[Congressional Bills 107th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4812 Introduced in House (IH)]







107th CONGRESS
  2d Session
                                H. R. 4812

To provide additional protections for farmers and ranchers that may be 
    harmed economically by genetically engineered seeds, plants, or 
animals, to ensure fairness for farmers and ranchers in their dealings 
with biotech companies that sell genetically engineered seeds, plants, 
                  or animals, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              May 22, 2002

Mr. Kucinich (for himself, Mr. Sanders, Ms. McKinney, Mr. Pallone, Mrs. 
Mink of Hawaii, Ms. Carson of Indiana, Mr. DeFazio, Mr. Gutierrez, Mr. 
Nadler, Mr. Olver, Mr. Udall of New Mexico, Ms. Velazquez, Ms. Waters, 
  Ms. Woolsey, Mr. Jackson of Illinois, Ms. Watson of California, Mr. 
Rodriguez, Ms. Berkley, Mr. Owens, Ms. Solis, Mr. Hinchey, and Ms. Lee) 
 introduced the following bill; which was referred to the Committee on 
                              Agriculture

_______________________________________________________________________

                                 A BILL


 
To provide additional protections for farmers and ranchers that may be 
    harmed economically by genetically engineered seeds, plants, or 
animals, to ensure fairness for farmers and ranchers in their dealings 
with biotech companies that sell genetically engineered seeds, plants, 
                  or animals, and for other purposes.

    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; FINDINGS.

    (a) Short Title.--This Act may be cited as the ``Genetically 
Engineered Crop and Animal Farmer Protection Act of 2002''.
    (b) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; table of contents; findings.
Sec. 2. Definitions.
Sec. 3. Information requirements regarding sale of genetically 
                            engineered seeds, plants, and animals.
Sec. 4. Contract limitations regarding sale of genetically engineered 
                            seeds, plants, and animals.
Sec. 5. Prevention of noncompetitive practices involving technology 
                            fees.
Sec. 6. Measures to avoid cross pollination involving genetically 
                            engineered seeds or plants.
Sec. 7. Resistance of agricultural pests to certain naturally occurring 
                            pesticide; amendment to Federal 
                            Insecticide, Fungicide, and Rodenticide 
                            Act.
Sec. 8. Prohibition on labeling certain seeds as non-genetically 
                            engineered.
Sec. 9. Prohibition on certain non-fertile plant seeds.
Sec. 10. Prohibition on loan discrimination.
Sec. 11. Civil penalties for violation.
Sec. 12. Citizen suits.
    (c) Findings.--Congress finds the following:
            (1) Agribusiness and biotechnology companies have rapidly 
        consolidated market power at the same time as the average 
        farmer's profits and viability have significantly declined.
            (2) Policies promoted by biotech corporations, such as 
        patenting of seeds, depriving farmers the right to save seed, 
        unreasonable seed contracts, and intrusion into everyday farm 
        operations, have systematically acted to remove basic farmer 
        rights enjoyed since the beginning of agriculture and essential 
        for agricultural sustainability and the survival of family 
        farms.
            (3) The introduction of genetically engineered crops has 
        also created obstacles for farmers, including the loss of 
        markets and increased liability concerns.
            (4) To mitigate the abuses upon farmers, a clear set of 
        farmer rights must be established.

SEC. 2. DEFINITIONS.

    In this Act:
            (1) Genetically engineered animal.--The term ``genetically 
        engineered animal'' means an animal that contains a genetically 
        engineered material or was produced with a genetically 
        engineered material. An animal shall be considered to contain a 
        genetically engineered material or to have been produced with a 
        genetically engineered material if the animal has been injected 
        or otherwise treated with a genetically engineered material or 
        is the offspring of an animal that has been so injected or 
        treated.
            (2) Genetically engineered plant.--The term ``genetically 
        engineered plant'' means a plant that contains a genetically 
        engineered material or was produced from a genetically 
        engineered seed. A plant shall be considered to contain a 
        genetically engineered material if the plant has been injected 
        or otherwise treated with a genetically engineered material 
        (except that the use of manure as a fertilizer for the plant 
        may not be construed to mean that the plant is produced with a 
        genetically engineered material).
            (3) Genetically engineered seed.--The term ``genetically 
        engineered seed'' means a seed that contains a genetically 
        engineered material or was produced with a genetically 
        engineered material. A seed shall be considered to contain a 
        genetically engineered material or to have been produced with a 
        genetically engineered material if the seed (or the plant from 
        which the seed is derived) has been injected or otherwise 
        treated with a genetically engineered material (except that the 
        use of manure as a fertilizer for the plant may not be 
        construed to mean that any resulting seeds are produced with a 
        genetically engineered material).
            (4) Genetically engineered material.--The term 
        ``genetically engineered material'' means material that has 
        been altered at the molecular or cellular level by means that 
        are not possible under natural conditions or processes 
        (including recombinant DNA and RNA techniques, cell fusion, 
        microencapsulation, macroencapsulation, gene deletion and 
        doubling, introducing a foreign gene, and changing the 
        positions of genes), other than a means consisting exclusively 
        of breeding, conjugation, fermentation, hybridization, in vitro 
        fertilization, tissue culture, or mutagenesis.
            (5) Biotech company.--The term ``biotech company'' means a 
        person engaged in the business of creating genetically 
        engineered material or obtaining the patent rights to that 
        material for the purposes of commercial exploitation of that 
        material. The term does not include the employees of such 
        person.
            (6) Secretary.--The term ``Secretary'' means the Secretary 
        of Agriculture.

SEC. 3. INFORMATION REQUIREMENTS REGARDING SALE OF GENETICALLY 
              ENGINEERED SEEDS, PLANTS, AND ANIMALS.

    (a) Full Disclosure of Risks of Use.--A biotech company that sells 
any genetically engineered animal, genetically engineered plant, or 
genetically engineered seed that the biotech company knows, or has 
reason to believe, will be used by the purchaser in the United States 
to produce an agricultural commodity shall provide written notice to 
the purchaser that fully and clearly discloses the possible legal and 
environmental risks that the use of the genetically engineered animal, 
genetically engineered plant, or genetically engineered seed may pose 
to the purchaser.
    (b) Effect of Disclosure.--The provision of written notice under 
subsection (a) regarding the risks of using a genetically engineered 
animal, genetically engineered plant, or genetically engineered seed 
does not relieve the biotech company from any liability that may result 
from the release of genetically engineered material into the 
environment. The receipt of the written notice by the purchaser shall 
not be construed to create any liability on the purchaser.
    (c) Rulemaking.--The Secretary shall issue such rules as may be 
necessary to implement and enforce this section.

SEC. 4. CONTRACT LIMITATIONS REGARDING SALE OF GENETICALLY ENGINEERED 
              SEEDS, PLANTS, AND ANIMALS.

    (a) Certain Contract Terms and Limitations Unenforceable.--If a 
contract for the sale of a genetically engineered animal, genetically 
engineered plant, or genetically engineered seed to a purchaser for use 
in agricultural production contains a provision described in subsection 
(b), the provision is hereby declared to be against public policy and 
therefore void and unenforceable as a matter of law.
    (b) Prohibited Terms and Limitations.--The provisions referred to 
in subsection (a) are any of the following:
            (1) In the case of a sale of genetically engineered plants 
        or genetically engineered seeds, a provision that prohibits the 
        purchaser from retaining a portion of the harvested crop for 
        future crop planting by the purchaser or that charges a fee to 
        retain a portion of the harvested crop for future crop 
        planting.
            (2) A provision that limits the ability of the purchaser to 
        recover damages from the biotech company for a genetically 
        engineered animal, genetically engineered plant, or genetically 
        engineered seed that does not perform as advertised.
            (3) A provision that shifts any liability from the biotech 
        company to the purchaser.
            (4) A provision that requires the purchaser to grant agents 
        of the seller access to the purchaser's property.
            (5) A provision that mandates arbitration of any disputes 
        between the biotech company and the purchaser.
            (6) A provision that mandates any court of jurisdiction for 
        settlement of disputes.
            (7) A provision that mandates that the purchaser pay 
        liquidated damages of more than a technology fee or similar fee 
        itself, plus interest.
            (8) A provision that imposes any unfair condition upon the 
        purchaser, as determined by the Secretary or a court.

SEC. 5. PREVENTION OF NONCOMPETITIVE PRACTICES INVOLVING TECHNOLOGY 
              FEES.

    (a) Disclosure of Technology Fees.--Any biotech company that sells 
a genetically engineered animal, genetically engineered plant, or 
genetically engineered seed for use in agricultural production in the 
United States shall notify the Secretary, at such times and in such 
manner as the Secretary shall require, of--
            (1) the nature and amount of any technology, nonproduction, 
        royalty, or similar fees collected by the biotech company in 
        each country where that genetically engineered animal, plant, 
        or seed is marketed, and
            (2) in the case of genetically engineered plants or 
        genetically engineered seeds, the prices charged by the biotech 
        company for herbicides associated with that genetically 
        engineered seed or plant.
    (b) Prohibition on Noncompetitive Practices.--A biotech company 
that sells a genetically engineered animal, genetically engineered 
plant, or genetically engineered seed for use in agricultural 
production in the United States may not charge higher technology, 
nonproduction, royalty, or similar fees for sales of the genetically 
engineered animal, plant, or seed in the United States than in other 
countries in which the genetically engineered animal, plant, or seed is 
sold.
    (c) Publication of Data.--The Secretary shall publish all data 
received under subsection (a)(1) every six months in an electronic 
format and in the Federal Register.

SEC. 6. MEASURES TO AVOID CROSS POLLINATION INVOLVING GENETICALLY 
              ENGINEERED SEEDS OR PLANTS.

    (a) Designation of Predominately Outcrossed Pollinators.--The 
Secretary shall determine which plants are predominately outcrossed 
pollinators and make such information available to persons who sell or 
purchase such plants or the seeds of such plants for use in 
agricultural production.
    (b) Minimizing the Negative Effects of Predominately Outcrossed 
Pollinators.--The Secretary shall issue rules to require effective 
mitigation strategies for any crop that is a predominately outcrossed 
pollinator.
    (c) Providing Instructions to Avoid Cross Pollination.--The seller 
of any genetically engineered plant or genetically engineered seed that 
has been identified as a predominately outcrossed pollinator shall 
provide written instructions to each purchaser of the plants or seeds 
regarding how to plant and cultivate the plants or seeds so as to avoid 
cross contamination.

SEC. 7. RESISTANCE OF AGRICULTURAL PESTS TO CERTAIN NATURALLY OCCURRING 
              PESTICIDE; AMENDMENT TO FEDERAL INSECTICIDE, FUNGICIDE, 
              AND RODENTICIDE ACT.

    Section 3(c) of the Federal Insecticide, Fungicide, and Rodenticide 
Act (7 U.S.C. 136a(c)) is amended by adding at the end the following 
subsection:
            ``(11) Bt resistance regarding plant-incorporated 
        pesticides.--
                    ``(A) Not later than six months after the date of 
                enactment of this paragraph, the Administrator, in 
                consultation with the advisory panel established under 
                subparagraph (D), shall establish the best achievable 
                resistance plan for plant-incorporated pesticides 
                engineered to include toxins derived from the bacterium 
                Bacillus thuringiensis (which bacterium is referred to 
                in this paragraph as `Bt').
                    ``(B) Once the best achievable resistance plan is 
                established under subparagraph (A), the Administrator 
                shall revoke all Bt registrations that are not in 
                compliance with the plan and may not issue new 
                registrations unless the applicant has achieved the 
                plan.
                    ``(C) If pursuant to subparagraph (A) the 
                Administrator determines that plant-incorporated Bt 
                pesticides may have an unreasonable adverse effect on 
                the environment by facilitating the development of Bt-
                toxin resistance in pests, or that the review has been 
                inconclusive on whether the pesticide facilitates such 
                resistance, the Administrator shall take such actions 
                under this Act as may be necessary to significantly 
                reduce the extent to which such pesticides are used.
                    ``(D) Before establishing the best achievable 
                resistance plan under subparagraph (A), the 
                Administrator shall, in accordance with procedures 
                under section 25(d), establish an advisory panel to 
                provide advice to the Administrator on scientific 
                matters involved in the review.
                    ``(E) For purposes of this paragraph, the term 
                `plant-incorporated Bt pesticide' means a plant-
                incorporated pesticide described in subparagraph 
                (A).''.

SEC. 8. PROHIBITION ON LABELING CERTAIN SEEDS AS NON-GENETICALLY 
              ENGINEERED.

    A seed company or other person may not sell, or offer for sale, 
seeds for planting that are labeled as non-genetically engineered or 
otherwise represented as not containing genetically engineered material 
if the Secretary finds that any sample of the seeds contains 
genetically engineered material.

SEC. 9. PROHIBITION ON CERTAIN NON-FERTILE PLANT SEEDS.

    Notwithstanding any other provision of law, effective 45 days after 
the date of the enactment of this Act, a person may not manufacture, 
distribute, sell, plant, or otherwise use any seed that is genetically 
engineered to produce a plant whose seeds are not fertile or are 
rendered infertile by the application of an external chemical inducer.

SEC. 10. PROHIBITION ON LOAN DISCRIMINATION.

    A financial institution may not discriminate against an 
agricultural producer that refuses to use genetically engineered plants 
or animals or add as condition to a loan the requirement that the 
producer use genetically engineered plants or animals.

SEC. 11. CIVIL PENALTIES FOR VIOLATION.

    (a) Authority to Access Penalties.--The Secretary may assess, by 
written order, a civil penalty against a biotech company or other 
person that violates a provision of this Act, including a regulation 
promulgated or order issued under this Act. Each violation, and each 
day during which a violation continues, shall be a separate offense.
    (b) Amount and Factors in Accessing Penalties.--The maximum amount 
that may be accessed under this section for a violation may not exceed 
$100,000. In determining the amount of the civil penalty, the Secretary 
shall take into account--
            (1) the gravity of the violation;
            (2) the degree of culpability;
            (3) the size and type of the business; and
            (4) any history of prior offenses under this Act or other 
        laws administered by the Secretary.
    (c) Notice and Opportunity for Hearing.--The Secretary shall not 
assess a civil penalty under this section against a biotech company or 
other person unless the company is given notice and opportunity for a 
hearing on the record before the Secretary in accordance with sections 
554 and 556 of title 5, United States Code.
    (d) Judicial Review.--(1) An order assessing a civil penalty 
against a person under subsection (a) may be reviewed only in 
accordance with this subsection. The order shall be final and 
conclusive unless the person--
            (A) not later than 30 days after the effective date of the 
        order, files a petition for judicial review in the United 
        States court of appeals for the circuit in which the person 
        resides or has its principal place of business or in the United 
        States Court of Appeals for the District of Columbia; and
            (B) simultaneously sends a copy of the petition by 
        certified mail to the Secretary.
    (2) The Secretary shall promptly file in the court a certified copy 
of the record on which the violation was found and the civil penalty 
assessed.
    (e) Collection Action for Failure To Pay Assessment.--If a person 
fails to pay a civil penalty after the order assessing the civil 
penalty has become final and unappealable, the Secretary shall refer 
the matter to the Attorney General, who shall bring a civil action to 
recover the amount of the civil penalty in United States district 
court. In the collection action, the validity and appropriateness of 
the order of the Secretary imposing the civil penalty shall not be 
subject to review.

SEC. 12. CITIZEN SUITS.

    (a) In General.--Except as provided in subsection (c), any person 
may commence a civil action in an appropriate district court of the 
United States against--
            (1) a person who has introduced a genetically engineered 
        organism into the environment without approval under this Act;
            (2) the Secretary, where there is alleged a failure of the 
        Secretary to perform any act or duty under this Act that is the 
        responsibility of the Secretary and is not discretionary; or
            (3) the head of another Federal agency, if there is alleged 
        a failure of the agency head to perform any act or duty under 
        this Act that is the responsibility of the agency head and is 
        not discretionary.
    (b) Relief.--In a civil action under this section, the district 
court involved may, as the case may be--
            (1) enforce the compliance of a person with the applicable 
        provisions referred to in the complaint; or
            (2) order the Secretary or the agency head to perform the 
        act or duty referred to in the complaint.
    (c) Limitations.--
            (1) Notice to secretary.--A civil action may not be 
        commenced under subsection (a)(1) prior to 60 days after the 
        plaintiff has provided to the Secretary notice of the violation 
        involved.
            (2) Relation to actions of secretary.--A civil action may 
        not be commenced under subsection (a)(1) against the Secretary 
        if the Secretary has commenced and is diligently prosecuting a 
        civil or criminal action in a district court of the United 
        States to enforce compliance with the applicable provisions 
        referred to in the complaint.
    (d) Right of Secretary to Intervene.--In any civil action under 
subsection (a)(1), the Secretary , if not a party, may intervene as a 
matter of right.
    (e) Award of Costs; Filing of Bond.--In a civil action under 
subsection (a), the district court involved may award costs of 
litigation (including reasonable attorney and expert witness fees) to 
any party whenever the court determines such an award is appropriate. 
The court may, if a temporary restraining order or preliminary 
injunction is sought, require the filing of a bond or equivalent 
security in accordance with the Federal Rules of Civil Procedure.
    (f) Savings Provision.--This section does not restrict any right 
that a person (or class of persons) may have under any statute or 
common law to seek enforcement of the provisions of this Act, or to 
seek any other relief (including relief against the Secretary or the 
head of another Federal agency).
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