5(c)(1) for fiscal year 2002 but not 
        more than 9.25 percent of the eligibility limit established 
        under section 5(c)(1) for a household of six nor less than 
        $134, $229, $189, $269, and $118''; and
            (2) by inserting before the period at the end the 
        following:
        ``, except that the standard deduction for Guam shall be 
        determined with reference to 2 times the eligibility limits 
        under section 5(c)(1) for the 48 contiguous states and the 
        District of Columbia''.

SEC. 403. TRANSITIONAL FOOD STAMPS FOR FAMILIES MOVING FROM WELFARE.

    (a) In General.--Section 11 of the Food Stamp Act of 1977 (7 U.S.C. 
2020) is amended by adding at the end the following:
    ``(s) Transitional Benefits Option.--
            ``(1) In general.--A State may provide transitional food 
        stamp benefits to a household that is no longer eligible to 
        receive cash assistance under a State program funded under part 
        A of title IV of the Social Security Act (42 U.S.C. 601 et 
        seq.).
            ``(2) Transitional benefits period.--Under paragraph (1), a 
        household may continue to receive food stamp benefits for a 
        period of not more than 6 months after the date on which cash 
        assistance is terminated.
            ``(3) Amount.--During the transitional benefits period 
        under paragraph (2), a household shall receive an amount equal 
        to the allotment received in the month immediately preceding 
        the date on which cash assistance is terminated. A household 
        receiving benefits under this subsection may apply for 
        recertification at any time during the transitional benefit 
        period. If a household reapplies, its allotment shall be 
        determined without regard to this subsection for all subsequent 
        months.
            ``(4) Determination of future eligibility.--In the final 
        month of the transitional benefits period under paragraph (2), 
        the State agency may--
                    ``(A) require a household to cooperate in a 
                redetermination of eligibility to receive an 
                authorization card; and
                    ``(B) renew eligibility for a new certification 
                period for the household without regard to whether the 
                previous certification period has expired.
            ``(5) Limitation.--A household sanctioned under section 6, 
        or for a failure to perform an action required by Federal, 
        State, or local law relating to such cash assistance program, 
        shall not be eligible for transitional benefits under this 
        subsection.''.
    (b) Conforming Amendments.--(1) Section 3(c) of the Food Stamp Act 
of 1977 (7 U.S.C. 2012(c)) is amended by adding at the end the 
following: ``The limits in this section may be extended until the end 
of any transitional benefit period established under section 11(s).''.
    (2) Section 6(c) of the Food Stamp Act of 1977 (7 U.S.C. 2015(c)) 
is amended by striking ``No household'' and inserting ``Except in a 
case in which a household is receiving transitional benefits during the 
transitional benefits period under section 11(s), no household''.

SEC. 404. QUALITY CONTROL SYSTEMS.

    (a) Targeted Quality Control System.--Section 16(c) of the Food 
Stamp Act of 1977 (7 U.S.C. 2025(c)) is amended--
            (1) in paragraph (1)(C)--
                    (A) in the matter preceding clause (i), by 
                inserting ``the Secretary determines that a 95 percent 
                statistical probability exists that for the 3d 
                consecutive year'' after ``year in which''; and
                    (B) in clause (i)(II)(aa) by striking ``the 
                national performance measure for the fiscal year'' each 
                place it appears and inserting ``10 percent'';
            (2) in the 1st sentence of paragraph (4)--
                    (A) by striking ``or claim'' and inserting 
                ``claim''; and
                    (B) by inserting ``or performance under the 
                measures established under paragraph (10),'' after 
                ``for payment error,'';
            (3) in paragraph (5), by inserting ``to comply with 
        paragraph (10) and'' before ``to establish'';
            (4) in the 1st sentence of paragraph (6), by inserting 
        ``one percentage point more than'' after ``measure that shall 
        be''; and
            (5) by inserting at the end the following:
    ``(10)(A) In addition to the measures established under paragraph 
(1), the Secretary shall measure the performance of State agencies in 
each of the following regards--
            ``(i) compliance with the deadlines established under 
        paragraphs (3) and (9) of section 11(e); and
            ``(ii) the percentage of negative eligibility decisions 
        that are made correctly.
    ``(B) For each fiscal year, the Secretary shall make excellence 
bonus payments of $1,000,000 each to the 5 States with the highest 
combined performance in the 2 measures in subparagraph (A) and to the 5 
States whose combined performance under the 2 measures in subparagraph 
(A) most improved in such fiscal year.
    ``(C) For any fiscal year in which the Secretary determines that a 
95 percent statistical probability exists that a State agency's 
performance with respect to any of the 2 performance measures 
established in subparagraph (A) is substantially worse than a level the 
Secretary deems reasonable, other than for good cause shown, the 
Secretary shall investigate that State agency's administration of the 
food stamp program. If this investigation determines that the State's 
administration has been deficient, the Secretary shall require the 
State agency to take prompt corrective action.''.
    (b) Implementation.--The amendment made by subsection (a)(5) shall 
apply to all fiscal years beginning on or after October 1, 2001. All 
other amendments made by this section shall apply to all fiscal years 
beginning on or after October 1, 1999.

SEC. 405. SIMPLIFIED APPLICATION AND ELIGIBILITY DETERMINATION SYSTEMS.

    Section 16 of the Food Stamp Act of 1977 (7 U.S.C. 2025) is amended 
by inserting at the end the following:
    ``(l) The Secretary shall expend up to $10 million in each fiscal 
year to pay 100 percent of the costs of State agencies to develop and 
implement simple application and eligibility determination systems.''.

SEC. 406. AUTHORIZATION OF APPROPRIATIONS.

    (a) Employment and Training Programs.--Section 16(h)(1) of the Food 
Stamp Act of 1977 (7 U.S.C. 2025(h)(1)) is amended--
            (1) in subparagraph (A)(vii) by striking ``fiscal year 
        2002'' and inserting ``each of the fiscal years 2003 through 
        2011''; and
            (2) in subparagraph (B) by striking ``2002'' and inserting 
        ``2011''.
    (b) Cost Allocation.--Section 16(k)(3) of the Food Stamp Act of 
1977 (7 U.S.C. 2025(k)(3)) is amended--
            (1) in subparagraph (A) by striking ``2002'' and inserting 
        ``2011''; and
            (2) in subparagraph (B)(ii) by striking ``2002'' and 
        inserting ``2011''.
    (c) Cash Payment Pilot Projects.--Section 17(b)(1)(B)(vi) of the 
Food Stamp Act of 1977 (7 U.S.C. 2026(b)(1)(B)(vi)) is amended by 
striking ``2002'' and inserting ``2011''.
    (d) Outreach Demonstration Projects.--Section 17(i)(1)(A) of the 
Food Stamp Act of 1977 (7 U.S.C. 2026(i)(1)(A)) is amended by striking 
``1992 through 2002'' and inserting ``2003 through 2011''.
    (e) Authorization of Appropriations.--Section 18(a)(1) of the Food 
Stamp Act of 1977 (7 U.S.C. 2027(a)(1)) is amended by striking`` ``1996 
through 2002'' and inserting ``2003 through 2011''.
    (f) Puerto Rico.--Section 19(a)(1)(A) of the Food Stamp Act of 1977 
(7 U.S.C. 2028(a)(1)(A)) is amended--
            (1) in clause (ii) by striking ``and'' at the end;
            (2) in clause (iii) by adding ``and'' at the end; and
            (3) by inserting after clause (iii) the following:
            ``(iv) for each of fiscal years 2003 through 2011, the 
        amount equal to the amount required to be paid under this 
        subparagraph for the preceding fiscal year, as adjusted by the 
        percentage by which the thrifty food plan is adjusted under 
        section 3(o)(4) for the current fiscal year for which the 
        amount is determined under this clause;''.
    (g) Territory of American Samoa.--Section 24 of the Food Stamp Act 
of 1977 (7 U.S.C. 2033) is amended by striking ``1996 through 2002'' 
and inserting ``2003 through 2011''.
    (h) Assistance for Community Food Projects.--Section 25(b)(2) of 
the Food Stamp Act of 1977 (7 U.S.C. 2034(b)(2)) is amended--
            (1) in subparagraph (A) by striking ``and'' at the end;
            (2) in subparagraph (B)--
                    (A) by striking ``2002'' and inserting ``2001''; 
                and
                    (B) by adding ``and'' at the end; and
            (3) by inserting after subparagraph (B) the following:
                    ``(C) $7,500,000 for each of the fiscal years 2002 
                through 2011.''.
    (i) Availability of Commodities for the Emergency Food Assistance 
Program.--Section 27 of the Food Stamp Act of 1977 (7 U.S.C. 2036) is 
amended--
            (1) in subsection (a)--
                    (A) by striking ``1997 through 2002'' and inserting 
                ``2002 through 2011''; and
                    (B) by striking ``$100,000,000'' and inserting 
                ``$140,000,000''; and
            (2) by adding at the end the following:
    ``(c) Use of Funds for Related Costs.--For each of the fiscal years 
2002 through 2011, the Secretary shall use $10,000,000 of the funds 
made available under subsection (a) to pay for the direct and indirect 
costs of the States related to the processing, storing, transporting, 
and distributing to eligible recipient agencies of commodities 
purchased by the Secretary under such subsection and commodities 
secured from other sources, including commodities secured by gleaning 
(as defined in section 111 of the Hunger Prevention Act of 1988 (7 
U.S.C. 612c note)).''.
    (j) Special Effective Date.--The amendments made by subsections (h) 
and (i) shall take effect of October 1, 2001.

                   Subtitle B--Commodity Distribution

SEC. 441. DISTRIBUTION OF SURPLUS COMMODITIES TO SPECIAL NUTRITION 
              PROJECTS.

    Section 1114(a) of the Agriculture and Food Act of 1981 (7 U.S.C. 
1431e) is amended by striking ``2002'' and inserting ``2011''.

SEC. 442. COMMODITY SUPPLEMENTAL FOOD PROGRAM.

    The Agriculture and Consumer Protection Act of 1975 (7 U.S.C. 612c 
note) is amended--
            (1) in section 4(a) by striking ``1991 through 2002'' and 
        inserting ``2003 through 2011''; and
            (2) in subsections (a)(2) and (d)(2) of section 5 by 
        striking ``1991 through 2002'' and inserting ``2003 through 
        2011''.

SEC. 443. EMERGENCY FOOD ASSISTANCE.

    The 1st sentence of section 204(a)(1) of the Emergency Food 
Assistance Act of 1983 (7 U.S.C. 7508(a)(1)) is amended--
            (1) by striking ``1991 through 2002'' and inserting ``2003 
        through 2011'';
            (2) by striking ``administrative'', and
            (3) by inserting ``storage,'' after ``processing,''.

                  Subtitle C--Miscellaneous Provisions

SEC. 461. HUNGER FELLOWSHIP PROGRAM.

    (a) Short Title; Findings.--
            (1) Short title.--This section may be cited as the 
        ``Congressional Hunger Fellows Act of 2001''.
            (2) Findings.--The Congress finds as follows:
                    (A) There is a critical need for compassionate 
                individuals who are committed to assisting people who 
                suffer from hunger as well as a need for such 
                individuals to initiate and administer solutions to the 
                hunger problem.
                    (B) Bill Emerson, the distinguished late 
                Representative from the 8th District of Missouri, 
                demonstrated his commitment to solving the problem of 
                hunger in a bipartisan manner, his commitment to public 
                service, and his great affection for the institution 
                and the ideals of the United States Congress.
                    (C) George T. (Mickey) Leland, the distinguished 
                late Representative from the 18th District of Texas, 
                demonstrated his compassion for those in need, his high 
                regard for public service, and his lively exercise of 
                political talents.
                    (D) The special concern that Mr. Emerson and Mr. 
                Leland demonstrated during their lives for the hungry 
                and poor was an inspiration for others to work toward 
                the goals of equality and justice for all.
                    (E) These 2 outstanding leaders maintained a 
                special bond of friendship regardless of political 
                affiliation and worked together to encourage future 
                leaders to recognize and provide service to others, and 
                therefore it is especially appropriate to honor the 
                memory of Mr. Emerson and Mr. Leland by creating a 
                fellowship program to develop and train the future 
                leaders of the United States to pursue careers in 
                humanitarian service.
    (b) Establishment.--There is established as an independent entity 
of the legislative branch of the United States Government the 
Congressional Hunger Fellows Program (hereinafter in this section 
referred to as the ``Program'').
    (c) Board of Trustees.--
            (1) In general.--The Program shall be subject to the 
        supervision and direction of a Board of Trustees.
            (2) Members of the board of trustees.--
                    (A) Appointment.--The Board shall be composed of 6 
                voting members appointed under clause (i) and 1 
                nonvoting ex officio member designated in clause (ii) 
                as follows:
                            (i) Voting members.--(I) The Speaker of the 
                        House of Representatives shall appoint 2 
                        members.
                            (II) The minority leader of the House of 
                        Representatives shall appoint 1 member.
                            (III) The majority leader of the Senate 
                        shall appoint 2 members.
                            (IV) The minority leader of the Senate 
                        shall appoint 1 member.
                            (ii) Nonvoting member.--The Executive 
                        Director of the program shall serve as a 
                        nonvoting ex officio member of the Board.
                    (B) Terms.--Members of the Board shall serve a term 
                of 4 years.
                    (C) Vacancy.--
                            (i) Authority of board.--A vacancy in the 
                        membership of the Board does not affect the 
                        power of the remaining members to carry out 
                        this section.
                            (ii) Appointment of successors.--A vacancy 
                        in the membership of the Board shall be filled 
                        in the same manner in which the original 
                        appointment was made.
                            (iii) Incomplete term.--If a member of the 
                        Board does not serve the full term applicable 
                        to the member, the individual appointed to fill 
                        the resulting vacancy shall be appointed for 
                        the remainder of the term of the predecessor of 
                        the individual.
                    (D) Chairperson.--As the first order of business of 
                the first meeting of the Board, the members shall elect 
                a Chairperson.
                    (E) Compensation.--
                            (i) In general.--Subject to clause (ii), 
                        members of the Board may not receive 
                        compensation for service on the Board.
                            (ii) Travel.--Members of the Board may be 
                        reimbursed for travel, subsistence, and other 
                        necessary expenses incurred in carrying out the 
                        duties of the program.
            (3) Duties.--
                    (A) Bylaws.--
                            (i) Establishment.--The Board shall 
                        establish such bylaws and other regulations as 
                        may be appropriate to enable the Board to carry 
                        out this section, including the duties 
                        described in this paragraph.
                            (ii) Contents.--Such bylaws and other 
                        regulations shall include provisions--
                                    (I) for appropriate fiscal control, 
                                funds accountability, and operating 
                                principles;
                                    (II) to prevent any conflict of 
                                interest, or the appearance of any 
                                conflict of interest, in the 
                                procurement and employment actions 
                                taken by the Board or by any officer or 
                                employee of the Board and in the 
                                selection and placement of individuals 
                                in the fellowships developed under the 
                                program;
                                    (III) for the resolution of a tie 
                                vote of the members of the Board; and
                                    (IV) for authorization of travel 
                                for members of the Board.
                            (iii) Transmittal to congress.--Not later 
                        than 90 days after the date of the first 
                        meeting of the Board, the Chairperson of the 
                        Board shall transmit to Congress a copy of such 
                        bylaws.
                    (B) Budget.--For each fiscal year the program is in 
                operation, the Board shall determine a budget for the 
                program for that fiscal year. All spending by the 
                program shall be pursuant to such budget unless a 
                change is approved by the Board.
                    (C) Process for selection and placement of 
                fellows.--The Board shall review and approve the 
                process established by the Executive Director for the 
                selection and placement of individuals in the 
                fellowships developed under the program.
                    (D) Allocation of funds to fellowships.--The Board 
                of Trustees shall determine the priority of the 
                programs to be carried out under this section and the 
                amount of funds to be allocated for the Emerson and 
                Leland fellowships.
    (d) Purposes; Authority of Program.--
            (1) Purposes.--The purposes of the program are--
                    (A) to encourage future leaders of the United 
                States to pursue careers in humanitarian service, to 
                recognize the needs of people who are hungry and poor, 
                and to provide assistance and compassion for those in 
                need;
                    (B) to increase awareness of the importance of 
                public service; and
                    (C) to provide training and development 
                opportunities for such leaders through placement in 
                programs operated by appropriate organizations or 
                entities.
            (2) Authority.--The program is authorized to develop such 
        fellowships to carry out the purposes of this section, 
        including the fellowships described in paragraph (3).
            (3) Fellowships.--
                    (A) In general.--The program shall establish and 
                carry out the Bill Emerson Hunger Fellowship and the 
                Mickey Leland Hunger Fellowship.
                    (B) Curriculum.--
                            (i) In general.--The fellowships 
                        established under subparagraph (A) shall 
                        provide experience and training to develop the 
                        skills and understanding necessary to improve 
                        the humanitarian conditions and the lives of 
                        individuals who suffer from hunger, including--
                                    (I) training in direct service to 
                                the hungry in conjunction with 
                                community-based organizations through a 
                                program of field placement; and
                                    (II) experience in policy 
                                development through placement in a 
                                governmental entity or nonprofit 
                                organization.
                            (ii) Focus of bill emerson hunger 
                        fellowship.--The Bill Emerson Hunger Fellowship 
                        shall address hunger and other humanitarian 
                        needs in the United States.
                            (iii) Focus of mickey leland hunger 
                        fellowship.--The Mickey Leland Hunger 
                        Fellowship shall address international hunger 
                        and other humanitarian needs.
                            (iv) Workplan.--To carry out clause (i) and 
                        to assist in the evaluation of the fellowships 
                        under paragraph (4), the program shall, for 
                        each fellow, approve a work plan that 
                        identifies the target objectives for the fellow 
                        in the fellowship, including specific duties 
                        and responsibilities related to those 
                        objectives.
                    (C) Period of fellowship.--
                            (i) Emerson fellow.--A Bill Emerson Hunger 
                        Fellowship awarded under this paragraph shall 
                        be for no more than 1 year.
                            (ii) Leland fellow.--A Mickey Leland Hunger 
                        Fellowship awarded under this paragraph shall 
                        be for no more than 2 years.
                    (D) Selection of fellows.--
                            (i) In general.--A fellowship shall be 
                        awarded pursuant to a nationwide competition 
                        established by the program.
                            (ii) Qualification.--A successful applicant 
                        shall be an individual who has demonstrated--
                                    (I) an intent to pursue a career in 
                                humanitarian service and outstanding 
                                potential for such a career;
                                    (II) a commitment to social change;
                                    (III) leadership potential or 
                                actual leadership experience;
                                    (IV) diverse life experience;
                                    (V) proficient writing and speaking 
                                skills; and
                                    (VI) an ability to live in poor or 
                                diverse communities.
                            (iii) Amount of award.--
                                    (I) In general.--Each individual 
                                awarded a fellowship under this 
                                paragraph shall receive a living 
                                allowance and, subject to subclause 
                                (II), an end-of-service award as 
                                determined by the program.
                                    (II) Requirement for successful 
                                completion of fellowship.--Each 
                                individual awarded a fellowship under 
                                this paragraph shall be entitled to 
                                receive an end-of-service award at an 
                                appropriate rate for each month of 
                                satisfactory service as determined by 
                                the Executive Director.
                            (iv) Recognition of fellowship award.--
                                    (I) Emerson fellow.--An individual 
                                awarded a fellowship from the Bill 
                                Emerson Hunger Fellowship shall be 
                                known as an ``Emerson Fellow''.
                                    (II) Leland fellow.--An individual 
                                awarded a fellowship from the Mickey 
                                Leland Hunger Fellowship shall be known 
                                as a ``Leland Fellow''.
            (4) Evaluation.--The program shall conduct periodic 
        evaluations of the Bill Emerson and Mickey Leland Hunger 
        Fellowships. Such evaluations shall include the following:
                    (A) An assessment of the successful completion of 
                the work plan of the fellow.
                    (B) An assessment of the impact of the fellowship 
                on the fellows.
                    (C) An assessment of the accomplishment of the 
                purposes of the program.
                    (D) An assessment of the impact of the fellow on 
                the community.
    (e) Trust Fund.--
            (1) Establishment.--There is established the Congressional 
        Hunger Fellows Trust Fund (hereinafter in this section referred 
        to as the ``Fund'') in the Treasury of the United States, 
        consisting of amounts appropriated to the Fund under subsection 
        (i), amounts credited to it under paragraph (3), and amounts 
        received under subsection (g)(3)(A).
            (2) Investment of funds.--The Secretary of the Treasury 
        shall invest the full amount of the Fund. Each investment shall 
        be made in an interest bearing obligation of the United States 
        or an obligation guaranteed as to principal and interest by the 
        United States that, as determined by the Secretary in 
        consultation with the Board, has a maturity suitable for the 
        Fund.
            (3) Return on investment.--Except as provided in subsection 
        (f)(2), the Secretary of the Treasury shall credit to the Fund 
        the interest on, and the proceeds from the sale or redemption 
        of, obligations held in the Fund.
    (f) Expenditures; Audits.--
            (1) In general.--The Secretary of the Treasury shall 
        transfer to the program from the amounts described in 
        subsection (e)(3) and subsection (g)(3)(A) such sums as the 
        Board determines are necessary to enable the program to carry 
        out the provisions of this section.
            (2) Limitation.--The Secretary may not transfer to the 
        program the amounts appropriated to the Fund under subsection 
        (i).
            (3) Use of funds.--Funds transferred to the program under 
        paragraph (1) shall be used for the following purposes:
                    (A) Stipends for fellows.--To provide for a living 
                allowance for the fellows.
                    (B) Travel of fellows.--To defray the costs of 
                transportation of the fellows to the fellowship 
                placement sites.
                    (C) Insurance.--To defray the costs of appropriate 
                insurance of the fellows, the program, and the Board.
                    (D) Training of fellows.--To defray the costs of 
                preservice and midservice education and training of 
                fellows.
                    (E) Support staff.--Staff described in subsection 
                (g).
                    (F) Awards.--End-of-service awards under subsection 
                (d)(3)(D)(iii)(II).
                    (G) Additional approved uses.--For such other 
                purposes that the Board determines appropriate to carry 
                out the program.
            (4) Audit by gao.--
                    (A) In general.--The Comptroller General of the 
                United States shall conduct an annual audit of the 
                accounts of the program.
                    (B) Books.--The program shall make available to the 
                Comptroller General all books, accounts, financial 
                records, reports, files, and all other papers, things, 
                or property belonging to or in use by the program and 
                necessary to facilitate such audit.
                    (C) Report to congress.--The Comptroller General 
                shall submit a copy of the results of each such audit 
                to the Congress.
    (g) Staff; Powers of Program.--
            (1) Executive director.--
                    (A) In general.--The Board shall appoint an 
                Executive Director of the program who shall administer 
                the program. The Executive Director shall carry out 
                such other functions consistent with the provisions of 
                this section as the Board shall prescribe.
                    (B) Restriction.--The Executive Director may not 
                serve as Chairperson of the Board.
                    (C) Compensation.--The Executive Director shall be 
                paid at a rate not to exceed the rate of basic pay 
                payable for level V of the Executive Schedule under 
                section 5316 of title 5, United States Code.
            (2) Staff.--
                    (A) In general.--With the approval of a majority of 
                the Board, the Executive Director may appoint and fix 
                the pay of additional personnel as the Executive 
                Director considers necessary and appropriate to carry 
                out the functions of the provisions of this section.
                    (B) Compensation.--An individual appointed under 
                subparagraph (A) shall be paid at a rate not to exceed 
                the rate of basic pay payable for level GS-15 of the 
                General Schedule.
            (3) Powers.--In order to carry out the provisions of this 
        section, the program may perform the following functions:
                    (A) Gifts.--The program may solicit, accept, use, 
                and dispose of gifts, bequests, or devises of services 
                or property, both real and personal, for the purpose of 
                aiding or facilitating the work of the program. Gifts, 
                bequests, or devises of money and proceeds from sales 
                of other property received as gifts, bequests, or 
                devises shall be deposited in the Fund and shall be 
                available for disbursement upon order of the Board.
                    (B) Experts and consultants.--The program may 
                procure temporary and intermittent services under 
                section 3109 of title 5, United States Code, but at 
                rates for individuals not to exceed the daily 
                equivalent of the maximum annual rate of basic pay 
                payable for GS-15 of the General Schedule.
                    (C) Contract authority.--The program may contract, 
                with the approval of a majority of the members of the 
                Board, with and compensate Government and private 
                agencies or persons without regard to section 3709 of 
                the Revised Statutes (41 U.S.C. 5).
                    (D) Other necessary expenditures.--The program 
                shall make such other expenditures which the program 
                considers necessary to carry out the provisions of this 
                section, but excluding project development.
    (h) Report.--Not later than December 31 of each year, the Board 
shall submit to Congress a report on the activities of the program 
carried out during the previous fiscal year, and shall include the 
following:
            (1) An analysis of the evaluations conducted under 
        subsection (d)(4) (relating to evaluations of the Emerson and 
        Leland fellowships and accomplishment of the program purposes) 
        during that fiscal year.
            (2) A statement of the total amount of funds attributable 
        to gifts received by the program in that fiscal year (as 
        authorized under subsection (g)(3)(A)), and the total amount of 
        such funds that were expended to carry out the program that 
        fiscal year.
    (i) Authorization of Appropriations.--There are authorized to be 
appropriated $18,000,000 to carry out the provisions of this section.

SEC. 462. GENERAL EFFECTIVE DATE.

    Except as otherwise provided in this title, the amendments made by 
this title shall take effect on October 1, 2002.

                            TITLE V--CREDIT

SEC. 501. ELIGIBILITY OF LIMITED LIABILITY COMPANIES FOR FARM OWNERSHIP 
              LOANS, FARM OPERATING LOANS, AND EMERGENCY LOANS.

    (a) Sections 302(a), 311(a), and 321(a) of the Consolidated Farm 
and Rural Development Act (7 U.S.C. 1922(a), 1941(a), and 1961(a)) are 
each amended by striking ``and joint operations'' each place it appears 
and inserting ``joint operations, and limited liability companies''.
    (b) Section 321(a) of such Act (7 U.S.C. 1961(a)) is amended by 
striking ``or joint operations'' each place it appears and inserting 
``joint operations, or limited liability companies''.

SEC. 502. SUSPENSION OF LIMITATION ON PERIOD FOR WHICH BORROWERS ARE 
              ELIGIBLE FOR GUARANTEED ASSISTANCE.

    During the period beginning January 1, 2002, and ending December 
31, 2006, section 319(b) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1949(b)) shall have no force or effect.

SEC. 503. ADMINISTRATION OF CERTIFIED LENDERS AND PREFERRED CERTIFIED 
              LENDERS PROGRAMS.

    (a) In General.--Section 331(b) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1981(b)) is amended--
            (1) by redesignating paragraphs (2) through (9) as 
        paragraphs (3) through (10), respectively; and
            (2) by inserting after paragraph (1) the following:
            ``(2) administer the loan guarantee program under section 
        339(c) through central offices established in States or in 
        multi-State areas, or through contracts with commercial or 
        cooperative lenders;''.
    (b) Conforming Amendment.--Section 331(c) of such Act (7 U.S.C. 
1981(c)) is amended by striking ``(b)(5)'' and inserting ``(b)(6)''.

SEC. 504. SIMPLIFIED LOAN GUARANTEE APPLICATION AVAILABLE FOR LOANS OF 
              GREATER AMOUNTS.

    Section 333A(g)(1) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1983a(g)(1)) is amended by striking ``$50,000'' and 
inserting ``$150,000''.

SEC. 505. ELIMINATION OF REQUIREMENT THAT SECRETARY REQUIRE COUNTY 
              COMMITTEES TO CERTIFY IN WRITING THAT CERTAIN LOAN 
              REVIEWS HAVE BEEN CONDUCTED.

    Section 333 of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1983) is amended by striking paragraph (2) and redesignating 
paragraphs (3) through (5) as paragraphs (2) through (4), respectively.

SEC. 506. AUTHORITY TO REDUCE PERCENTAGE OF LOAN GUARANTEED IF BORROWER 
              INCOME IS INSUFFICIENT TO SERVICE DEBT.

    Section 339 of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1989) is amended--
            (1) in subsection (c)(4)(A), by inserting ``, except that 
        the Secretary may guarantee such lesser percentage as the 
        Secretary determines appropriate of such a loan if the income 
        of the borrower is less than the income necessary to meet the 
        requirements of subsection (b)'' before the period; and
            (2) in subsection (d)(4)(A), by inserting ``, except that 
        the Secretary may guarantee such lesser percentage as the 
        Secretary determines appropriate of such a loan if the income 
        of the borrower is less than the income necessary to meet the 
        requirements of subsection (b)'' before the semicolon.

SEC. 507. TIMING OF LOAN ASSESSMENTS.

    Section 360(a) of the Consolidated Farm and Rural Development Act 
(7 U.S.C. 2006b(a)) is amended by striking ``After an applicant is 
determined eligible for assistance under this title by the appropriate 
county committee established pursuant to section 332, the'' and 
inserting ``The''.

SEC. 508. MAKING AND SERVICING OF LOANS BY PERSONNEL OF STATE, COUNTY, 
              OR AREA COMMITTEES.

    (a) In General.--Subtitle D of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1981-2008j) is amended by adding at the end 
the following:

``SEC. 376. MAKING AND SERVICING OF LOANS BY PERSONNEL OF STATE, 
              COUNTY, OR AREA COMMITTEES.

    ``The Secretary shall employ personnel of a State, county or area 
committee established under section 8(b)(5) of the Soil Conservation 
and Domestic Allotment Act (16 U.S.C 590h(b)(5)) to make and service 
loans under this title to the extent the personnel have been trained to 
do so.''.
    (b) Inapplicability of Finality Rule.--Section 281(a)(1) of the 
Department of Agriculture Reorganization Act of 1994 (7 U.S.C. 
7001(a)(1)) is amended by inserting ``, except functions performed 
pursuant to section 376 of the Consolidated Farm and Rural Development 
Act'' before the period.

SEC. 509. ELIGIBILITY OF EMPLOYEES OF STATE, COUNTY, OR AREA COMMITTEE 
              FOR LOANS AND LOAN GUARANTEES.

    Subtitle D of the Consolidated Farm and Rural Development Act (7 
U.S.C. 1981-2008j) is further amended by adding at the end the 
following:

``SEC. 377. ELIGIBILITY OF EMPLOYEES OF STATE, COUNTY, OR AREA 
              COMMITTEE FOR LOANS AND LOAN GUARANTEES.

    ``The Secretary shall not prohibit an employee of a State, county 
or area committee established under section 8(b)(5) of the Soil 
Conservation and Domestic Allotment Act (16 U.S.C. 590h(b)(5)) or an 
employee of the Department of Agriculture from obtaining a loan or loan 
guarantee under subtitle A, B or C of this title if an office of the 
Department of Agriculture other than the office in which the employee 
is located determines that the employee is otherwise eligible for the 
loan or loan guarantee.''.

SEC. 510. EMERGENCY LOANS IN RESPONSE TO AN ECONOMIC EMERGENCY 
              RESULTING FROM SHARPLY INCREASING ENERGY COSTS.

    (a) Loan Authority.--Section 321(a) of the Consolidated Farm and 
Rural Development Act (7 U.S.C. 1961(a)) is amended--
            (1) in each of the 1st and 3rd sentences--
                    (A) by striking ``a natural disaster in the United 
                States or by'' and inserting ``a quarantine imposed by 
                the Secretary under the Plant Protection Act or the 
                animal quarantine laws (as defined in section 2509 of 
                the Food, Agriculture, Conservation, and Trade Act of 
                1990), an economic emergency resulting from sharply 
                increasing energy costs as described in section 329(b), 
                a natural disaster in the United States, or''; and
                    (B) by inserting ``Robert T. Stafford'' before 
                ``Disaster Relief and Emergency Assistance Act''; and
            (2) in the 4th sentence--
                    (A) by striking ``a natural disaster'' and 
                inserting ``such a quarantine, economic emergency, or 
                natural disaster''; and
                    (B) by striking ``by such natural disaster'' and 
                inserting ``by such quarantine, economic emergency, or 
                natural disaster''.
    (b) Conforming Amendment.--Section 323 of such Act (7 U.S.C. 1963) 
is amended--
            (1) by inserting ``quarantine,'' before ``natural 
        disaster''; and
            (2) by inserting ``referred to in section 321(a), 
        including, notwithstanding any other provision of this title, 
        an economic emergency resulting from sharply increasing energy 
        costs as described in section 329(b)'' after ``emergency''.
    (c) Sharply Increasing Energy Costs.--Section 329 of such Act (7 
U.S.C. 1969) is amended--
            (1) by striking all that precedes ``Secretary shall'' and 
        inserting the following:

``SEC. 329. LOSS CONDITIONS.

    ``(a) In General.--Except as provided in subsection (b), the''; and
            (2) by adding after and below the end the following:
    ``(b) Loss Resulting From Sharply Increasing Energy Costs.--The 
Secretary shall make financial assistance under this subtitle available 
to any applicant seeking assistance based on an income loss resulting 
from sharply increasing energy costs referred to in section 323 if--
            ``(1) the price of electricity, gasoline, diesel fuel, 
        natural gas, propane, or other equivalent fuel during any 3-
        month period is at least 50 percent greater than the average 
        price of the same form of energy during the preceding 5 years, 
        as determined by the Secretary; and
            ``(2) the income loss of the applicant is directly related 
        to expenses incurred to prevent livestock mortality, the 
        degradation of a perishable agricultural commodity, or damage 
        to a field crop.''.
    (c) Maximum Amount of Loan.--Section 324(a) of such Act (7 U.S.C. 
1964(a)) is amended--
            (1) by striking ``or'' at the end of paragraph (1);
            (2) by striking the period at the end of paragraph (2) and 
        inserting ``; or''; and
            (3) by adding at the end the following:
            ``(3) in the case of a loan made in response to a 
        quarantine or economic emergency referred to in section 321, 
        exceeds $200,000.''.

SEC. 511. EXTENSION OF AUTHORITY TO CONTRACT FOR SERVICING OF FARMER 
              PROGRAM LOANS.

    Section 331(d) of the Consolidated Farm and Rural Development Act 
(7 U.S.C. 1981(d)) is amended--
            (1) in the heading by striking ``Temporary''; and
            (2) in paragraph (5), by striking ``2002'' and inserting 
        ``2011''.

SEC. 512. AUTHORIZATION FOR LOANS.

    Section 346(b)(1) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1994(b)(1)) is amended by striking ``not more than the 
following amounts:'' and all that follows and inserting ``such sums as 
may be necessary.''.

SEC. 513. RESERVATION OF FUNDS FOR DIRECT OPERATING LOANS FOR BEGINNING 
              FARMERS AND RANCHERS.

    Section 346(b)(2)(A)(ii)(III) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1994(b)(2)(A)(ii)(III)) is amended by 
striking ``2000 through 2002'' and inserting ``2002 through 2011''.

SEC. 514. EXTENSION OF INTEREST RATE REDUCTION PROGRAM.

    Section 351(a)(2) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1999(a)(2)) is amended by striking ``2002'' and inserting 
``2011''.

SEC. 515. INCREASE IN DURATION OF LOANS UNDER DOWN PAYMENT LOAN 
              PROGRAM.

    (a) In General.--Section 310E(b)(3) of the Consolidated Farm and 
Rural Development Act (7 U.S.C. 1935(b)(3)) is amended by striking 
``10'' and inserting ``15''.
    (b) Conforming Amendment.--Section 310E(c)(3)(B) of the 
Consolidated Farm and Rural Development Act (7 U.S.C. 1935(c)(3)(B)) is 
amended by striking ``10-year'' and inserting ``15-year''.

SEC. 516. HORSE BREEDER LOANS.

    (a) Definition of Horse Breeder.--In this section, the term ``horse 
breeder'' means a person that, as of the date of the enactment of this 
Act, derives more than 70 percent of the income of the person from the 
business of breeding, boarding, raising, training, or selling horses, 
during the shorter of--
            (1) the 5-year period ending on January 1, 2001; or
            (2) the period the person has been engaged in the business.
    (b) Loan Authorization.--The Secretary shall make a loan to an 
eligible horse breeder to assist the breeder for losses suffered as a 
result of mare reproductive loss syndrome.
    (c) Eligibility.--A horse breeder shall be eligible for a loan 
under this section if the Secretary determines that, as a result of 
mare reproductive loss syndrome--
            (1) during the period beginning January 1, 2000, and ending 
        October 1, 2000, or during the period beginning January 1, 
        2001, and ending October 1, 2001--
                    (A) 30 percent or more of the mares owned by the 
                breeder failed to conceive, miscarried, aborted, or 
                otherwise failed to produce a live healthy foal; or
                    (B) 30 percent or more of the mares boarded on a 
                farm owned, operated, or leased by the breeder failed 
                to conceive, miscarried, aborted, or otherwise failed 
                to produce a live healthy foal;
            (2) during the period beginning January 1, 2000, and ending 
        on September 30, 2002, the breeder was unable to meet the 
        financial obligations, or pay the ordinary and necessary 
        expenses, of the breeder incurred in connection with breeding, 
        boarding, raising, training, or selling horses; and
            (3) the breeder is not able to obtain sufficient credit 
        elsewhere (within the meaning of section 321(a) of the 
        Consolidated Farm and Rural Development Act).
    (d) Amount.--
            (1) In general.--Subject to paragraph (2), the Secretary 
        shall determine the amount of a loan to be made to a horse 
        breeder under this section, on the basis of the amount of 
        losses suffered by the breeder, and the financial needs of the 
        breeder, as a result of mare reproductive loss syndrome.
            (2) Maximum amount.--The amount of a loan made under this 
        section shall not exceed $500,000.
    (e) Term.--
            (1) In general.--Subject to paragraph (2), the term for 
        repayment of a loan made to a horse breeder under this section 
        shall be determined by the Secretary based on the ability of 
        the breeder to repay the loan.
            (2) Maximum term.--The term of a loan made under this 
        section shall not exceed 15 years.
    (f) Interest Rate.--Interest shall be payable on a loan made under 
this section, at the rate prescribed under section 324(b)(1) of the 
Consolidated Farm and Rural Development Act.
    (g) Security.--Security shall be required on a loan made under this 
section, in accordance with section 324(d) of the Consolidated Farm and 
Rural Development Act.
    (h) Application.--To be eligible to obtain a loan under this 
section, a horse breeder shall submit to the Secretary an application 
for the loan not later than September 30, 2002.
    (i) Funding.--The Secretary shall carry out this section using 
funds available for emergency loans under subtitle C of the 
Consolidated Farm and Rural Development Act.
    (j) Termination.--The authority provided by this section shall 
terminate on September 30, 2003.

                      TITLE VI--RURAL DEVELOPMENT

SEC. 601. FUNDING FOR RURAL LOCAL TELEVISION BROADCAST SIGNAL LOAN 
              GUARANTEES.

    Section 1011(a) of the Launching Our Communities' Access to Local 
Television Act of 2000 (title X of H.R. 5548, as enacted by section 
1(a)(2) of Public Law 106-553) is amended by adding at the end the 
following: ``In addition, a total of $200,000,000 of the funds of the 
Commodity Credit Corporation shall be available during fiscal years 
2002 through 2006, without fiscal year limitation, for loan guarantees 
under this title.''.

SEC. 602. VALUE-ADDED AGRICULTURAL PRODUCT MARKET DEVELOPMENT GRANTS.

    Section 231(a)(1) of the Agricultural Risk Protection Act of 2000 
(Public Law 106-224; 7 U.S.C. 1621 note) is amended by striking ``Of 
the amount made available under section 261(a)(2), $15,000,000 shall be 
used by the Secretary'' and inserting ``For each of the fiscal years 
2002 through 2011, the Secretary shall use $50,000,000 of funds of the 
Commodity Credit Corporation''.

SEC. 603. AGRICULTURE INNOVATION CENTER DEMONSTRATION PROGRAM.

    (a) Purposes.--The purposes of this section are to carry out a 
demonstration program under which agricultural producers are provided--
            (1) technical assistance, including engineering services, 
        applied research, scale production, and similar services to 
        enable the producers to establish businesses for further 
        processing of agricultural products;
            (2) marketing, market development, and business planning;
            (3) overall organizational, outreach, and development 
        assistance to increase the viability, growth, and 
        sustainability of value-added agricultural businesses.
    (b) Nature of Program.--The Secretary of Agriculture (in this 
section referred to as the ``Secretary'') shall--
            (1) make grants to eligible applicants for the purposes of 
        enabling the applicants to obtain the assistance described in 
        subsection (a); and
            (2) provide assistance to eligible applicants through the 
        research and technical services of the Department of 
        Agriculture.
    (c) Eligibility Requirements.--
            (1) In general.--An applicant shall be eligible for a grant 
        and assistance described in subsection (b) to establish an 
        Agriculture Innovation Center if--
                    (A) the applicant--
                            (i) has provided services similar to those 
                        described in subsection (a); or
                            (ii) shows the capability of providing the 
                        services;
                    (B) the application of the applicant for the grant 
                and assistance sets forth a plan, in accordance with 
                regulations which shall be prescribed by the Secretary, 
                outlining support of the applicant in the agricultural 
                community, the technical and other expertise of the 
                applicant, and the goals of the applicant for 
                increasing and improving the ability of local producers 
                to develop markets and processes for value-added 
                agricultural products;
                    (C) the applicant demonstrates that resources (in 
                cash or in kind) of definite value are available, or 
                have been committed to be made available, to the 
                applicant, to increase and improve the ability of local 
                producers to develop markets and processes for value-
                added agricultural products; and
                    (D) the applicant meets the requirement of 
                paragraph (2).
            (2) Board of directors.--The requirement of this paragraph 
        is that the applicant shall have a board of directors comprised 
        of representatives of the following groups:
                    (A) The 2 general agricultural organizations with 
                the greatest number of members in the State in which 
                the applicant is located.
                    (B) The Department of Agriculture or similar State 
                organization or department, for the State.
                    (C) Organizations representing the 4 highest 
                grossing commodities produced in the State, according 
                to annual gross cash sales.
    (d) Grants and Assistance.--
            (1) In general.--Subject to subsection (g), the Secretary 
        shall make annual grants to eligible applicants under this 
        section, each of which grants shall not exceed the lesser of--
                    (A) $1,000,000; or
                    (B) twice the dollar value of the resources (in 
                cash or in kind) that the applicant has demonstrated 
                are available, or have been committed to be made 
                available, to the applicant in accordance with 
                subsection (c)(1)(C).
            (2) Initial limitation.--In the first year of the 
        demonstration program under this section, the Secretary shall 
        make grants under this section, on a competitive basis, to not 
        more than 5 eligible applicants.
            (3) Expansion of demonstration program.--In the second year 
        of the demonstration program under this section, the Secretary 
        may make grants under this section to not more than 10 eligible 
        applicants, in addition to any entities to which grants are 
        made under paragraph (2) for such year.
            (4) State limitation.--In the first 3 years of the 
        demonstration program under this section, the Secretary shall 
        not make an Agricultural Innovation Center Demonstration 
        Program grant under this section to more than 1 entity in a 
        single State.
    (e) Use of Funds.--An entity to which a grant is made under this 
section may use the grant only for the following purposes, but only to 
the extent that the use is not described in section 231(d) of the 
Agricultural Risk Protection Act of 2000:
            (1) Applied research.
            (2) Consulting services.
            (3) Hiring of employees, at the discretion of the board of 
        directors of the entity.
            (4) The making of matching grants, each of which shall be 
        not more than $5,000, to agricultural producers, so long as the 
        aggregate amount of all such matching grants shall be not more 
        than $50,000.
            (5) Legal services.
    (f) Rule of Interpretation.--This section shall not be construed to 
prevent a recipient of a grant under this section from collaborating 
with any other institution with respect to activities conducted using 
the grant.
    (g) Availability of Funds.--Of the amount made available under 
section 231(a)(1) of the Agricultural Risk Protection Act of 2000 
(Public Law 106-224; 7 U.S.C. 1621 note), the Secretary shall use to 
carry out this section--
            (1) not less than $5,000,000 for fiscal year 2002; and
            (2) not less than $10,000,000 for each of the fiscal years 
        2003 and 2004.
    (h) Report on Best Practices.--
            (1) Effects on the agricultural sector.--The Secretary 
        shall utilize $300,000 per year of the funds made available 
        pursuant to this section to support research at any university 
        into the effects of value-added projects on agricultural 
        producers and the commodity markets. The research should 
        systematically examine possible effects on demand for 
        agricultural commodities, market prices, farm income, and 
        Federal outlays on commodity programs using linked, long-term, 
        global projections of the agricultural sector.
            (2) Department of agriculture.--Not later than 3 years 
        after the first 10 grants are made under this section, the 
        Secretary shall prepare and submit to the Committee on 
        Agriculture, Nutrition, and Forestry of the Senate and to the 
        Committee on Agriculture of the House of Representatives a 
        written report on the effectiveness of the demonstration 
        program conducted under this section at improving the 
        production of value-added agricultural products and on the 
        effects of the program on the economic viability of the 
        producers, which shall include the best practices and 
        innovations found at each of the Agriculture Innovation Centers 
        established under the demonstration program under this section, 
        and detail the number and type of agricultural projects 
        assisted, and the type of assistance provided, under this 
        section.

SEC. 604. FUNDING OF COMMUNITY WATER ASSISTANCE GRANT PROGRAM.

    (a) Funding.--In each of fiscal years 2002 through 2011, the 
Secretary of Agriculture shall use $30,000,000 of the funds of the 
Commodity Credit Corporation to carry out section 306A of the 
Consolidated Farm and Rural Development Act (7 U.S.C. 1926a).
    (b) Extension of Program.--Section 306A(i) of the Consolidated Farm 
and Rural Development Act (7 U.S.C. 1926a(i)) is amended by striking 
``2002'' and inserting ``2011''.
    (c) Miscellaneous Amendments.--Section 306A of such Act (7 U.S.C. 
1926a) is amended--
            (1) in the heading by striking emergency'';
            (2) in subsection (a)(1)--
                    (A) by striking ``after'' and inserting ``when''; 
                and
                    (B) by inserting ``is imminent'' after 
                ``communities''; and
            (3) in subsection (c), by striking ``shall--'' and all that 
        follows and inserting ``shall be a public or private nonprofit 
        entity.''.

SEC. 605. LOAN GUARANTEES FOR THE FINANCING OF THE PURCHASE OF 
              RENEWABLE ENERGY SYSTEMS.

    Section 4 of the Rural Electrification Act of 1936 (7 U.S.C. 904) 
is amended--
            (1) by inserting ``(a)'' before ``The Secretary''; and
            (2) by adding after and below the end the following:
    ``(b) Loan Guarantees for the Financing of the Purchase of 
Renewable Energy Systems.--The Secretary may provide a loan guarantee, 
on such terms and conditions as the Secretary deems appropriate, for 
the purpose of financing the purchase of a renewable energy system, 
including a wind energy system and anaerobic digestors for the purpose 
of energy generation, by any person or individual who is a farmer, a 
rancher, or an owner of a small business (as defined by the Secretary) 
that is located in a rural area (as defined by the Secretary). In 
providing guarantees under this subsection, the Secretary shall give 
priority to loans used primarily for power generation on a farm, ranch, 
or small business (as so defined).''.

SEC. 606. LOANS AND LOAN GUARANTEES FOR RENEWABLE ENERGY SYSTEMS.

    Section 310B(a)(3) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1932(a)(3)) is amended by inserting ``and other renewable 
energy systems including wind energy systems and anaerobic digestors 
for the purpose of energy generation'' after ``solar energy systems''.

SEC. 607. RURAL BUSINESS OPPORTUNITY GRANTS.

    Section 306(a)(11)(D) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1926(a)(11)(D)) is amended by striking 
``2002'' and inserting ``2011''.

SEC. 608. GRANTS FOR WATER SYSTEMS FOR RURAL AND NATIVE VILLAGES IN 
              ALASKA.

    Section 306D(d)(1) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1926d(d)(1)) is amended by striking ``and 2002'' and 
inserting ``through 2011''.

SEC. 609. RURAL COOPERATIVE DEVELOPMENT GRANTS.

    Section 310B(e)(9) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 1932(e)(9)) is amended by striking ``2002'' and inserting 
``2011''.

SEC. 610. NATIONAL RESERVE ACCOUNT OF RURAL DEVELOPMENT TRUST FUND.

    Section 381E(e)(3)(F) of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 2009d(e)(3)(F)) is amended by striking 
``fiscal year 2002'' and inserting ``each of the fiscal years 2002 
through 2011''.

SEC. 611. RURAL VENTURE CAPITAL DEMONSTRATION PROGRAM.

    Section 381O(b)(3) of the Consolidated Farm and Rural Development 
Act (7 U.S.C. 2009n(b)(3)) is amended by striking ``2002'' and 
inserting ``2011''.

SEC. 612. INCREASE IN LIMIT ON CERTAIN LOANS FOR RURAL DEVELOPMENT.

    Section 310B(a) of the Consolidated Farm and Rural Development Act 
(7 U.S.C. 1932(a)) is amended by striking ``$25,000,000'' and inserting 
``$100,000,000''.

SEC. 613. PILOT PROGRAM FOR DEVELOPMENT AND IMPLEMENTATION OF STRATEGIC 
              REGIONAL DEVELOPMENT PLANS.

    (a) Development.--
            (1) Selection of states.--The Secretary of Agriculture (in 
        this section referred to as the ``Secretary'') shall select 10 
        States in which to implement strategic regional development 
        plans developed under this subsection.
            (2) Grants.--
                    (A) Authority.--
                            (i) In general.--From the funds made 
                        available to carry out this subsection, the 
                        Secretary shall make a matching grant to 1 or 
                        more entities in each State selected under 
                        subsection (a), to develop a strategic regional 
                        development plan that provides for rural 
                        economic development in a region in the State 
                        in which the entity is located.
                            (ii) Priority.--In making grants under this 
                        subsection, the Secretary shall give priority 
                        to entities that represent a regional coalition 
                        of community-based planning, development, 
                        governmental, and business organizations.
                    (B) Terms of match.--In order for an entity to be 
                eligible for a matching grant under this subsection, 
                the entity shall make a commitment to the Secretary to 
                provide funds for the development of a strategic 
                regional development plan of the kind referred to in 
                subparagraph (A) in an amount that is not less than the 
                amount of the matching grant.
                    (C) Limitation.--The Secretary shall not make a 
                grant under this subsection in an amount that exceeds 
                $150,000.
            (3) Funding.--
                    (A) In general.--The Secretary shall use $2,000,000 
                of the funds of the Commodity Credit Corporation in 
                each of fiscal years 2002 through 2011 to carry out 
                this subsection.
                    (B) Availability.--Funds made available pursuant to 
                subparagraph (A) shall remain available without fiscal 
                year limitation.
    (b) Strategic Planning Implementation.--
            (1) The Secretary shall use the authorities provided in the 
        provisions of law specified in section 793(c)(1)(A)(ii) of the 
        Federal Agriculture Improvement and Reform Act of 1996 to 
        implement the strategic regional development plans developed 
        pursuant to subsection (a) of this section.
            (2) Funding.--
                    (A) In general.--The Secretary shall use 
                $13,000,000 of the funds of the Commodity Credit 
                Corporation in each of fiscal years 2002 through 2011 
                to carry out this subsection.
                    (B) Availability.--Funds made available pursuant to 
                subparagraph (A) shall remain available without fiscal 
                year limitation.
    (c) Use of Funds.--The amounts made available under subsections (a) 
and (b) may be used as the Secretary deems appropriate to carry out any 
provision of this section.

SEC. 614. GRANTS TO NONPROFIT ORGANIZATIONS TO FINANCE THE 
              CONSTRUCTION, REFURBISHING, AND SERVICING OF 
              INDIVIDUALLY-OWNED HOUSEHOLD WATER WELL SYSTEMS IN RURAL 
              AREAS FOR INDIVIDUALS WITH LOW OR MODERATE INCOMES.

    (a) In General.--Subtitle A of the Consolidated Farm and Rural 
Development Act (7 U.S.C. 1922-1949) is amended by inserting after 
section 306D the following:

``SEC. 306E. GRANTS TO NONPROFIT ORGANIZATIONS TO FINANCE THE 
              CONSTRUCTION, REFURBISHING, AND SERVICING OF 
              INDIVIDUALLY-OWNED HOUSEHOLD WATER WELL SYSTEMS IN RURAL 
              AREAS FOR INDIVIDUALS WITH LOW OR MODERATE INCOMES.

    ``(a) Definition of Eligible Individual.--In this section, the term 
`eligible individual' means an individual who is a member of a 
household, the combined income of whose members for the most recent 12-
month period for which the information is available, is not more than 
100 percent of the median nonmetropolitan household income for the 
State or territory in which the individual resides, according to the 
most recent decennial census of the United States.
    ``(b) Grants.--The Secretary may make grants to private nonprofit 
organizations for the purpose of assisting eligible individuals in 
obtaining financing for the construction, refurbishing, and servicing 
of individual household water well systems in rural areas that are 
owned (or to be owned) by the eligible individuals.
    ``(c) Use of Funds.--A grant made under this section may be--
            ``(1) used, or invested to provide income to be used, to 
        carry out subsection (b); and
            ``(2) used to pay administrative expenses associated with 
        providing the assistance described in subsection (b).
    ``(d) Priority in Awarding Grants.--In awarding grants under this 
section, the Secretary shall give priority to an applicant that has 
substantial expertise and experience in promoting the safe and 
productive use of individually-owned household water well systems and 
ground water.''.
    (b) Effective Date.--The amendment made by this section takes 
effect on October 1, 2001.

SEC. 615. NATIONAL RURAL DEVELOPMENT PARTNERSHIP.

    Subtitle E of the Consolidated Farm and Rural Development Act (7 
U.S.C. 2009-2009n) is amended by adding at the end the following:

``SEC. 381P. NATIONAL RURAL DEVELOPMENT PARTNERSHIP.

    ``(a) Rural Area Defined.--In this section, the term `rural area' 
means such areas as the Secretary may determine.
    ``(b) Establishment.--There is established a National Rural 
Development Partnership (in this section referred to as the 
``Partnership''), which shall be composed of--
            ``(1) the National Rural Development Coordinating Committee 
        established in accordance with subsection (c); and
            ``(2) State rural development councils established in 
        accordance with subsection (d).
    ``(c) National Rural Development Coordinating Committee.--
            ``(1) Composition.--The National Rural Development 
        Coordinating Committee (in this section referred to as the 
        ``Coordinating Committee'') may be composed of--
                    ``(A) representatives of all Federal departments 
                and agencies with policies and programs that affect or 
                benefit rural areas;
                    ``(B) representatives of national associations of 
                State, regional, local, and tribal governments and 
                intergovernmental and multi-jurisdictional agencies and 
                organizations;
                    ``(C) national public interest groups; and
                    ``(D) other national nonprofit organizations that 
                elect to participate in the activities of the 
                Coordinating Committee.
            ``(2) Functions.--The Coordinating Committee may--
                    ``(A) provide support for the work of the State 
                rural development councils established in accordance 
                with subsection (d); and
                    ``(B) develop and facilitate strategies to reduce 
                or eliminate conflicting or duplicative administrative 
                and regulatory impediments confronting rural areas.
    ``(d) State Rural Development Councils.--
            ``(1) Composition.--A State rural development council may--
                    ``(A) be composed of representatives of Federal, 
                State, local, and tribal governments, and nonprofit 
                organizations, the private sector, and other entities 
                committed to rural advancement; and
                    ``(B) have a nonpartisan and nondiscriminatory 
                membership that is broad and representative of the 
                economic, social, and political diversity of the State.
            ``(2) Functions.--A State rural development council may--
                    ``(A) facilitate collaboration among Federal, 
                State, local, and tribal governments and the private 
                and non-profit sectors in the planning and 
                implementation of programs and policies that affect the 
                rural areas of the State, and to do so in such a way 
                that provides the greatest degree of flexibility and 
                innovation in responding to the unique needs of the 
                State and the rural areas; and
                    ``(B) in conjunction with the Coordinating 
                Committee, develop and facilitate strategies to reduce 
                or eliminate conflicting or duplicative administrative 
                and regulatory impediments confronting the rural areas 
                of the State.
    ``(e) Administration of the Partnership.--The Secretary may provide 
for any additional support staff to the Partnership as the Secretary 
determines to be necessary to carry out the duties of the Partnership.
    ``(f) Termination.--The authority provided by this section shall 
terminate on the date that is 5 years after the date of the enactment 
of this section.''.

                TITLE VII--RESEARCH AND RELATED MATTERS

                         Subtitle A--Extensions

SEC. 700. MARKET EXPANSION RESEARCH.

    Section 1436(b)(3)(C) of the Food Security Act of 1985 (7 U.S.C. 
1632(b)(3)(c)) is amended by striking ``1990'' and inserting ``2011''.

SEC. 701. NATIONAL RURAL INFORMATION CENTER CLEARINGHOUSE.

    Section 2381(e) of the Food, Agriculture, Conservation, and Trade 
Act of 1990 (7 U.S.C. 3125b(e)) is amended by striking ``2002'' and 
inserting ``2011''.

SEC. 702. GRANTS AND FELLOWSHIPS FOR FOOD AND AGRICULTURAL SCIENCES 
              EDUCATION.

    Section 1417(l) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3152(l)) is amended by 
striking ``2002'' and inserting ``2011''.

SEC. 703. POLICY RESEARCH CENTERS.

    Section 1419A(d) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3155(d)) is amended by 
striking ``2002'' and inserting ``2011''.

SEC. 704. HUMAN NUTRITION INTERVENTION AND HEALTH PROMOTION RESEARCH 
              PROGRAM.

    Section 1424(d) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3174(d)) is amended by 
striking ``2002'' and inserting ``2011''.

SEC. 705. PILOT RESEARCH PROGRAM TO COMBINE MEDICAL AND AGRICULTURAL 
              RESEARCH.

    Section 1424A(d) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3174a(d)) is amended by 
striking ``2002'' and inserting ``2011''.

SEC. 706. NUTRITION EDUCATION PROGRAM.

    Section 1425(c)(3) of the National Agricultural Research, 
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3175(c)(3)) is 
amended by striking ``2002'' and inserting ``2011''.

SEC. 707. CONTINUING ANIMAL HEALTH AND DISEASE RESEARCH PROGRAMS.

    Section 1433(a) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3195(a)) is amended by 
striking ``2002'' and inserting ``2011''.

SEC. 708. APPROPRIATIONS FOR RESEARCH ON NATIONAL OR REGIONAL PROBLEMS.

    Section 1434(a) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3196(a)) is amended by 
striking ``2002'' and inserting ``2011''.

SEC. 709. GRANTS TO UPGRADE AGRICULTURAL AND FOOD SCIENCES FACILITIES 
              AT 1890 LAND-GRANT COLLEGES, INCLUDING TUSKEGEE 
              UNIVERSITY.

    Section 1447(b) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3222b(b)) is amended by 
striking ``2002'' and inserting ``2011''.

SEC. 710. NATIONAL RESEARCH AND TRAINING CENTENNIAL CENTERS AT 1890 
              LAND-GRANT INSTITUTIONS.

    Sections 1448(a)(1) and (f) of the National Agricultural Research, 
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3222c(a)(1) and 
(f)) are amended by striking ``2002'' each place it appears and 
inserting ``2011''.

SEC. 711. HISPANIC-SERVING INSTITUTIONS.

    Section 1455(c) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3241(c)) is amended by 
striking ``2002'' and inserting ``2011''.

SEC. 712. COMPETITIVE GRANTS FOR INTERNATIONAL AGRICULTURAL SCIENCE AND 
              EDUCATION PROGRAMS.

    Section 1459A(c) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3292b(c)) is amended by 
striking ``2002'' and inserting ``2011''.

SEC. 713. UNIVERSITY RESEARCH.

    Subsections (a) and (b) of section 1463 of the National 
Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 
U.S.C. 3311(a) and (b)) are amended by striking ``2002'' each place it 
appears and inserting ``2011''.

SEC. 714. EXTENSION SERVICE.

    Section 1464 of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3312) is amended by striking 
``2002'' and inserting ``2011''.

SEC. 715. SUPPLEMENTAL AND ALTERNATIVE CROPS.

    Section 1473D(a) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3319d(a)) is amended by 
striking ``2002'' and inserting ``2011''.

SEC. 716. AQUACULTURE RESEARCH FACILITIES.

    The first sentence of section 1477 of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3324) is 
amended by striking ``2002'' and inserting ``2011''.

SEC. 717. RANGELAND RESEARCH.

    Section 1483(a) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3336(a)) is amended by 
striking ``2002'' and inserting ``2011''.

SEC. 718. NATIONAL GENETICS RESOURCES PROGRAM.

    Section 1635(b) of the Food, Agriculture, Conservation, and Trade 
Act of 1990 (7 U.S.C. 5844(b)) is amended by striking ``1995'' and 
inserting ``2011''.

SEC. 719. HIGH-PRIORITY RESEARCH AND EXTENSION INITIATIVES.

    Section 1672(h) of the Food, Agriculture, Conservation, and Trade 
Act of 1990 (7 U.S.C. 5925(h)) is amended by striking ``2002'' and 
inserting ``2011''.

SEC. 720. NUTRIENT MANAGEMENT RESEARCH AND EXTENSION INITIATIVE.

    Section 1672A(g) of the Food, Agriculture, Conservation, and Trade 
Act of 1990 (7 U.S.C. 5925a(g)) is amended by striking ``2002'' and 
inserting ``2011''.

SEC. 721. AGRICULTURAL TELECOMMUNICATIONS PROGRAM.

    Section 1673(h) of the Food, Agriculture, Conservation, and Trade 
Act of 1990 (7 U.S.C. 5926(h)) is amended by striking ``2002'' and 
inserting ``2011''.

SEC. 722. ALTERNATIVE AGRICULTURAL RESEARCH AND COMMERCIALIZATION 
              REVOLVING FUND.

    (a) Authorization of Appropriations.--Section 1664(g)(1) of the 
Food, Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 
5908(g)(1)) is amended by striking ``2002'' and inserting ``2011''.
    (b) Capitalization.--Section 1664(g)(2) of such Act (7 U.S.C. 
5908(g)(2)) is amended by striking ``2002'' and inserting ``2011''.

SEC. 723. ASSISTIVE TECHNOLOGY PROGRAM FOR FARMERS WITH DISABILITIES.

    Section 1680(c)(1) of the Food, Agriculture, Conservation, and 
Trade Act of 1990 (7 U.S.C. 5933(c)(1)) is amended by striking ``2002'' 
and inserting ``2011''.

SEC. 724. PARTNERSHIPS FOR HIGH-VALUE AGRICULTURAL PRODUCT QUALITY 
              RESEARCH.

    Section 402(g) of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7622(g)) is amended by striking 
``2002'' and inserting ``2011''.

SEC. 725. BIOBASED PRODUCTS.

    (a) Pilot Project.--Section 404(e)(2) of the Agricultural Research, 
Extension, and Education Reform Act of 1998 (7 U.S.C. 7624(e)(2)) is 
amended by striking ``2001'' and inserting ``2011''.
    (b) Authorization of Appropriations.--Section 404(h) of such Act (7 
U.S.C. 7624(h)) is amended by striking ``2002'' and inserting ``2011''.

SEC. 726. INTEGRATED RESEARCH, EDUCATION, AND EXTENSION COMPETITIVE 
              GRANTS PROGRAM.

    Section 406(e) of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7626(e)) is amended by striking 
``2002'' and inserting ``2011''.

SEC. 727. INSTITUTIONAL CAPACITY BUILDING GRANTS.

    (a) Generally.--Section 535(b)(1) of the Equity in Educational 
Land-Grant Status Act of 1994 (7 U.S.C. 301 note) is amended by 
striking ``2000'' and inserting ``2011''.
    (b) Authorization of Appropriations.--Section 535(c) of such Act is 
amended by striking ``2000'' and inserting ``2011''.

SEC. 728. 1994 INSTITUTION RESEARCH GRANTS.

    Section 536(c) of the Equity in Educational Land-Grant Status Act 
of 1994 (7 U.S.C. 301 note) is amended by striking ``2002'' and 
inserting ``2011''.

SEC. 729. ENDOWMENT FOR 1994 INSTITUTIONS.

    The first sentence of section 533(b) of the Equity in Educational 
Land-Grant Status Act of 1994 (7 U.S.C. 301 note) is amended by 
striking ``$4,600,000'' and all that follows through the period and 
inserting ``such sums as are necessary to carry out this section for 
each of fiscal years 1996 through 2011.''.

SEC. 730. PRECISION AGRICULTURE.

    Section 403(i) of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7623(i)) is amended by striking 
``2002'' and inserting ``2011''.

SEC. 731. THOMAS JEFFERSON INITIATIVE FOR CROP DIVERSIFICATION.

    Section 405(h) of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7625(h)) is amended by striking 
``2002'' and inserting ``2011''.

SEC. 732. SUPPORT FOR RESEARCH REGARDING DISEASES OF WHEAT, TRITICALE, 
              AND BARLEY CAUSED BY FUSARIUM GRAMINEARUM OR BY TILLETIA 
              INDICA.

    Section 408(e) of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7628(e)) is amended by striking 
``2002'' and inserting ``2011''.

SEC. 733. OFFICE OF PEST MANAGEMENT POLICY.

    Section 614(f) of the Agricultural Research, Extension, and 
Education Reform Act of 1998 (7 U.S.C. 7653(f)) is amended by striking 
``2002'' and inserting ``2011''.

SEC. 734. NATIONAL AGRICULTURAL RESEARCH, EXTENSION, EDUCATION, AND 
              ECONOMICS ADVISORY BOARD.

    Section 1408(h) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3123(h)) is amended by 
striking ``2002'' and inserting ``2011''.

SEC. 735. GRANTS FOR RESEARCH ON PRODUCTION AND MARKETING OF ALCOHOLS 
              AND INDUSTRIAL HYDROCARBONS FROM AGRICULTURAL COMMODITIES 
              AND FOREST PRODUCTS.

    Section 1419(d) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3154(d)) is amended by 
striking ``2002'' and inserting ``2011''.

SEC. 736. BIOMASS RESEARCH AND DEVELOPMENT.

    Title III of the Agricultural Risk Protection Act of 2000 (7 U.S.C. 
7624 note) is amended--
            (1) in section 307(f), by striking ``2005'' and inserting 
        ``2011''; and
            (2) in section 310, by striking ``2005'' and inserting 
        ``2011''.

SEC. 737. AGRICULTURAL EXPERIMENT STATIONS RESEARCH FACILITIES.

    Section 6(a) of the Research Facilities Act (7 U.S.C. 390d(a)) is 
amended by striking ``2002'' and inserting ``2011''.

SEC. 738. COMPETITIVE, SPECIAL, AND FACILITIES RESEARCH GRANTS NATIONAL 
              RESEARCH INITIATIVE.

    Subsection (b)(10) of the Competitive, Special, and Facilities 
Research Grant Act (7 U.S.C. 450i(b)(10)) is amended by striking 
``2002'' and inserting ``2011''.

SEC. 739. FEDERAL AGRICULTURAL RESEARCH FACILITIES AUTHORIZATION OF 
              APPROPRIATIONS.

    Section 1431 of the National Agricultural Research, Extension, and 
Teaching Policy Act Amendments of 1985 (Public Law 99-198; 99 Stat. 
1556) is amended by striking ``2002'' and inserting ``2011''.

                       Subtitle B--Modifications

SEC. 741. EQUITY IN EDUCATIONAL LAND-GRANT STATUS ACT OF 1994.

    (a) Authorization of Appropriations.--Section 534(a)(1)(A) of the 
Equity in Educational Land-Grant Status Act of 1994 (7 U.S.C. 301 note) 
is amended by striking ``$50,000'' and inserting ``$100,000''.
    (b) Withdrawals and Expenditures.--Section 533(c)(4)(A) of such Act 
is amended by striking ``section 390(3)'' and all that follows through 
``1998))'' and inserting ``section 2(a)(7) of the Tribally Controlled 
College or University Assistance Act of 1978)''.
    (c) Accreditation.--Section 533(a)(3) of such Act is amended by 
striking ``under sections 534 and 535'' and inserting ``under sections 
534, 535, and 536''.
    (d) 1994 Institutions.--Section 532 of such Act is amended by 
striking paragraphs (1) through (30) and inserting the following:
            ``(1) Bay Mills Community College.
            ``(2) Blackfeet Community College.
            ``(3) Cankdeska Cikana Community College.
            ``(4) College of Menominee Nation.
            ``(5) Crownpoint Institute of Technology.
            ``(6) D-Q University.
            ``(7) Dine College.
            ``(8) Dull Knife Memorial College.
            ``(9) Fond du Lac Tribal and Community College.
            ``(10) Fort Belknap College.
            ``(11) Fort Berthold Community College.
            ``(12) Fort Peck Community College.
            ``(13) Haskell Indian Nations University.
            ``(14) Institute of American Indian and Alaska Native 
        Culture and Arts Development.
            ``(15) Lac Courte Oreilles Ojibwa Community College.
            ``(16) Leech Lake Tribal College.
            ``(17) Little Big Horn College.
            ``(18) Little Priest Tribal College.
            ``(19) Nebraska Indian Community College.
            ``(20) Northwest Indian College.
            ``(21) Oglala Lakota College.
            ``(22) Salish Kootenai College.
            ``(23) Sinte Gleska University.
            ``(24) Sisseton Wahpeton Community College.
            ``(25) Si Tanka/Huron University.
            ``(26) Sitting Bull College.
            ``(27) Southwestern Indian Polytechnic Institute.
            ``(28) Stone Child College.
            ``(29) Turtle Mountain Community College.
            ``(30) United Tribes Technical College.''.

SEC. 742. NATIONAL AGRICULTURAL RESEARCH, EXTENSION, AND TEACHING 
              POLICY ACT OF 1977.

    Section 1404(4) of the National Agricultural Research, Extension, 
and Teaching Policy Act of 1977 (7 U.S.C. 3103(4)) is amended--
            (1) by striking ``and'' after subparagraph (D);
            (2) by striking the period at the end of subparagraph (E) 
        and inserting ``, or''; and
            (3) by adding at the end the following: ``(F) is one of the 
        1994 Institutions (as defined in section 532 of the Equity in 
        Educational Land-Grant Status Act of 1994).''.

SEC. 743. AGRICULTURAL RESEARCH, EXTENSION, AND EDUCATION REFORM ACT OF 
              1998.

    (a) Priority Mission Areas.--Section 401(c)(2) of the Agricultural 
Research, Extension, and Education Reform Act of 1998 (7 U.S.C. 
7621(c)(2)) is amended--
            (1) by striking ``and'' at the end of subparagraph (E);
            (2) by striking the period at the end of subparagraph (F) 
        and inserting ``; and''; and
            (3) by adding at the end the following new subparagraph:
                    ``(G) alternative fuels and renewable energy 
                sources.''.
    (b) Precision Agriculture.--Section 403 of the Agricultural 
Research, Extension, and Education Reform Act of 1998 (7 U.S.C. 7623) 
is amended--
            (1) in subsection (a)(5)(F), by inserting ``(including 
        improved use of energy inputs)'' after ``farm production 
        efficiencies''; and
            (2) in subsection (d)--
                    (A) by redesignating paragraphs (4) and (5) as 
                paragraphs (5) and (6), respectively; and
                    (B) by inserting after paragraph (3) the following 
                new paragraph:
            ``(4) Improve on farm energy use efficiencies.''.
    (c) Thomas Jefferson Initiative for Crop Diversification.--Section 
405(a) of the Agricultural Research, Extension, and Education Reform 
Act of 1998 (7 U.S.C. 7625(a)) is amended by striking ``and marketing'' 
and inserting ``, marketing, and efficient use''.
    (d) Coordinated Program of Research, Extension, and Education To 
Improve Viability of Small- and Medium-Size Dairy, Livestock, and 
Poultry Operations.--Section 407(b)(3) of the Agricultural Research, 
Extension, and Education Reform Act of 1998 (7 U.S.C. 7627(b)(3)) is 
amended by inserting ``(including improved use of energy inputs)'' 
after ``poultry systems that increase efficiencies''.
    (e) Support for Research Regarding Diseases of Wheat, Triticale, 
and Barley Caused by Fusarium Graminearum or By Tilletia Indica.--
            (1) Research grant authorized.--Section 408(a) of the 
        Agricultural Research, Extension, and Education Reform Act of 
        1998 (7 U.S.C. 7628(a)) is amended to read as follows:
    ``(a) Research Grant Authorized.--The Secretary of Agriculture may 
make grants to consortia of land-grant colleges and universities to 
enhance the ability of the consortia to carry out multi-State research 
projects aimed at understanding and combating diseases of wheat, 
triticale, and barley caused by Fusarium graminearum and related fungi 
(referred to in this section as `wheat scab') or by Tilletia indica and 
related fungi (referred to in this section as `Karnal bunt').''.
            (2) Research components.--Section 408(b) of such Act (7 
        U.S.C. 7628(b)) is amended--
                    (A) in paragraph (1), by inserting ``or of Karnal 
                bunt,'' after ``epidemiology of wheat scab'';
                    (B) in paragraph (1), by inserting ``, triticale,'' 
                after ``occurring in wheat'';
                    (C) in paragraph (2), by inserting ``or Karnal 
                bunt'' after ``wheat scab'';
                    (D) in paragraph (3)(A), by striking ``and barley 
                for the presence of'' and inserting ``, triticale, and 
                barley for the presence of Karnal bunt or of'';
                    (E) in paragraph (3)(B), by striking ``and barley 
                infected with wheat scab'' and inserting ``, triticale, 
                and barley infected with wheat scab or with Karnal 
                bunt'';
                    (F) in paragraph (3)(C), by inserting ``wheat 
                scab'' after ``to render'';
                    (G) in paragraph (4), by striking ``and barley to 
                wheat scab'' and inserting ``, triticale, and barley to 
                wheat scab and to Karnal bunt''; and
                    (H) in paragraph (5)--
                            (i) by inserting ``and Karnal bunt'' after 
                        ``wheat scab''; and
                            (ii) by inserting ``, triticale,'' after 
                        ``resistant wheat''.
            (3) Communications networks.--Section 408(c) of such Act (7 
        U.S.C. 7628(c)) is amended by inserting ``or Karnal bunt'' 
        after ``wheat scab''.
            (4) Technical amendments.--(A) The section heading for 
        section 408 of such Act is amended by striking ``and barley 
        caused by fusarium graminearum'' and inserting ``, triticale, 
        and barley caused by fusarium graminearum or by tilletia 
        indica''.
            (B) The table of sections for such Act is amended by 
        striking ``and barley caused by fusarium graminearum'' in the 
        item relating to section 408 and inserting ``, triticale, and 
        barley caused by Fusarium graminearum or by Tilletia indica''.

SEC. 744. FOOD, AGRICULTURE, CONSERVATION, AND TRADE ACT OF 1990.

    (a) Agricultural Genome Initiative.--Section 1671(b) of the Food, 
Agriculture, Conservation, and Trade Act of 1990 (7 U.S.C. 5924(b)) is 
amended--
            (1) in paragraph (3), by inserting ``pathogens and'' before 
        ``diseases causing economic hardship'';
            (2) in paragraph (6), by striking ``and'' at the end;
            (3) by redesignating paragraph (7) as paragraph (8); and
            (4) by inserting after paragraph (6) the following new 
        paragraph:
            ``(7) reducing the economic impact of plant pathogens on 
        commercially important crop plants; and''.
    (b) High-Priority Research and Extension Initiatives.--Section 
1672(e) of the Food, Agriculture, Conservation, and Trade Act of 1990 
(7 U.S.C. 5925) is amended by adding at the end the following new 
paragraphs:
            ``(25) Research to protect the united states food supply 
        and agriculture from bioterrorism.--Research grants may be made 
        under this section for the purpose of developing technologies, 
        which support the capability to deal with the threat of 
        agricultural bioterrorism.
            ``(26) Wind erosion research and extension.--Research and 
        extension grants may be made under this section for the purpose 
        of validating wind erosion models.
            ``(27) Crop loss research and extension.--Research and 
        extension grants may be made under this section for the purpose 
        of validating crop loss models.
            ``(28) Land use management research and extension.--
        Research and extension grants may be made under this section 
        for the purposes of evaluating the environmental benefits of 
        land use management tools such as those provided in the 
        Farmland Protection Program.
            ``(29) Water and air quality research and extension.--
        Research and extension grants may be made under this section 
        for the purpose of better understanding agricultural impacts to 
        air and water quality and means to address them.
            ``(30) Revenue and insurance tools research and 
        extension.--Research and extension grants may be made under 
        this section for the purposes of better understanding the 
        impact of revenue and insurance tools on farm income.
            ``(31) Agrotourism research and extension.--Research and 
        extension grants may be made under this section for the purpose 
        of better understanding the economic, environmental, and food 
        systems impacts on agrotourism.
            ``(32) Harvesting productivity for fruits and vegetables.--
        Research and extension grants may be made under this section 
        for the purpose of improving harvesting productivity for fruits 
        and vegetables (including citrus), including the development of 
        mechanical harvesting technologies and effective, economical, 
        and safe abscission compounds.
            ``(33) Nitrogen-fixation by plants.--Research and extension 
        grants may be made under this section for the purpose of 
        enhancing the nitrogen-fixing ability and efficiency of 
        legumes, developing new varieties of legumes that fix nitrogen 
        more efficiently, and developing new varieties of other 
        commercially important crops that potentially are able to fix 
        nitrogen.
            ``(34) Agricultural marketing.--Extension grants may be 
        made under this section for the purpose of providing education 
        materials, information, and outreach programs regarding 
        commodity and livestock marketing strategies for agricultural 
        producers and for cooperatives and other marketers of any 
        agricultural commodity, including livestock.
            ``(35) Environment and private lands research and 
        extension.--Research and extension grants may be made under 
        this section for the purpose of researching the use of computer 
        models to aid in assessment of best management practices on a 
        watershed basis, working with government, industry, and private 
        landowners to help craft industry-led solutions to identified 
        environmental issues, researching and monitoring water, air, or 
        soil environmental quality to aid in the development of new 
        approaches to local environmental concerns, and working with 
        local, State, and federal officials to help craft effective 
        environmental solutions that respect private property rights 
        and agricultural production realities.
            ``(36) Livestock disease research and extension.--Research 
        and extension grants may be made under this section for the 
        purpose of identifying possible livestock disease threats, 
        educating the public regarding livestock disease threats, 
        training persons to deal with such threats, and conducting 
        related research.''.

SEC. 745. NATIONAL AGRICULTURAL RESEARCH, EXTENSION, AND TEACHING 
              POLICY ACT OF 1977.

    (a) National Agricultural Research, Extension, Education, and 
Economic Advisory Board.--Section 1408 of the National Agricultural 
Research, Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3123) is 
amended--
            (1) in subsection (b)(3)--
                    (A) by redesignating subparagraphs (R) through (DD) 
                as subparagraphs (S) through (EE), respectively; and
                    (B) by inserting after subparagraph (Q) the 
                following new subparagraph:
                    ``(R) 1 member representing a nonland grant college 
                or university with a historic commitment to research in 
                the food and agricultural sciences.'';
            (2) in subsection (c)(1), by striking ``and land-grant 
        colleges and universities'' and inserting ``, land-grant 
        colleges and universities, and the Committee on Agriculture of 
        the House of Representatives, the Committee on Agriculture, 
        Nutrition, and Forestry of the Senate, the Subcommittee on 
        Agriculture, Rural Development, Food and Drug Administration 
        and Related Agencies of the Committee on Appropriations of the 
        House of Representatives, and the Subcommittee on Agriculture, 
        Rural Development and Related Agencies of the Committee on 
        Appropriations of the Senate''; and
            (3) in subsection (d)(1), inserting ``consult with any 
        appropriate agencies of the Department of Agriculture and'' 
        after ``the Advisory Board shall''.
    (b) Grants for Research on Production and Marketing of Alcohols and 
Industrial Hydrocarbons From Agricultural Commodities and Forest 
Products.--Section 1419 of the National Agricultural Research, 
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3154) is amended--
            (1) in subsection (a)(2), by inserting ``and animal fats 
        and oils'' after ``industrial oilseed crops''; and
            (2) in subsection (a)(4), by inserting ``or triglycerides'' 
        after ``other industrial hydrocarbons''.
    (c) FAS Overseas Intern Program.--Section 1458(a) of the National 
Agricultural Research, Extension, and Teaching Policy Act of 1977 (7 
U.S.C. 3291(a)) is amended--
            (1) by striking ``and'' at the end of paragraph (8);
            (2) by striking the period at the end of paragraph (9) and 
        inserting ``; and''; and
            (3) by adding at the end the following new paragraph:
            ``(10) establish a program, to be coordinated by the 
        Cooperative State Research, Education, and Extension Service 
        and the Foreign Agricultural Service, to place interns from 
        United States colleges and universities at Foreign Agricultural 
        Service field offices overseas.''.

SEC. 746. BIOMASS RESEARCH AND DEVELOPMENT.

    Title III of the Agricultural Risk Protection Act of 2000 (7 U.S.C. 
7624 note) is amended--
            (1) in section 302(3), by inserting ``or biodiesel'' after 
        ``such as ethanol'';
            (2) in section 303(3), by inserting ``animal byproducts,'' 
        after ``fibers''; and
            (3) in section 306(b)(1)--
                    (A) by redesignating subparagraphs (E) through (J) 
                as subparagraphs (F) through (K), respectively; and
                    (B) by inserting after subparagraph (D) the 
                following new subparagraph:
                    ``(E) an individual affiliated with a livestock 
                trade association;''.

SEC. 747. BIOTECHNOLOGY RISK ASSESSMENT RESEARCH.

    Section 1668 of the Food, Agriculture, Conservation, and Trade Act 
of 1990 (7 U.S.C. 5921) is amended to read as follows:

``SEC. 1668. BIOTECHNOLOGY RISK ASSESSMENT RESEARCH.

    ``(a) Purpose.--It is the purpose of this section--
            ``(1) to authorize and support environmental assessment 
        research to help identify and analyze environmental effects of 
        biotechnology; and
            ``(2) to authorize research to help regulators develop 
        long-term policies concerning the introduction of such 
        technology.
    ``(b) Grant Program.-- The Secretary of Agriculture shall establish 
a grant program within the Cooperative State Research, Education, and 
Extension Service and the Agricultural Research Service to provide the 
necessary funding for environmental assessment research concerning the 
introduction of genetically engineered plants and animals into the 
environment.
    ``(c) Types of Research.-- Types of research for which grants may 
be made under this section shall include the following:
            ``(1) Research designed to identify and develop appropriate 
        management practices to minimize physical and biological risks 
        associated with genetically engineered animals and plants once 
        they are introduced into the environment.
            ``(2) Research designed to develop methods to monitor the 
        dispersal of genetically engineered animals and plants.
            ``(3) Research designed to further existing knowledge with 
        respect to the characteristics, rates and methods of gene 
        transfer that may occur between genetically engineered plants 
        and animals and related wild and agricultural organisms.
            ``(4) Environmental assessment research designed to provide 
        analysis, which compares the relative impacts of plants and 
        animals modified through genetic engineering to other types of 
        production systems.
            ``(5) Other areas of research designed to further the 
        purposes of this section.
    ``(d) Eligibility Requirements.--Grants under this section shall 
be--
            ``(1) made on the basis of the quality of the proposed 
        research project; and
            ``(2) available to any public or private research or 
        educational institution or organization.
    ``(e) Consultation.--In considering specific areas of research for 
funding under this section, the Secretary of Agriculture shall consult 
with the Administrator of the Animal and Plant Health Inspection 
Service and the National Agricultural Research, Extension, Education, 
and Economics Advisory Board.
    ``(f) Program Coordination.--The Secretary of Agriculture shall 
coordinate research funded under this section with the Office of 
Research and Development of the Environmental Protection Agency in 
order to avoid duplication of research activities.
    ``(g) Authorization of Appropriations.--
            ``(1) In general.--There are authorized to be appropriated 
        such sums as necessary to carry out this section.
            ``(2) Withholdings from biotechnology outlays.--The 
        Secretary of Agriculture shall withhold from outlays of the 
        Department of Agriculture for research on biotechnology, as 
        defined and determined by the Secretary, at least one percent 
        of such amount for the purpose of making grants under this 
        section for research on biotechnology risk assessment. Except 
        that, funding from this authorization should be collected and 
        applied to the maximum extent practicable to risk assessment 
        research on all categories identified as biotechnology by the 
        Secretary.''.

SEC. 748. COMPETITIVE, SPECIAL, AND FACILITIES RESEARCH GRANTS.

    Section 2(a) of the Competitive, Special, and Facilities Research 
Grant Act (7 U.S.C. 450i(a)) is amended by adding at the end the 
following new paragraph:
            ``(3) Determination of high priority research.--Research 
        priorities shall be determined by the Secretary on an annual 
        basis, taking into account input as gathered by the Secretary 
        through the National Agricultural Research, Extension, 
        Education, and Economics Advisory Board.''.

SEC. 749. MATCHING FUNDS REQUIREMENT FOR RESEARCH AND EXTENSION 
              ACTIVITIES OF 1890 INSTITUTIONS.

    Section 1449 of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1977 (7 U.S.C. 3222d) is amended--
            (1) by amending subsection (c) to read as follows:
    ``(c) Matching Formula.--For each of fiscal years 2003 through 
2011, the State shall provide matching funds from non-Federal sources. 
Such matching funds shall be for an amount equal to not less than 60 
percent of the formula funds to be distributed to the eligible 
institution, and shall increase by 10 percent each fiscal year 
thereafter until fiscal year 2007.'';
            (2) by amending subsection (d) to read as follows:
    ``(d) Waiver Authority.--Notwithstanding subsection (f), the 
Secretary may waive the matching funds requirement under subsection (c) 
above the 50 percent level for fiscal years 2003 through 2011 for an 
eligible institution of a State if the Secretary determines that the 
State will be unlikely to satisfy the matching requirement.''; and
            (3) by adding at the end the following new subsection:
    ``(g) Matching Funds Requirement for the Land-Grant Colleges in the 
United States Territories.--
            ``(1) Land-grant colleges of the United States territories, 
        including the Commonwealth of Puerto Rico, Guam, the Virgin 
        Islands, the Northern Mariana Islands, American Samoa, and 
        Micronesia, shall be excluded from the definition of eligible 
        institution (as defined in subsection (a)(1)).
            ``(2) Matching formula.--Notwithstanding any other 
        provision of this subtitle, for fiscal years 2003 through 2011, 
        the State shall provide matching funds from non-Federal sources 
        in an amount equal to not less than 50 percent of the formula 
        funds to be distributed to the eligible institution.
            ``(3) Waiver authority.--Notwithstanding subsection (f), 
        the Secretary may waive the matching funds requirements under 
        subsection (a)(2)(A) for any of fiscal years 2003 through 2011 
        for an eligible institution of a State if the Secretary 
        determines that the territory will be unlikely to satisfy the 
        matching requirement for that fiscal year.''.

SEC. 750. INITIATIVE FOR FUTURE AGRICULTURE AND FOOD SYSTEMS.

    (a) Funding.--Section 401(b)(1) of the Agricultural Research, 
Extension, and Education Reform Act of 1998 (7 U.S.C. 7621(b)(1)) is 
amended to read as follows:
            ``(1) In general.--On October 1, 2003, and each October 1 
        thereafter through September 30, 2011, out of any funds in the 
        Treasury not otherwise appropriated, the Secretary of the 
        Treasury shall transfer funds into the Account the aggregate of 
        which shall equal $960,000,000. Such funds shall remain 
        available until expended and, to the maximum extent 
        practicable, shall be transferred in equal amounts for each 
        fiscal year.''.
    (b) Availability of Funds.--Section 401(f)(6) of the Agricultural 
Research, Extension, and Education Reform Act of 1998 (7 U.S.C. 
7621(f)(6)) is amended to read as follows:
            ``(6) Availability of funds.--Funds made available under 
        this section to the Secretary prior to October 1, 2003, for 
        grants under this section shall be available to the Secretary 
        for a 2-year period.''.

SEC. 751. CARBON CYCLE RESEARCH.

    Section 221 of the Agricultural Risk Protection Act of 2000 (Public 
Law 106-224; 114 Stat. 407) is amended--
            (1) in subsection (a), by striking ``Of the amount'' and 
        all that follows through ``to provide'' and inserting ``To the 
        extent funds are made available for this purpose, the Secretary 
        shall provide'';
            (2) in subsection (d), by striking ``under subsection (a)'' 
        and inserting ``for this section''; and
            (3) by adding at the end the following new subsection:
    ``(e) Authorization of Appropriations.--There are authorized to be 
appropriated for fiscal years 2002 through 2011 such sums as may be 
necessary to carry out this section.''

SEC. 752. DEFINITION OF FOOD AND AGRICULTURAL SCIENCES.

    Section 2(3) of the Research Facilities Act (7 U.S.C. 390(2)(3)) is 
amended to read as follows:
            ``(3) Food and agricultural sciences.--The term `food and 
        agricultural sciences' has the meaning given that term in 
        section 1404(8) of the National Agricultural Research, 
        Extension, and Teaching Policy Act of 1977 (7 U.S.C. 
        3103(8)).''.

SEC. 753. FEDERAL EXTENSION SERVICE.

    Section 3(b)(3) of the Smith-Lever Act (7 U.S.C. 343(b)(3)) is 
amended by striking ``$5,000,000'' and inserting ``such sums as are 
necessary''.

                      Subtitle C--Related Matters

SEC. 761. RESIDENT INSTRUCTION AT LAND-GRANT COLLEGES IN UNITED STATES 
              TERRITORIES.

    (a) Purpose.--It is the purpose of this section to promote and 
strengthen higher education in the food and agricultural sciences at 
agricultural and mechanical colleges located in the Commonwealth of 
Puerto Rico, the Virgin Islands of the United States, Guam, American 
Samoa, the Commonwealth of the Northern Mariana Islands, the Federated 
States of Micronesia, the Republic of the Marshall Islands, or the 
Republic of Palau (hereinafter referred to in this section as 
``eligible institutions'') by formulating and administering programs to 
enhance teaching programs in agriculture, natural resources, forestry, 
veterinary medicine, home economics, and disciplines closely allied to 
the food and agriculture production and delivery system.
    (b) Grants.--The Secretary shall make competitive grants to those 
eligible institutions having a demonstrable capacity to carry out the 
teaching of food and agricultural sciences.
    (c) Use of Grant Funds.--Grants made under subsection (b) shall be 
used to--
            (1) strengthen institutional educational capacities, 
        including libraries, curriculum, faculty, scientific 
        instrumentation, instruction delivery systems, and student 
        recruitment and retention, in order to respond to identified 
        State, regional, national, or international education needs in 
        the food and agricultural sciences;
            (2) attract and support undergraduate and graduate students 
        in order to educate them in identified areas of national need 
        to the food and agriculture sciences;
            (3) facilitate cooperative initiatives between two or more 
        eligible institutions or between eligible institutions and 
        units of State Government, organizational in the private 
        sector, to maximize the development and use of resources such 
        as faculty, facilities, and equipment to improve food and 
        agricultural sciences teaching programs; and
            (4) conduct undergraduate scholarship programs to assist in 
        meeting national needs for training food and agricultural 
        scientists.
    (d) Grant Requirements.--
            (1) The Secretary shall ensure that each eligible 
        institution, prior to receiving grant funds under subsection 
        (b), shall have a significant demonstrable commitment to higher 
        educations programs in the food and agricultural sciences and 
        to each specific subject area for which grant funds under this 
        subsection are to be used.
            (2) The Secretary may require that any grant awarded under 
        this section contain provisions that require funds to be 
        targeted to meet the needs identified in section 1402 of the 
        National Agriculture Research, Extension, and Teaching Policy 
        Act of 1977.
    (e) Authorization of Appropriations.--There are authorized to be 
appropriated such sums as are necessary for each of the fiscal years 
2002 through 2011 to carry out this section.

SEC. 762. DECLARATION OF EXTRAORDINARY EMERGENCY AND RESULTING 
              AUTHORITIES.

    (a) Review of Payment of Compensation.--Section 415(e) of the Plant 
Protection Act (7 U.S.C. 7715(e)) is amended by inserting before the 
final period the following: ``or review by any officer of the 
Government other than the Secretary or the designee of the Secretary''.
    (b) Review of Certain Decisions.--
            (1) Plant protection act.--Section 442 of the Plant 
        Protection Act (7 U.S.C. 7772) is amended by adding at the end 
        following new subsection:
    ``(f) Secretarial Discretion.--The action of any officer, employee, 
or agent of the Secretary in carrying out this section, including 
determining the amount of and making any payment authorized to be made 
under this section, shall not be subject to review by any officer of 
the Government other than the Secretary or the designee of the 
Secretary.''.
            (2) Other plant and animal pest and disease laws.--Section 
        11 of the Act of May 29, 1884 (21 U.S.C. 114a; commonly known 
        as the ``Animal Industry Act'') and the first section of the 
        Act of September 25, 1981 (7 U.S.C. 147b), are each amended by 
        adding at the end the following new sentence: ``The action of 
        any officer, employee, or agent of the Secretary in carrying 
        out this section, including determining the amount of and 
        making any payment authorized to be made under this section, 
        shall not be subject to review by any officer of the Government 
        other than the Secretary or the designee of the Secretary.''.
    (c) Methyl Bromide.--The Plant Protection Act (7 U.S.C. 7701 et 
seq.) is amended by inserting after section 418 the following new 
section:

``SEC. 419. METHYL BROMIDE.

    ``(a) In General.--The Secretary, upon request of State, local, or 
tribal authorities, shall determine whether methyl bromide treatments 
or applications required by State, local, or tribal authorities to 
prevent the introduction, establishment, or spread of plant pests 
(including diseases) or noxious weeds should be authorized as an 
official control or official requirement.
    ``(b) Administration.--
            ``(1) Timeline for determination.--The Secretary shall make 
        the determination required by subsection (a) not later than 90 
        days after receiving the request for such a determination.
            ``(2) Regulations.--The promulgation of regulations for and 
        the administration of this section shall be made without regard 
        to--
                    ``(A) the notice and comment provisions of section 
                553 of title 5, United States Code;
                    ``(B) the Statement of Policy of the Secretary of 
                Agriculture, effective July 24, 1971 (36 Fed. Reg. 
                13804; relating to notices of proposed rulemaking and 
                public participation in rulemaking); and
                    ``(C) chapter 35 of title 44, United States Code 
                (commonly known as the `Paperwork Reduction Act').
    ``(c) Registry.--Not later than 180 days after the date of the 
enactment of this section, the Secretary shall publish, and thereafter 
maintain, a registry of State, local, and tribal requirements 
authorized by the Secretary under this section.''.

        Subtitle D--Repeal of Certain Activities and Authorities

SEC. 771. FOOD SAFETY RESEARCH INFORMATION OFFICE AND NATIONAL 
              CONFERENCE.

    (a) Repeal.--Subsections (b) and (c) of section 615 of the 
Agricultural Research, Extension, and Education Reform Act of 1998 (7 
U.S.C. 7654(b) and (c)) are repealed.
    (b) Conforming Amendments.--
            (1) Generally.--Section 615 of such Act is amended--
                    (A) in the section heading, by striking ``and 
                national conference'';
                    (B) by striking ``(a) Food Safety Research 
                Information Office.--'';
                    (C) by redesignating paragraphs (1), (2), and (3) 
                as subsections (a), (b), and (c), respectively, and 
                moving the margins 2 ems to the left;
                    (D) in subsection (b) (as so redesignated), by 
                redesignating subparagraphs (A) and (B) as paragraphs 
                (1) and (2), respectively, and moving the margins 2 ems 
                to the left; and
                    (E) in subsection (c) (as so redesignated), by 
                striking ``this subsection'' and inserting ``this 
                section''.
            (2) Table of sections.--The table of sections for such Act 
        is amended by striking ``and National Conference'' in the item 
        relating to section 617.

SEC. 772. REIMBURSEMENT OF EXPENSES UNDER SHEEP PROMOTION, RESEARCH, 
              AND INFORMATION ACT OF 1994.

    Section 617 of the Agricultural Research, Extension, and Education 
Reform Act of 1998 (Public Law 105-185; 112 Stat. 607) is repealed.

SEC. 773. NATIONAL GENETIC RESOURCES PROGRAM.

    Section 1634 of the Food, Agriculture, Conservation, and Trade Act 
of 1990 (7 U.S.C. 5843) is repealed.

SEC. 774. NATIONAL ADVISORY BOARD ON AGRICULTURAL WEATHER.

    Section 1639 of the Food, Agriculture, Conservation, and Trade Act 
of 1990 (7 U.S.C. 5853) is repealed.

SEC. 775. AGRICULTURAL INFORMATION EXCHANGE WITH IRELAND.

    Section 1420 of the National Agricultural Research, Extension and 
Teaching Policy Act Amendments of 1985 (Public Law 99-198; 99 Stat. 
1551) is repealed.

SEC. 776. PESTICIDE RESISTANCE STUDY.

    Section 1437 of the National Agricultural Research, Extension, and 
Teaching Policy Act of 1985 (Public Law 99-198; 99 Stat. 1558) is 
repealed.

SEC. 777. EXPANSION OF EDUCATION STUDY.

    Section 1438 of the National Agricultural Research, Extension, and 
Teaching Policy Act Amendments of 1985 (Public Law 99-198; 99 Stat. 
1559) is repealed.

SEC. 778. SUPPORT FOR ADVISORY BOARD.

    (a) Repeal.--Section 1412 of the National Agricultural Research, 
Extension, and Teaching Policy Act of 1977 (7 U.S.C. 3127) is repealed.
    (b) Conforming Amendment.--Section 1413(c) of such Act (7 U.S.C. 
3128(c)) is amended by striking ``section 1412 of this title and''.

SEC. 779. TASK FORCE ON 10-YEAR STRATEGIC PLAN FOR AGRICULTURAL 
              RESEARCH FACILITIES.

    (a) Repeal.--Section 4 of the Research Facilities Act (7 U.S.C. 
390b) is repealed.
    (b) Conforming Amendment.--Section 2 of such Act (7 U.S.C. 390) is 
amended by striking paragraph (5).

              Subtitle E--Agriculture Facility Protection

SEC. 790. ADDITIONAL PROTECTIONS FOR ANIMAL OR AGRICULTURAL 
              ENTERPRISES, RESEARCH FACILITIES, AND OTHER ENTITIES.

    (a) Definitions.--The Research Facilities Act (7 U.S.C. 390 et 
seq.) is amended--
            (1) by redesignating section 6 as section 7; and
            (2) by inserting after section 5 the following new section:

``SEC. 6. ADDITIONAL PROTECTIONS FOR ANIMAL OR AGRICULTURAL 
              ENTERPRISES, RESEARCH FACILITIES, AND OTHER ENTITIES 
              AGAINST DISRUPTION.

    ``(a) Definitions.--For the purposes of this section, the following 
definitions apply:
            ``(1) Animal or agricultural enterprise.--The term `animal 
        or agricultural enterprise' means any of the following:
                    ``(A) A commercial, governmental, or academic 
                enterprise that uses animals, plants, or other 
                biological materials for food or fiber production, 
                breeding, processing, research, or testing.
                    ``(B) A zoo, aquarium, circus, rodeo, or other 
                entity that exhibits or uses animals, plants, or other 
                biological materials for educational or entertainment 
                purposes.
                    ``(C) A fair or similar event intended to advance 
                agricultural arts and sciences.
                    ``(D) A facility managed or occupied by an 
                association, federation, foundation, council, or other 
                group or entity of food or fiber producers, processors, 
                or agricultural or biomedical researchers intended to 
                advance agricultural or biomedical arts and sciences.
            ``(2) Economic damage.--The term `economic damage' means 
        the replacement of the following:
                    ``(A) The cost of lost or damaged property 
                (including all real and personal property) of an animal 
                or agricultural enterprise.
                    ``(B) The cost of repeating an interrupted or 
                invalidated experiment.
                    ``(C) The loss of revenue (including costs related 
                to business recovery) directly related to the 
                disruption of an animal or agricultural enterprise.
                    ``(D) The cost of the tuition and expenses of any 
                student to complete an academic program that was 
                disrupted, or to complete a replacement program, when 
                the tuition and expenses are incurred as a result of 
                the damage or loss of the property of an animal or 
                agricultural enterprise.
            ``(3) Property of an animal or agricultural enterprise.--
        The term `property of an animal or agricultural enterprise' 
        means real and personal property of or used by any of the 
        following:
                    ``(A) An animal or agricultural enterprise.
                    ``(B) An employee of an animal or agricultural 
                enterprise.
                    ``(C) A student attending an academic animal or 
                agricultural enterprise.
            ``(4) Disruption.--The term `disruption' does not include 
        any lawful disruption that results from lawful public, 
        governmental, or animal or agricultural enterprise employee 
        reaction to the disclosure of information about an animal or 
        agricultural enterprise.
    ``(b) Violation.--A person may not recklessly, knowingly, or 
intentionally cause, or contribute to, the disruption of the 
functioning of an animal or agricultural enterprise by damaging or 
causing the loss of any property of the animal or agricultural 
enterprise that results in economic damage, as determined by the 
Secretary.
    ``(c) Assessment of Civil Penalty.--
            ``(1) In general.--The Secretary may impose on any person 
        that the Secretary determines violates subsection (b) a civil 
        penalty in an amount determined under paragraphs (2) and (3). 
        The civil penalty may be assessed only on the record after an 
        opportunity for a hearing.
            ``(2) Recovery of department costs.--The civil penalty 
        assessed by the Secretary against a person for a violation of 
        subsection (b) shall be not less than the total cost incurred 
        by the Secretary for investigation of the violation, conducting 
        any hearing regarding the violation, and assessing the civil 
        penalty.
            ``(3) recovery of economic damage.--In addition to the 
        amount determined under paragraph (2), the amount of the civil 
        penalty shall include the an amount not less than the total 
        cost (or, in the case of knowing or intentional disruption, not 
        less than 150 percent of the total cost) of the economic damage 
        incurred by the animal or agricultural enterprise, any employee 
        of the animal or agricultural enterprise, or any student 
        attending an academic animal or agricultural enterprise as a 
        result of the damage or loss of the property of an animal or 
        agricultural enterprise.
    ``(d) Identification.--The Secretary shall identify for each civil 
penalty assessed under subsection (c), the portion of the amount of the 
civil penalty that represents the recovery of Department costs and the 
portion that represents the recovery of economic losses.
    ``(e) Other Factors in Determining Penalty.-- In determining the 
amount of a civil penalty under subsection (c), the Secretary shall 
consider the following:
            ``(1) The nature, circumstance, extent, and gravity of the 
        violation or violations.
            ``(2) The ability of the injured animal or agricultural 
        enterprise to continue to operate, costs incurred by the animal 
        or agricultural enterprise to recover lost business, and the 
        effect of the violation on earnings of employees of the animal 
        or agricultural enterprise.
            ``(3) The interruptions experienced by students attending 
        an academic animal or agricultural enterprise.
            ``(4) Whether the violator has previously violated 
        subsection (a).
            ``(5) The violator's degree of culpability.
    ``(f) Fund To Assist Victims of Disruption.--
            ``(1) Fund established.--There is established in the 
        Treasury a fund which shall consist of that portion of each 
        civil penalty collected under subsection (c) that represents 
        the recovery of economic damages.
            ``(2) Use of amounts in fund.--The Secretary of Agriculture 
        shall use amounts in the fund to compensate animal or 
        agricultural enterprises, employees of an animal or 
        agricultural enterprise, and student attending an academic 
        animal or agricultural enterprise for economic losses incurred 
        as a result of the disruption of the functioning of an animal 
        or agricultural enterprise in violation of subsection (b).''.

                    TITLE VIII--FORESTRY INITIATIVES

SEC. 801. REPEAL OF FORESTRY INCENTIVES PROGRAM AND STEWARDSHIP 
              INCENTIVE PROGRAM.

    (a) Repeals.--The Cooperative Forestry Assistance Act of 1978 is 
amended by striking section 4 (16 U.S.C. 2103) and section 6 (16 U.S.C. 
2103b).
    (b) Conforming Amendment.--Section 246(b) of the Department of 
Agriculture Reorganization Act of 1994 (7 U.S.C. 6962(b)) is amended by 
striking paragraph (2).

SEC. 802. ESTABLISHMENT OF FOREST LAND ENHANCEMENT PROGRAM.

    (a) Findings.--Congress finds the following:
            (1) There is a growing dependence on private nonindustrial 
        forest lands to supply the necessary market commodities and 
        nonmarket values, such as habitat for fish and wildlife, 
        aesthetics, outdoor recreation opportunities, and other forest 
        resources, required by a growing population.
            (2) There is a strong demand for expanded assistance 
        programs for owners of nonindustrial private forest land since 
        the majority of the wood supply of the United States comes from 
        nonindustrial private forest land.
            (3) The soil, carbon stores, water and air quality of the 
        United States can be maintained and improved through good 
        stewardship of nonindustrial private forest lands.
            (4) The products and services resulting from stewardship of 
        nonindustrial private forest lands provide income and 
        employment that contribute to the economic health and diversity 
        of rural communities.
            (5) Wildfires threaten human lives, property, forests, and 
        other resources, and Federal and State cooperation in forest 
        fire prevention and control has proven effective and valuable, 
        in that properly managed forest stands are less susceptible to 
        catastrophic fire, as dramatized by the catastrophic fire 
        seasons of 1998 and 2000.
            (6) Owners of private nonindustrial forest lands are being 
        faced with increased pressure to convert their forestland to 
        development and other uses.
            (7) Complex, long-rotation forest investments, including 
        sustainable hardwood management, are often the most difficult 
        commitment for small, nonindustrial private forest landowners 
        and, thus, should receive equal consideration under cost-share 
        programs.
            (8) The investment of one Federal dollar in State and 
        private forestry programs is estimated to leverage $9 on 
        average from State, local, and private sources.
    (b) Purpose.--It is the purpose of this section to strengthen the 
commitment of the Department of Agriculture to sustainable forestry and 
to establish a coordinated and cooperative Federal, State, and local 
sustainable forest program for the establishment, management, 
maintenance, enhancement, and restoration of forests on nonindustrial 
private forest lands in the United States.
    (c) Forest Land Enhancement Program.--The Cooperative Forestry 
Assistance Act of 1978 is amended by inserting after section 3 (16 
U.S.C. 2102) the following new section 4:

``SEC. 4. FOREST LAND ENHANCEMENT PROGRAM.

    ``(a) Establishment.--
            ``(1) Establishment; purpose.--The Secretary shall 
        establish a Forest Land Enhancement Program (in this section 
        referred to as the `Program') for the purpose of providing 
        financial, technical, educational, and related assistance to 
        State foresters to encourage the long-term sustainability of 
        nonindustrial private forest lands in the United States by 
        assisting the owners of such lands in more actively managing 
        their forest and related resources by utilizing existing State, 
        Federal, and private sector resource management expertise, 
        financial assistance, and educational programs.
            ``(2) Administration.--The Secretary shall carry out the 
        Program within, and administer the Program through, the Farm 
        Service Agency.
            ``(3) Coordination.--The Secretary shall implement the 
        Program in coordination with State foresters.
    ``(b) Program Objectives.--In implementing the Program, the 
Secretary shall target resources to achieve the following objectives:
            ``(1) Investment in practices to establish, restore, 
        protect, manage, maintain, and enhance the health and 
        productivity of the nonindustrial private forest lands in the 
        United States for timber, habitat for flora and fauna, water 
        quality, and wetlands.
            ``(2) Ensuring that afforestation, reforestation, 
        improvement of poorly stocked stands, timber stand improvement, 
        practices necessary to improve seedling growth and survival, 
        and growth enhancement practices occur where needed to enhance 
        and sustain the long-term productivity of timber and nontimber 
        forest resources to help meet future public demand for all 
        forest resources and provide environmental benefits.
            ``(3) Reduce the risks and help restore, recover, and 
        mitigate the damage to forests caused by fire, insects, 
        invasive species, disease, and damaging weather.
            ``(4) Increase and enhance carbon sequestration 
        opportunities.
            ``(5) Enhance implementation of agroforestry practices.
            ``(6) Maintain and enhance the forest landbase and leverage 
        State and local financial and technical assistance to owners 
        that promote the same conservation and environmental values.
    ``(c) Eligibility.--
            ``(1) In general.--An owner of nonindustrial private forest 
        land is eligible for cost-sharing assistance under the Program 
        if the owner--
                    ``(A) agrees to develop and implement an individual 
                stewardship, forest, or stand management plan 
                addressing site specific activities and practices in 
                cooperation with, and approved by, the State forester, 
                state official, or private sector program in 
                consultation with the State forester;
                    ``(B) agrees to implement approved activities in 
                accordance with the plan for a period of not less than 
                10 years, unless the State forester approves a 
                modification to such plan; and
                    ``(C) meets the acreage restrictions as determined 
                by the State forester in conjunction with the State 
Forest Stewardship Coordinating Committee established under section 19.
            ``(2) State priorities.--The Secretary, in consultation 
        with the State forester and the State Forest Stewardship 
        Coordinating Committee may develop State priorities for cost 
        sharing under the Program that will promote forest management 
        objectives in that State.
            ``(3) Development of plan.--An owner shall be eligible for 
        cost-share assistance for the development of the individual 
        stewardship, forest, or stand management plan required by 
        paragraph (1).
    ``(d) Approved Activities.--
            ``(1) Development.--The Secretary, in consultation with the 
        State Forest Stewardship Coordinating Committee, shall develop 
        a list of approved forest activities and practices that will be 
        eligible for cost-share assistance under the Program within 
        each State.
            ``(2) Type of activities.--In developing a list of approved 
        activities and practices under paragraph (1), the Secretary 
        shall attempt to achieve the establishment, restoration, 
        management, maintenance, and enhancement of forests and trees 
        for the following:
                    ``(A) The sustainable growth and management of 
                forests for timber production.
                    ``(B) The restoration, use, and enhancement of 
                forest wetlands and riparian areas.
                    ``(C) The protection of water quality and 
                watersheds through the application of State-developed 
                forestry best management practices.
                    ``(D) Energy conservation and carbon sequestration 
                purposes.
                    ``(E) Habitat for flora and fauna.
                    ``(F) The control, detection, and monitoring of 
                invasive species on forestlands as well as preventing 
                the spread and providing for the restoration of lands 
                affected by invasive species.
                    ``(G) Hazardous fuels reduction and other 
                management activities that reduce the risks and help 
                restore, recover, and mitigate the damage to forests 
                caused by fire.
                    ``(H) The development of forest or stand management 
                plans.
                    ``(I) Other activities approved by the Secretary, 
                in coordination with the State Forest Stewardship 
                Coordinating Committee.
    ``(e) Cooperation.--In implementing the Program, the Secretary 
shall cooperate with other Federal, State, and local natural resource 
management agencies, institutions of higher education, and the private 
sector.
    ``(f) Reimbursement of Eligible Activities.--
            ``(1) In general.--The Secretary shall share the cost of 
        implementing the approved activities that the Secretary 
        determines are appropriate, in the case of an owner that has 
        entered into an agreement to place nonindustrial private forest 
        lands of the owner in the Program.
            ``(2) Rate.--The Secretary shall determine the appropriate 
        reimbursement rate for cost-share payments under paragraph (1) 
        and the schedule for making such payments.
            ``(3) Maximum.--The Secretary shall not make cost-share 
        payments under this subsection to an owner in an amount in 
        excess of 75 percent of the total cost, or a lower percentage 
        as determined by the State forester, to such owner for 
        implementing the practices under an approved plan. The maximum 
        payments to any one owner shall be determined by the Secretary.
            ``(4) Consultation.--The Secretary shall make 
        determinations under this subsection in consultation with the 
        State forester.
    ``(g) Recapture.--
            ``(1) In general.--The Secretary shall establish and 
        implement a mechanism to recapture payments made to an owner in 
        the event that the owner fails to implement any approved 
        activity specified in the individual stewardship, forest, or 
        stand management plan for which such owner received cost-share 
        payments.
            ``(2) Additional remedy.--The remedy provided in paragraph 
        (1) is in addition to any other remedy available to the 
        Secretary.
    ``(h) Distribution.--The Secretary shall distribute funds available 
for cost sharing under the Program among the States only after giving 
appropriate consideration to--
            ``(1) the total acreage of nonindustrial private forest 
        land in each State;
            ``(2) the potential productivity of such land;
            ``(3) the number of owners eligible for cost sharing in 
        each State;
            ``(4) the opportunities to enhance non-timber resources on 
        such forest lands;
            ``(5) the anticipated demand for timber and nontimber 
        resources in each State;
            ``(6) the need to improve forest health to minimize the 
        damaging effects of catastrophic fire, insects, disease, or 
        weather; and
            ``(7) the need and demand for agroforestry practices in 
        each State.
    ``(i) Definitions.--In this section:
            ``(1) Nonindustrial private forest lands.--The term 
        `nonindustrial private forest lands' means rural lands, as 
        determined by the Secretary, that--
                    ``(A) have existing tree cover or are suitable for 
                growing trees; and
                    ``(B) are owned or controlled by any nonindustrial 
                private individual, group, association, corporation, 
                Indian tribe, or other private legal entity (other than 
                a nonprofit private legal entity) so long as the 
                individual, group, association, corporation, tribe, or 
                entity has definitive decision-making authority over 
                the lands, including through long-term leases and other 
                land tenure systems, for a period of time long enough 
                to ensure compliance with the Program.
            ``(2) Owner.--The term `owner' includes a private 
        individual, group, association, corporation, Indian tribe, or 
        other private legal entity (other than a nonprofit private 
        legal entity) that has definitive decision-making authority 
        over nonindustrial private forest lands through a long-term 
lease or other land tenure systems.
            ``(3) Secretary.--The term `Secretary' means the Secretary 
        of Agriculture.
            ``(4) State forester.--The term `State forester' means the 
        director or other head of a State Forestry Agency or equivalent 
        State official.
    ``(j) Availability of Funds.--The Secretary shall use $150,000,000 
of funds of the Commodity Credit Corporation to carry out the Program 
during the period beginning on October 1, 2001, and ending on September 
30, 2011.''.

SEC. 803. RENEWABLE RESOURCES EXTENSION ACTIVITIES.

    (a) Extension and Authorization Increase.--Section 6 of the 
Renewable Resources Extension Act of 1978 (16 U.S.C. 1675) is amended--
            (1) by striking ``$15,000,000'' and inserting 
        ``$30,000,000''; and
            (2) by striking ``2002'' and inserting ``2011''.
    (b) Sustainable Forestry Outreach Initiative.--The Renewable 
Resources Extension Act of 1978 is amended by inserting after section 
5A (16 U.S.C. 1674a) the following new section:

``SEC. 5B. SUSTAINABLE FORESTRY OUTREACH INITIATIVE.

    ``The Secretary shall establish a program to be known as the 
`Sustainable Forestry Outreach Initiative' for the purpose of educating 
landowners regarding the following:
            ``(1) The value and benefits of practicing sustainable 
        forestry.
            ``(2) The importance of professional forestry advice in 
        achieving their sustainable forestry objectives.
            ``(3) The variety of public and private sector resources 
        available to assist them in planning for and practicing 
        sustainable forestry.''.

SEC. 804. ENHANCED COMMUNITY FIRE PROTECTION.

    (a) Findings.--Congress finds the following:
            (1) The severity and intensity of wildland fires has 
        increased dramatically over the past few decades as a result of 
        past fire and land management policies.
            (2) The record 2000 fire season is a prime example of what 
        can be expected if action is not taken.
            (3) These wildfires threaten not only the nation's forested 
        resources, but the thousands of communities intermingled with 
        the wildlands in the wildland-urban interface.
            (4) The National Fire Plan developed in response to the 
        2000 fire season is the proper, coordinated, and most effective 
        means to address this wildfire issue.
            (5) Whereas adequate authorities exist to tackle the 
        wildfire issues at the landscape level on Federal lands, there 
        lacks strong authority to take action on most private lands 
        where the largest threat to life and property lies.
            (6) There is a significant Federal interest in enhancing 
        community protection from wildfire.
    (b) Enhanced Protection.--The Cooperative Forestry Assistance Act 
of 1978 is amended by inserting after section 10 (16 U.S.C. 2106) the 
following new section:

``SEC. 10A. ENHANCED COMMUNITY FIRE PROTECTION.

    ``(a) Cooperative Management Related to Wildfire Threats.--The 
Secretary may cooperate with State foresters and equivalent State 
officials in the management of lands in the United States for the 
following purposes:
            ``(1) Aid in wildfire prevention and control;
            ``(2) Protect communities from wildfire threats;
            ``(3) Enhance the growth and maintenance of trees and 
        forests that promote overall forest health.
            ``(4) Ensure the continued production of all forest 
        resources, including timber, outdoor recreation opportunities, 
        wildlife habitat, and clean water, through conservation of 
        forest cover on watersheds, shelterbelts, and windbreaks.
    ``(b) Community and Private Land Fire Assistance Program.--
            ``(1) Establishment; purpose.--The Secretary shall 
        establish a Community and Private Land Fire Assistance 
        program--
                    ``(A) to focus the Federal role in promoting 
                optimal firefighting efficiency at the Federal, State, 
                and local levels;
                    ``(B) to augment Federal projects that establish 
                landscape level protection from wildfires;
                    ``(C) to expand outreach and education programs to 
                homeowners and communities about fire prevention; and
                    ``(D) to establish defensible space around private 
                landowners homes and property against wildfires.
            ``(2) Components.--In coordination with existing 
        authorities under this Act, the Secretary may undertake on both 
        Federal and non-Federal lands--
                    ``(A) fuel hazard mitigation and prevention;
                    ``(B) invasive species management;
                    ``(C) multi-resource wildfire planning;
                    ``(D) community protection planning;
                    ``(E) community and landowner education 
                enterprises, including the program known as FIREWISE;
                    ``(F) market development and expansion;
                    ``(G) improved wood utilization;
                    ``(H) special restoration projects.
            ``(3) Considerations.--The Secretary shall use local 
        contract personnel wherever possible to carry out projects 
        under the Program.
    ``(c) Authorization of Appropriations.--There are hereby authorized 
to be appropriated to the Secretary $35,000,000 for each of fiscal 
years 2002 through 2011, and such sums as may be necessary thereafter, 
to carry out this section.''.

SEC. 805. INTERNATIONAL FORESTRY PROGRAM.

    Section 2405(d) of the Global Climate Change Prevention Act of 1990 
(title XXIV of Public Law 101-624; 7 U.S.C. 6704(d)) is amended by 
striking ``2002'' and inserting ``2011''.

SEC. 806. LONG-TERM FOREST STEWARDSHIP CONTRACTS FOR HAZARDOUS FUELS 
              REMOVAL AND IMPLEMENTATION OF NATIONAL FIRE PLAN.

    (a) Annual Assessment of Treatment Acreage.--Not later than March 1 
of each of fiscal years 2002 through 2006, the Secretary concerned 
shall submit to Congress an assessment of the number of acres of 
forested Federal lands recommended to be treated during the next fiscal 
year using stewardship end result contracts authorized by subsection 
(c). The assessment shall be based on the treatment schedules contained 
in the report entitled ``Protecting People and Sustaining Resources in 
Fire-Adapted Ecosystems'', dated October 13, 2000, and incorporated 
into the National Fire Plan. The assessment shall identify the acreage 
by condition class, type of treatment, and treatment year to achieve 
the restoration goals outlined in the report within 10-, 15-, and 20-
year time periods. The assessment shall also include changes in the 
restoration goals based on the effects of fire, hazardous fuel 
treatments pursuant to the National Fire Plan, or updates in data.
    (b) Funding Recommendation.--The Secretary concerned shall include 
in the annual assessment a request for funds sufficient to implement 
the recommendations contained in the assessment using stewardship end 
result contracts under subsection (c) when the Secretary concerned 
determines that the objectives of the National Fire Plan are best 
accomplished through forest stewardship end result contracting.
    (c) Stewardship End Result Contracting.--
            (1) Authority.--Subject to the amount of funds made 
        available pursuant to subsection (b), the Secretary concerned 
        may enter into stewardship end result contracts to implement 
        the National Fire Plan on Federal lands based upon the 
        stewardship treatment schedules provided in the annual 
        assessments under subsection (a). The contracting goals and 
        authorities described in subsections (b) through (f) of section 
        347 of the Department of the Interior and Related Agencies 
        Appropriations Act, 1999 (as contained in section 101(e) of 
        division A of Public Law 105-277; 16 U.S.C. 2104 note; commonly 
        known as the Stewardship End Result Contracting Demonstration 
        Project) shall apply to contracts entered into under this 
        subsection, except that the period of the contract shall be 10 
        years.
            (2) Duration.--The authority of the Secretary concerned to 
        enter into contracts under this subsection expires September 
        30, 2007.
    (d) Status Report.--Beginning with the assessment required under 
subsection (a) in 2003, the Secretary concerned shall include in the 
annual assessment a status report of the stewardship end result 
contracts entered into under the authority of this section.
    (e) Definitions.--In this section:
    In this Act:
            (1) Federal lands.--The term ``Federal lands'' means--
                    (A) National Forest System lands;
                    (B) public lands administered by the Secretary of 
                the Interior, acting through the Bureau of Land 
                Management; and
                    (C) Indian lands.
            (2) Indian lands.--The term ``Indian lands'' means--
                    (A) lands held in trust by the United States for 
                the benefit of an Indian tribe;
                    (B) lands held by an Indian tribe subject to 
                restriction by the United States against alienation; 
                and
                    (C) lands held by an incorporated Alaska Native 
                group, regional corporation, or village corporation 
                under the provisions of the Alaska Native Claims 
                Settlement Act (43 U.S.C. 1601 et seq.).
            (3) Secretary concerned.--The term ``Secretary concerned'' 
        means--
                    (A) the Secretary of Agriculture or the designee of 
                the Secretary of Agriculture with respect to the 
                Federal lands described in paragraph (1)(A); and
                    (B) the Secretary of the Interior or the designee 
                of the Secretary of the Interior with respect to the 
                Federal lands described in paragraphs (1)(B) and 
                (1)(C).

SEC. 807. MCINTIRE-STENNIS COOPERATIVE FORESTRY RESEARCH PROGRAM.

    It is the sense of Congress to reaffirm the importance of Public 
Law 87-88 (16 U.S.C. 582a et seq.), commonly known as the McIntire-
Stennis Cooperative Forestry Act.

                   TITLE IX--MISCELLANEOUS PROVISIONS

                  Subtitle A--Tree Assistance Program

SEC. 901. ELIGIBILITY.

    (a) Loss.--Subject to the limitation in subsection (b), the 
Secretary of Agriculture shall provide assistance, as specified in 
section 902, to eligible orchardists that planted trees for commercial 
purposes but lost such trees as a result of a natural disaster, as 
determined by the Secretary.
    (b) Limitation.--An eligible orchardist shall qualify for 
assistance under subsection (a) only if such orchardist's tree 
mortality, as a result of the natural disaster, exceeds 15 percent 
(adjusted for normal mortality).

SEC. 902. ASSISTANCE.

    The assistance provided by the Secretary of Agriculture to eligible 
orchardists for losses described in section 901 shall consist of 
either--
            (1) reimbursement of 75 percent of the cost of replanting 
        trees lost due to a natural disaster, as determined by the 
        Secretary, in excess of 15 percent mortality (adjusted for 
        normal mortality); or
            (2) at the discretion of the Secretary, sufficient 
        seedlings to reestablish the stand.

SEC. 903. LIMITATION ON ASSISTANCE.

    (a) Limitation.--The total amount of payments that a person shall 
be entitled to receive under this subtitle may not exceed $50,000, or 
an equivalent value in tree seedlings.
    (b) Regulations.--The Secretary of Agriculture shall issue 
regulations--
            (1) defining the term ``person'' for the purposes of this 
        subtitle, which shall conform, to the extent practicable, to 
        the regulations defining the term ``person'' issued under 
        section 1001 of the Food Security Act of 1985 (7 U.S.C. 1308) 
        and the Disaster Assistance Act of 1988 (7 U.S.C. 1421 note); 
        and
            (2) prescribing such rules as the Secretary determines 
        necessary to ensure a fair and reasonable application of the 
        limitation established under this section.

SEC. 904. DEFINITIONS.

    In this subtitle:
            (1) Eligible orchardist.--The term ``eligible orchardist'' 
        means a person who produces annual crops from trees for 
        commercial purposes and owns 500 acres or less of such trees.
            (2) Natural disaster.--The term ``natural disaster'' 
        includes plant disease, insect infestation, drought, fire, 
        freeze, flood, earthquake, and other occurrences, as determined 
        by the Secretary.
            (3) Tree.--The term ``tree'' includes trees, bushes, and 
        vines.

SEC. 905. DUPLICATIVE PAYMENTS.

    The Secretary of Agriculture shall establish guidelines to ensure 
that no person receives duplicative payments under this subtitle and 
the forestry incentives program, agricultural conservation program, or 
other Federal program.

                       Subtitle B--Other Matters

SEC. 911. HAZARDOUS FUEL REDUCTION GRANTS TO PREVENT WILDFIRE DISASTERS 
              AND TRANSFORM HAZARDOUS FUELS TO ELECTRIC ENERGY, USEFUL 
              HEAT, OR TRANSPORTATION FUELS.

    (a) Findings.--Congress finds the following:
            (1) The damages caused by wildfire disasters have been 
        equivalent in magnitude to the damage resulting from the 
        Northridge earthquake, Hurricane Andrew, and the recent 
        flooding of the Mississippi River and the Red River.
            (2) More than 20,000 communities in the United States are 
        at risk to wildfire and approximately 11,000 of these 
        communities are located near Federal lands. More than 
        72,000,000 acres of National Forest System lands and 57,000,000 
        acres of lands managed by the Secretary of the Interior are at 
        risk of catastrophic fire in the near future. The accumulation 
        of heavy forest fuel loads continues to increase as a result of 
        disease, insect infestations, and drought, further raising the 
        risk of fire each year.
            (3) Modification of forest fuel load conditions through the 
        removal of hazardous fuels will minimize catastrophic damage 
        from wildfires, reducing the need for emergency funding to 
        respond to wildfires and protecting lives, communities, 
        watersheds, and wildlife habitat.
            (4) The hazardous fuels removed from forest lands represent 
        an abundant renewable resource as well as a significant supply 
        of biomass for biomass-to-energy facilities.
    (b) Hazardous Fuels to Energy Grant Program.--The Secretary 
concerned may make a grant to a person that operates a biomass-to-
energy facility to offset the costs incurred to purchase hazardous 
fuels from forest lands for use by the facility in the production of 
electric energy, useful heat, or transportation fuels. The Secretary 
concerned shall select grant recipients on the basis of their planned 
purchases of hazardous fuels and the level of anticipated benefits to 
reduced wildfire risk.
    (c) Grant Amounts.--A grant under this section shall be equal to at 
least $5 per ton of hazardous fuels delivered, but not to exceed $10 
per ton of hazardous fuels delivered, based on the distance of the 
hazardous fuels from the biomass-to-energy facility.
    (d) Monitoring of Grant Recipient Activities.--As a condition on a 
grant under this section, the grant recipient shall keep such records 
as the Secretary concerned may require to fully and correctly disclose 
the use of the grant funds and all transactions involved in the 
purchase of hazardous fuels derived from forest lands. Upon notice by a 
duly authorized representative of the Secretary concerned, the operator 
of a biomass-to-energy facility that purchases or uses the resulting 
hazardous fuels shall afford the representative reasonable access to 
the facility and an opportunity to examine the inventory and records of 
the facility.
    (e) Monitoring of Effect of Treatments.--The Secretary concerned 
shall monitor Federal lands from which hazardous fuels are removed and 
sold to a biomass-to-energy facility to determine and document the 
reduction in fire hazards on such lands.
    (f) Definitions.--In this section:
            (1) Biomass-to-energy facility.--The term ``biomass-to-
        energy facility'' means a facility that uses forest biomass as 
        a raw material to produce electric energy, useful heat, or 
        transportation fuels.
            (2) Forest biomass.--The term ``forest biomass'' means 
        hazardous fuels and biomass accumulations from precommercial 
        thinnings, slash, and brush on forest lands that do not satisfy 
        the definition of hazardous fuels.
            (3) Hazardous fuels.--The term ``hazardous fuels'' means 
        any unnaturally excessive accumulation of organic material, 
        particularly in areas designated as condition class 2 or 
        condition class 3 (as defined in the report entitled 
        ``Protecting People and Sustainable Resources in Fire-Adapted 
        Ecosystems'', prepared by the Forest Service, and dated October 
        13, 2000), on forest lands that the Secretary concerned 
        determines poses a substantial present or potential hazard to 
        forest ecosystems, wildlife, human, community, or firefighter 
        safety in the case of a wildfire, particularly a wildfire in a 
        drought year.
            (4) Secretary concerned.--The term ``Secretary concerned'' 
        means--
                    (A) the Secretary of Agriculture or the designee of 
                the Secretary of Agriculture with respect to the 
                National Forest System lands and private lands.
                    (B) the Secretary of the Interior or the designee 
                of the Secretary of the Interior with respect to 
                Federal lands under the jurisdiction of the Secretary 
                of the Interior and Indian lands.
    (g) Authorization of Appropriations.--There is authorized to be 
appropriated $50,000,000 for each fiscal year to carry out this 
section.

SEC. 912. BIOENERGY PROGRAM.

    Notwithstanding any limitations in the Commodity Credit Corporation 
Charter Act (15 U.S.C. 714 et seq.) or part 1424 of title 7, Code of 
Federal Regulations, the Commodity Credit Corporation shall designate 
animal fats, agricultural byproducts, and oils as eligible agricultural 
commodities for use in the Bioenergy Program to promote industrial 
consumption of agricultural commodities for the production of ethanol 
and biodiesel fuels.

SEC. 913. AVAILABILITY OF SECTION 32 FUNDS.

    The 2d undesignated paragraph of section 32 of the Act of August 
24, 1935 (Public Law 320; 49 Stat. 774; 7 U.S.C. 612c), is amended by 
striking ``$300,000,000'' and inserting ``$500,000,000''.

SEC. 914. SENIORS FARMERS' MARKET NUTRITION PROGRAM.

    For each of the fiscal years 2002 through 2011, the Secretary of 
Agriculture shall use $15,000,000 of the funds available to the 
Commodity Credit Corporation to carry out and expand a seniors farmers' 
market nutrition program. The purposes of the seniors farmers' market 
nutrition program are--
            (1) to provide resources in the form of fresh, nutritious, 
        unprepared, locally grown fruits, vegetables, and herbs from 
        farmers' markets, roadside stands and community supported 
        agriculture programs to low-income seniors;
            (2) to increase the domestic consumption of agricultural 
        commodities by expanding or aiding in the expansion of domestic 
        farmers' markets, roadside stands, and community supported 
        agriculture programs; and
            (3) to develop or aid in the development of new and 
        additional farmers' markets, roadside stands, and community 
        supported agriculture programs.

SEC. 915. FEDERAL MARKETING ORDER FOR CANE BERRIES.

    The Secretary of Agriculture shall issue a Federal marketing order 
for cane berries grown in the United States.
                                 <all>