[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4312 Introduced in House (IH)]







107th CONGRESS
  2d Session
                                H. R. 4312

 To provide emergency agricultural assistance to producers of the 2002 
               crop of certain agricultural commodities.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             April 16, 2002

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

_______________________________________________________________________

                                 A BILL


 
 To provide emergency agricultural assistance to producers of the 2002 
               crop of certain agricultural commodities.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Emergency 
Agricultural Assistance Act of 2002''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

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

Sec. 101. Market loss assistance.
Sec. 102. Oilseeds.
Sec. 103. Peanuts.
Sec. 104. Honey.
Sec. 105. Wool and mohair.
Sec. 106. Cottonseed.
Sec. 107. Specialty crops.
Sec. 108. Loan deficiency payments.
Sec. 109. Payments in lieu of loan deficiency payments for grazed 
                            acreage.
Sec. 110. Milk.
Sec. 111. Pulse crops.
Sec. 112. Tobacco.
Sec. 113. Livestock feed assistance program.
Sec. 114. Increase in payment limitations regarding loan deficiency 
                            payments and marketing loan gains.
                        TITLE II--ADMINISTRATION

Sec. 201. Obligation period.
Sec. 202. Commodity Credit Corporation.
Sec. 203. Regulations.

                    TITLE I--MARKET LOSS ASSISTANCE

SEC. 101. MARKET LOSS ASSISTANCE.

    (a) In General.--The Secretary of Agriculture (referred to in this 
Act as the ``Secretary'') shall, to the maximum extent practicable, use 
$5,603,000,000 of funds of the Commodity Credit Corporation to make a 
market loss assistance payment to owners and producers on a farm that 
are eligible for a final payment for fiscal year 2002 under a 
production flexibility contract for the farm under the Agricultural 
Market Transition Act (7 U.S.C. 7201 et seq.).
    (b) Amount.--The amount of assistance made available to owners and 
producers on a farm under this section shall be proportionate to the 
amount of the total contract payments received by the owners and 
producers for fiscal year 2002 under a production flexibility contract 
for the farm under the Agricultural Market Transition Act.

SEC. 102. OILSEEDS.

    (a) In General.--The Secretary shall use $466,000,000 of funds of 
the Commodity Credit Corporation to make payments to producers that 
planted a 2002 crop of oilseeds (as defined in section 102 of the 
Agricultural Market Transition Act (7 U.S.C. 7202)).
    (b) Computation.--A payment to producers on a farm under this 
section for an oilseed shall be equal to the product obtained by 
multiplying--
            (1) a payment rate determined by the Secretary;
            (2) the acreage determined under subsection (c); and
            (3) the yield determined under subsection (d).
    (c) Acreage.--
            (1) In general.--Except as provided in paragraph (2), the 
        acreage of the producers on the farm for an oilseed under 
        subsection (b)(2) shall be equal to the number of acres planted 
        to the oilseed by the producers on the farm during the 1999, 
        2000, or 2001 crop year, whichever is greatest, as determined 
        by the Secretary.
            (2) New producers.--In the case of producers on a farm that 
        planted acreage to a type of oilseed during the 2002 crop year 
        but not the 1999, 2000, or 2001 crop year, the acreage of the 
        producers for the type of oilseed under subsection (b)(2) shall 
        be equal to the number of acres planted to the type of oilseed 
        by the producers on the farm during the 2002 crop year, as 
        determined by the Secretary.
    (d) Yield.--
            (1) Soybeans.--Except as provided in paragraph (3), in the 
        case of soybeans, the yield of the producers on a farm under 
        subsection (b)(3) shall be equal to the greater of--
                    (A) the average county yield per harvested acre for 
                each of the 1997 through 2001 crop years, excluding the 
                crop year with the greatest yield per harvested acre 
                and the crop year with the lowest yield per harvested 
                acre; or
                    (B) the actual yield of the producers on the farm 
                for the 1999, 2000, or 2001 crop year, as determined by 
                the Secretary.
            (2) Other oilseeds.--Except as provided in paragraph (3), 
        in the case of oilseeds other than soybeans, the yield of the 
        producers on a farm under subsection (b)(3) shall be equal to 
        the greater of--
                    (A) the average national yield per harvested acre 
                for each of the 1997 through 2001 crop years, excluding 
                the crop year with the greatest yield per harvested 
                acre and the crop year with the lowest yield per 
                harvested acre; or
                    (B) the actual yield of the producers on the farm 
                for the 1999, 2000, or 2001 crop year, as determined by 
                the Secretary.
            (3) New producers.--In the case of producers on a farm that 
        planted acreage to a type of an oilseed during the 2002 crop 
        year but not the 1999, 2000, or 2001 crop year, the yield of 
        the producers on a farm under subsection (b)(3) shall be equal 
        to the greater of--
                    (A) the average county yield per harvested acre for 
                each of the 1997 through 2001 crop years, excluding the 
                crop year with the greatest yield per harvested acre 
                and the crop year with the lowest yield per harvested 
                acre; or
                    (B) the actual yield of the producers on the farm 
                for the 2002 crop.
            (4) Data source.--To the maximum extent available, the 
        Secretary shall use data provided by  the National Agricultural 
Statistics Service to carry out this subsection.

SEC. 103. PEANUTS.

    (a) In General.--The Secretary shall use not more than $55,000,000 
of funds of the Commodity Credit Corporation to provide payments to 
producers of quota peanuts or additional peanuts to partially 
compensate the producers for continuing low commodity prices, and 
increasing costs of production, for the 2002 crop year.
    (b) Amount.--The amount of a payment made to producers on a farm of 
quota peanuts or additional peanuts under subsection (a) shall be equal 
to the product obtained by multiplying--
            (1) the quantity of quota peanuts or additional peanuts 
        produced or considered produced on the farm during the 2002 
        crop year; and
            (2) a payment rate equal to--
                    (A) in the case of quota peanuts, $30.50 per ton; 
                and
                    (B) in the case of additional peanuts, $16.00 per 
                ton.
    (c) Losses.--The Secretary shall use such sums of the Commodity 
Credit Corporation as are necessary to offset losses for the 2002 crop 
of peanuts described in section 155(d) of the Agricultural Market 
Transition Act (7 U.S.C. 7271(d)).

SEC. 104. HONEY.

    (a) In General.--The Secretary shall use $93,000,000 of funds of 
the Commodity Credit Corporation to make available recourse loans to 
producers of the 2002 crop of honey on fair and reasonable terms and 
conditions, as determined by the Secretary.
    (b) Loan Rate.--The loan rate for a loan under subsection (a) shall 
be equal to 85 percent of the average price of honey during the 5-crop 
year period preceding the 2002 crop year, excluding the crop year in 
which the average price of honey was the highest and the crop year in 
which the average price of honey was the lowest in the period.
    (c) Term of Loan.--A loan under this section shall have a term of 9 
months beginning on the first day of the first month after the month in 
which the loan is made.

SEC. 105. WOOL AND MOHAIR.

    (a) In General.--The Secretary shall use $10,000,000 of funds of 
the Commodity Credit Corporation to provide a supplemental payment 
under section 814 of the Agriculture, Rural Development, Food and Drug 
Administration, and Related Agencies Appropriations Act, 2001 (114 
Stat. 1549, 1549A-55), to producers of wool, and producers of mohair, 
for the 2002 marketing year that received a payment under that section.
    (b) Payment Rate.--The Secretary shall adjust the payment rate 
specified in that section to reflect the amount made available for 
payments under this section.

SEC. 106. COTTONSEED.

    The Secretary shall use $100,000,000 of funds of the Commodity 
Credit Corporation to provide assistance to producers and first-
handlers of the 2002 crop of cottonseed.

SEC. 107. SPECIALTY CROPS.

    (a) Definition of Specialty Crop.--In this section, the term 
``specialty crop'' means any agricultural commodity, other than wheat, 
feed grains, oilseeds, cotton, rice, peanuts, or tobacco.
    (b) Grants.--The Secretary shall use $150,000,000 of funds of the 
Commodity Credit Corporation to make a grant to each State in an amount 
that represents the proportion that--
            (1) the value of specialty crop production in the State; 
        bears to
            (2) the value of specialty crop production in all States.
    (c) Use.--As a condition of the receipt of a grant under this 
section, a State shall agree to use the grant to support specialty 
crops.
    (d) Purchases for School Nutrition Programs.--The Secretary shall 
use not less than $55,000,000 of the funds made available under 
subsection (a) to purchase agricultural commodities of the type 
distributed under section 6(a) of the Richard B. Russell National 
School Lunch Act (42 U.S.C. 1755(a)) for distribution to schools and 
service institutions in accordance with section 6(a) of that Act.

SEC. 108. LOAN DEFICIENCY PAYMENTS.

    Section 135 of the Federal Agriculture Improvement and Reform Act 
of 1996 (7 U.S.C. 7235) is amended--
            (1) in subsection (a)(2), by striking ``the 2000 crop 
        year'' and inserting ``each of the 2000 through 2002 crop 
        years''; and
            (2) by striking subsections (e) and (f) and inserting the 
        following:
    ``(e) Beneficial Interest.--
            ``(1) In general.--A producer shall be eligible for a 
        payment for a loan commodity under this section only if the 
        producer has a beneficial interest in the loan commodity, as 
        determined by the Secretary.
            ``(2) Application.--The Secretary shall make a payment 
        under this section to the producers on a farm with respect to a 
        quantity of a loan commodity as of the earlier of--
                    ``(A) the date on which the producers on the farm 
                marketed or otherwise lost beneficial interest in the 
                loan commodity, as determined by the Secretary; or
                    ``(B) the date the producers on the farm request 
                the payment.''.

SEC. 109. PAYMENTS IN LIEU OF LOAN DEFICIENCY PAYMENTS FOR GRAZED 
              ACREAGE.

    (a) In General.--Subtitle C of title I of the Federal Agriculture 
Improvement and Reform Act of 1996 (7 U.S.C. 7231 et seq.) is amended 
by adding at the end the following:

``SEC. 138. PAYMENTS IN LIEU OF LOAN DEFICIENCY PAYMENTS FOR GRAZED 
              ACREAGE.

    ``(a) In General.--For the 2002 crop of wheat, grain sorghum, 
barley, and oats, in the case of the producers on a farm that would be 
eligible for a loan deficiency payment under section 135 for wheat, 
grain sorghum, barley, or oats, but that elects to use acreage planted 
to the wheat, grain sorghum, barley, or oats for the grazing of 
livestock, the Secretary shall make a payment to the producers on the 
farm under this section if the producers on the farm enter into an 
agreement with the Secretary to forgo any other harvesting of the 
wheat, grain sorghum, barley, or oats on the acreage.
    ``(b) Payment Amount.--The amount of a payment made to the 
producers on a farm under this section shall be equal to the amount 
obtained by multiplying--
            ``(1) the loan deficiency payment rate determined under 
        section 135(c) in effect, as of the date of the agreement, for 
        the county in which the farm is located; by
            ``(2) the payment quantity obtained by multiplying--
                    ``(A) the quantity of the grazed acreage on the 
                farm with respect to which the producers on the farm 
                elect to forgo harvesting of wheat, grain sorghum, 
                barley, or oats; and
                    ``(B) the payment yield for that contract 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 135.
            ``(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, 
        grain sorghum, barley, and oats established by the Secretary 
        for marketing assistance loans authorized by this subtitle.
    ``(d) Prohibition on Crop Insurance or Noninsured Crop 
Assistance.--The producers on a farm 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 with respect to a crop 
of wheat, grain sorghum, barley, or oats planted on acreage that the 
producers on the farm elect, in the agreement required by subsection 
(a), to use for the grazing of livestock in lieu of any other 
harvesting of the crop.''.

SEC. 110. MILK.

    Section 141 of the Agricultural Market Transition Act (7 U.S.C. 
7251) is amended by striking ``May 31, 2002'' each place it appears and 
inserting ``December 31, 2002''.

SEC. 111. PULSE CROPS.

    (a) In General.--The Secretary shall use $20,000,000 of funds of 
the Commodity Credit Corporation to provide assistance in the form of a 
market loss assistance payment to owners and producers on a farm that 
grow a 2002 crop of dry peas, lentils, or chickpeas (collectively 
referred to in this section as a ``pulse crop'').
    (b) Computation.--A payment to owners and producers on a farm under 
this section for a pulse crop shall be equal to the product obtained by 
multiplying--
            (1) a payment rate determined by the Secretary; by
            (2) the acreage of the producers on the farm for the pulse 
        crop determined under subsection (c).
    (c) Acreage.--
            (1) In general.--The acreage of the producers on the farm 
        for a pulse crop under subsection (b)(2) shall be equal to the 
        number of acres planted to the pulse crop by the owners and 
        producers on the farm during the 1999, 2000, or 2001 crop year, 
        whichever is greatest.
            (2) Basis.--For the purpose of paragraph (1), the number of 
        acres planted to a pulse crop by the owners and producers on 
        the farm for a crop year shall be based on (as determined by 
        the Secretary)--
                    (A) the number of acres planted to the pulse crop 
                for the crop year by the owners and producers on the 
                farm, including any acreage that is included in reports 
                that are filed late; or
                    (B) the number of acres planted to the pulse crop 
                for the crop year for the purpose of the Federal crop 
                insurance program established under the Federal Crop 
                Insurance Act (7 U.S.C. 1501 et seq.).

SEC. 112. TOBACCO.

    (a) Payments.--The Secretary shall use $100,000,000 of funds of the 
Commodity Credit Corporation to provide supplemental payments to 
owners, controllers, and growers of tobacco for which a basic quota or 
allotment is established for the 2002 crop year under part I of 
subtitle B of title III of the Agricultural Adjustment Act of 1938 (7 
U.S.C. 1311 et seq.), as determined by the Secretary.
    (b) Loan Forfeitures.--Notwithstanding sections 106 through 106B of 
the Agricultural Act of 1949 (7 U.S.C. 1445 through 1445-2)--
            (1) a producer-owned cooperative marketing association may 
        fully settle (without further cost to the Association) a loan 
        made for each of the 2000 and 2001 crops of types 21, 22, 23, 
        35, 36, and 37 of an agricultural commodity under sections 106 
        through 106B of that Act by forfeiting to the Commodity Credit 
        Corporation the agricultural commodity covered by the loan 
        regardless of the condition of the commodity;
            (2) any losses to the Commodity Credit Corporation as a 
        result of paragraph (1)--
                    (A) shall not be charged to the Account (as defined 
                in section 106B(a) of that Act); and
                    (B) shall not affect the amount of any assessment 
                imposed against the commodity under sections 106 
                through 106B of that Act; and
            (3) the commodity forfeited pursuant to this subsection--
                    (A) shall not be counted for the purposes of any 
                determination for any year pursuant to section 319 of 
                the Agricultural Adjustment Act of 1938 (7 U.S.C. 
                1314e); and
                    (B) may be disposed of in a manner determined by 
                the Secretary of Agriculture, except that the commodity 
                may not be sold for use in the United States for human 
                consumption.

SEC. 113. LIVESTOCK FEED ASSISTANCE PROGRAM.

    The Secretary shall use $500,000,000 of funds of the Commodity 
Credit Corporation to provide livestock feed assistance to livestock 
producers affected by disasters during calendar year 2001 or 2002.

SEC. 114. INCREASE IN PAYMENT LIMITATIONS REGARDING LOAN DEFICIENCY 
              PAYMENTS AND MARKETING LOAN GAINS.

    Notwithstanding section 1001(2) of the Food Security Act of 1985 (7 
U.S.C. 1308(1)), the total amount of the payments specified in section 
1001(3) of that Act that a person shall be entitled to receive for one 
or more contract commodities and oilseeds under the Agricultural Market 
Transition Act (7 U.S.C. 7201 et seq.) during the 2002 crop year may 
not exceed $150,000.

                        TITLE II--ADMINISTRATION

SEC. 201. OBLIGATION PERIOD.

    The Secretary and the Commodity Credit Corporation shall obligate 
funds only during fiscal year 2002 to carry out this Act and the 
amendments made by this Act (other than sections 106, 107, and 110).

SEC. 202. COMMODITY CREDIT CORPORATION.

    Except as otherwise provided in this Act, the Secretary shall use 
the funds, facilities, and authorities of the Commodity Credit 
Corporation to carry out this Act.

SEC. 203. REGULATIONS.

    (a) In General.--The Secretary may promulgate such regulations as 
are necessary to implement this Act and the amendments made by this 
Act.
    (b) Procedure.--The promulgation of the regulations and 
administration of the amendments made by this Act shall be made without 
regard to--
            (1) the notice and comment provisions of section 553 of 
        title 5, United States Code;
            (2) the Statement of Policy of the Secretary of Agriculture 
        effective July 24, 1971 (36 Fed. Reg. 13804), relating to 
        notices of proposed rulemaking and public participation in 
        rulemaking; and
            (3) chapter 35 of title 44, United States Code (commonly 
        known as the ``Paperwork Reduction Act'').
    (c) Congressional Review of Agency Rulemaking.--In carrying out 
this section, the Secretary shall use the authority provided under 
section 808 of title 5, United States Code.
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