1.Experimental biofuel pilot
program
(a)Section 523 of the
Federal Crop Insurance Act (7 U.S.C. 1523) is amended by adding at the end the
following:
(f)Experimental
biofuel pilot program
(1)In
this subsection:
(A)Experimental
biofuel crop
(i)The term experimental biofuel crop means a
crop—
(I)that is produced
for use as—
- (aa)a
nonpetroleum fuel source; or
- (bb)nonpetroleum
lubricant;
(II)for which there
is information to demonstrate that there are sufficient safeguards to prevent
the spread of the crop as a noxious weed, as determined by the
Corporation;
(III)for which there
is not an existing crop-specific policy or plan of insurance offered pursuant
to this title; and
(IV)for which yield
data exists for at least 1 crop year, as determined by the Corporation based on
research or data, including research or data provided by—
- (aa)an
institution of higher education (as defined in section 101(a) of the
Higher Education Act of 1965 (20
U.S.C. 1001(a))); or
- (bb)a
research facility approved by the Corporation.
(ii)The
term experimental biofuel crop includes camelina.
(B)The
term producer means an owner, landlord, tenant, or sharecropper on
a farm that—
(i)produces, and has
beneficial interest in, an experimental biofuel crop; and
(ii)files a record
of the farming operation for the farm in the appropriate county office of the
Farm Service Agency.
(2)The
Corporation shall carry out a pilot program under which producers of
experimental biofuel crops may elect to receive crop insurance in accordance
with this subsection.
(3)In establishing the expected market price for each
experimental biofuel crop, the Corporation may consider the expected market
price established or approved by the Corporation for other reference crops,
including similar oilseed and biofuel crops, as determined by the
Corporation.
(4)Actual
production historyIn determining the actual production history
for a producer of an experimental biofuel crop, the Corporation may consider
the production history for the producer of, or may apply transitional yields
based on, reference crops, including oilseed and biofuel crops with similar
yields to the experimental biofuel crop, as determined by the
Corporation.
(5)As
a condition of receiving crop insurance under this subsection, producers
shall—
(A)submit to the
Corporation such yield and productivity information as the Corporation
considers to be necessary to determine historical crop yields for the
experimental biofuel crops; and
(B)agree that the
Corporation may make the yield and productivity information available to the
public.
(6)
(A)The
Corporation shall enroll in the pilot program under this subsection not more
than—
(i)250 acres per
producer;
(ii)100,000 acres
per State; and
(iii)500,000 total
acres.
(B)The
Corporation shall carry out the experimental biofuel pilot program under this
subsection so that, to the maximum extent practicable, all costs associated
with the pilot program do not exceed $15,000,000 for the period of fiscal years
2008 through 2012.
(C)The Corporation may use not more than 10 percent of amounts
made available under this or any other Act for administrative and operating
expenses of the Risk Management Agency to pay administrative costs to assess
whether certain biofuel crops are experimental biofuel crops for which crop
insurance can be provided under this
subsection.
.
(b)Section
516(a)(2) of the Federal Crop Insurance Act (7 U.S.C. 1516(a)(2)) is amended by
adding at the end the following:
(E)Costs associated
with the conduct of the experimental biofuel pilot program carried out under
section 523(f), subject to the limitations in paragraph (6) of that
subsection.
.
2.Experimental
biofuel programsTitle IX of
the Farm Security and Rural Investment Act (7 U.S.C. 8101 et seq.) is amended
by adding at the end the following:
9013.Experimental
biofuel programs
(a)In
this section, the terms experimental biofuel crop and
producer have the meanings given the terms in section 523(f)(1) of
the Federal Crop Insurance Act (7 U.S.C. 1523(f)(1)).
(b)Loan and loan
guarantee program
(1)To improve and stabilize farm income, to promote a better
balance between supply and demand for experimental biofuel crops, and to assist
producers in the orderly marketing of crops, the Secretary shall establish a
program under which the Secretary shall make loans and loan guarantees to
producers of experimental biofuel crops.
(2)Producers of experimental biofuel crops that receive loans
or loan guarantees under this subsection may use the funds—
(A)to pay reasonable
storage costs incurred by the producers, as determined by the Secretary;
and
(B)to pay other
appropriate costs, as determined by the Secretary.
(c)The Secretary may make grants to research facilities and
institutions of higher education (as defined in section 101(a) of the
Higher Education Act of 1965 (20
U.S.C. 1001(a))—
(1)to study the use
of experimental biofuel crops for animal feed; and
(2)to conduct
research on specific harvesting and planting techniques for new experimental
biofuel crops.
(d)
(1)Notwithstanding any other provision of law, on October 1,
2007, and on each October 1 thereafter through October 1, 2011, out of any
funds in the Treasury not otherwise appropriated, the Secretary of the Treasury
shall transfer to the Secretary—
(A)$5,000,000 to
carry out subsection (b); and
(B)$5,000,000 to
carry out subsection (c).
(2)The Secretary shall be entitled to receive, shall
accept, and shall use to carry out this section the funds transferred under
paragraph (1), without further appropriation.
(3)Funds transferred under paragraph (1) shall remain
available until
expended.
.