[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[S. 3855 Introduced in Senate (IS)]








109th CONGRESS
  2d Session
                                S. 3855

 To provide emergency agricultural disaster assistance, and for other 
                               purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                           September 6, 2006

   Mr. Conrad (for himself, Mr. Coleman, Mr. Nelson of Nebraska, Mr. 
Talent, Mr. Dorgan, Mr. Baucus, Mr. Salazar, Mr. Johnson, Ms. Cantwell, 
  Mr. Durbin, Mr. Obama, Mr. Dayton, Mr. Thune, Mrs. Lincoln, and Mr. 
Burns) introduced the following bill; which was read twice and referred 
        to the Committee on Agriculture, Nutrition, and Forestry

_______________________________________________________________________

                                 A BILL


 
 To provide emergency agricultural disaster assistance, 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.

    (a) Short Title.--This Act may be cited as the ``Emergency Farm 
Relief Act of 2006''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Definitions.
                TITLE I--AGRICULTURAL PRODUCTION LOSSES

Sec. 101. Crop disaster assistance.
Sec. 102. Livestock assistance.
Sec. 103. Flooded crop and grazing land.
Sec. 104. Sugar beet disaster assistance.
Sec. 105. Bovine tuberculosis herd indemnification.
Sec. 106. Reduction in payments.
  TITLE II--SUPPLEMENTAL NUTRITION AND AGRICULTURAL ECONOMIC DISASTER 
                               ASSISTANCE

Sec. 121. Replenishment of Section 32.
Sec. 122. Supplemental economic loss payments.
Sec. 123. Small business economic loss grant program.
                        TITLE III--CONSERVATION

Sec. 131. Emergency conservation program.
Sec. 132. Emergency watershed protection program.
                     TITLE IV--FARM SERVICE AGENCY

Sec. 141. Funding for additional personnel.
                         TITLE V--MISCELLANEOUS

Sec. 151. Funding.
Sec. 152. Regulations.
                    TITLE VI--EMERGENCY DESIGNATION

Sec. 161. Emergency designation.

SEC. 2. DEFINITIONS.

    In this Act:
            (1) Additional coverage.--The term ``additional coverage'' 
        has the meaning given the term in section 502(b)(1) of the 
        Federal Crop Insurance Act (7 U.S.C. 1502(b)(1)).
            (2) Disaster county.--The term ``disaster county'' means--
                    (A) a county included in the geographic area 
                covered by a natural disaster declaration; and
                    (B) each county contiguous to a county described in 
                subparagraph (A).
            (3) Hurricane-affected county.--The term ``hurricane-
        affected county'' means--
                    (A) a county included in the geographic area 
                covered by a natural disaster declaration related to 
                Hurricane Katrina, Hurricane Rita, Hurricane Wilma, or 
                a related condition; and
                    (B) each county contiguous to a county described in 
                subparagraph (A).
            (4) Insurable commodity.--The term ``insurable commodity'' 
        means an agricultural commodity (excluding livestock) for which 
        the producers on a farm are eligible to obtain a policy or plan 
        of insurance under the Federal Crop Insurance Act (7 U.S.C. 
        1501 et seq.).
            (5) Livestock.--The term ``livestock'' includes--
                    (A) cattle (including dairy cattle);
                    (B) bison;
                    (C) sheep;
                    (D) swine; and
                    (E) other livestock, as determined by the 
                Secretary.
            (6) Natural disaster declaration.--The term ``natural 
        disaster declaration'' means a natural disaster declared by the 
        Secretary during calendar year 2005 or 2006 under section 
        321(a) of the Consolidated Farm and Rural Development Act (7 
        U.S.C. 1961(a)).
            (7) Noninsurable commodity.--The term ``noninsurable 
        commodity'' means a crop for which the producers on a farm are 
        eligible to obtain assistance under section 196 of the Federal 
        Agriculture Improvement and Reform Act of 1996 (7 U.S.C. 7333).
            (8) Secretary.--The term ``Secretary'' means the Secretary 
        of Agriculture.

                TITLE I--AGRICULTURAL PRODUCTION LOSSES

SEC. 101. CROP DISASTER ASSISTANCE.

    (a) In General.--The Secretary shall use such sums as are necessary 
of funds of the Commodity Credit Corporation to make emergency 
financial assistance authorized under this section available to 
producers on a farm that have incurred qualifying losses described in 
subsection (c).
    (b) Administration.--
            (1) In general.--Except as provided in paragraph (2), the 
        Secretary shall make assistance available under this section in 
        the same manner as provided under section 815 of the 
        Agriculture, Rural Development, Food and Drug Administration 
        and Related Agencies Appropriations Act, 2001 (Public Law 106-
        387; 114 Stat. 1549A-55), including using the same loss 
        thresholds for quantity and economic losses as were used in 
        administering that section, except that the payment rate shall 
        be 50 percent of the established price, instead of 65 percent.
            (2) Noninsured producers.--For producers on a farm that 
        were eligible to acquire crop insurance for the applicable 
        production loss and failed to do so or failed to submit an 
        application for the noninsured assistance program for the loss, 
        the Secretary shall make assistance in accordance with 
        paragraph (1), except that the payment rate shall be 35 percent 
        of the established price, instead of 50 percent.
    (c) Qualifying Losses.--Assistance under this section shall be made 
available to producers on farms, other than producers of sugar beets, 
that incurred qualifying quantity or quality losses for the 2005 or 
2006 crop due to damaging weather or any related condition (including 
losses due to crop diseases, insects, and delayed harvest), as 
determined by the Secretary.
    (d) Quality Losses.--
            (1) In general.--In addition to any payment received under 
        subsection (b), the Secretary shall use such sums as are 
        necessary of funds of the Commodity Credit Corporation to make 
        payments to producers on a farm described in subsection (a) 
        that incurred a quality loss for the 2005 or 2006 crop, or 
        both, of a commodity in an amount equal to the product obtained 
        by multiplying--
                    (A) the payment quantity determined under paragraph 
                (2);
                    (B)(i) in the case of an insurable commodity, the 
                coverage level elected by the insured under the policy 
                or plan of insurance under the Federal Crop Insurance 
                Act (7 U.S.C. 1501 et seq.); or
                    (ii) in the case of a noninsurable commodity, the 
                applicable coverage level for the payment quantity 
                determined under paragraph (2); by
                    (C) 50 percent of the payment rate determined under 
                paragraph (3).
            (2) Payment quantity.--For the purpose of paragraph (1)(A), 
        the payment quantity for quality losses for a crop of a 
        commodity on a farm shall equal the lesser of--
                    (A) the actual production of the crop affected by a 
                quality loss of the commodity on the farm; or
                    (B)(i) in the case of an insurable commodity, the 
                actual production history for the commodity by the 
                producers on the farm under the Federal Crop Insurance 
                Act (7 U.S.C. 1501 et seq.); or
                    (ii) in the case of a noninsurable commodity, the 
                established yield for the crop for the producers on the 
                farm under section 196 of the Federal Agriculture 
                Improvement and Reform Act of 1996 (7 U.S.C. 7333).
            (3) Payment rate.--
                    (A) In general.--For the purpose of paragraph 
                (1)(B), the payment rate for quality losses for a crop 
                of a commodity on a farm shall be equal to the 
                difference between (as determined by the applicable 
                State committee of the Farm Service Agency)--
                            (i) the per unit market value that the 
                        units of the crop affected by the quality loss 
                        would have had if the crop had not suffered a 
                        quality loss; and
                            (ii) the per unit market value of the units 
                        of the crop affected by the quality loss.
                    (B) Factors.--In determining the payment rate for 
                quality losses for a crop of a commodity on a farm, the 
                applicable State committee of the Farm Service Agency 
                shall take into account--
                            (i) the average local market quality 
                        discounts that purchasers applied to the 
                        commodity during the first 2 months following 
                        the normal harvest period for the commodity;
                            (ii) the loan rate and repayment rate 
                        established for the commodity under the 
                        marketing loan program established for the 
                        commodity under subtitle B of title I of the 
                        Farm Security and Rural Investment Act of 2002 
                        (7 U.S.C. 7931 et seq.);
                            (iii) the market value of the commodity if 
                        sold into a secondary market; and
                            (iv) other factors determined appropriate 
                        by the committee.
            (4) Eligibility.--
                    (A) In general.--For producers on a farm to be 
                eligible to obtain a payment for a quality loss for a 
                crop under this subsection--
                            (i) the amount obtained by multiplying the 
                        per unit loss determined under paragraph (1) by 
                        the number of units affected by the quality 
                        loss shall be reduced by the amount of any 
                        indemnification received by the producers on 
                        the farm for quality loss adjustment for the 
                        commodity under a policy or plan of insurance 
                        under the Federal Crop Insurance Act (7 U.S.C. 
                        1501 et seq.); and
                            (ii) the remainder shall be at least 25 
                        percent of the value that all affected 
                        production of the crop would have had if the 
                        crop had not suffered a quality loss.
                    (B) Ineligibility.--If the amount of a quality loss 
                payment for a commodity for the producers on a farm 
                determined under this paragraph is equal to or less 
                than zero, the producers on the farm shall be 
                ineligible for assistance for the commodity under this 
                subsection.
            (5) Eligible production.--The Secretary shall carry out 
        this subsection in a fair and equitable manner for all eligible 
        production, including the production of fruits and vegetables, 
        other specialty crops, and field crops.
    (e) Timing.--
            (1) In general.--Subject to paragraph (2), the Secretary 
        shall make payments to producers on a farm for a crop under 
        this section not later than 60 days after the date the 
        producers on the farm submit to the Secretary a completed 
        application for the payments.
            (2) Interest.--If the Secretary does not make payments to 
        the producers on a farm by the date described in paragraph (1), 
        the Secretary shall pay to the producers on a farm interest on 
        the payments at a rate equal to the current (as of the sign-up 
        deadline established by the Secretary) market yield on 
        outstanding, marketable obligations of the United States with 
        maturities of 30 years.

SEC. 102. LIVESTOCK ASSISTANCE.

    (a) Livestock Compensation Program.--
            (1) Use of commodity credit corporation funds.--Effective 
        beginning on the date of enactment of this Act, the Secretary 
        shall use funds of the Commodity Credit Corporation to carry 
        out the 2002 Livestock Compensation Program announced by the 
        Secretary on October 10, 2002 (67 Fed. Reg. 63070), to provide 
        compensation for livestock losses during calendar years 2005 
        and 2006 for losses due to a disaster, as determined by the 
        Secretary, except that the payment rate shall be 75 percent of 
        the payment rate established for the 2002 Livestock 
        Compensation Program.
            (2) Eligible applicants.--In carrying out the program 
        described in paragraph (1), the Secretary shall provide 
        assistance to any applicant for livestock losses during 
        calendar year 2005 or 2006, or both, that--
                    (A)(i) conducts a livestock operation that is 
                located in a disaster county, including any applicant 
                conducting a livestock operation with eligible 
                livestock (within the meaning of the livestock 
                assistance program under section 101(b) of division B 
                of Public Law 108-324 (118 Stat. 1234)); or
                    (ii) produces an animal described in section 
                10806(a)(1) of the Farm Security and Rural Investment 
                Act of 2002 (21 U.S.C. 321d(a)(1));
                    (B) demonstrates to the Secretary that the 
                applicant suffered a material loss of pasture or hay 
                production, or experienced substantially increased feed 
                costs, due to damaging weather or a related condition 
                during the calendar year, as determined by the 
                Secretary; and
                    (C) meets all other eligibility requirements 
                established by the Secretary for the program.
            (3) Mitigation.--In determining the eligibility for or 
        amount of payments for which a producer is eligible under the 
        livestock compensation program, the Secretary shall not 
        penalize a producer that takes actions (recognizing disaster 
        conditions) that reduce the average number of livestock the 
        producer owned for grazing during the production year for which 
        assistance is being provided.
    (b) Livestock Indemnity Payments.--
            (1) In general.--The Secretary shall use such sums as are 
        necessary of funds of the Commodity Credit Corporation to make 
        livestock indemnity payments to producers on farms that have 
        incurred livestock losses during calendar years 2005 and 2006 
        for losses that occurred prior to the date of enactment of this 
        Act (including wildfire disaster losses in the State of Texas 
        and other States) due to a disaster, as determined by the 
        Secretary, including losses due to hurricanes, floods, anthrax, 
        and wildfires.
            (2) Payment rates.--Indemnity payments to a producer on a 
        farm under paragraph (1) shall be made at a rate of not less 
        than 30 percent of the market value of the applicable livestock 
        on the day before the date of death of the livestock, as 
        determined by the Secretary.
    (c) Ewe Lamb Replacement and Retention.--
            (1) In general.--The Secretary shall use $13,000,000 of 
        funds of the Commodity Credit Corporation to make payments 
        under the Ewe Lamb Replacement and Retention Payment Program 
        under part 784 of title 7, Code of Federal Regulations (or a 
        successor regulation) for each qualifying ewe lamb retained or 
        purchased during the period beginning on January 1, 2006, and 
        ending on December 31, 2006.
            (2) Ineligibility for other assistance.--A producer that 
        receives assistance under this subsection shall not be eligible 
        to receive assistance under subsection (a).

SEC. 103. FLOODED CROP AND GRAZING LAND.

    (a) In General.--The Secretary shall compensate eligible owners of 
flooded crop and grazing land in--
            (1) the Devils Lake basin; and
            (2) the McHugh, Lake Laretta, and Rose Lake closed drainage 
        areas of the State of North Dakota.
    (b) Eligibility.--
            (1) In general.--To be eligible to receive compensation 
        under this section, an owner shall own land described in 
        subsection (a) that, during the 2 crop years preceding receipt 
        of compensation, was rendered incapable of use for the 
        production of an agricultural commodity or for grazing purposes 
        (in a manner consistent with the historical use of the land) as 
        the result of flooding, as determined by the Secretary.
            (2) Inclusions.--Land described in paragraph (1) shall 
        include--
                    (A) land that has been flooded;
                    (B) land that has been rendered inaccessible due to 
                flooding; and
                    (C) a reasonable buffer strip adjoining the flooded 
                land, as determined by the Secretary.
            (3) Administration.--The Secretary may establish--
                    (A) reasonable minimum acreage levels for 
                individual parcels of land for which owners may receive 
                compensation under this section; and
                    (B) the location and area of adjoining flooded land 
                for which owners may receive compensation under this 
                section.
    (c) Sign-up.--The Secretary shall establish a sign-up program for 
eligible owners to apply for compensation from the Secretary under this 
section.
    (d) Compensation Payments.--
            (1) In general.--Subject to paragraphs (2) and (3), the 
        rate of an annual compensation payment under this section shall 
        be equal to 90 percent of the average annual per acre rental 
        payment rate (at the time of entry into the contract) for 
        comparable crop or grazing land that has not been flooded and 
        remains in production in the county where the flooded land is 
        located, as determined by the Secretary.
            (2) Reduction.--An annual compensation payment under this 
        section shall be reduced by the amount of any conservation 
        program rental payments or Federal agricultural commodity 
        program payments received by the owner for the land during any 
        crop year for which compensation is received under this 
        section.
            (3) Exclusion.--During any year in which an owner receives 
        compensation for flooded land under this section, the owner 
        shall not be eligible to participate in or receive benefits for 
        the flooded land under--
                    (A) the Federal crop insurance program established 
                under the Federal Crop Insurance Act (7 U.S.C. 1501 et 
                seq.);
                    (B) the noninsured crop assistance program 
                established under section 196 of the Federal 
                Agriculture Improvement and Reform Act of 1996 (7 
                U.S.C. 7333); or
                    (C) any Federal agricultural crop disaster 
                assistance program.
    (e) Relationship to Agricultural Commodity Programs.--The 
Secretary, by regulation, shall provide for the preservation of 
cropland base, allotment history, and payment yields applicable to land 
described in subsection (a) that was rendered incapable of use for the 
production of an agricultural commodity or for grazing purposes as the 
result of flooding.
    (f) Use of Land.--
            (1) In general.--An owner that receives compensation under 
        this section for flooded land shall take such actions as are 
        necessary to not degrade any wildlife habitat on the land that 
        has naturally developed as a result of the flooding.
            (2) Recreational activities.--To encourage owners that 
        receive compensation for flooded land to allow public access to 
        and use of the land for recreational activities, as determined 
        by the Secretary, the Secretary may--
                    (A) offer an eligible owner additional 
                compensation; and
                    (B) provide compensation for additional acreage 
                under this section.
    (g) Funding.--
            (1) In general.--The Secretary shall use $6,000,000 of 
        funds of the Commodity Credit Corporation to carry out this 
        section.
            (2) Pro-rated payments.--In a case in which the amount made 
        available under paragraph (1) for a fiscal year is insufficient 
        to compensate all eligible owners under this section, the 
        Secretary shall pro-rate payments for that fiscal year on a per 
        acre basis.

SEC. 104. SUGAR BEET DISASTER ASSISTANCE.

    (a) In General.--The Secretary shall use $24,000,000 of funds of 
the Commodity Credit Corporation to provide assistance to sugar beet 
producers that suffered production losses (including quality losses) 
for the 2005 crop year.
    (b) Requirement.--The Secretary shall make payments under 
subsection (a) in the same manner as payments were made under section 
208 of the Agricultural Assistance Act of 2003 (Public Law 108-7; 117 
Stat. 544), including using the same indemnity benefits as were used in 
carrying out that section.
    (c) Hawaii.--The Secretary shall use $6,000,000 of funds of the 
Commodity Credit Corporation to assist sugarcane growers in Hawaii by 
making a payment in that amount to an agricultural transportation 
cooperative in Hawaii, the members of which are eligible to obtain a 
loan under section 156(a) of the Federal Agriculture Improvement and 
Reform Act of 1996 (7 U.S.C. 7272(a)).

SEC. 105. BOVINE TUBERCULOSIS HERD INDEMNIFICATION.

    The Secretary shall use $2,000,000 of funds of the Commodity Credit 
Corporation to indemnify producers that suffered losses to herds of 
cattle due to bovine tuberculosis during calendar year 2005.

SEC. 106. REDUCTION IN PAYMENTS.

    The amount of any payment for which a producer is eligible under 
this title shall be reduced by any amount received by the producer for 
the same loss or any similar loss under--
            (1) the Department of Defense, Emergency Supplemental 
        Appropriations to Address Hurricanes in the Gulf of Mexico, and 
        Pandemic Influenza Act, 2006 (Public Law 109-148; 119 Stat. 
        2680);
            (2) an agricultural disaster assistance provision contained 
        in the announcement of the Secretary on January 26, 2006, or 
        August 29, 2006;
            (3) the Emergency Supplemental Appropriations Act for 
        Defense, the Global War on Terror, and Hurricane Recovery, 2006 
        (Public Law 109-234; 120 Stat. 418); or
            (4) the Livestock Assistance Grant Program announced by the 
        Secretary on August 29, 2006.

  TITLE II--SUPPLEMENTAL NUTRITION AND AGRICULTURAL ECONOMIC DISASTER 
                               ASSISTANCE

SEC. 121. REPLENISHMENT OF SECTION 32.

    (a) Definition of Specialty Crop.--In this section:
            (1) In general.--The term ``specialty crop'' means any 
        agricultural crop.
            (2) Exception.--The term ``specialty crop'' does not 
        include--
                    (A) wheat;
                    (B) feed grains;
                    (C) oilseeds;
                    (D) cotton;
                    (E) rice;
                    (F) peanuts; or
                    (G) milk.
    (b) Base State Grants.--
            (1) In general.--The Secretary shall use $25,000,000 of 
        funds of the Commodity Credit Corporation to make grants to the 
        several States to be used to support activities that promote 
        agriculture.
            (2) Amounts.--The amount of the grants shall be $500,000 to 
        each of the several States.
    (c) Grants for Value of Production.--The Secretary shall use 
$74,500,000 of funds of the Commodity Credit Corporation to make a 
grant to each of the several States in an amount equal to the product 
obtained by multiplying--
            (1) the share of the State of the total value of specialty 
        crop and livestock of the United States for the 2004 crop year, 
        as determined by the Secretary; by
            (2) $74,500,000.
    (d) Special Crop and Livestock Priority.--As a condition on the 
receipt of a grant under this section, a State shall agree to give 
priority to the support of specialty crops and livestock in the use of 
the grant funds.
    (e) Use of Funds.--A State may use funds from a grant awarded under 
this section--
            (1) to supplement State food bank programs or other 
        nutrition assistance programs;
            (2) to promote the purchase, sale, or consumption of 
        agricultural products;
            (3) to provide economic assistance to agricultural 
        producers, giving a priority to the support of specialty crops 
        and livestock; or
            (4) for other purposes as determined by the Secretary.

SEC. 122. SUPPLEMENTAL ECONOMIC LOSS PAYMENTS.

    (a) In General.--Subject to subsection (b), the Secretary shall 
make a supplemental economic loss payment to--
            (1) any producers on a farm that received a direct payment 
        for crop year 2005 under title I of the Farm Security and Rural 
        Investment Act of 2002 (7 U.S.C. 7901 et seq.); and
            (2) any dairy producer that was eligible to receive a 
        payment during the 2005 calendar year under section 1502 of the 
        Farm Security and Rural Investment Act of 2002 (7 U.S.C. 7982).
    (b) Amount.--
            (1) Covered commodities.--Subject to paragraph (3), the 
        amount of a supplemental economic loss payment made to the 
        producers on a farm under subsection (a)(1) shall be equal to 
        the product obtained by multiplying--
                    (A) 30 percent of the direct payment rate in effect 
                for the covered commodity of the producers on the farm;
                    (B) 85 percent of the base acres of the covered 
                commodity of the producers on the farm; and
                    (C) the payment yield for each covered commodity of 
                the producers on the farm.
            (2) Dairy payments.--
                    (A) Distribution.--Supplemental economic loss 
                payments under subsection (a)(2) shall be distributed 
                in a manner that is consistent with section 1502 of the 
                Farm and Rural Investment Act of 2002 (7 U.S.C. 7982).
                    (B) Maximum amount.--Subject to paragraph (3), the 
                total amount available for supplemental economic loss 
                payments under subsection (a)(2) shall not exceed 
                $147,000,000.
            (3) Limitations.--
                    (A) In general.--Subject to subparagraph (B), the 
                Secretary shall ensure that no person receives 
                supplemental economic loss payments under--
                            (i) subsection (a)(1) in excess of the per 
                        person limitations applicable to a person that 
                        receives payments described in subsection 
                        (a)(1); and
                            (ii) subsection (a)(2) in excess of the per 
                        dairy operation limitation applicable to 
                        producers on a dairy farm described in 
                        subsection (a)(2).
                    (B) Administration.--In carrying out subparagraph 
                (A), the Secretary--
                            (i) shall establish separate limitations 
                        for supplemental economic loss payments 
                        received under this section; and
                            (ii) shall not include the supplemental 
                        economic loss payments in applying payment 
                        limitations under section 1001 of the Food 
                        Security Act of 1985 (7 U.S.C. 1001) for 
                        payments made pursuant to the underlying normal 
                        operation of the program described in 
                        subsection (a)(1) or section 1502 of the Farm 
                        and Rural Investment Act of 2002 (7 U.S.C. 
                        7982).

SEC. 123. SMALL BUSINESS ECONOMIC LOSS GRANT PROGRAM.

    (a) Definition of Qualified State.--In this section, the term 
``qualified State'' means a State in which at least 50 percent of the 
counties of the State were declared to be primary agricultural disaster 
areas by the Secretary in at least 2 of crop years 2004, 2005, and 
2006.
    (b) Grants to Qualified States.--
            (1) In general.--The Secretary shall use $300,000,000 of 
        funds of the Commodity Credit Corporation to make grants to 
        State departments of agriculture or comparable State agencies 
        in qualified States.
            (2) Amount.--
                    (A) In general.--Subject to subparagraph (B), the 
                Secretary shall allocate grants among qualified States 
                described in paragraph (1) based on the average value 
                of agricultural sector production in the qualified 
                State, determined as a percentage of the gross domestic 
                product of the qualified State.
                    (B) Minimum amount.--The minimum amount of a grant 
                under this subsection shall be $3,000,000.
            (3) Requirement.--To be eligible to receive a grant under 
        this subsection, a qualified State shall agree to carry out an 
        expedited disaster assistance program to provide direct 
        payments to qualified small businesses in accordance with 
        subsection (c).
    (c) Direct Payments to Qualified Small Businesses.--
            (1) In general.--In carrying out an expedited disaster 
        assistance program described in subsection (b)(3), a qualified 
        State shall provide direct payments to eligible small 
        businesses in the qualified State that suffered material 
        economic losses in at least 2 of crop years 2004, 2005, and 
        2006 as a direct result of weather-related agricultural losses 
        to the crop or livestock production sectors of the qualified 
        State, as determined by the Secretary.
            (2) Eligibility.--
                    (A) In general.--To be eligible to receive a direct 
                payment under paragraph (1), a small business shall--
                            (i) have less than $5,000,000 in average 
                        annual gross income from all business 
                        activities, at least 75 percent of which shall 
                        be directly related to production agriculture 
                        or agriculture support industries, as 
                        determined by the Secretary;
                            (ii) verify the amount of economic loss 
                        attributable to weather-related agricultural 
                        losses using such documentation as the 
                        Secretary and the head of the qualified State 
                        agency may require;
                            (iii) have suffered losses attributable to 
                        weather-related agricultural disasters that 
                        equal at least 50 percent of the total economic 
                        loss of the small business for each year a 
                        grant is requested; and
                            (iv) demonstrate that the grant will 
                        materially improve the likelihood the business 
                        will--
                                    (I) recover from the disaster; and
                                    (II) continue to service and 
                                support production agriculture.
            (3) Requirements.--A direct payment to small business under 
        this subsection shall--
                    (A) be limited to not more than 2 years of 
                documented losses;
                    (B) be in an amount of not more than 75 percent of 
                the documented average economic loss attributable to 
                weather-related agriculture disasters for each eligible 
                year in the qualified State; and
                    (C) not exceed $80,000 per grant per year.
            (4) Insufficient funding.--If the grant funds received by a 
        qualified State agency under subsection (b) are insufficient to 
        fund the direct payments of the qualified State agency under 
        this subsection, the qualified State agency may apply a 
        proportional reduction to all of the direct payments.

                        TITLE III--CONSERVATION

SEC. 131. EMERGENCY CONSERVATION PROGRAM.

    The Secretary shall use an additional $30,000,000 of funds of the 
Commodity Credit Corporation to carry out emergency measures identified 
by the Administrator of the Farm Service Agency as of the date of 
enactment of this Act through the emergency conservation program 
established under title IV of the Agricultural Credit Act of 1978 (16 
U.S.C. 2201 et seq.).

SEC. 132. EMERGENCY WATERSHED PROTECTION PROGRAM.

    The Secretary shall use an additional $70,000,000 of funds of the 
Commodity Credit Corporation to carry out emergency measures identified 
by the Chief of the Natural Resources Conservation Service as of the 
date of enactment of this Act through the emergency watershed 
protection program established under section 403 of the Agricultural 
Credit Act of 1978 (16 U.S.C. 2203).

                     TITLE IV--FARM SERVICE AGENCY

SEC. 141. FUNDING FOR ADDITIONAL PERSONNEL.

    The Secretary shall use $20,000,000 of funds of the Commodity 
Credit Corporation to hire additional County Farm Service Agency 
personnel--
            (1) to expedite the implementation of, and delivery under, 
        the agricultural disaster and economic assistance programs 
        under this Act; and
            (2) as the Secretary determines to be necessary to carry 
        out other agriculture and disaster assistance programs.

                         TITLE V--MISCELLANEOUS

SEC. 151. FUNDING.

    The Secretary shall use the funds, facilities, and authorities of 
the Commodity Credit Corporation to carry out this Act, to remain 
available until expended.

SEC. 152. REGULATIONS.

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

                    TITLE VI--EMERGENCY DESIGNATION

SEC. 161. EMERGENCY DESIGNATION.

    The amounts provided under this Act are designated as an emergency 
requirement pursuant to section 402 of H. Con. Res. 95 (109th 
Congress).
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